Data Management

Module 1b: Data Governance

Outline
● Overview of Data Governance
● Data Governance Key Concepts
● Data Governance Activities
● Tools and Techniques
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In a world full of data, how do we maintain peace and order?

 While the overall driver of Data Management is to ensure that an
organization gets the most value out of its data, Data Governance
focuses on how decisions are made about data and how people
and processes are expected to behave in relation to data.

Data Governance is the exercise of authority and control

over the management of data assets.
Data Governance

Overview
Data Governance

● Guides all other data management functions

● Ensures data is managed properly, according to
policies and best practices (Ladley, 2012)
● Not a “one-time thing”
● Requires the support of organizational change
management and sponsorship from a C-level
executive to ensure success https://cdn-icons-png.flaticon.com/512/1
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 Reducing Risk

Business Drivers
Reducing Risks Improving Processes

● Risk Management: oversight of the ● Regulatory Compliance: consistent and

risks data poses to finances or efficient response to regulations
● Data Quality Improvement: contribute to
reputation
improved business performance through
● Data Security: protection of data
increase in data reliability
assets through controls ● Metadata Management: establishment
● Privacy: Control of PII through policy of business glossary
and compliance monitoring ● Efficiency in Development Projects:
SDLC improvements
● Vendor Management: Control of
contracts dealing with data
Goals and Principles

1. Enable an organization to manage its data as an asset.

2. Define, approve, communicate, and implement principles, policies,
procedures, metrics, tools, and responsibilities for data management.
3. Monitor and guide policy compliance, data usage, and management
activities
Goals and Principles

● A Data Governance program must be:

○ Sustainable: managing changes beyond the initial implementation
○ Embedded: not an add-on process but incorporated
○ Measured: positive
Goals and Principles

● DG program requires commitment to change

● Below principles help set a strong foundation:
○ Leadership and Strategy: visionary and committed leadership
○ Business-driven: Data Governance as a business program
○ Shared Responsibility: between business and technical
professionals
○ Multi-layered: occurs both at enterprise and local levels
○ Framework-based: defines accountabilities and interactions across
functional areas
○ Principle-based: core set of principles and best practices as part of
policy work
Data Governance

Key Concepts
Data Governance represents an inherent separation of duty
between oversight and execution.
Data-centric Organization

● Values data as an asset

● Manages data through all phases of its lifecycle
● Data is no longer treated as a by-product of process and
applications
Data Governance Organization

● Data Governance Steering Committee:

primary and highest authority organization
● Data Governance Council (DGC): manages
data governance initiatives, issues and
escalations
● Data Governance Office: focuses on
enterprise-level data definitions and data
management standards; coordinates with
different roles
Data Governance Organization

● Data Stewardship Teams: communities of

interest with specific focus areas/projects
● Local Data Governance Committee: Large
organizations with divisional or
departmental data governance councils
DG Operating Model Types

● Centralized: one Data Governance

organization oversees all activities in all
subject areas
● Replicated: same DG operating model and
standards are adopted by each business unit
● Federated: one DG organization coordinates
with multiple business units
 Data Stewardship
The accountability and responsibility for data and processes
that ensure effective control and use of data assets

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Data Stewardship

● Creating and managing core Metadata

○ Definition and management of business terminology with
responsibility for business glossary
● Documenting rules and standards
○ Highlight rules that drive the definition of high quality data
● Managing data quality issues
○ Identification and resolution of data-related issues
● Executing operational data governance activities
○ Ensure data governance policies and initiatives are adhered to;
influence decisions on managing data
 Data Stewards
Manage data assets on behalf of others and
in the best interests of the organization (McGilvray, 2008)
Types of Data Stewards
● Chief Data Stewards: chair of DG bodies or may act as a Chief Data Officer (CDO)
● Executive Data Stewards: Senior Managers who serve on a DGC
● Enterprise Data Stewards: have oversight of a data domain across business
functions
● Business Data Stewards: business SMEs accountable for a subset of data
● Data Owner: has approval authority for decisions about data within their domain
● Technical Data Stewards: IT professionals operating within a DM knowledge area
● Coordinating Data Stewards: lead and represent teams of business and technical
Data Stewards in discussions across team and with Executive data stewards
Data Policies

● Directives that codify principles and management

intent into fundamental rules
● Data policies describe the ‘what’ of data governances
● Data standards and procedures describe ‘how’ to do
data governance.

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Data Asset Valuation

● The process of understanding and calculating

the economic value of data to an organization.
● Different ways to measure the value of data:
○ Replacement Cost
○ Market Value
○ Identified Opportunities
○ Selling Data
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Data Governance

Activities
 ● Develop Data Governance Strategy
Define Data Governance for the ● Perform Readiness Assessment
01 Organization ●
●
Perform Discovery and Business Alignment
Develop Organizational Touchpoints

● Define the Data Governance Operating Framework

● Develop Goals, Principles and Policies
Define the Data Governance ● Underwrite Data Management Projects
02 Strategy ●
●
Engage Change Management
Engage in Issue Management
● Assess Regulatory Compliance Requirements

● Sponsor Data Standards and Procedures

● Develop a Business Glossary
03 Implement Data Governance ●
●
Coordinate with Architecture Groups
Sponsor Data Asset Valuation

04 Embed Data Governance ● Sustainability through Acceptance by the Organization

1. Define Data Governance for Organization
Develop Data Governance Strategy
● Defines the scope and approach to governance efforts
● Deliverables include:
○ Charter: Identifies the business drivers, vision, mission, and principles for data
governance
○ Operating framework and accountabilities: Defines structure and responsibility for
data governance activities
○ Implementation roadmap: Timeframe for the roll out activities and deliverables
○ Plan for operational success: Describes the target state of sustainable data
governance activities
1. Define Data Governance for Organization
Perform Readiness Assessment
● Describe the current state of an organization’s information management
capabilities, maturity, and effectiveness
● Typical assessments include:
○ Data Management Maturity: Understand what the organization does with data and
measure its current data management capabilities and capacity.
○ Capacity to Change: evaluate the existing organizational structure, perceptions of
culture, and the change management process
○ Collaborative Readiness: characterizes the organization’s ability to collaborate in
the management and use of data
○ Business Alignment: examines how well the organization aligns uses of data with
business strategy
1. Define Data Governance for Organization
Perform Discovery and Business Alignment
● Identify and assess the effectiveness of existing policies and guidelines
● Highlight opportunities for DG to improve the usefulness of data and
content
● Data Quality (DQ) analysis as part of discovery: existing issues, impact
and risks
1. Define Data Governance for Organization
Develop Organizational Touchpoints
● Chief Data Officer (CDO) influences these
touchpoints to support the organization’s
cohesiveness in managing its data:
○ Procurement and Contracts
○ Budget and Funding
○ Regulatory Compliance
○ SDLC/Development Framework
2. Define the Data Governance Strategy
Define the Data Governance Operating Framework
● Consider the following areas when
constructing the organization’s operating
model:
○ Value of data to the organization
○ Business Model
○ Cultural Factors
○ Impact of Regulation
2. Define the Data Governance Strategy
Develop Goals, Principles and Policies
● Derived from the Data Governance Strategy
● Guides the organization into the desired future state
● Drafted by Data Management professionals, business policy staff or both
● Reviewed and refined by Data Stewards and management
● Data Governance Council (or similar body) conducts the final review, revision,
and adoption
2. Define the Data Governance Strategy
Underwrite Data Management Projects
● The DGC helps define the business case and oversees project status and
progress on data management improvement projects
● Every project with a significant data component should capture data
management requirements early in the SDLC
2. Define the Data Governance Strategy
Engage Change Management
● Organizational Change Management (OCM) is the vehicle for bringing about
change in an organization’s systems and processes
● Requires cultural shift in organizational thinking and behavior about data
● Formal OCM program with the right executive sponsor
● Create a team responsible for planning, training, influencing systems
development, policy implementation and communications
2. Define the Data Governance Strategy
Engage Change Management
● A change management program supporting formal Data Governance should
focus communications on:
○ Promoting the value of data assets
○ Monitoring and acting on feedback about data governance activities
○ Implementing data management training
○ Implementing new metrics and KPIs
2. Define the Data Governance Strategy
Engage in Issue Management
● Issue management is the process for identifying, quantifying, prioritizing, and
resolving data governance-related issues
● Data governance requires control mechanisms and procedures in managing
issues
2. Define the Data Governance Strategy
Assess Regulatory Compliance Requirements
● Data Governance monitors and ensures regulatory compliance of the
organization
● Several global regulations have significant implications on data
management practices, such as: Accounting Standards, BCBS 239, Basel II,
CPG 235, PCI-DSS, Solvency II, Privacy laws, etc.
3. Implement Data Governance
Sponsor Data Standards and Procedures
● Standards help define quality because they provide a means of comparison
● Enforcing standards promote consistent results from processes using them
● Data standards can take different forms
● Data standards must be effectively communicated, monitored, periodically
reviewed and updated.
● There must be a means to enforce data standards
● Data management procedures are documented methods, techniques, and
steps followed to accomplish specific activities that produce certain
outcomes and supporting artifacts
3. Implement Data Governance
Develop a Business Glossary
● Necessary because people use words differently
● A means of sharing internal vocabulary across the entire organization
● Definitions must be clear, rigorous in wording, and explain any exceptions,
synonyms or variants.
● Terminologies need to be approved
● Not merely a list of terms and definitions but also associated with other
valuable metadata: synonyms, metrics, lineage, business rules, the steward
responsible for the term, etc.
3. Implement Data Governance
Coordinate with Architecture Groups
● The enterprise data model should be developed and maintained jointly by Data
Architects and Data Stewards working together in subject area teams
● It should be reviewed, approved, and formally adopted by the DGC

Sponsor Data Asset Valuation

● Data and information are assets because they have or can create value
● The DGC should organize the effort and set standards for data asset valuation
● Value estimates can be built into a data strategy roadmap
4. Embed Data Governance
Sustainability through Acceptance by the Organization
● Embed behaviors related to managing data as an asset
● Sustaining a data governance program requires planning for change.
● The organization should accept the governance of data
● Creation of a Data Governance Community of Interest
Data Governance

Tools and
Techniques
Online Presence/Websites

● The Data Governance program should have an online presence

● Core documents are made available via a central website or a collaboration
portal

Business Glossary

● A core Data Governance tool

● Houses agreed-upon definitions of business terms and relates these to data
Workflow and Document Management Tools

● Connect processes to documents

● Useful in policy administration and resolution
Data Governance Scorecards and Metrics

● Measure progress and success through metrics reported via DG scorecard

● Sample metrics include:
○ Value - Contributions to business objectives, reduction of risk,
improved efficiency in operations
○ Effectiveness - Achievement of goals and objectives, tools adoption of
stewards, etc.
Adjustment and Communication
● Data Governance programs are implemented
incrementally within the context of a wider business
and data management strategy
● Tools required to manage and communicate
changes include:
○ Business / DG strategy map
○ DG roadmap
○ Ongoing business case for DG
○ DG metrics https://cdn-icons-png.flaticon.com/512/1
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References

● DAMA International. 2017. DAMA-DMBOK, 2nd Edition. Technics

Publications. Chapter 3: Data Governance.
● Ladley, John. Making Enterprise Information Management (EIM) Work
for Business: A Guide to Understanding Information as an Asset.
Morgan Kaufmann, 2010. Print.
● McGilvray, Danette. Executing Data Quality Projects: Ten Steps to
Quality Data and Trusted Information. Morgan Kaufmann, 2008. Print.