Such breaches cost companies an average of $188 per record compromised in 2012, a study by the Ponemon Institute showed. The total cost of business data breaches in 2012 was $54 million.
"The reason you keep data is because you need to access it," the report stated. "The more access there is to data, the bigger the chance its security can be breached. You can take a lot of preventative steps, but you can never become complacent."
The more data a company collects, the harder it is for employees to find the right information they need for certain tasks, Dow Jones reported, showing another reason businesses should cut down on their data storage. Costs for data storage are also increasing. If data storage costs 5 percent of a company's budget this year, it is likely that in 10 years, that cost will grow more than 100 percent, David Rosenthal of Stanford University told the source.
What to Keep - What to Throw Away
In the age of Big Data, companies are likely collecting and storing more data every day. Deciding what data to keep to drive future business decisions and what data is safe to get rid of can be tough for many organizations.
However, the rising costs of storage costs and the increasing risk of all that data being compromised, makes it impractical for a business to keep all of its data, Dow Jones Newswires reported.
Luckily, with the right data breach services, companies will be able to decrease their risk of suffering an expensive event of having corporate information compromised. Companies are also becoming smarter with handling sensitive records, keeping the data safer and learning new ways on how to manage it.
"Several years ago, there was a military analysis that essentially said, 'In cyber war games, the offense always wins,'" Gary Scholten, chief information officer for Principal Financial Group in Des Moines, Iowa, told the Des Moines Register. "The only way we were going to get on equal footing was if we pooled our resources and shared information about the threats we face and the strategies we use to defend them."