Data silos are a common mismatch between businesses, with factors such as duplicate records, outdated data and human errors restricting the smooth functioning of the company. Cloud integration is a technology that brings together different software and applications in the cloud environment and unifies business processes. The purpose of the cloud is to enable different applications to run on a single unified IT infrastructure. Many businesses are now moving to cloud integration as increased visibility into data enables businesses to solve problems caused by data silos. Continue reading the blog to discover how cloud integration prevents data silos.
What are Data Silos?
Data silos refer to situations where there is limited data sharing between different departments or systems within a company. The main reasons for the formation of data silos include inconsistent data formats, use of different database systems, communication deficiencies and regional limitations.
Each department in a company works with different data stored in separate locations, called silos. When data silos are not accessible to different departments within the company, disconnection occurs between departments. In this case, the disconnection between data negatively affects the efficiency, transparency, trust and business processes of businesses.
Why Do Data Silos Occur?
Data silos emerge organically over time and reflect organizational structures. Each department creates its own data silos as it collects and stores its data for its own purposes. The main reasons why data silos occur in businesses are as follows:
- Organizational Structure
Before cloud computing and big data were effectively established in the business world, creating and managing data across different departments was generally an accepted practice and did not cause major difficulties. Each department was working according to its own set goals, processes and standards. There was no data sharing with other departments, resulting in data being limited within one’s own department. This way of creating and storing data has led to silos emerging across the business.
- Company Culture
In companies, each department is accustomed to operating in its own internal order. Each department has its own processes, challenges and language. In such a working environment, departments naturally perceive themselves as a business unit that is different and independent from other teams. This culture of separation is reflected in the sharing of data. Because company-wide data sharing has not yet been fully adopted, departments are reluctant to consolidate their data. This leads to data silos.
- Technology
Different departments use different technology and tools to run their operations. These systems usually process and store data in different formats and do not allow information sharing. This leads to the formation of technology-based data silos.
How Can You Eliminate Data Silos?
Data silos occur when you have different databases isolated from each other. Many businesses think they can eliminate this situation by importing and exporting their databases. However, the real problem here arises from the fact that the data is constantly changing. Phone numbers, email addresses, etc. Many data are constantly changing. Potential customers can turn into customers and even suppliers over time. Due to the dynamic nature of data, no matter how much you import or export databases, you can never ensure that the information is completely up to date. In this case, you may want to consider cloud integration, a powerful technology to eliminate data silos.
How Does Cloud Integration Remove Data Silos?
Cloud integration offers the ability to store and manage data in a central repository. In this way, businesses have the opportunity to remove data silos and ensure a seamless data flow between different systems. This technology facilitates information sharing between different departments and ensures that everyone has access to the same data. It also helps companies access real-time data by organizing data effectively and accurately.
What are the Benefits of Cloud Integration?
- Cloud integration ensures data integrity by increasing data compatibility between different systems.
- Cloud integration eliminates barriers, i.e. silos, for businesses to operate efficiently and ensure a smooth flow of data.
- Thanks to data integration, information becomes instantly accessible.
- Cloud-based integration reduces hardware and infrastructure costs. Scalable cloud services enable businesses to use resources according to their needs, which results in cost savings.
- Cloud integration supports flexible working models such as remote working by providing access to data from anywhere and from any device.
- Cloud integration allows businesses to flexibly scale as needed. As the business grows or changes, integration solutions can easily adapt.
Moving to Cloud Integration
The first thing you should consider before deciding on cloud integration is the unique needs of your business. Identifying your business needs helps you choose the best solution for your company among different business intelligence solutions.
MIP is an iPaaS designed to facilitate business processes, automate workflows and optimize data integration. It allows any business to easily create and manage integrations that fit their unique business needs.