A must in today’s regulatory landscape
Following the General Data Protection Regulation (GDPR), the role of the Data Protection Officer (DPO) has never been more significant. GDPR mandates the appointment of a DPO for many organizations, explicitly stipulating the professional qualities, level of expertise, position and responsibilities a DPO must have. Given the Luxembourg supervisory authority's enforcement actions to audit the DPO role's implementation, it is critical to understand the importance of this role for any organization, especially those in personal data heavy industries, such as the financial sector.
While not compulsory for some organizations, most (e.g., credit institutions, management companies, insurance companies, B2C industries etc.) are mandated to appoint a DPO. This requirement may also apply to organizations serving primarily as processors. The European Data Protection Board (EDPB) has also initiated enforcement actions on the DPO role, further underlining its importance.
Why appoint an external DPO?
In addition to allowing the appointment of one single DPO within EU-based organizations, the GDPR also allows the outsourcing of the DPO function. This comes with multiple advantages, particularly for medium-sized and smaller entities such as management companies or subsidiaries and branches.
So, what are the benefits of appointing an external local DPO?
- Access to specialized data protection expertise which is tailored to Luxembourg privacy requirements (which are constantly evolving and can prove challenging to keep up with or implement in line with an organization’s initiatives)
- Cost savings and scalability by using DPO services as needed (rather than full-time) and for specific improvement areas
- Minimize autonomy and independence-related risks, as external DPOs are not involved in internal decision-making and will report to the highest level of management within an organization. This can be particularly crucial for organizations where an internal DPO may have other responsibilities, making GDPR's strict requirements challenging to meet.
Our expertise and network in action
Recognizing these advantages and empowered by extensive experience, KPMG Luxembourg is fully equipped to offer DPO as a service. Our dedicated local team of data protection specialists provide tailored, flexible support in close collaboration with:
- KPMG Luxembourg professionals: ad hoc involvement of AML-KYC experts and tax experts as we understand that privacy is not a standalone matter
- KPMG’s international network: ad hoc or ongoing collaboration with other KPMG offices may be required depending on your organization’s structure and geographic location
- Luxembourg and international privacy associations and experts
KPMG expertise and experience
KPMG has extensive experience acting as external DPO and/or assisting internal DPOs (including group DPOs) in their journey to GDPR compliance. By offering flexible, scalable solutions, we help you manage the complexities of data protection, allowing you to focus on your core business.
Our approach? In addition to regular policy reviews, training and reporting, we also provide support for incidents including complex data breaches and specific projects requiring extensive DPO assistance.
We integrate seamlessly into your teams, ensuring close and ongoing alignment with your business objectives and needs.
With a particular focus on the financial sector, we have developed a working plan in addition to dedicated tools which we tailor to our clients’ needs, contexts and group landscapes.
With access to our global network of experts, you can stay ahead of regulatory changes, meet the expectations of supervisory authorities, and enjoy peace of mind in today's data-driven world.
Reach out to our data protection experts today!