What Is Master Data Governance?

When you think of a data governance system, you might imagine a bunch of people in suits sitting around a table and making decisions about what to do with the data they collect. But that's not it at all! So what is master data? Master data refers to any information used across multiple platforms and systems in your business. It's the stuff that makes up the core of your business. Think of customer names, addresses, phone numbers, and credit card numbers (to name a few). Everything that matters. Master data governance is the comprehensive management or handling of this data within a system. It means ensuring that all information is kept up-to-date and accurate across all platforms so people can always access precise details whenever they need them. Examples of master data include contact information, product codes, and account numbers. Master data is often used in business-critical functions, such as order entry and inventory management. When data is critical to the operations of a business, it is often called master data. If you're not a master data governance nerd, it might be hard to grasp the concept of "places, people and things. " let me break that down for you. Client identifiers are the "people" of your master data system. These references are used in CRM systems Product identifiers are the "things" of your master data system. These are references that get referenced by these same programs. Some definitions of master data exclude transactional data because, in financial transactions, credit card processing systems use the core "people" and "things" identifiers to document a transaction. Master data governance is more like the steering wheel. It's concerned with how that data gets used and what happens next. It ensures that everyone understands why this information matters so they can decide how best to store and protect it.