Chapter 1 - Master Data and Master Data Management

Abstract

Master data objects are those core business objects used in the different applications across the organization, along with their associated metadata, attributes, definitions, roles, connections, and taxonomies. Master data objects are those key “things” that matter the most—the things that are logged in transaction systems, measured and reported in reporting systems, and analyzed in analytical systems. This chapter explores the history of enterprise master data, describes master data and master data management, and highlights the benefits of instituting a master data management program to support enterprise information management. It discusses the characteristics of master data and provides a high-level overview of what goes into a master data management (MDM) program. Some of the organizational challenges of instituting an MDM program are also considered. Master data management is more than just an application—it is a composition of people, tools, methods, and policies that mold the future as organizations seek to exploit the value of the corporate information asset. The secrets to success lie in understanding how MDM transitions the organization into one with a strong data governance framework, articulating the roles and responsibilities for data stewardship and accountability and creating a culture of proactive data quality assurance.