CXO DX April 2023

DATA BACKUP : An insurance strategy for Enterprises

An effective data backup strategy goes a long way in ensuring enterprises can compete without disruption of operations in the face of any unexpected data loss

The importance of data as a digital asset cannot be underscored enough. Data is the new oil it is said and is obvious why it is so. It helps Businesses make informed decisions that impact their business growth and future. Data becomes a company’s competitive advantage, and any pilferage of it can be damaging and any data loss can turn out to be a huge disaster. This is why, data management, backup, and security need to be among the top priorities for businesses. The velocity with which data is produced has seen explosive growth with the proliferation of endpoint devices and technology like IoT sensors. Against this context, enterprises need to have a strong strategy for data backup.

According to the 3-2-1 backup rule, you should have 3 copies of your data, with 2 across different backup formats, and 1 backup stored offsite. However, this rule has further evolved and there are variations of it. such as The 3-2-1-1-0 rule recommends an additional “Air Gapped” or offline backup and adding a check process to ensure all backups have zero errors. On the other hand, the 4-3-2 rule recommends keeping 4 copies of data including the original, three copies stored across three different locations, and at least two copies stored on different storage media. These scenarios effectively minimise the threat of data loss.

Vinay Sharma, Group Director, IT, Gulftainer says, “Data backup strategy is critical for enterprises as part of a business continuity plan. This is because enterprise digital ecosystems deal with large volumes of data that are critical to their operations and any loss of data due to system failure, human error, or cyberattacks can result in significant financial losses, regulatory fines, reputational damage, and even legal liabilities. The main objective of a data backup strategy is to protect against the loss of critical data due to any reasons which involve creating duplicate copies of critical data and storing them in secure and accessible locations. Also, other objectives of a data backup strategy are to ensure the availability of mission-critical systems, integrity, and confidentiality of an enterprise's critical data to operate the business seamlessly.”

Data loss can be accidental or intentional but whatever the reason, the effects can

be felt in multiple aspects of the business, from revenue to decision-making to brand reputation. A reliable and tested data backup system is therefore critical for enterprises.

Mustanshir Aziz, Head of IT at Automech Group says, “Any organization big or small must have a strategy in place for data backup to safe guard against the loss of important data which can be due to a variety of risks, including hardware failure, cyberattacks, natural disasters, and human error. Losing important and critical data can have catastrophic effects on the organization, with consequences ranging from diminished productivity, loss of revenue, reputational damage and also leading to legal issues. In the event of an unanticipated data loss, a well-designed data backup strategy makes sure that crucial data is securely preserved and can be recovered easily. Investment in it is necessary for the long-term success and survival of the company since it is a crucial component of any enterprise's overall risk management and disaster recovery plan. A data backup strategy for an organization should aim to ensure business continuity, protection against data loss, and enabling fast data recovery.”

A backup strategy essentially translates into backing up data at multiple secure locations so that recovery in the face of data loss can be seamlessly done with a disaster recovery plan.

George Akhras, CIO at AMSI says, “A data backup strategy is critically important for enterprises, as it can help prevent catastrophic data loss that could cause significant financial and reputational damage. Enterprises rely on their data to make informed business decisions, execute critical operations, and maintain customer trust. Losing that data could result in a loss of revenue, legal issues, and even the failure of the entire enterprise. A comprehensive data backup strategy involves regularly backing up all critical data and storing it in multiple locations, including off-site backups. This ensures that if one location experiences a disaster or data loss event, the enterprise can quickly recover its data from another location. In addition to providing protection against data loss, a robust backup strategy can also help with disaster recovery efforts. By having backups readily available, enterprises can recover from disasters more quickly and

efficiently, minimizing the impact on their operations and customers. A well-designed and well-executed data backup strategy is essential for enterprises of all sizes to ensure business continuity, protect against data loss, enhance the brand image, and maintain customer trust. “

In today’s scenario, there is no way enterprises can afford data loss but should a disaster occur, it can result in panic unless the Business has a backup and DR plan to get systems back online and operations running again as quickly as possible. Else, their misfortune can be of advantage to their competitors who can win over some of the new business that could have headed their way. Moreover a data backup strategy also helps meet compliance regulations for certain types of data.

Damir Jaksic, CIO at KEO International Consultants says, “Data backup is crucial for enterprises because it helps protect valuable information from potential threats such as hardware failures, cyber attacks, corruption, and disasters. By having a reliable backup system in place, businesses can avoid unexpected data loss and be prepared for any unforeseen circumstances. With a proper data backup platform, enterprise can easily retrieve their data from the last known good point in time before the problem occurred. This means that in case of an issue, enterprise can recover their mission-critical data quickly, minimizing any potential downtime and loss of

Vinay Sharma

Group Director, IT, Gulftainer

productivity. Therefore, it is important for businesses to prioritize data backup as a part of their overall strategy to protect their valuable data and ensure the continuity of their operations.”

Challenges of data backup in hybrid and multi-cloud environments

Data backup in hybrid and multi-cloud environments can be complex and challenging, but with proper planning and implementation, enterprises can mitigate these challenges and ensure that their critical data is backed up and secure.

Mustanshir says,” Teams working in hybrid and multi-cloud environments encounter numerous challenges with data backup. Data security is a significant issue since it may be vulnerable to security flaws and unauthorized access in such systems. Data may occasionally be kept in several locations known as cloud environments. This is referred to as data fragmentation. Data fragmentation makes it more difficult to ensure that all data is backed up because it is spread out over multiple locations. For a number of reasons, backing up data in hybrid and multi-cloud setups can be challenging. First, a weak or unstable internet connection might affect how quickly and successfully backups are completed. Secondly, it could be more difficult to recover the data if something goes wrong because the data may be dispersed across several clouds and data centers. Also, it can be

challenging to keep track of costs without a centralized backup plan because different cloud providers have varying prices and backup requirements. To meet these obstacles, it's crucial to have a solid backup plan in place.”

The complexity of the multi-cloud adds to spiraling costs in managing the data aggregation from different sources and managing the data.

Damir says, “Managing a multi-cloud environment is a significant challenge due to its complexity. This complexity results in increased overhead costs, including the cost of provisioning and maintaining the infrastructure, as well as the cost of aggregating data from different sources. Moreover, this challenge is not unique to multicloud environments, as it is also difficult to find or train staff with the necessary level of expertise to manage any cloud environment, given the depth and breadth of knowledge required.

George elaborates on the challenges and what enterprises need to do to address them. “Data backup in hybrid and multicloud environments can present several challenges for enterprises. Enterprises must ensure that their backup strategy covers all the cloud platforms and on-premises systems in use, which can increase complexity. Enterprises must ensure that their network infrastructure can support the bandwidth requirements needed to move large amounts of data between on-premises systems and cloud platforms. To ensure data security, the enterprise must implement proper access controls and encryption to protect data during backup and transit. Enterprises must ensure that their backup solutions are compatible with all the platforms and systems in use to ensure successful backup and recovery. Finally, enterprises must carefully manage their backup costs by optimizing data storage, using data deduplication and compression, and regularly reviewing backup policies to ensure they align with the enterprise's data backup needs.

Managing data backup in multi-cloud environment includes multiple aspects but there are solutions from leading backup solutions vendors that help navigate this complexity.

Vinay says,” Data backup in hybrid and

multi-cloud environments has many benefits but brings several challenges due to the complex nature of these environments like integration, fragmentation, network bandwidth, data security, managing multiple technologies, skill sets and higher cost.”

Best practices for data backup

As the velocity with which data is being produced continues to accelerate, it is important to ensure that only relevant data is captured and stored. Enterprises therefore need to follow a set of best practices.

Mustanshir says, “When creating a data backup plan, it's important to follow best practices. This includes deciding what needs to be backed up and how often, as well as using multiple backup locations to protect against data loss in case of a disaster. Regular backups should be taken without skipping, and tested to ensure they can be restored and have integrity. The backup procedure should be automated and scheduled to prevent overlap, and employees should be fully trained on the backup processes and response plan in case of data loss. By following these steps, data can be kept safe and secure.”

Enterprises should identify their critical data, such as customer data, financial data, and intellectual property that need to be included in the data backup strategy with a critical focus.

Mustanshir Aziz Head of IT at Automech Group

George Akhras CIO at AMSI

George says, “This data must be backed up regularly. Define backup policies for each type of data and ensure that the frequency of backups aligns with the criticality of the data. Regularly review these policies to ensure that they align with the enterprise's needs and business goals. It's also essential to consider changes in regulations and compliance requirements. Have Backup data in multiple locations to ensure redundancy. This ensures that if one backup location fails, the enterprise can recover the data from another location. Regularly test backups to ensure that they are complete and accurate. Finally, data backups should be secured with encryption and access controls to prevent any unauthorized access. Further, automated backup tools can help ensure that backups are performed regularly and as per the backup policy.”

One of the critical aspects of a DR strategy is to be ready for various scenarios as far as data recovery is concerned. Unexpected events such as hardware failure, cyber-attacks, and natural disasters can put your DR plan to test, and coming out on top against such challenges will entail a sound DR plan that is well-tested and validated.

According to Damir, “There are several best practices recommended for performing backups, and the market is full of vendors and solutions to handle them effectively. However, one aspect that is often overlooked is being prepared for various recovery scenarios that may occur. While following the best practices for backups is important, it is equally important to thoroughly test and prepare for different recovery scenarios at the frequency required by your business operations. When a recovery scenario becomes a reality, it can bring with it various problems, so it is essential to be well-prepared. I urge everyone to pay attention to this crucial aspect of data management and testing, as we have all experienced the consequences of inadequate preparation.

For multi-cloud environments, there is a need to look at solutions that can negotiate the diversity of requirements of different platforms in cloud and on-premise and automate the backup process.

Vinay says, “The best practices centric to how critical data is protected, available, and recoverable in the event of a disaster

or data loss. Develop a comprehensive backup strategy that takes into account the unique requirements of hybrid and multicloud environments. This may involve using backup solutions that are designed specifically for multi-cloud environments, using automation to streamline backup processes, and regularly testing and validating backup data to ensure its reliability and accessibility.

Compliance and regulations

Compliance regulations have a significant influence on data management strategies for enterprises. They are put in place to ensure that businesses adhere to legal requirements regarding the collection, storage, use, and sharing of data.

George says, “Compliance regulations require businesses to implement proper data security measures to protect sensitive data. This includes data encryption, access controls, and data backup and recovery. To comply with these regulations, enterprises must implement robust data management strategies that include regular data backups and disaster recovery planning. Data management strategies must consider the retention time and ensure that data is properly stored and backed up during that period. Data management strategies must consider guidelines such as GDPR to ensure that personal data is secure and not shared incorrectly. Data management strategies must consider how compliance reporting will be conducted and ensure that the necessary data is available for reporting. n. Data management strategies must consider data governance policies and ensure that they align with the compliance regulations in place.”

Damir elaborates on the role of the CIO in taking the lead for establishing effective data management strategies.

He says, “As the CIO of our organization, it is imperative to drive progress and dictate strategies for effective data management, while also managing the inherent risks involved. We heavily rely on our multicloud service providers to ensure regulatory compliance, and therefore, selecting the right vendor is paramount. Based on our past experiences and the necessity of a multicloud environment, we strongly recommend avoiding vendor lock-in, to have the freedom to choose applications

and services across multiple cloud infrastructures. Moreover, as we generate vast amounts of data, it is crucial to establish data lifecycles to ensure the removal of useless and redundant data. This strategy is not only essential for efficiency and cost advantages, but also for compliance regulations that govern our industry. Therefore, we prioritize setting policies that ensure the proper management of our data in terms of complexity and cost, while meeting regulatory requirements

Data management strategies today must comply with international and local regulations and also address concerns such as privacy and security.

According to Mustanshir, “Data protection laws are making it harder for businesses to manage their information effectively today than ever before. Organizations need strategies that take into account all the latest compliance standards relating to the collection of sensitive customer information so they can truly safeguard that valuable asset from misuse or unauthorized access by third parties. This means enforcing stringent protocols on what personal details are collected/stored/accessed alongside algorithms/encryption programs etc., ensuring everything is highly secure thus avoiding sizable fines due to any mishap. Compliance standards have forced enterprises to change their approach toward data management strategies. Businesses

Damir Jaksic CIO at KEO International Consultants

must now make privacy and security their top priorities while adhering to legal requirements. The need for stringent measures is essential in protecting valuable information while complying with industry-specific regulations.

Compliance should be a priority for enterprises when developing data management strategies.

Vinay says, “Compliance regulations are shaping data management strategies and need to incorporate data management strategies to comply with relevant regulations to avoid legal and financial consequences. Follow regulatory compliance requirements: Enterprises should follow regulatory compliance requirements for data backup, retention, and protection. This may involve implementing backup policies and procedures that comply with relevant laws and regulations, such as GDPR, HIPAA, or PCI-DSS.”:

Avoiding data clutter

Enterprises are today faced with an increasing velocity and volume of data to manage. For enterprises, managing this means the need to eliminate data clutter and only back up relevant data. This will entail defining various data types that appear critical for business workflow and in line with compliance requirements. In addition storage space is valuable and so well defined policies towards data management will ensure this is optimized.

Mustanshir says, “The importance of having a clean and reliable data backup system can't be stressed enough, especially when important business or personal information is at stake. The solution lies in implementing processes that minimize clutter and guarantee quality maintenance of stored content. A few recommendations include creating a data retention policy that specifies what gets backed up; automating the process to abolish mistakes; frequently validating backups for accuracy; lastly utilizing version control tools. Safeguarding critical business information from loss or theft requires proactive efforts such as developing an effective backup plan. By regularly inspecting backup logs and investigating any problems identified, companies can take corrective action before serious issues arise. Furthermore, using advanced technologies such as data deduplication

tools enables identification of duplicate files which occupy otherwise useful storage space. Finally, periodically reviewing backups helps avoid accumulating unnecessary clutter by deleting outdated files.”

A proactive approach to data management ensures that there is no data clutter in backups and that the data is clean. There are some steps that enterprises can take to ensure that their backup data is of clean high quality and free from clutter.

George says, “Define Data Quality Standards which includes data accuracy, completeness, consistency, and relevancy, and ensure that data backup policies align with these standards. Clean the data before backing it up which involves removing duplicate data, identifying, and correcting errors and inconsistencies, and removing unnecessary data. This ensures that only high-quality data is backed up, reducing the clutter in the backup data. Ensure that the backup aligns with data quality standards. Identify and remove any unnecessary or redundant data to reduce clutter and improve the quality of backup data. Use Data Deduplication as this reduces the amount of backup data, making it easier to manage and improving the quality of the backup data. Implement Backup Validation that confirms that backup data is complete and accurate. Implement Data Archiving that moves old and rarely accessed data from backups to a separate archive storage. This may significantly reduce the size of the backups, making them easier to manage.”

Clean backup data ensures that organizations are ready to get back online in no time in case of any untoward incidents that lead to data loss.

Vinay says, : Ensuring that data backup is clean and of high quality is critical to ensure backup is effective and can be relied upon in the event of data loss or corruption. This can be achieved by implementing data deduplication and compression techniques, performing regular data audits, using backup software with data validation features, implementing data retention policies, performing regular backups, and ensuring data integrity.”

Use start-of-the-art data deduplication technologies and perform regular inspections to ensure that the data you back up is in line with the regular schedule and is reliable.

Damir says, “A few recommendations include creating a data retention policy which specifies what gets backed up; automating the process to abolish mistakes; frequently validating backups for accuracy; lastly utilizing version control tools. Safeguarding critical business information from loss or theft requires proactive efforts such as developing an effective backup plan. By regularly inspecting backup logs and investigating any problems identified, companies can take corrective action before serious issues arise. Furthermore, using advanced technologies such as data deduplication tools enables the identification of duplicate files which occupy otherwise useful storage space. Finally, periodically reviewing backups helps avoid accumulating unnecessary clutter by deleting outdated files.”

Following these strategies, enterprises can ensure that their data is well taken care of and focus on moving ahead in terms of business goals and objectives.