11 Key Information Governance Trends
[Note: There is something unusual about this post. Read to the end to find out what it is…]
Key trend #1 -- Migration to the cloud will accelerate, although the rising scale of cloud costs will become increasingly scrutinized by finance types as the economy tightens. Organizations will struggle with hybrid and multi-cloud architectures. Watch for new and innovative pricing schema to help combat the rising costs (e.g., fee caps and fixed fee).
Why?
The flexibility and scalability the cloud offers to organizations. Cloud computing allows companies to easily add or remove resources as needed, without having to invest in expensive hardware and infrastructure. Additionally, the ability to access data and applications from anywhere with an internet connection can improve productivity and collaboration for remote teams.
However, as more organizations adopt cloud computing, the costs of using these services are also rising. As a result, financial decision-makers are becoming more cautious about how much they are spending on the cloud. This is particularly true in times of economic uncertainty, when companies are looking to cut costs wherever possible.
Another challenge organizations are facing is hybrid and multi-cloud architectures. These architectures can be complex to manage and require specialized skills, which can lead to increased costs and complexity.
To combat the rising costs of cloud computing, new and innovative pricing models are being introduced, such as fee caps and fixed fees. These models can help organizations better predict and control their cloud expenses.
Key trend #2 -- Use of blockchain to replace more traditional records management, security, and privacy approaches will be slower than evangelists believe, and will be confined to limited use cases. One thing not really being discussed is the obligation and size of having to maintain the blockchain history of transactions. Over time, the audit string could become larger than the actual file it is about, creating IG concerns about defensible deletion and ROT.
Why?
The complexity and cost of implementing the technology. Blockchain technology requires specialized skills and knowledge to implement and maintain, which can be difficult for organizations to acquire. Additionally, the technology is still relatively new and untested in many industries, which can make it difficult for organizations to justify the costs and risks associated with adoption.
Another reason for slower adoption is the obligation and size of having to maintain the blockchain history of transactions. Over time, the audit string (chain of blocks) could become larger than the actual file it is about, creating concerns about data storage and management, defensible deletion and retention of data. This can be a significant challenge for organizations, particularly those with large amounts of data or those subject to strict regulatory compliance requirements.
The lack of standardization across the industry also makes it difficult for organizations to adopt blockchain technology, as it can be difficult to integrate with existing systems and processes.
Some industries that are heavily regulated may find it hard to adopt blockchain, as it is difficult to ensure compliance with existing regulations.
Key trend #3 -- M365/Purview will increasingly become seen by many as the de-facto means of governing collaborative content. Some organizations will be comfortable with this degree of single-vendor dependency; others will seek to hedge their vendor bets.
Why?
The growing popularity and widespread adoption of the Microsoft Office Suite and the integration of M365 with other Microsoft products and services. As more organizations use Office products such as Word and Excel, they will also be more likely to adopt other Microsoft products and services, such as M365 and Purview.
Another reason for this trend is the ease of use and familiarity with Microsoft products, that makes it more accessible for employees to use, and for IT teams to manage and govern. This can make it more appealing for organizations to adopt M365 and Purview as their primary means of governing collaborative content.
Another reason is the increase in remote work and the need for collaboration tools, M365 with its collaboration tools such as Sharepoint, OneDrive, and Teams, allows organizations to easily share and manage documents, communicate and collaborate effectively, regardless of location.
However, some organizations may be hesitant to become too dependent on a single vendor, and may seek to hedge their bets by using multiple vendors or other products to govern collaborative content. This can be to mitigate vendor lock-in risks, the dependency on a single vendor and the potential for vendor pricing increases.
Key trend #4 -- Large scale organizations will seek to reduce the per-seat cost of content solutions for knowledge workers by migrating these collaborative use cases from traditional ECM platforms to M365.
Why?
The cost savings and increased efficiency that M365 can provide. M365 is a subscription-based service, which can be more cost-effective than traditional ECM platforms that require large upfront costs and ongoing maintenance expenses. Additionally, M365 is fully integrated with other Microsoft products and services, which can increase efficiency and productivity for knowledge workers by reducing the need to switch between multiple systems and platforms.
Another reason is the increasing popularity and adoption of Office 365, which can help organizations to standardize on a single platform, which can help to reduce the complexity and costs of managing multiple systems.
Furthermore, M365’s features such as SharePoint, OneDrive and Teams, provide robust collaboration and knowledge management capabilities, which can make it more effective in supporting the needs of knowledge workers.
Moreover, M365's compliance, security and governance features, which can help organizations to comply with various regulations and industry standards, and to protect sensitive information, can be another reason for the trend.
Additionally, M365's cloud-based nature can help organizations to reduce costs associated with hardware and infrastructure, as well as enabling remote work and collaboration.
Key trend #5 -- The scale of remote-worker-driven unmanaged M365 sprawl will rival the SharePoint sprawl of the early 2010s.
Why?
The increase in remote work and the lack of proper governance and control over M365 usage. As more organizations adopt remote work, employees have more flexibility to access and use M365 from any location. This can lead to a proliferation of data and content stored in M365, which can be difficult to manage and govern.
The ease of use of M365, which allows employees to easily create new sites, teams and document libraries without the need for IT involvement, which can lead to an increase in the number of M365 instances and data silos.
The lack of proper governance and control over M365 usage can lead to data duplication, security issues, and compliance breaches.
The lack of awareness and training on how to use M365 effectively, can also contribute to this trend.
Lack of proper data governance and management policies can also contribute to the sprawl, as it makes it difficult for organizations to effectively manage, govern, and secure the data stored in M365.
Key trend #6 -- As organizations realize that the scale of unmanaged information can only be addressed by automation, the focus on information governance will shift to IT staffs. A change will be that increasing numbers of these staff will be dedicated to RM and compliance concerns.
Why?
The increasing volume of data generated and stored by organizations, which can be difficult to manage and govern manually. Automation can help to increase efficiency, reduce costs, and improve data quality.
The need for compliance with various regulations and industry standards, such as GDPR, HIPAA, and SOX. Automation can help organizations to meet these requirements more effectively and efficiently.
The need for better data management and governance to improve security, protect sensitive information, and meet the needs of the business. Automation can help organizations to better manage, govern, and secure the data stored.
The increasing complexity of data management and governance, particularly as organizations adopt new technologies such as cloud computing, big data, and artificial intelligence. Automation can help organizations to better manage the complexity and costs associated with these technologies.
The increasing focus on records management and compliance, as organizations realize that unmanaged information can pose significant risks to their business. As a result, IT staffs will be increasingly dedicated to records management and compliance concerns.
Key trend #7 -- Connecticut and Utah successfully enacted privacy laws in 2022 (joining Colorado, California, and Virginia). With the likelihood of federal preemption declining with a divided Congress, expect intensified state activity, increasing compliance chaos.
Why?
The lack of federal privacy legislation in the United States which can lead to a patchwork of state-level laws and regulations.
The increased focus on privacy issues by consumers and lawmakers, as a result of high-profile data breaches and the growing use of personal data by businesses.
The growing awareness of the importance of protecting personal data, and the potential consequences of data breaches, such as financial losses, reputational damage, and legal liability.
The increasing number of states that are enacting their own privacy laws, such as California with the CCPA, and Colorado, Virginia, and now Connecticut and Utah, with their own laws.
The divided Congress may not have the capacity to pass a federal privacy law which makes it less likely for federal preemption, which can lead to intensified state activity, making it more difficult for organizations to comply with multiple and different laws.
The complexity of compliance with different laws, can make it difficult for businesses to understand and comply with the requirements of each state's privacy laws, leading to compliance chaos.
Key trend #8 -- The need for data democratization and access will increasingly come into conflict with compliance, security, and privacy concerns.
Why?
The increasing volume and complexity of data generated and stored by organizations, which can make it difficult to manage and govern data effectively.
The growing need for organizations to share data across different departments and business units to make better decisions, improve efficiency and drive innovation.
The need to make data more accessible to employees, partners, and customers while ensuring the security, privacy and compliance of the data.
The increasing number of regulations, such as GDPR, HIPAA, and SOX, which require organizations to protect personal data and ensure compliance.
The risk of data breaches, cyberattacks and unauthorized access which can lead to financial losses, reputational damage and legal liability.
The need for balance between making data more accessible, and ensuring the security, compliance, and privacy of the data.
The lack of proper data governance and management policies, which can make it difficult for organizations to effectively manage, govern, and secure the data stored.
The lack of proper tools, processes and expertise to manage and secure data in a democratized way.
Key trend #9 -- Arguments for IG will need to shift from fear to business value, but the source of that business value will remain risk and cost-based (c, d, and e) rather than top-line focused (a and b). (Although we wish it were otherwise!)
a - Enhancing employee productivity
b - Improving data quality and process integration
c - Preventing data breaches
d - Reducing risk exposure
e - Meeting compliance concerns
Why?
The need to comply with various regulations and industry standards, such as GDPR, HIPAA, and SOX, which require organizations to protect personal data and ensure compliance. Compliance concerns are mandatory for organizations and non-compliance can lead to severe penalties and reputational damage.
The risk of data breaches, cyberattacks and unauthorized access, which can lead to financial losses, reputational damage and legal liability.
The need for organizations to protect their sensitive and confidential information to maintain their competitive advantage, prevent reputational damage and ensure continuity of business.
The importance of preventing data breaches, which can cause irreparable damage to an organization's reputation and lead to financial losses.
The need to maintain good data quality, in order to make good decisions, improve efficiency, and drive innovation.
The need to balance the benefits of data democratization and access, with the need to ensure security, compliance, and privacy of the data.
The increasing complexity of data management and governance, particularly as organizations adopt new technologies such as cloud computing, big data, and artificial intelligence.
The need to have a risk management approach in place to identify, evaluate, and prioritize risks associated with data management and governance, and to ensure that the appropriate controls are in place to mitigate them.
Key trend #10 -- The consumerization and democratization of AI and ML technologies (ala ChatGPT) will generate a host of use cases tied to sharing organizational knowledge among distributed teams, triggering a renaissance of interest in Knowledge Management (at long last!):
Why?
The increasing accessibility and affordability of AI and ML technologies, which makes it easier for organizations to adopt and implement these technologies.
The ability of AI and ML to process and analyze large amounts of data quickly and accurately, which can help organizations to better understand and leverage their knowledge.
The ability of AI and ML to automate repetitive and time-consuming tasks, which can help employees to focus on more strategic and value-adding activities.
The ability of AI and ML to support distributed teams, by providing access to relevant information and knowledge, regardless of location.
The ability of AI and ML to help organizations to better manage and leverage their knowledge, by identifying patterns and trends, and providing insights that can inform decision-making.
The need for organizations to remain competitive, adapt to the fast-paced business environment and manage the knowledge of the employees that are leaving or retiring.
The need for organizations to improve collaboration, communication and knowledge sharing among their distributed teams.
The need for organizations to improve the efficiency and effectiveness of their knowledge management processes, to support the decision-making and the innovation processes.
Key trend #11 -- Pressure from companies to hold their legal firms accountable to records and governance principles will create pressure for law firms to update their RM and compliance technology platforms.
Why?
The increasing focus on data governance and compliance by companies, as a result of various regulations such as GDPR, HIPAA, and SOX.
The need for legal firms to protect sensitive and confidential information, and to ensure compliance with relevant regulations and industry standards.
The need for legal firms to improve the efficiency and effectiveness of their records management and compliance processes, to support their clients' needs and meet their expectations.
The need for legal firms to demonstrate to their clients that they have the necessary technology and processes in place to manage and govern data effectively.
The need for legal firms to remain competitive and adapt to the changing business environment, which is increasingly focused on data governance and compliance.
The need for legal firms to manage the data retention policies and legal hold requirements of the clients they are serving.
The need for legal firms to demonstrate their compliance, security, and data governance capabilities, to win and retain clients, and prevent reputational damage.
The need for legal firms to improve their risk management and incident response capability, to address the increasing number of data breaches and cyber-attacks.
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The unusual aspect of this post is that it was a true man/machine collaborative.
I wrote the 11 trends, based on a number of conversations I have had with end users and solution providers over the past few weeks.
I did NOT write the “why?” sections. The Chat GPT conversational AI engine wrote them in response to the prompt “What are the primary reasons for this trend?” I did not edit them.
I have written before about this revolution (see my posts Fasten your AI Seatbelts and The AI World is About to Turn Upside Down). I think the impact of consumerizing AI technology will be revolutionary -- with far greater impact than most are realizing. If you don’t believe me, believe Microsoft - Microsoft Bets Big on the Creator of ChatGPT in Race to Dominate AI. $10 Billion ain’t chump change.
These are just some of the issues that we’ll be discussing at the 2023 MER Conference -- back in Chicago! -- on May 22-24. Details HERE.
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Oh, and BTW, if the man/machine collaborative on the written word isn’t revolutionary enough, the image I used for this post was created by the DALL-E 2 AI engine, a new AI system that can create realistic images and art from a description in natural language.
My prompt was, “Create an image for Information Governance in the style of Norman Rockwell.”
Yes, indeed. We live in interesting times.