Businesses are risking their security and success through data lying around on legacy, fragmented systems, warns John Tallon from Storm Technology.
In today’s business landscape, data is often called the new oil: a valuable resource that powers growth, innovation, and competitive advantage. Yet, for many organisations, this asset is trapped. It is locked away in outdated systems, scattered across departments, and managed through manual processes. This is not just an operational headache; it is a significant risk that could be holding your business back.
The 2025 Modern Workplace Report commissioned by Storm Technology reveals a complex picture of how companies manage their data.
“In an era of sophisticated cyber threats, having a fifth of organisations unsure about their data security is alarming”
While many leaders feel confident, a closer look at the underlying infrastructure and overall strategy shows that legacy systems and fragmented data are creating vulnerabilities. In turn, businesses are risking their security and success.
The drag of legacy systems
Many businesses continue to rely on the familiar, with 79% of organisations still dependent on legacy systems for day-to-day operations. While once reliable, these platforms were not built for the demands of the modern data-driven world. They often operate in silos, making it difficult to get a unified view of the business and stifling innovation.
This reliance on outdated technology creates a significant bottleneck. For instance, a remarkable 85% of companies still depend on Excel spreadsheets and other manual processes to collate and analyse data. This approach is not only inefficient but also prone to human error, which can lead to flawed insights and poor decision-making. Imagine trying to steer a modern ship with an old, hand-drawn map; you might get there eventually, but the journey is slow, risky, and you are missing out on real-time information that could help you avoid obstacles and find faster routes.
A fragmented view creates blind spots
This problem is compounded by data fragmentation. Our findings show that 77% of organisations have their data sitting in several disconnected systems. When information from sales, marketing, finance, and operations is stored separately, it is nearly impossible to see the big picture. This lack of a single source of truth can lead to missed opportunities, operational inefficiencies, and disjointed customer experiences.
While 82% of leaders believe they have complete visibility of all their data, the high percentage of fragmented systems suggests this confidence may be misplaced. The remaining 18% who acknowledge they do not have full visibility are likely closer to the reality most businesses face. Data blind spots can obscure critical trends, hide operational problems, and prevent you from truly understanding your customers’ needs.
Navigating the maze of regulation and security
As data becomes more valuable, it also becomes a greater liability. Governments and regulatory bodies are implementing stricter rules around how data is managed. Our report highlights that 69% of organisations are worried about increasing regulatory requirements. Failing to comply with rules such as GDPR or other industry-specific mandates can result in hefty fines and significant reputational damage.
Security is another pressing issue. Although 79% of businesses express confidence in the security of the data they manage, a notable 21% are not confident. In an era of sophisticated cyber threats, having a fifth of organisations unsure about their data security is alarming. Fragmented, legacy systems often lack advanced security features, making them easier targets for attacks. Storing sensitive information across multiple, poorly integrated systems also expands the attack surface, increasing the risk of a data breach or leak.
The cloud: A path forward, paved with caution
The shift to cloud is a key part of the data modernisation journey. It offers scalability and flexibility with powerful tools for data management and analytics. Our report shows that, on average, organisations are storing 35% of their data in the cloud. This adoption is even higher among mid-sized companies (250-500 employees), where the figure rises to 42%.
However, the move to the cloud is not without its challenges. A significant 79% of business leaders say their organisation has concerns about migrating data to the cloud, with security and complexity often cited as primary barriers. These concerns are valid, but they can be addressed with a well-planned strategy, including modern data platforms which are designed to automate and secure the migration process.
Unlocking value through automation and modernisation
Your data holds immense potential. It can help you optimise operations, personalise customer experiences and uncover new revenue streams. But to unlock this value, you need to free it from the constraints of outdated systems and manual processes.
By embracing data modernisation, you can create a unified, secure, and accessible data foundation. This will underpin innovation, with automation and AI enabling faster and more in-depth data analysis to support business growth. It will also enhance security and ensure compliance, while improving agility and scalability where needed.
The potential of data is clear, but so too are the challenges: while many businesses are making progress, reliance on legacy systems and the presence of fragmented datasets are creating unnecessary risks and hindering opportunities. It is time to move beyond the limitations of the past and build a data strategy that supports a more innovative, secure, and compliant future.
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