I use zips of the data directory to make sure I always have a recent copy of my TM1 databases as backups.
Its just a really quick and convenient way if you want to be extra careful.
IT departments should be making backups of the entire hard disks but there's no harm in having backup copies in zips.
I have used Winzip and Winrar but yio really need to pay to get the full license.
I have been using Alzip recently which is free and does the job, plus the funny little characters are amusing.
http://www.altools.net/