Data Governance - 5 - The Data Governance Business Case Flashcards
What is data governance (DG)?
A business program that manages data as an asset.
Who typically sponsors successful DG programs?
Non-IT areas.
Why have many IT-managed data programs not met expectations?
Tangible results are hard to see.
What is required for a DG effort even if it is not requested?
A business case.
What is one key objective of a business case for DG?
To add value to the business.
What are some common lightweight objectives often cited for DG?
- Improve report accuracy
- Ensure better decisions
Why is a business case essential for DG?
To connect data management with business activity.
What are two types of tangible value from DG?
- Direct benefits
- Indirect benefits
List four categories of direct benefits from DG.
- Increase in direct business contributors
- Improvement in efficiency
- Monetization of data
- Reduction in risk
What is ‘data debt’?
The future cost of not taking the right action with data.
What are some historical shortcomings of IT and unsupervised data projects?
- Perception that initiatives always fail
- Spending viewed as wasteful
- Development of inaccessible data lakes
- Complaints about data accuracy
- Growth of shadow IT
What should a DG business case accomplish?
- Support business directly
- Identify data usage for business advancement
- Associate with data management capabilities
What is a crucial component of the DG business case?
The big picture (vision).
What is an example of a properly worded business vision for DG?
ACME, Inc. will manage its information assets to increase shareholder value and reduce enterprise risk.
What are three types of program risks in DG?
- Business Risks
- Regulatory Risks
- Cultural Risks
What costs should be mentioned in the business case regarding data quality issues?
Current costs and risks associated with data quality.
What should be highlighted in the business case regarding missed opportunities?
Existing issues with data, reporting, compliance, and high costs of ownership.
What should the presentation of the DG business case avoid?
Three-letter acronyms, techno-babble, and abstract pictures.
What is a helpful hint for presenting the DG business case?
Vet ideas and benefits long before the final presentation.
What is the primary goal of a DG program?
To become woven into the enterprise and fund a long-term, permanent change in mind-set and behavior.
What must dominate the business case for DG?
- DG is a program
- DG supports many projects
- Governance and change are mandatory
What is the recommended length for a CEO-level DG presentation?
Ten slides or less.
What should feedback from the CEO on the DG business case include?
- Acknowledgment or correction of business alignment items
- Understanding of risks and impacts
What is essential to understand when forming the DG business case?
The business direction of the organization.
What type of opportunities should be identified for DG?
- Information opportunities
- Usage opportunities
What are some direct benefits of governance?
- E-discovery
- Document management
What should be considered when defining business benefits?
- High-level number
- Cash flow or earnings increase
- Specific risks across regulatory, civil, and financial types
What is the purpose of confirming business benefits?
To ensure they are supported by DG and relevant.
What costs should be quantified in the DG business case?
- Current IT costs
- Departmental business analyst costs
- External data sets costs
- Costs of poor data quality
What should the business case documentation include?
Financial benefits and costs presented in an acceptable format.
What is a common issue organizations face regarding their business plans?
Many do a poor job disseminating their business plans.
What does business alignment demonstrate?
How business and information/content usage is connected.
What is a potential outcome of a lack of business alignment?
Top-down misdirection and early resistance.
What is the risk of proceeding without a business case for DG?
Falling into the garbage can of failed initiatives.
What must the business case address to ensure accountability?
Who is responsible if the goals are not met.
How should the business case for DG be structured?
To support business accountability and align with sponsors’ objectives.
What is required for sustaining the project’s goals after deployment?
Effort and willpower from business areas.
What does the DG team need to recognize regarding information management?
The long-term animosity between IT and business areas must be addressed.
What is data governance primarily concerned with?
Controlling data usage to achieve tangible and intangible benefits.
What are some tangible benefits of data governance?
- Reduce risk
- Reduce average level of fines and holdbacks by 80%
- Achieve operating margin
What are some intangible benefits of data governance?
- Cost/risk awareness
- Greater focus on action vs. reaction
- Clearer communications
What is data debt?
The accumulation of costs and inefficiencies due to poor data management.
Is a business case always necessary for a DG program?
True.
What are the objectives of a business case for DG?
To outline accountability, support business objectives, and sustain project goals.
Can you think of a strategic initiative that does not require, affect, or use data?
No.
Would data debt discussions be useful in your organization?
This depends on the organization’s context.
