Data classification is the process of categorizing data according to its sensitivity, such as public, confidential, or restricted. Data classification helps ensure that data privacy is maintained by applying appropriate controls and policies to different types of data. By standardizing data classification processes throughout the enterprise, IT governance can ensure consistent and effective data privacy practices across all systems and departments. Incorporating enterprise privacy categorizations into contracts, requiring business impact analyses for enterprise systems, and reassessing the data governance policy are not long-term strategic responses, but rather tactical or operational actions that may support data privacy. References := What is Data Classification?, Data Governance Policy: Examples & Templates, What is data governance?