IBM says firms are facing revenue losses and fines as a result of not keeping track of their information.
IBM research among 300 top global companies showed that firms needed to keep a better inventory of their data to avoid problems and get better value from their business information.
According to the 2008 Metadata Market Survey, risk mitigation and data governance are key areas to be addressed in new projects to enable better data tracking through the use of metadata (information about information).
Metadata describes data by relating key business and technical information to it, making it possible to index, govern and use valuable corporate information.
Respondents surveyed said that failure to address the problem of better managing their metadata will result in increased costs to manage and support their business operations, and additional risk exposure.
The growing significance of this problem is attributed to increasing operational complexities, loss of customer revenue and potential fines for non-compliance with state and government regulations.
The survey found that 67% of respondents said that data governance and data stewardship issues were among the top three metadata-related issues they were struggling with.
But 45% do not yet have a data governance council or data governance project underway. In addition, 80% said they are struggling with other information-related issues such as documenting business metadata.