The guide to Data Management: What it is and why you need it for your organization

Over the last decade, the utilization and management of data have become crucial to business success, with high volumes of data flowing from various sources creating complexity in data management. Effective data management, as defined by Gartner, involves practices and tools that ensure consistent access and delivery of data across enterprise applications and processes, which is vital as 63% of businesses use data to mitigate risks. The importance of data management lies in its ability to increase data quality and accessibility, enabling accurate insights for business decisions, as mismanaged data can lead to significant losses, such as losing customers due to inaccurate information. Data management systems enhance productivity by ensuring data is reliable, interpretable, and compliant with regulations like GDPR and CCPA, thereby preventing costly data breaches. Key benefits include increased data productivity through structured governance and improved compliance by validating data formats for easier analysis. Best practices in data management emphasize the importance of data security, creating a single source of truth to ensure consistent data use across organizations, and fostering a data-driven culture. Implementing a comprehensive data management strategy aligns data goals with business objectives, employs the right tools, builds skilled teams, and ensures data accessibility, which can help firms stay competitive and manage risks effectively. Organizations like Strava have demonstrated success in democratizing data access, improving analytics, and gaining deeper insights through effective data management strategies.