Best in Class

When conducting workshops, I’m often asked if the Framework I’m proposing is “best in class”.

People naturally want to know if they are getting a quality product when they have taken the plunge to invest in a Data Governance Programme. I understand this.

Why would you not want a Framework that puts you at the top of the league table when embarking on such an initiative? After all, we’re continually told how transformative data governance can be for an organisation adopting it.

The Building Blocks of Effective Data Governance

Let’s take a step back before addressing this question and consider what data governance consists of.

Data Governance is a combination of:

I don’t see the order here as accidental. Data Governance is primarily about people.

Technology, often seen as the panacea, will not solve your problems.

Processes, standards and guidance, on their own, will not solve your problems either.

Good Data Governance is focused on ensuring that the business is able to effectively manage and control its data.

Achieving this requires, first and foremost, the buy-in and engagement of your business stakeholders.

Without this, your Framework will not work.

I remember one organisation which mandated a very comprehensive Data Glossary as part of its Framework.

In theory, it was great. But…the business failed to understand the rationale for it and maintaining it was therefore a tick-box exercise.

I suppose they may have had a best-in-class Framework, but it didn’t engage the business.

It didn’t drive change.

Start with the right people

So how do we engage the business?

First and foremost, you need to ensure that you have identified your primary stakeholders. More often than not, these people will sit within those functions which are downstream from where most of the data is created.

Think about how your organisation works to understand the data flow within it. In an insurance company, the point of origination for data would be the Underwriting Function. The following areas sit downstream:

· Claims

· Reinsurance

· Finance

· Actuarial

Similarly, the key flow within a manufacturing business might commence with a product order with the following functions downstream:

· Production

· Quality Assurance

· Shipping and Delivery

At each stage, data is created, which is then used and augmented by other Functions. So, in an insurance company, Claims, Reinsurance, Finance and Actuarial are dependent on the data created at the policy booking stage.

In a manufacturing business, those responsible for the production process, quality assurance and the logistics of arranging shipping and delivery are all dependent on the data created at order stage.

It is often the case that it’s those stakeholders within the downstream functional areas that are impacted by poor-quality data created upstream. They are therefore often easier to engage and willing to support a data governance framework that will simplify their lives.

They are likely to be your future champions and possibly even future owners within the business.

Focus on Business Need

When thinking about where to focus and how to design your Framework, you need to meet with these stakeholders and understand:

· How they use data

· Where it’s sourced

· where the pain points lie.

Common themes are likely to emerge from these discussions.

Gaining an understanding of the pain points will enable you to start putting together a list of data quality issues, including quick wins for extra brownie points. Watch out for tips on these in a future article.

When thinking about your Framework design, though, they will give you a strong steer towards the areas that you will need to focus on and address for maximum bang for your buck.

End User Computing

In one engagement, a common complaint revolved around data from the planning process which was often inconsistent. Further investigations revealed that the root cause was the use of Excel to enter and hold the relevant data.

My Framework, therefore, had to address End User Computing controls as a key focus with policies and processes that were specific to this challenge. Considerable support was given by the business with both the design and implementation as there were many who stood to gain.

Had my Framework focused on a Data Dictionary, for example, I probably wouldn’t have obtained the same buy-in. The need was just not as apparent at that point.

Build Incrementally

Your Framework does not need to cover everything from inception. By focusing on the current business challenges and involving the right people, you can grow it and shape it as your people evolve in their maturity.

So back to the question posed at the start of this article…the answer is that the “best in class” is the one that has the support of the business.

No, it may not cover all the bases, but if it’s actionable, it will help drive change and the rest can be built over time.

In the next article, we’ll look at how to identify the right Data Owners and why this is critical to successfully managing your data as an asset that contributes value to your organisation.

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Designing a Data Governance Framework that drives change for your organisation