D’Ann Johnson, CCE was the featured speaker for April’s ICEL meeting. Confidentiality is the critical component of the credit department; it safeguards sensitive information from unauthorized people. Types of information include a customer’s SSN, bank information, payment terms. Confidentiality extends to business processes, such as how a company (including your employer) processes credit applications and determines who qualifies for credit. This confidentiality continues after leaving an employer, and even after leaving the credit field entirely.
Who are you and why do you need this information? To uphold confidentiality, we must be aware of who is authorized to receive sensitive information: the boss, the owners of your company, and members of NACM’s trade industry credit group. That’s it. It does not include salesmen (ever!), nor does it include the customer themselves. As credit managers, we are viewed as people in a position of knowledge, which means what we say can be interpreted as truth; therefore, it is critical we only report facts. We should not have an opinion, share war stories with fellow employees, etc.
At the businesses level, employers should establish non-disclosure agreements (NDAs) to protect credit information shared during the normal course of business: these outline terms and conditions regarding the use and disclosure of confidential information. Are you aware owners (of your employer) can sign NDAs you are unaware of (and fail to communicate this to you)? You are bound by these NDAs, so it is critical that you begin asking questions.
Where can breaches of confidentiality happen? Talking in an open area, water cooler gossip, and perhaps the easiest to overlook, reply all’s and unsecured attachments in email. We should also be cognizant of thin office walls and utilize white noise machines, both inside and outside office doors, to safeguard information when sharing with approved parties.
The best advice on sharing information – when in doubt, keep it to yourself.
Ultimately, confidentiality is not just a legal obligation but a fundamental ethical principle that allows business to maintain trust and continue business operations. By prioritizing confidentiality and implementing best practices to protect that information, we can mitigate risks and build stronger relationships with our customers.
by Heidi Krum, CCE