A data management system and method for processing, storing, and viewing the extremely large imagery data that is rapidly produced by a linear-array-based microscope slide scanner is provided. The system receives, processes, and stores imagery data produced by the linear-array-based microscope slide scanner at approximately 3 GB per minute. The data are received as a series of overlapping image stripes and combined into a seamless and contiguous baseline image. The baseline image is logically mapped into a plurality of regions that are individually addressed to facilitate viewing and manipulation of the baseline image. The data management system enables imagery data compression while scanning and capturing new image stripes. This advantageously eliminates the overhead associated with storing uncompressed image stripes. The image compression also creates intermediate level images, thereby organizing the baseline image into a variable level pyramid structure referred to as a virtual slide. The data management system efficiently converts image stripes into a high quality virtual slide that allows rapid panning and zooming by image viewing software in accordance with the individually addressed regions. The virtual slide also allows efficient processing by an algorithm framework. The data management system is costs effective and scaleable, employs standard image file formats and supports the use of virtual slides in desirable applications such as telemedicine, telepathology, microscopy education, and the analysis of high value specimens such as tissue arrays.