Majority of organisations fail to have a uniform process for archiving data types.
Businesses are failing to capture over $10 million in potential revenue due to poorly managed data archives.
Large volumes of data are resulting in many organisations being unable to successfully leverage the value in their data archives.
However, a subset of organisations which are successfully leveraging the data are making as much as $10M more in revenue due to streamlined IT and customer service operations.
Research published by Iron Mountain, "Mining for Insight: Rediscovering the Data Archive", an IDC white paper, shows that organisations with a well-defined data archive process stand to realise value from cost savings and added revenue from monetising the archives.
Strikingly, an organisation’s ability to draw new revenue from the effective management was significantly increased, with 39% benefiting from an additional $1M more in revenue. The top 15% were found to gain $10M, with the average gain being $7.5M.
More than half of the organisations polled realised $1M or more in savings over the past year from risk mitgation and the avoidance of litigation, the top 21% reported saving of more than $10M.
Similarly, 44% made $1 in more in savings from reduced operational or capital costs, the top 18% capturing more than $10M.
Eileen Sweeney, Senior Vice President and General Manager, Data Management, Iron Mountain said: "Data archiving isn’t just about meeting legal and compliance requirements anymore. The research shows that there are real financial benefits to be realised by implementing an effective data archiving strategy.
"To truly leverage the power of enterprise information, organisations must first take a hard look at their data management program. Even organisations with advanced archiving processes can stand to gain cost savings and additional revenue streams."
Many organisations believe that they are already maximising the value from their archives (76%), however, only 38% are using it for business analysis, one of the key processes for driving additional value.
The 24% which acknowledged the need to leverage archives more effectively, also said that they could be extracting two times more value than they realise today, a quarter of this group said that they could gain five times more value.
Some of the other findings saw that 88% of organisations are lacking a uniform process for archiving across data types. Additionally, it was seen that 40% simply archive everything to avoid investing time and resources upfront to determine what is important.
IDC surveyed 1,011 member o fsenior and executive management involved in data archiving from organisations with more than 500 employees across a number of sectors and geographical regions including the U.S., Canada, UK, France, Spain, Germany, Netherlands and Australia.