Data Silos: What They Are and How They Can Hurt Your Business

What is data silos?

Data silos are a company's storage spaces that are isolated, this practice causes blind spots and can trigger several problems. Learn more in the content below. The speed with which digital actions on the internet happen is surprising and the trend is to intensify even more.

It is in this scenario that data silos can be detrimental to marketing campaigns and decision making as a whole.

The transition of a company's data and information must occur in an integrated and organized way so that all teams can have access to them.

Data silos is characterized as an isolated data repository, that is, the information collected is stored in a place without access or integration with other digital tools.

In this article we will cover the reasons that make this process something not recommended, follow and learn more.

What are data silos and how do they form?

Data silos are data managed by specific groups and kept isolated from the systems that the company has.

These “stocks” can occur when certain sectors of an organization store the collected data on offline platforms, incompatible devices, or in programs with a high degree of privacy.

The nomenclature “silos” comes from the places where grains and seeds are stored so that they do not degrade or suffer contamination.

As data silos represent a similar idea, it was characterized by this term.

This type of storage usually occurs in companies that have grown exponentially and also due to other factors, such as:

  • Security issues;
  • Lack of trained professionals to carry out an effective digital architecture;
  • High degree of privacy determined by some sectors independently;
  • Platform and physical locations different from other company devices;
  • Intention to monopolize information for one's own benefit.

All these factors above make it difficult to index data that was already stored offline.

As a result, the flow between this information and the analyzes carried out by companies becomes more difficult and ineffective due to the slowness.

Having access to information guarantees greater assertiveness to any organization , increasing the level of competitiveness within the market and, of course, bringing better results.

Data silos creates a blind spot in everyday life, which could be integrated with other systems and programs for better communication.

The risks generated by data silos

This type of “stock” and data storage is flawed and can cause several damages to businesses that keep their information retained in spaces like these.

In order for you to better understand this issue, we have gathered the main risks generated by data silos in an organization. Check out:

High spending on internal storage

Data silos are typically physical repositories with reduced storage capacity.

This implies high-cost investments to maintain these inventories, such as the machines that are used, the energy they need to function, the space they are in, among others.

These investments can easily be applied in innovation and marketing sectors to, in fact, add more value to the brand.

Lack of communication and difficulty of action

For any marketing campaign, data analysis is critical. This type of system makes this process difficult in a fluid way, harming your results.

Although each sector works on different fronts, they are all linked by larger goals. The flow of data and information are necessary for assertive communication in search of the final result.

Lack of competition with the market

For any effective analysis of campaigns, actions, products and any other type of metric, frequent analysis of data and information about it is necessary.

Reports, projections, and scenario planning are based on this data collected at some point in the company's trajectory.

Big data has unimaginable strategic value and it needs to be in high turnover within any organization for its own health.

lack of credibility

Without data analysis and actions based on inaccurate information, any strategy is doomed to failure.

A company's credibility can evaporate with inane campaigns, decisions made without prior study and lost teams.

This is what the lack of contact with important data entails.

personnel problems

With internal politics made difficult, human value also begins to erode over time.

People cannot produce well when they are working blind  this is because any action must be based on relevant information.

With data silos, access to these platforms is more complicated, causing wear and tear and noise in communication and interpersonal relationships between employees.

How to integrate your company's data silos?

Not everything is lost. It is possible to reverse this chaos scenario and be able to integrate data silos with your business systems.

For this to happen, it is worth reassessing some criteria within the organizational culture.

Seek to invest in more qualified IT professionals, hire technological software that works with information integration such as ERP systems, among others.

An internal audit at the time of data integration is also an assertive alternative so that nothing escapes and the company does not have problems in the future - in addition to generating a beautiful engagement among employees.

And finally, maintain consistency in the collection, handling, and storage of data and information.

Innovate and renew!

Some technologies become obsolete overnight. Keeping up with the advances of machines, systems and the way the world works is not easy and it gets much worse when you have your head closed to the new.

Old processes lose space for new technologies , so always try to understand these changes and try to implement those that make sense for your company.

Don't forget to maintain clear communication with your team, after all, a well-structured relationship is a key to success.

Muhammad Naeem Sajid