Data Theft - An Inside Job

In recent years, employers have become increasingly vulnerable to resentful employees misusing or stealing electronic data. John Holden looks at how employers may be at risk and how they can protect themselves.

As more and more businesses rely on technology for essential processes, it is no longer enough for them to think only in terms of controlling access to physical documents.

Modern technology allows for the transfer and/or exchange of huge volumes of electronic data in a matter of minutes. Unfortunately, this means that a disgruntled or departing employee can easily destroy, steal or misuse valuable proprietary information. He/she may even choose to pass on commercially sensitive data to a competitor, leaving his/her former employer potentially exposed to a loss of profit and/or costly litigation.

The internal risk

Employees often wrongly believe that the work they do on their employer's computer and the information stored on it belongs to them. But in most situations the information and data stored on the computer belongs to the employer, even if personal in nature.

Some employees would not hesitate to remove business information using portable storage devices, such as memory sticks or even mobile phones, or by burning data to CDs or DVDs. If it is not possible to remove...