In the recent Gartner Top 10 Trends in Data and Analytics for 2020 trend number 8 is about data marketplaces and exchanges. As stated by Gartner: “By 2022, 35% of large organizations will be either sellers or buyers of data via formal online data marketplaces, up from 25% in 2020.”
The topic of selling and buying data was touched here on the blog in the post Three Flavors of Data Monetization
A close topic to data marketplaces and exchanges is Multienterprise MDM.
In the 00’s the evolution of Master Data Management (MDM) started with single domain / departmental solutions dominated by Customer Data Integration (CDI) and Product Information Management (PIM) implementations. These solutions were in best cases underpinned by third party data sources as business directories as for example the Dun & Bradstreet (D&B) world base and second party product information sources as for example the GS1 Global Data Syndication Network (GDSN).
In the previous decade multidomain MDM with enterprise wide coverage became the norm. Here the solution typically encompasses customer-, vendor/supplier-, product- and asset master data. Increasingly GDSN is supplemented by other forms of Product Data Syndication (PDS). Third party and second party sources are delivered in the form of Data as a Service that comes with each MDM solution.
In this decade we will see the rise of multienterprise MDM where the solutions to some extend become business ecosystem wide, meaning that you will increasingly share master data and possibly the MDM solutions with your business partners – or else you will fade in the wake of the overwhelming data load you will have to handle yourself.
The data sharing will be facilitated by data marketplaces and exchanges.
On July 23rd I will, as a representative of The Disruptive MDM/PIM/DQM List, present in the webinar How to Sustain Digital Ecosystems with Multi-Enterprise MDM. The webinar is brought to you by Winshuttle / Enterworks. It is a part of their everything MDM & PIM virtual conference. Get the details and make your free registration here.
One of the rising stars on the Master Data Management (MDM) and Product Information Management (PIM) scene is EnterWorks.
The EnterWorks solution has during the latest years, as a small crowd of other solutions on the market, grown from being a PIM solution to be a Multi-domain MDM solution. But they have not stopped there. EnterWorks is also a Multi-enterprise MDM solution and is thus covering the needs of sharing master data and product information within business ecosystems. This is, as stated by Gartner, a particularly interesting value proposition in the context of digital ecosystems.
Last year EnterWorks joined forces with WinShuttle, a major player in the data management realm.
This has led to that I, besides welcoming EnterWorks as a featured solution on the list, also is able to welcome EnterWorks to Europe. The European launch should have taken place on The Gartner Data & Analytics Summit in March. However, this event was as all other events at the moment postponed. But the launch is not. Read about the perspectives of this move in the press release on that Winshuttle Announces European Launch of EnterWorks® MDM/PIM Platform.
The title of this post is taken from the Gartner Critical Capabilities for Master Data Management Solutions.
One implication of this observation is that you when selecting your solution will not be able to use a generic analyst ranking of solutions as examined in the post Generic Ranking of Vendors versus an Individual Selection Service.
This is the reason of being for The Disruptive MDM / PIM / DQM List.
Another implication is that even the best fit MDM solution will not necessarily cover all your needs.
One example is within data matching, where I have found that the embedded solutions in MDM tools often only have limited capabilities. To solve this case, there are best of breed data matching solutions on the market able to supplement the MDM solutions.
Another example close to me is within multienterprise (business ecosystem wide) MDM, as MDM solutions are focused on each given organization. Here your interaction with a trading partner, and the interaction by the trading partner with you, can be streamlined with a solution like Product Data Lake.
In the game of winning in business by using Artificial Intelligence (AI) there are two main weapons you can use: Algorithms and data. In a recent blog post Andrew White of Gartner, the analyst firm, says that It’s all about the data – not the algorithm.
In the Master Data Management (MDM) space the equipment of solutions with AI capabilities has been going on for some time as reported in the post Artificial Intelligence (AI) and Master Data Management (MDM).
So, next thing is how to provide the data? It is questionable if every single organization has the sufficient (and well managed) master data to make a winning formula. Most organizations must, for many use cases, look beyond the enterprise firewall to get the training data or better the data fuelled algorithms to win the battles and the whole game.
An example of such a scenario is examined in the post Artificial Intelligence (AI) and Multienterprise MDM.
I read (and write) a lot about why Master Data Management (MDM) is a core capability you need to succeed in digital transformation.
Over at the Profisee blog there is a post about that, extending the capability to be multidomain MDM. The post is called The Role of Multi-Domain MDM in Digital Transformation.
Also, at the Reltio blog as part of the #ModernDataMasters series, Tony Saldanha, author of the book Why Digital Transformations Fail, explains: “Look at master data in terms of the entire virtual company – the total supply chain including your clients and suppliers – and create an ecosystem to drive standards across that.”
Tony continues: “The investment in master data within ecosystems is going to increase dramatically. People are going to realise that most of the waste that happens is at the seams of large organisations – not having a common language between the accounts payable of one company and the accounts receivable of another company means both companies are wasting resources and money.”
This way of looking at MDM as something that goes beyond each organization and evolves to be ecosystem wide is also called Multienterprise MDM.
In my eyes this is a very important aspect of using MDM within digital transformation. This theme is further examined in the post Why is Your Digital Ecosystem and MDM the Place to Begin in Digital Transformation?
During the end of last century data quality management started to gain traction as organizations realized that the many different applications and related data stores in operation needed some form of hygiene. Data cleansing and data matching (aka deduplication) tools were introduced.
In the 00’s Master Data Management (MDM) arised as a discipline encompassing the required processes and the technology platforms you need to have to ensure a sustainable level of data quality in the master data used across many applications and data stores. The first MDM implementations were focused on a single master data domain – typically customer or product. Then multidomain MDM (embracing customer and other party master data, location, product and assets) has become mainstream and we see multienterprise MDM in the horizon, where master data will be shared in business ecosystems.
MDM also have some side disciplines as Product Information Management (PIM), Digital Asset Management (DAM) and Reference Data Management (RDM). Sharing of product information and related digital assets in business ecosystems is here supported by Product Data Syndication.
Lately data governance has become a household term. We see multiple varying data governance frameworks addressing data stewardship, data policies, standards and business glossaries. In my eyes data governance and data governance frameworks is very much about adding the people side to the processes and technology we have matured in MDM and Data Quality Management (DQM). And we need to combine those themes, because It is not all about People or Processes or Technology. It is about unifying all this.
In my daily work I help both tool providers and end user organisations with all this as shown on the page Popular Offerings.
The question “Why is Your Digital Ecosystem the Place to Begin?” was asked by Frank Diana of Tata Consultancy Services in the article Why an ecosystem strategy is where digital transformations begin.
As said by Frank Diana: “Whatever can be digitized is being digitized, and that means it’s available to be shared with other, digitally-enabled companies.”
This is true for master data as well. The role of Master Data Management (MDM) in making digital transformation a success was examined in the Disruptive MDM solution list post Digital Transformation Success Rely on MDM / PIM Success.
The concepts mentioned were:
- Providing a 360-degree view of master data entities
- Enabling happy self-service scenarios
- Underpinning the best customer experience
- Encompassing Internet of Things (IoT)
Providing a 360-degree view of master data entities through Golden Records in Multidomain MDM will be much easier by sharing master data that is already digitalised as third-party reference data and/or at business partners.
Enabling happy self-service scenarios can be done much more effectively by opening up the master data onboarding to business partners and customers them selves and by letting product data flow easily between trading partners as pondered in the post Linked Product Data Quality.
Underpinning the best customer experience will require that you utilize data from and about the whole business ecosystem where your company is a participant.
Encompassing Internet of Things (IoT) means that you must share master within the business ecosystem as touched in the post IoT and MDM.
Two of the disruptive trends in Master Data Management (MDM) are the intersection of Internet of Things (IoT) and MDM and business ecosystem wide MDM (aka multienterprise MDM).
These two trends will go hand in hand.
The latest MDM market report from Forrester (the other analyst firm) was mentioned in the post Toward the Third Generation of MDM.
In here Forrester says: “As first-generation MDM technologies become outdated and less effective, improved second generation and third-generation features will dictate which providers lead the pack. Vendors that can provide internet-of-things (IoT) capabilities, ecosystem capabilities, and data context position themselves to successfully deliver added business value to their customers.”
This saying is close to me in my current job as co-founder and CTO at Product Data Lake as told in the post Adding Things to Product Data Lake.
In business ecosystem wide MDM business partners collaborate around master data. This is a prerequisite for handling asset master data involved in IoT as there are many parties involved included manufacturers of smart devices, operators of these devices, maintainers of the devices, owners of the devices and the data subjects these devices gather data about.
In the same way forward looking solution providers involved with MDM must collaborate as pondered in the post Linked Product Data Quality.
The previous post on this blog was called Machine Learning, Artificial Intelligence and Data Quality. In here the it was examined how Artificial Intelligence (AI) is impacted by data quality and how data quality can impact AI.
Master Data Management (MDM) will play a crucial role in sustaining the needed data quality for AI and with the rise of digital transformation encompassing business ecosystems we will also see an increasing need for ecosystem wide MDM – also called multienterprise MDM.
Right now, I am working with a service called Product Data Lake where we strive to utilize AI including using Machine Learning (ML) to understand and map data standards and exchange formats used within product information exchange between trading partners.
The challenge in this area is that we have many different classification systems in play as told in the post Five Product Classification Standards. Besides the industry and cross sector standards we still have many homegrown standards as well.
Some of these standards (as eClass and ETIM) also covers standards for the attributes needed for a given product classification, but still, we have plenty of homegrown standards (at no standards) for attribute requirements as well.
Add to that the different preferences for exchange methods and we got a chaotic system where human intervention makes Sisyphus look like a lucky man. Therefore, we have great expectations about introducing machine learning and artificial intelligence in this space.
Next week, I will elaborate on the multienterprise MDM and artificial theme on the Master Data Management Summit Europe in London.
The Forrester Wave™: Master Data Management, Q1 2019 is out. The subtitle of the report is “Toward the Third Generation of Master Data Management.”
This resonates very well with my view as for example expressed is the post Three Stages of MDM Maturity.
The Forrester Report has this saying on that theme: “The internet of things has led to systems of automation and systems of design, which introduce new MDM usage scenarios to support co-design and the exchange of information on customers, products, and assets within ecosystems”.
Else, the report of course ranks the best selling MDM solutions as seen below:
You can get a free copy of the report from Riversand here or from Reltio here.