A Guide to Master Data Management (With MedTech Case Study)
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Published:
September 14, 2023
Reading Time:
6 minutes
Have you ever found yourself buried under an ocean of data, struggling to extract valuable insights? Well, rest assured, you aren’t the only one.
Picture this: You're at the helm of a rapidly growing company, dealing with waves of information constantly coming in from various sources. The more your company expands, the more data it gathers, and the more complex everything gets. And this is exactly when you need ‘Master Data Management’ (MDM).
In simple terms, it’s a practice of centralizing critical data into a single, reliable source of truth. You see, the more scattered your data is, the more headaches it’s going to give you. The cure for this headache, if you do it right, is MDM.
In this article, we’ll discuss what MDM is and what its benefits are. And if you want to see a practical example of MDM in action, we have included a case study at the end.
So, let’s dive into it.
Picture this: You're at the helm of a rapidly growing company, dealing with waves of information constantly coming in from various sources. The more your company expands, the more data it gathers, and the more complex everything gets. And this is exactly when you need ‘Master Data Management’ (MDM).
In simple terms, it’s a practice of centralizing critical data into a single, reliable source of truth. You see, the more scattered your data is, the more headaches it’s going to give you. The cure for this headache, if you do it right, is MDM.
In this article, we’ll discuss what MDM is and what its benefits are. And if you want to see a practical example of MDM in action, we have included a case study at the end.
So, let’s dive into it.
KEY TAKEAWAYS
- Master Data Management (MDM) centralizes important data into a single, authoritative source. This can assist companies in overcoming the challenges of data inconsistency and inaccuracy due to scattered systems and databases.
What Is Master Data Management (MDM)?
You're the manager of a rapidly growing tech company offering customers a wide range of products worldwide. As your business expands, you face a common challenge—your data is scattered across various systems, databases, and departments.
Everything from customer information and supplier data to product details and invoices are stored in different formats and locations. It’s a mess full of inaccuracy and inconsistency.
This is where Master Data Management (MDM) comes into play, through which you can establish an authoritative source of truth for your critical data in a single place. How convenient would it be to have a single, trustworthy repository that stores all your master data?
Everything from customer profiles to product specifications in one place—sounds like a win! This centralized data hub makes sure that individuals across the organization are working with consistent, accurate, and up-to-date information. Now that’s what you should be aiming for as an organization that handles a lot of data.
Want to dig a little deeper? Well, here are some key features of MDM:
Besides the features mentioned above, some other attributes of MDM include metadata management, change management, data quality assurance, and cross-functional collaboration. All these features are critical in keeping an organization’s data safe, consistent, and reliable.
Everything from customer information and supplier data to product details and invoices are stored in different formats and locations. It’s a mess full of inaccuracy and inconsistency.
This is where Master Data Management (MDM) comes into play, through which you can establish an authoritative source of truth for your critical data in a single place. How convenient would it be to have a single, trustworthy repository that stores all your master data?
Everything from customer profiles to product specifications in one place—sounds like a win! This centralized data hub makes sure that individuals across the organization are working with consistent, accurate, and up-to-date information. Now that’s what you should be aiming for as an organization that handles a lot of data.
Want to dig a little deeper? Well, here are some key features of MDM:
Data Governance
From acquisition to disposal, data governance helps organizations establish policies, standards, and guidelines for data management at every stage of the data’s journey. Needless to say, data governance is an integral part of MDM—and rightfully so.Integration
MDM is a discipline that enables companies to bring together master data from various sources and create a centralized and consistent source of truth. So, scattered data is integrated together and merged into a single, trustworthy, and authoritative source of truth.Data updates
Through data synchronization, businesses can maintain consistency and accuracy of master data across various systems and applications within an organization. So, if any changes are made to master data in one system, they are accurately and promptly reflected in all other systems that utilize that data.Data access control
“I want unauthorized people to have complete access to confidential data in my business,” said no CEO ever. In MDM, managing and regulating who has the authority to access, modify, and interact with the organization's master data is key. After all, security and privacy should be your number one priority if you have any data.Besides the features mentioned above, some other attributes of MDM include metadata management, change management, data quality assurance, and cross-functional collaboration. All these features are critical in keeping an organization’s data safe, consistent, and reliable.
What Are the Benefits of Master Data Management (MDM)?
Now that you know what MDM entails, you may be wondering, “Why do I need Master Data Management?” Well, here are the five reasons why you should jump on this bandwagon today.
For example, if an e-commerce store has accurate data on all social media marketing campaigns in one single platform, they can analyze their return on investment more accurately.
For example, if a travel accessories company has several branches, MDM ensures that product description, price, expiry date, return policies, etc. remain consistent throughout all stores. So, if a customer who bought an item in Berlin wants to return it at a Frankfurt branch of the business, they can do so without a hitch.
For example, in a manufacturing company, MDM ensures that important data such as inventory level and production schedules are accurate. This ensures that the company produces the required amount of products at the right time.
For example, a hospital must comply with regulatory requirements to ensure that patients’ data is confidential and is not leaked to unauthorized individuals.
For example, in a factory, sensors can monitor equipment performance and collect quality metrics. These can then be used to identify maintenance needs and costs.
1. Make better decisions
When you have a single, reliable version of data truth, you can eliminate discrepancies that can arise from using several different data sources. With completely accurate data that has no mistakes, you can easily analyze trends, identify opportunities, and predict outcomes more effectively.For example, if an e-commerce store has accurate data on all social media marketing campaigns in one single platform, they can analyze their return on investment more accurately.
2. Get high ratings from happy customers
If you incorporate MDM, you can store customer information in a consistent and complete manner across all touchpoints, such as online platforms, call centers, and brick-and-mortar stores. This can assist you in offering personalized experiences and efficient issue resolution.For example, if a travel accessories company has several branches, MDM ensures that product description, price, expiry date, return policies, etc. remain consistent throughout all stores. So, if a customer who bought an item in Berlin wants to return it at a Frankfurt branch of the business, they can do so without a hitch.
3. Operate with efficiency
By centralizing data management through MDM, you can streamline processes that rely on accurate information, such as chain management, procurement, inventory control, and demand forecasting. Through this, you can reduce the chances of manual errors and respond to changes in demand more effectively.For example, in a manufacturing company, MDM ensures that important data such as inventory level and production schedules are accurate. This ensures that the company produces the required amount of products at the right time.
4. Comply with regulations effortlessly
In many cases, the data you collect and store must meet certain legal and industry-specific standards. Whether it’s the General Data Protection Regulation (GDPR), Health Insurance Portability and Accountability Act (HIPAA), or financial reporting standards, MDM helps you stay on top of your data-related obligations.For example, a hospital must comply with regulatory requirements to ensure that patients’ data is confidential and is not leaked to unauthorized individuals.
5. Transform your business digitally
Businesses today aren't what they used to be before. Digital is the new norm and companies are diving into state-of-the-art technologies like IoT devices and machine-generated data. With MDM in place, you can integrate data sources like Internet of Things (IoT) devices and streams of machine-generated data into the existing data ecosystem.For example, in a factory, sensors can monitor equipment performance and collect quality metrics. These can then be used to identify maintenance needs and costs.
How Data Management Consultant Can Help (A Case Study)
Want to learn how our company Consultport, the world’s leading online consulting platform, helped a MedTech company find the right consultant? Keep reading.
We didn’t waste any time. In just 24 hours, we had three top-tier, highly experienced freelance consultants lined up. The client didn’t waste any time either and picked an ex-Bain consultant who was an MDM maestro. Within just 72 hours, they were making moves.
The consultant tailored data collection workflows, created new processes, and work instructions to improve data quality. For example, through collaboration with the client’s data management team, the consultant created a common set of naming conventions and set data quality benchmarks. And guess what, to ensure a perfect execution, the consultant organized internal workshops to train employees.
You may want to read the full case study here, or better yet, if you’re ready to hire your next data management champ, get in touch with us now.
Simply state your needs to one of our representatives, choose a consultant from the shortlist, and start the project.
Seriously, the problem solver that your company needs might just be a few clicks away!
The beginning
Our client, a renowned MedTech company, wanted to level up their data game globally. What they needed was a Master Data Management (MDM) program that could seamlessly connect all their functions and regions. Enter Consultport!We didn’t waste any time. In just 24 hours, we had three top-tier, highly experienced freelance consultants lined up. The client didn’t waste any time either and picked an ex-Bain consultant who was an MDM maestro. Within just 72 hours, they were making moves.
The project
They started by examining the existing MDM framework and practices and talking to key people from different departments. As the client operates in the medical sector, exploring data privacy regulations to make sure everything was squeaky clean was key.The consultant tailored data collection workflows, created new processes, and work instructions to improve data quality. For example, through collaboration with the client’s data management team, the consultant created a common set of naming conventions and set data quality benchmarks. And guess what, to ensure a perfect execution, the consultant organized internal workshops to train employees.
The result
A resounding success echoed through the client’s company's operations at the end of the project. With the new data workflows, streamlined processes, and heightened data quality, the transformation turned out to be quite significant. And those informative internal workshops? Well, they improved employees’ knowledge of MDM and turned them into data champions.You may want to read the full case study here, or better yet, if you’re ready to hire your next data management champ, get in touch with us now.
Simply state your needs to one of our representatives, choose a consultant from the shortlist, and start the project.
Seriously, the problem solver that your company needs might just be a few clicks away!
