mdg & rdm field reports aaron zornes - 2012 singapore- print v1

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Product Evaluation Criteria & Field Reports for Leading MDG & RDM

SolutionsAaron Zornes

Chief Research OfficerThe MDM Institute [email protected]

www.linkedin.com/in/aaronzornes @azornes

+1 650.743.2278

About the MDM Institute

Founded in 2004 to focus on MDM business drivers & technology challenges

MDM Advisory Council™ of 150 Global 5000 IT organizations with unlimited advice to key individuals, e.g. CTOs, CIOs, data architects

MDM Business Council™ website access & email support to 35,000+ members

MDM Road Map & Milestones™ annual strategic planning assumptions

MDM Alert™ newsletter

MDM Market Pulse™ market research & multi-client studies

MDM Fast Track™ one-day public & onsite workshop rotating quarterly through major North American, European, & Asia-Pacific metro areas

MDM & Data Governance Summit™ annual conferences in London, NYC, San Francisco, Shanghai, Singapore, Sydney, Tokyo & Toronto

“Independent, Authoritative, & Relevant”

About Aaron Zornes Most quoted industry analyst authority on topics of MDM, RDM &

MDG Founder & Chief Research Officer of the MDM Institute

Founder & conference chairman for MDM & Data Governance Summits series

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

Arizona© 2012 The MDM Institute www.The-MDM-Institute.com

MDM Institute Advisory Council

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

Representative Members Apria 3M BCD Travel Bell Canada Caterpillar Celgene Cisco Systems COUNTRY Financials Educational Testing Svcs Embraer Forest Labs GE Healthcare Honeywell Information Handling Svcs Intuit Loblaw McKesson Medtronic Medecins Sans Frontieres Microsoft Motorola

© 2012 The MDM Institute www.The-MDM-Institute.com

National Australia Bank Nationwide Insurance Norwegian Cruise Lines Novartis Ontario Lottery & Gaming Corp. PC Connection Polycom Pratt & Whitney Canada Roche Labs Rogers Communications Scholastic Sony Pictures Entertainment Stryker SunTrust Sutter Health TUI W.W. Grainger Wal-Mart Westpac Weyerhaeuser Woolworths

MDM & Data Governance Summit™Conference Series


“More MDM programs get their successful start at MDM & Data Governance Summits than anywhere else”

MDM & Data Governance Summit SingaporeMDM & Data Governance Summit SingaporeMarina Bay Sands Resort ▪ December 4-5Marina Bay Sands Resort ▪ December 4-5

MDM & Data Governance Summit ShanghaiMDM & Data Governance Summit ShanghaiShanghai International Convention Center ▪ March 2013

MDM & Data Governance Summit Europe MDM & Data Governance Summit Europe Radisson BLU – London ▪ April 15-17, 2013Radisson BLU – London ▪ April 15-17, 2013

MDM & Data Governance Summit Asia-Pacific MDM & Data Governance Summit Asia-Pacific Four Points Darling Harbour– Sydney ▪ May 20-21, 2013 Four Points Darling Harbour– Sydney ▪ May 20-21, 2013

MDM & Data Governance Summit San FranciscoMDM & Data Governance Summit San FranciscoHyatt Embarcadero – San Francisco ▪ May 2013Hyatt Embarcadero – San Francisco ▪ May 2013

MDM & Data Governance Tokyo MDM & Data Governance Tokyo Belle Salle Kanda– Tokyo ▪ June 14, 2013Belle Salle Kanda– Tokyo ▪ June 14, 2013

MDM & Data Governance Summit Canada MDM & Data Governance Summit Canada The Carlu – Toronto ▪ June 2013The Carlu – Toronto ▪ June 2013

MDM & Data Governance Summit New YorkMDM & Data Governance Summit New YorkMarriott Marquis NYC Times Square ▪ October 2-4, 2013Marriott Marquis NYC Times Square ▪ October 2-4, 2013

MDG Prologue

Understanding scope, diversity & limitations of current Master Data Governance solution offerings is tremendously challenging – even more so, given fast pace of M&A & complexities of integrating such diverse software portfolios

Nonetheless, business & IT leadership chartered with defining & executing MDM programs need help to understand & navigate through numerous Data Governance options

“Go governance, go early” is rallying cry of savvy enterprise & solution architects chartered with setting scope & direction of their enterprise’s data integration programs

© 2012 The MDM Institute www.the-MDM-Institute.com

Master Data GovernanceStrategic Planning Assumption

Through 2012, most enterprises will struggle with enterprise MDG as they initially focus on customer, vendor, or product; integrated MDG that includes E2E data lifecycle will be mandated as 1st phase deliverable

During 2012-13, major SIs & MDM boutiques will focus on productizing MDG frameworks while MDM software providers struggle to link governance process with process hub technologies; concurrently G5000 enterprises struggle to evolve enterprise MDG in cost-effective & practical way from “passive” to “active” MDG modes

By 2014-15, vendor MDM solutions will finally move from “passive-aggressive MDG” mode to “proactive MDG”

MDM MILESTONE© 2012 The MDM Institute www.The-MDM-Institute.com

MDG *must* evolve from point products (i.e., to address customer or product MDG only) to enterprise data

governance (supporting multiple domains such as customer, product, supplier, location, price, etc.)


MDM Institute Field Reports – MDG

ASG BackOffice

Associates Black Watch Data Cognizant +

Collibra EMC/RSA/Archer IBM MDPH IBI MD Center Informatica IDD

Kalido DGD Microsoft DG Console Oracle DGF Orchestra Networks SAP MDG SAS DataFlux Software AG Utopia

** Persisted customer or product data hubs

Master Data Governance “Top 10” Technical Evaluation Criteria

1. Methodology2. Data exploration/profiling3. Data model, policy model

& business glossary mgmt4. Rules/policy mgmt5. Decision rights mgmt6. MDM hub integration7. Enterprise application

integration8. Integrated metrics9. Multi-level, role-based security10. E2E data lifecycle support


Understanding scope, diversity & limitations of currently-marketed MDG offerings is tremendously

challenging

Field Reports

Field Report: IBM Master Data Policy Manager (MDPM)

Strengths Common DG layer

across Standard & Enterprise MDM Server editions

Ultimately will integrate with Guardium, Optim, et al

Ongoing integration w/BPM (BPMExpress a.k.a. Lombardi)

IBM BAO/GBS teams available w/w

Caveats Lack of integration w/

Reference Data asset Big IBM stack req’d Lack of integration

with Smart Governance Council assets

No longer a separate product, but instead is bundled w/ MDM Server


Field Report: Informatica Data Director (IDD)

Strengths Good for robust MDM

administration as data steward console

Task-oriented & business process-driven

Visualization of history & data lineage

Cross-domain hierarchy & relationship management

Flexible security model for each multi-domain data type

Supports centralized architecture with direct input of master data

Caveats Out-of-step with

main INFA MDM process flow

Too easy for end users to inadvertently downgrade hub performance with ill-advised queries


1 – Formerly Siperian Business Data Director

2 – Informatica Data Director (IDD) is data steward console application for entity lifecycle management

Field Report: Kalido Data Governance Director (DGD)

Strengths Visionary leader UBM methodology Flexible decision rights via

mapping of roles & responsibilities

Export of policy compliance metrics

Policy-focused solution incl remediation processes

Proactive workflow for data & processes

Accenture heritage

Caveats Late-to-market

integration with Kalido MDM

One-way trip/export into Kalido MDM

Only supports Kalido BPM


Field Report: SAP Master Data Governance (MDG)

Strengths Ready-to-use governance

applications integrated w/SAP ERP

Predefined & extensible data model

Prebuilt & flexible workflows Multi-mode data replication Integration with BOBJ

data quality/validation assets (cleansing, matching, & consolidation)

Verifiable audit trail

Caveats Late-to-market with B2C customer Lacks flexible hierarchical

management of data Lacks master data within

transactions Lacks identification of data pattern

profiles Nascent cloud-enablement &

integration Nascent big data & analytics

support for social CRM data

© 2012 The MDM Institute www.The-MDM-Institute.com1 – SAP MDG-F (finance), MDM-M (materials), MDG-S (suppliers), MDG-C (customers)

Field Report: Utopia

Strengths Strong growth North America1,2

SAP, Open Text & ACN partnerships Utopia Lab/COEs, Uni Multiple entry points for sales in

migration, quality & governance Support (via Open Text) to

integrate unstructured Full E2E lifecycle methodology

(EDLM) – Assessment, Strategy, Roadmap

Cloud & HANA MENA3 depth

Caveats No longer sole

preferred partner for SAP MDM/MDG as of 2012


1 – 250% growth despite torpid economy

2 – Captaris, Coca Cola Enterprises, ConAgra, CSL Behring, CVS/Caremark, Dubai Aluminum, DuPont, ExxonMobil, Grainger, Harley-Davidson, John Deere, Kellogs’s, Kennametal, Kimberly-Clark, Kraft, Malaysia Airlines, Neptune Orient Lines, Newmont Mining, Pertamina, RasGas, Saudi Arabian Airlines, Suncor Energy, Tyco Electronics, Wolters Kluwer

3 – MENA = Middle-East & North Africa

Critique of Current MDG Capabilities

Mismatch of applying project-oriented methodology rather than asset-focused methodology

Methodologies missing the asset aspect of data … cost, decaying value, ROI for cleansing data, etc.

Frameworks not addressing “community” aspect of shared asset development – e.g. wikis for global corporate business vocabulary, etc.

Current MDG solutions do not provide systemic rigor nor E2E lifecycle support

“(Integrated/Proactive) Master Data Governance” market is a vacuum … nature hates a vacuum


RDM Prologue

In addition to MDM functionality, RDM systems also manage complex mappings btw different reference data representations & different data domains across the enterprise

Governance of RDM is vital— manual or custom RDM often lack change management, audit controls, & granular security/permissions

Because reference data is used to drive key business processes & application logic, errors in reference data can have a major negative & multiplicative business impact

Mismatches in reference data impact on data quality affect the integrity of BI reports & also are a common source of application integration failure

© 2012 The MDM Institute www.the-MDM-Institute.com

Just as businesses no longer build own CRM, ERP, & MDM systems, so too are organizations beginning to acquire

commercial RDM, which can be easily tailored or configured & have full ongoing support of major software vendor

Competition for Multi-Domain RDM

Custom-built, manual solutions Hierarchy management system adaptations

(MSFT MDS, Oracle DRM) Do not readily support publish-subscribe, classification

mapping, etc. Custom MDM domain type

Lack of data modeling flexibility, rudimentary lifecycle management capabilities &limited data governance features, esp. authoring & workflow

Multi-domain RDM RDBMS vs. semantic/OODBMS

Purpose-built or industry-specific RDM Premium priced real-time RDM solutions do not represent

good economic sense


Reference Data ManagementStrategic Planning Assumption

During 2012-13, reference data will emerge as a key

entry point for enterprises & in turn influence choice of MDM for Customer, Product & other domains

Concurrently, every MDM vendor will rush to market RDM solutions to apply MDM approach for centralized governance, stewardship & control

By 2013-14, large enterprises will also mandate that Reference Data be part of MDM platform native entities

By 2015, RDM will be commoditized via the efforts of MSFT & ORCL especially

MDM MILESTONE

Managing “simple” reference data will prove to be a key sales entry point for MDM vendors



MDM Institute Field Reports – RDM

Aprimo LRDM (Teradata)

ASG ROCHADE (Metadata-driven RDM)

DataFlux qMDM IBM MDM RDM Hub Informatica RDM Kalido

Microsoft RDM (to be announced)

Oracle Hyperion DRM Orchestra EBX Profisee SAP MDG-R Software AG

WebMethods OneData** General-purpose or multi-domain RDM, not industry-specific or real-time RDM solutions such as capital markets, pharma, e.g., AIM, Asset Control, Eagle, Golden Source, Kingland Systems 360 Data, &RSD

Field Reports


Reference Data Management “Top 10” Technical Evaluation Criteria

1. Ability to map reference data2. Administration of reference

data types3. Management of reference

data sets4. Architecture/performance5. Hierarchy management over

sets of reference data6. Connectivity7. Import and export 8. Versioning support9. Security & access control10. E2E lifecycle management


Understanding scope, diversity & limitations of nascent RDM offerings is challenging

Field Report: IBM MDM Reference Data Mgmt Hub

Strengths Purpose-built,

commercially proven RDM

Utilizes IBM MDM foundation

Full function with strong taxonomy support & mappings

Ease of deployment, implementation, & use

Market momentum1

Caveats Lack of BPM integration &

workflow (needs configurable workflow)

Lacks Cloud architecture & SaaS offering

Perception of excessive software stack foundation

Missing adapters for other IBM software (Discovery, etc.) & other major apps such as Oracle & SAP


1 – Achmea, ANZ Bank, BCBS of North Carolina, Citi Mortgage, DnB NOR ASA, IBM Office of the CIO, LabCorp, Standard Bank of South Africa and The CIT Group

Field Report: Orchestra Networks EBX5 for RDM

Strengths Robust solution for centralized DG,

mgmt, stewardship, & distribution of enterprise reference data

Enterprise-scalable RDM1

Strong taxonomy support & mappings

Model-driven ease of deployment, implementation, & use (built-in process flows + semantic database underpinning)

Support for temporal reference data

Cloud-based, SaaS option

Caveats Nascent North American

market presence Shortage of EBX-

knowledgable consultancies Vulnerability in rapidly

evolving market crowded with mega vendors & other nouveau MDM vendors

Under invested in marketing


1 – BNP Paribas, Crédit Suisse, Michelin, …

Field Report: Software AG wM OneData RDM 8.5

Strengths Robust solution for centralized DG,

mgmt, stewardship, & distribution of enterprise reference data

Proven multi-domain RDM1

Strong taxonomy support/mappings for internal & external reference data

Can ingest customer metadata models & UI wraps around model

Model-driven ease of deployment, implementation, & use (integration w/ BPM for SOA & MDM deployment))

Stable, deep pockets vendor2

Caveats Nascent market

presence Shortage of

knowledgable consultancies

Lacking SaaS capabilities

Under invested in marketing


1 – Allianz, Avon Products, Chubb Insurance, General Electric, Givaudan, Nokia, Parexel, Pepsico, SwissGrid, Wellpoint, …

2 – 2012 est. revenue $1,2B, 5K employees, 70 countries

Critique of Current RDM Capabilities

Challenge of RDBMS-flavored RDM vs. semantic/OODBMS-flavored RDM

RDM *is* mission critical Error in reference data will ripple outwards affecting quality of

master data in each domain, which in turn affects quality in all dependent transactional systems

Heavily interconnected nature of reference data is why it requires separate management & governance

Cloud-enabled, SaaS model still proving itself for mission-critical Majority of MDG solutions do not address notion of

"temporal" reference data Market misconception/dogma that RDM *must* be in

same stack as multi-domain MDM


BOTTOM LINE

Acknowledge no single MDM vendor “does it all well”

Nascent Master Data Governance capabilities Out-of-the-box RDM vs. do-it-yourself RDM

Little hope for 3rd party MDG to unify MDG of mega vendors

Plan for possibility of different brands of MDM

RDM Operational/transactional MDM

Insist on RDM capabilities with strong workflow/authoring


How to Leverage the MDM Institute

Kick start “MDM, MDG or RDM evaluation process” Attend public workshop Bring workshop on-site

Fine tune in-process MDM strategies Due diligence on reference checking & contract details

Stay ahead of curve via MDM Business Council Re-qualify every 6 months via survey Receive MDM Alerts & access to Web-hosted research

Increase your knowledge & negotiatingstrengths via MDM Advisory Council Membership

Participate in monthly email surveys & receive updated industry scorecard Receive monthly MDM consultation via telephone

“Independent, Authoritative, & Relevant”© 2012 The MDM Institute www.The-MDM-Institute.com

MDM & Data Governance Summit™Conference Series


“More MDM programs get their successful start at MDM & Data Governance Summits than anywhere else”

MDM & Data Governance Summit SingaporeMDM & Data Governance Summit SingaporeMarina Bay Sands Resort ▪ December 4-5Marina Bay Sands Resort ▪ December 4-5

MDM & Data Governance Summit ShanghaiMDM & Data Governance Summit ShanghaiShanghai International Convention Center ▪ March 2013

MDM & Data Governance Summit Europe MDM & Data Governance Summit Europe Radisson BLU – London ▪ April 15-17, 2013Radisson BLU – London ▪ April 15-17, 2013

MDM & Data Governance Summit Asia-Pacific MDM & Data Governance Summit Asia-Pacific Four Points Darling Harbour– Sydney ▪ May 20-21, 2013 Four Points Darling Harbour– Sydney ▪ May 20-21, 2013

MDM & Data Governance Summit San FranciscoMDM & Data Governance Summit San FranciscoHyatt Embarcadero – San Francisco ▪ May 2013Hyatt Embarcadero – San Francisco ▪ May 2013

MDM & Data Governance Tokyo MDM & Data Governance Tokyo Belle Salle Kanda– Tokyo ▪ June 14, 2013Belle Salle Kanda– Tokyo ▪ June 14, 2013

MDM & Data Governance Summit Canada MDM & Data Governance Summit Canada The Carlu – Toronto ▪ June 2013The Carlu – Toronto ▪ June 2013

MDM & Data Governance Summit New YorkMDM & Data Governance Summit New YorkMarriott Marquis NYC Times Square ▪ October 2-4, 2013Marriott Marquis NYC Times Square ▪ October 2-4, 2013

Authoritative

Relevant

Independent

Aaron ZornesFounder & Chief Research

Officer www.the-MDM-Institute.com

[email protected]/in/aaronzornes

+1 650.743.2278 @azornes


mdg & rdm field reports aaron zornes - 2012 singapore- print v1

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