Information Security Management Analysis

Information Security Management 1
INFORMATION SECURITY MANAGEMENT
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Information Security Management 2
Task 1
Executive Summary
Data protection is an extensive field that most business needs to invest in as a measure of
attracting Customers. Due to market competition, enterprises have spent more on technology and
innovations favorable to customers. Ensuring security protocols is of high standard help the
business in reducing damages and losses which most developing organization continuously face.
PayPal Holding Company is known to offer the most efficient services across the world. This
report focuses on mechanism used in protecting data from damages such as hacking.
Introduction
PayPal Holdings is a global company that deals with online payment system which
supports online money transfers. The Company was established in 1998 with its headquarters in
the USA. Over the years the Company has expand with many people worldwide seeking its
services. Transfer of money is a sensitive service that requires intensive security measures that
safeguards the integrity of the Company. The Company has suppliers who supply essential
services such as electronics and over 5,000 employees from different cultures (Douglas, 2017).
Through the partnership, PayPal has many clients who seek their services. To access PayPal
services, Customers have to create an account using valid documents.
PayPal database holds employees, customers, clients and suppliers data to ensure
efficient services delivery. Ensuring data security of all stakeholders is paramount in all
companies. Implementation of security protocols are efforts taken by PayPal in safeguarding
Company database (Freiherr & Zeiter., 2016). Data protection is essential in dealing with

Information Security Management 3
corruption or loss of data. Also, it increases the amount of data storage through the creation of
more space.
Data Protection by Default
This mechanism is important in ensuring that the Company process information that is
important for the growth of the Company. The process links GDPR's principles which deal with
data minimization. For PayPal Company to comply with data protection by default, several
measures must be involved. First, PayPal ensures that it does not provide the illusion of choice to
data owners. Next refrain from handling additional information except the person provide
consent. Ensure personal information is not automatically made public except the owner wants
so. Also, individuals are given enough access and control their data sets (Proffitt, 2011).
Data protection by default involves the existence of embedded safeguards and protocols
in the running of the company activities. For one to transact on PayPal, it's a must for one to
create a PayPal account using valid credentials (Hansen, 2013). By default, one needs to have an
active email account, phone Contacts and a valid ID or a password. These items are essential in
validating the transactions. When access the PayPal account, one has to set a password and
verify it using phone number this protocol ensures the real owner of PayPal account are the only
one to access it (Koops & Leenes, 2014).
PayPal Company provides affordable services to all its clients across the world. The
Company has policy and regulations that is accessible to all its users. These policies ensure that
only eligible people can have an account with the Company. It's by default that one must be over
18 years old, have essential documents to transact. Different Nations and economic blocs have
different currencies; PayPal Company has ensured that its system is up to standard in providing

Information Security Management 4
that no computation errors occur in the process (McIntyre, 2020). The Company has the rights to
close PayPal accounts suspected of conducting malicious activities that are against the law.
Signing an agreement clause gives the Company to terminate the holders basing on valid
misconduct activities.
Elements of data protection by default ensure that the company database is secured.
These elements include the controller. The controller involves implementing appropriate
organizational and technical measures (Bygrave, 2017). The system is based on a risk-based
approach that focuses on the dynamic and contextual nature of the PayPal database which
contains clients, customers, employees and suppliers data. Another element involves data
protection principles and rights of the users. All Companies must comply with GDPR
compliance that regulates business operations.
Data Production by Design
Data protection by design ensures that PayPal Company maintains privacy and data
protection is at maximum level (Hildebrandt & Tielemans., 2013). The design phases ensure
company system is sufficient and running throughout the lifecycle. The Company has in place an
organizational and technical structure that focuses on data protection principles. The design also
ensures the safeguards of PayPal database is integrated into an efficient procedure in protecting
the rights of every individual. PayPal Company is free to sue all individuals in a court of law in
cases of misconducts that may lead to loss of money and property. Therefore, the employee of
PayPal engages in transparent activities.
Applications of data protection by design are numerous. With technology advancement,
PayPal has developed new software which enhances security. These soft wares aim at ensuring a