Master Data Management

The role of master data management in digital transformation

Data is one of the most valuable resources available to a business. Leveraging this resource is the key to sustainable competitive advantage. Digital transformation with master data management (MDM) is key to improving efficiency and value proposition offered by a company.

Opportunities for master data management digital transformation

The digital transformation of a business relies on integrating the latest digital and analytical technologies into business processes, customer experience, and overall company culture. Such integration is crucial to addressing the changing market and business requirements in today's digital age and to a company's survival in the highly competitive international market. There are numerous digital transformation opportunities available for a business, such as:

Enhanced feedback loops:

Customer feedback is one of the fundamental aspects facilitating business innovation. Digital transformation can create feedback loops that allow businesses to communicate with their customers and build a deeper relationship with them.* Insights gained from such feedback would enable a company to modify or improve its value offered to meet customer expectations and needs.

Better insights:

Elaborate customer relationship data is a prerequisite to gaining better insights into the minds and experiences of existing and potential customers. These insights may include the expectations and needs of the customers, their experience while interacting with the company, or the root cause of their dissatisfaction. These insights can drive innovation and allow the company to address customers' issues while offering enhanced value.

Enhanced product and service offerings:

The enhanced customer feedback loop, deeper customer relationships, and insights into customer experiences can allow a company to modify or improve the offered value proposition through better products and services. Digital transformation can enable a company to customise its offerings, analyse customer and market data, and leverage digital capabilities as a source of competitive advantage.

Better profitability opportunities:

Enhanced customer experience and customer satisfaction are critical to business success and profitability. Digital transformation facilitates enhanced customer feedback and insights into market conditions. Such insights allow the business to offer better products and services to its customers. Moreover, they also promote proactive innovation based on market trends. A company can leverage these insights and create better profitability opportunities through digital transformation.

The role of master data management in digital transformation

Low quality or incomplete master data can significantly hamper digital business transformation and restrict businesses from fully leveraging digital analytics. Without appropriate systems or strategies for MDM, digital transformation may fail. How does MDM contribute to digital transformation?

Data consolidation and consistency:

MDM solutions focus on consolidating data from various business sources and ensuring data quality by maintaining consistency and removing duplicate and incomplete data. MDM creates an environment for digital transformation throughout the business and facilitates leveraging data as a source of competitive advantage.

Data security:

Data security and governance are two of the critical concerns in today's digital age. MDM solutions have stringent data governance, regulation, and privacy rules. MDM reduces the potential risk of data breach as well as ensures that the latest and most reliable data is available for an organisation's digital transformation efforts.

Business insights through advanced analytics:

MDM lays the foundation for advanced business data analytics by facilitating consistent, structured, and accurate data. The majority of the advanced data analytics tools rely on pattern recognition, data manipulation, and prediction operations. The categorisation of consolidated data in MDM acts as a foundation for these operations. As a result, digital transformation, with the help of MDM, offers holistic business insights for better business outcomes.

How can Infosys BPM help?

Infosys BPM offers comprehensive MDM services, including data quality management and digital transformation. As business digital transformation is a data-centric process, issues with data quality, data fragmentation, or data governance can hamper this process. Infosys BPM master data management services focus on streamlining business processes to ensure effective data governance,improving data management with digital transformations and enhanced data quality. MDM can contribute towards holistic business insights and advanced analytical capabilities to aid informed decision-making and play a critical role in the successful digital transformation of a business.

*For organisations on the digital transformation journey, agility is key in responding to a rapidly changing technology and business landscape. Now more than ever, it is crucial to deliver and exceed organisational expectations with a robust digital mindset backed by innovation. Enabling businesses to sense, learn, respond, and evolve like a living organism, will be imperative for business excellence going forward. A comprehensive yet modular suite of services is doing exactly that. Equipping organisations with intuitive decision-making automatically at scale, actionable insights based on real-time solutions, anytime/anywhere experience, and in-depth data visibility across functions leading to hyper-productivity, Live Enterprise is building connected organisations that are innovating collaboratively for the future.