Master data management (MDM) is a crucial tool that offers numerous benefits to businesses. Therefore, it requires a thorough and thoughtful implementation. Here at Synopps.com, we share five lesser-known tips that can help you navigate the journey towards optimal master data governance.
Some Remarks Before We Start
As MDM is a relatively new business area for many companies, some may view it as purely a technical solution. However, the IT component is not as crucial as the business decisions related to staff, goal setting, and leadership involvement. It’s important to recognize that MDM is a business process that should be integrated into a company’s overall strategy, much like a wheel in a car, not just a sticker on the window.
Fewer Data Formats Across Your Enterprise
Mistakes and inconsistencies often arise due to the use of multiple data formats within an organization. This diversity is a result of the evolution of software. Companies would acquire enterprise resource planning (ERP) systems, then add on additional products for different functions, leading to a variety of data formats. As data volumes grew exponentially with digital technologies, the need for fewer formats became apparent. Streamlining data formats can greatly benefit data cleansing and routine operations like capture and storage.
Involve And Educate Employees
Most employees interact with master data in some capacity, whether entering customer information into a CRM system or writing office addresses on envelopes. However, many employees may not fully understand the significance of their data within the organization. It’s crucial to involve and educate employees on master data management, as they may offer valuable insights and ideas. In the digital age, many staff members are now handling various types of records, highlighting the importance of employee involvement.
Always Look For New Information Solutions On Market
MDM is constantly evolving with new methods and software being introduced by IT companies and consultancies. What may be cutting-edge today could become outdated in a few years. It’s essential to stay updated on the latest information solutions in the market and be willing to explore new tools and approaches. While maintaining long-term relationships with service providers is convenient, it’s important to remain competitive by embracing innovative MDM strategies.
MDM More Process Than Result
Master data management is not a static process but rather a continuous journey that requires monitoring and periodic revision. It’s essential to establish performance metrics and regularly review the MDM strategy and tactics. While MDM may not be a daily priority like financial flows, it should be treated as a critical business process that requires attention and engagement.
Establish Data Governance Policy
Data governance policy is crucial for regulating how information is processed within a company. It reflects the company’s values, philosophy, and long-term vision. While policies may not always be followed or well-designed, having a solid framework in place is better than chaos that could lead to operational losses and strategic failures. Building a data governance policy tailored to your company’s needs and experiences is essential for effective master data management.
These are just a few valuable insights from Synopps. Stay tuned for more tips and advice from our experience.
