The value of intangible assets on corporate balance sheets is on an upward trajectory. Intellectual property experts, Ocean Tomo LLC, report a dramatic rise, 17 percent to 81 percent, from 1975 to 2009. In our increasingly data-driven business environment, company information is emerging as a valuable intangible asset. Gartner predicts that by 2016, 30 percent of businesses will directly monetise information assets.
Most executives believe that their balance sheets do not capture the true value of this asset. Moreover, information is absent as an asset class and not recognized as a specific intangible asset.
However this is on the brink of change. The emerging discipline of Infonomics applies economic and asset management principles and practices to the valuation and handling of information assets. Now information can be valued and administered like any traditional asset for significant strategic, operational and financial benefits.
As with any asset of significant value, competitive advantage is only maximized if the asset is managed to maintain value and, at the same time, leveraged to increase value. Information governance does just that. It provides a fundamental outline to manage, control and improve data.
An information governance platform assists in the ongoing valuation of information assets and automates the creation of supporting documentation to the corporate accounts.
As the volume of business data continues to escalate, so too will the challenges to fully extract value. Increased IT costs and security risks are inevitable. Improving information economics and justifiable disposition of superfluous content will be an imperative for most organisations.