Data loss is a serious problem for companies of all sizes. When companies lose data, they can suffer brutal delays in how they do business, lose a fortune in revenue and productivity, and watch helplessly as customers get disappointed by a bad experience and take their money elsewhere. In fact, about 94 percent of companies suffering from a catastrophic data loss don’t survive—43 percent reopen and 51 percent close within two years, according to the University of Texas.
Data loss occurs when a company’s sensitive and/or valuable information is compromised due to the following reasons:
Data loss is different from data unavailability—which is mainly caused by power outages—and from a data breach—which refers to sensitive data being stolen.
However, data loss is often used interchangeably with a data breach, as cybercriminals don’t always give sensitive data back, or destroy it in the hacking process.
Data loss is a major problem that hampers the day-to-day operations of a company. When valuable and/or sensitive files and information are lost, a company must spend resources and time recovering or recreating these files to fill the gaps left by loss. Smaller data loss cases may only cost hundreds of dollars to recover. However, some business data loss recovery can cost your company hundreds of thousands of dollars.
Data loss also delays productivity timelines, causing a company to lose customers if it’s accompanied by security breaches. When confidential data is compromised, companies must disclose this to their customers, causing them to lose their customers’ trust and respect. Companies may also face fines and lawsuits for failing to protect sensitive customer data.
After experiencing a data loss, companies should consider all options in recovering lost data. Here are a few steps companies should take after experiencing data loss:
Data losses can be a total nightmare for companies of all types and sizes. That’s why they should take preventive action to avoid data loss. Remember that prevention is always the best protection. If companies keep data a high priority at all times, they will be protected in case of any data loss.
Need help implementing systems to protect data against losses and ensure business’ continuity? Contact Integritek today to discover its custom solutions.