Compliance
Protecting Intellectual Property in Distributed and International Teams

In the current landscape, remote work and distributed teams have become more prevalent than ever before. While we have previously discussed the numerous advantages and challenges of employing remote teams, today, we delve deeper into the realm of Intellectual Property (IP) assets.

Even if you believe your company has no trade secrets to protect, your firm's accounts, passwords, data, documents, and all of its information play a critical role in the daily operations and success of your business. Concerning data security, while you may exercise greater control over in-house employees who work in a physical office and use office computers, the situation is notably different when managing individuals who work remotely.

Fortunately, there are several strategies you can employ to secure your company and protect your IP assets when collaborating with remote and international teams.

1. Preemptively Screen Your Employees


One of the most effective approaches to fortify IP protection is to take preemptive action during the hiring process. When selecting remote and international talent, establish stringent guidelines. Prior to finalizing an offer with an employee, it is essential to thoroughly vet them by contacting their references and conducting background checks. These initial preventive measures can significantly enhance the safeguarding of your IP assets.

2. Utilize Non-Disclosure Agreements (NDAs) Wisely


Non-Disclosure Agreements (NDAs) or Confidentiality Agreements are legal instruments used by companies to instruct employees to safeguard trade secrets. While many lawyers suggest having NDAs as a backup, in reality, NDAs possess limited power, especially within remote teams.

Why are NDAs often ineffective? To illustrate, consider your trade secrets as toothpaste; once it's out of the tube, putting it back is almost impossible. NDAs do not prevent employees from disclosing trade secrets; rather, they grant you the option to sue the individual for misappropriation.

This approach may work for employees located in the same country and subject to the same legal jurisdiction as your company. However, when your employees are dispersed across the globe, taking legal action becomes exceedingly complex and costly.

You might ask, "Are NDAs even relevant for remote teams?" The simple answer is yes, but they should not be considered a primary solution. While NDAs can create a sense of importance and security, they should primarily be treated as a 'just in case' measure. Instead of relying solely on NDAs, implement security protocols with tangible results.

3. Enforce a 'Need to Know' Policy


When working with a geographically dispersed team, it is advisable to enforce a 'Need to Know' policy. This policy restricts access to company files and data to only those who genuinely require it. By implementing clear authorization parameters from the outset, you can minimize confusion and, especially when dealing with confidential information, reduce the number of individuals privy to these details.

4. Implement Robust Security Protocols


Irrespective of your industry or sector, universal security protocols can help protect your IP assets:

  • Use a Virtual Private Network (VPN): Encrypt data and ensure information security through a reputable VPN service that does not track user activity.
  • Enable Two-Factor Authentication: Add an extra layer of security by requiring a code, typically sent to a mobile device, after entering a password.
  • Set Up Firewalls: Protect against phishing scams and hacking by establishing barriers between your company and untrusted sites and networks.
  • Provide Work Accounts: Maintain a clear separation between work and personal life for remote employees by setting up work accounts and preventing the storage of company documents on personal devices.
  • Disable Automatic Login: Eliminate the convenience of automatic login to enhance security.
  • Utilize a Password Manager: Safeguard passwords with a password manager, limiting their sharing to a secure and encrypted platform.
  • Leverage Cloud-Based Storage: Centralize data using cloud-based storage systems and restrict access.
  • Employ Tracking or Monitoring Software: Monitor your team's activities, such as time spent on specific sites or even screen captures, to enhance security.

5. Establish a Security Awareness and Training Program


To emphasize the importance of security, implement a security awareness and training program when onboarding new hires. Showcase your security protocols and reinforce the significance of security through regular training sessions, ensuring employees remain vigilant.

6. Regularly Update Security Tools and Processes


Even with multiple security tools in place, they will be ineffective if not regularly updated. Routinely assess your applications, tools, and processes to ensure they remain up to date and functional. If newer and more efficient tools are available, consider upgrading your security routines.

7. Foster Employee Satisfaction and Engagement


IP protection issues often arise when employees have malicious intentions, whether it's saving information for personal use or sharing it with competitors. Maintaining satisfied and engaged employees can prevent such actions. Happy employees are less likely to engage in IP theft, as it would harm not only the company but also their own well-being.

In conclusion, protecting your IP assets while collaborating with remote and international teams is achievable through a combination of proactive measures, sound security protocols, and an engaged workforce. By implementing these strategies, you can significantly reduce the risks associated with remote work and safeguard your company's valuable intellectual property.