What is a challenge associated with master data management?

What is a challenge associated with master data management?

• A. Data migration
• B. Reporting inaccuracies
• C. Data backup issues
• D. Entity resolution or identity management

Answer: (D)

Master Data Management (MDM) is a comprehensive approach to managing the critical data of an organization for a single, accurate view of the business. A significant challenge within MDM is related to entity resolution or identity management. This involves the processes and techniques used to ensure that data referencing the same entity—such as a customer, product, or supplier—is correctly identified and linked. The process of entity resolution includes the identification of duplicate records, standardizing data formats, and reconciling conflicting information from various data sources. This is particularly challenging because data is often spread across multiple systems, can come in different formats, and may be collected at different times, leading to inconsistencies. Accurate entity resolution is crucial because it affects the integrity and reliability of the master data. In contrast, while data migration, reporting inaccuracies, and data backup issues are indeed important challenges in data management, they do not directly pertain to the core objectives of master data management as specifically as entity resolution does. Data migration deals with moving data from one system to another, reporting inaccuracies pertain to the quality of reports generated from data, and data backup issues focus on the preservation and recovery of data. These are broader data management concerns that intersect with MDM but do not capture the specific

Master Data Management (MDM) is a comprehensive approach to managing the critical data of an organization for a single, accurate view of the business. A significant challenge within MDM is related to entity resolution or identity management. This involves the processes and techniques used to ensure that data referencing the same entity—such as a customer, product, or supplier—is correctly identified and linked.

The process of entity resolution includes the identification of duplicate records, standardizing data formats, and reconciling conflicting information from various data sources. This is particularly challenging because data is often spread across multiple systems, can come in different formats, and may be collected at different times, leading to inconsistencies. Accurate entity resolution is crucial because it affects the integrity and reliability of the master data.

In contrast, while data migration, reporting inaccuracies, and data backup issues are indeed important challenges in data management, they do not directly pertain to the core objectives of master data management as specifically as entity resolution does. Data migration deals with moving data from one system to another, reporting inaccuracies pertain to the quality of reports generated from data, and data backup issues focus on the preservation and recovery of data. These are broader data management concerns that intersect with MDM but do not capture the specific