02 Aug The Importance of Data Management

Data management is the process of developing and enforcing policies, processes and procedures for handling data throughout its lifecycle. It ensures that data is useful and accessible, facilitates regulatory compliance and allows for informed decisions.

The importance of effective data management has grown significantly as organizations automate their business processes, leverage software-as-a-service (SaaS) applications and deploy data warehouses, among other initiatives. The result is a flood of data that needs to be consolidated and sent to business intelligence (BI) and analytics systems such as enterprise resource planning (ERP) platforms, Internet of Things (IoT) sensors and machine learning and Artificial Intelligence generative (AI) tools to gain advanced insights.

Without a clear data management strategy, companies could end up with data silos that are not compatible and inconsistent data sets which hinder the ability to operate business intelligence and analytics applications. Inadequate data management can cause a loss of confidence in employees and customers.

To address these issues businesses must create a data-management strategy (DMP), which includes the people and processes needed to manage all types of data. For example the DMP will help researchers determine the file naming conventions they should follow to organize data sets to ensure long-term storage as well as easy access. It may also include data workflows that define the steps that must be followed for cleansing, validating, and https://taeglichedata.de/generated-post-2/ integrating raw data sets and refined data sets in order to make them suitable for analysis.

A DMP can be utilized by companies that collect customer data to ensure compliance with privacy laws at the state and global level, for example, the General Data Protection Regulation of the European Union or California’s Consumer Privacy Act. It can also be used to guide the creation and implementation of procedures and policies that address data security threats.