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Data Governance for the Executive

             “Raising the Bar”
       Based on the recently released book
       “Data Governance for the Executive”
                   By Jim Orr



Welcome!               Director, Information Builders, Inc.

                                     December 8, 2011
Data Governance

Broad interpretation and scope…

   Data quality                           Business rules
   Data integration                       Data standards
   Data modeling                          Data analytics
   Data security & privacy                Work flow management
   Data lineage                           Measure, monitor, trend & report
   Metadata management                    Data entry
   Stewardship                            Data storage


                      Yes, data governance involves each of these activities,
                       domains and more. However, today’s webinar will not
                     cover any of this in detail. Instead, we will focus on what
                         executives and business leaders need to know.

                                                                       Copyright 2007, Information Builders. Slide 2
                                   Data Governance for the Executive
                                           Copyright 2011
Data Governance for the Executive                                Agenda



Changing perceptions and influencing business leadership


1. Alter age-old opinions and introduce new concepts

2. Demonstrate value (holistic & nonconventional)

3. Implementing structure that supports fundamental
   requirements for success




                              Data Governance for the Executive
                                      Copyright 2011
Data Governance for the Executive                              Changing Perceptions



What influences data and information outcomes?

         Data management practices/policies

         Technology

         Business process

         Organization strategy and policy

         Culture              All are interconnected, have upstream
                               and downstream dependencies, and
                                        need to be governed
                            Data Governance for the Executive
                                    Copyright 2011
Data Governance for the Executive                    Changing Perceptions



Similar assets but managed very differently

  Financial Assets                      Data Assets
   Centralized ownership,               Fragmented ownership, little
      authority, accountability             authority or accountability
     Standard policies and                Minimum standards/inefficient or
      procedures                            non-existent policies/procedures
     Common chart of accounts             Few/no common data models or
     Formal audits                         methods
     Regulated                            Limited/no audits
     Well documented                      Unregulated/loosely regulated
     Part of planning process             Poorly documented
                                           Seldom part of planning process

                             Need to treat data like a financial asset.
Data Governance for the Executive                                    Changing Perceptions



It is not just about the data and technology…


     The term “data governance” can imply tactical, IT centric data
       management activities with a flair for bureaucracy. To the
                          contrary it is about


       Information Asset Management
                  that drives business performance.


                               What you call it and how you view it as an
                                 organization can be the difference
                                     between success and failure


                                 Data Governance for the Executive
                                         Copyright 2011
Data Governance for the Executive                                    Changing Perceptions



New horizons
A data governance discipline represents a collection of individuals that
serve as custodians over the data and information assets of a company
or agency from both a business and technical perspective.

As the discipline matures, it cultivates intellectual property and gains
unprecedented visibility into the organization’s business processes, data
and information assets. This insight exposes hidden opportunities,
challenges, and risk that impact the company business. It also provides
the mechanism to accentuate the opportunity and mitigate the risk.

Because of this, data governance serves as a solid framework for
administering the data and information assets of an entire organization
or at minimum, the data life cycle.



                                  Data Governance for the Executive
                                          Copyright 2011
Data Governance for the Executive                            Demonstrating Value




       Economic
      Justification                                  #1 Reason for Success

                                                        Identifying and
     Where and how to find the                       demonstrating economic
             value.                                          value.




                                                                   Copyright 2007, Information Builders. Slide 8
                         Data Governance for the Executive
                                 Copyright 2011
Data Governance for the Executive                              Demonstration Value



Why all the buzz?

                    Data Governance may be the last frontier
                                 for materially


                           • Reducing costs
                           • Improving revenues
                           • Mitigating risk
                           • Driving compliance

                      in mid-market, enterprise, and global
                      organizations and across all industries.


                            Data Governance for the Executive
                                    Copyright 2011
Data Governance for the Executive                                   Demonstrating Value



What the industry is telling us…

  On average, companies estimate they are losing $8.2 million
  dollars annually because of data quality issues with 22% of
    businesses estimating losses over $20 million per year.

                                      - Gartner Group (8/4/2009)

       On average, companies estimate they lose over $5 million dollars
        annually due to data related problems with 20% of businesses
                 estimating losses over $20 million per year.

                                                        - Forbes Insights (April 2010)




                                 Data Governance for the Executive
                                         Copyright 2011
Data Governance for the Executive                                       Demonstrating Value



What the industry has taught us…

    The economic impact of ineffective data management, data quality, and
     governance is predicted to be much higher than analyst report because


       You Simply Don’t Know What You
                 Don’t Know!!
   For every known data governance benefit and opportunity there are many
     more just like it buried beneath a complex maze of corporate practices,
                   disparate systems, culture, and bureaucracy.




                                     Data Governance for the Executive
                                             Copyright 2011
Data Governance for the Executive                                               5 Ways to Demonstrate Value

  (1) Program         (2) Data
                    Management                                           (4) Business                   (5) Organization
   Strategy &                          (3) Projects
                    Operations                                            Operations                    Strategy & Policy
    Direction
                    Data Quality            MDM                              Sales &                         Customer
   Structure
                                                                           Marketing                         Definition
     Scope         Data Modeling              BI
                                                                           Customer                          Merger &
  Prioritization     Metadata               CRM                              Service                        Acquisition
                    Management               CDI                             Risk &                         Planning &
     Policy
                   Data Integration                                       Compliance                          Budget
   Roles &                                   DW
                    Data Lineage                                         Order to Cash                   Business Partner
Responsibilities                            EDW                                                             Integration
  Authority &        Security &                                           Supply Chain
                      Privacy                DM                                                           Data Enrichment
 Accountability                                                         Taxes & Fees
                   Data Standards           ERP                                                                 Security &
Issue Resolution                                                         Social and                              Privacy
Business Align.    Business Rules       360° View                      Human Services
   Power to           Business        Data Migration                   Mail & Transport
   Question           Process         Data Integration                        Asset Mgmt.
 Transparency       Stewardship                                                Business
   Weights &        Monitoring &                                              Analytics &
   Balances           Metrics                                                 Research
     CoE              Reporting
   Agility to        Workflow                                    5 primary areas to find value for
   Respond          Management                                          data governance
                                                                                            Copyright 2007, Information Builders. Slide 12
                                          Data Governance for the Executive
                                                  Copyright 2011
Data Governance




      Organization
       Structure
  How do we make this operational?




                                                             Copyright 2007, Information Builders. Slide 13
                         Data Governance for the Executive
                                 Copyright 2011
Data Governance for the Executive                                                      3 Operational Components

                                            1
                                           Administrative
          1                                   (Formal Oversight)
                                                                                                           1
                                               Direction     Issue resolution
                                                  Scope      Roles and responsibilities
                                           Prioritization    Authority and accountability
                                               Structure     Funding
                               Organizational alignment      Education
                                       Policy definition     Communication

       Technical                                                                                Business
                                                                                           (Policy, Process, Standards,
   (Tools & Data Management)                                                                   Opportunities, Risk)

      Data integration                             Overlapping Scope                            Data standards
        Data quality                                       &                                     Business rules
      Data modeling                                Interdependencies                           Business process
   Metadata management                                                                        Reporting & metrics
       Data lineage                                                                               Stewardship
   Work flow management                                                                       Customer definition
           Security                                                                           Acquisition & merger
                                        Each are unique and require different                   Data enrichment
                                      focus, solutions, skills, and approaches.                Risk & compliance
                                      However, each are highly interdependent
                                                   on one another.



                                                   Data Governance for the Executive
                                                           Copyright 2011
Data Governance for the Executive                                                     Purpose



The benefit of a strong administrative arm

   Technical and
   Business Data                                                                                Data
 Governance Layer                      $ Business Value $                                    Management
(not all inclusive list)                                                                      Domains

                                       Project Optimization
                           (MDM, EIM, CRM, EPI, BI, EDW, DW, 360 degree view)


                           Information & Data Quality Optimization

                                      Data                    Business                 Data
             Data Quality
                                  Integration                 Process               Stewardship


                               Administrative Data Governance




                                                Data Governance for the Executive
                                                        Copyright 2011
Data Governance for the Executive                                Structure



Primary structural requirements for success
   Legitimacy
   Corporate visibility
   Span of control over data
   Span of control over business process
   Funding
   Senior management involvement
   Skill & position
                         Each of these must be reflected directly or
                      indirectly in the structure of a data governance
                        organization. The more an organization can
                      satisfy these requirements the more successful
                                     their program will be.

                              Data Governance for the Executive
                                      Copyright 2011
Data Governance for the Executive                                                 Structure



Structural concepts that satisfy many foundational
requirements for success
                                  Senior Management
    It’s not so much about
     about the boxes and
  reporting structure as it is
  about their relationships,                                   Wildcard
   how they actually work
       together, and why


                      Formal Office of:                                                Council
                      Data Governance or
                  Information Management or
                Information Asset Management                          Every organization structure is
                                                                      different. These concepts can
                                                                     be applied in a number of ways.
                                                                             Copyright 2007, Information Builders. Slide 17
                                 Data Governance for the Executive
                                         Copyright 2011
Questions?

On behalf of DATAVERSITY and Information Builders, thank
you very much for your time and interest today!

                                                                                      To learn more about
        Jim Orr                                                                    Information Builders, our
                                                                                        technology and
 Information Builders, Inc.
   James_Orr @IBI.com                                                              information management
      (719) 534-3116                                                                     solutions visit:
                                                                                      https://www.ibi.com


 To order or learn more about “Data Governance for the Executive” go to:
                                              Amazon.com:
           http://www.amazon.com/Data-Governance-Executive-James-Orr/dp/0615531911/
                                                  Or
                                          Senna Publishing, LLC
                   https://sites.google.com/a/sennapublishing.com/senna-publishing/ 2007, Information Builders. Slide 18
                                                                              Copyright




                                                    Data Governance for the Executive
                                                            Copyright 2011

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Data Governance for the Executive

  • 1. Data Governance for the Executive “Raising the Bar” Based on the recently released book “Data Governance for the Executive” By Jim Orr Welcome! Director, Information Builders, Inc. December 8, 2011
  • 2. Data Governance Broad interpretation and scope…  Data quality  Business rules  Data integration  Data standards  Data modeling  Data analytics  Data security & privacy  Work flow management  Data lineage  Measure, monitor, trend & report  Metadata management  Data entry  Stewardship  Data storage Yes, data governance involves each of these activities, domains and more. However, today’s webinar will not cover any of this in detail. Instead, we will focus on what executives and business leaders need to know. Copyright 2007, Information Builders. Slide 2 Data Governance for the Executive Copyright 2011
  • 3. Data Governance for the Executive Agenda Changing perceptions and influencing business leadership 1. Alter age-old opinions and introduce new concepts 2. Demonstrate value (holistic & nonconventional) 3. Implementing structure that supports fundamental requirements for success Data Governance for the Executive Copyright 2011
  • 4. Data Governance for the Executive Changing Perceptions What influences data and information outcomes? Data management practices/policies Technology Business process Organization strategy and policy Culture All are interconnected, have upstream and downstream dependencies, and need to be governed Data Governance for the Executive Copyright 2011
  • 5. Data Governance for the Executive Changing Perceptions Similar assets but managed very differently Financial Assets Data Assets  Centralized ownership,  Fragmented ownership, little authority, accountability authority or accountability  Standard policies and  Minimum standards/inefficient or procedures non-existent policies/procedures  Common chart of accounts  Few/no common data models or  Formal audits methods  Regulated  Limited/no audits  Well documented  Unregulated/loosely regulated  Part of planning process  Poorly documented  Seldom part of planning process Need to treat data like a financial asset.
  • 6. Data Governance for the Executive Changing Perceptions It is not just about the data and technology… The term “data governance” can imply tactical, IT centric data management activities with a flair for bureaucracy. To the contrary it is about Information Asset Management that drives business performance. What you call it and how you view it as an organization can be the difference between success and failure Data Governance for the Executive Copyright 2011
  • 7. Data Governance for the Executive Changing Perceptions New horizons A data governance discipline represents a collection of individuals that serve as custodians over the data and information assets of a company or agency from both a business and technical perspective. As the discipline matures, it cultivates intellectual property and gains unprecedented visibility into the organization’s business processes, data and information assets. This insight exposes hidden opportunities, challenges, and risk that impact the company business. It also provides the mechanism to accentuate the opportunity and mitigate the risk. Because of this, data governance serves as a solid framework for administering the data and information assets of an entire organization or at minimum, the data life cycle. Data Governance for the Executive Copyright 2011
  • 8. Data Governance for the Executive Demonstrating Value Economic Justification #1 Reason for Success Identifying and Where and how to find the demonstrating economic value. value. Copyright 2007, Information Builders. Slide 8 Data Governance for the Executive Copyright 2011
  • 9. Data Governance for the Executive Demonstration Value Why all the buzz? Data Governance may be the last frontier for materially • Reducing costs • Improving revenues • Mitigating risk • Driving compliance in mid-market, enterprise, and global organizations and across all industries. Data Governance for the Executive Copyright 2011
  • 10. Data Governance for the Executive Demonstrating Value What the industry is telling us… On average, companies estimate they are losing $8.2 million dollars annually because of data quality issues with 22% of businesses estimating losses over $20 million per year. - Gartner Group (8/4/2009) On average, companies estimate they lose over $5 million dollars annually due to data related problems with 20% of businesses estimating losses over $20 million per year. - Forbes Insights (April 2010) Data Governance for the Executive Copyright 2011
  • 11. Data Governance for the Executive Demonstrating Value What the industry has taught us… The economic impact of ineffective data management, data quality, and governance is predicted to be much higher than analyst report because You Simply Don’t Know What You Don’t Know!! For every known data governance benefit and opportunity there are many more just like it buried beneath a complex maze of corporate practices, disparate systems, culture, and bureaucracy. Data Governance for the Executive Copyright 2011
  • 12. Data Governance for the Executive 5 Ways to Demonstrate Value (1) Program (2) Data Management (4) Business (5) Organization Strategy & (3) Projects Operations Operations Strategy & Policy Direction Data Quality MDM Sales & Customer Structure Marketing Definition Scope Data Modeling BI Customer Merger & Prioritization Metadata CRM Service Acquisition Management CDI Risk & Planning & Policy Data Integration Compliance Budget Roles & DW Data Lineage Order to Cash Business Partner Responsibilities EDW Integration Authority & Security & Supply Chain Privacy DM Data Enrichment Accountability Taxes & Fees Data Standards ERP Security & Issue Resolution Social and Privacy Business Align. Business Rules 360° View Human Services Power to Business Data Migration Mail & Transport Question Process Data Integration Asset Mgmt. Transparency Stewardship Business Weights & Monitoring & Analytics & Balances Metrics Research CoE Reporting Agility to Workflow 5 primary areas to find value for Respond Management data governance Copyright 2007, Information Builders. Slide 12 Data Governance for the Executive Copyright 2011
  • 13. Data Governance Organization Structure How do we make this operational? Copyright 2007, Information Builders. Slide 13 Data Governance for the Executive Copyright 2011
  • 14. Data Governance for the Executive 3 Operational Components 1 Administrative 1 (Formal Oversight) 1 Direction Issue resolution Scope Roles and responsibilities Prioritization Authority and accountability Structure Funding Organizational alignment Education Policy definition Communication Technical Business (Policy, Process, Standards, (Tools & Data Management) Opportunities, Risk) Data integration Overlapping Scope Data standards Data quality & Business rules Data modeling Interdependencies Business process Metadata management Reporting & metrics Data lineage Stewardship Work flow management Customer definition Security Acquisition & merger Each are unique and require different Data enrichment focus, solutions, skills, and approaches. Risk & compliance However, each are highly interdependent on one another. Data Governance for the Executive Copyright 2011
  • 15. Data Governance for the Executive Purpose The benefit of a strong administrative arm Technical and Business Data Data Governance Layer $ Business Value $ Management (not all inclusive list) Domains Project Optimization (MDM, EIM, CRM, EPI, BI, EDW, DW, 360 degree view) Information & Data Quality Optimization Data Business Data Data Quality Integration Process Stewardship Administrative Data Governance Data Governance for the Executive Copyright 2011
  • 16. Data Governance for the Executive Structure Primary structural requirements for success  Legitimacy  Corporate visibility  Span of control over data  Span of control over business process  Funding  Senior management involvement  Skill & position Each of these must be reflected directly or indirectly in the structure of a data governance organization. The more an organization can satisfy these requirements the more successful their program will be. Data Governance for the Executive Copyright 2011
  • 17. Data Governance for the Executive Structure Structural concepts that satisfy many foundational requirements for success Senior Management It’s not so much about about the boxes and reporting structure as it is about their relationships, Wildcard how they actually work together, and why Formal Office of: Council Data Governance or Information Management or Information Asset Management Every organization structure is different. These concepts can be applied in a number of ways. Copyright 2007, Information Builders. Slide 17 Data Governance for the Executive Copyright 2011
  • 18. Questions? On behalf of DATAVERSITY and Information Builders, thank you very much for your time and interest today! To learn more about Jim Orr Information Builders, our technology and Information Builders, Inc. James_Orr @IBI.com information management (719) 534-3116 solutions visit: https://www.ibi.com To order or learn more about “Data Governance for the Executive” go to: Amazon.com: http://www.amazon.com/Data-Governance-Executive-James-Orr/dp/0615531911/ Or Senna Publishing, LLC https://sites.google.com/a/sennapublishing.com/senna-publishing/ 2007, Information Builders. Slide 18 Copyright Data Governance for the Executive Copyright 2011