Acc571 - Case Study 3: Boss, I Think Someone Stole Our Customer Data

Running Head: STOLEN CUSTOMER DATA

Case Study 3: Boss, I Think Someone Stole Our Customer Data

Strayer University

ACC571 – Forensic Accounting

August 7, 2011

Obligation to Protect Customers’ Private Data

 Flayton Electronics has an extreme obligation to protect its customers’ private data. Protecting customers’ private data is a key element in building and securing the business-customer relationship and trust within that relationship. In addition to relationship building, protecting customers’ private data also helps build the company’s credibility, and brand. They become known for truly valuing their customers and doing what it takes to protect them. Yet, sometimes companies may not see the importance of taking time to invest in proper controls or technology to protect their customer’s private data. Thus, security breaches can occur. Flayton Electronics has taken measures to protect their customers’ private data by working on being 100% new payment card industry, PCI, compliant.

Potential Security Breach Communication Strategy

As the CEO of Flayton Electronics, it is vital to ensure the company has a communication strategy to notify customers of the potential security breach. The communication strategy team must be comprised of experienced communicators, such as the CEO and other senior managers, public relations manager, and the company’s legal counsel. The company and team needs to have relationships with outside investigators and vendors who can assist in getting answers to how the potential breach occurred and how to close and repair any systems. The next step is to have and implement a communication plan, which includes timelines. Despite the fact that at this present time Flayton Electronics does not have all the details of the security breach that the media may desire, the communication plan should include a commitment to media, customers, and investors to providing updated information and facts as they become available. By notifying...