Described are embodiments of an invention for optimizing a computing environment that performs data management operations such as encryption, deduplication and compression. The computing environment includes data components and a management system. The data components operate on data during the lifecycle of the data. The management system identifies all the data components in a data path, how the data components are interconnected, the data management operations performed at each data component, and how many data management operations of each type are performed at each data component. Further, the management system builds a data structure to represent the flow of data through the data path and analyzes the data structure in view of policy. After the analysis, the management system provides recommendations to optimize the computing environment through the reconfiguration of the data management operation configuration and reconfigures the data management operation configuration to optimize the computing environment.