A company needs a data protection officer (DPO) in the following cases: According to GDPR, when the core activity consists of large-scale, regular and systematic monitoring of data subjects or when processing large-scale special categories of personal data. According to German BDSG additionally, when at least 20 people are regularly engaged in automated processing of personal data. Public authorities must also generally designate a DPO. Independent of these obligations, designating a DPO can be useful as best practice to ensure data protection compliance.
An external data protection officer offers numerous advantages: They bring comprehensive expertise and current knowledge of legal developments without the need to build up special data protection expertise internally. Their independent position enables objective assessment without internal conflicts of interest. The appointment is flexible and cost-effective compared to a full-time position, while special protection against dismissal does not apply. Additionally, you benefit from experience across various industries and companies as well as professional coverage during vacation or illness.
A qualified data protection officer should have comprehensive knowledge of data protection law, particularly GDPR and national data protection laws. Technical understanding of IT systems, data processing procedures and security measures is equally important. Industry knowledge and understanding of specific data processing in the company are essential for practical advice. Additionally, soft skills such as communication and persuasion abilities, analytical thinking and assertiveness are important, supplemented by regular training to continuously update expertise.
An external data protection officer undertakes diverse tasks: They advise the company and employees on all data protection legal issues and monitor compliance with GDPR and other data protection regulations. They sensitize and train employees in handling personal data, advise on data protection impact assessments and monitor their implementation. They also serve as contact persons for data subjects regarding their rights and cooperate with supervisory authorities. In case of data breaches, they support assessment and notification and provide advisory support for all data protection-relevant projects.
The data protection officer enjoys a special legal position: They are independent in performing their tasks and report directly to the highest management level. They are subject to confidentiality and secrecy regarding their activities. The company must involve them early in all data protection-relevant matters and provide the resources necessary for their tasks. Particularly important: The DPO does not bear responsibility for compliance with data protection regulations – this remains with the company as the controller.
The formal designation of an external data protection officer is done through a written contract that regulates the appointment, scope of activity and remuneration. The appointment should be made by management or an authorized managing director. After designation, the DPO's contact details must be published (e.g., in the privacy policy on the website) and communicated to the competent supervisory authority. It is important that the DPO reports directly to the highest management level and that their independence is contractually ensured.
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Schedule AppointmentIn building the data protection organization, the external DPO supports by creating a data protection concept with clear responsibilities and defined processes. They develop a data protection management system with policies, procedures and training concepts. For practical implementation, they create necessary templates and documentation tools and advise on introducing technical tools for data protection management. They also establish reporting channels and escalation processes and ensure continuous monitoring and improvement of data protection processes in the sense of a PDCA cycle.
The external data protection officer creates or supports numerous documentations: They accompany the creation and maintenance of the record of processing activities, develop legally compliant privacy policies for websites and applications as well as consent texts for various purposes. They help with drafting data processing agreements and review existing contracts. They also create documentation on technical and organizational measures (TOMs), concepts for data breach management and data subject rights as well as procedures for data protection-relevant processes and regular activity reports for submission to management.
The external DPO supports in protecting data subject rights by developing standardized processes for handling requests. They create templates for response letters and checklists for identity verification of requesters. For complex requests, they advise on scope and limits of information obligations and support technical implementation of deletion or restriction requests. As direct contact person for data subjects, they ensure timely and legally compliant processing of their concerns and document all requests and measures to comply with accountability obligations under GDPR.
In case of data breaches, the external DPO acts as a competent crisis manager: They first assess the incident regarding notification obligation to the supervisory authority and possibly information obligation to data subjects. For notifiable incidents, they support timely notification within 72 hours and advise on necessary immediate measures for containment. They coordinate communication with authorities, data subjects and possibly the public and comprehensively document the entire incident. After the acute phase, they conduct root cause analysis and develop prevention measures to avoid similar incidents in the future.
The external data protection officer conducts various training sessions: Basic training for all employees on data protection principles and proper handling of personal data, special training for managers on responsibilities and liability risks as well as target group-specific training for particularly data protection-sensitive departments such as HR, IT or marketing. Additionally, they offer specialized training on topics such as secure email communication, clean desk policy or recognizing phishing attacks. The training is supplemented by regular refreshers and e-learning modules and supported by practical guidelines and checklists.
For new projects and processes, the external DPO acts as a proactive advisor: They are involved early in planning to consider data protection requirements already in the concept phase (privacy by design). They review new IT systems and applications for data protection compliance and conduct data protection impact assessments for high-risk processing. When involving external service providers, they support in selecting data protection-compliant partners and designing corresponding contracts. After implementation, they monitor compliance with data protection requirements and document all review steps to fulfill accountability obligations under GDPR.
Practical cooperation with an external DPO combines on-site presence with digital communication: Regular on-site appointments enable personal consultations, training and inspection of relevant company areas. Between these appointments, the DPO is available by phone, email and video conference for short-term consulting needs. A fixed internal contact person coordinates communication between DPO and specialist departments. Digital collaboration platforms facilitate document exchange and tracking of measures. This is supplemented by regular status reports and annual reports for continuous information of company management.
The integration of the external DPO into operational processes is done through clear regulations and process integrations: They are systematically and early involved in all data protection-relevant projects and decisions, ideally already in the planning phase. For the IT department, checklists are created when the DPO should be consulted, e.g., for new software or system changes. The legal department or purchasing involves the DPO in contract design with data protection relevance. Additionally, regular reporting to management takes place, while internal communication channels such as intranet or newsletters regularly address data protection topics to ensure presence of the topic in everyday business.
The time commitment for an external DPO varies depending on company size, industry and complexity of data processing: In small companies with low risk potential, often 1-2 working days per month are sufficient. Medium-sized companies with more extensive processing typically require 2-4 days monthly. For larger companies or in particularly data protection-sensitive industries such as healthcare or financial services, the effort can increase to 5-10 days per month or more. During implementation phase or for special projects such as introducing new systems, time requirements increase temporarily. A customized package considers individual needs and can be flexibly adapted to changing requirements.
For effective work, the external DPO needs comprehensive information: Overview of organizational structure, business processes and IT landscape, access to records of processing activities and existing data protection documents as well as relevant contracts with service providers and customers. They must be informed about planned or ongoing projects with data protection relevance and receive insight into existing technical and organizational measures for data security. Information about occurred data protection incidents, requests from data subjects or supervisory authorities as well as company-specific policies and work instructions with data protection relevance are also important. An open information culture with transparent communication is crucial for successful cooperation.
The success of the external DPO's activity is measured using various indicators: Quantitative metrics such as the number of training sessions conducted, processed requests from data subjects or reviewed processing procedures provide information about activities. Qualitative criteria include improvement of data protection compliance level, successful integration of data protection requirements into projects and processes as well as increased data protection awareness of employees. Concrete progress can be documented in data protection audits. Avoidance of data breaches and complaints as well as positive feedback from supervisory authorities are also important success indicators. Regular status meetings and annual reports document achieved improvements and define further goals.
Cooperation with supervisory authorities is an important part of DPO activities: As official contact person, the external DPO represents the company in data protection matters and serves as interface for authority inquiries. They support timely and complete response to information requests and prepare the company for regulatory inspections. For complaints from data subjects directed to the supervisory authority, they coordinate the company's statement. In case of notifiable data breaches, they handle communication with the authority and provide all necessary information. The DPO also informs about relevant publications and positions of supervisory authorities and considers these in their recommendations for continuous improvement of data protection compliance.
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