The high cost of poor data management
Written by James Orme Wed 5 Jun 2019
A new report has revealed the devastating impact to organizations when employees and consumers are unable to access data or services
Poor data management is costing the typical company $20 million (£15.7 million) a year, according to research from cloud backup company Veeam, that surveyed over 1,500 C-Suite executives from 13 countries about their data management investment priorities.
Data availability and recovery are critical to business success, however, Veeam warned that companies are failing to keep up with the explosion in the amount of data they need to manage and protect. Users still demand uninterrupted access to data and the services that rely on it, however, on average organizations experienced five to ten outages in the last 12 months, each lasting 65 minutes.
When companies fail to keep their services running, it has a devastating impact, not just on lost revenue, but on productivity, brand integrity and consumer/employee confidence, companies told Veeam.
To combat this, organizations will readily embrace cloud to store data, such as disaster recovery, backup and long-term archiving data, cloud data management services, including disaster-recovery-as-a-service, and AI services that automate data management, Veeam said, with companies citing the improved reliability, flexibility and data security these provide. Firms that have embraced intelligent data management solutions have pocketed an extra $124 million (£97 million) from doing so.
Aside from implementing cloud and AI solutions, organizations said they need to work to upskill their employees’ IT skills, with 91 percent of respondents regarding digital training as vital to delivering on data management strategies. In addition, 69 percent said that company culture needs to become more open and accepting as they digitally transform, and 93 percent said leadership styles need to change.
“We are living in a data-driven age, and organizations need to wake up and take action to protect their data,” said Ratmir Timasech co-founder and EVP of sales and marketing at Veeam. “Businesses must manage their data in a way that always delivers availability and leverage its value to drive performance. This is no longer a luxury, but a business necessity.”
Alarmingly, just 11 percent of UK respondents said their data management strategies are mature, compared to almost half of Japanese and Brazilian organizations. Organizations from those two countries intend to invest around $105 million (£82 million) and $73 million (£57 million) respectively in cloud data management over the next 12 months; the corresponding figure for UK organizations stands at just $14 million (£11 million).
Speaking to ComputerWeekly, Mark Adams, regional vice-president for the UK and Ireland at Veeam, speculated that Britain’s hesitancy to commit to data management investments might stem from uncertainty surrounding the outcome of the UK’s planned withdrawal from the European Union.
“It could be British businesses are considering their options, but haven’t planned [any big investments] assuming we ever get out of this mess. That’s not as big a concern, because that investment could come back,” he said.
“If it’s global businesses investing in Munich instead of London, that is a great concern because that [investment] won’t return.”
Written by James Orme Wed 5 Jun 2019
Tags:backup Cloud data disaster recovery
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