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INDUSTRY NEWS


13 May 2008

Businesses benefit from master data management investment


Companies deploying master data management (MDM) initiatives are able to improve their customer services and complete business-critical data migration projects faster and more economically, according to research company Aberdeen.

MDM is made up of a series of processes and tools that create central definitions of non-transactional entities, such as customers, products, employees or vendors. MDM collects and supplies data pertaining to these entities to various processes throughout the organisation.

Using MDM, organisations can reduce the risk of data redundancy even when collating information from disparate sources.

According to Aberdeen 94 per cent best-in-class companies with MDM were also able to improve on-time data migration project completion rates, while 88 per cent improved on-budget completion rates.

"These benefits result directly from investments by these companies in a variety of MDM-related solutions, woven together with business-centric polices and processes," said Michael Dortch, senior analyst at the research company.

Among best-in-class companies focusing on customer data quality, it was found that 94 per cent enjoyed improvements in data integrity, while 95 per cent improved the usability of their data and 88 per cent reduced the time it take to make data ready for business processes.

© 2006 Adfero Ltd.

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