I was reading David Loshin’s excellent post How Do You Know What Data is Master Data? and I thought “I know – I’ve covered that question in my blog” – but I hadn’t. So here it is.
Your “Enterprise Wide Data Model” tells you what data is Master Data.
Unfortunately, most organisations lack an Enterprise Wide Data Model. Worse still, there is often little appreciation among senior management of the need for an Enterprise wide Data Model.
The absence of a Enterprise wide Data Model makes it difficult for even technical experts to locate data. The data model would distinguish between Master data and replicas, and would clarify whether the data in the model is currently in place, or planned for. Without an Enterprise Wide Data Model, data dependent projects (e.g. BASEL II, Anti Money Laundering, Solvency II) must locate data (especially Master Data) from first principles, and face the risk of not finding the data, or identifying inappropriate sources. New projects dependent on existing data take longer than necessary to complete, and face serious risk of failure.
The CIO should define and implement the following Data policy:
An Enterprise wide Data Model will be developed covering critical Enterprise wide data, in accordance with industry best practice.
One notable exception to the norm:
This is not a plug for IBM…. merely an observation based on my experience.
I worked in an IBM development lab in Dublin during the 90’s. At that time IBM developed a “Financial Services Data Model” (FSDM). Dublin was IBM’s “FSDM centre of excellence”. BASEL II turned FSDM into an “Overnight success”- TEN YEARS after it was developed. Organisations that had adopted IBM’s FSDM found it relatively easy to locate the data required by their BASEL II compliance programme.
I forsee a future in which all financial services organisations will use the same data model, including Financial Regulator(s). “Singing from the same hymn sheet” will make communication far simpler, and less open to misinterpretation.
The lack of an Enterprise Wide Data Model is just one of the many data governance issues that affect organisations today. Assess the status of this issue in your Enterprise by clicking here: Data Governance Issue Assessment Process
Does your organisation have an “Enterprise wide Data Model” – if so, how did you achieve it? Did you build it from scratch, or start with a vendor supplied model? Please share your experience.