What are compliance standards?
Compliance standards are rules, guidelines, and best-practices that organisations must follow in order to meet industry, legal, or regulatory requirements. They are designed with the end goal of protecting sensitive data, maintaining security, and building trust between businesses, regulatory bodies, and customers.
Each compliance standard outlines different requirements that organisations must meet, often through the implementation of controls, policies, and other documented processes. For many industries and markets that deal with sensitive data, compliance is mandatory, whereas in others it is only a recommendation for improving overall security.
There are different types of compliance standards, depending on the industry and the type of data being protected:
Cyber security standards focus on securing networks, systems, and information. Examples include ISO 27001, which covers information security management, SOC 2, which ensures data security for cloud-based services, and Cyber Essentials, a UK framework for basic cyber security protection.
Data protection standards ensure personal data is handled securely. An example of a data protection standard would be GDPR, which governs the data privacy of EU citizens.
Financial compliance standards are designed to secure financial transactions and reporting, such as PCI-DSS which outlines the handling and storing of credit card data/.
Some standards apply to specific industries. In healthcare, HIPAA regulates how patient data is stored and shared, while NIST CSF provides cybersecurity best practices, often used by government agencies within the US.
Non-compliance with industry regulations, or failure to properly implement adequate security controls, may lead to monetary fines, possible security breach, potential legal action, and significant reputational damage.
Each compliance standard outlines different requirements that organisations must meet, often through the implementation of controls, policies, and other documented processes. For many industries and markets that deal with sensitive data, compliance is mandatory, whereas in others it is only a recommendation for improving overall security.
There are different types of compliance standards, depending on the industry and the type of data being protected:
Cyber security standards focus on securing networks, systems, and information. Examples include ISO 27001, which covers information security management, SOC 2, which ensures data security for cloud-based services, and Cyber Essentials, a UK framework for basic cyber security protection.
Data protection standards ensure personal data is handled securely. An example of a data protection standard would be GDPR, which governs the data privacy of EU citizens.
Financial compliance standards are designed to secure financial transactions and reporting, such as PCI-DSS which outlines the handling and storing of credit card data/.
Some standards apply to specific industries. In healthcare, HIPAA regulates how patient data is stored and shared, while NIST CSF provides cybersecurity best practices, often used by government agencies within the US.
Non-compliance with industry regulations, or failure to properly implement adequate security controls, may lead to monetary fines, possible security breach, potential legal action, and significant reputational damage.
Updated on: 18/02/2025
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