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August 25, 2006
The Harsh Reality of Data LossWhat's a company to do?Don Lewis
There's no good news when data loss is involved--but that doesn't mean you can't protect yourself
Don Lewis is a manager at FarStone Technology.
Data loss is an unpleasant fact of modern life. 99.9 percent of all businesses have experienced at least one costly incident of data loss; causes include operating system crashes, failed software installations or updates, user error, power outages, and hard-drive failure. These incidents can have such a damaging effect that they are sometimes called "digital disasters."
According to a report by Deloitte Touche Tohmatsu, more than 50 percent of businesses have suffered non-recoverable data loss at one time or another. Just how serious is the problem? The report goes on to say that one-third of all digital disasters will result in financial setback.
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********************************************************** So what's a business to do?
Back It Up (It's the Law)!
Of course, businesses have a financial incentive to safeguard their electronic data. But now there's an even more compelling reason to do so--it's the law! Sarbanes Oxley Act (SOX) of 2002 requires business to retain certain kinds of information for specific durations. Lost data could put a business out of compliance with SOX and invite in possible legal action.
The most common types of business data that need to be protected include: financial information, business plans, employee data, classified or technical information under a non-disclosure agreement (NDA), product or service data and working documents, and communication documents (e-mails). Regardless of the type of data, the new rule of thumb is that documents need to be kept in a tamper-proof format for at least five years.
Taking all this into consideration, it is recommended that businesses develop a comprehensive data recovery plan to prevent unnecessary data loss in the event of a digital disaster.
Here's how...
Things to Consider When Building a Data Recovery Plan
Start out by identifying the necessary elements of a data recovery plan. Then evaluate the potential pitfalls of possible solutions for backing up critical business data.
The elements critical to building a good data recovery plan include:
General categories of backup solutions include tape, digital media, hardware RAID, software solutions, and hosted services. All of these have advantages for being reliable components of a data recovery plan. But with each of these categories, there are known limitations that also cast doubt on the likelihood of successfully recovering all critical data following a crash scenario.
Potential problems a company can run into when trying to recover data include:
Another potential problem arises for companies that have a distributed workforce (mobile workers, telecommuters, branch offices, and the like). Measures should be taken to protect the corporate-owned knowledge on all laptops used in the field and all desktops used in home offices. Typically, business data recovery plans only focus on corporate networks, and this oversight will leave the remote worker particularly vulnerable when they experience data loss.
Now that you've considered the necessary elements and potential pitfalls of a data recovery plan, it's time to build a plan that's right for your business.
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