Why Data Classification Is Important

Classifying data according to value assists in the risk assessment process. Classification criteria may include

  • Sensitivity. Although it may not do irreparable harm to an organization if everyone knew the payroll details, most organizations restrict that information on a “need-to-know” basis. Thus, it's a good idea to consider the implications of making data or some related resource public knowledge when assessing its sensitivity. The more sensitive a resource, the tighter its access controls should be.

  • Proprietariness. Some data related to practices, procedures, processes, or trade secrets that could blunt an organization's competitive edge if disclosed to outsiders can rightfully be viewed as valuable and ...

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