Overview of Managed File Transfer (MFT)

Managed File Transfer (MFT) is a secure, reliable technology that enables businesses to transfer files of any size or format between systems, employees, customers, and partners. 

Unlike traditional file transfer methods, MFT offers enhanced security features, automation, tracking, and auditing, all managed from a centralized platform. It is commonly used by organizations handling sensitive or large data volumes, as it ensures compliance with data security standards and regulations.

Key Features of MFT

1. Secure Transfer Protocols

   • MFT supports secure protocols such as SFTP (Secure File Transfer Protocol), FTPS (FTP Secure), AS2, HTTPS, and even newer protocols like OFTP2, to protect data in transit.

2. Automation and Scheduling

   • MFT solutions can automate file transfer processes, such as sending or receiving files at specific times or intervals, reducing manual intervention.

3. End-to-End Encryption

   • Files are encrypted both in transit and at rest, ensuring data remains protected against unauthorized access.

4. Compliance Support

   • MFT solutions often come with built-in compliance tools to support data regulations such as GDPR, HIPAA, PCI DSS, and SOX.

5. Monitoring and Alerts

   • Real-time monitoring, alerts, and tracking capabilities help users detect errors or issues with file transfers instantly.

6. Centralized Management

   • MFT provides a single interface for managing, monitoring, and auditing all file transfer activities, simplifying administration and improving oversight.

Benefits of MFT

1. Enhanced Security

   • MFT ensures data confidentiality and integrity through encryption, access controls, and secure protocols, minimizing the risk of data breaches.

2. Reliability and Speed

   • MFT is designed to handle large files and high volumes of data efficiently and reliably, with error-checking mechanisms to prevent incomplete transfers.

3. Scalability

   • MFT solutions can grow with an organization’s data transfer needs, making it easy to manage increasing volumes or sizes of data transfers.

4. Reduced Operational Costs

   • By automating manual processes and centralizing control, MFT can reduce labor costs and minimize errors, thus lowering the total cost of ownership.

5. Improved Compliance and Auditability

   • With logging and auditing capabilities, MFT provides transparency and traceability for each transfer, essential for regulatory compliance.

How MFT Works

1. File Preparation: MFT encrypts files and prepares them for secure transfer, often validating them against compliance rules.
2. File Transfer: Using secure protocols, MFT transmits files to the destination system or network.
3. Tracking and Monitoring: MFT logs and monitors each transaction, ensuring that files are transferred without errors.
4. Delivery and Receipt Confirmation: The solution provides a receipt confirmation once files reach their destination, offering full visibility into transfer statuses.
5. Reporting and Auditing: MFT records transaction details, offering insights and proof of compliance for auditing purposes.

Common Use Cases

1. Banking and Finance: Transfer of sensitive financial data such as account information, transaction details, and financial statements.
2. Healthcare: Transfer of patient records and other sensitive medical information in compliance with HIPAA regulations.
3. Retail and Supply Chain: Sharing inventory, order, and shipment data across partners and vendors.
4. Government: Secure data exchange between departments, agencies, and contractors while maintaining compliance with strict regulations.

Leading MFT Solutions

• IBM Sterling File Gateway: Known for its robust security and scalability.
• GoAnywhere MFT: Offers cloud, on-premises, and hybrid deployments with extensive automation.
• Globalscape EFT: Designed for enterprise-grade security and compliance.
• Cleo Integration Cloud: A B2B integration platform that includes MFT capabilities for secure, reliable data exchange.

MFT vs. Traditional File Transfer Methods

Feature	MFT	Traditional File Transfer (FTP, SFTP)
Security	High (encryption, compliance)	Lower security in comparison
Automation	Automated, schedulable tasks	Often manual or requires scripting
Scalability	Highly scalable	Limited scalability
Visibility	Real-time tracking and alerts	Minimal visibility
Compliance	Built-in compliance tools	May require additional configuration

Summary

MFT solutions enable businesses to securely, reliably, and efficiently manage file transfers across internal and external networks, integrating them with other enterprise applications. By using MFT, organizations ensure their data exchanges are compliant, traceable, and optimized for performance, making it ideal for industries with stringent data security requirements.