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How to Measure the Value of Data – NDMO (DVR-01)

NDMO (National Data Management Office) – DVR (Data Value Realization)


Some ways to measure the value of your Data, include:

  • Replacement Cost: The replacement or recovery cost of data lost in a disaster or data breach, including the transactions, domains, catalogs, documents and metrics within an organization.
  • Market Value: The value as a business asset at the time of a merger or acquisition.
  • Identified Opportunities: The value of income that can be gained from opportunities identified in the data (in Business Intelligence), by using the data for transactions, or by selling the data.
  • Selling Data: Some organizations package data as a product or sell insights gained from their data.
  • Risk Cost: A valuation based on potential penalties, remediation costs, and litigation expenses, derived from legal or regulatory risk from:
    • The absence of data that is required to be present.
    • The presence of data that should not be present (e.g., unexpected data found during legal discovery; data that is required to be purged but has not been purged).
    • Data that is incorrect, causing damage to customers, company finances, and reputation in addition to the above costs.
    • Reduction in risk and risk cost is offset by the operational intervention costs to improve and certify data

For Your Further Reading:

One Response to How to Measure the Value of Data – NDMO (DVR-01)

  1. Labeeq Siddiqui says:

    Great Article!
    Thanks.

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