EIM Strategy & Data Governance

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1 EIM Strategy & Data Governance August 2008

2 Any Information management program must utilize a framework and guiding principles to leverage the Enterprise BI Environment Mission: Provide reliable, timely, and easily accessible information to support business analysis and decisions Process EIM Framework Organization Info Hub Technology Guiding Principles Governance for the data management environment will be performed by cross-functional teams, who will prioritize, monitor initiatives and needs, and resolve major conflicts Data quality (accuracy, completeness, etc.) will be monitored, based on business value and accountability, for data throughout its lifecycle The information architecture will be incrementally deployed to accommodate evolving business needs, tools, and technologies and be consistent with industry models The information management environment will establish a store of enterprise data to support sector, and functional needs The information management environment will accommodate business changes and enable enhanced use of information Information management capabilities, including their applicability and limitations, will be effectively communicated 1

3 Conceptual Organizational Model Getting Data In (GDI) Team Role Builds enterprise data store Gathers requirements for information needed in information hub Understands quality of source data to be captured Develops a business and enterprise data store data model and schema Designs and builds data movement process for capturing and loading data Manage consistent reference data Getting Data In (GDI) Getting Information Out (GIO) Functional Area Getting Information Out (GIO) Team Role Leverages information hub and operational information delivery vehicles Gathers detailed requirements of information needs Designs and builds functional & cross-area area analysis capabilities Designs and builds functional area reports Disseminates tools, education, training Leverages GIO best practice information and templates The conceptual organizational model leverages specific information management skills and repeatable process to enable efficient, effective information delivery. Competency Center Role Builds information delivery vehicles Provides repeatable best practice process Supports GIO communication and training Promotes reuse through information catalog Designs and builds data movement process Facilitates cross-area analysis capabilities Coordinates GIO activities to leverage information use Governance Structure Competency Center GIO Center of GIO Team Excellence Functional Area GIO Team Functional Area GIO Team 2

4 What is Data Governance? Data governance is the practice of organizing and implementing policies, procedures and standards for the effective use of an organization's structured/unstructured information assets. Data governance is accomplished through the actions of data stewards who exercise the careful, responsible management of data entrusted to them on behalf of others. Understand the quality of your common information Provide a path to improve the quality and accuracy of your common data Identify and consolidate the redundancy in your common data Identify what costs your organization incurs by having duplicate information Provide a clear understanding of who is responsible for your data Identify the costs for not having standard definitions of common information Define the business rules and valid domain values for your common information Discover where business rules and valid domain values are not being followed Provide a defined and sustaining feedback loop to continuously improve your data 3

5 Governance The Governance Body A critical part of this endeavor is the framework upon which an enterprise data governance and quality effort should be built. A data governance entity is a person or persons empowered by senior management, funded, accountable and closed loop 4

6 Data Governance Model Executive Oversight (CAO, CIO, Function Officers) Sanction and enforce guiding principles and adjudicate noncompliance Approve strategic EIM program investments Allocate overall funding and resources Promote EIM program Resolve conflicts and enforce decisions Allocate funding among functions Prioritize program and cross-function initiatives Sanction program scope and cross-function initiatives Monitor program and cross-function initiatives Project Prioritization Leads from functional IT Policy Level Data Governance Leads from Functional Teams Sanction business data model Establish and enforce data policies Establish & enforce critical firm-wide definitions Oversee information architecture Allocate funding within functions Prioritize functional area initiatives Sanction scope of functional area initiatives Monitor functional area initiatives Area Project Prioritization Leads from function addressed Working Level Data Stewardship Data Lead, SME s from functions Develop and apply business data model Establish data business rules throughout lifecycle Recommend data improvement initiatives Recommend firm-wide data definitions Manage metadata repository content Influences EIM Program Evolution Information Roadmap Information Quality 5

7 Data Stewardship Data quality is a business issue, not an IT matter, and it requires the business to take responsibility and drive improvements Gartner Group The business management of the organization's information assets in order to optimize their reusability, accessibility, and quality Each major business function should have stewardship Data stewards must reside in the business Are visible, respected and influential Must have insight and vision to understand: The importance of data quality Overall business objectives and context Overall impact of quality issues globally and tactically Do s & Don ts Lack of executive commitment Without executive commitment governance is doomed from the start Having the right steward Successful stewards are placed closest to data capture and maintenance Must have a stake in improving quality Are intimately knowledgeable about the data and its use in a business context Are empowered to make business process changes to address quality issues Avoid If you build it, they will come Initiatives must come from a business need, not from an IT process Start small with a few business understandable terms Make the process easy not burdensome Choose individuals who are committed Stewards must have a real skin in the game avoid creating bureaucratic functions Establish guiding principles and charter A set of common philosophies that everyone should agree upon This becomes a set of by laws or the constitution This step avoids finger pointing and bickering in the future Have a proper foundation A proper foundation includes proper information management program, planning and metrics 6

8 Without Governance, Process and Methods: The Naturally Evolving Architecture And what the business says: I m too busy to get things right! Since there is no structure and process people feel overwhelmed. I m just guessing Defining the formulas for data items required multiple iterations because exception cases didn t surface until after the initial implementation. Casual users not involved with the DW leadership group believed the data was wrong and IT wasn t competent. I don t want to argue! In a conflict concerning which data should be treated as the data of record, one business domain s opinion prevailed because users from other domains didn t feel comfortable debating more senior people on the DW committee. I lost, so I don t care. The heads of several business units told their staff not to use certain reports because the data items they wanted hadn t been included. I can t work with them Some members of the IT committee didn t give much weight to one business unit s needs because it appointed a representative who had a very shallow understanding of how to calculate various data items. Why didn t you tell me earlier? IT s budget planning had to be revisited because the business surprised IT with a major project at the last minute, even though the business had been planning it for months. It s what we ve always done garbage in garbage out Lack of leadership has created a culture of ambivalence and helplessness. 7

9 Problems with The Naturally Evolving Architecture Data credibility When management receives the conflicting reports, it is forced to make decisions based on politics and personalities because neither source is more or less credible. Productivity Productivity is abysmal, especially when there is a need to analyze data across the organization. Inability to transform data into information Using data as information is a management function and is based on the context of the data. Information Anarchy Governance is the basis of revealing the true performance of an organization and the true context of information. Organizational accountability and regulatory compliance are becoming the most critical issue for organizations. Organizations are recognizing that without governance information initiatives are an exercise of arbitrarily assigning numbers to metrics based on politics or guesses. 8

10 Chief Data Officers = Chief Data Stewards The CDO is tasked with being the voice of data and generally representing data as a strategic business asset at the executive table Implemented Data Management Organization Developed 3-5 year plan Developed Data Sharing Architecture Has established Chief Data Officer CDO does not report into technology Chief responsibilities: Establishing a data governance structure Defining data ownership and stewardship Enterprise Customer Information Mgr. reports directly to CEO Information Based Strategy is core business model Organized Business/IT Partnership 2004 Yahoo! appointed a EVP as Chief Data Officer responsible for Yahoo!'s overall data strategy, data policies and systems, prioritizing data investments, and managing the Company's data analytics 9

11 Operational Efficiency Maturity Gauge Data Maturity Model - Governance Governance processes implemented at the department level. Business roles and processes defined and implemented. Enterprise strategy defined and foundational projects planned. Governance capability at the department level. Limited foundation of consistent reusable data between applications. Most governance deployed at an IT level, but business starting to get involved. Common governance processes deployed across the organization. Data is defined in a common, consistent manner, and available as required. Data Governance integrated with other governance processes. Advanced Distinctive No consistent governance or management capability. Data implemented in application silos and seen as an IT issue. Basic Foundational Competent people & heroics 10

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