Optimizing the Privacy-Utility Balance using Synthetic Data and Configurable Perturbation Pipelines

Fuente: arXiv
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Main Authors: Sharma, Anantha, Devabhaktuni, Swetha, Mohan, Eklove
Format: Preprint
Published: 2025
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author Sharma, Anantha
Devabhaktuni, Swetha
Mohan, Eklove
author_facet Sharma, Anantha
Devabhaktuni, Swetha
Mohan, Eklove
contents This paper explores the strategic use of modern synthetic data generation and advanced data perturbation techniques to enhance security, maintain analytical utility, and improve operational efficiency when managing large datasets, with a particular focus on the Banking, Financial Services, and Insurance (BFSI) sector. We contrast these advanced methods encompassing generative models like GANs, sophisticated context-aware PII transformation, configurable statistical perturbation, and differential privacy with traditional anonymization approaches. The goal is to create realistic, privacy-preserving datasets that retain high utility for complex machine learning tasks and analytics, a critical need in the data-sensitive industries like BFSI, Healthcare, Retail, and Telecommunications. We discuss how these modern techniques potentially offer significant improvements in balancing privacy preservation while maintaining data utility compared to older methods. Furthermore, we examine the potential for operational gains, such as reduced overhead and accelerated analytics, by using these privacy-enhanced datasets. We also explore key use cases where these methods can mitigate regulatory risks and enable scalable, data-driven innovation without compromising sensitive customer information.
format Preprint
id arxiv_https___arxiv_org_abs_2504_18596
institution arXiv
publishDate 2025
record_format arxiv
spellingShingle Optimizing the Privacy-Utility Balance using Synthetic Data and Configurable Perturbation Pipelines
Sharma, Anantha
Devabhaktuni, Swetha
Mohan, Eklove
Cryptography and Security
Artificial Intelligence
Computation and Language
Machine Learning
Probability
This paper explores the strategic use of modern synthetic data generation and advanced data perturbation techniques to enhance security, maintain analytical utility, and improve operational efficiency when managing large datasets, with a particular focus on the Banking, Financial Services, and Insurance (BFSI) sector. We contrast these advanced methods encompassing generative models like GANs, sophisticated context-aware PII transformation, configurable statistical perturbation, and differential privacy with traditional anonymization approaches. The goal is to create realistic, privacy-preserving datasets that retain high utility for complex machine learning tasks and analytics, a critical need in the data-sensitive industries like BFSI, Healthcare, Retail, and Telecommunications. We discuss how these modern techniques potentially offer significant improvements in balancing privacy preservation while maintaining data utility compared to older methods. Furthermore, we examine the potential for operational gains, such as reduced overhead and accelerated analytics, by using these privacy-enhanced datasets. We also explore key use cases where these methods can mitigate regulatory risks and enable scalable, data-driven innovation without compromising sensitive customer information.
title Optimizing the Privacy-Utility Balance using Synthetic Data and Configurable Perturbation Pipelines
topic Cryptography and Security
Artificial Intelligence
Computation and Language
Machine Learning
Probability
url https://arxiv.org/abs/2504.18596