Large companies must adapt their business strategies to suit the digital business landscape. Virtual technologies will provide new opportunities for digital transformation.
Virtual Data Room – secure storage for your data
The transition to digital technologies is an inevitable phenomenon, although many market participants with a certain degree of mistrust refer to the active development of information technologies, seeing them as a threat to the traditional way of business. At the same time, numerous examples of successful practices in the implementation of innovative technologies pose a challenge for companies to change business models, optimize the workflow through the introduction of fundamentally new software and hardware solutions. An example of such a solution is using Virtual Data Rooms (VDRs) for providing a secure data repository.
The origins of Data Rooms go back to the M&A area. For the purpose of examining an investment project in a company or a property, the relevant documents are securely stored in the data rooms for the auditing firms involved and their investors. Today VDRs are commonly used in different spheres including due diligence, deals, audits, venture capital, etc.
Data Room is designed to formalize standard procedures for working with documents (workflows) in organizations where such work is a daily practice. An important feature of VDRs is that they provide an opportunity to comprehensively solve numerous management tasks. In addition, their implementation may be more productive. Data Room is more efficient because it is easier to optimize. The costs of introducing these systems are recouped not only by increasing the speed of information exchange and reducing the cost of storing papers, but also by reducing the number of employees working with documents.
Basic functions of Data Room provider
In accordance with the basic principles of organization of electronic document management Data Room provides the following functions:
- Centralized document management. VDR allows you to quickly change the form of documents used in the organization.
- Document lifecycle support. The software allows you to strictly control the lifecycle of documents, taking into account the requirements of the corporate environment, as well as industry standards and legislation.
- Collective work on documents. VDR gives the possibility to organize collective work on the document, and it can be attended by professionals in different offices.
- Ensuring confidentiality. Data Rooms provide the ability to sign documents with an electronic signature and encrypt them.
- Routing of documents. The service enables the automatic transfer of the document to the necessary person.Sending documents for review or approval within the company indicating the approved sequence of route participants and their role in the business process.
- Access control. It allows differentiating the powers of employees of the organization and to control access to documents.
Thanks to the above functionality, the introduction of Digital Data Room allows reducing the cost of time and money for registration, reliable storage and convenient search of documents, determine the technology of internal documents in the enterprise, and very importantly, remotely manage databases.Data about negotiations in VDR exists only within its limits and is not physically stored.
Possibility of introducing standardization into Data Room
With centralized database management, the database administrator can ensure that all the necessary standards governing the presentation of data in the system are adhered to. Standards can be private, corporate, departmental, industrial, and international. Standardization of data presentation is most important from the point of view of data exchange and transfer between systems. Also, naming standards and documenting data are important both in terms of sharing and describing it.