BISM7202 - Information Systems for Management: Data Privacy Essay

This essay delves into the critical intersection of data privacy and business analytics. It begins by defining both concepts and elucidating their interdependence, particularly in the context of customer profiling. The study then explores the implications of data privacy issues for contemporary organizations, presenting a SWOT analysis to highlight strengths, weaknesses, opportunities, and threats. Furthermore, the essay reflects on the potential consequences of data privacy breaches from the perspective of a customer, emphasizing concerns about information security, unauthorized data use, and the importance of maintaining personal autonomy and trust. The analysis underscores the significance of data privacy in maintaining customer relationships and making informed business decisions. The essay concludes by reinforcing the crucial role of data privacy in enhancing business analytics practices and building customer trust.

RUNNING HEAD: DATA PRIVACY AND ANALYTICS 0
Business Analytics
Student’s Details-
4-15-2020

DATA PRIVACY AND ANALYTICS 1
Abstract
Business analytics is an important statistical tool used by the businesses in which
maintaining the privacy of the data is a due concern for the organizations. The aim of the essay is
to throw light on the privacy related issues which can certainly affect the contemporary
organizations. The research is conducted from the academic journal articles. The study depicts
that the data privacy is crucial for the organizations in terms of maintaining reputation and also
making proper decisions through the analytical tools.

DATA PRIVACY AND ANALYTICS 2
Introduction
Business analytics is a term used to describe the methodology that helps in sorting,
processing and managing of business data by making use of the statistical models (Appelbaum,
Kogan, Vasarhelyi, & Yan, 2017). Further, this has a close relation with data privacy as this
explains the significant ways by which data is securely stored and managed for creating better
customer experiences by safe handling of data. The essay will determine the concept of data
privacy and business analytics and their dependency. Also, the essay will highlight the
implications of the data privacy issues on the contemporary organization by determining the
strength, weakness, opportunity and threats. Lastly, it has reflected the potential consequences of
data privacy issues on my chosen role as a customer.
Data Privacy and Business Analytics
Business Analytics (BA) as a subset of business intelligence which is described as the
methodology which enables the business to analyze the data and develop the models and
patterns. As a result, this can provide the business insights of the ways by which it can facilitate
future predictions and also helps in maximizing the outcome. Particularly, customer profiling is a
broad business analytic technique which can provide the insights of the customers, market trends
and product demographics (Petrescu & Krishen, 2018). Thus, business analytics is a useful
technique for enhancing the product value and examining the changes into the customer behavior
through the customer profiling. Further, its importance lies in the smart decision making which
could leverage the business. Also, BA helps in keeping the business updated through the
determining the rapid changes into the industry.
Further, concept of data privacy is described as the ability of the business to keep the
information safe and secured. This is also regarded as information security which relates with the
concept of information is shared and handled. Data privacy is always been an important concept
due to more data is being digitized. This has become the liability of the business to keep the
customer’s information private and protected which can enhance customer satisfaction
(Collingwood, 2017). Moreover, the breaches into the data privacy can negatively impact the
business reputation and can also lead to loss of customer’s trust onto the brand. This is also
treated as the right of the customer which compels the business to adhere with the privacy related

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regulations in order to keep the customer’s personal information such as Personal Health
Information (PHI), Social Security Numbers, health records and financial data.
Role of Data Privacy in Business Analytics
There is an important role of data privacy in making the business analytics activities such
as customer profiling. Customer profiling is well-defined analytic tool which seeks to monitor
and collect the latest information about the customers which can later help the business to
undertake informed business decisions (Aydiner, Tatoglu, Bayraktar, Zaim, & Delen, 2019). The
term data privacy enables the business to create business value and improve the marketing. In the
process of business analytics, data privacy facilitates the business to make the safe mechanism of
data which can help the business to increase the business productivity and make effective
decisions. Privacy of the data is an important concern for the business practices through the
governance of the individual data which ensures that the consumer’s personal information is
securely being shared and utilized in the appropriate ways by using business analytics. This
requires the knowledge about keeping the data safe which have the capability to upgrade the big
data platforms by taking the help of privacy protection. This can certainly improve the business
mechanism.
Data Privacy Related Implications on Organizations
Contemporary organizations use business analytics for making proper decision making
increase the business insights through proper statistical analysis of data. Moreover, organization
suffer from privacy related issues while using the business analytics. The following is the SWOT
analysis of privacy related implications which shows the strategic implication.
Strength: The strength for privacy related implication suggest that this can provide the
strong encryption in the business analytics used by the contemporary organizations. These
implications can help in gaining and maintaining the customer’s trusts (Petrescu & Krishen,
2018). Also, this allows the business to get protection against the unwarranted interferences and
provides the protection against arbitrary.
Weakness: The weakness of using business analytics as the essential business practice
used by the contemporary organizations is the unauthorized use of the secondary data.
Additionally, cost associated with the privacy related implication is higher (Estrada-Jiménez,

DATA PRIVACY AND ANALYTICS 4
Parra-Arnau, Rodríguez-Hoyos, & Forné, 2017). There are system vulnerabilities when the
organizations use business analytics which can lead to the errors and false matches and data
misuse are the issues arising out of BA.
Opportunity: The opportunity for using BA is that it can improve the business and data
privacy related implications can certainly help in the seamless analytics. The use of the privacy
related implication not only improves the entire business but also creates a brand image through
showing a due concern towards the personal information of customers (Kache & Seuring, 2017).
Threats: Contemporary organizations face data threat due to the stealing of personal data
and other system vulnerabilities which can be threat for the business (Maras, 2015). Also, due to
the changing business technologies, the companies are compelled to update the software
regularly and the threats can also be faced due to the regulatory compliances.
Reflecting on Data Privacy Related Issues
The issues of data privacy are contained in the business analytics which can certainly
affect the social role as a customer. Moreover, considering my role as a customer, I can highly
affect by the privacy related concerns. As a customer, I expect the organization is using my
personal information safe and keeping it confidential. However, customer’s trust can only be
gained when the data is protected and there are high security concerns while doing business
analytics (Gimpel, Kleindienst, Nuske, Rau, & Schmied, 2018). I as a customer have concerns
for information security due to the unauthorized use of personal data, improper access and also
misrepresentation of my data. The implications of privacy related issues which can make me
belief that it is my personal autonomy to keep my personal information private and I can also
maintain my individuality.
Customers face difficulty in making their online experiences and have due concerns for
the privacy related regulations which play a vital role in the business analytics activities. Also, I
as a customer prefer privacy when information is shared (Berg, Birkeland, Pappas, & Jaccheri,
2018). As a consequence, I can lose my loyalty and trusts towards the company if my privacy
implications are broken and later deny to take the service from that company. This will certainly
have a potential impact on me. As a customer, I would undertake the actions which includes the
security audits created by me as a customer. I would later raise my concerns through the

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complaint against the company if I find my data is stolen in any way. Also, me as a part of my
social role, I would make other people aware of the privacy issues.
Conclusion
Conclusively, it can be said that business analytics and data privacy are dependent on
each other as this provides the ways contemporary organizations can improve the analytics. The
essay has discussed and identified the implications of business analytics and the privacy related
issues being raised as a result of the analytics. It has become important for the organizations to
keep the information private and confidential to gain the customer’s trusts.

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References
Appelbaum, D., Kogan, A., Vasarhelyi, M., & Yan, Z. (2017). Impact of business analytics and
enterprise systems on managerial accounting. International Journal of Accounting
Information Systems, 25, 29-44.
Aydiner, A., Tatoglu, E., Bayraktar, E., Zaim, S., & Delen, D. (2019). Business analytics and
firm performance: The mediating role of business process performance. Journal of
business research, 96, 228-237.
Berg, V., Birkeland, J., Pappas, I., & Jaccheri, L. (2018). The Role of Data Analytics in Startup
Companies: Exploring Challenges and Barriers. In Conference on e-Business, e-Services
and e-Society (pp. 205-216). Springer.
Collingwood, L. (2017). Privacy implications and liability issues of autonomous vehicles.
Information & Communications Technology Law, 26(1), 32-45.
Estrada-Jiménez, J., Parra-Arnau, J., Rodríguez-Hoyos, A., & Forné, J. (2017). Online
advertising: Analysis of privacy threats and protection approaches. Computer
Communications, 100, 32-51.
Gimpel, H., Kleindienst, D., Nuske, N., Rau, D., & Schmied, F. (2018). The upside of data
privacy–delighting customers by implementing data privacy measures. Electronic
Markets, 28(4), 437-452.
Kache, F., & Seuring, S. (2017). Challenges and opportunities of digital information at the
intersection of Big Data Analytics and supply chain management. International Journal
of Operations & Production Management.
Maras, M. (2015). Internet of Things: security and privacy implications. International Data
Privacy Law, 5(2), 99.
Petrescu, M., & Krishen, A. (2018). Analyzing the analytics: data privacy concerns. Journal of
Marketing Analytics, 6(2), 41–43.

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