According to Gartner, the #1 reason for MDM failure is the lack of a business case to qualify and quantify data management value creation.
In this fourth session, learn more about how to effectively manage the scope of the MDM program and how that leads to building a value-based business case with the ‘three amigos’ Bill O’Kane – Profisee VP & MDM Strategist, Harbert Bernard – Profisee Director of Value Management and Christopher Dwight – Profisee VP of Customer Success.
Listen to the Podcast!
Program Scope – Know Where to Focus
In this session, we discuss how to narrow the focus of your MDM project for success. Martin Boyd, VP Product Marketing at Profisee, and as moderator for this session, reminds of us of an important perspective: “Not all data has the same value, and not all data problems have the same impact.” Christopher leads off our first conversation around starting small and identifying quick wins.
First, one of the things to understand is that data management is a program, not a one time, one-off project with an easy to understand start and finish timeline. You want to make sure that you are focused on helping people understand internally, that this is a living, breathing program that needs support on an ongoing basis. But what you can do within the program, is create small, easy to achieve quick wins that help your internal customers see the value that an MDM program brings, so that you can focus on the next project.
It’s sort of ‘thanks Mr. Captain Obvious’ but it’s also easy to very quickly spin out of control when thinking of how to start. Do you begin with the Customer domain or the Product domain or what you really want to be thinking about is – what is the business problem you can solve and then where does that data reside that you need to work on, and then go and master those domains to achieve your quick win. Having a flexible solution that can adapt to the needs of the potential win you identify would be key to include in your value calculation.
You are looking for a tangible project that you can potentially solve in 10-12 weeks that shows the value of the MDM program. It’s finding the balance between showing results and fitting in what success looks like in your particular company. Sometimes, it needs to be longer based on achieving the project goal so you have to keep all of these competing priorities in consideration as you build your business case.
Types of MDM Projects to Consider as you Begin
- The core objective of Analytical MDM is to ensure a “single view” of master data is propagated in the downstream data warehouse, which is most often used to supply data for business intelligence (BI) and predictive analytics. In short, Analytical MDM is used to support a company’s decision making.
- The core objective of Operational MDM is to ensure a “single view” of master data in the core systems used by the business users (eg, finance, purchasing, accounts payable, payroll, sales, service, order management and manufacturing). Operational MDM connects the critical enterprise applications such as CRM and ERP. Therefore, having solid data governance and data stewardship is very important. Operational MDM also needs to deal with privacy, security, and regulatory compliance.*
Protip: Don’t assume one is ‘easier’ than the other, it really depends on several factors that you should be including in your value analysis. And on the other hand, don’t get caught in the trap that because you have selected a domain, you have automatically ‘narrowed the scope’ – maybe that is true but it truly depends on what the business problem is that you are solving for in this project in the MDM program.
Another area to understand is what is the implementation style you are choosing for your project. Bill spends some time reviewing this:
Harbert wraps up today’s discussion sharing a decision framework to use as you decide where to begin.
This decision-making process is part of the BIR Program at Profisee to help you identify the potential projects to include in your MDM program and then how to prioritize which one to begin. Remember, as we talked about previously you don’t want a million-dollar solution for a hundred thousand dollar problem – so this is where you look for the intersection of prioritization and justification as you map out the business value case.
In summary, we learned:
There are many things to consider as you build out your MDM project. Where to begin being an important component.
In the next session, we will discuss some of the pitfalls we’ve seen companies fall into during their evaluation process. We look forward to sharing with you how to avoid them for a seamless evaluation process. Until then!