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Tuesday, April 17, 2012

Don't wait for Data Disasters to Happen - Prevent It!

Our country has been experiencing recent extreme weather events which reminds us that catastrophic data loss is one of the most detrimental events that can happen to a small or medium sized business(SMB). There have been Tornadoes in Texas and the Midwest that have destroyed people's years of hard work. Don't let that be you!

According to the Underwriting Guide for Insurers, only 6 percent of mid-size companies the suffer catastrophic data loss ever fully recover. Yes, it is true. Only 6 percent. 43% never reopen and 51% close within two years of the disaster. Unfortunately, data loss is a relatively common occurrence. Hard drives die and even automated backups sometimes fail to archive every single file correctly. Data loss becomes catastrophic when a sizable or vital set of data becomes unrecoverable. When one considers the degree to which most SMBs rely on electronic data for their operations, one quickly understands how devastating consequences often arise in the wake of a disaster. A business might lost not only its customer database, but also sales records, payroll information, inventory numbers, and financials. That last item can damage far more than merely the health of a business.

Imagine hoe the IRS might respond if you've lost all documentation for several years of business tax returns. Preventing data loss requires a two-pronged approach. First you need to have an effective and automated backup system. Manual backups just won't cut it unfortunately because someone will forget to do it. Even if you remember, you still risk losing any data generated between then and the last time you performed the backup. Its best to have a data-mirroring setup, which updates automatically and in real-time. The second prong, one that a shocking number of business owners overlook, is having a reliable, effective and tested disaster recovery (DR) plan in place. Merely having a backup copy of your data won't do you much good if no one knows how to restore it to the server. An effective DR plan should include written procedures for restoring data that minimize the risk of corrupting the system any further.

The key to preventing data catastophies lies in having these measures in place before disaster strikes. Even the most reliable back up system won't help you if you wait until after the fact to install it.

Just remember: Don't wait for the disaster to happen...set up a back up plan before it strikes.

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