The Data Protection Officer (DPO) is one of the most misunderstood roles within the GDPR and the broader data protection legal framework – even though many organizations are required to designate one. For example:
- Public institutions (e.g. municipal or state-owned entities),
- Healthcare providers and clinics,
- Security companies,
- Insurance companies and banks,
- Service providers that store sensitive information (e.g. certain cloud service providers or document archiving companies),
- Or businesses engaged in systematic monitoring (such as providers of security or assessment software tools).
Despite the above, many organizations either fail to designate a DPO, or do so in a way that makes it impossible for the person to fulfill their responsibilities properly—leading to significant risk of data protection fine and non-compliance.
Below are 5 typical mistakes that often occur when designating or working with a DPO—along with guidance on how to avoid them:
1. No DPO Appointed, or Conflict of Interest
🔴 GDPR clearly states that the DPO must perform their duties independently, without instructions or sanctions for raising uncomfortable or risky issues.
Yet in many cases, the DPO is also the company’s CEO, or the Head of Legal, IT, or HR—someone who cannot act independently. Alternatively, an external provider may further be appointed (e.g. an IT service provider performing other services as well), who may have conflicts of interest.
✅ Solution: Ensure independence during appointment—the DPO should not hold a senior decision-making role or supervise their own tasks.
2. DPO Lacks Sufficient Understanding of Organizational Operations
🔴 GDPR requires that the DPO be involved in matters related to data processing. Their advice must be sought when introducing new processes, employee monitoring systems, or partnering with new service providers that handle personal data.
Despite this, many organizations only involve the DPO at the very end of the process—or not at all—limiting their ability to understand and support the business effectively. The DPO may end up being viewed as someone who “always says no,” unable to balance data protection with business needs.
✅ Solution: Involve the DPO from the planning phase—such as before launching a new IT system, employee database, or promotional campaign.
3. “Paper-Only” DPO – Invisible in Daily Operations
🔴 Many organizations formally appoint a DPO, but the role remains inactive in practice. Often, the position is filled by the CEO or an employee with limited knowledge of data protection. In such cases, staff members may not even be aware of the DPO’s role or when to turn to them.
✅ Solution: Appoint an experienced DPO, and clearly communicate their role, contact information, and when employees should consult them.
4. Incidents Are Reported Too Late – or Not at All
🔴 Data breaches (e.g. data loss, unauthorized access, misdirected emails, or hacking) sometimes occur without the DPO being informed in time—or at all—making it impossible for them to act appropriately.
✅ Solution: Implement a clear incident reporting process and employee training on how to handle data protection incidents and when to involve the DPO.
5. The DPO’s Role Doesn’t Fit Internal Processes
🔴 The DPO often needs to collaborate with key departments like IT, HR, or Marketing. They must understand the operational and business rationale behind, for example, introducing a new HR system or launching a marketing campaign, and be able to explain data protection requirements accordingly.
If they cannot do this, they risk becoming an obstacle rather than a facilitator.
✅ Solution: Choose a DPO who understands the industry, the company’s operations, and who can offer practical, business-savvy advice.
How Can SimpLEGAL’s Experts Help You as a DPO?
- We act as experienced, practical DPOs in Hungarian, English, and German.
- We understand the needs of public bodies, healthcare providers, education/training institutions, tech companies, and other organizations.
- We help you stay compliant, improve data security, and support you in case of regulatory procedures.
📞 Request a free preliminary DPO consultation—just send a short email to: daniel.necz@simplegal.eu
👉 Don’t wait until a mistake leads to regulatory action or a data protection fine—the DPO provides not just legal but also business and professional security.
