Since every consumer and business process is digitized, the need to secure and share sensitive information is growing. For this purpose, Data Room was organized. In this article more about it.
Virtual Data Room – an alternative business solution
In the information society, a fundamental feature is the use of information technology, which is a core element in socio-economic development, improving management efficiency in virtually all areas of human activity and stimulating the development of e-commerce.
One of the features of the process of informatization of society is the information relations that are created in the process of formation of the information sphere and the implementation of related activities in different spheres to create information resources.
The main function of any institution is to make management decisions. The initial data for decision-making, the necessary information, and the decisions themselves are presented in the form of official documents. The organization of work with official documents is the creation of conditions that ensure the storage of the necessary documentary information, its rapid search, the efficiency of movement and execution, as well as providing conditions for all types of work with documents from compilation or receipt to destruction or transfer to the archive. It is a single technological cycle and is an important organizational factor in management. To make this process easier, the Digital Data Room is used.
Virtual Data Room (VDR) provides secure data exchange and storage in a private corporate cloud, or within the perimeter of the organization.
How does it function?
The organization of document flow of heterogeneous flows in a common environment allows you to reflect the links between technical, administrative, regulatory, financial, and other documents in VDR. Each of the documents moves in its flow, is developed, and routed by different users. The common environment only reflects the links and allows obtaining information not only about the technical data of the product but also about marketing, financial, administrative documents about it.
The process of gathering valuable information, whether through specialized firms or external companies that specialize in this, is schematic and can be represented as follows:
- planning – determining the objectives of intelligence, methods of obtaining information, and the effectiveness of control of persons involved in this collection;
- collection – the process of obtaining information and transmitting them for further processing;
- processing – is the process of converting information into ready-made intelligence data;
- transmission – the distribution of intelligence between recipients.
Designed business processes in a Data Room contain a sequence of execution tasks and information transmitted between participants, instructions on the order of operations with financial and material resources. As an example, we can cite the following business processes in the VDR document management system:
- registration and processing of incoming and outgoing documents;
- support for internal document management;
- formation and execution of orders;
- full cycle of coordination of documents, work with agreements.
Data Room – a good choice among VDRs
data room virtuale as it’s called in Italy is an online cloud service that allows you to manage and share information and documents related to due diligence operations and more in total security. It is an ideal solution for acquisitions, stock exchange listings, bond issuance, management of NPLs (Non-Performing Loans), capital increases, and investor research.
The VDR offers many advantages, combining the most stringent data protection requirements with great ease of use for users. The managers of one or more companies can thus use the service via the Web, using their devices (tablet, PC, and smartphone) and simultaneously accessing the same documents. Everyone sees only the digital documentation reserved for him, personalized and available 24 hours a day.