Data Centralization Risk
Data Centralization risk arises due to aggregation of personal data from multiple sources into a single database, increasing the chance of its misuse or replicating errors due to its poor quality.
- Creation of a single point of failure.
- Reliance on poor quality data as a 'single source of truth'.
- Inadequate privacy and security safeguards to protect access to sensitive personal data.
- Misuse of personal data by public and / or private sector actors potentially for unauthorised profiling, surveillance and behavioral manipulation, etc.
- Increased cost of reliance on incomplete or incorrect (poor quality) data, leading to incorrect targeting of individuals or wrongful exclusion of beneficiaries.