keynote from 3rd annual MDM & Data Governance Summit in Singapore December 2012

1. Welcome
Menyambut
欢迎
நலவரவ

2. Product Evaluation Criteria &
Field Reports for
Leading MDG & RDM
Solutions
Aaron Zornes
Chief Research Officer
The MDM Institute
aaron.zornes@tcdii.com
www.linkedin.com/in/aaronzornes
@azornes
+1 650.743.2278

3. About the MDM Institute
 Founded in 2004 to focus on
 MDM Alert™ newsletter
MDM business drivers & technology  MDM Market Pulse™ market
challenges research & multi-client studies
 MDM Advisory Council™  MDM Fast Track™ one-day
of 150 Global 5000 IT organizations with public & onsite workshop rotating
unlimited advice to key individuals, quarterly through major North
e.g. CTOs, CIOs, data architects American, European, & Asia-Pacific
 MDM Business Council™ metro areas
website access & email support to 35,000+  MDM & Data Governance
members
Summit™ annual conferences in
 MDM Road Map & London, NYC, San Francisco, Shanghai,
Milestones™ annual strategic planning Singapore, Sydney, Tokyo & Toronto
assumptions About Aaron Zornes
 Most quoted industry analyst authority on topics of MDM, RDM & MDG
 Founder & Chief Research Officer of the MDM Institute
 Founder & conference chairman for MDM & Data Governance Summits
series
 Founded & ran META Group’s largest research practice for 14 years
 M.S. in Management Information Systems from University of Arizona
“Independent, Authoritative, & Relevant”
© 2012 The MDM Institute www.The-MDM-Institute.com

4. MDM Institute Advisory Council
Representative Members
 Apria  National Australia Bank
 3M  Nationwide Insurance
 BCD Travel  Norwegian Cruise Lines
 Bell Canada  Novartis
 Caterpillar  Ontario Lottery & Gaming Corp.
 Celgene  PC Connection
 Cisco Systems  Polycom
 COUNTRY Financials  Pratt & Whitney Canada
 Educational Testing Svcs  Roche Labs
 Embraer  Rogers Communications
 Forest Labs  Scholastic
 GE Healthcare  Sony Pictures Entertainment
 Honeywell  Stryker
 Information Handling Svcs  SunTrust
 Intuit  Sutter Health
 Loblaw  TUI
 McKesson  W.W. Grainger
 Medtronic  Wal-Mart
 Medecins Sans Frontieres  Westpac
 Microsoft  Weyerhaeuser
 Motorola  Woolworths
150 organizations who receive unlimited MDM advice to key
individuals, e.g. CTOs, CIOs, & MDM project leads
© 2012 The MDM Institute www.The-MDM-Institute.com

5. MDM & Data Governance Summit™
Conference Series
MDM & Data Governance Summit Singapore
Marina Bay Sands Resort ▪ December 4-5
MDM & Data Governance Summit Shanghai
Shanghai International Convention Center ▪ March 2013
MDM & Data Governance Summit Europe
Radisson BLU – London ▪ April 15-17, 2013
MDM & Data Governance Summit Asia-Pacific
Four Points Darling Harbour– Sydney ▪ May 20-21, 2013
MDM & Data Governance Summit San Francisco
Hyatt Embarcadero – San Francisco ▪ May 2013
MDM & Data Governance Tokyo
Belle Salle Kanda– Tokyo ▪ June 14, 2013
MDM & Data Governance Summit Canada
The Carlu – Toronto ▪ June 2013
MDM & Data Governance Summit New York
Marriott Marquis NYC Times Square ▪ October 2-4, 2013
“More MDM programs get their successful start at
MDM & Data Governance Summits than anywhere else”
© 2012 The MDM Institute www.The-MDM-Institute.com

6. MDG Prologue
 Understanding scope, diversity & limitations of
current Master Data Governance solution
offerings is tremendously challenging – even
more so, given fast pace of M&A & complexities of
integrating such diverse software portfolios
 Nonetheless, business & IT leadership
chartered with defining & executing MDM
programs need help to understand & navigate
through numerous Data Governance options
 “Go governance, go early” is rallying cry of
savvy enterprise & solution architects chartered
with setting scope & direction of their
enterprise’s data integration programs
© 2012 The MDM Institute www.the-MDM-Institute.com

7. Master Data Governance
Strategic Planning Assumption
 Through 2012, most enterprises will struggle with
enterprise MDG as they initially focus on customer,
vendor, or product; integrated MDG that includes E2E
data lifecycle will be mandated as 1st phase deliverable
 During 2012-13, major SIs & MDM boutiques will focus on
productizing MDG frameworks while MDM software
providers struggle to link governance process with
process hub technologies; concurrently G5000
enterprises struggle to evolve enterprise MDG in cost-
effective & practical way from “passive” to “active” MDG
modes
 By 2014-15, vendor MDM solutions will finally move from
“passive-aggressive MDG” mode to “proactive MDG”
MDG *must* evolve from point products (i.e., to address
customer or product MDG only) to enterprise data governance
(supporting multiple domains such as customer, product, supplier, location, price, etc.)
© 2012 The MDM Institute www.The-MDM-Institute.com MDM MILESTONE

8. MDM Institute Field Reports – MDG
 ASG  Kalido DGD
 BackOffice  Microsoft DG Console
Associates  Oracle DGF
 Black Watch Data  Orchestra Networks
 Cognizant + Collibra  SAP MDG
 EMC/RSA/Archer  SAS DataFlux
 IBM MDPH  Software AG
 IBI MD Center  Utopia
 Informatica IDD
** Persisted customer or product data hubs
© 2012 The MDM Institute www.The-MDM-Institute.com

9. Master Data Governance
“Top 10” Technical Evaluation Criteria
1. Methodology
2. Data exploration/profiling
3. Data model, policy model
& business glossary mgmt
4. Rules/policy mgmt
5. Decision rights mgmt
6. MDM hub integration
7. Enterprise application
integration
8. Integrated metrics
9. Multi-level, role-based security
10. E2E data lifecycle support
Understanding scope, diversity & limitations
of currently-marketed MDG offerings is tremendously challenging
© 2010 The MDM Institute www.The-MDM-Institute.com

10. Field Reports

11. Field Report:
IBM Master Data Policy Manager (MDPM)
Strengths Caveats
 Common DG layer across  Lack of integration w/
Standard & Enterprise Reference Data asset
MDM Server editions  Big IBM stack req’d
 Ultimately will integrate
 Lack of integration with
with Guardium, Optim, Smart Governance
et al Council assets
 Ongoing integration
 No longer a separate
w/BPM (BPMExpress product, but instead is
a.k.a. Lombardi) bundled w/ MDM Server
 IBM BAO/GBS teams
available w/w
© 2012 The MDM Institute www.The-MDM-Institute.com

12. Field Report:
Informatica Data Director (IDD)
Strengths Caveats
 Good for robust MDM  Out-of-step with main
administration as data steward INFA MDM process
console flow
 Task-oriented & business  Too easy for end
process-driven users to inadvertently
 Visualization of history & data downgrade hub
lineage performance with ill-
 Cross-domain hierarchy & advised queries
relationship management
1 – Formerly Siperian Business Data
 Flexible security model for each Director
multi-domain data type 2 – Informatica Data Director (IDD) is data
steward console application for entity
lifecycle management
 Supports centralized architecture
with direct input of master data
© 2012 The MDM Institute www.The-MDM-Institute.com

13. Field Report:
Kalido Data Governance Director (DGD)
Strengths Caveats
 Visionary leader  Late-to-market integration
 UBM methodology with Kalido MDM
 Flexible decision rights  One-way trip/export into
via mapping of roles & Kalido MDM
responsibilities  Only supports Kalido
 Export of policy BPM
compliance metrics
 Policy-focused solution
incl remediation
processes
 Proactive workflow for
data & processes
 Accenture heritage
© 2012 The MDM Institute www.The-MDM-Institute.com

14. Field Report:
SAP Master Data Governance (MDG)
Strengths Caveats
 Ready-to-use governance  Late-to-market with B2C
applications integrated customer
w/SAP ERP  Lacks flexible hierarchical
 Predefined & extensible
management of data
data model  Lacks master data within
 Prebuilt & flexible
transactions
workflows  Lacks identification of
 Multi-mode data replication
data pattern profiles
 Integration with BOBJ  Nascent cloud-
data quality/validation enablement & integration
assets (cleansing, matching, &  Nascent big data &
consolidation)
 Verifiable audit trail
analytics support for
social CRM data
1 – SAP MDG-F (finance), MDM-M (materials), MDG-S (suppliers), MDG-C (customers)
© 2012 The MDM Institute www.The-MDM-Institute.com

15. Field Report:
Utopia
Strengths Caveats
 Strong growth North America1,2  No longer sole preferred
 SAP, Open Text & ACN partner for SAP
partnerships MDM/MDG as of 2012
 Utopia Lab/COEs, Uni
 Multiple entry points for sales in
migration, quality & governance
 Support (via Open Text) to 1 – 250% growth despite torpid economy
2 – Captaris, Coca Cola Enterprises, ConAgra,
integrate unstructured CSL Behring, CVS/Caremark, Dubai
Aluminum, DuPont, ExxonMobil, Grainger,
 Full E2E lifecycle methodology Harley-Davidson, John Deere, Kellogs’s,
Kennametal, Kimberly-Clark, Kraft, Malaysia
(EDLM) – Assessment, Strategy, Airlines, Neptune Orient Lines, Newmont
Roadmap Mining, Pertamina, RasGas, Saudi Arabian
Airlines, Suncor Energy, Tyco Electronics,
Wolters Kluwer
 Cloud & HANA
3 – MENA = Middle-East & North Africa
 MENA3 depth
© 2012 The MDM Institute www.The-MDM-Institute.com

16. Critique of Current MDG Capabilities
 Mismatch of applying project-oriented methodology
rather than asset-focused methodology
 Methodologies missing the asset aspect of data …
cost, decaying value, ROI for cleansing data, etc.
 Frameworks not addressing “community” aspect of
shared asset development – e.g. wikis for global
corporate business vocabulary, etc.
 Current MDG solutions do not provide systemic rigor
nor E2E lifecycle support
“(Integrated/Proactive) Master Data Governance” market
is a vacuum … nature hates a vacuum
© 2012 The MDM Institute www.The-MDM-Institute.com

17. RDM Prologue
 In addition to MDM functionality, RDM systems also
manage complex mappings btw different reference data
representations & different data domains across the
enterprise
 Governance of RDM is vital— manual or custom RDM
often lack change management, audit controls, & granular
security/permissions
 Because reference data is used to drive key business
processes & application logic, errors in reference data can
have a major negative & multiplicative business impact
 Mismatches in reference data impact on data quality affect
the integrity of BI reports & also are a common source of
application integration failure
Just as businesses no longer build own CRM, ERP, & MDM
systems, so too are organizations beginning to acquire
commercial RDM, which can be easily tailored or configured &
have full ongoing support of major software vendor
© 2012 The MDM Institute www.the-MDM-Institute.com

18. Competition for Multi-Domain RDM
 Custom-built, manual solutions
 Hierarchy management system adaptations
(MSFT MDS, Oracle DRM)
 Do not readily support publish-subscribe, classification
mapping, etc.
 Custom MDM domain type
 Lack of data modeling flexibility, rudimentary lifecycle
management capabilities &limited data governance features,
esp. authoring & workflow
 Multi-domain RDM
 RDBMS vs. semantic/OODBMS
 Purpose-built or industry-specific RDM
 Premium priced real-time RDM solutions do not represent
good economic sense
© 2011 The MDM Institute www.The-MDM-Institute.com

19. Reference Data Management
Strategic Planning Assumption
 During 2012-13, reference data will emerge as a key
entry point for enterprises & in turn influence choice of
MDM for Customer, Product & other domains
 Concurrently, every MDM vendor will rush to market
RDM solutions to apply MDM approach for centralized
governance, stewardship & control
 By 2013-14, large enterprises will also mandate that
Reference Data be part of MDM platform native entities
 By 2015, RDM will be commoditized via the efforts of
MSFT & ORCL especially
Managing “simple” reference data will prove
to be a key sales entry point for MDM vendors
© 2012 The MDM Institute www.The-MDM-Institute.com MDM MILESTONE

20. MDM Institute Field Reports – RDM
 Aprimo LRDM  Microsoft RDM
(Teradata) (to be announced)
 ASG ROCHADE  Oracle Hyperion DRM
(Metadata-driven  Orchestra EBX
RDM)
 Profisee
 DataFlux qMDM
 SAP MDG-R
 IBM MDM RDM Hub
 Software AG
 Informatica RDM WebMethods OneData
 Kalido ** General-purpose or multi-domain RDM, not industry-specific or real-
time RDM solutions such as capital markets, pharma, e.g., AIM, Asset
Control, Eagle, Golden Source, Kingland Systems 360 Data, &RSD
© 2012 The MDM Institute www.The-MDM-Institute.com

21. Field Reports
© 2010 The MDM Institute www.The-MDM-Institute.com

22. Reference Data Management
“Top 10” Technical Evaluation Criteria
1. Ability to map reference data
2. Administration of reference
data types
3. Management of reference
data sets
4. Architecture/performance
5. Hierarchy management over
sets of reference data
6. Connectivity
7. Import and export
8. Versioning support
9. Security & access control
10. E2E lifecycle management
Understanding scope, diversity & limitations
of nascent RDM offerings is challenging
© 2010 The MDM Institute www.The-MDM-Institute.com

23. Field Report:
IBM MDM Reference Data Mgmt Hub
Strengths Caveats
 Purpose-built,  Lack of BPM integration
commercially proven RDM & workflow (needs
 Utilizes IBM MDM configurable workflow)
 Lacks Cloud architecture
foundation
 Full function with strong & SaaS offering
 Perception of excessive
taxonomy support &
mappings software stack foundation
 Ease of deployment,  Missing adapters for
implementation, & use other IBM software
 Market momentum1 (Discovery, etc.) & other
major apps such as
Oracle & SAP
1 – Achmea, ANZ Bank, BCBS of North Carolina, Citi Mortgage, DnB NOR ASA, IBM
Office of the CIO, LabCorp, Standard Bank of South Africa and The CIT Group
© 2012 The MDM Institute www.The-MDM-Institute.com

24. Field Report:
Orchestra Networks EBX5 for RDM
Strengths Caveats
 Robust solution for centralized DG,  Nascent North
mgmt, stewardship, & distribution American market
of enterprise reference data presence
 Enterprise-scalable RDM1  Shortage of EBX-
 Strong taxonomy support & knowledgable
mappings consultancies
 Model-driven ease of deployment,  Vulnerability in rapidly
implementation, & use (built-in process evolving market
flows + semantic database underpinning) crowded with mega
 Support for temporal reference vendors & other
data nouveau MDM
 Cloud-based, SaaS option vendors
 Under invested in
1 – BNP Paribas, Crédit Suisse, Michelin, … marketing
© 2012 The MDM Institute www.The-MDM-Institute.com

25. Field Report:
Software AG wM OneData RDM 8.5
Strengths Caveats
 Robust solution for centralized DG,  Nascent market
mgmt, stewardship, & distribution presence
of enterprise reference data  Shortage of
 Proven multi-domain RDM1
knowledgable
 Strong taxonomy support/mappings consultancies
for internal & external reference data  Lacking SaaS
 Can ingest customer metadata capabilities
models & UI wraps around model  Under invested in
 Model-driven ease of deployment, marketing
implementation, & use (integration w/ 1 – Allianz, Avon Products, Chubb
BPM for SOA & MDM deployment)) Insurance, General Electric, Givaudan,
 Stable, deep pockets vendor2 Nokia, Parexel, Pepsico, SwissGrid,
Wellpoint, …
2 – 2012 est. revenue $1,2B,
5K employees, 70 countries
© 2012 The MDM Institute www.The-MDM-Institute.com

26. Critique of Current RDM Capabilities
 Challenge of RDBMS-flavored RDM vs.
semantic/OODBMS-flavored RDM
 RDM *is* mission critical
 Error in reference data will ripple outwards affecting quality of
master data in each domain, which in turn affects quality in all
dependent transactional systems
 Heavily interconnected nature of reference data is why it requires
separate management & governance
 Cloud-enabled, SaaS model still proving itself for mission-critical
 Majority of MDG solutions do not address notion of
"temporal" reference data
 Market misconception/dogma that RDM *must* be in same
stack as multi-domain MDM
© 2012 The MDM Institute www.The-MDM-Institute.com

27. BOTTOM LINE
 Acknowledge no single MDM vendor “does
it all well”
 Nascent Master Data Governance capabilities
 Out-of-the-box RDM vs. do-it-yourself RDM
 Little hope for 3 rd party MDG to unify MDG
of mega vendors
 Plan for possibility of different brands of
MDM
 RDM
 Operational/transactional MDM
 Insist on RDM capabilities with strong
workflow/authoring
© 2012 The MDM Institute www.The-MDM-Institute.com

28. © 2010 The MDM Institute www.The-MDM-Institute.com

29. © 2010 The MDM Institute www.The-MDM-Institute.com

30. How to Leverage the MDM Institute
 Kick start “MDM, MDG or RDM evaluation process”
 Attend public workshop
 Bring workshop on-site
 Fine tune in-process MDM strategies
 Due diligence on reference checking & contract details
 Stay ahead of curve via MDM Business Council
 Re-qualify every 6 months via survey
 Receive MDM Alerts & access to Web-hosted research
 Increase your knowledge & negotiating
strengths via MDM Advisory Council Membership
 Participate in monthly email surveys & receive updated industry scorecard
 Receive monthly MDM consultation via telephone
“Independent, Authoritative, & Relevant”
© 2012 The MDM Institute www.The-MDM-Institute.com

31. MDM & Data Governance Summit™
Conference Series
MDM & Data Governance Summit Singapore
Marina Bay Sands Resort ▪ December 4-5
MDM & Data Governance Summit Shanghai
Shanghai International Convention Center ▪ March 2013
MDM & Data Governance Summit Europe
Radisson BLU – London ▪ April 15-17, 2013
MDM & Data Governance Summit Asia-Pacific
Four Points Darling Harbour– Sydney ▪ May 20-21, 2013
MDM & Data Governance Summit San Francisco
Hyatt Embarcadero – San Francisco ▪ May 2013
MDM & Data Governance Tokyo
Belle Salle Kanda– Tokyo ▪ June 14, 2013
MDM & Data Governance Summit Canada
The Carlu – Toronto ▪ June 2013
MDM & Data Governance Summit New York
Marriott Marquis NYC Times Square ▪ October 2-4, 2013
“More MDM programs get their successful start at
MDM & Data Governance Summits than anywhere else”
© 2012 The MDM Institute www.The-MDM-Institute.com

32. Aaron Zornes
Founder & Chief Research
Officer
www.the-MDM-Institute.com
aaron.zornes@tcdii.com
www.linkedin.com/in/aaronzornes
+1 650.743.2278 @azornes
Authoritative
Independent
Relevant
© 2012 The MDM Institute www.The-MDM-Institute.com