What is data discovery?
Explore the benefits and challenges of the data discovery process—and how it can help strengthen your data security.
Data discovery defined
Imagine being able to see trends, identify opportunities, and mitigate risks in real time. That's the potential of data discovery, and it's a game-changer for businesses seeking a competitive edge. Data discovery is the process of extracting meaningful insights and patterns from a vast ocean of data. It involves identifying hidden trends, anomalies, and relationships within your data that might not be immediately apparent. Think of it as the treasure hunt for valuable insights buried within your datasets. It's not about collecting more data; it's about making sense of the data you already have and transforming it into knowledge that can guide your business strategy.
Data discovery vs. traditional data analysis
Traditional data analysis involves predefined queries and structured data. Analysts know what they're looking for and use specific queries to extract the desired information. Data discovery, on the other hand, is a more exploratory process. Analysts don't always know what they're looking for initially. Instead, they use data discovery tools to sift through the data, uncovering insights along the way.
In a world where data is abundant but insights are precious, data discovery helps organizations uncover hidden gems of knowledge that can lead to:
- Stronger data security.
- Faster and more accurate decision making.
- Cost savings.
- Improved customer insights.
The benefits of data discovery
-
Informed decision making
Uncover patterns, trends, and outliers within your data so you can make choices based on data-driven evidence rather than intuition alone.
-
Enhanced efficiency
Streamline processes and operations by identifying bottlenecks, inefficiencies, and other areas that need improvement. For example, you can use data discovery to optimize supply chain logistics, reduce production waste, or streamline customer support workflows. These efficiency gains often translate into cost savings that can be reinvested into strategic initiatives.
-
Competitive advantage
Identify emerging market trends, understand customer behavior, and predict future demands.
-
Solid security
Identify and mitigate risks with data discovery tools that help you spot potential risks early on, whether they’re related to market volatility, cybersecurity threats, or regulatory compliance.
-
Increased agility
Monitor market trends in real-time and respond swiftly to shifts in consumer behavior, economic conditions, or competitive landscapes.
-
Innovation
Encourage a culture of experimentation and adaptability, and fuel innovation with insights that inspire new product ideas, service offerings, or business models.
How data discovery sheds light on unstructured data
Not all data neatly fits into structured databases or spreadsheets. Unstructured data is data that doesn't conform to a specific, predefined data model or schema. Unlike structured data, which resides neatly in rows and columns, unstructured data can include text documents, emails, social media posts, images, and videos.
Businesses generate vast amounts of unstructured data every day that could contain valuable information, such as customer sentiments, emerging trends, and market perceptions. Unfortunately, it can be a challenge to glean actionable insights from these huge datasets.
Finding the hidden value in unstructured data. Data discovery tools help organizations make use of their unstructured data. Through natural language processing, image and video analysis, and document parsing, these tools can extract actionable insights from previously unmined sources.
Then, by combining these unstructured data points with structured ones, discovery tools can provide a more holistic view of your business environment—and you can make decisions based on both numbers and contextual insights.
Imagine a retail business that receives a lot of customer reviews and comments on social media. These online interactions could contain valuable feedback about product quality, customer service, and emerging trends. Data discovery tools can analyze this unstructured data, extract sentiment patterns, and provide actionable insights for improving products and services.
The data discovery process
So how does data discovery actually do all of this? How does it help uncover actionable insights from both structured and unstructured datasets? It’s a six-step process:
- Step 1. Define your objectives.
Before embarking on any data discovery journey, it's crucial to define your objectives. What questions do you want to answer? What insights are you seeking? Having clear objectives will guide your data exploration and analysis. - Step 2. Combine your data sources.
Data discovery begins with data collection. Identify and gather relevant datasets—both structured and unstructured, as well as external data from third-party sources. - Step 3. Clean and prepare your data.
Clean, transform, and prepare your data for analysis. This step involves handling missing values, dealing with outliers, and normalizing data. Data preprocessing ensures that your data is ready for more in-depth analysis. - Step 4. Visualize the data.
Simplify complex data by creating visual representations that are easier to understand and that facilitate comparison of multiple data points. Data visualization can help show trends, outliers, and areas of interest—and communicate said findings more effectively. - Step 5. Analyze.
Formulate hypotheses and conduct statistical or analytical tests to explore relationships and patterns within your data. Data discovery tools can assist in this phase by uncovering hidden correlations or trends.
Interpret the results of your analysis in the context of your objectives. What do the findings mean for your business? Can you use these insights to optimize processes, launch new products, or adjust marketing strategies? - Step 6. Repeat the process.
Data discovery isn’t a one-time event—it’s an iterative process. As your business evolves and new data becomes available, revisit your objectives and continue exploring. The data discovery journey never truly ends.
Data discovery is more than just a series of steps; it's a mindset that values curiosity, exploration, and a commitment to continuous improvement. Embrace the spirit of discovery, and you'll find that your data becomes a strategic asset.
Why is data governance important for data discovery?
Data governance is the framework of policies, processes, and practices that ensure high data quality, uniform data management, and information security within an organization. It's the structure that governs how data is collected, stored, and used—and who has access to what information.
Governance is the unsung hero behind successful data discovery. It improves the accuracy of an organization’s data so that discovery efforts have quality information to explore. This helps streamline the discovery process and instills trust in the insights derived from it. It also helps ensure that any data discovery adheres to regulatory requirements and that data isn’t being improperly used.
Using data discovery as a data security tool
Data is a valuable asset, but it's also a potential liability. Businesses today are entrusted with vast amounts of it, including customer information, financial records, and proprietary intellectual property—all of which are potential targets for cybercriminals.
With an increasing amount of data breaches and cyber threats, securing sensitive information is paramount. Breaches can have devastating consequences such as financial losses, damaged reputations, and legal repercussions.
Data discovery tools, though traditionally associated with uncovering insights, can also serve as formidable allies in the battle against breaches. Through sensitive data discovery, organizations can more proactively protect their data estate by pinpointing vulnerable data and security gaps. These tools help to:
- Identify vulnerabilities.
As they scan and analyze data repositories, discovery tools can also identify potential security vulnerabilities by shining a light on exposed or improperly stored data. - Monitor in real time.
Many data discovery solutions offer real-time monitoring capabilities. They can detect unusual data access patterns or unauthorized attempts to access sensitive information and trigger alerts for immediate response. - Classify data.
Effective data security begins with understanding what data you possess and its sensitivity level. Data discovery tools can classify data based on predefined criteria, ensuring that sensitive information is adequately protected. - Assist with compliance.
For businesses subject to data privacy regulations such as the European Union’s General Data Protection Regulation, data discovery tools can aid in compliance by identifying areas where protection measures fall short. - Detect insider threats.
Breaches aren’t always the result of external threats. Data discovery tools can help detect unsafe or suspicious activities by employees, contractors, or other insiders.
A holistic approach to data security
Data security and data discovery are interconnected. After all, cybersecurity isn't just about building stronger walls—it's about gaining visibility into your digital ecosystem. Once you understand where the vulnerabilities lie, you can proactively protect your assets.
Navigate data discovery challenges
Data quality issues
The challenge: Inaccurate, incomplete, or inconsistent data can lead to unreliable insights.
The solution: Prioritize data cleansing and preprocessing, implement data quality checks, and establish data governance practices before beginning the discovery process.
Data overload
The challenge: The scale and complexity of data ecosystems can be overwhelming. It's easy to get lost in a sea of information and miss critical insights.
The solution: Define clear objectives and focus on specific questions or areas of interest. Then, use data discovery tools to filter and analyze only relevant data.
Multiple data sources
The challenge: Data is often scattered across various systems and formats, making integration a challenge, but siloed data can limit the scope of data discovery.
The solution: Invest in data integration solutions that connect disparate data sources, such as a centralized data repository or data lake.
Skill and resource gaps
The challenge: Data discovery often requires specialized skills and resources, including data analysts and data scientists. However, not all organizations have access to people with these skills.
The solution: Invest in data discovery tools with user-friendly interfaces and robust visualization capabilities that require minimal technical expertise.
Inadequate tools and technology
The challenge: Using outdated or insufficient data discovery tools can limit the depth of analysis and hinder the effectiveness of discovery efforts.
The solution: Invest in modern data discovery platforms that offer advanced analytics, visualization capabilities, and scalability.
Cultural barriers
The challenge: Some organizations may encounter resistance to more data-driven decision making.
The solution: Foster a data-driven culture by providing training, showcasing success stories, and involving employees in the data discovery process. Highlight how data-driven decisions benefit employees, their teams, and the organization.
Lack of governance
The challenge: Without a structured data governance framework, data discovery efforts may lack direction and consistency—and increase the risk of non-compliance.
The solution: Before beginning the discovery process, prioritize the establishment of clear data governance policies and assign roles and responsibilities for data management.
Preparation is key
Remember, there are several important steps in the process before you can analyze the data you find. Help ensure the effectiveness of your data discovery initiatives and maximize the value you extract from your data by:
- Choosing a data discovery tool that’s user friendly and boasts advanced analytics and security capabilities.
- Establishing a data governance framework.
- Cleaning, validating, and preparing your data to ensure accurate results.
- Consolidating disparate data sources.
- Providing training and resources on the processes and tools for every employee.
- Defining clear objectives.
Choose the right data discovery tools
To glean impactful insights from a vast amount of data, selecting the right data discovery tools is critical. It’s important to consider your organization's specific needs, objectives, and industry requirements. Also, consider factors such as the sizes and locations of your various datasets, the complexity of your intended analyses, and the skill levels of your users.
Remember that data discovery is an ongoing journey, and your chosen tools should be scalable and adaptable to changing data landscapes and business goals. To make an informed decision, involve key stakeholders, conduct thorough evaluations, and consider seeking recommendations from trusted sources or industry peers.
Key capabilities
- Data integration and connectivity
Your chosen data discovery tools should connect all your data, regardless of location, so you can find comprehensive insights. - Data visualization
A visual front-end transforms complex data into charts, graphs, and dashboards, helping users more quickly identify trends and outliers, patterns, and relationships within the data. - Advanced analytics
Advanced analytics features, such as predictive modeling, machine learning, and statistical analysis, enable you to uncover deeper insights and forecast future trends. - Data cleansing and preprocessing
Clean and accurate data is essential for meaningful analysis. Data discovery tools should offer capabilities to prepare your data so you can produce reliable analyses. - Collaboration and sharing
These features allow teams to share insights and reports and collaborate on data analysis projects, leading to more impactful data discovery initiatives and fostering a culture of data-driven decision. - Scalability
As your organization grows, so does your data. Scalable tools can handle increasingly large and complex datasets so that your discovery capabilities grow with your business. - Ease of use
Intuitive interfaces and user-friendly features allow users with varying levels of technical expertise to get the most out of data discovery tools. - Security features
Data discovery tools should offer robust security features, including data access controls, encryption, and compliance support to protect sensitive information and assist with regulatory compliance.
Discover, classify, and protect your data wherever it lives with Microsoft Purview Information Protection. With the robust capabilities of this solution and the rest of the Microsoft 365 E5 Compliance suite, you can protect and govern sensitive data, manage risks, and respond to regulatory requirements.
Learn more about Microsoft Security
Information Protection and Governance
Help protect sensitive data across devices, clouds, and apps with built-in, intelligent solutions.
Microsoft Purview solutions
Go beyond governance. Get visibility into—and securely manage—your data across platforms.
Microsoft Purview Data Loss Prevention
Help prevent unauthorized sharing, use, or transfer of sensitive information.
Microsoft Purview Data Lifecycle Management
Help meet your legal, business, privacy, and regulatory obligations with intelligent data governance.
Microsoft Purview Information Protection
Safeguard data wherever it lives with data discovery and classification capabilities.
Frequently asked questions
-
Data discovery is vital for businesses because it empowers them to make informed decisions. In today's data-driven world, organizations generate and collect vast amounts of data. Data discovery helps businesses extract valuable insights from this data, uncover hidden patterns and trends, identify opportunities, and mitigate risks. By harnessing the power of data discovery, businesses can enhance efficiency, improve customer experiences, gain a competitive edge, and, ultimately, drive success.
-
A data discovery tool is software or a platform that assists organizations in the process of exploring and analyzing their data to uncover valuable insights. They often provide features like data visualization, cleansing, integration, exploration, and predictive analytics. Data discovery tools enable users to interact with data in an intuitive and user-friendly manner, making it easier to extract meaningful information from complex datasets.
-
Sensitive data discovery is a specialized aspect of data discovery focused on identifying and protecting sensitive or confidential information within an organization's data repositories. This process involves scanning data sources to locate sensitive data, such as personal identifiable information (PII), financial records, or intellectual property. Sensitive data discovery is crucial for data security and compliance, ensuring that sensitive information is appropriately handled and protected.
-
Data exploration is the preliminary phase in data discovery. While data discovery is more focused on extracting actionable insights, data exploration is the initial analysis of data to understand its structure, relationships, and potential insights. Data exploration often includes creating preliminary visualizations and identifying outliers or patterns. It serves as a foundational step in the data discovery process.
-
Data discovery plays a critical role in enhancing data security by identifying vulnerabilities and threats. Some data discovery use cases for data security include:
- Vulnerability scanning: Data discovery tools can scan data repositories to identify potential security vulnerabilities, ensuring that sensitive data remains protected.
- Real-time monitoring: Real-time monitoring capabilities allow organizations to detect and respond swiftly to suspicious data access patterns, helping mitigate security threats.
- Data classification: Data discovery can help classify data based on sensitivity levels, making it easier to implement appropriate security measures.
- Insider risk detection: Data discovery assists in proactively identifying and mitigating insider risk by monitoring data access and usage patterns.
- Compliance assurance: Data discovery efforts ensure that data practices align with industry regulations and standards, minimizing compliance risks.
Follow Microsoft 365