Introducing a master data management (MDM) program is intended to generate a number of benefits to enterprise information and data management. By creating an environment guided by data governance policies and procedures to consolidate replicated versions of data into a single version of the truth (shared by both analytical and operational applications), MDM can alleviate problems related to the consistency, completeness and accuracy that have limited the potential of other strategic initiatives. MDM can help bring fully-integrated business intelligence, reporting and predictive analytics into production operational applications. MDM, however, is sometimes viewed as a disruptive technology. Indeed, opting for an MDM solution introduces organizational challenges that need to be addressed as a prelude to a successful implementation. While there are great benefits from a consolidated master data repository, there are issues associated with data ownership, governance and change management.

Understanding some of these challenges – and adopting a strategy to address them from the beginning of the program – will enable a savvy program manager to build a project plan that identifies key tactical milestones while providing a smooth transition towards the strategic end of a unified MDM repository. In this white paper, we will explore some expected challenges in implementing an MDM program, and provide some suggestions that can ease the transition to the MDM environment.

Challenges to Success

Introducing new technology always brings new challenges for any organization.The decision to deploy a master data management system is no exception. A centralized master repository of commonly-used and shared data sets can increase consistency, improve data quality, reduce management and development costs, and enable more effective operations and analytics.

However, transitioning from an organization with distributed data sets managed within lines-of-business to a model where replicated data is pulled under enterprise management might introduce some stresses to the overall environment. But understanding the nature of some of these challenges ahead of time allows for proper preparation and planning.

Most of the challenges stem from what might be considered a “shock to the system.” Too often, management views data as raw input to applications across distributed lines of business. Establishing an MDM program as part of an overall organizational data and information management strategy implies that senior managers believe in treating their information as an enterprise asset. In essence, the decision impacts everyone across the system – managers, data modelers, application developers, business clients, and even customers, all of whom may need to modify their behaviors.

While we won’t be able to enumerate all of the challenges to a successful MDM deployment, we can categorize those obstacles into three different segments: Organizational (i.e., people issues), Operational (transition and integration), and Technical (architecture, and migration) challenges.