What aspect of data governance can be improved by using Azure Policy?

Using Azure Policy to improve compliance with regulations is a vital aspect of data governance. Azure Policy allows organizations to create, assign, and manage policies that enforce specific rules and effects on resources within Azure. This ensures that resources are compliant with regulatory requirements and internal governance standards, which is essential for maintaining security and protecting sensitive data.

For example, through Azure Policy, an organization can enforce policies that restrict resource deployment in certain compliance-related configurations—like ensuring data is stored in specific regions or that it adheres to data retention policies. These capabilities help organizations demonstrate compliance during audits and reduce the risk of regulatory penalties by ensuring that all resources remain compliant with mandated regulations.

Other choices, while relevant to various organizational goals, do not directly align with the primary purpose of Azure Policy in the context of data governance. Enhancements in user experience, cost reduction analysis, and software performance optimization are important considerations but are not the core functions of Azure Policy in the realm of data governance.