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DataEd Slides: Data Management versus Data Strategy

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Organizations across most industries make some attempt to utilize Data Management and Data Strategies. While most organizations have both concepts implemented, they must fully understand the difference to fully achieve their respective goals.

Learning Objectives:
- Learn about both important topics
- Understand state-of-the-practice
- Recognize that coordination is key, requiring necessary but sufficient inter-dependencies and sequencing

Published in: Data & Analytics
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DataEd Slides: Data Management versus Data Strategy

  1. 1. Peter Aiken, Ph.D. Data Management 
 Versus 
 Data Strategy Copyright 2018 by Data Blueprint Slide # !1 • DAMA International President 2009-2013 • DAMA International Achievement Award 2001 (with Dr. E. F. "Ted" Codd • DAMA International Community Award 2005 Peter Aiken, Ph.D. • 33+ years in data management • Repeated international recognition • Founder, Data Blueprint (datablueprint.com) • Associate Professor of IS (vcu.edu) • DAMA International (dama.org) • 10 books and dozens of articles • Experienced w/ 500+ data management practices • Multi-year immersions:
 – US DoD (DISA/Army/Marines/DLA)
 – Nokia
 – Deutsche Bank
 – Wells Fargo
 – Walmart
 – … PETER AIKEN WITH JUANITA BILLINGS FOREWORD BY JOHN BOTTEGA MONETIZING DATA MANAGEMENT Unlocking the Value in Your Organization’s Most Important Asset. The Case for the Chief Data Officer Recasting the C-Suite to Leverage Your MostValuable Asset Peter Aiken and Michael Gorman Copyright 2018 by Data Blueprint Slide #
  2. 2. • Context – Important data properties – Lack of correct educational focus – Confusion: IT - Data - Business? • Data Management – What is it? – Why is it important? – State of the practice – Functions required for effective data management • Data Strategy – Structural Approach – Need for simplicity – Foundational prerequisites – The Theory of Constraints at work improving your data • Take Aways/Q&A – In Action In Concert – Coordination is the necessary prerequisite Data Governance Strategies !3Copyright 2018 by Data Blueprint Slide # Confusion • IT thinks data is a business problem – "If they can connect to the server, then my job is done!" • The business thinks IT is managing data adequately – "Who else would be taking care of it?" !4Copyright 2018 by Data Blueprint Slide #
  3. 3. Separating the Wheat from the Chaff • Better organized data increases in value • Poor data management practices are costing organizations much money/time/effort • Minimally 80% of organizational data is ROT – Redundant – Obsolete – Trivial • The question is – Which data to eliminate? !5Copyright 2018 by Data Blueprint Slide # Incomplete Data Assets Win! Data 
 Assets Financial 
 Assets Real
 Estate Assets Inventory Assets Non- depletable Available for subsequent use Can be 
 used up Can be 
 used up Non- degrading √ √ Can degrade
 over time Can degrade
 over time Durable Non-taxed √ √ Strategic Asset √ √ √ √ Data Assets Win! • Today, data is the most powerful, yet underutilized and poorly managed organizational asset • Data is your – Sole – Non-depletable – Non-degrading – Durable – Strategic • Asset – Data is the new oil! – Data is the new (s)oil! – Data is the new bacon! • As such, data deserves: – It's own strategy – Attention on par with similar organizational assets – Professional ministration to make up for past neglect !6Copyright 2018 by Data Blueprint Slide # Asset: A resource controlled by the organization as a result of past events or transactions and from which future economic benefits are expected to flow [Wikipedia]
  4. 4. Executive Directive 7 (2016) LEVERAGING THE USE OF SHARED DATAAND ANALYTICS !7Copyright 2018 by Data Blueprint Slide # Put simply, organizations: !8Copyright 2018 by Data Blueprint Slide # • Have little idea what data they have • Do not know where it is (and) • Do not know what their knowledge workers do with it
  5. 5. Quality engineering/architecture work products do not happen accidentally! • Data management happens 'pretty well' at 
 the workgroup level – Defining characteristic of a workgroup – Without guidance, what are the chances that all 
 workgroups are pulling toward the same objectives? – Consider the time spent attempting informal practices • Data chaff becomes sand – Preventing smooth interoperation and exchanges – Death by 1,000 cuts that have been difficult to account for • Organizations and individuals lack – Knowledge – Skills • Data Management (how) • Data Strategy (why) !9Copyright 2018 by Data Blueprint Slide # • Context – Important data properties – Lack of correct educational focus – Confusion: IT - Data - Business? • Data Management – What is it? – Why is it important? – State of the practice – Functions required for effective data management • Data Strategy – Structural Approach – Need for simplicity – Foundational prerequisites – The Theory of Constraints at work improving your data • Take Aways/Q&A – In Action In Concert – Coordination is the necessary prerequisite Data Governance Strategies !10Copyright 2018 by Data Blueprint Slide #
  6. 6. 69 - datablueprint.com Misunderstanding Data Management !11Copyright 2018 by Data Blueprint Slide # Data Management - Wikipedia Definition Note: This is a broad definition and encompasses professions with no technical contact data management technologies such as database management systems "Data Resource Management is the development and execution of architectures, policies, practices and procedures that properly manage the full data lifecycle needs of an enterprise." http://dama.org !12Copyright 2018 by Data Blueprint Slide #
  7. 7. The disks no longer rotate! !13Copyright 2018 by Data Blueprint Slide # database architecture engineering effort DataData DataData Data Data Data Focus of a software architecture engineering effort Program A Program B Program C Program F Program E Program D Program G Program H Program I Application domain 1 Application domain 2Application domain 3 Data Focus of a Data Data Data Focus has Greater Potential Business Value • Broader focus than either software architecture or database architecture • Analysis scope is on the system wide use of data • Problems caused by data exchange or interface problems • Architectural goals more strategic than operational !14Copyright 2018 by Data Blueprint Slide #
  8. 8. Data Management Context • Organization wide focus • Requirement is to "understand" • Understanding is of both current and future needs • Making data effective and efficient • Leverage data to support organizational activities !15Copyright 2018 by Data Blueprint Slide # Less ROT Technologies Process People Data Management "Understanding the current and future data needs of an enterprise and making that data effective and efficient in supporting business activities"
 
 Aiken, P, Allen, M. D., Parker, B., Mattia, A., "Measuring Data Management's Maturity: A Community's Self-Assessment" IEEE Computer (research feature April 2007) !16Copyright 2018 by Data Blueprint Slide #
  9. 9. What do we teach knowledge workers about data? !17Copyright 2018 by Data Blueprint Slide # What percentage of the deal with it daily? What do we teach IT professionals about data? !18Copyright 2018 by Data Blueprint Slide # • 1 course – How to build a new database • What impressions do IT professionals get from this education? – Data is a technical skill that is needed when developing new databases
  10. 10. !19Copyright 2018 by Data Blueprint Slide # If the only tool you know is a hammer you tend to see every problem as a nail (slightly reworded from Abraham Maslow) !20Copyright 2018 by Data Blueprint Slide # DataManagement
 BodyofKnowledge(DMBoK) Data 
 Management Functionsfrom The DAMA Guide to the Data Management Body of Knowledge © 2009 by DAMA International
  11. 11. !21Copyright 2018 by Data Blueprint Slide # DataManagement
 BodyofKnowledge(DMBoKV2) Data 
 Management Functionsfrom The DAMA Guide to the Data Management Body of Knowledge 2E © 2017 by DAMA International 
 
 
 
 
 
 
 
 
 
 
 
 
 
 Data Governance, Data Quality, 
 Data Security, Analytics, Data Compliance, 
 Data Mashups, Business Rules (more ...) Data
 Management
 (DM) 
 ≈ 2000- 
 
 
 
 
 
 
 
 Organization-wide DM coordination
 Organization-wide data integration
 Data stewardship, Data use Enterprise
 Data
 Administration
 (EDA) 
 ≈ 1990-2000 
 
 
 
 
 Data requirements analysis
 Data modeling Data Administration (DA) 
 ≈ 1970-1990
 Expanding DM Scope DataBase Administration (DBA) ≈1950-1970
 
 Database design
 Database operation !22Copyright 2018 by Data Blueprint Slide #
  12. 12. • Context – Important data properties – Lack of correct educational focus – Confusion: IT - Data - Business? • Data Management – What is it? – Why is it important? – State of the practice – Functions required for effective data management • Data Strategy – Structural Approach – Need for simplicity – Foundational prerequisites – The Theory of Constraints at work improving your data • Take Aways/Q&A – In Action In Concert – Coordination is the necessary prerequisite Data Governance Strategies !23Copyright 2018 by Data Blueprint Slide # Recent data "strategies" • Data science • Big data • Analytics • SAP • Microsoft • Google • AWS • ... !24Copyright 2018 by Data Blueprint Slide # undefinedtechnologies
  13. 13. Data Strategy in Context !25Copyright 2018 by Data Blueprint Slide # Organizational
 Strategy IT Strategy Data Strategy Organizational
 Strategy IT Strategy Data Strategy This is wrong! !26Copyright 2018 by Data Blueprint Slide # Organizational
 Strategy IT Strategy Data Strategy
  14. 14. Organizational
 Strategy IT Strategy This is correct … !27Copyright 2018 by Data Blueprint Slide # Data Strategy Simon Sinek: How great leaders inspire action !28Copyright 2018 by Data Blueprint Slide # http://www.ted.com/talks/simon_sinek_how_great_leaders_inspire_action.html 
 
 
 
 
 
 
 
 
 What 
 
 
 
 
 
 How Why • “It’s not what you do, it’s why you do it” • Rev. Martin Luther King Jr. gave the - "I have a dream speech" - not the - "I have a plan speech"
  15. 15. What is a Strategy? • Current use derived from military • "a pattern in a stream of decisions" [Henry Mintzberg] !29Copyright 2018 by Data Blueprint Slide # Strategy in Action: Napoleon defeats a larger enemy • Question? – How to I defeat the competition when their forces are bigger than mine? • Answer: – Divide 
 and 
 conquer! – “a pattern 
 in a stream 
 of decisions” !30Copyright 2018 by Data Blueprint Slide # – “a pattern 
 in a stream 
 of decisions”
  16. 16. !31Copyright 2018 by Data Blueprint Slide # Supply Line Metadata First Divide !32Copyright 2018 by Data Blueprint Slide #
  17. 17. !33Copyright 2018 by Data Blueprint Slide # Then Conquer Wayne Gretzky’s
 Definition of Strategy He skates to where he 
 thinks the puck will be ... !34Copyright 2018 by Data Blueprint Slide #
  18. 18. Former Walmart Business Strategy !35Copyright 2018 by Data Blueprint Slide # Every Day Low Price 
 V1
 Organizations 
 without
 a formalized
 data strategy V3
 Data Strategy: Use data to create strategic opportunities
 V4
 Data Strategy: both Improve Operations Innovation The focus of data strategy should be sequenced !36Copyright 2018 by Data Blueprint Slide # Only 1 is 10 organizations has a board approved data strategy! V2
 Data Strategy: Increase organizational efficiencies/ effectiveness X X
  19. 19. Strategy !37Copyright 2018 by Data Blueprint Slide # A pattern 
 in a stream 
 of decisions Data programmes preceding software projects !38Copyright 2018 by Data Blueprint Slide # Common Organizational Data 
 (and corresponding data needs requirements) New Organizational Capabilities Systems Development Activities Create Evolve Future State (Version +1) Data evolution is separate from, external to, and precedes system development life cycle activities! Data is not a project!
  20. 20. !39Copyright 2018 by Data Blueprint Slide # • Before further construction could proceed • No IT equivalent Our barn had to pass a foundation inspection You can accomplish Advanced Data Practices without becoming proficient in the Foundational Data Practices however 
 this will: • Take longer • Cost more • Deliver less • Present 
 greater
 risk
(with thanks to 
 Tom DeMarco) Data Management Practices Hierarchy Advanced 
 Data 
 Practices • MDM • Mining • Big Data • Analytics • Warehousing • SOA Foundational Data Practices Data Platform/Architecture Data Governance Data Quality Data Operations Data Management Strategy Technologies Capabilities !40Copyright 2018 by Data Blueprint Slide #
  21. 21. DMM℠ Structure of 
 5 Integrated 
 DM Practice Areas Data architecture implementation Data 
 Governance Data 
 Management
 Strategy Data 
 Operations Platform
 Architecture Supporting
 Processes Maintain fit-for-purpose data, efficiently and effectively !41Copyright 2018 by Data Blueprint Slide # Manage data coherently Manage data assets professionally Data life cycle management Organizational support Data 
 Quality Data Management Strategy is often the weakest link Data architecture implementation Data 
 Governance Data 
 Management
 Strategy Data 
 Operations Platform
 Architecture Supporting
 Processes Maintain fit-for-purpose data, efficiently and effectively !42Copyright 2018 by Data Blueprint Slide # Manage data coherently Manage data assets professionally Data life cycle management Organizational support Data 
 Quality 3 3 33 1
  22. 22. • A management paradigm that views any 
 manageable system as being limited in 
 achieving more of its goals by a small 
 number of constraints • There is always at least one constraint, and 
 TOC uses a focusing process to identify the constraint and restructure the rest of the organization to address it • TOC adopts the common idiom "a chain is no stronger than its weakest link," processes, organizations, etc., are vulnerable because the weakest component can damage or break them or at least adversely affect the outcome !43Copyright 2018 by Data Blueprint Slide # https://en.wikipedia.org/wiki/Theory_of_constraints (TOC) Theory of Constraints !44Copyright 2018 by Data Blueprint Slide # Identify the current constraints, the components of the system limiting goal realization Make quick improvements to the constraint using existing resources Review other activities in the process facilitate proper alignment and support of constraint If the constraint persists, identify other actions to eliminate the constraint Repeat until the constraint is eliminated
  23. 23. Theory of Constraints at work 
 improving your data !45Copyright 2018 by Data Blueprint Slide # In your analysis of how organization data can best support organizational strategy one thing is blocking you most - identify it! Try to fix it rapidly with out restructuring (correct it operationally) Improve existing data evolution activities to ensure singular focus on the current objective Restructure to address constraint Repeat until data better supports strategy • Context – Important data properties – Lack of correct educational focus – Confusion: IT - Data - Business? • Data Management – What is it? – Why is it important? – State of the practice – Functions required for effective data management • Data Strategy – Structural Approach – Need for simplicity – Foundational prerequisites – The Theory of Constraints at work improving your data • Take Aways/Q&A – In Action In Concert – Coordination is the necessary prerequisite Data Governance Strategies !46Copyright 2018 by Data Blueprint Slide #
  24. 24. Bad Data Decisions Spiral !47Copyright 2018 by Data Blueprint Slide # Bad data decisions Technical deci- sion makers are not data knowledgable Business decision makers are not data knowledgable Poor organizational outcomes Poor treatment of organizational data assets Poor
 quality
 data !48Copyright 2018 by Data Blueprint Slide # Organizational
 Strategy Data Strategy IT Projects Organizational Operations Data Management Data Strategy in Context Data asset support for 
 organizational strategy What the data assets need to do to support strategy How well data is supporting strategy Operational feedback How IT supports strategy Other aspects of organizational strategy
  25. 25. Take Aways !49Copyright 2018 by Data Blueprint Slide # • This discipline has not had 8,000 years 
 to formalize practices ➡ GAAP • Your data is a mess and requires professional 
 ministration to make up for past neglect • Your folks don't know how to use or improve it effectively • You likely require a new business data program • Data strategy and data management are major data program components, in concert, they must focus on 1. Improving organizational data 2. Improving the way people use data 3. Improving how people use better data to support strategy This can only be accomplished incrementally using an iterative, approach focusing on one aspect at a time and applying formal transformation methods data program!business Data Governance Strategies • Context – Important data properties – Lack of correct educational focus – Confusion: IT - Data - Business? • Data Management – What is it? – Why is it important? – State of the practice – Functions required for effective data management • Data Strategy – Structural Approach – Need for simplicity – Foundational prerequisites – The Theory of Constraints at work improving your data • Take Aways/Q&A – In Action In Concert – Coordination is the necessary prerequisite !50Copyright 2018 by Data Blueprint Slide #
  26. 26. Questions? !51Copyright 2018 by Data Blueprint Slide # It’s your turn! Use the chat feature to submit your questions to Peter now. + = August Webinar:
 Getting Started with Data Stewardship
 August 14, 2018 @ 2:00 PM ET September Webinar:
 Metadata Strategies
 September 11, 2018 @ 2:00 PM ET October Webinar:
 Data Quality
 October 9, 2018 @ 2:00 PM ET Sign up for webinars at: www.datablueprint.com/webinar-schedule or at www.dataversity.net Upcoming Events !52Copyright 2018 by Data Blueprint Slide # Brought to you by:
  27. 27. 10124 W. Broad Street, Suite C Glen Allen, Virginia 23060 804.521.4056 Copyright 2018 by Data Blueprint Slide # !53

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