In pandemic-related times, when working from home is increasingly becoming a norm, virtual data rooms offer an ideal solution for enabling employees to work together securely and, in compliance with data protection regulations. So, how does the virtual data room platform works?
Virtual data room as a secure alternative to free cloud storage
Virtual data room is a business solution that allows companies to automate the deal workflow and office work of an organization of any specificity and scale. On the scale of the entire organization or individual departments, you can optimize document management processes: creating, processing, distributing, and storing documents of almost any format and type.
Since data rooms are usually hosted externally, users only need to install an app after their access data has been created, or they can use the data rooms directly using a browser. For the IT managers in a company, this represents an enormous relief, especially since the maintenance effort is reduced with SaaS data rooms.
Digital data room automates many of the processes necessary for proper documentation management, from registration, sorting into categories, execution control, and ending with transfer to the archive. At the same time, automatic actions can be configured depending on the requirements of the organization and the type of document. It significantly improves the degree of control and quality of management, and also allows you to make more informed personnel decisions.
Sharing of confidential documents in the data room
Employees can store and save their files in the encrypted form here in an almost unlimited size and release them to colleagues, partners, or customers. They, in turn, have access to it from anywhere, regardless of whether they are using their laptop at home or their smartphone when they are out. In this way, the secure storage and transfer of confidential business information are guaranteed at all times and from any location.
With additional monitoring functions and strict access restrictions for selected users only, the security level for the applications can be increased as required, which is a huge relief for companies without their own IT department or with only a small one.
End-to-end encryption, which starts on the sender’s end device and extends over the entire transmission path to the recipient, usually ensures security during the transmission and storage of the often confidential information. One of the best practices that protect data rooms against cybercrime and surveillance is the zero-knowledge approach. The term zero-knowledge describes the fact that not even the provider of an encryption solution, a data transfer system, or a cloud storage service can access the key required for decryption and thus gain insight into their customers’ data. With zero-knowledge, the user’s data is automatically encrypted before it is sent, then segmented and sent. The data remains encrypted throughout the transport route and is not converted back into a readable format until it reaches the recipient.
What benefits do companies get?
The efficiency of deal workflow in large organizations with the introduction of the data room increases significantly. Of the main advantages that the data room document management service provides in an enterprise, it is worth noting the following:
- improving the efficiency of document processing;
- automation of routine workflow processes;
- there is no need to organize an archive department, equip special premises and hire staff;
- distribution of access to information with different statuses. Significantly increases the security of data of any type, from the password to enter the program and ending with the crypto protection of the database;
- remote access for full-fledged work with documents.