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© 2005 IBM Corporation IBM Master Data Management Tom Wu 巫介唐, [email protected] Information Integrator Advocate Software Group IBM Taiwan

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  • 2005 IBM Corporation

    IBM Master Data Management

    Tom Wu , [email protected] Integrator AdvocateSoftware GroupIBM Taiwan

  • 2005 IBM Corporation9411112 2005 IBM Corporation941111

    Inconsistent Master Information is a Major HurdleImpacts Revenue, Cost, Agility and Compliance

    Coffee Beans GTIN 20012294219421

    CANCode : 21204

    USACode : 21192

    BR, CR, MEXCode : 21186

    CH, AUT, DE, UK, FR, BEL, NL, IT : Code : 21184

    DE, FIN, SWE, NOR, ESP, POR, Code : 21190

    BUL, YUG, CR, RO, SLOVCode : 19616

    ISRCode : 21204

    MidEaCode : 21204

    World TradeCode : 19619, 19616

    AUSCode : 21190

    HK, TAI, SIN, MAL, S.KORCode : 21188

    JAP, THAI, INDO, PHICode : 21189

    CZ, LIT, EST, SLOV, RUCode : 2002494

    ARGCode : 21184

    Gaining control over product information results:

    27% improvement in optimized promotions

    23% improvement in maximizing product and brand management

    27% reduction in the number of call center questions regarding basic item information

    20% improvement in employee productivity

    Industry Drivers: RFID, Waste Electrical and Electronic Equipment Recycling, Product Information Exchange Standards, Return of Hazardous Substances, Global Data Synchronization, Sarbanes Oxley, etc. (Yankee Group, 2005)

    Gaining control over product information results:

    27% improvement in optimized promotions

    23% improvement in maximizing product and brand management

    27% reduction in the number of call center questions regarding basic item information

    20% improvement in employee productivity

    Industry Drivers: RFID, Waste Electrical and Electronic Equipment Recycling, Product Information Exchange Standards, Return of Hazardous Substances, Global Data Synchronization, Sarbanes Oxley, etc. (Yankee Group, 2005)

  • 2005 IBM Corporation9411113 2005 IBM Corporation941111

    Inconsistent Master Information is a Major HurdleImpacts Revenue, Cost, Agility and Compliance

    CANCode : 21204

    USACode : 21192

    BR, CR, MEXCode : 21186

    CH, AUT, DE, UK, FR, BEL, NL, IT : Code : 21184

    DE, FIN, SWE, NOR, ESP, POR, Code : 21190

    BUL, YUG, CR, RO, SLOVCode : 19616

    ISRCode : 21204

    MidEaCode : 21204

    World TradeCode : 19619, 19616

    AUSCode : 21190

    HK, TAI, SIN, MAL, S.KORCode : 21188

    JAP, THAI, INDO, PHICode : 21189

    CZ, LIT, EST, SLOV, RUCode : 2002494

    ARGCode : 21184

    Coffee Beans GTIN 20012294219421

  • 2005 IBM Corporation9411114 2005 IBM Corporation941111

    Islands of Master InformationReduce customer satisfaction, decrease revenue, hinder relationships

    DocumentManagement

    Michael JohnsonMortgage.tif ERP

    JP Morgan, USACust ID : JP003

    CRMCall Center

    Mike JohnsonJP Morgan ChaseLast Interaction:

    4/11/03 (product not received)

    Retail Pointof Sale

    JP Morgan & ChaseContact : Michael A

    Johnson, CIO270 West St, NY

    Portal

    Michael JohnsonUser ID: Mjohnso

    ! Personalized access! Gold Customer

    ! Sub: Newsletter 1

    CRMMarketing

    Michael Johnson! Opt-Out flag

    ! No Promotion flag

    Application Forms

    PaymentsService and

    SupportIn-Store

    Interactions

    DataWarehouse

    Michael P Johnson1400 54rd Avenue

    NY NY212 995-3345

    3rd PartyInformation

    Internet Commerce

    Michael JohnsonUser id :mjohnson

    JP MorganContract:: JP987

    Online Purchases

    Companies quantify impact of bad customer data:

    66% indicate profitability of company as a whole was negatively affected by poor information quality

    75% indicate bad customer data quality is harming customer service, quality and loyalty

    52% identified integration of diverse systems as a major source of inaccurate information

    Industry Drivers: Privacy Management, Basel II, Do not Call compliance, Patriot Act, Sarbanes Oxley, HIPAA

    Companies quantify impact of bad customer data:

    66% indicate profitability of company as a whole was negatively affected by poor information quality

    75% indicate bad customer data quality is harming customer service, quality and loyalty

    52% identified integration of diverse systems as a major source of inaccurate information

    Industry Drivers: Privacy Management, Basel II, Do not Call compliance, Patriot Act, Sarbanes Oxley, HIPAA

    DirectMail Response

    Online Registration

  • 2005 IBM Corporation9411115 2005 IBM Corporation941111

    Islands of Master InformationReduce customer satisfaction, decrease revenue, hinder relationships

    Online Purchases

    DirectMail Response

    DocumentManagement

    Michael JohnsonMortgage.tif ERP

    JP Morgan, USACust ID : JP003

    CRMCall Center

    Mike JohnsonJP Morgan ChaseLast Interaction:

    4/11/03 (product not received)

    Retail Pointof Sale

    JP Morgan & ChaseContact : Michael A

    Johnson, CIO270 West St, NY

    Portal

    Michael JohnsonUser ID: Mjohnso

    ! Personalized access! Gold Customer

    ! Sub: Newsletter 1

    CRMMarketing

    Michael Johnson! Opt-Out flag

    ! No Promotion flag

    Internet Commerce

    Michael JohnsonUser id :mjohnson

    JP MorganContract:: JP987

    Application Forms

    Online Registration

    Service and Support

    3rd PartyInformation

    In-StoreInteractionsPayments

    DataWarehouse

    Michael P Johnson1400 54rd Avenue

    NY NY212 995-3345

  • 2005 IBM Corporation9411116 2005 IBM Corporation941111

    Lack of a Complete, Consolidated Global ViewCant manage procurement or understand suppliers and supply chains

    Druker International?? Total Spend

    ?% Corporate Discount

    Drucker Corporation$5 MM Spend5% Discount

    Druker Europe20 MM Spend10% Discount

    Treating Supplier Information Holistically Can Lead To:

    80% reduction in vendor count

    30% reduction in cost to onboard new suppliers

    26% reduction in the number of purchase order errors resulting in incorrect shipments or adjustments

    20% improvement in increased collaboration with partners and suppliers

    Industry Drivers: Homeland Security, Secure Trade Lanes / FAST, Sarbanes Oxley, Global Data Synchronization, RFID Contract Compliance

    Treating Supplier Information Holistically Can Lead To:

    80% reduction in vendor count

    30% reduction in cost to onboard new suppliers

    26% reduction in the number of purchase order errors resulting in incorrect shipments or adjustments

    20% improvement in increased collaboration with partners and suppliers

    Industry Drivers: Homeland Security, Secure Trade Lanes / FAST, Sarbanes Oxley, Global Data Synchronization, RFID Contract Compliance

    Druker Americas$25 MM Spend15% Discount

    Druker Materials NA$20MM Spend8% Discount

  • 2005 IBM Corporation9411117 2005 IBM Corporation941111

    Lack of a Complete, Consolidated Global ViewCant manage procurement or understand suppliers and supply chains

    Druker International?? Total Spend

    ?% Corporate Discount

    Drucker Corporation$5 MM Spend5% Discount

    Druker Europe20 MM Spend10% Discount

    Druker Americas$25 MM Spend15% Discount

    Druker Materials NA$20MM Spend8% Discount

  • 2005 IBM Corporation9411118 2005 IBM Corporation941111

    Disconnected Business Processes and Master Information Slows time to market, reduces agility

    Vendorconsoli-dation

    Homeland

    securitySarbanes

    Oxley

    NewProduct

    intro

    Globaldata

    synch

    RFID /ePC

    Productsourcing

    End of life

    Images,DocsExcel

    Flyers, Inserts,Catalogs

    Email,eCommerce

    Info-Stations,Kiosks

    Shelf Tags,Signage

    Point of Sale

    RFID

    Suppliers

    PLM

    Operations

    Logistics

    Pricing

    Merchandising

    DataWarehouse

    Contracts

    Category Managers

    Vendor Managers

    Logistics

    Regional Managers

    Brand Managers Customer Support

    Promotion Mgrs

    Category Managers IT

    LegacySystems

    ERP & CRMSystems

    DocumentManagement

    Systems

    New ItemForm

    Authorize/Reject

    PriceUpdate

  • 2005 IBM Corporation9411119 2005 IBM Corporation941111

    But Current Systems Are A Barrier

    E01-EDI

    Data Warehouse(Interfaces to and from the

    Data Warehouse are notdisplayed on this diagram)

    G02 - GeneralLedger

    A05 - AP

    S01 - SalesCorrections

    I01 POReceiving

    I03 Return toVendor

    I06 WarehouseManagement

    S06 - Credit App

    P15 EES EmployeeChange Notice

    OTHER APPS - PCAP - Collections/Credit

    TM - Credit Card DB

    ACCTS REC APPS - PC990CORBad Debt

    Beneficial FeesBeneficial Reconcile

    JEAXFJEBFAJEBKAJEDVAJESOAJEVSAJEVSFNSF

    TeleCredit Fees

    INVENTORY CONTROL APPS - PCCode Alarm

    Debit ReceivingsDevo Sales

    Display InventoryIn Home

    JunkoutsMerchandise Withdrawal

    Promo CreditsRTV Accrual

    ShrinkAP Research - Inv CntrlAP Research-Addl Rpts

    Book to Perpetual InventoryClose Out Reporting

    Computer Intelligence DataCount Corrections

    Cross Ref for VCB DnldsDamage Write OffDebit Receivings

    DFI Vendor DatabaseDisplay Inventory ReconcileDisplay Inventory Reporting

    INVENTORY CONTROL APPS - PCDPI/CPI

    IC BatchingInventory Adj/Count CorrectInventory Control Reports

    Inventory LevelsInventory Roll

    Merchandise WithdrawalOpen ReceivingsPI Count Results

    PI Time Results from InvPrice Protection

    Sales Flash ReportingShrink Reporting

    SKU Gross MarginSKU Shrink Level Detail

    USMVCB Downloads

    Journal Entry Tool