Master data management is the basis for sharing data
Master data is among the most important data for companies. Perhaps even more so in logistics than in other industries. It is required very frequently but rarely changed and relates to objects that are highly relevant to the company: addresses, articles, images or terms and conditions. If it is high quality, master data can be a valuable key success factor for business operations. In logistics as in other industries. That is why a master data management (MDM) system plays such an important role: it manages master data records centrally in a single database and makes them available to all connected users - enabling efficient data sharing. Central data storage also allows efficient sorting and further analyses. Master data breaks down into three main groups:
- Articles – article numbers, descriptions, pictures, etc.
- Customer data – addresses, industries, customer numbers
- Supplier data – addresses, terms, contacts
Once it has been created and entered, master data is unique content because, as long as it is properly prepared, it contains no duplicates and all the data is correct.
What does good master data management do for logistics?
Master data management gives employees immediate access to essential information for carrying out processes. Master data also forms the basis for long-term cross-functional collaboration. Relevant data makes it easier to handle goods and merchandise and share information. Good data preparation is the basis for process optimisation. In warehousing, for example, it is essential to know where certain parts and articles are located in the warehouse. Master data management also enables continuous data sharing between company divisions.
How master data management and the GDPR are connected
Answers to questions about data processing and data storage have become more important in recent years due to the European General Data Protection Regulation (GDPR). Companies are well advised to institute master data management as part of their CRM strategy as well as process management with software tools that reflect GDPR guidelines.