We are living in an era where data privacy regulations are becoming stricter, and the Digital Personal Data Protection (DPDP) rules govern India's compliance and privacy laws. It doesn’t matter whether the organisation is handling customer information, employee data, or financial records; using data privacy management software is essential to ensure compliance with the DPDP rules.
However, it becomes extremely difficult to choose a platform from the pool of so many platforms. Numerous privacy governance tools offer a plethora of features as per the enterprise’s needs. This guide explores the top 10 features that should be present in a privacy management platform that can help you make a wiser decision.
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Data Discovery and Classification
One of the key features of a data privacy management platform is its capability to classify and discover sensitive data. There is a massive amount of structured and unstructured data being generated by businesses, and classifying them manually is impractical.
A privacy governance tool should not just be able to identify personally identifiable information (PII) but also classify it based on the sensitivity levels and automate the compliance features by mapping relevant data as per the DPDP regulations.
Why is it Important
Human errors are minimised because of automated discovery, helping businesses gain better visibility into their data, thereby reducing the risk of non-compliance.
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Compliance Management and Regulatory Mapping
Constant monitoring and reporting are required to stay compliant with the ever-evolving privacy and governance laws, especially with the DPDP rules out. The privacy management software should include a built-in regulatory framework that helps in continuously tracking the changes happening in the data protection laws, provide a centralised dashboard for managing compliance obligations, and should also offer compliance feature assessments and risk evaluations.
Why is it important
Regulations keep evolving, and non-compliance with the DPDP rules can lead to hefty penalties. The privacy governance tool should keep businesses updated on the legal requirements, automating compliance tracking.
Also Read : Complete Guide: India’s DPDPA Requirements for Cookie Consent -
Automated Data Rights
The privacy governance platform should be able to operationalize the rights of the individual based on their preference. It should provide the right to access, revoke, and withdraw their consent.
Why is it important
Manual consent processing can be very time-consuming and prone to error. When these requests are automated, efficiency and timely compliance are improved.
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Consent Management
Consent management is a crucial part of the data privacy management software. These features help enterprises to track and manage user content for processing and collection. It should generate a compliance report for regulatory audits, providing granular preference settings for various types of data usage.
Why is it important
DPDP rules have made it mandatory for enterprises to collect and manage consent transparently. Failure to comply with the same can lead to loss of customer trust and heavy legal penalties.
Also Read : Top 5 Consent Management Platforms in India 2025
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Vendor and Third-Party Risk Management
Businesses heavily rely on third-party vendor operations, which increases their data privacy risks. The best privacy governance tool should include vendor assessment tools for evaluating third-party compliance, automate monitoring for security practices, and should also include data sharing agreements along with risk mitigation frameworks.
Why is it important
A breach in the third-party system can lead to data compromise. An effective privacy governance tool helps in assessing and managing vendor-related risks.
Also Read : Top DPDP Platforms & Privacy Automation Tools in India (2025 Comparison)
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Data Anonymisation
A data privacy governance tool should be able to provide advanced data anonymisation, protecting sensitive data while maintaining usability. The software should be able to mask or encrypt sensitive data in files and databases, support real-time data processing and dynamic data masking, and use pseudonymization techniques to reduce the exposed risks.
Why is it important
Data breaches are costly. Implementation of data masking can reduce the impact of unauthorised access while helping in preserving data utility for testing, analytics, and AI.
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Data Deletion and Retention Policies
The DPDP rules require enterprises to delete data that is no longer necessary, alongside a mandated retention period of 1 year. A data privacy management platform should automate data retention policies based on the legal and business requirements, along with providing a scheduled data deletion process to avoid unnecessary storage of PII data. The privacy management platform should also provide audit logs for regulatory reviews.
Why is it important
Excessive data storage leads to increased risks and costs. DPDP has made it mandatory to implement data retention policies, ensuring compliance and minimising storage expenses.
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Incident Response and Breach Management
Data breaches can take place even with robust security measures. A data privacy management software should be able to offer automated breach detection and alert mechanisms, regulatory reporting tools that comply with the DPDP rules of breach notification, and an incident response workflow for quick action.
Why is it important
Quick response to data breaches helps in minimising the damage, preventing regulatory fines, and protecting customer trust.
Also Read : Penalties Under DPDP: Fines, Breach Scenarios, and How to Reduce
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AI-Powered Analytics and Risk Assessment
AI-driven privacy management platforms should provide real-time risk insights and assessments for best data protection practices. It should include features like predictive analytics for identifying privacy risks, custom dashboards for visualization of privacy metrics, and automated risk scoring of sensitive data.
Why is it important
Decision-making is enhanced by an AI-powered tool that helps in identifying risks before they become compliance violations.
Why Privy by IDfy Stands Out
With so many privacy governance tools available, selecting the right tool becomes of utmost importance. There are various checkpoints that you should look into, as mentioned above, before deciding on the privacy management tool you want for your organisation.
Privy is a purpose-built privacy governance tool designed specifically for Indian enterprises navigating the complexities of the Digital Personal Data Protection Act (DPDPA). Unlike generic global CMPs, Privy offers deep alignment with India’s regulatory landscape, end-to-end consent lifecycle automation, sectoral rule configuration, and multilingual support across 22 Indian languages. Its Consent Governance Platform (CGP) lets organizations design granular, compliant consent notices, automate RoPA, manage data processors, and maintain tamper-proof consent artifacts through its consent shield, complete with SHA-256 hashing, versioning, and digital signatures. Combined with Privy’s intelligent Cookie Manager and Inspect AI (an AI-powered compliance feature copilot for real-time digital journey assessments), the platform delivers a holistic ecosystem for privacy compliance. As Indian organizations increasingly treat privacy as a competitive differentiator, Privy is rapidly establishing itself as one of India’s most advanced and reliable consent management solutions.
Whether you're a fast-scaling startup, a regulated enterprise, or a privacy-driven digital-first brand, Privy equips you with the tools to stay compliant, transparent, and fully customer-centric.
What makes Privy truly stand out is that it's not just a tool for collecting user consent; it’s a full-stack privacy governance engine. From configuring multilingual notices and handling revocation or re-consent to automating audit trails, conducting journey-level compliance checks, and managing cookies seamlessly across websites, Privy brings enterprise-grade infrastructure and intelligence to every touchpoint of data collection
Get in touch with us at shivani@idfy.com to take control over your data with India’s most trusted DPDP compliance platform. We will keep you updated with the latest updates pertaining to the DPDP rules and how it's going to impact your business. Stay glued to this space for more information on data, privacy, compliance, and all things DPDP.