What Is Data Loss Prevention (DLP)?

With data being the new currency of today’s hyper-connected world, preventing accidental leaks or malicious theft is a top priority. Data loss prevention (DLP) is a strategic security measure that ensures sensitive or critical information is not transmitted outside the organisation’s network. These measures include tools and software products that enable administrative control over data that can be safely transferred from network to network.

DLP products use business rules to classify and protect confidential and critical information so that unauthorised users cannot accidentally or maliciously share or leak data, putting the organisation at risk. For example, if an employee tried to forward a business email outside the corporate domain or upload a corporate file to a cloud storage service like Dropbox, the employee would be denied permission.

Organisations are adopting DLP because of insider threats and rigorous data privacy laws, many of which have stringent data protection or access requirements. In addition to monitoring and controlling endpoint activities, some DLP tools can also be used to filter data streams on the corporate network and protect data in motion.

With six in seven organisations experiencing at least one data loss incident in the past year, investing in DLP solutions is becoming a benchmark requirement. Organisations implement DLP to safeguard various types of sensitive information, including:

Personally Identifiable Information (PII)

DLP helps protect customer and employee PII such as:

• Social Security numbers
• Credit card details
• Email addresses
• Phone numbers

This ensures compliance with regulations like GDPR and CCPA.

Intellectual Property (IP)

Businesses use DLP to secure valuable IP, including:

• Trade secrets
• Product designs
• Source code
• Proprietary algorithms

DLP prevents unauthorised access and exfiltration of these critical assets.

Protected Health Information (PHI)

Healthcare organisations rely on DLP to safeguard PHI and maintain HIPAA compliance by protecting:

• Patient records
• Medical histories
• Lab results
• Billing information

Financial Data

DLP helps financial institutions secure:

• Account numbers
• Transaction records
• Investment strategies
• Financial reports

This aids in regulatory compliance and protects sensitive financial information.

By implementing DLP across endpoints, networks, and cloud services, organisations can detect, monitor, and prevent unauthorised sharing or leakage of these critical data types.

Here is how to initiate a successful DLP deployment:

• Prioritise data
  Not all data is equally critical, and every organisation has its own definition of critical data. The first step is to identify the most vulnerable forms of data that would result in the most significant damage if compromised. DLP should start with the most valuable or sensitive data attackers will likely target.
• Classify the data
  Classifying data by context offers an intuitive approach that can be scaled. That means classifying the source application, the data store, or the user who created the data. Applying consistent classification tags to the data allows organisations to track their use. Inspecting the content is also helpful in identifying regular expressions, such as Social Security and credit card numbers or keywords (for example, “confidential”). Content inspection often comes with pre-configured rules for PCI, PII, and other standards.
• Understand when data is at risk
  Distributing data to user devices or sharing it with third parties, customers, and the supply chain poses various risks. In these cases, the data is often at the highest risk when used on endpoints. Common scenarios involve sending sensitive data as an email attachment or transferring data to an external hard drive. A robust DLP programme must account for data mobility and when data is at risk.
• Monitor data in motion
  Understanding how data is used and identifying behaviour that puts data at risk is important. Organisations must monitor data in motion to gain visibility into what’s happening to their sensitive data and determine the scope of the issues their DLP strategy should address.
• Communicate and develop controls
  To mitigate data risks, engaging with business line managers is crucial to gain insights into the underlying causes of data vulnerabilities. Data usage controls may be simple at the beginning of a DLP programme. Controls can target common behaviours that most line managers would agree are risky. Organisations can develop more granular, fine-tuned controls to reduce specific risks as the DLP programme matures.
• Train employees and provide continuous guidance
  Once an organisation understands when data is moved, user training can reduce the risk of insiders accidentally losing data. Employees often don’t recognise that their actions can result in data loss, and they do better when educated. Advanced DLP products offer “user prompting”, which notifies employees of data use that may be risky or against corporate policy. That’s in addition to controls that outright block risky data activity.
• Rollout
  Some organisations repeat these steps with an expanded data set or extend data identification and classification to fine-tune data controls. By initially focusing on securing a subset of the most critical data, DLP is more straightforward to implement and manage. Successful pilot programmes also offer solutions to scale the programme. Over time, more sensitive information will be included, with minimal disruption to business processes.

85% of Organisations Experienced at Least One Data Loss Incident in the Past Year

Data loss is a widespread issue affecting the vast majority of organisations. The average number of incidents per organisation was over 15, amounting to more than one incident per month.

70% of Respondents Cited “Careless Users” As the Primary Cause of Data Loss

While external threats remain a concern, the human factor plays a significant role in data loss incidents. Careless users, including general employees, IT workers, and contractors/vendors, were identified as the leading cause of data breaches.

1% of Users Are Responsible for 88% of Data Loss Events

A small number of users account for the majority of DLP alerts. However, the identity of this 1% is likely to change month to month, requiring constant vigilance from security teams.

96% of Monitored Cloud Tenants Were Targeted by Both Brute-Force and Precision Attacks

Cloud environments are under constant threat, with nearly all monitored tenants experiencing attack attempts. More concerning is that 58% of these attacks successfully infiltrated cloud tenants.

Only 38% of Organisations Have a “Mature” DLP Programme

Despite widespread recognition of the importance of data loss prevention, most organisations are still in the process of evolving their DLP capabilities. This indicates significant room for improvement in data protection strategies across industries.

DLP solutions work in two ways: analysing data for contextual content and analysing content based on string matches. Just like language analysis, words have meaning based on context. While a DLP solution can filter out attacks based on words, it must also understand how these words are formatted and built into communication. This capability is critical, particularly in email cybersecurity and DLP.

An effective DLP solution uses the following strategies:

• Regular expression matching: DLP solutions match a specific set data conditions, such as detecting 16-digit credit card numbers in email or 9-digit telephone numbers, and determine if the communication contains sensitive data.
• Structured data fingerprinting: Data stored in a database can be analysed for specific sensitive data to determine if it’s properly protected.
• File checksum analysis: Determines if file content changed by using hashing algorithms to output hashes of file data and compare them to when the file was saved.
• Partial data matching: This technique identifies similar information across different sources, like finding forms or templates completed by various individuals.
• Lexicon matches: Unstructured data can be analysed using dictionary terms and other rule-based matches to detect sensitive information.
• Statistical analysis: By leveraging machine learning and advanced methods, DLP solutions can detect more obscure sensitive information that other methods can’t.
• Categorisation: Categorising data enables the DLP solution to determine if data is highly sensitive and violates compliance regulations.

Understanding the root causes of data leaks is crucial for developing effective prevention strategies. While cyber-attacks often grab headlines, data leaks can occur through various means: malicious and unintentional. Here are some common causes you should be aware of:

• Data exfiltration: This is the unauthorised transfer of data from a computer or other device. It’s like someone sneaking valuable documents out of an office. Cyber criminals might use sophisticated malware or exploit vulnerabilities in your systems to siphon off sensitive information.
• Negligence: Sometimes, it’s not malice but carelessness that leads to data leaks. You might have experienced this yourself—sending an email to the wrong recipient or leaving sensitive documents in a public place. These simple mistakes can have serious consequences.
• Insider threats: While you’d like to trust all your employees, the reality is that insider threats pose a significant risk. This could be a disgruntled employee intentionally leaking data or someone unknowingly compromising security by falling for a phishing scam.
• Weak security practices: Using weak passwords, failing to update software, or not encrypting sensitive data are all examples of poor security hygiene that can lead to data leaks. It’s like leaving your front door unlocked—you’re making it easy for intruders to get in.
• Lost or stolen devices: In today’s mobile world, data often travels with you. A lost laptop or stolen smartphone can expose sensitive information if proper security measures aren’t in place.
• Third-party vulnerabilities: Your organisation’s data security is only as strong as its weakest link. This includes your vendors and partners. A breach in their systems could potentially expose your data as well.
• Misconfigured systems: Sometimes, data leaks occur due to improperly configured systems or applications. This could be as simple as setting incorrect permissions on a cloud storage bucket and inadvertently publicising private data.

A comprehensive approach to data security addresses both technological vulnerabilities and human factors. By anticipating these frequent causes, you can better prepare your organisation to prevent data leaks.

Misdirected email is one of the most prevalent forms of data loss caused by user carelessness. According to 2023 research, approximately one-third of employees sent one or two emails to the wrong recipient. For a business with 5,000 employees, this translates to an estimated 3,400 misdirected emails per year.

The consequences of sending an email to the wrong recipient can be severe:

• It’s one of the simplest forms of data loss, potentially exposing sensitive information to unauthorised parties.
• Even if no sensitive data is involved, it can cause embarrassment and reputational damage.
• Misdirected emails containing employee, customer, or patient data may trigger significant fines under regulations like GDPR.

Notably, 84% of misdirected emails contained attachments last year, further increasing the risk of data exposure. To mitigate this risk, organisations should implement advanced email security solutions that can detect and alert users to the presence of sensitive information in both email bodies and attachments.

Organisations face a variety of data threats that can compromise sensitive information. As cyber threats grow increasingly sophisticated, it’s vital to anticipate the myriad of data threats. Here’s a list of threats you should be aware of:

• Phishing: You’ve likely encountered these deceptive emails or messages attempting to deceive you into revealing personal information. Phishing remains one of the most pervasive cybersecurity threats.
• Malware: This malicious software can infect your devices through various means. From viruses to worms, malware is designed to disrupt systems and steal data.
• Ransomware: Imagine your files suddenly locked, with a demand for payment to regain access. That’s the reality of ransomware, a growing concern for both individuals and businesses.
• Cyber-attacks: These can take many forms, from denial-of-service attacks that crash your systems to sophisticated breaches that compromise entire networks.
• Insider risks: Sometimes, the threat comes from within an organisation. Whether it’s a disgruntled employee or someone who accidentally mishandles data, insider risks are a significant concern.
• Social engineering: This involves manipulating individuals into divulging confidential information. It’s not just about technology—it’s about exploiting human psychology.
• Adversary-in-the-middle attacks: These occur when an attacker intercepts communication between two parties. It’s like someone eavesdropping on your digital conversations.
• Zero-day exploits: These are targeted software vulnerabilities that even the developers don’t know about yet. Attackers can exploit these before a fix is available, making them particularly dangerous.
• IoT vulnerabilities: As more devices require an internet connection, from smart appliances to security cameras, new entry points for attackers are created.
• Cloud security threats: With more data moving to the cloud, new challenges arise in keeping that information secure.

Staying informed about these threats is the first line of defence. By understanding what you’re up against, you can take steps to protect your organisation from potential data breaches.

A DLP solution offers numerous advantages for organisations seeking to enhance their data security posture. Here are some key benefits of implementing a DLP solution:

• Compliance: Several compliance regulations require monitoring and data protection. If your organisation must follow HIPAA, PCI-DSS, GDPR, or any other compliance standard, a DLP solution helps keep your organisation within those guidelines.
• IP protection: It’s not uncommon for organisations to store intellectual property in document files, and a DLP will stop attackers from accessing and stealing trade secrets.
• Visibility into your data: Tracking data both at-rest and in-transit is a compliance requirement that also helps organisations understand the types of data stored across endpoints.
• Expedite incident response: DLP solutions can quickly identify and alert potential data breaches, allowing security teams to respond rapidly and minimise damage.
• Receive alerts: DLP systems provide real-time notifications about suspicious activities or policy violations, enabling proactive threat management.
• Enable encryption: Many DLP solutions include encryption capabilities, protecting sensitive data if it falls into the wrong hands.
• Prevent data breach: By monitoring and controlling data movement, DLP helps prevent unauthorised data exfiltration, reducing the risk of costly data breaches.
• Reduce financial risk: Implementing DLP can significantly reduce the financial risks associated with data breaches, including regulatory fines, legal fees, and reputational damage.
• Enhance data classification: DLP tools often include data discovery and classification features, helping organisations better understand and manage sensitive information.
• Improve employee awareness: DLP solutions can educate employees about data handling policies through real-time feedback, fostering a culture of data security awareness.
• Mitigate accidental data loss: DLP services and programmes can help prevent and manage accidental data loss incidents, such as misdirected emails or unintentional file sharing, protecting sensitive information from accidental exposure.
• Comprehensive data protection: DLP solutions offer a range of services and programmes designed to safeguard information across various channels, like email, cloud storage, and endpoint devices, providing a holistic approach to data security.

Because attackers have numerous ways to steal data, the right DLP solution includes how data is disclosed. Here are the types of DLP solutions:

Email DLP

Defend against phishing attacks and social engineering techniques by detecting incoming and outgoing messages. Email DLP solutions can scan content, attachments, and links for sensitive information or malicious elements. They can also enforce policies to prevent the unauthorised sharing of confidential data through email channels.

Endpoint Management

For every device that stores data, an endpoint DLP solution monitors data when devices are connected to the network or offline. This type of DLP protects at the user level, monitoring activities such as file transfers, clipboard usage, and printing. Endpoint DLP can also enforce policies even when devices are disconnected from the corporate network, ensuring continuous protection.

Network DLP

Data in transit on the network should be monitored so that administrators are aware of any anomalies. Network DLP solutions inspect traffic flowing through the organisation’s network, identifying and preventing unauthorised data transfers. They can monitor various protocols and ports, providing comprehensive visibility into data movement across the network.

Cloud DLP

With more employees working from home, administrators leverage the cloud to provide services to remote staff. A cloud DLP solution monitors and protects data stored in the cloud. Cloud DLP extends data protection to cloud-based applications and storage, ensuring that sensitive information remains secure regardless of where it’s accessed or stored. These solutions can integrate with popular cloud services to provide consistent policy enforcement across multiple platforms.

Database DLP

Database DLP solutions focus on protecting sensitive information stored in structured databases. They monitor database activity, enforce access controls, and mask or encrypt sensitive data fields to prevent unauthorised exposure. These solutions also often provide audit trails and reporting capabilities to help meet regulatory compliance requirements and detect potential data breaches.

Data Discovery DLP

This DLP solution scans storage systems to identify and classify sensitive data across the organisation. Data discovery helps organisations understand where their sensitive information resides, enabling better data governance and protection strategies. By providing a comprehensive view of data assets, data discovery DLP solutions allow organisations to implement more targeted and effective data protection measures, reducing the risk of data loss or exposure.

Enterprise DLP

Enterprise DLP solutions provide comprehensive data protection across an organisation’s entire infrastructure. These solutions combine the functionalities of email, endpoint, network, cloud, database, and data discovery DLP into a unified platform. Enterprise DLP offers centralised policy management and enforcement, enabling organisations to consistently protect sensitive data across all channels and environments.

When adopting and deploying a data loss prevention solution, it’s crucial to approach the process strategically to maximise effectiveness and minimise disruption.

• Define requirements: Clearly outline both business and security requirements. This includes compliance standards, data protection needs, and organisational goals. Understanding these requirements will guide your deployment strategy and ensure the DLP solution aligns with your organisation’s needs.
• Audit and classify data: Conduct a thorough audit of your infrastructure to identify where sensitive data is stored and how it’s transferred. Classify your data based on sensitivity and importance to prioritise protection efforts.
• Establish roles and responsibilities: Involve all relevant IT staff in the deployment process. Clearly define who is accountable for various aspects of the DLP solution, from policy creation to implementation and ongoing management.
• Document the process: Ensure your organisation has comprehensive documentation covering deployment procedures, operational guidelines, and training materials. This documentation serves as a reference for team members and supports compliance audits.
• Implement in phases: Start with a pilot test and gradually expand your DLP implementation. This phased approach allows your organisation to adapt to the solution and refine processes as needed.
• Regular review and training: Establish a plan for ongoing review and updates to your DLP policies and procedures. Conduct regular testing of DLP controls and provide continuous staff training to keep them informed about the latest threats and best practices.

With the right approach, organisations can effectively adopt and deploy a DLP solution that protects sensitive data, maintains compliance, and adapts to evolving security challenges.

Proofpoint Data Loss Prevention offers integrated data protection for email and attachments. It stops accidental data exposure and prevents third-party attackers or impostor attacks via email. DLP can be leveraged with other information protection suite products, such as Proofpoint Data Discover and Proofpoint Email Encryption.

A full-suite DLP tool has four elements: a central management server, network monitoring, storage DLP, and endpoint DLP. In small deployments, all components other than the endpoint agent may be consolidated on one server. Larger deployments may include multiple distributed pieces to cover different infrastructure elements.

With this tool, organisations always know where their private or proprietary data resides, including intellectual property, personal identification, patient information, financial information, and more. It helps organisations simplify discovery and quickly evaluate data to respond to any issue. The Proofpoint in-place DLP solution, Content Control, helps organisations:

• Easily locate sensitive data wherever it resides in the enterprise. The simplified discovery process enables IS and IT teams to be aware of issues without dealing with a complex DLP solution or a lock-it-all-down approach.
• Evaluate historical data and ensure that newly created data is evaluated. Quarantine or remove violations to prevent adverse effects by the wrong material. For example, if corporate content is discovered in a Dropbox synchronisation folder, the user is alerted, and the data is moved to the IT security team’s sanctioned repository.
• Evaluate the metadata and the full text within a file. This enables IT security departments to identify credit cards, personal identification, license numbers, medical information, etc. This process also teaches users best practices for data management and security on the job—without hindering productivity or workflow.

Proofpoint’s comprehensive DLP solutions extend data protection across email, cloud applications, and endpoints. These solutions provide deep visibility into user behaviour and data interactions, enabling effective detection and prevention of data loss risks. With its unified console, cloud-native architecture, and advanced analytics, Proofpoint streamlines incident management and empowers organisations to efficiently safeguard sensitive data. To learn more, contact Proofpoint.