5 Reasons Why Data Management is Important

5 Reasons Why Data Management is Important

Data drives business strategy at every level, which is why having access to relevant and actionable data is critical to sustainable growth and development. For that reason, meticulous data management is extremely beneficial. Without it, any number of data assets a company does hold could prove useless. Proper data management will equate to quality, accurate, and actionable data.

If that’s not enough of a reason, these five additional points will surely convince you of its worth. 

Avoid Data Loss

Data represents one of the most valuable assets for the majority of companies today. Whether it’s precious consumer information or proprietary product information, lost data can represent a potentially detrimental competitive and financial challenge.

In a typical file processing system, regular data backups are critical, but they consume a substantial amount of resources, from the storage space it takes to keep the backups to the time and manpower necessary to schedule, manage, and check them.

A data management system, on the other hand, will handle all backups for you. Automatic backups at regular intervals reduce the manpower necessary to keep your data safe and automatic restoration processes mean that your database will always be restored to the most recent version in the event of a system failure.

Control Data Access

Controlling access to your databases is essential for data security and privacy, and with such emphasis being placed on these topics today, proper permissions management is a critical feature in any data management system. With a permissions-controlled DMS, you can ensure data is only accessed by authorized users.

The database will only grant complete access to the managers, and those managers will be able to authorize or revoke access to specific people. Varying levels of access can be set up and assigned accordingly, so no one ever has the ability to view or modify data unnecessarily. 

Eliminate Redundancy

Duplicate files are a common occurrence in file-based systems. You could find many copies of a single file stored across many different systems, or even that same file stored within many different places in the same system. This means redundant data, but resolving the issue means dedicating scarce resources to tracking them down and removing them.

However, with a data management system (DMS) in place, you can effortlessly eliminate these repetitions by keeping all files in one database. When making the transition from your current file-based system to a new DMS, the redundant files will be deleted in the process. This results in more accurate data, in addition to increased productivity and greater efficiency in how you use your resources. 

Ensure Consistency and Quality

Most companies require multiple users to access a given database to complete their job duties, whether it’s the sales team checking customer information or the tech team retrieving information to fulfill support requests. In any case, showing consistent data to all team members is essential in order for them to make smart and informed decisions.

Without redundant data, consistency is easy to achieve and sustain. Even the smallest change within the database will be visible to all users accessing it without delay. This means improved data quality and data access for everyone, allowing your team to achieve better, quicker, and more seamless operations. Having all of your data in one place also gives you the ability to make use of powerful ETL tools through data integration.

Remain in Compliance

Without a DMS, individual departments within a company often maintain their own truth. A data management system will help eliminate this issue by ensuring up-to-the-minute consistency across your entire organization. In addition, it also helps companies remain in compliance through dedicated governance processes. Modern data management systems allow companies to get specific about how data should be structured.

When able to define such a structure, companies can answer the crucial governance question of who will be allowed access to various data points to change it and maintain it throughout various stages. With this DMS structure, a company’s policies are explicitly documented, helping ensure only the responsible person or team maintains it. In the meantime, this also ensures high-quality data. 

Summary

When it comes to transitioning to a new data management system for your company, there are countless benefits that help improve data access, consistency, and quality across your organization. Without a doubt, a properly implemented DMS will ensure improved, prompt access to your company’s data around-the-clock. If your company has not yet begun to implement a DMS, now is the ideal time. 

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