Data Governance Due Diligence
Comprehensive assessment of data policies, regulatory compliance, privacy practices, and governance maturity for M&A
Data governance and regulatory compliance are critical factors in M&A valuations. GDPR fines, CCPA penalties, and data privacy violations can result in significant post-acquisition liabilities. Our data governance experts evaluate policies, compliance posture, privacy practices, and governance maturity—identifying risks that impact deal value and integration planning.
Data Governance Assessment Areas
Comprehensive evaluation of governance frameworks, compliance, privacy, and organizational readiness.
Governance Framework
Evaluation of data governance policies and organizational structure:
- Data governance strategy and vision
- Governance organizational structure
- Data ownership and stewardship
- Data policies and standards
- Data governance committee and processes
- Governance tooling and automation
- Maturity assessment (DCAM, DAMA-DMBOK)
Regulatory Compliance
Assessment of compliance with data protection regulations:
- GDPR compliance and readiness
- CCPA/CPRA requirements
- LGPD (Brazil) and other regional laws
- Industry regulations (HIPAA, GLBA, PCI)
- Cross-border data transfer mechanisms
- Regulatory audit history
- Remediation tracking and status
Privacy & Consent
Evaluation of privacy practices and consent management:
- Privacy policy assessment
- Consent management practices
- Data subject rights processes (DSAR)
- Privacy impact assessments (PIAs)
- Cookie consent and tracking compliance
- Marketing consent and opt-out
- Privacy by design implementation
Data Classification & Inventory
Assessment of data inventory and classification practices:
- Data inventory completeness
- Data classification schemes
- Sensitive data identification (PII, PHI)
- Data flow mapping
- Third-party data sharing inventory
- Data retention policies
- Data lineage documentation
Data Quality Governance
Evaluation of data quality management practices:
- Data quality policies and standards
- Quality metrics and monitoring
- Data quality issue management
- Master data management (MDM)
- Data validation and cleansing
- Quality assurance processes
- Business glossary and definitions
Organization & Culture
Assessment of governance organization and data culture:
- Data governance team structure
- Data stewardship network
- Training and awareness programs
- Data literacy initiatives
- Executive sponsorship
- Cross-functional collaboration
- Governance metrics and reporting
Regulations & Frameworks We Assess
Deep expertise across global data protection regulations and governance frameworks.
Privacy Regulations
- ✓ GDPR (EU General Data Protection)
- ✓ CCPA/CPRA (California)
- ✓ LGPD (Brazil)
- ✓ PIPEDA (Canada)
- ✓ PDPA (Singapore, Thailand)
Industry Regulations
- ✓ HIPAA (Healthcare)
- ✓ GLBA / SOX (Financial Services)
- ✓ PCI DSS (Payment Card)
- ✓ FERPA (Education)
- ✓ FINRA / SEC (Securities)
Governance Frameworks
- ✓ DAMA-DMBOK
- ✓ DCAM (EDM Council)
- ✓ COBIT (Data Governance)
- ✓ ISO 8000 (Data Quality)
- ✓ NIST Privacy Framework
Data Governance Tools
- ✓ Collibra
- ✓ Alation
- ✓ Informatica MDM/EDC
- ✓ IBM InfoSphere
- ✓ Atlan / Monte Carlo
Privacy Tools
- ✓ OneTrust
- ✓ TrustArc
- ✓ BigID
- ✓ Securiti.ai
- ✓ WireWheel
Data Quality Tools
- ✓ Great Expectations
- ✓ Talend Data Quality
- ✓ Informatica Data Quality
- ✓ Ataccama
- ✓ Precisely (Trillium)
Data Catalog & Lineage
- ✓ Apache Atlas
- ✓ DataHub (LinkedIn)
- ✓ Amundsen (Lyft)
- ✓ AWS Glue Data Catalog
- ✓ Azure Purview
Master Data Management
- ✓ Informatica MDM
- ✓ SAP Master Data Governance
- ✓ Reltio
- ✓ Profisee
- ✓ Stibo Systems
Why Data Governance Due Diligence Matters in M&A
Governance and compliance gaps create significant post-acquisition liability and integration challenges.
💰 Regulatory Fines
GDPR fines can reach 4% of global revenue. CCPA violations up to $7,500 per intentional violation. Undisclosed compliance gaps become the acquirer's liability post-close.
⚖️ Legal Liability
Data privacy violations can result in class action lawsuits. Improper consent, data breaches, and DSAR failures create legal exposure that transfers with the acquisition.
🌍 Cross-Border Complexity
International data transfers require proper mechanisms (SCCs, adequacy decisions). Missing or invalid transfer mechanisms can halt data flows and business operations.
📊 Data Asset Value
Improperly collected or governed data may not be legally usable. Consent gaps, unclear ownership, and poor quality diminish the value of data assets.
🔄 Integration Barriers
Governance maturity gaps complicate data integration. Different classification schemes, inconsistent quality, and incompatible policies slow post-merger synergies.
👥 Customer Trust
Privacy incidents damage customer trust and brand value. Poor data practices discovered post-acquisition can trigger customer churn and reputational harm.
Common Data Governance Due Diligence Findings
Based on 50+ governance assessments, here are recurring findings we identify.
📋 Incomplete Data Inventory
No comprehensive inventory of personal data, unknown data flows to third parties, shadow IT with ungoverned data. Can't protect what you don't know exists.
Impact: Compliance gaps, breach notification delays
✋ Consent Management Gaps
Inadequate consent collection, no audit trail, opt-out mechanisms not working, marketing consent mixed with service consent. Invalid consent = unusable data.
Impact: Data asset devaluation, legal exposure
🌍 Transfer Mechanism Issues
Invalid or missing Standard Contractual Clauses, reliance on invalidated mechanisms, no transfer impact assessments. Cross-border data flows at risk.
Impact: Business disruption, regulatory action
📝 DSAR Process Failures
No automated DSAR handling, missed response deadlines, incomplete data retrieval, inability to fulfill deletion requests. Regulatory complaints pending.
Impact: Regulatory fines, customer complaints
📊 Poor Data Quality
No data quality standards, inconsistent master data, duplicate records, outdated information. Impacts operational efficiency and analytics reliability.
Impact: Poor decisions, operational inefficiency
🏢 No Governance Structure
No data governance committee, unclear data ownership, no stewardship program, policies exist but aren't enforced. Governance is aspirational, not operational.
Impact: Inconsistent practices, accountability gaps
Our Data Governance Assessment Process
Comprehensive governance and compliance evaluation methodology.
Governance Framework Review
Assess governance strategy, organizational structure, policies, and standards. Evaluate maturity against industry frameworks (DCAM, DAMA-DMBOK).
Regulatory Compliance Assessment
Evaluate compliance with applicable regulations (GDPR, CCPA, HIPAA). Review audit findings, remediation status, and regulatory correspondence.
Privacy Practices Evaluation
Assess consent management, DSAR processes, privacy policies, and privacy by design implementation. Review privacy impact assessments.
Data Inventory & Classification
Evaluate data inventory completeness, classification schemes, sensitive data identification, and data flow documentation.
Third-Party Data Sharing
Review vendor and partner data sharing agreements, data processing agreements, and cross-border transfer mechanisms.
Risk Quantification & Roadmap
Deliver detailed assessment with compliance risk quantification, remediation priorities, and governance improvement roadmap.
Need a Data Governance Due Diligence Assessment?
Our data governance experts will comprehensively evaluate your target's governance framework, regulatory compliance, privacy practices, and data quality. Identify the governance risks that impact your M&A deal value and integration planning.