Beyond the Standard Benefits of Data Governance
Data breaches have become a widespread issue in recent years, resulting in millions of compromised customer records annually. There are frequent lawsuits over privacy violations and misuse of data as well. It is crucial for companies to safeguard their data from potential threats and ensure that their data management systems are secure and compliant with industry standards. It is also important for users to know what data is available and where to find it. Implementing proper data governance practices can help businesses stay proactive in protecting customer data while also remaining efficient and scalable. This blog will outline multiple non-standard ways in which the benefits make focusing on data governance well worth the effort.
Responsibly Safeguarding Data Also Provides Other Benefits
Recent news headlines have been dominated by reports of organizations falling victim to data breaches and cyber-attacks, leading to concern and anxiety among consumers and users. This is often due to a lack of awareness about where data is stored, and the necessary measures required to safeguard it. Companies have a legal and ethical responsibility to protect their customers' data from cyber threats, and any failure to do so can lead to costly legal consequences. By implementing proper data governance, organizations can establish guidelines for data security and compliance with industry regulations, thereby avoiding legal entanglements. Furthermore, these practices enable companies to better understand their customers, vendors, and other stakeholders. Accurate data collection, efficient data access, and robust analysis help personalize interactions, deepen insights into customer needs, and establish trust. Strong governance helps ensure this is possible.
Streamlining Data Migrations
Organizations need to have a clear understanding of their data’s location, usage, and security policies to streamline migration planning and anticipate any potential challenges during the transfer process. For example, they may discover that certain data is stored in multiple locations in different formats, which makes it more difficult to consolidate and transfer to a new system. Understanding such challenges in advance allows businesses to create a comprehensive plan for addressing them before initiating the migration. Knowing the current data schemas and policies makes it that much easier to plan and configure the new environment. By planning and creating a comprehensive process, businesses ensure a controlled, efficient, and secure migration of data between systems.
Adapting to Changing Regulations
Data governance is a critical consideration for companies operating in industries where use of data is regulated. By implementing a comprehensive governance strategy, companies will not only meet current requirements but will more easily adapt to any new rules and regulations that may arise in the future. Even industries that are not heavily regulated today will see more regulation in the future as additional privacy and ethics laws are passed in response to the growth of analytics and artificial intelligence. When a company can show that it has gotten well ahead of the formal regulations and can easily adapt to new ones in the future, it also strengthens trust between the company and its consumers.
Building a Reputation for Data Security and Analytical Effectiveness
A well-executed data governance strategy is a valuable marketing and public relations tool for businesses. By demonstrating to their customers and the marketplace that they have implemented measures to ensure data security and compliance, companies can build a reputation for trustworthiness and reliability. For instance, a cloud computing provider could showcase its robust data governance framework and highlight the steps taken to safeguard customer data, positioning itself as an industry leader. Additionally, strong governance policies allow scalable, efficient analysis of data. This, in turn, allows customer offers, interactions with customers, and operational activities supporting customer needs and requests to be that much more effective. Over time, this effectiveness will translate into a stronger brand image.
Data Governance – Good for Employees and Business
Ultimately, data governance is not only important for the company itself, but it also has significant benefits for all members of an organization. Data scientists, analysts, marketers, and personnel from business functions will experience increased morale because the use of strong governance practices enables them to access the data they need easily and produce meaningful analytics in a timely manner. Proper management and governance of data benefits businesses because employees at all levels can trust that the data they use is accurate, relevant, and secure, allowing them to perform their jobs more effectively and efficiently.
This post was developed with input from Bill Franks, internationally recognized thought leader, speaker, and author focused on data science & analytics.