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4. Your MDM Program: Without a Good Plan, You
Will Probably Fail. What Do You Need to Do?
STOP
Questions You Need to Answer STOP
in the First 100 Days
Is there a What does the Does the business Can you measure
clear vision? journey look like? see the value? success?
Has governance What are the roles and Is it really just a Do we really want to
been addressed? responsibilities? technology project? create a new silo?
5. Key Issues
1. How will organizations create an MDM vision
and strategy that enables the business vision
and strategy?
2. How will organizations address the governance,
organizational and process challenges that are
barriers to MDM success?
3. How will organizations create the technology
infrastructure necessary for MDM success?
6. The Seven Building Blocks of MDM:
A Framework for Success
Vision
Strategy
Metrics
Information Governance
Organization & Roles
Information Life Cycle
Enabling Infrastructure
A Business-Driven, Holistic Approach to MDM
7. Create an MDM Vision That Enables Your
Organization's Business Vision
Value Discipline Framework Questions to Answer:
"Best Product"
1. What is the business
Product
Leadership
vision of the
organization?
Product 2. Who owns that
Differentiation business vision?
Operational Customer 3. How would a focus on
Competence Responsive MDM enable the
business vision?
4. Who will provide
Operational Customer executive-level
Excellence Intimacy sponsorship?
"Best Total Cost" "Best Total Solution"
From "The Discipline of Market Leaders" by Treacy and Wiersema
The vision is the "what" and the "why."
The strategy is the "how."
8. MDM Needs to Be Seen as Part of
Enterprise Information Management (EIM)
Vision
Strategy
Metrics
Information Governance
Organization & Roles
Information Life Cycle
Enabling Infrastructure
Master Analytic Other Social
Content Data Data Data Data …?
Master Data Management
9. What Will Shape Your MDM Strategy?
Industry
Data Domain
Vectors of
MDM Use Case
Complexity
Organization
Implementation Styles
10. MDM Maturity Model: Helps You Determine
Your Current and "To Be" States
Increasing
Maturity of
MDM Optimizing
Managed MDM is the
way we do
things around
Defined A unifying
Developing vision
here.
No vision. OK, let's do emerges (with
Initial Firefighting is Managing
something (at high-level
Non- the answer. master data
the silo level). sponsorship). as an asset.
existent No vision,
but, yes, we Isolated, Silo-oriented Enterprise-
Problem? do have a bottom-up Continuing to
solutions. wide MDM
What problem. initiatives. learn and
program.
problem? improve.
0 1 2 3 4 5
Level of MDM Maturity
Note: MDM must be deep, as well as broad, to be mature.
11. What Is the "Current State" of Your MDM
Maturity? What Is the "To Be" State?
Level 1 Level 2 Level 3 Level 4 Level 5
Initial Developing Defined Managed Optimizing
Vision None Bottom-up Top down, but Unifying vision for Key enabler of
initiatives only limited in vision cross-enterprise business
MDM success
Strategy None Reactive focus Proactive focus Consistent and Ongoing
on firefighting on individual integrated investment and
initiatives domains approach improvement
Metrics No metrics Starting to Successful use of Using metrics to Basis of
scheme for develop DQ metrics at the measure success management
master data metrics domain level cross-domain and investment
Governance No one has IT-led; lacking Domain-level Cross-enterprise Well-established
responsibility business governance multidomain cross-enterprise
involvement governance governance
Organization No data Developing the Potentially strong Centralization or Well-established
stewards culture of data team, but limited federation of data cross-enterprise
stewardship in scope steward groups stewardship
Processes Silo based — Starting to think Focus on data life Best practice Continue to
applications or in terms of the cycle at domain shared across optimize the life
functions data life cycle level the enterprise cycle
Technology Few or no data Data quality MDM solution Multidomain, but Integrated and
quality tools tools, but no covering only one not integrated or consistent set of
MDM solutions domain consistent capabilities
Most Organizations Today
12. Creating the MDM Business Case: The Basis
of Achieving Buy-In and Creating the Metrics
Questions to Answer:
Use Business Process Metrics
to "Connect to the Business" 1. Do you have the
business on board?
Does it see value in
the MDM program?
Shareholders Bottom-Line
Financial Results 2. How will MDM improve
Metrics business processes and
decision making?
Feedback
Executives Performance on Strategy
Metrics 3. What business metrics
are you linking the MDM
Process Business Process Efficiency and program to?
Owners Metrics Effectiveness
Accuracy,
4. What is the current level
Data Master Data Quality of those metrics, and what
Stewards Timeliness
Metrics does success look like?
Stakeholder Level Focus
13. Understanding the MDM Process Life Cycle
Is Key to Governance and Organization
Author Store Pub/Sync Enrich Consume Archive
B2B
Collaborate Enrich Enrich Enrich Enrich Enrich
Product
Marketing Procurement Operations Logistics Sales Service
Development
Sample Life Cycle for Product Master Data
Questions to Answer:
1. What processes will you need to ensure the creation, management, publishing
and leveraging of high-quality master data across your organization?
2. What business processes will the master data life cycle processes support?
14. MDM Governance — Who Is Responsible,
Accountable, Consulted and Informed?
R&D CRM ERP and SCM Shared Services
Order Fulfillment
Transportation
Manufacturing
Contracting &
Warehousing
Procurement
Management
Product Life
Functions
Corporate
Marketing
Customer
Sourcing
Finance
Service
Pricing
Cycle
Sales
HR
Customer
IT
Common
I R/A I C C I C C
View
Finance
C I I I R/A C
View
Sales View C R/A I I I I C
Fulfillment
C I C I R/A I C
View
R = Responsible, A = Accountable, C = Consulted, I = Informed
Questions to Answer:
1. How will you create and maintain an MDM governance organization that
includes executive sponsorship, policymaking, decision arbitration and
daily operational administration?
2. How will the governance structure enforce its will?
15. MDM Organization: Organizational
Structures, Roles and Responsibilities
Organizational Structures, Roles and Questions to Answer:
Responsibilities
1. Who creates and
consumes master data?
Executive-Level What are their roles?
Sponsor
Information
Business 2. Do you have data
Governance Board
IT stewardship roles, and are
they seen as a business
MDM Team
(Centralized or Distributed)
responsibility?
Data
Data
Steward
StewardData
StewardData MDM Infrastructure Team
3. What organizational
Steward (Virtual)
structure do you need to
manage master data?
Modeling/ App. System Security
Metadata Dev./Integ. Mgmt. Privacy
4. How will you manage the
Info.
Architect
Data
Quality
Monitoring
Reporting change that comes with
new ways of working?
16. MDM Infrastructure: What Technology
Infrastructure Do You Need?
A Tightly Integrated Set of Questions to Answer:
Functional Capabilities
1. What technology
infrastructure do you
need to achieve your
MDM goals?
Information 2. How do you source this?
Data Quality
Model Integration and How does this fit into the
Synchronization
organization's overall
MDM
enterprise information
architecture?
Technology
and Business Services 3. What architectural and
Architecture and Workflow implementation styles are
appropriate for MDM?
Manageability Performance,
and Security Scalability
and Availability
17. Gartner MDM Excellence Award
Winner: Johnson & Johnson HCS
More Better Faster Efficient
Accurate Compliance Adaptation to Expected Fewer
transaction with regulations market and OpCo Resources required
processing: requiring controls changing to manage data and
• Payments over data: requirements: fix errors:
• Rebates • SOX • New OpCos & • Contracting
• GxP Validated Companies • Finance
• Disputes
• New Products • Supply Chain
• Rosters Mgmt.
Customer • New Customers • IM
• Customer
Creation Service levels: • New Contracts
Reliable reports and • Error • New Systems Fewer Write-Offs of
performance metrics Prevention unresolved disputes
Preventive data • Perfect Orders Identification and and deductions
management: • Timely resolution of
• Proactive Payments potential problems
Problem Solving • End-to-End
• Consistent Experience
Sourcing
Source: Johnson & Johnson Health Care Systems OpCo = operating company
18. Recommendations
Vision: Create an MDM vision that enables the business vision.
Strategy: Define the scope, perform a maturity assessment and
prioritize initiatives to create a road map.
Metrics*: Create an MDM metrics hierarchy during the business
case development process.
Governance*: Create a business-led governance structure with
agreed roles, responsibilities and decision rights.
Organization: Appoint data stewards for master data, build a
multidisciplinary team and address change management issues.
Processes: Think in terms of the master data life cycle.
Technology Infrastructure: Buy or build the necessary
capabilities. Choose the right implementation styles.
* The most difficult
19. Related Gartner Research
"The Seven Building Blocks of MDM: A Framework for
Success"
(G00168103)
"Use the Gartner MDM Maturity Model to Create Your
MDM Road Map"
(G00169865)
"Creating an MDM Vision, Strategy and Road Map"
(G00165636)
"Creating a Business Case for Master Data Management"
(G00160270)
"Governance of Master Data Starts With the Master Data
Life Cycle"
(G00160018)
For more information, stop by Gartner Solution Central or e-mail us at solutioncentral@gartner.com.
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experience
• Visit gartner.com/webinars
• Today’s presentation will be available in 24 hours
• See a Schedule of upcoming Gartner webinars (plus
on-demand webinars) don’t forget to share these
resources with your colleagues
• Contact your Gartner account executive
with any additional questions, comments or for a
complimentary copy of today’s presentation