Privacy Impact Assessment (PIA)

A Privacy Impact Assessment (PIA) is a systematic process for identifying and evaluating the privacy risks associated with a project, system, initiative, or processing activity, and determining measures to mitigate those risks. PIAs are conducted before implementing new technologies, business processes, or data uses that may affect personal information. The assessment examines what personal information will be collected, why it's needed, how it will be used and shared, who will have access, how long it will be retained, what security measures will protect it, and what risks to privacy exist. PIAs help organizations make informed decisions about privacy risks, identify compliance gaps, design privacy protections into systems from the start, demonstrate accountability, and build stakeholder trust. The process typically involves stakeholder consultation, privacy expertise input, documentation of findings, and ongoing review as circumstances change. While the GDPR specifically requires Data Protection Impact Assessments (DPIAs) for high-risk processing, many jurisdictions and organizations use PIAs more broadly. PIAs are considered best practice even when not legally mandated. The depth and formality of PIAs should be proportionate to the privacy risks involved. Organizations should establish clear triggers for when PIAs are required, create standardized PIA templates and processes, train staff on conducting PIAs, and integrate PIA findings into project decision-making.