Master Data Management (MDM) can be defined as a business capability to identify, develop and maintain the organization’s processes and tools to ensure that every master data domain (entity) is:
MDM Domain examples include Customer/Party, Product, Account, Location, Organization & Employee.
Our MDM initiative is in response to the growing need for information management & solutions to effectively manage customer transformation and define strategy, large data volumes, produce accurate data, link business & customer information as well as a centralized system of record. Our portfolio of Master Data Management solutions and services cover advisory, implementation
The mastering of customer data allows a financial enterprise to build a centralized 360-degree view of a customer to support internal regulatory and compliance functions such as know your client (KYC), anti-laundering (AML) and the US Patriot Act.
Customer data is centralized and cleansed through data quality rules and policies set by the enterprise data governance body. The cleansed data is used to source internal indicatives such as householding, sales & marketing, enterprise data warehouse (EDW), customer relationship management (CRM), and collection and fraud systems.
The customer types that are modeled and defined within an MDM platform in the financial industry include retail, wealth management, institutional, broker, dealer, agent and party. These would typically be linked to other domains being mastered within the MDM platform such as ‘product’—financial products offered and serviced to a customer. Products that are uniquely linked to a customer include:
Lighthouse can help you create and take advantage of the benefits of a “single customer view.”
A single customer view can help you meet data management and reporting requirements from edicts such as Sarbanes-Oxley and Basel, as well as ensure compliance with consumer privacy laws (for example, avoiding marketing to customers that have proactively opted out of marketing communications).
Reducing costs is often the low-hanging fruit for an MDM single customer view initiative. Examples include:
A single customer view can provide improved visibility to a customer’s purchase history. These insights can then be used to identify new marketing up-sell and cross-sell opportunities and improve customer experiences across all sales channels (in person, call center and web).
Call center agents who must sift through duplicate or inaccurate account information have high average call handle time metrics. Business people who distrust business intelligence and data warehouse systems usually import data into spreadsheets to manually cleanse and validate the data. MDM can help solve these challenges.
This enables identification of customers across the enterprise, allowing for ease of integration of new customers and KYC compliance. For example, an incorrect address in the customer master might mean orders, bills and marketing literature are repeatedly sent to the wrong address.
Linking local identifiers to a single global identifier allows the access of data stored within a range of independent systems without interfering with the operation of those systems. It also allows for the re-use of customer analytics when data resides in a single enterprise repository.
With over 23 years of experience in accessing, managing, securing and reporting trusted information back to enterprises, Lighthouse is here to help you bridge information silos, reduce costs and achieve exceptional time-to-value.