Introduction to DCAM, the Data Management Capability Assessment Model

© 2016 - Element22, LLC.
STRATEGIC PLANNING FOR DATA MANAGEMENT
Introduction to DCAM (Data Management Capability Assessment Model)
January 2016

1. Introduction – About DCAM and EDM Council
2. Current State
3. Benefits of DCAM
4. Backup
1. Company Snapshot of Element22
2. Reference Information and Links
Contents
TABLE OF CONTENTS
2

DCAM is a formal framework for data management in the financial industry developed by the EDM Council
3
Introduction: What is DCAM?
 Created based on practical
experience from 150
participants from leading
institutions.
 Capabilities orientation
(standard scoring model)
 Not done;
 In process (low, medium, high);
 Capability achieved;
 Capability enhanced.
Data Management
Strategy
Data Management
Business Case
Data Management
Program
Data Governance
Data Architecture
Technology
Architecture
Data Quality
Data Control
Environment
Components (8)
Capabilities (36)
Sub-capabilities (112)
Objectives (306)
The Data Management Capability Assessment Model (DCAM) is a formal framework against
which current data management capabilities are assessed using a consistent scoring model.
1
2
3
4
5
6
7
8
1: Not Initiated 2: Conceptual 3: Developmental 4: Defined 5: Achieved 6: Enhanced
Capabilities are
disorganized and
performed on an ad hoc
basis
Initiated at the planning
stages. Data
Management Practices
are Instance-based
Engagement model being
implemented. Data
management practices
are linked to
organizational objectives
Business users taking
active role. Data
management practices
are linked to
organizational objectives
Data management
capabilities are
embedded into
operations
Data management
capabilities are
embedded into the
culture of the
organization

Component Scope of Coverage
Data Management Strategy
Defines the framework for the data management program including the goals, objectives and scope; why
it is important; how it will be organized, funded, governed and practically implemented
Business Case/Funding
Model
Provides the justification for the data management program including the rationale for the investment;
the costs, benefits, risks and expected outcomes; the mechanism used to ensure sufficient allocation of
resources; and the approach used to measure costs and contributions from implementation of the data
management program
Data Management
Program
Identifies the organizational requirements needed to stand up a sustainable data management program
including the operational framework to ensure sustainability and authority as well as the mechanisms to
establish and confirm stakeholder engagement related to program implementation
Data Governance
Defines the rules of engagement necessary for program implementation including the definition of
policies, procedures and standards as the mechanisms for alignment among stakeholders
Data Architecture
Focuses on the core concepts of “data as meaning” and how data is defined, described and related; the
identification of logical domains of data; identification of the underlying physical repositories; and the
governance procedures necessary to ensure the control and appropriate use of data
Technology Architecture
Addresses the relationship of data with the physical IT infrastructure needed for operational deployment
including how data is acquired, stored, distributed and integrated across the organization
Data Quality
Establishes the concept of fit-for-purpose data and defines the processes associated with establishing
both data control and supply chain management
Data Control Environment
The Data Control Environment refers to the process by which the data assets of a firm are managed in
order to realize their maximum value. There are three elements of the control environment:
Introduction: What is DCAM?
DCAM has been organized into 8 components (categories), 36 capabilities and 112 sub-
capabilities
4

Introduction: Who is EDM Council?
DCAM is defined and managed by the EDM Council, which was formed by
the Global Financial Industry to Elevate the Practice of Data Management
 Membership
 160+ global member firms with over 6000 professionals
 Mission
 Elevate the practice of data management through best
practices and data standards, and through industry and
regulatory engagement
 Formation
 Established in 2005 as a 501(c)(6) non-profit trade
association
 Neutrality
 Neutral business forum for all segments of the industry
(financial institutions, vendors, consultants and regulators)
 Coverage
 Global coverage across major financial centers in North
America, Europe and Asia
EDM Council Affiliations
• FRAC - Financial Research Advisory Committee Member
• ISO TC68/Working Group 5
• OFR - Chair of the Data & Technology Subcommittee of the US
Treasury’s Office of Financial Research
• LEI Steering Committee
• CFTC - Member of the Technical Advisory Committee (TAC) for
the Commodity Futures Trading Commission
• Financial Stability Board - Member of the Private Sector
Advisory Group
• OMG - Member of the Board of Advisors for the Co-Chair of the
Object Management Group’s (OMG) Financial Domain Task Force
and Chair of the OMG Finalization Task Force
• Open Financial Data Forum - Chair
• Data Transparency Coalition
• Ontolog Forum - Board of Trustees
5

Introduction: Who is EDM Council?
EDM Council is guided by a board comprised out of data executives throughout various
types of institutions in the financial industry
6

The EDM Council has over 160 member firms with over 6000 professionals, ranging from
financial institutions, service providers, consulting firms to data/technology vendors
Introduction: Who is EDM Council
7

DCAM is available via , a cloud-based platform to streamline the assessment and
analytics, review progress through the time and benchmark against peers.
Introduction
8
AnalyzeBenchmark
Define Assess1 2
34
dcam.pellustro.com

Industry study in 2015 based on DCAM to determine the level of capability achieved in Data
Management across the finance industry shows progress and major gaps in core areas
Current State
The “end user” community is adhering
to the data governance policy and
standards
All data under the authority of the Data
Management Program is profiled,
analyzed and graded
End---to---end data lineage has
been defined across the entire
data lifecycle
Programs are tracking
“performance and
outcome” metrics
Stakeholders understand (and buy
into) the need for the data
management program
The funding model for the Data
Management Program is established
and sanctioned
Our organization has a defined
and endorsed data
management strategy.
View the state of data management online here at no cost
9

Having a robust data management program in place became a priority in the financial industry
in the last 3 years, mainly because of regulation such as BCBS 239
10
Current State
 EDM Council’s Benchmarking 2015
 Over 300 Professionals
 from more than 240 institutions
 21 statements aligned with DCAM and
defined by the EDM Council
 83% of all institutions have official data
management programs in place between 1
to 3 years
 73% of all institutions name BCBS 239 as a
key driver for their data initiatives
 Just in 2015, 30% increase adding 50 new
members of EDM Council to a total of 161
Strategy
Business Case
& Funding
Program Governance
Data
Architecture
Technology
Architecture
Quality
Control
Environment
Total
3.44 3.12 3.34 3.16 3.14 3.06 2.89 2.87 3.13
Less than 1 year,
41%
1-3 years, 42%
3-5 years, 8%
More than 5
years, 9%
Average score per DCAM component from the 2015 DCAM Benchmarking Survey

There are several compelling reasons to leverage DCAM
11
Benefits
TO UNDERSTAND CURRENT
STATE OF DM CAPABILITIES
 Firms use data management assessments based on industry standard models like the DCAM to
clearly understand the current state of data management.
 Firms leverage the project to clearly communicate strengths and priorities to stakeholders
(board members, CEOs, management, employees and regulators).
 Firms leverage the DCAM framework to establish common terminology for discussing data
management within the organization and to help educate non data management professionals
about data management capabilities.
TO HAVE A STRATEGIC PLAN
TO IMPROVE DATA QUALITY
 Firms undertake strategic planning based on DCAM to quickly build an actionable strategic plan
that is grounded in a holistic understanding of strengths, weaknesses, best practices and
enterprise priorities.
TO KNOW WHICH DM
INVESTMENTS ARE MOST
IMPORTANT
 Firms perform assessments based on DCAM to prioritize investments to improve data
management with greater clarity on which investments will have the greatest impact on
targeted capabilities and business goals and support the business case for funding.
TO BASELINE, MEASURE,
ANALYZE AND REPORT
PROGRESS
 Firms conduct regular assessments based on DCAM so they can monitor and report data
management improvements to stakeholders, data consumers and regulators in a manner that is
consistent and aligned to industry standards.
 Ongoing assessments are also used to objectively measure and demonstrate the impact of data
management practices and programs.
TO BENCHMARK AGAINST
PEERS AND WITHIN THE FIRM
 Firms can utilize assessments based on the DCAM to benchmark specific capabilities, locations
and organizational units against each other to understand internal leading and lagging practices.
 As the industry completes more assessments, firms will be able to leverage DCAM assessments
to benchmark capabilities against peer organizations.
ExamplesCommon Reasons

DCAM enables Benchmarking against industry peers, the financial industry or your scores
from previous assessments (capability & sentiment) to demonstrate current state & progress
12
Benefits
• Benchmark your firm’s capabilities against best practices and progress over time
• Industry Peer group assessment on data management capabilities
• Compare your firm to industry benchmark from EDM Council to see where your capabilities stand

+1 (212) 353 9616
frontdesk@element-22.com
www.element-22.com
www.pellustro.com
www.dcam.pellustro.com
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Experienced leadership
Predrag Dizdarevic Edward Hawthorne Methea Tep Rohit Mathur Thomas Bodenski
• CEO of GoldenSource
• President of Capco
Reference Data Services
• CTO and CIO at Capco
• External partner in
Leading Fintech Private
Equity Fund
• Founder and Lead of
Capco Investment &
Wealth Management
Practice
• Operating Model
Transformation and
Strategy Consulting
Partner at Capco
• EVP of Managed Data
Services and Data Utility
at SmartStream
• COO of Capco Reference
Data Services
• COO of Iverson
• Global Lead of Enterprise
Data Practice at
Headstrong
• Architect of KYC utility
platform
• Owner - Architect for
Genpact’s 'Remediation
as a Service'
• CEO/Founder of Foxeye
(consultancy focused on
trading, asset
management and
treasury)
• Global Head of Front
Office Services at State
Street IFS
Leader of industry initiatives
• Leading participant in the design, execution and analysis of financial services industry benchmarks and surveys on data management
capabilities with the EDM Council.
• Leader of Data Quality industry survey, addressing all aspects of data quality from strategy to architecture.
• Leading industry initiative to create a standard approach to quantify and monitor data quality.
• Major contributor to the formulation of the CMMI Institute’s Data Management Maturity (DMMSM) Model 1.0 and to the EDM Council’s
next generation data management model – the Data Management Capability Assessment Model (DCAM).
• One of the EDM Council’s first DCAM Authorized Partners and creator of the first cloud-based platform for DCAM assessments.
• Organizer and sponsor of industry Chief Data Officer forums and events to promote executive discourse on industry issues and solutions.
Element22 overview
• We are the leading data management technology and advisory firm focused on the financial services industry.
• We empower institutions to achieve more with data by measuring data capabilities and delivering quantifiable improvements.
• We offer an array of specialized products and expert consulting services to help firm’s advance information management.
• We are the leading provider of data management assessments based on the EDM Council’s Data Capability Assessment Model (DCAM).
• Our founders and team offer deep domain expertise as recognized industry practitioners and executives.
About Element22
ELEMENT22 – UNLOCKING THE POWER OF DATA
13

Solutions
A focused solution to develop a strategic plan for enterprise data management in 6 weeks with prioritized recommendations to better
service business needs that incorporates EDM Council DCAM capability and sentiment Assessments.
A cloud-based platform for quantifying the views of stakeholder and SME communities using structured, domain-specific models (such
as BCBS 239 preparedness) that yields detailed analytics and benchmarks to make better decisions.
An innovative data quality measurement solution that combines uniform and easily comparable quality metrics and measurements
with visualization and dynamic analysis of the results, supporting continual monitoring and benchmarks. It includes collaborative,
curated cloud-based Data Rules Library based on the data quality rules of the ultimate source (e.g. exchange, issuer) with
comprehensive rules search and grouping capabilities and intuitive rules design and script-based execution.
Clients
• Asset Managers
• Pension Plans
• Hedge Funds
• Broker Dealers
• Investment Banks
• Wealth Managers
• Asset Servicing Firms
• Clearing Utilities
• Rating Agencies
• Data Vendors
• Index Providers
• Software Vendors
Data Strategy, Governance and
Stewardship
• Defined and implemented enterprise data management strategy and change programs.
• Defined and operationalized data governance organization structures, policies, procedures, roles & responsibilities.
Operations Design and Optimization
• Built global data operations organizations : defining org structures, roles & responsibilities, processes and procedures.
• Optimized data operations organizations based on industry best practices to ensure ongoing compliance and quality.
Business Glossaries, Data Dictionaries,
Taxonomies and Ontologies
• Developed full methodology for initial build, maintenance and governance of business vocabulary and taxonomy.
• Established common languages and business glossaries; built data dictionaries and taxonomies.
• Defined Critical Data Element (CDE) selection criteria. Defined and led CDE selection processes.
Selection of Data Management Tools
and Data Feeds
• Defined and managed RFP process for data management technologies, i.e. Multi-Domain MDM selection including POC.
• Optimized data sourcing based on specific priorities, risk and business context.
Architecture and Platform Design
• Developed target system architecture, transition and integration strategies for data management solutions.
• Designed architectures detailing components, integrations and business processes for data management.
Data Quality Strategy, Metrics and
Rules
• Developed data quality strategy, metrics, rules and assurance processes by defining relevant dimensions of data quality,
their measurement approach and CDEs. Applied specific data quality rules for CDEs and DQ dimensions.
Monetization of data-related assets
• Assess and validate the value of services, technologies, and data offered by the organization to internal and external clients
• Define go-to-market strategies, approaches, and branding to monetize existing data-related assets
• Advise buyers or sellers on the acquisition or sale of data-related assets including software, content, or entire organizations
About Element22
INNOVATIVE SOLUTIONS FOR EFFECTIVE DATA MANAGEMENT
14

Further Reading Material about DCAM, EDM Council & Solutions Optimized for DCAM
16
Reference Information
Reference Information
Financial Institutions Making Progress on Data Objectives Associated with
Regulatory Mandates
http://www.element-22.com/financial-institutions-making-progress-on-data-objectives-associated-with-regulatory-mandates/
Glass Half Full: EDMC Benchmarking study indicates solid progress but a long road
to robust data management lies ahead
http://www.element-22.com/glass-half-full-edmc-benchmarking-study-indicates-solid-progress-but-a-long-road-to-robust-data-management-
lies-ahead/
About DCAM Official Web Site of DCAM from the EDM Council
http://www.edmcouncil.org/dcam
Data from the EDM Council’s 2015 Data Management Industry Survey that was
based DCAM can now be accessed and analyzed at no cost in Pellustro
https://benchmark.pellustro.com/#/campaigns/dcam
About EDM Council Official Web Site of the EDM Council
http://www.edmcouncil.org/edmcouncil
About Pellustro Official Web Site of pellustro
https://pellustro.com/dcam/
Element22 launches solutions designed to complement the EDM Council’s DCAM
and support the holistic improvement of EDM capabilities
http://www.element-22.com/element22-launches-solutions-optimized-for-dcam/

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