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The Compliance Trap: When Remote Work Meets Regulated Industries

The Compliance Trap: When Remote Work Meets Regulated Industries

 
Demystifying the subject of business security
Technology is great for improving efficiency, but it causes security vulnerabilities for remote teams. Here we show you how to deal with this.
 
Article author: Ronnie Peterson
      Written by Ronnie Peterson
       (6-minute read)
As technology advances, businesses everywhere are able to automate and streamline their operations easily and affordably. While this can be great for improving efficiency for remote teams, it can also cause vulnerabilities in terms of compliance.

This means that regulated businesses – that’s those in the healthcare, finance and legal sectors – are all subject to stringent regulatory guidelines and laws for remote work compliance.  And these make solid cybersecurity an absolute must. Failure to adhere to these laws can have devastating consequences: including legal, financial and reputational damage. As a result, this ZandaX article shows you how it’s essential to balance the benefits of AI with remote security in regulated sectors to stay on the right side of data privacy laws and all other responsibilities.

Gavel and stethoscope on desk

Understanding AI-Driven Remote Work Compliance Risks

Compliance is a serious matter in any sector, but within heavily regulated industries, rules are stringent and penalties are swift and hefty. GDPR (General Data Protection Regulation), HIPAA (Health Insurance Portability and Accountability Act) and CCPA (California Consumer Privacy Act) leave very little wiggle room and this can be a problem when using AI which requires access to all kinds of sensitive data. Remote working tends to present a larger area for exposure to cybercrime - in fact, a study in 2023 revealed that 68% of regulated businesses had experienced some form of incident or breach through remote work. The issue for remote teams is that you have a number of people all accessing systems from different devices and different locations - sometimes using public wifi - which can be a playground for hackers.

Partnering with Experts to Strengthen Compliance

To effectively manage the huge variety of risks inherent in AI-driven remote IT environments, companies benefit greatly from working with specialized service providers. For example, engaging proactive IT firms like PrimeWave can get tailored expertise that combines innovation with the need for compliance. These providers develop secure remote structures that meet stringent regulatory needs as well as using AI’s capabilities to optimize operations.

Security and compliance are a complex business and partnering up with experts allows organisations to focus on maintaining and growing their operations while still adhering to all of the laws, regulations and guidelines that let them do so.

Meeting with IT consultants

Similarly, working with computer support firms like PCS gives access to full support that prioritizes both compliance and operational effectiveness. Further, these relationships bring updates on emerging trends and technological advances.  It’s a fact that linking up with external expertise reduces the risk of compliance problems and results in quicker responses to audit findings or problems.

Key Compliance Challenges and Strategies to Combat Them


Data Privacy and Protection

When marrying up AI and IT, the protection of sensitive data must always be a priority. This involves introducing robust safeguards like comprehensive data encryption, anonymisation and super-strict controls and authentication for access. Additionally, audits and regular compliance assessments are the belt and braces when it comes to protecting systems and adhering to data regulations.

Ensuring AI Transparency and Accountability

Regulators are, of course, only too aware of the increased use of advanced technology and are constantly studying AI decision-making processes - particularly those of black box models which lack clear explainability. They do this to promote fairness, transparency and accountability as it’s vital for compliance that decision-making is clear and transparent.

The answer comes in the form of explainable AI (XAI) frameworks which are designed to allow businesses to provide proper interpretable and detailed explanations and audit trails. This in turn marries up ethical AI guidelines with legal standards - along with the nuts and bolts for justifying and explaining automated decisions in data-sensitive areas.

Securing Remote Access and Infrastructure

As we’ve mentioned, remote IT systems work with a whole variety of endpoints, locations and devices - all of which form a big attack surface. It’s now at the stage where the majority of cyberattacks on regulated industries are targeted at remote work systems simply because of their vulnerable status.  This means that increased security measures like continuous monitoring, multi-factor authentication and comprehensive end-to-end solutions are essential. And of course, real-time threat recognition tools – powered by AI – will help minimise damage by using enhanced threat detection in real time.

Office team member working remotely

Managing Third-Party Risks

As if we haven’t already given you enough to think about, there are also risks posed by external vendors such as cloud services, software providers and data processors. Even though these are third parties, the buck still stops with your business when it comes to accountability for compliance.

Protection here comes in the form of performing thorough due diligence and continuous risk assessments of your third party vendors to include clear compliance and data protection requirements and obligations. This can go a long way toward nipping potential issues in the bud and preventing financial and reputational penalties.

Training and Culture: The Human Element of Compliance

We’ve spoken a little about the technology involved in keeping your business secure and compliant but your people have a role to play too; particularly within remote teams powered by AI. At ZandaX, we’re firm advocates of training your staff, and doing this on secure data handling; and educating them on compliance policies, is of paramount importance. This allows you to build a culture whereby employees take ownership of compliance and security and get into the habit of looking out for and reporting potential issues. By encouraging feedback and communication across the business, you can significantly reduce attacks and the kind of inadvertent violations that can cause major issues.

Office manager training staff

Continuous Improvement Through Monitoring and Adaptation

Compliance is a complicated and ever-evolving area in which AI technology and regulatory frameworks should work together rather than butting heads. The key to staying on top of this is to implement ongoing monitoring and AI analytics tools for real-time insights to spot emerging risks and potential gaps. The fluid nature of compliance means that regular policy updates, refinements and updated tech are all vital to ensuring that ethical and regulatory boundaries are never crossed.

Conclusion

Security and compliance are important - but so are the day to day tasks that make your business viable. This is why it's vital to form partnerships with experts who have the expertise, coupled with the latest technology, to build remote infrastructures which cover your requirements including:
  • AI transparency and explainability
  • Secure remote access
  • Management of third-party obligations and risks
  • Employee awareness
  • Continuous monitoring and adaptability
While this may sound a lot, once it's all in place it allows you to continue delivering operational excellence while remaining rock solid on security and compliance; safeguarding client data … and your own reputation.

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Links to useful articles:

Article: How to Use AI to Boost Cloud Infrastructure Compliance for Regulated Industries:
If you run a regulated business, you've probably noticed a quiet shift over the last few years: the [...]

Article: Why Remote Teams Are Harder to Protect (And What Hackers Already Know):
Since the COVID-19 pandemic sent workforces home in their droves, remote and hybrid work models have [...]

Article: How to Manage IT Compliance Risk for Remote Teams:
It's a few years ago now that Covid-19 blew its germs upon our world - and breathed new life into th [...]

Article: How To Manage Cyber Risk in Distributed MSP Teams: A New Service Model:
In the modern world, there's no doubt that the way we work is changing - in fact, according to multi [...]

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