I think the idea is e.g. you can just have opaque keys (e.g. UUIDs) to a person in all services except one, which has their name in. Destroying that record in one place pseud/anonymisises the record across the system.
This is a fairly standard approach to solving that issue. There are even some applications built for the purpose of housing that data, encrypting it, maintaining audit and use records, processing DSARs, and interacting with the data in useful ways via API.
