Présentation Forrester - Forum MDM Micropole 2014

MDM Trends for Micropole
October, 2014
Henry Peyret, Principal Analyst

© 2013 Forrester Research, Inc. Reproduction Prohibited
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Agenda
›Sitting In The Perfect Storm – Age of the Customer
›Today's Data Ecosystem Has Big Implications for MDM Relevancy
›It’s Not MDM for Big Data; It’s MDM for All Data
›MDM Innovations Are Coming – Prepare For Data Citizenship

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Sitting in the perfect storm
Age of the Customer

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Transform the customer experience.
Embrace the mobile mind shift.
Become a digital disruptor.
Age of the customer
Turn big data into business insights.
Forrester’s four market imperatives are motivating new integration scenarios

5
Traditional linear value chain
True business innovation derives from the dynamic ecosystems of value
Dynamic ecosystems of value

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Customer experience is enabled by the context between systems of engagement and systems of record

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Today's Ecosystem Has Big Implications for MDM Relevancy
Trusted data is a core value

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MDM – the Master of Context and Variety
Mapping
›Integration hub
›Data dictionaries
›Data syntax
›Data parsing
›Data matching
›Lineage
›Structured
›Rigid
Mastering
›Information Hub
›Data linkage
›Semantic model
›Profiles
›Navigation
›Structured, unstructured, semi structured
›Agile

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The importance of data governance is understood . . .
“How important do you rate the following aspects of an information governance strategy?”
Base: 452 North American technology decision-makers; Source: Business Technographics® Global Data And Analytics Survey, 2014 Note: Respondents answering “don’t know” are not shown.
19%
17%
22%
34%
35%
37%
40%
41%
39%
20%
28%
8%
11%
12%
16%
18%
25%
26%
27%
31%
63%
58%
Third-party data purchases
Outsourced data management and quality service
Consulting services for data governance
Reference data management
Data profiling
Data life-cycle management
Data governance management tools
Standardization and metadata management
Master data management
Data security and privacy
Data quality
4
5 = very important
Sixty-two percent to 86% under- stand the importance of data governance.

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Master data management tool
Data quality tool
Data profiling
Metadata tool
. . . which drives MDM adoption as a solution versus a tool
Up to three-fourths of all MDM solutions have a cross-sell with data quality tooling.

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“To what extent has your firm implemented the following aspects of information governance?”
8%
6%
11%
9%
4%
21%
16%
18%
16%
12%
19%
20%
21%
22%
11%
12%
10%
11%
11%
12%
32%
32%
25%
24%
56%
Information/data quality
Information life-cycle management
Individual project level
Department
Business unit
Subsidiary/company
Cross-enterprise/corporate level
. . . but data governance implementation is fragmented
Only data security and privacy are implemented cross-enterprise.

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29%
28%
31%
30%
32%
24%
30%
28%
26%
22%
23%
23%
18%
11%
17%
13%
25%
12%
22%
12%
13%
17%
8%
8%
6%
8%
6%
10%
6%
7%
6%
5%
4%
7%
6%
3%
4%
6%
8%
4%
4%
5%
4%
6%
3%
3%
2%
3%
2%
7%
1%
4%
1%
2%
1%
2%
1%
1%
1%
1%
2%
1%
1%
1%
3%
1%
1%
1%
Data quality
Data profiling
Data life-cycle management
Reference data management
Data governance management tools
Third-party data purchases
Outsourced data management and quality services
Consulting services for data governance
Less than $100,000
$100,000 to $500,000
$500,000 to $1 million
$1 million to $2.5 million
$2.5 million to $5 million
$5 million to $10 million
More than $10 million
. . . and lacks investment except for security and privacy
“When considering data governance for all of your BI and analytics initiatives, what is the level of annual investment for the following data governance capabilities companywide?”
Companies invest approximately 5x more in data security as compared to any other governance area.

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6%
18%
6%
48%
17%
6%
18%
9%
53%
10%
8%
15%
8%
48%
11%
Sales/marketing
Department of the
chief data officer
Finance
IT department
Other department
Data quality
Data modeling
Strategic
Tactical
IT still owns much of data governance, but the shift toward CDO role is evident
“Which organizational unit currently has primary ownership of the following tasks or responsibility areas?”

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It’s Not MDM for Big Data; It’s MDM for All Data
Modern data strategies causing orgs to re- assess MDM

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Systems of record host transactions in the virtual world.
Systems of engagement guide people in their physical world.
Context between systems of engagement and systems of record is the key integration challenge
Source: November 16, 2012, “Great Mobile Experiences Are Built On Systems Of Engagement” Forrester report

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2011 to 2014: MDM shifts from recipes to charting new paths
›MDM shifts from program to strategy.
•32% of inquires seek ways to evolve MDM as they evolve their overall data strategies. That represents a two-fold increase from 2011.
›MDM strategy replaced by data governance in priority.
•75% MDM inquiry reduction between 2011 and 2014. The back-story is that data governance inquiries are taking on an enterprise perspective.
›Ownership and interest shifting toward business stakeholders.
•77% of technology management decision makers feel they own MDM
•54% of business decision makers agree.
•23% gap indicates that business decision makers are beginning to consider MDM under their purview. .

Data Governance Of Today And Tomorrow
February 2014 “Data Governance Archetypes Shape The Focus And Fate Of Your Business”

…Driven by distinct Data Governance Archetypes That Match Business Outcomes And Data Types
February 2014 “Data Governance Archetypes Shape The Focus And Fate Of Your Business”

The Citizen - Personal Responsibility
Focus
•Collaborative governance
•Accountable roles
•Contributor to data evolution
•Coordinated controls
Fate
•Ideation
•Personal responsibility
•Agile governance

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MDM Innovations Are Coming
Prepare for Data Citizenship

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Semantic MDM
›Contextually visualize and navigate the graph
Semantic MDM Building context

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Analytical MDM
Analytical MDM
Building Knowledge

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Social governance
Social Governance Building Data Citizens

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Business application
Business Application
Building Bridges

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Intelligent MDM
Intelligent MDM Is In Your Future Inferring context

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Key Take-Aways

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Key Take Aways
›Do not equate focused MDM implementation with an MDM silo
›Hybrid ecosystems will require mastering data variety
›Include semantic development skills when implementing MDM
›Support developers, data stewards, and business culture during implementation
›Building MDM without data quality, data definitions, and data profiling will lead to failure

Thank you
Henry Peyret, Principal Analyst
hpeyret@forrester.com

Présentation Forrester - Forum MDM Micropole 2014

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Présentation Forrester - Forum MDM Micropole 2014