Why Taxonomy is Critical to Master Data Management (MDM) by Seth Earley
Organizations are paying more and more attention to Master Data Management (MDM). MDM comprises a set of processes and tools that consistently defines and manages the non-transactional data entities of an organization . According to Gartner, two-thirds of Fortune 1000 organizations will have deployed 2 or more MDM solutions by 2014.
MDM promises not just greater control over consistent reference data; but an ability to manage the relations between data entities in order to generate more effective business knowledge. From this perspective, MDM requires an understanding and agreement about the meaning of terminology. Hence, the natural role of taxonomy.
Source: Earley & Associates