The importance of digitization of data is something that can be easily misunderstood. Some may think it only consists of moving things kept in filing cabinets full of paper or on microfiche and loading them up onto a cloud-based database, but there is so much more to it than that.
Of course, the above form of digitization does indeed have great benefits. It means information can be kept securely and is not at risk from physical threats such as fire or flood. It also frees up space in offices where large filing cabinets or other storage facilities may have stood. Best of all, it means it can be accessed and shared remotely.
However, there is much more to it than that, which may be the reason the digital asset management market is expected to grow so much in the coming years.
A report by News and Markets has forecasted that this market “will be dominated by cloud-based solutions, AI integration for automated tagging and content recommendation, and an emphasis on compliance features, increased security, and content analytics.”
What all this will amount to is a sector that increases in value from its current US$5.3 billion to US$10.3 billion in 2029. The near-doubling in value, with a compound annual growth rate of 14 per cent, will arise from the expanding realisation of the multiple benefits such digital services can offer, with the widespread adoption of them that will happen as a result.
Big data inventory management will be a significant part of this. This offers the possibility of huge amounts of data being examined using technology such as AI to establish patterns and glean key elements of information that can prove very useful.
Such technology will be able to study large amounts of information very quickly and spot patterns that may point to strengths and weaknesses in a company’s performance, or highlight problems.
By doing this, it can pinpoint things that may benefit from a change in approach that might otherwise have gone undetected, resulting in better productivity and increased customer satisfaction.
The importance of security is another key issue. Keeping documents in a physical place leaves them at risk of theft, either through break-ins or insider actions. But digital security, using cutting-edge technology like Blockchain, can form an effective defence against even the most seasoned hackers.
Moreover, the use of sophisticated authentication methods means it will be a lot harder for any rogue insiders to steal and misuse data, both through it being more difficult for them to access it in an unauthorized fashion and through such activity being detectable, meaning action can swiftly be taken to stop it and identify who is behind the breach.
Insider attacks were identified by Cybersecurity firm BCS as one of the biggest digital security risks likely to face firms in 2024. Others included data breaches and unauthorized access within cloud systems, which shows why strong security is needed.
The development of new digitized record-keeping, management and analysis services offers some major opportunities in the years ahead, as well as new solutions to tackle threats made against digital storage systems. Those who adopt them will gain multiple benefits as a result.
