Data Loss

This negative fall out is in terms of our over dependence on computers for our regular activities. God forbid if something were to go amiss with the computer, then its user will be left speechless. However as with other things in life, we take such instances to be things that happen to other people. Till the D day strikes us.

This D day is a data loss event. In computer terminology a data loss event refers to totally unexpected loss of data or as we call it in general parlance, information. It may be simply called a data loss also. It may have any one or more causes behind it.

Causes for a Data Loss Event

It does not take a space projectile to cause a data loss event. Data loss can occur on account of any of the following causes:

A natural disaster

Fire

Theft

Sabotage

Hacking

Virus

Power failure

Head crash

Software freeze

Software bugs

Data Corruption

Administration errors

Misplacement of data storage media

Accidental deletion of data

Intentional deletion of data

Consequences of a Data Loss Event

A data loss event can be crippling for any company. It can set back the given entity by several years of hard work on research or other vital documentation. For example a data loss for a finance company will mean absolute disarray in its functioning.

Similarly a data loss event in a pharmaceutical research laboratory can mean loss of several hundred man hours of dedicated work by technicians in the development of some important medicine. These loses cannot be calculated in monetary terms alone.

Not only does the destruction of data translate into financial loss, given the cost of compiling the data in the first place, it is also dashing the hopes and aspirations behind the initial collection of data. As already stated, these factors cannot be monetized.

Financial Damages

It may take several years of research to compile a data on a given subject. All this hard work may translate into employment for dozens of people over a period of time. If nothing else then at least their salaries will be a part of the financial part of a data loss event.

Besides this one has to keep in mind the costs involved in the recovery of data. The professional data recovery companies charge the roof for their services. Yet they may be the only truly viable option in the case of a data loss event.

Effects on the Companies

It is a proven fact by now that most of the companies that suffer critical data losses are unable to withstand the loss. The majority of them down their shutters within a year or two of the data loss event. Those that remain are also unable to survive for long in the competitive world.

Loss of data means complete disarray in the information portals of the company. This means that not only will the company fail to do further business effectively, it may also be crippled in its efforts to service older clients.

The situation can lead to several court cases being filed against the company. This along with the fact that it's working has been negatively impacted; plus the fact that it is no longer competitive in the market place can force a company to file for bankruptcy.

Cost Calculation

The cost of any data loss event is straightaway related to the value of the given data as well as to the length of time for which it is required, yet is not available. This will involve the following:

• What the cost is, to the company, to work in the absence of the relevant data.


• What will be the cost if the lost data has to be recreated?


• What will be the cost if the data has to be recovered by a professional company?


• In the event of an identity compromise, the cost of notifying the users of the same.