7 Core Components of an Effective Data Management Plan

When used correctly, data can be an incredibly powerful tool for companies to leverage. It can offer insights into external and internal processes, and it can also reveal important information about customer behavior and expectations. In order to optimize the impact of data, companies must have a clear plan in place to manage it effectively and protect it from security threats. Learn more about the seven core components of a data management plan/;

1. Data Privacy

The first concern of any company should be protecting the privacy of its customers and employees. This means controlling who has access to privileged information and who is authorized to share that information. The easiest way to implement data privacy is to protect sensitive files with an encryption protocol or with login credentials such as a username and password, amplified with Multi-Factor Authentication (MFA).. In order for this method to be effective, login credentials must  be vigilantly protected and updated on  a regular basis. Organizations must carefully develop a hierarchy of data access authorizations and keep credentials safe by storing them securely.

2. Data Security

In addition to implementing a plan for data privacy, companies must also consider the importance of data security. While privacy concerns the control of internal access to data, security concerns the control of external access to data. In other words, a robust data security plan addresses the potential mismanagement of privileged information, including interception by an unauthorized third party. Implementing a data governance framework can equip your company with the tools you need to strengthen your security infrastructure and protect sensitive data in the process. This type of system gives users complete control over the control and management of internal data.

3. Data Organization

Organization is another important issue when developing a data management plan. Too many companies fail to use their data effectively because it is disorganized and inaccessible. This poses a major problem for any company, and it can require substantial resources to resolve the issue. Rather than allowing data to fall into disarray, you should implement an organizational plan that automatically structures new information within a clear and actionable hierarchy.

4. Data Usability

Even if you organize all of your data into a clear schema, you may find that it is not actionable or relevant to your company’s prevailing objectives. Data may have limited usability if it is outdated, difficult to interpret, or otherwise at odds with your line of inquiry. In order to optimize the usability of your data, you must prioritize information that directly informs your company’s current processes. A company that provides B2B tech services, for example, should focus on harnessing data related to its clientele’s use of outsourced IT services.

5. Data Portability

Data portability refers to your company’s ability to move information seamlessly across multiple applications. Unfortunately, many organizations still rely on outdated platforms and resources that make the task unnecessarily difficult. Innovative cloud-based tools can eliminate many of the barriers that limit data portability. When you store your information on a secure cloud-based network, it’s easier to integrate that network with your company’s existing applications and tools, which increases data portability.

6. Data Quality

In some cases, increased data portability comes at the cost of data quality. This means that you may be able to use data across multiple platforms, but in doing so, files may become degraded over time. In order to be usable, data must be correct and consistent. The right data management system will preserve the quality of your data while allowing for greater portability and usability. You can preserve data quality by using encrypted connections, performing regular file maintenance, and stringently profiling all new data. This will help your company maintain a high standard of accuracy and overall quality.

7. Data Transferability

Finally, companies must develop a data management plan that accounts for data transferability. This term refers to how simple it is to transfer data to another user or organization. There are many tools that allow companies to complete that task, but unfortunately many of them have critical security shortcomings that can compromise information during a transfer. For that reason, it’s imperative to invest in a data management platform that features state-of-the-art security features such as encryption and cloud-based storage. This will help you transfer data securely without inordinate concerns about potential cyber threats, interception, or unauthorized access.

Companies can protect their data assets by developing a plan that incorporates these seven elements. By investing in data security, privacy, and portability, companies will be able to address potential cyber threats and implement better, stronger, more data-informed processes.

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