Data Custodian vs. Data Processor

Attribute	Data Custodian	Data Processor
Responsibility	Responsible for managing and protecting data on behalf of the data owner	Processes data on behalf of the data controller
Legal obligations	May have legal obligations to protect data privacy and security	Legally bound to process data according to the data controller's instructions
Control over data	Has control over the management and protection of data	Processes data based on instructions from the data controller
Access to data	May have access to sensitive data for management purposes	Accesses data to perform processing activities

Data Custodian

Data custodians are individuals or entities responsible for the storage, maintenance, and protection of data within an organization. They are entrusted with ensuring that data is handled securely and in compliance with relevant regulations and policies. Data custodians typically have access to sensitive information and are responsible for implementing security measures to prevent unauthorized access or data breaches. They play a crucial role in safeguarding the integrity and confidentiality of data within an organization.

• Data custodians are responsible for implementing data security measures such as encryption, access controls, and data masking to protect sensitive information.
• They are tasked with ensuring that data is stored and maintained in a secure environment, such as a data center or cloud storage platform.
• Data custodians work closely with data owners and data users to ensure that data is used appropriately and in accordance with data governance policies.
• They are responsible for monitoring data access and usage to detect any unauthorized activities or security breaches.
• Data custodians may also be involved in data retention and disposal processes to ensure that data is retained for the appropriate period and securely disposed of when no longer needed.

Data Processor

Data processors are individuals or entities that process data on behalf of a data controller. They are responsible for carrying out specific data processing activities as instructed by the data controller. Data processors may include third-party service providers, such as cloud service providers or software vendors, who handle data on behalf of an organization. Data processors are required to comply with data protection regulations and contractual agreements to ensure the security and privacy of the data they process.

• Data processors are responsible for processing data in accordance with the instructions provided by the data controller, such as collecting, storing, or analyzing data.
• They are required to implement appropriate security measures to protect the data they process, including encryption, access controls, and data minimization.
• Data processors must comply with data protection regulations, such as the General Data Protection Regulation (GDPR), and enter into data processing agreements with data controllers to outline their responsibilities and obligations.
• They are required to notify the data controller of any data breaches or security incidents that may impact the security or privacy of the data being processed.
• Data processors may also be responsible for assisting data controllers in responding to data subject requests, such as access or deletion requests, in a timely manner.

Comparison

While data custodians and data processors both play important roles in managing and protecting data within an organization, there are key differences in their responsibilities and obligations. Data custodians are primarily focused on the storage, maintenance, and protection of data, while data processors are responsible for processing data on behalf of a data controller. Data custodians have direct access to sensitive information and are responsible for implementing security measures to prevent unauthorized access, while data processors must comply with data protection regulations and contractual agreements.

Both data custodians and data processors are required to implement security measures to protect the data they handle, such as encryption, access controls, and data masking. They must also comply with data protection regulations and contractual agreements to ensure the security and privacy of the data. Data custodians and data processors may work together to ensure that data is handled securely and in compliance with relevant policies and regulations.

Overall, data custodians and data processors play complementary roles in managing and protecting data within an organization. While data custodians focus on the storage and protection of data, data processors are responsible for processing data on behalf of a data controller. Both roles are essential for ensuring the security and integrity of data and for complying with data protection regulations and policies.