The MDM market continues to grow because it focuses on specific business drivers and business-led initiatives.
data management (MDM) is critical to achieving effective information
governance, according to a report from IT research firm Gartner, which noted
failure to manage information accurately has been the root cause of several
incidents, including the leak of sensitive information to WikiLeaks, and can be
fatal to the success of MDM programs. Gartner estimates worldwide MDM software
revenue will reach $1.9 billion in 2012, a 21 percent increase from 2011.
is a technology-enabled business discipline in which businesses and IT
organizations work together to ensure the uniformity, accuracy, stewardship,
semantic consistency and accountability of the organization's official, shared
master data assets. It is increasingly identified by organizations with the
launch of a formal enterprise information management (EIM) strategy and the
foundation of an information governance program that supports EIM.
recent global financial crisis has put information governance in the
spotlight," said Ted Friedman, vice president and distinguished analyst at
Gartner. "Information governance is a priority of IT and business leaders as a
result of various pressures, including regulatory compliance mandates and the
urgent need for improved decision-making."
is one of the most notable information governance programs, and the MDM market
continues to grow because it focuses on specific business drivers and
business-led initiatives. Gartner predicts by 2016, 20 percent of CIOs in
regulated industries will lose their jobs for failing to implement the
discipline of information governance successfully.
seen rapidly growing interest in information governance-related topics, and
this trend shows no sign of abating," said Debra Logan, vice president and
distinguished analyst at Gartner. "Information governance is the only way to
comply with regulations, both current and future, and responsibility for it
lies with the CIO and the chief legal officer. When organizations suffer
high-profile data losses, especially involving violations of the privacy of
citizens or consumers, they suffer serious reputational damage and often incur
fines or other sanctions. IT leaders will have to take at least part of the
blame for these incidents."
report recommends that highly regulated businesses that do not already have
information-archiving technology should invest in it to bring email and files
under control, and noted the governance-related technology of information
archiving has reached early majority and is a key component of an evolving
information governance technology strategy. Through 2016, spending on governing
information must increase to five times the current level to be successful, the
of the structure, information governance responsibilities will become part of
the roles of more people, and the time and funding allocated to these roles
will need to increase dramatically in the typical organization," Friedman said.
"Organizations will have to increase their investment in related tools and technologies,
both to facilitate the development and refinement of policy, and to distill
policies into executable rules that tools can apply to information."
2016, only 33 percent of organizations that initiate an MDM program will
succeed in demonstrating the value of information governance. When IT managers
start an MDM program, they often struggle to get business stakeholders on
board. They therefore fail to demonstrate the business value of MDM, as the
necessary changes in business processes are not supported. The report
recommended organizations create an MDM governance framework, an organizational
structure, and a set of roles and responsibilities to suit their MDM strategy
MDM program is not a project but a commitment by the business to leverage
information for reuse in order to improve business process outcomes," said
Andrew White, research vice president at Gartner. "The real barriers to MDM
adoption remain ones of change management, governance process, organizational
change and measurement of business value. The creation of effective governance
organizations, policies and processes that focus on the master data life cycle
is key to success with MDM."