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Cognizant 20-20 Insights

Synergizing Master Data Management


and Big Data
The strategic value of master data management (MDM) has been
well documented. Yet for companies with mature MDM systems, the
complexities of big data can be overwhelming challenging them
to distill and make meaning from the information that flows into and
through their organization.

Executive Summary insights to support the right strategies, enhance


decision making and uncover new competitive
Todays data-intensive environments are populat-
advantages.
ed with multiple databases and database domains
that continue to proliferate within organizations This white paper offers a way for IT organizations
making it difficult to manage the silos of data that to achieve greater synergy between MDM and big
house information related to customers, prod- data, and arm leadership with the insights and
ucts, assets, suppliers, financial matters and more. foresights they need to make more informed busi-
ness decisions.
Master Data Management, or MDM, is funda-
mental to cleansing, standardizing, matching,
Two Approaches, Different Capabilities
merging and governing these assets, and
assuring that they remain uncorrupted, up-to- Master data management allows an organization
date, and afford a single version of the truth to link all of its critical data to one file, called a
across domains. At the same time, the practices master file, which provides a common point of
associated with MDM can be stymied by the ever- reference. When properly executed, MDM can
growing amounts of big data petabytes and streamline data sharing among personnel and
even exabytes that originate from different departments, and facilitate computing in multiple-
sources and include both semi-structured and system architectures, platforms and applications.
unstructured formats. From this viewpoint, MDM is both a process and
a technology.
While big data is top of mind for IT executives, it
presents very different challenges compared with MDM is internally focused on the data at hand,
master data management. Understanding and and works hard to provide a single version of
comparing the characteristics of MDM and big the truth for all master data producing reports,
data and determining how each informs the other providing dashboards and analytics to gauge
can result in fresher, deeper and more actionable its progress, and automating the process of

cognizant 20-20 insights | august 2015


Comparing Master Data Management and Big Data

Criteria MDM Big Data


Objectives Provides a single version of the truth for all Ephemeral in nature;
master data. disposable if not useful.
Improves data quality, reports, dashboards Constantly discovers new
and analytics. behaviors and insights.
Automates data quality and reconciliation Affords rapid onboarding of
using the right tools and processes. data (from offline to online).

Volume Relatively low-to-medium data volume. Very high data volume.


Types of data Information on customers, products, geogra- Information related to customers,
phies, etc. products and geographies, plus
social-media posts, healthcare
diagnostics, click streams, etc.
Main data sources Internal and external structured data. Internal and external data that is
structured, semi-structured and
unstructured.
Consumption Operational, with some degree of analysis. Analytical and predictive;
includes mining and discovery.

Figure 1

improving data quality. MDM works best with rel- enormous amount of Big data operates in a
atively low volumes of data, perhaps involving unstructured and semi- different, vastly larger
customers, products and geog- structured information,
MDM works best raphies. It likes structured is more about proba- universe. It accumulates
with relatively low data that is highly organized bilities. Both functions information relentlessly
and readily searchable by
volumes of data, straightforward search-engine
are essential to the constantly discovering
modern enterprise. The
perhaps involving algorithms (social media need question is how to best new behaviors and
customers, products not apply). create synergy between insights.
the two.
and geographies. Big data operates in a differ-
ent, vastly larger universe. It One of the challenges todays businesses face is
accumulates information relentlessly con- preserving the investments theyve made in MDM
stantly discovering new behaviors and insights. It systems that unify and optimize discreet silos
is ephemeral as well, meaning enterprises col- of information while managing to cope with the
lect it rapidly, retain whats useful and dispose of ever-increasing influx of big data. From the pro-
the rest. Needless to say, big data is immense cess-oriented perspective of MDM, this can seem
encompassing not only the nicely structured overwhelming. The question is: Can big data
information that MDM manages, but also social actually support the MDM process rather than
media posts, healthcare diagnoses, click streams, undermine it?
log-ons and a wide variety of signals that often
require advanced sentiment analysis. Beyond the The answer lies in finding where and how big
operational processes of MDM, big data can pro- data complements MDM, and where and how
vide mining and analytics that have predictive MDM complements big data. It is not an either/
value (see Figure 1). or situation. A synergistic blend of the two pro-
cesses and technologies can help ensure that
The key characteristic of MDM is its focus on the the benefits of both are retained and enhanced
truth of what is. In contrast, big data, with its within the enterprise. Going forward, organiza-

cognizant 20-20 insights 2


tions can benefit enormously from a combination Data Search/Analysis
of structured MDM domains that are informed by Being able to find the appropriate data when
the predictive, analytical capa- required is key. MDM uses its own brand of index-
Going forward, bilities of big data. es within the master data hub to enable faster
organizations can Key Integration
searches. A big data hub can be linked with the
master data hub to support real-time search
benefit enormously Concepts capabilities. Again, MDM APIs can combine search
from a combination There are key areas where big capabilities across both hubs to consolidate and
of structured data can inform and enhance integrate results. At the same time, big data plat-
the MDM process. For the pur- forms APIs perform their own searches, and link
MDM domains that poses of this paper, we will functions of the master data hub as part of high-
are informed by the focus on data storage, data volume streaming. The right tools can search for
predictive, analytical integration, data search/analy- and link all data types, whether structured, semi-
sis and data security. structured or unstructured.
capabilities of
big data. Data Storage Data Security
MDM employs a master data Cybersecurity is a central concern for todays
hub for various data domains, be they databas- enterprises. Even though master data is encrypt-
es of customers, products, customer locations, ed and retained according to policy guidelines,
geographies or other types of data slices. Big data information originating from big data must
comprises large volumes of both structured and also provide accurate, personally identifiable
unstructured data flowing in from blogs, social information, since other confidential sets of
media, clicks, live event streaming, machine data, attributes are encrypted and masked. The inte-
telemetry and more. Linking algorithms and APIs gration of MDM and big data platforms is thus
from the MDM system to a big data platform can essential covering data security at rest, in
allow data from the two to reside in one place motion, and in use.
where they can be mutually supportive.
Pursuing and Gaining Maturity
Data Integration Maturity refers to those points at which both MDM
Even though MDM processes maintain a golden and big data can most effectively find synergy.
copy of a master data record, that record can be Achieving it requires a central level of under-
continuously informed by relevant data from the standing from both standpoints to make the two
big data platform. The MDM hub should have the systems fully cooperate and become mutually
ability to integrate with big data using identi- supportive (see Figure 2, next page). With this in
fiers and reference keys to retain whats useful mind, it may be best to start small and grow from
and discard whats not. Meanwhile, big data distri- there via the following stages:
butions should utilize speedy,
1. Conduct pilot programs of both systems to
Semi-structured and massive parallel processing explore synergy in bits and pieces. This could
unstructured data matching allowing for the discovery,
and linking of master
involve some lines of business or business
can be parsed in a data records. units that recognize the value of how big data
can inform their golden and highly valued
variety of ways using data hub managed by an MDM platform.
Here, big data has the ability to
sentiment, semantic supplement and enrich MDMs 2. Catalog and manage data sets across
and virtualization golden master record. Semi- structured, semi-structured and unstruc-
structured and unstructured
technologies. tured data. In this stage, MDM and big data
data can be parsed in a variety integration focuses on silos across business
of ways using sentiment, semantic and virtualiza- units, with standardized definitions and usage
tion technologies. This kind of smart parsing pertaining to diverse data types.
is improving all the time bringing with it pow-
3. Optimize both MDM and big data. This
erful analytic capabilities that merge and load
involves facilitating the onboarding, availabil-
appropriate new information into the MDM master
ity and consumption of all data types between
file enriching it greatly.
the two platforms and across all business units.
At this point, diverse data is mature enough to
deliver insights throughout the organization.

cognizant 20-20 insights 3


4. Achieve MDM/big data integration through Segmentation
the analysis and predictability of all data The modern world of marketing began with tar-
domains. At this stage, new concepts and geting customers by broad characteristics such
insights derived from the master data set are as gender and geography. Today, demographics
discovered by analyzing their synergies with are considered a fairly rudimentary way of seg-
big data. Now, all data from both the MDM menting prospective customers. Real-time Web
platform and the inflow of big data is available activity, clicks, video views, devices/sensors and
to answer tactical and strategic questions social media, among many other digital finger-
pertaining to all data types. prints (or Code Halos, as we call them), fill the
gaps that exist in the central MDM data domain.
Practical Use Cases Beyond historical data analysis, organizations
Consider the practical benefits of achieving syn- can now use advanced analytics to foresee cus-
ergy between the golden data set maintained tomer expectations and needs.
by a master data platform and the ever-flowing,
ever-growing amounts of big data: Security
As stated earlier, cybersecurity is now a primary
Social Media focus of database management. Risk manage-
Today, organizations have the ability to con- ment not absolute prevention of any and all
tinually gain insight into their customer service, cyber-attacks but rather, mitigation of risk down
their market and their products from comments to acceptable levels is the new byword in
on social media. This information can typical- cybersecurity and management. Here, big data
ly be found in the structured data contained in analysis is central, with real-time streaming of
completed Web forms. Companies are also dis- transactions, logs and sentiment data that allows
covering and analyzing social posts to gain more customers to detect any irregularities that might
insight into customer preferences, their brand signal potential fraud. The real-time component is
sentiment, gaps in customer service, and existing key enabling companies with cybersecurity risk
customers likes and dislikes. With full maturity management plans to react immediately to mini-
and synergies, all of this information can link to mize exposure.
the master data hub extending and enriching
the data already on hand.

Steps to Achieving Greater Synergy

Level Description Effects


1. Pilot and Prove Synergies exist in pilots with some Synergistic value can be explored in
proven concepts, and with an explora- bits and pieces, since only some lines of
tion of use cases. business or business units are willing to
experiment or can benefit from a piece-
meal approach.
2. Manage Data sets are cataloged and managed The adoption of big data and MDM inte-
across structured, semi-structured and gration breaks down silos throughout
unstructured data, with governance of business units, with well-conformed and
people, processes and tools. standardized data definitions and usage
across diverse data types.
3. Optimize Onboarding, availability and consump- Governance of diverse data is mature
tion of all data types between big data enough to deliver data and insights
and MDM across business units is across business units in a more efficient
available, with little delay in answering manner, with proper cataloging and
business queries. lineage.
4. Analyze and Predict More time is spent on discovering Organizations have all the data they
newer concepts and insights from the need to answer tactical and strategic
synergies achieved between master questions across diverse data types.
data and big data sets.

Figure 2

cognizant 20-20 insights 4


Internet of Things To successfully achieve synergy between master
The Internet of Things (IoT) is reaching maturity data management and big data, we advise orga-
in a variety of applications. Any device connected nizations to:
to the Internet can be instrumented to feed infor-
Determine business value and feasibility.
mation back to manufacturers about behaviors, Assigning value to an initiative (cost savings,
usage, breakdowns, security issues, system fail- new opportunities, upselling/cross-selling and
ures and more. The IoT is here to stay, and only risk mitigation) is a key consideration when
through real-time big data streaming, which con- identifying possible use cases that can deliver
tinuously informs an MDM central data domain, immediate wins. Dont boil the ocean. This is
can industry take advantage of it. not a theoretical exercise; rather, it recognizes
how immediate ROI can be achieved from
Database Synergies
these synergies.
Just because an MDM-managed hub is consid-
ered golden doesnt mean there isnt more to Start small. Develop a single pilot program
discover within it. Information flowing from big that explores one narrow concept. Using all
data affords the opportunity to further analyze necessary resources, identify a line of business
and examine what is in the master data domain or business unit that needs to enhance its basic
to determine relationships between master data, golden database with big data. Then, take a
enterprise data and external data. This can lead staged approach to increase the chances of
to unexpected findings within the central MDM success from this pilot.
hub, including the discovery of unique identities Develop business drivers. Remember, a
and relationships. primary goal is to advance the prospects
of your business. Therefore, enhance your
The 360-Degree View central MDM domain with rationalized sets of
The MDM hub is just the starting point. It defines big data to support a particular objective and
master data, but then analyzes big data sources, set targets in areas such as customer service,
often unstructured, through social media, product development, new markets, etc.
customer transactions, etc., to discover new rela-
tionships, hierarchies, intent and brand sentiment, Be ready to reassess. While striving to
increase business value, sometimes its best to
for example.
stop, reassess and start again. Discover, learn
Looking Forward: Recommendations and succeed.
for Success Focus on the right things. While internal effi-
Cognizant combines a passion for client satis- ciencies are always important, stay focused
faction with technological innovation and deep on what all of this implies for your customers
industry and business-process expertise. We are own success, which is your success. We
committed to enabling your company to make firmly believe that combining master data
better use of big data. But for this to happen, big management with big data can go a long way
data must understand the master data view toward accomplishing both.
and its different domains.

cognizant 20-20 insights 5


About the Author
Ajay Raina is a Principal Architect (Director) in Cognizants Enterprise Information Management busi-
ness unit, where he oversees engagements in the banking, financial services, healthcare and life sciences
segments, among other key industries. His forte is establishing stability, optimization and modernization
of enterprise information architectures for data management and analytics initiatives. In accomplishing
this, Ajay provides strategic oversight, thought leadership, delivery guidance, technology enablement
and solution definitions blended with leading and proven practices in information management initia-
tives. Ajay has 20-plus years of information management experience in leading data warehousing, MDM,
big data and analytics engagements. He can be reached at Ajay.Raina@cognizant.com.

About Cognizant
Cognizant (NASDAQ: CTSH) is a leading provider of information technology, consulting, and business process out-
sourcing services, dedicated to helping the worlds leading companies build stronger businesses. Headquartered in
Teaneck, New Jersey (U.S.), Cognizant combines a passion for client satisfaction, technology innovation, deep industry
and business process expertise, and a global, collaborative workforce that embodies the future of work. With over 100
development and delivery centers worldwide and approximately 217,700 employees as of March 31, 2015, Cognizant
is a member of the NASDAQ-100, the S&P 500, the Forbes Global 2000, and the Fortune 500 and is ranked among
the top performing and fastest growing companies in the world. Visit us online at www.cognizant.com or follow us on
Twitter: Cognizant.

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