So what happens when you get your data under control with Master Data Management (MDM)?
Any business process can benefit from MDM, simply because all applications rely on master data. The master data is what powers everything from financial reporting to customer information, and when the data is managed properly with a strong MDM solution, your company reaps the full value of both the applications and the enterprise’s data. Think better decision-making, increased operational effectiveness, improved customer satisfaction, and higher revenue and profits.
Specifically, with a solid MDM solution, business processes can benefit greatly.
Market volatility, cybersecurity breaches, and even foreign government instability are all contributing to increased business risk. To mitigate that risk, you need to understand it – and it’s all available in data to help, if used correctly. MDM makes it possible to understand every facet of the data, from its origins to its modifications.
HIPAA, SOX, and others – it’s a veritable alphabet soup of regulations, and they seem to change daily as court cases and regulatory agencies act on new scenarios. Being able to produce accurate reports is more important than ever, whether the regulatory agency deals with the environment, taxes, employment, consumer protection, import/export, or employees. MDM helps enterprises stay on the right side of regulators, whether the regulations are voluntary, like the Basel frameworks, or mandatory.
Increasingly, regulators and executives alike want accurate, timely reports in as near real-time as possible. Without an agile MDM system, however, the data in those reports is often flawed and needs to be checked manually.
Customer Care and Notification
The importance of complete, accurate customer records cannot be emphasized enough. In addition to customer service, warranty information, and upselling opportunities, customer records are required for product recalls. Inaccurate data could lead to unnecessary liability, and MDM is required to ensure customers are notified promptly.
GTIN-14, EAN, and DIN 9001 all require clean master data to ensure that companies are able to keep up with their inventories and sales. An MDM solution is key for properly tracking and even forecasting inventory needs and sales.
That’s only the tip of the iceberg when it comes to MDM’s benefits. Everything from optimizing the supply chain to reducing labor costs can be boiled down to the need for accurate data. Considering the volume of data within an organization, it can no longer be managed manually.
Benefits of Semarchy
Semarchy has built a smart, agile and measurable solution that allows you to build and integrate reliable, consolidated data for complex and simple projects. xDM uses an iterative approach that helps your data governance strategy grow over time.
For IT Management
With Semarchy xDM, IT management benefits from an intelligent MDM platform to:
- Drive MDM and data governance projects on the path to success, on time and budget.
- Enable shorter project lifecycles using a fast, safe, incremental approach that supports the three dimensions of MDM lifecycle evolution.
- Implement a tactical MDM solution to today’s MDM problems while laying the foundations for future multi-domain strategic MDM needs.
- Facilitate adoption of MDM initiatives through a non-intrusive solution that does not disrupt or affect existing systems or processes.
- Easily adapt the MDM implementation to business users’ needs and data governance requirements.
- Deliver projects that meet your company’s standards on time and budget and increase your organization’s capability to react to changing data requirements.
- Integrate any data format.
- Support future scalability and performance needs.
xDM is designed for massive scale, which is key for success with big data initiatives. For organizations using cloud-based solutions, it can be deployed in the cloud alongside existing applications.
For Business Users
xDM provides business users with access to master data they can trust:
- Business analysts are empowered with an accurate and comprehensive view of the company and can make precise and confident decisions.
- The sales force can discover cross-sell and up-sell opportunities with a 360 degree view of customers and products, which increases revenue and improves customer satisfaction and retention.
Business users acquire better knowledge and control of critical data. Semarchy combines a shared understanding of master data concepts with global access to consolidated master data, which supports operational efficiency and a adaptability to environmental challenges.
- Reduce the cost of mergers and acquisitions. Merged companies automatically provide their data as new trusted assets, and the enterprise applies the appropriate governance processes. This translates into an immediate return on investment on the IT costs for integrating the new business critical data.
- Increase transparency and traceability of data for compliance purposes. A centralized platform for managing data governance means the enterprise ensures total control over the data, including its history. Managing any kind of master data in xDM reduces the risks and cost by providing accurate audit trails and version control.
Why Do I Need MDM?
Master Data Management Optimizes These Business Processes
- Customer Management
- Compliance Management
- Product Regulatory Adherence
- Cross Selling and Up Selling
- Privacy Management
- Supply Chain Management
- Improving Business Process
- Security Management
- Customer Care
If any of these are important to your business, you need MDM to maximize their effectiveness and efficiency. Consistent and trusted master data is required, or the processes will break down, resulting in:
- Siphoning resources to manage data processes
- Damaged credibility with customers, suppliers, and partners
- A competitive disadvantage
- Negative effects on revenues and profits.
And the more data you have, the bigger the impact on your business. Consider this:
- Over 25% of critical data used by the world’s top companies is flawed.
- Bad data costs the U.S. economy more than $3 trillion annually.
- Bad data adds up to $314 billion annually in healthcare costs.
- Dirty data could cost your B2B brand over $2.5 million per year.
Does Your Data Tell the Truth?
Every time you run a report, whether it’s a customer list, financial forecast, or inventory, you’re relying on the data in your system. But if you’re working with dirty data, your reports aren’t going to reflect the reality of your business. MDM gives you the platform to clean up your data.
Executives hope their data is accurate. But, hope is not a plan. MDM is.
MDM helps your organization do the following and more:
Ensure Timely Product Recalls
- Facilitate Privacy Management
- Implement Effective Customer Care Programs
- Improve Business Processes
- Manage Threats
- Address Compliance Concerns
- Manage Risk
- Process and Manage Currency
- Reduce Labor Costs
- Optimize Processes
Enterprises often have a hard time justifying the value of a Master Data Management initiative. There may be two reasons for this:
- There is no clear understanding at the organization of what Master Data really is. This may be true for the executives and/or the various data owner teams.
- Enterprises underestimate the risks and cost of discrepancies in their master data.
Semarchy has tried to simplify the message of MDM to make it intelligible for everyone in the enterprise. We’ve created a short video that will give you a better insight into the key drivers for setting up Semarchy xDM™ as the corner stone for your data governance processes.