The Complexity of Data Governance
The three drivers of any Data Governance program are: Business processes, People (i.e. competence) and Tools (software).
As such Data Governance becomes a complex system of many moving parts, that can be difficult to measure and follow up.
However, not following up is the same as wishing for success and value (rarely a good idea).
Metrics allows for monitoring, reporting and adjusting:
¤ Identify software, business processes, or individual behavior needing changes
¤ Highlight the program’s effectiveness in areas like regulatory compliance and Data Quality
¤ Uncover areas needing improvement in the Data Governance program
¤ Show the success of the Data Governance program to stakeholders
Common Data Governance Metrics
A common way is to take a fraction of the data and compare it to a “trusted” source and also to use tools to support the quality aspects of the data
Depending on your specific use-case additional areas might be important to monitor and follow up:
¤ Data encryption – applied correctly
¤ Data breach incidents – should be low
¤ User access monitoring – who have access (roles, people and situations)
¤ Data access controls – how to ensure correct usage of data
¤ Data retention – meet up to compliance, archiving and redundancy
The financial side of Data Governance
As the Data and processes managing and using data matures and better quality arise is good and valuable, the effort put in also must correspond to better business outcomes.
A well formulated and measured business case is also a valuable tool for the prioritization for the Data Governance program.
Three categories:
¤ Cost Savings from reduced manual work (IT and Business)
¤ Productivity Gains trough self-service and single (trusted) source of the truth and automation of processes
¤New Revenue Opportunities arise from the possibility of using advanced analytics and AI to analyze market and organization – thus finding new streams of revenue.
There are many aspects of Data Governance that have a direct or in-direct effect on cost and/or profits, and the value it brings is unquestionable. However, without proper follow-up and measurements it is impossible to adjust (where needed) and to prove value for the organization!
…and remember Data Governance is a business enabler and not an IT-project
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