As more and more companies embark on new master data management
(MDM) initiatives, few truly realize just how complicated the deployment stage of
their project will be. Even the
most solid and well-thought out plans are likely to face obstacles, require changes,
and experience other issues once the implementation actually begins.
That’s why many experts agree that the “phased” approach – as
opposed to a “big bang” deployment – is the best way to go. The MDM Institute, in their December,
2008 Market Report describes master data management as a critical strategic
initiative, and strongly recommends that it be carried “across multiple lines
of business, multiple channels, and therefore across multiple years.”
Companies who have attempted to execute on their entire MDM
strategy all at once have run into significant problems, such as:
- Project delays
- Cost overruns
- Loss of end user
productivity
- Unplanned drain on IT
resources
Why so many issues? Because
master data management isn’t just a set of technology solutions to be installed
and forgotten about. It’s a rigid
discipline that spans both IT and business. It requires an evolution of both culture and process – and
those changes simply can’t happen overnight.
The implementation of MDM on an enterprise-scale will also undoubtedly
impact back-end systems, disrupting core business activities. Deploying MDM
across the business, in every department simultaneously, can bring critical
operations to a screeching halt.
On the other hand, a well-timed series of smaller roll-outs will affect
only one or two divisions at a time, making it easy for the company to create a
contingency plan, and minimize losses from the temporary reduction in
output.
Additionally, broad-reaching MDM implementations are highly
inflexible because they fail to give project leaders the opportunity to assess
the viability of the strategy, and make changes along the way. But, incremental
implementations make it easy to assess goals – and whether or not they can
actually be met by the current plan – before the entire initiative has been executed
upon. Corrections and adjustments
can take place “on the fly”, as the deployment is in progress, ensuring success
in both the short-term and the long term.
To learn more about best practices in master data management
deployment, visit the Croyten Web site at www.croyten.com.
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