Data management is a procedure that involves creating and enforcing processes, policies and procedures to handle data throughout its entire life cycle. It makes sure that data is available and useful, facilitating the compliance of regulators and makes informed decisions and ultimately gives an advantage to businesses.

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. This results in a growing amount of data that needs to be consolidated, and delivered to business analytics (BI) systems, enterprise resource management (ERP) platforms, Internet of Things (IoT) sensors,, machine learning, and generative artificial Intelligence (AI) tools for advanced insights.

Without a well-defined data management strategy, companies can end up with uncompatible data silos and data sets that are inconsistent that hamper the ability to run business intelligence and analytics applications. Poor data management can also cause a loss of confidence in employees and customers.

To address these challenges, it’s essential that companies come up with a data management plan (DMP) that includes the processes and people required to manage all kinds of data. A DMP, for example can assist researchers in determining the naming conventions for files that they should utilize to organize data sets to store them long-term and make them easy to access. It could also include an information workflow that outlines the steps involved in cleansing, checking and integrating raw as well as refined data sets to make them suitable for analysis.

For businesses that collect consumer data, a DMP can assist in ensuring compliance with privacy laws around the world like the European Union’s General Data Protection Regulation or state-level regulations, such as California’s Consumer Privacy Act. It can also aid in the development of policies and procedures for addressing data security threats and audits.

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