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Master data management (MDM) is an approach to reducing data redundancy by maintaining a definitive "record of truth," or master file Master Data, for critical data in order to supply a single source as a reference. Ideally, MDM organizes data sharing among multiple applications or departments.
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With small organizations, there usually isn't an issue keeping just a few systems up to date. The process of keeping data up to date between disparate systems is called Data Integration (DI). As organizations bring more and more systems online, their business data typically gets increasingly duplicated and the problem of keeping all of the systems up to date becomes problematic.
For example, imagine a delivery service that stores information about its customers in several systems:
Delivery Service Example
As customer information changes over time (i.e. customer address or phone number), keeping all the systems up to date becomes exponentially more difficult.
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- How does the organization manage access to the data?
Using the delivery service example above, the Warehouse Management system should get access to only a subset of the customer data for security reasons. And it shouldn't get any level of access to the Credit Card Processing system. The term . This level of access is called scope. Data Governance is used to describe managing data access scope. Data Governance also defines where the Master Data is stored.
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In Master Data Management, the set of fields or properties (e.g. name, address, phone number) that define a set of data (e.g. Customer) is called a data domain.
Migrating to Master Data Management
Master data management (MDM ) solves the problem of keeping interrelated systems up to date by creating a separate system where data domains (or domains) are defined for all systems inside the organization. The domains provide neutral data formats or schemas for all systems, facilitating data sharing. The latest (most recent) version of a given record is called the Data Record.
The data for a data domain defined in YOUnite domain can be stored either:
- In Be stored in the YOUnite data store (centralized MDM) or,
- Through adaptors, it can connect to the organization's systems without actually storing the data; this Remain in the organization's systems and, through adaptors, shares data with other systems via the YOUnite Data Hub (YOUnite's data store does not store the data). This is called federated MDM.
The latest version of a record is called the Data Record. Part of the responsibility of Data Governance is to define where the records of truth or Master Data is stored
Using the example of our delivery service:
Using the delivery service example above:
- Centralized: If the customer domain is centralized (i.e. stored in the YOUnite data store), the customer
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- Data Record is also stored
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- in YOUnite's data store and can be retrieved, in whole or in part, by the delivery service company's system applications that have appropriate access.
- Federated: If the customer domain
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- is federated, then the customer
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- Data Record is NOT stored
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- in YOUnite's data store but is created in real-time by referencing
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- customer domainproperties as they reside inside the various systems (i.e. the customer name, address, and phone number properties as stored in the Customer Service, Accounting, and CRM systems).
In the federated model, YOUnite MDM Master Data can be stored in the YOUnite data store or in one or more systems connected to YOUnite. Many systems may hold similar data but generally the organization as a whole decides which system(s) hold the Master Data and subsequently the data records. Note that with YOUnite's federated model, different groups inside of an organization can designate which system holds the master data.
YOUnite's governance model can manage who can access the data
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. In the federated example,
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the Warehouse Management system may only
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have access to data stored in the Distribution and CRM systems
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, but the Accounting System
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may have access to all the other systems. When the Warehouse Management Division looks up the data record for its customer the Acme Company it may get a different result than when the Accounting Division since the Accounting Division has access, or scope, to Acme Company's information on all systems.
Master data management is MDM is the process of determining where the master data Master Data is stored (centralized or federated) and managing who (a person or a system) has read, write, update, and delete . With YOUnite MDM master data can be stored in the YOUnite data store or in one or more systems connected to YOUnite in the federated model. Many systems may hold similar data but generally the organization as a whole decides which system(s) hold the master data and subsequently the master data records. Note that with YOUnite/s federated model, different groups inside of an organization can designate which system holds the master data.privileges to those systems.
Data Records vs Master Data
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Data records are the latest, most recent version of a record. They are stored in many systems connected to YOUnite and can be stored in , including the YOUnite data store. Master data is a process performed by the organization's data governance in establishing governance to establish which of these systems will be considered to contain the master data "record of truth" for a given data domain. Its It's not always necessary or appropriate for systems to access the organization's master data so , as many data access requests are for data records that may or may not contain master data. However, a one feature of YOUnite is the ability to propagate changes from a system that contains master data to others in the YOUnite eco-system on a permission-appropriate basis (i.e. scope).
Reviewing New Terms
Several terms have been introduced and it may be helpful to review them before moving on:
- Data Integration (DI) The process of transforming and transferring data from one system to another.
- Adaptor Applications, modules, or some software or hardware component that transforms data from one format to the other another so that the data can be consumed by another system.
- Data Governance Managing data access, i.e. who accesses certain data sets based on role, application, etc. Defining where the Master Data is stored.
- Data Domain (Domain) A set of fields or properties that define a set of data (i.e. the "Customer" data is comprised of the name, address, and phone number properties).
- Master Data Management (MDM) An approach to reducing data redundancy across systems by maintaining a master file for critical data.
- Data Record The latest (most recent) version of a given record.
- Master Data Record (MDRMD) The master or golden version of a record (for a customer, for example). The "record of truth."
- YOUnite Data Store Whereby the latest change to a record is saved inside of YOUnite (in the YOUnite MDM domain). From http://www.oracle.com/technetwork/articles/soa/ind-soa-mdm-2090170.html: MDM with a central database or central business applications (Centralized MDM).
- Federated MDM Whereby the latest change to a record is noted in one of the organization's systems without actually storing the data centrally (in the YOUnite MDM domain). From http://www.oracle.com/technetwork/articles/soa/ind-soa-mdm-2090170.html: MDM with distributed data and a central directory.
- Scope The defined access limit to MDM data for any given system, application, or role.
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