Master Data Management (MDM) is the technology, tools and processes that ensure master data is coordinated across the enterprise. MDM provides a unified master data service that provides accurate, consistent and complete master data across the enterprise and to business partners. There are a couple things worth noting in this definition:
- MDM is not just a technological problem. In many cases, fundamental changes to business process will be required to maintain clean master data and some of the most difficult MDM issues are more political than technical.
- MDM includes both creating and maintaining master data. Investing a lot of time, money and effort in creating a clean, consistent set of master data is a wasted effort unless the solution includes tools and processes to keep the master data clean and consistent as it gets updated and expands over time.
- Depending on the technology used, MDM may cover a single domain (customers, products, locations or other) or multiple domains. The benefits of multi-domain MDM include a consistent data stewardship experience, a minimized technology footprint, the ability to share reference data across domains, a lower total cost of ownership and a higher return on investment.
The 6 Disciplines of a Strong MDM Program
Given that MDM is not just a technological problem, meaning you can’t just install a piece of technology and have everything sorted out, what does a strong MDM program entail? Before you get started with a master data management program, your MDM strategy should be built around these 6 disciplines:
- Governance: Directives that manage the organizational bodies, policies, principles and qualities to promote access to accurate and certified master data. Essentially, this is the process through which a cross-functional team defines the various aspects of the MDM program.
- Measurement: How are you doing based on your stated goals? Measurement should look at data quality and continuous improvement.
- Organization: Getting the right people in place throughout the MDM program, including master data owners, data stewards and those participating in governance.
- Policy: The requirements, policies and standards to which the MDM program should adhere.
- Process: Defined processes across the data lifecycle used to manage master data.
- Technology: The master data hub and any enabling technology.
Getting Started With Your MDM Program
Maximo manufacturing provided us maximo events, ibm maximo monitor and ibm maximo mobile , Once you secure buy-in for your MDM program, it’s time to get started. While MDM is most effective when applied to all the master data in an organization, in many cases the risk and expense of an enterprise-wide effort are difficult to justify. If you do start small, you should include an analysis of all the master data that you might eventually want to include in your program so that you do not make design decisions or tool choices that will force you to start over when you try to incorporate a new data source. For example, if you’re initial customer master implementation only includes the 10,000 customers your direct sales force deals with, you don’t want to make design decisions that will preclude adding your 10,000,000 web customers later.