cdi-mdm summit – spring 2007 “mastering master data” · pdf filecdi-mdm...

© 2007 The CDI-MDM Institute The-CDI-MDM-Institute.com

CDI-MDM SUMMIT – Spring 2007“Mastering Master Data”

Pre-Conference Workshops & Tutorials • Sunday, March 25th

Conference & Exposition • Monday, March 26th – Tuesday, March 27th

Presented by: The CDI-MDM Institute, DM Review, & SourceMedia Events

50+ “Real World” Speakers.8 Tracks.

12+ Pre-Conference Workshops & Tutorials.40+ Leading Vendors.

ONE EVENT.

San Francisco Marriott


Keynote Speakers

Chief Research OfficerThe CDI-MDM [email protected]

Aaron Zornes

EditorBI Review, DM [email protected]

Jim Ericson


#1 Conference for Data Integration Professionals

Over fifty “real world” sessionsWorkshops, tutorials, expert panels, case studies, best practice sessions & more

Eight virtual tracksCDI, MDM, data governance/data quality, data integration services, financial services, high tech manufacturing, CDI-MDM 101, CDI-MDM for the advanced practitioner

Over forty of the leading CDI-MDM vendorsFrom mega vendor to best-of-breed & start-ups

Hundreds of your peersIncluding CTOs, enterprise architects, & data stewards

Get plugged into the biggest CDI-MDM download & diversify your career portfolio


“Top 5” Reasons to Attend

Accelerate your time-to-ROI re: CDI & MDM

Perform due diligence on all major components of an enterprise master data solution

Leverage your training budget by coming up to speed on one of the hottest IT topics

Fill critically short-staffed CDI & MDM positions

Expand your IT professional network & increase your personal market value


What’s New for Spring 2007?

New tracks tailored to Introductory & Advanced levels – end-to-end coverage, no matter what your background

New vendor “cross-examination” panels – Data Governance, Master Reference Data, & Process Hubs – unscripted, unfiltered, & unbiased

“Embedded User Case Studies” – All keynotes & vendor sessions include user speakers

More networking opportunities – Birds-of-a-feather meeting grounds for all major vendor products & topics plus receptions, hospitality suites, & more

Exchange ideas, build connections, & get plugged In


Eight Tracks

1. Customer data integration (CDI)

2. Master data management (MDM)

3. Data integration services

4. Data governance / data quality

5. Financial services

6. High technology manufacturing

7. “CDI-MDM 101”

8. “CDI-MDM Advanced Practitioner”

All the hot topics. Case studies. Expert panels. Best practices. Workshops. Tutorials.


CUSTOMER DATA INTEGRATION Track

TRACK KEYNOTE: “A Methodology for Sustainable CDI & MDM Success”

EXPERT TESTIMONY: " Technical Evaluation Criteria for CDI & MDM”

EXPERT TESTIMONY: "CDI Evolution & Global Account Management"

CASE STUDY: "'Mastering' Customer Data in a Multi-ERP Landscape“

CASE STUDY: "Process Governance & Stewardship in a Services-Oriented Business“

BEST PRACTICES: "Organizing for Effective Customer Master Data Governance in a Global Enterprise“

BEST PRACTICES: "Integrating Operational Customer Data in RetailBanking" - Chris Maughan & Deb Largen//SunTrust Bank

CASE STUDIES: Honeywell; Microsoft; Motorola; SunTrust Bank


MASTER DATA MANAGEMENT Track

TRACK KEYNOTE: “MDM: Choices Facing the CIO”

BEST PRACTICES: "MDM & CDI ROI & Justification“

BEST PRACTICES: "PIM Hub 2.0“

EXPERT TESTIMONY: "Optimizing Siebel CDI Match Accuracy"

EXPERTS PANEL: The Best of [master-data-management] Online Group Discussions

VENDOR CROSS-EXAMINATION: “CDI-MDM Futures"

CASE STUDIES: Clorox; Merrill Lynch; Palm, Inc.


DATA INTEGRATION SERVICES Track

TRACK KEYNOTE: “Incorporating Existing Systems into an SOA”

EXPERTS PANEL: “Privacy & Compliance Issues for CDI-MDM“

CASE STUDY: "Get Your CDI-MDM Project Off to a Running Start"

VENDOR CROSS EXAMINATION: "Hierarchy Mgmt vs. Hierarchy-by-Anarchy“

EXPERT TESTIMONY: "Avoiding the CDI-MDM SI Money Pit"

CASE STUDY: "Using SOA to Build a CDI Ecosystem“

CASE STUDIES: Intuit, Wind River Systems


DATA GOVERNANCE / DATA QUALITY Track

TRACK KEYNOTE: "Charter Your CDI-MDM Implementation with Effective Data Management“EXPERT TESTIMONY: "Implementing Effective Data Governance & Data Stewardship Programs“EXPERTS PANEL: “Best Practices in Data Governance“CASE STUDY: "Data Governance & Compliance for Financial Services"

EXPERT TESTIMONY: “Business Data Appliances – CDI-MDM Integration with D&B“VENDOR CROSS-EXAMINATION: "How Much Data Governance Integration is Necessary“EXPERTS PANEL: “Best Practices in Master Reference Data"

CASE STUDIES: PAML, R.R. Donnelley, …


FINANCIAL SERVICES Track

TRACK KEYNOTE: “MDM: Choices Facing the CIO”

EXPERTS PANEL: “Privacy & Compliance Issues for CDI-MDM“

EXPERT TESTIMONY: "CDI Evolution & Global Account Management“

EXPERT TESTIMONY: "Implementing Effective Data Governance & DataStewardship Programs“

CASE STUDY: "Data Governance & Compliance for Financial Services“

EXPERT TESTIMONY: “Business Data Appliances – CDI-MDM Integration with D&B“

CASE STUDY: "Process Governance & Stewardship in a Services-Oriented Business“

BEST PRACTICES: "Integrating Operational Customer Data in RetailBanking"

CASE STUDIES: Merrill Lynch, State Street Bank, SunTrust Bank, UMB, …


HIGH TECHNOLOGY MANUFACTURING Track

TRACK KEYNOTE: “A Methodology for Sustainable CDI & MDM Success”CASE STUDY: "Get Your CDI-MDM Project Off to a Running Start" EXPERT TESTIMONY: "CDI Evolution & Global Account Management" CASE STUDY: "'Mastering' Customer Data in a Multi-ERP Landscape“VENDOR CROSS EXAMINATION: "Hierarchy Mgmt vs. Hierarchy-by-Anarchy" EXPERT TESTIMONY: "Optimizing Siebel CDI Match Accuracy" EXPERTS PANEL: “Best Practices in Master Reference Data"

CASE STUDIES: Intuit, Motorola, Microsoft, Palm, Wind River Systems, …


“CDI-MDM 101” TrackPre-Conference “CDI-MDM Boot Camp”Pre-Conference “Building the Agile MDM Team" tutorial Pre-Conference "Master Reference Data Workshop"Pre-Conference "Human Dynamics in Data Governance" TutorialTRACK KEYNOTE: “MDM: Choices Facing the CIO”BEST PRACTICES: "MDM & CDI ROI & Justification“EXPERT TESTIMONY: "Avoiding the CDI-MDM SI Money Pit"EXPERTS PANEL: “Best Practices in Data Governance" EXPERT TESTIMONY: "CDI Evolution & Global Account Management" EXPERT TESTIMONY: "Implementing Effective Data Governance & Data Stewardship Programs"

“Mix & match” … Don’t Forget the Pre-Conference Workshops & Tutorials


“CDI-MDM Advanced Practitioner” Track

Pre-Conference "Data Profiling for Proactive Data Quality Improvement" Workshop

TRACK KEYNOTE: “Incorporating Existing Systems into an SOA”

VENDOR CROSS EXAMINATION: "Hierarchy Mgmt vs. Hierarchy-by-Anarchy"

EXPERTS PANEL: “Best Practices in Custom-Built/DIY CDI-MDM“

EXPERTS PANEL: “Best Practices in Master Reference Data"

VENDOR CROSS-EXAMINATION: “CDI-MDM Futures"

VENDOR CROSS-EXAMINATION: "Process Hubs"

“Mix & match” … Don’t Forget the Pre-Conference Workshops & Tutorials


PLATINUM Sponsors

Thought leadership, 45-minute keynotes


GOLD Sponsors

60-minute information innovation sessions


40+ Exhibitors

Visit with the leading CDI-MDM vendors – from mega vendor to best-of-breed & start-ups

http://www.ibm.com/us/


2007 CDI-MDM SUMMITS

March 25 - 27San Francisco

April 30 - May 2London, UK

May 28 - 29 Sydney, AU

July 2007Tokyo

September 2007Madrid

November 14 - 16 New York City


March 1-2, 2006 in San Francisco – 500+ Attendees**SOLD OUT SIX WEEKS PRIOR**

CTOs, CIOs, Enterprise Architects, Data Architects, Directors/VPs of IT, Directors of COE …

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http://www.ml.com/

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October 15-17, 2006 in NYC – 600+ Attendees**SOLD OUT FOUR WEEKS PRIOR**


http://www.aig.com/gateway/home/1-70-0-0-index.htm

http://www.ameriprise.com/

http://www.astrazeneca-us.com/default.asp

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CDI-MDM SUMMIT – SPRING 2007 Attendees (subset)


http://www.astrazeneca-us.com/default.asp


http://www.emc.com/index.jsp




http://www.gene.com/gene/

http://www.motorola.com/seamless_mobility


What’s Next After San Francisco?

Post-conference feedback surveyCall for Papers for November 2007 NYC SummitNear-term CDI-MDM SUMMITs

London | April 30 – May 2Sydney | May 28 – 29

All conference sessions available on line in 2-4 weeks2007-08 CDI-MDM Institute scorecard survey www.tcdii.com/takeoursurvey.html

http://www.tcdii.com/takeoursurvey.html


CDI-MDM SUMMIT – Spring 2007“Mastering Master Data”

Pre-Conference Workshops & Tutorials • Sunday, March 25th

Conference & Exposition • Monday, March 26th – Tuesday, March 27th

Presented by: The CDI-MDM Institute, DM Review, & SourceMedia Events

50+ “Real World” Speakers.8 Tracks.

12+ Pre-Conference Workshops & Tutorials.40+ Leading Vendors.

ONE EVENT.

San Francisco Marriott


CDI-MDM Spring 2007 SummitSan Francisco Marriott

March 25 – 27, 2007

600+ attendees. 50+ speakers. 40+ vendors.ONE EVENT.


About the CDI-MDM Institute

Founded in 2004

Focused on CDI-MDM business drivers & technology challenges

CDI-MDM Advisory Council™of fifty G5000 IT organizations with unlimited advice to key individuals, e.g. CTOs, CIOs, data architects

CDI-MDM Business Council™website access & email support to 2,500+ members

CDI-MDM Road Map & Milestones™ semi-annual strategic planning assumptions

CDI-MDM Alert™ bi-weekly newsletter

CDI-MDM Market Pulse™ monthly surveys

Budgets, success/failure rates, mindshare of 250+ major in-flight CDI-MDM projectsExamples: evaluation process for CDI SI, CDI ROI in Telco M&A, …

CDI-MDM Fast Track™One-day public & onsite workshop

Fee-based & rotating quarterly through major North American, European, & Asia-Pacific metro areas

Semi-annual CDI-MDM SUMMIT™

“Independent, Authoritative, & Relevant”

About Aaron ZornesMost quoted industry analyst authority on topics of CDI & MDM

Founder & Chief Research Officer of the CDI-MDM InstituteConference chairman for DM Review’s CDI-MDM SUMMIT conference series

Founded & ran META Group’s largest research practice for 14 years M.S. in Management Information Systems from University of Arizona


CDI-MDM Institute Advisory Council

Advisor agrees to provide Institute’s consultants with advice & insight regarding the use of CDI-MDM software & related business processes at Advisor’s convenience Advisor agrees to participate in at least one fifteen (15) minute survey teleconference call every sixty (60) days Optionally, Advisor may respond to the bi-monthly survey request via email or Internet-based survey fulfillment Results of such market research surveys shall be aggregated by the Institute & made available to all Advisory Council members In no case, shall any Advisor-specific survey information be made available to other parties unless Advisor has specifically agreed to the release of such information in writing

Fifty organizations who receive unlimited CDI-MDM advice to key individuals, e.g. CTOs, CIOs, & CDI project leads

Representative Members• 3M

• Advnat

• Bell Canada

• Caterpillar

• Citizens Communications

• COUNTRY Financials

• Educational Testing Services

• GE Healthcare

• Honeywell

• Intuit

• MCI

• McKesson

• Medtronic

• Microsoft

• Motorola

• National Australia Bank

• Nationwide Insurance

• Novartis

• Roche Labs

• Scholastic

• Skura

• SunTrust

• Westpac


“The World Is Flat”

Data structures & business processes must be supremely flexible

Underlying IT infrastructure must enable new business models

Policies/process flows must integrate in ways previously problematic

EAI = enterprise application integrationETL = extract-transform-loadMDI = master data integrationSOA = service-oriented architecture

Value of Integration Exceeds Value of Build/Buy

Valu

e

Time

Value ofIntegrating Applications

Value ofBuilding

Applications

ETL EAI MDI

MonolithicApps

Client/ServerApps

SOA/Web Services

Global competition mandates a wide variety of new business styles


Business Drivers 2007-08

Just-in-time 21st century business models mandate both agility & integration across enterprise to

Provide higher profitabilityReduce operations costs Increase accuracy of regulatory compliance

Emergence of “demand chains”mandates synergetic approach across both “party” & “product”master systems via common business servicesM&A as a business strategy

Agile Enterprise

Contemporary business strategies mandate flexible infrastructure – propelling CDI-MDM into “Top 10” initiative

Self-DirectedService

M&A“Ready”

RapidNPI

Integrated Risk

Mgmt

Co-opetition

“Demand”Chains


Technical Challenges 2007-08

High RAS (reliability, availability, scalability) infrastructure Flexibility in mash-up of extreme data velocity & varietyInline analytical MDM processes supporting operational MDM Customer:product conundrumLack of standards – BPM, rules engines, metadataAdherence to evolving security & privacy requirementsLifecycle approach to data assets

Market is in flux with no dominant vendor or architecture; requirements vary by industry, scale & business complexity

Historical MDM Solutions

Synchronization

Enterprise Application Integration(EAI)

ExtractTransform

Load (ETL)

Replication

Aggregation

MasterCustomer

Files/DBs

MDM


Working Definitions

Data Governance (DG) Data Governance (DG)

Customer Data Integration (CDI)

Customer Data Integration (CDI)

Processes & technologies for recognizing a customer & its relationships at any touch-

point while aggregating, managing & harmonizing

accurate, up-to-date knowledge about that

customer to deliver it ‘just in time’ in an actionable form to

touch-points.

Formal orchestration of people, process, & technology to enable an organization to leverage data as an enterprise asset.

Master Data Management (MDM)

Master Data Management (MDM)

The authoritative, reliable foundation for data used

across many applications & constituencies with the goal

to provide a single view of the truth no matter where it lies.

CDI is mandatory first step for most organizations on journey to MDM


Working Sub-Definitions

For most G5000 enterprises, multiple (often all) variants will be needed to make MDM initiatives successful

Analytical MDM Analytical MDM Definition, creation, & analysis of

master data; examples: counterparty risk mgmt apps &

financial reporting consolidation

Collaborative MDM Collaborative MDM Definition, creation, &

synchronization of master reference data via workflow & check-in / check-out services;

examples: PIM data hubs & AML

Operational MDM Operational MDM

Definition, creation, & synchronization of master data

required for transactional systems & delivered via SOA; examples: near R/T customer

hubs & securities masters


‘Top 5’ Justifications for CDI-MDM Initiatives

1. Catalyzes market leadership & dominance

2. Provides increased ROI by “leveraging / rationalizing existing infrastructure”

3. Significantly increases shareholder value

4. Provides a disruptive technology for new business models

5. Enables compliance & regulatory reporting


CDI-MDM Catalyzes Market Leadership & Dominance

Maximizes walletshare across product lines & BUsUpsell via sticky bundlesNew markets via cross sell to existing customer base

Increases understanding of large customers by grouping all buying orgs into B2B or B2C hierarchyEnables integrated customer analytics – i.e., profitability analysis, lifetime valueEnables “co-opetition” & electronic storefront models –e.g., B2B2C by integrating partner data with internal data Protects brand integrity by increasing customer satisfaction due to more focused marketing & service campaigns – e.g., “blended agent” capabilityActualizes “consistent customer treatment” by blending channels to deliver common customer experiences


CDI-MDM Provides Increased ROI by “Leveraging Existing Infrastructure”

Enables integration of new & old channels – e.g., collections, fraud, contact centers with kiosk, ATM, IVR & online self-serviceMinimizes architectural complexity to simplify application solution design, deployment, & maintenance Reduces number of interfaces between applications & increasing reuse factor to save substantial integration costsImproves infrastructure flexibility and control to enhance overall system performance Accelerates ROI of enterprise CRM solutions Reduces overall project risk through increased flexibility & centrally managed architecture


CDI-MDM Significantly Increases Shareholder Value

Drives costs of “dirty data” out of the info supply chainAccelerates revenue growth via more intelligent cross-sell & up-sell enabled by complete understanding of customer (profile, accounts & interactions) to leverage bundling opportunitiesFacilitates quick scales of economy in mergers & acquisitions (M&A) – e.g., shortening customer, desktop, & billing integration timeframes while providing scalability to support rapid assimilation of new block of customersMeasures, manages & grows “customer information” as a key corporate assetDrives fundamental operational savings & efficiencies –e.g., “once & done” enterprise-wide services for key customer processes such as account changes (name, address)


CDI-MDM Provides a Disruptive Technology for New Business Models

Enables self-directed customer experience for sales & serviceProvisions hyper-integrated 21st century supply chain – e.g., outsourced manufacturing, outsourced service (“he who owns master reference data, dominates supply chain”)

Automates customer transactions that flow across systemsEnables contingency planning for future technologies – e.g., biometrics, smartcards, etc.Provides much more than “just another customer interface”

21st century business application development platformService-oriented architecture – a.k.a, “first foray into SOA”Web servicesIntegrated analyticsNear real-time materialization


CDI-MDM Enables Compliance & Regulatory Reporting

Centrally manages privacy preferences for consistent rules of visibility & entitlementsEnhances “evergreening” of customer data accuracy – e.g., continuous customer data improvement by providing self-directed customer care portals … which in turn help integrate customer info across BUsEnables regulatory reporting compliance – i.e., large customers’ material events (SOX, BASEL II)Facilitates compliance with AML, OFAC, USA PATRIOT, et al


CDI-MDM Milestones

Market maturation

Market momentum

Market consolidation

Budgets/skills

Data governance

MDM convergence

Architecture & data models

Customer identification

Master data delivery

Analytics

Policy hubs

Enterprise search

Strategic planning assumptions to assist IT organizations & vendors in coping with flux & churn

of emerging CDI-MDM vendor landscape


Market MaturationStrategic Planning Assumption

During 2007, the CDI-MDM market will continue to shift gears from “early adopter” to “mainstream” as 95%+ of financial services, communications services, high tech, & pharma/life sciences enterprises actively plan to replace homegrown CDI-MDM solutionsThrough 2008-09, verticalization/horizontalization of CDI-MDM solutions will expand beyond financial reporting, EMPI healthcare, etc. into financial services & government especiallyBy 2010, the market for MDM solutions (software & services) will exceed US$2B**

** Gartner Research projection

CDI-MDM MILESTONE


Market MomentumStrategic Planning Assumption

During 2007-08, CDI-MDM solutions such as IBM, ORCL, SAP, & TDAT will monopolize majority market share in the G5000 enterprise; while mid-market solutions will arrive from MSFT, Nimaya, & ORCL plus Data Quality vendors (Pitney Bowes, SAS/DataFlux, Trillium)Through 2008-09, both mega & best-of-breed CDI-MDM vendors will aggrandize the traditional master customer DB business of Data Service Providers such as ACXM, DNB, & GUS/Experian as these vendors struggle to deliver on-premise CDI hub solutionsBy 2009-10, every major application & database vendor will provide either native or OEMed CDI-MDM capability – including DOX, MSFT, & CRM

CDI-MDM MILESTONE


CDI-MDM Momentum

October 2005 – IDC’s W/W Market Forecast stated MDM market to grow to US$10.4 billion by 2009

March 2006 –CDI-MDM SUMMIT 2006 launched largest expo dedicated to CDI, MDM, & DG **sold out**

June 2006 – Gartner recognized importance of CDI with its second Magic Quadrant™ for CDI Hubs

October 2006 – Forrester releases second Wave™ report on CDI

October 2006 – Second CDI-MDM SUMMIT **sold out**

CDI-MDM is critical to proactively & consistently manage customer data to untangle quagmire of complex systems –

e.g., streamline processes, enhance QoS, & govern compliance

It’s All About “Relationships”

PanoramicCustomer

ViewCustomer-CentricView

Universal Customer

View

CDI

360 ºCustomer

View

Master CustomerInfo File

CustomerSystem

of Record


Market Consolidation & DiversificationStrategic Planning Assumption

During 2007, mega IT vendors (IBM, ORCL, SAP) will continue M&A-driven R&D gyrations in moving to an enterprise MDM-centric portfolioBy 2008-09, IBM (ASCL/CRSW/DWL/LAS/SRD/Trigo/ Unicorn) & ORCL (iFlex/JDE/PSFT/RETK/SEBL/ Sunposis) will begin to overcome most of the same architectural/BPM/metadata/platform issues that confounded SAP earlier (SAP MDM/A2i xCat/Callixa)Through 2009-10, mega IT vendors (IBM, ORCL, SAP, & TDAT) will dominate the CDI-MDM market with niche/best-of-breed vendors (i2, Initiate Systems, Kalido, Purisma, Siperian) thriving in specific industries & horizontal/corporate applications

CDI-MDM MILESTONE


CDI-MDM Genealogy

Pre-2001 2002 2003 2004 20062005

1st gen CDI solutions

arrive (IBM CIIS, Hogan CIF) Nascent EII

vendors arrive & flop

Data service providers (Acxiom, Experian) fail at software makeovers

into CDI2nd gen CDI vendors merge to form 3rd gen CDI solutions

(Initiate/Journee, Siperian/Delos)

Oracle, SAP, Siebel introduce

3rd gen/hybrid CDI

Mega vendors digest

acquisitions

App vendors launch EAI

infrastructure (SAP NetWeaver,

Siebel UAN)

ETL vendors add modest

CDI extension & avow CDI capabilities

Mega app vendors

roll out CDI (Oracle OCO,

SAP MDM, Siebel UCM)

CDI early adopters drive requirements

(Fin Svcs, High Tech Mfg,

Pharma, Telco)

‘EIM’ as yet

another TLA

3rd generation CDI solutions are based on service-oriented architecture (SOA) to hybridize aggregation, replication &

synchronization to provide enterprise-wide CDI infrastructure

‘Process Hubs’trounce

‘Data Hubs’; 4th gen

‘Full Spectrum’hubs support structured & unstructured

2007+


Budgets & SkillsStrategic Planning Assumption

During 2007, typical G5000 size enterprise will budget/spend US$1M for CDI-MDM software, with an additional US$3-4M for SI services; Global Service Providers will operate under this price floor by applying highly-customized, labor-intensive frameworks & acceleratorsThroughout 2007-08, skill shortages will greatly inflame project costs as demand for data stewards, enterprise data architects, & other individuals with strong affinity for data governance will outstrip the market for experienced individuals; concurrently, Systems Integrators will fill the void in their classic style by baiting & switching senior veterans for junior rookiesBy 2008-09, the market will have stabilized as enterprises react by training & protecting their own CDI-MDM staff with specific software product & project expertise

CDI-MDM MILESTONE


Career TracksStrategic Planning Assumption

Scarcity of “hands on” CDI-MDM experience exists

By 1H2007, 1,500+ product-specific consultants albeit with little “real world” experience with mainstay CDI-MDM solutions

Current shortage lends itself to same scenario 5-10 years ago with SAP’s ABAP 4GL – i.e., inflated prices & resumes with many junior SI staff spinning up to speed at client’s expense (a.k.a. “Androids”)

Market for expertise will create major demand for corporate CDI-MDM positions during next 3-5 years

Data Steward,Enterprise

Data Architect,Enterprise Data

Modeler,Ctrs of Excellence,

CDI-MDMProgrammers

Product-Neutral

Product-Specific Off-Shore

On-Site


Data GovernanceStrategic Planning Assumption

During 2007, enterprise-level data governance will be mandated as a core deliverable of large-scale CDI-MDM projects delivered via RFPsThrough 2007-08, major systems integrators & CDI-MDM boutiques will focus on productizing their data governance frameworks while most CDI-MDM solution providers will struggle to link business process design with process hub architectureBy 2008-09, both corporate & LOB data stewards will be a common position as Global 5000 enterprises formalize this function amidst increasing de facto & de jeure recognition of information as a corporate asset

CDI-MDM MILESTONE


Data Governance Juggernaut

Data Customer MasterWarehouse Data Integration Data Management

(Batch) (On-Line) (Just-in-Time)

Data Data GovernanceGovernance

Must BecomeMust Become““De FactoDe Facto””

Data Data GovernanceGovernanceWill BecomeWill Become

““De JureDe Jure””

Data Data GovernanceGovernanceBecomingBecoming

““De RigueurDe Rigueur””

Enterprise risk management is emerging as a major issue within most financial institutions & is VERY data-centric


Data Governance Maturity Level

Overall, FSPs are leading the way for non-FSPs

BASIC (“anarchy”) – App-centric approach; meets business needs only on project-specific basisFOUNDATIONAL (“IT monarchy”) – Policy-driven standardization on technology & methods; common usage of tools & procedures across projectsADVANCED (“business monarchy”) – Rationalized data with data & metadata actively shared in production across sourcesDISTINCTIVE (“Federalist”) – SOA (modular components), integrated view of compliance requirements, formalized organization with defined roles & responsibilities, clearly defined metrics, iterative learning cycle

0%

10%

20%

30%

40%

50%

Basic Foundational Advanced Distinctive

FSP

Non-FSP

Source: February 2006 CDI Institute survey of 50 Global 5000 IT organizations


MDM ConvergenceStrategic Planning Assumption

During 2007, customer & product data interdependencies will quickly broaden CDI-MDM requirements – i.e., from “customer” to “product” to “vendor”; concurrently, vendor dogma will promote nouveau approaches such as Collaborative MDM to assuage the multi-hub conundrumThrough 2007-08, select best-of-breed vendors (Kalido, Purisma, Siperian, Stratature) will provide multi-hub (entity, architecture & brand) connectivity via hierarchy management extensionsBy 2008-09, enterprises without an overall, long-term MDM strategy run the ironic risk of building “MDM silos”

CDI-MDM MILESTONE


CUSTOMER:PRODUCT Conundrum

Different master entity types may require different MDM brands, use-case architectures

Product data shared across supply chainEmployee data captive within HR appsCustomer data never leaves home (outside the firewalls)Catalog & NPI data shared with partners

Customer policy/process hubs ultimately require pricing masters, product masters, supplier masters, & so on …

PricingAuthorized Products

BundlesCross-Reference

HierarchiesGeographical Variants

Regional Variants

CUSTOMER

PRODUCT

SOA mandates “Customer” + “Product” MDM – however, “customer” cannot simply be added as object to PIM products


Architecture & Data ModelsStrategic Planning Assumption

During 2007, market will further evolve as vendors specialize at Analytical MDM & Operational MDMDuring 2008-09, mega vendors (IBM, ORCL, SAP, TDAT) will continue to focus significant R&D & mktg resources on “industry content” of data models which will force specialist vendors to stay “data model lite” via focus on B2B/B2B2C hierarchy mgmt & distributed CDI-MDMNot until 2009-10, will mega CDI-MDM vendors have rewired foundational software to fully support strategic application infrastructure (Oracle Fusion, SAP NetWeaver, et al) & have completed transitioning from client/server to SOA; concurrently, G5000 business requirements will drive vendors into 4th generation, full spectrum hubs that support both structured & unstructured information

CDI-MDM MILESTONE


Most Common CDI Topologies

Composite/Hybrid is majority architectural preference; Registry/Virtual 2nd choice

IMPLEMENTATION STYLE DESCRIPTION

External (Svc Provider) • Database marketing providers• Data service providers • Service bureaus

Persistent (Database) • Master customer information file/database• Operational data store/active data warehouse• Relational DBMS + Extract-Transform-Load

(ETL) + Data Quality (DQ)

Registry (Virtual) • Metadata layer + distributed query (enterprise information integration or EII)

• Enterprise application integration (EAI)• Portal

Composite (Hybrid) • Ability to fine-tune performance & availability by altering amount of master data persisted

• XML, web services, service-oriented architecture (SOA)

“Chernobyl” • Encapsulate legacy applications


Customer IdentificationStrategic Planning Assumption

During 2007, independent DQ vendors focus on name & address cleansing as their forte as they struggle to compete against better funded match/merge & data profiling capabilities increasingly integrated with mega vendor CDI-MDM solutionsBy 2008, sophisticated hierarchy mgmt capabilities will include “global IDs” as mainstay feature for all CDI-MDM vendors to link both legacy & newly-built hubs with Data Service Providers’ enrichment data; concurrently, support for metadata repositories to link mega vendors’ multitude of acquisitions will continue to significantly lagThrough 2009-10, high-speed probabilistic matching algorithms will dominate over deterministic models despite hybrid solutions providing the best results

CDI-MDM MILESTONE


Why Organizational Hierarchy Management ?

Based on recognition of need to Grow beyond mature North American & Western European market Support global customer service

G5000 businesses are now recognizing opportunity to take more strategic view of “global account management”

Market demand for “customer hierarchy management” –esp. B2B – capability to augment mega vendor’s data hub strategies (IBM, ORCL, SAP) will explode during 2007-08

CDI-MDM solutions which incorporate such capabilities will be key factor in successful deployment of globally-enabled solutions

3rd party hierarchy data inadequate (or non-existent for certain geos) – e.g., Equifax/Austin-Tetra, D&B, China,…


Organizational Hierarchy Management

Key features Ability to model complex relationships – legal, organizational & cultural Ability to handle overlapping hierarchies – multi-party modelVisual hierarchy management toolIntegration with data governance processes

Short listInitiate Systems; Hyperion; IBM; Oracle-Siebel; Purisma; Siperian; Stratature

Use casesGlobal account managementRisk managementBasel II, USA Patriot, AML complianceM&A


Master Data DeliveryStrategic Planning Assumption

During 2007, EAI/EII/ETL vendors will scurry to either add persistence to products or align with CDI-MDM vendors as a complimentary role by enabling hubs to interweave data from multiple diverse master sources with persisted master data Through 2007-08, systems performance will remain problematic as enterprises hedge between virtual, persisted & composite/hybrid hubs; applying point solutions such as EII middleware will help adjudicate both performance & political stalematesThrough 2008, these M/W vendors will thrive (& be acquired) by providing increased throughput & additional repurposing/publishing capabilities to classical CDI-MDM solutions; by 2009, these vendors will be fully assimilated

CDI-MDM MILESTONE


AnalyticsStrategic Planning Assumption

During 2007, the convergence of CDI-MDM & business intelligence (BI) will accelerate as enterprises leverage CDI-MDM concepts in a BI contextThrough 2008-09, ongoing evolution of Analytical MDM & Operational MDM will increasingly benefit enterprises by blending such transactional hubs with master reference data repository By 2010, inline & real-time analytics derived from MDM-enabled aggregation of both transactional & historical data will have become the major source of sustainable competitive differentiation for Global 5000 enterprises

CDI-MDM MILESTONE


Policy HubsStrategic Planning Assumption

During 2006-07, CDI-MDM vendors will lag their BPM counterparts in providing workflow orchestration to synchronize the trusted sources that comprise a federated master data storeThrough 2007-08, the mega CDI-MDM vendors (IBM, ORCL, SAP) will struggle to provide BPEL-compatible workflows while specialist CDI-MDM solutions rush distributed Collaborative MDM capabilities to marketBy 2009-10, without such flexible workflows, organizations will merely rebuild the same master data files they evolved the past 15-20 years with their ERP & CRM infrastructures

CDI-MDM MILESTONE


Data Governance EnablesBusiness Process Mgmt -> Policy Hubs

PrivacyPrivacyPreferencesPreferences

PricingPricingBundlesBundles

CompatibilityCompatibility

LegacyLegacy

Shipping Shipping ApprovalsApprovals

EligibilityEligibility

Upgrade/Upgrade/DowngradeDowngrade

Next Next Best Best OfferOffer

DiscountDiscountPoliciesPolicies

Process /Process /Policy Policy HubHub

Methodology is needed to bind process steps, skills & software to produce Data Governance deliverables


Enterprise SearchStrategic Planning Assumption

Through 2007, the unique properties & behavior of master reference data will spawn a series of vertical applications & specialized features within CDI-MDM solutionsDuring 2008-09, semantically-enabled metadata will enable “search” for both structured & unstructured info across a variety of applications such as catalog management & deep web search, & enterprise searchBy 2009-10, enterprise semantics & SOA-enabled data services will provide the technology foundation for policy hubs; concurrently, the 4th generation of hubs will innately support Analytical, Operational, & Collaborative & MDM business services

CDI-MDM MILESTONE


Solidifying Requirements for 3rd Generation CDI-MDM Solutions

Multi-entity hub capabilities SOA/shared services architecture with evolution to “process hubs”Sophisticated hierarchy management High-performance identity managementData governance-ready framework

MASTER DATA

SEARCH

MASTER DATA

MODELING

MASTERDATA

APPLICATIONS

CDI-MDMMASTER

DATA PREPAR-

ATION

MASTERDATA

GOVERNANCE

MASTERDATA

MOVEMENT

Global 5000 enterprises’ “multi-hub” scenarios mandate architectural/infrastructure approach to CDI-MDM


Bottom Line Planning Assumptions

Acknowledge no single vendor “does it all well”Analytical vs. Operational vs. Collaborative MDMB2B vs. B2C vs. B2B2CBatch vs. real-time

Recognize that industry expertise matters Test drive matching & scalability performanceInvest in data governance & CDI-MDM architecture for long-term sustainability & ROI

CDI-MDM is critical to proactively & consistently manage customer data to untangle quagmire of complex systems –

e.g., streamline processes, enhance QoS, & govern compliance


How to Leverage the CDI-MDM Institute

Kick start the “CDI-MDM evaluation process”Attend public workshopBring workshop on-site

Fine tune in-process CDI-MDM strategiesDue diligence on reference checking & contract details

Stay ahead of curve via CDI-MDM Business CouncilRe-qualify every 6 months via surveyReceive CD-MDM Alerts & access to Web-hosted research

Increase your knowledge & negotiatingstrengths via CDI-MDM Advisory Council Membership

Participate in monthly surveys & receive updated industry scorecard Receive unlimited CDI consultation via telephone

“Independent, Authoritative, & Relevant”


Authoritative

Relevant

Independent

Aaron ZornesFounder & Chief Research Officer

The CDI-MDM InstituteThe-CDI-MDM-Institute.com a.k.a.

www.tcdii.com

cdi-mdm summit – spring 2007 “mastering master data” · pdf filecdi-mdm...

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