SOURCE: Aberdeen Group

May 07, 2008 12:46 ET

Businesses Benefit From Master Data Management (MDM) Investments, Even Those With "No MDM Plans"

Companies With and Without MDM Plans Making Similar Investments and Gaining Similar Advantages

BOSTON, MA--(Marketwire - May 7, 2008) - Companies are improving customer care and corporate bottom lines, and completing business-critical data migration projects faster and more economically, with master data management (MDM) -- the creation and management of "one version of the truth." This is true even among business that claim to have no MDM investment plans, according to research reported in "Winning Master Data Management (MDM) Strategies for 2008-2009," newly published by Aberdeen, a Harte-Hanks Company (NYSE: HHS).

"Among 'Best-in-Class' companies identified by Aberdeen Group research, 94% improved on-time data migration project completion, while 88% improved on-budget completion. Among Best-in-Class companies focused on customer data quality, 94% reported improvement in data integrity, 95% improved data usability, and 88% decreased the time required to make data ready for business use. 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 Aberdeen Group.

Enterprises succeeding with MDM initiatives combine well-selected technologies with policies and strategies that focus on cross-functional consensus, data accountability and stewardship, well-documented IT roles and responsibilities, and business-centric metrics.

All Best-in-Class companies focused on customer data quality surveyed by Aberdeen Group (100%) invest in data collection, cleansing, and analysis tools, while 98% invest in data process management. Eighty-three percent (83%) employ MDM strategies that assign data quality and accountability to a data steward or manager. And 89% employ customer-related and operational key performance indicators (KPIs), while 84% use revenue-related metrics, Aberdeen research found.

Curiously, additional Aberdeen research indicates that companies claiming to have no MDM plans in place are making many of the same investments in policies, processes and solutions as companies pursuing MDM. However, those companies pursuing MDM initiatives appear to be devoting more effort to effective supporting processes.

In addition to such findings, Aberdeen Group's "Winning Master Data Management (MDM) Strategies for 2008" also features Maturity Class Frameworks to help companies determine their "MDM-readiness," and discusses the impacts of MDM and related initiatives on business and IT infrastructures and organizations. A complimentary copy of this report is made available due in part to the following underwriters: Initiate Systems and Baseline Consulting Group, Inc. To obtain a complimentary copy, visit: http://www.aberdeen.com/link/sponsor.asp?cid=4634.

About Aberdeen Group, a Harte-Hanks Company

Aberdeen is a leading provider of fact-based research and market intelligence that delivers demonstrable results. Having benchmarked more than 30,000 companies in the past two years, Aberdeen is uniquely positioned to educate users to action: driving market awareness, creating demand, enabling sales, and delivering meaningful return-on-investment analysis. As the trusted advisor to the global technology markets, corporations turn to Aberdeen™ for insights that drive decisions.

As a Harte-Hanks Company, Aberdeen plays a key role of putting content in context for the global direct and targeted marketing company. Aberdeen's analytical and independent view of the "customer optimization" process of Harte-Hanks (Information - Opportunity - Insight - Engagement - Interaction) extends the client value and accentuates the strategic role Harte-Hanks brings to the market. For additional information, visit Aberdeen http://www.aberdeen.com or call (617) 723-7890, or to learn more about Harte-Hanks, call (800) 456-9748 or go to http://www.harte-hanks.com.

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