What are the benefits of managed file transfer?

Data security. High-profile data breaches and failed transfers can drastically impact a company’s bottom line and reputation. MFT offers a preemptive security strategy with real-time monitoring, and validation security policies and controls to protect data in transit or at rest.

Data growth. Data is everywhere, and companies face larger and more varied files than in the past. The number of users sharing files has grown as have the number of end-points and devices. And as files get larger, the time to move them over global distances becomes longer. MFT brings reliable, automated governance to the movement of files inside and outside the business and can accelerate big data movements around the globe.

Regulatory compliance. Legislative and industry requirements such as the Payment Card Industry Data Security Standards (PCI DSS), the Health Insurance Portability and Accountability Act (HIPPA), Basel II, Sarbanes-Oxley Act (SOX) and others — typically have stringent data security standards. Using a properly-configured MFT system to encrypt, transmit, monitor and store sensitive data empowers organizations to meet security mandates.

Technology megatrends. Moving files has become more complex with the adoption of transformational technologies. The growth of big data, cloud applications, artificial intelligence, data analytics and the Internet of Things (IoT) place a premium on the speed and bulk of file transfers. MFT offers advanced capabilities and support for multiple platforms, mobile devices, applications and other existing IT infrastructure.

Visibility. Companies need to anticipate risk factors to mitigate damages. Operational visibility over file movements leads to proactive issue resolution, like failed transfers and improved compliance with SLA commitments.

Secure File Transfer vs Managed File Transfer software comparison

MFT is a platform. This may make it seem more advanced than other protocols, and arguably it is. It offers administration capabilities coupled with automation and popular security protocols like HTTPS, SFTP, and FTPS. Often, the interface of MFT is designed for transparency and visibility. Generally, it’s a more secure transfer protocol than most others.

MFT beats secure file transfers in complexity and nuance and crushes the competition when it comes to security. If we had to find some drawbacks to implementing a MFT strategy, it’s complexity may mean a learning curve is required for some users. Also, managed file transfer implies management is required. The introduction of visibility and transparency of the process offers no benefit if the processes aren’t being monitored.

FTP (File Transfer Protocol) and SFT (Secure File Transfer) are both network protocols for “put” and “get” functions. With regards to billing data, data recovery files and other sensitive information that enterprise businesses need to hold and share, SFT offers encryption, whereas FTP does not. SFT was designed for the purposes of securely transmitting data.

To that point, SFT uses Secure Shell or SSH network protocol to transfer data across a channel. Data is protected as long as it’s in moving across the channel. Once it hits a secured server, it’s no longer protected. For additional encryption, senders would need to ensure encryption occurs in advance of sending.

The main benefit of Secure File Transfer is it is enhanced with encryption during the sending process, whereas regular FTP does not have such protection. It’s still second to an MFT platform, but SFT could be a less expensive alternative, depending on how much impact data transfer has on your business.