How does Master Data Management impact process optimization?

Today's global standards require a constant evolution of companies and their professionals, which is only possible when technology, creativity and innovation converge to make life changing decisions. However, these business decisions should be solid, and they can be achieved through the use of Master Data Management.

What is MDM and how does it work?

Master Data Management is the optimal use of clusters of information generated daily by companies, this implies Master Data Discovery, connectivity, cleanliness, syncinc, unification, usability, security and launching; this refers to process optimization, which has a great impact within the company. Data treatment allows companies to define their operations, sales and finance pathway.

What do these processes imply?

• Discovery: This step is relevant prior to investing in new technologies. An analysis of data’s current state should be considered: where is it stored? What kind of errors does it have? Do these errors have repercussions on results which are currently available? And so on.
• Connectivity: After discovery, teams are in charge of organizing scattered data throughout the system, for example, ERP and CRMs in one place. This is the first step which correctly shapes clusters of data.
• Cleanliness: Once connectivity is completed and data is no longer scattered, next step is to clean it under the business’ established standards. If precision is missed during this step, it can lead to a greater failure within the MDM.
• Syncinc: In case there are third parties’ databases connected to the company’s database, it is necessary to verify there is no duplicated data. This is done with tools which can precisely check if there are coincidences or repetitions.
• Unification: Once duplicates are found (if there are any), unification comes next so data is usable for teams to work towards the next step.
• Usability: To have a 360 view of data, it should be related to information from key areas such as sales, purchases, production, etc.
• Security and launching: Data is sensitive information, therefore, it should be treated with the utmost care. An MDM platform will define measures and access control (credentials) for those who can query and view data. Once security goal has been met, data is ready to be used and to be a definitive source of reliable information.

Step by step of Master Data Management (MDM) implementation.

For companies which have large quantities of data, implementing an MDM determines how areas will flow, since data is related to most of its processes involving products, clients, suppliers, assets, stores, e-commerce, among others.

Knowing more about MDM implies taking into account its main virtues and contributions which can be provided to a company. In the following part, you will learn about those differentiators inside the data management industry.

10 MDM benefits in your business

MDM’s impact favors the company’s CEO and it improves workflows of each collaborator, since this process allows a 360 view of stored data. Benefits of proper data management in a company are far-reaching. Here are 10 advantages of starting a Data Governance process from MDM:

1. Saves time and costs. Information management becomes more difficult to manage and the margin of error in handling it widens as it grows. Doing it manually is an unnecessary risk at this point, since it can be solved with process automation, which requires fewer human resources and expenses not considered due to failures or repetition of tasks.
   
   
2. Promotes the use of new technologies. Data management can be the starting point for your company’s digital transformation, since this methodology should be supported by technological tools such as artificial intelligence or machine learning to clean, filter or provide information. The dimension and scope of data affects not only in making decisions, but also modifies the present and future of a project.
   
   
3. Service improvement. By having more precise and organized data regarding the product or service you provide, business decisions designed for customers will be more accurate.
   
   
4. Favors collaboration. Executing a good Data-Driven strategy not only has an impact on end users, but also teams can benefit from it. By bringing data management within your company, work processes improve thanks to its benefits such as error detection, automated information migration, change tracking, collaborative work and a unified source of information in which you and your staff members can fully trust.
   
   
5. Risk control. Predictive analytics comes accompanied by MDM, since the combination of both offers a broad view of the behavior of your data. The sum of the previous steps makes it easier to obtain insights, monitor business trends and your products’ behavior in the market; eliminating risks is easier with backup information, as the next step you take or the strategy you undertake will have totally solid foundations to carry them out.
   
   
6. Helps decision making. The automation that MDM does is one of its greatest strengths, since its contribution to improving data quality corrects or alerts you to possible errors and it guides you towards more specific objectives, which will be appreciated by end users by how well you know them.
   
   
7. Avoids data duplication. Manual information emptying involves taking a dangerous path and, in case there is an error, it should be solved the same way: manually. Having a software information manager will contribute in time and in emptying information, a step in which it will detect if there is any duplicate data and thus alert you so it can be corrected instantly.
   
   
8. Contributes to data integration. If your main database is hosted in a single place or in the cloud, MDM facilitates its access from different places as it is fluid, friendly and easy. There is an increase in numbers of data platforms, and good data management will make migration processes easier.
   
   
9. Potential to increase your income. MDM is a really verifiable source of information, which gives you insights according to the current situation of your company. By cleaning, transforming and making your data more accurate, it harnesses its value, turning it into profit from efficient use.
   
   
10. Improves data quality. Those who work with information know that it is easier to operate with them when there is no inconsistency, fluidity obstacles, multiple sources of information or no updated data. For example: if a user changed their email or if a currency’s denomination is different such as US and Canadian dollars. This inconsistency undoubtedly affects data quality and handling it properly is one of the best benefits of MDM.

This list highlights the most outstanding benefits. However, these are not the only ones, since it is necessary to understand that data management, being driven by high technology, increases its utility.

MDM for business processes optimization

One of the great challenges of today is the dynamics in workflows which require an operation with a significant degree of precision, and you should be prepared to overcome it. That is why Arkon Platform provides a Business Process Workflow Engine that eases process optimization based on the BPMN model (Business Process Modeling and Notation).

As a starting point, you can connect your MDM with BPMN through our platform. When you start modeling a business process through our Workflow Engine, you will be able to establish each stage of your business process, assign tasks and design appropriate forms to collect the information you require for your master data management.

You will be able to carry out executable tasks of your business process within the same platform, in which each team and its members will be able to implement their individual assignments and fulfill processes collectively. In this sense, you will have the ability to manage data and permissions, produce business flows and thus feed master catalogs, helping you to comply with necessary regulations for your MDM.

Working your business processes on a BPMN model gives you the possibility of visualizing a whole process, as well as required actors for its execution; it is an efficient way to assign tasks in your organization and thus comply with business processes from start to finish with the least number of incidents and with ease of monitoring in each stage.

Arkon Data Platform adopts the BPMN, that is a visual and universal model for business processes, and thanks to its standardized symbology, it allows every process manager to feel familiar with our interface.

Arkon Platform's Business Process Workflow Engine allows users to edit busines processes, design forms and manage activities, thus providing the ability to manage data and permissions to generate workflows and feed master catalogs.

How does Arkon Platform work for management of master data catalogs?

It grants the function of creating workflows and generation of business process diagrams to be executed and implemented during any operation in an automated and fast way. This is the step by step of how it works:

1. You can create and execute workflows that automate your business processes.
   
   
2. By building the workflows, you’ll get recommendations to enhance your experience.
   
   
3. You can control the editing workflows permissions.
   
   
4. Validate and deploy rapidly.
   
   
5. Implement needed changes in a rapid way.

MDM success case

At Arkon we’ve accomplished great efficiency by transforming a CPG (Consumer Packaged Goods) master catalogs management.

The amount of data processing that a company of this magnitude has is very large, so good information management is essential. With our platform we bring management of master catalogs solutions, a user-friendly BMPN tool, and more.

Business results obtained by using Arkon.

MDM’s present is the future of your business

A great data management will strengthen the future foundations in the business industry as long as it’s done with a good organizational management and with a team of experts in this matter, who serve as minds capable of making decisions and making exhaustive research for the projects’ benefit.

Detecting pain points a company may have is not an easy task for those who live internal processes day by day, that’s why being well advised and receiving a consulting service is a more appropriate way to start an MDM implementation.

At Arkon Data we have the experience, technology and data management platform necessary to start building a path towards digital transformation of all companies. We know current market needs and we are willing to help you with a quality service and a product capable of providing you the solution you are looking for, to reach a new era of your business.