In today’s fast-paced and highly competitive business environment, data governance is a must. Now that companies can gather large quantities of internal and external data, they must create a discipline to maximize value. At the same time, companies must also manage risks and exposure while keeping costs under control.
A data governance strategy can provide a competitive advantage as your company grows. Modern companies are data-driven, so you will be left behind if you don’t prepare ahead of time.
What is data governance and how does it work? If this is a question you’re asking yourself, keep reading to find out all you need to know!
What Exactly Is Data Governance?
What is Data governance? Data governance guarantees an organization’s use of data to accomplish its objectives. They do this by using:
- A set of processes
- Procedure roles
- Company policies
- Company standards
- Company metrics
Governance defines the functions and responsibilities that provide the quality and security of data used throughout a company or organization. Data governance specifies who can take what actions, on what data, in what circumstances, and with what methods. Look at https://www.ovaledge.com/blog/what-is-data-governance!
Any organization that works with big data needs a well-crafted data governance strategy.
Business drivers define the data in your data governance. Also to plan what needs to be managed and how this effort will pay off. This strategy will form the basis of your data governance framework.
To guarantee compliance with GDPR regulatory standards, you will establish retention obligations. For example, a history of who changed what information and when.
What Data Governance Is Not?
Data Governance is sometimes confused with similar words like master data management. Concepts such as the examples below are included under the umbrella term data governance:
- Data privacy
- Data security
- Inter-departmental data sharing agreements
Data governance is a business necessity, not an IT project. Consider it a business case. This business case shows how data can help a company’s people, processes, and data work better together with current technology.
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Is Data Governance Different From Data Management?
In a nutshell, yes. Data management is the administration of an organization’s entire data lifecycle requirements. Data governance is the bedrock of data management. It links other data disciplines such as data quality, reference and master data management, and more.
Benefits of Data Governance
A sold, well-constructed data governance strategy provides numerous benefits to an organization. These include:
A Common Understanding of Data
Any ambiguity about the meaning of data and reporting is eliminated with proper data governance. This enables accurate data analysis and, as a result, quicker, improved decision-making.
Improved Quality of Data
Data quality is a metric within data governance that indicates the state of data based on variables such as accuracy, completeness, consistency, reliability, and timeliness.
A Multi-dimensional View of All Customers and Business Entities
Data governance provides a framework within which a company agrees on a “single version of the truth” for critical business. It will at the same time maintain a high level of consistency across the business.
Data governance enables an informed understanding of the location of all data. A data map is like a GPS representing a physical landscape and helps people find their way in unfamiliar landscapes. In addition, it makes data assets usable and easier to connect.
Improved Data Management
In a highly automated, data-driven world, data governance addresses the people factor. So, problems and needs outside data and technology domains, are handled in a uniform and organized manner. These could be legal, security and compliance issues.
Data governance facilitates compliance with government regulations. The regulations such as those of the EU’s General Data Protection Regulation (GDPR). As well as the US’s HIPAA (Health Insurance Portability and Accountability Act). Finally, industry standards such as the PCI DSS (Payment Card Industry Data Security Standards).
Data Governance Tools
Data governance solutions have become increasingly important as data, and its applications have become vital to organizations.
In addition to careful planning and meaningful input from business operations, data governance tools are as critical, if not more, than any other component.
Focus on selecting data governance technologies to help you achieve the business benefits outlined in your data governance strategy.
These tools should help you:
- Capture and understand your data. Consider using tools and capabilities for finding, profiling, and benchmarking. E.g. With the right tools, a personal data element like a social security number may be automatically identified and a warning sent out.
- Improve the quality of your data – by validating, cleansing, and data enrichment
- Manage your data – Data pipelines can be tracked and traced with end-to-end data lineage using metadata-driven ETL and ELT, as well as data integration applications
- Document your data – so that information can be added to boost its relevance, searchability, accessibility, linkability, and compliance
- Empower the people that know the data best – to use self-service tools to contribute to data stewardship responsibilities
- Manage and maintain your data – with tools that review and monitor passively
There are open-source and paid-for tools in the market. Take some time to look at their capabilities and map them to your data governance strategy.
Data Governance Is Not Optional
Businesses today have access to vast amounts of data about their customers, clients, suppliers, patients, and workers, to name a few. It may help your company achieve a competitive advantage by better understanding the market and your target audience.
The same data governance ensures your organization’s data is safe, compliant, and confidential. Examine whether or not your company is well-positioned to maximize data governance investment. At the same time, it should also minimize the risk of data breaches. If you found this article informative, please browse our site for more exciting articles!