Master Data Management & Why You Need It
by Majenica Moles
What, exactly, is master data management? Well, it’s the management of data. More specifically, the management of data collected by a business. This could be customer information, sales, system data, or any number of things that are found in a business’s computer system. Data management is important to answer any question in business. If you want to know how many customers you have, or what your best selling product is, then you need data management to help you figure that out. You collect data when you sell products, or when customers sign up on your website. This information helps your data management tool track all of the important information, so you can be able to answer those questions.
When you are running a business, whether large or small, how you manage your data is important. Data that you collect might not be personal, like names and addresses, but if you take payment for things, then most likely you have debit or credit card information somewhere in your system. You want to make sure you have a secure system in place to protect any and all data. Even if you don’t think it could be important data, a hacker might see it differently.
I, for one, want to know that any and all information that I give a business is protected. Even something as simple as my name could be advantageous to someone accessing the data. A business needs to make sure they are doing everything they can to protect data.
Finding the right tool for data management can be daunting. There are so many to choose from, how do you pick? Profisee has a great article with a list of good data management tools. They give you all of the information you need to make an informed decision. They lay out what the product is, what is can do, and the strengths and weaknesses of each one. This is a very comprehensive list.
Running a business is hard work, but running a business and keeping track of data is even harder. For instance, let’s look at a grocery store. In order for them to be successful, they need to know how many of each product has been sold so they can order more. Data management is needed for this. Otherwise, they wouldn’t know what or how much to order to keep shelves stocked. Then you add in the customer loyalty cards that most stores offer. You are giving the store your name, address, email address and phone number, usually. They use this information to track your sales, and offer rewards. They also use this information to send out advertisements or coupons. Again, this information requires data management to keep it organized and secure. What about employees? Yes, data management is important for them, as well. They provide even more information to be able to work there, such as social security numbers and date of birth.
So, in conclusion, data management is one of the most important things you can do for your business. Do your research, and find the best data management tool for your company, and you will be able to have peace of mind.
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