MDM Expert forecast for 2009: Data Quality will be core to delivering effective master data

Bob Karel, the Principal analyst at Cambridge, Mass.-based Forrester Research, has on  SearchDataManagement.com come with his predictions for Master Data Management for 2009.

  • Cross-enterprise MDM adoption will remain extremely rare.
  • Expect a messaging shift from MDM vendors to promote how MDM can mitigate risk.
  • The data quality market will grow as customers recognize it as a cheaper precursor to MDM.
  • MDM market consolidation will continue.

This is why the DQ market will grow:

Data quality management is core to delivering effective master data, and customers who balk at the extremely high start-up costs of MDM software and services will recognize that the more mature data quality market may effectively meet the 80/20 rule of their trusted data requirements — at a fraction of the cost. Operational MDM that bi-directionally synchronizes master data across the enterprise will follow once the value of data quality investments is realized.

This a trend I have experienced for the last 6 months in the Nordics, and I only think it will be stronger as Mr. Karel predicts.

New MDM reasearch shows All Best-In-Class companies focused on Data Quality

In a new research by Aberdeen Group called “Winning Master Data Management (MDM) Strategies for 2008-2009” showed that 100% of businesses suceeding with MDM, focused on Data Quality.

All Best-in-Class companies focused on customer data quality surveyed by Aberdeen Group (100%) invest in data collection, cleansing, and analysis tools, while 98% invest in data process management.

Is there any doubt that Data Quality is one of the key sucessfactors of MDM? You can read more about the research on CNNMoney.com

Is Data Quality as Sexy as Intestinal Medicine?

This weekend I was to a dinner with the Queens Heart Surgeon.  We talked about the hierarchy of surgeons, where he is at the top, Brain Surgeons is at 2nd and Intestinal Surgeons are at the bottom.  He is at the top because he literally holds life and death in his hands, whereas Intestinal Surgeons just has a shitty job.  Even though it’s unpleasant for the patients, they can learn to live with it, and it’s seldom lethal. 

After being to some Conferences and Meetings about BI and MDM, I ask myself:  Isn’t this how it is presumed to be in the IT world?  The big BI and DW vendors and integrators struts their charts and reports and show how important they are to the businesses and imposes as Heart Surgeons.  They claim that Data Quality is something you can take on the fly and want to project it as Intestinal Medicine.

Shouldn’t it be the other way around?  Gartner predicts that 50% of DW and CRM projects will fail, and the single most important reason is poor Data Quality.   It seems like it is the Data Quality Operators that are holding the life or death of these projects in their hands!

So from now on Data Quality Operators are compared to Heart Surgeons, and OK, I’ll give it to the big BI and DW vendors and integrators; they can be Brain Surgeons, a good 2nd in the hierarchy. 🙂