4 Replies Latest reply on Aug 16, 2016 1:08 PM by Kate Lafferty

    Who maintains the SAP master data in your company?

    Michelle Appleby
    Visibility: Open to anyone

      Who maintains the SAP master data in your company?  Is it maintained by a function who owns the data (supply chain - vendor and purchased materials - purchasing, information records) - Manufacturing (Material, BOM"s, Routings) - Customer Service (Customer master, pricing, customer material information record etc.).  Or is it centralized by a master data management group?  What are the pros and cons you have found of each model?

        • 1. Re: Who maintains the SAP master data in your company?
          Sukant P

          It depends on various factors:

          1. Master data domain: Some domains are more suited to "centralized" management & governance. Whereas some domains are best served by a decentralised, federated model.
          2. Organisation size: Usually large multinational organisations have shared services organisations with a helpdesk for master data CRUD processes. Medium and small organisations opt for a more informal model
          3. Process & Org Maturity: Organisations usually travel a journey from level 0 to level 5 on a maturity curve that is a reflection of the people, process and technology as well as a clear RACI with demarcation of responsibility between business, IT and master data stewards.

          There are many more such factors....

          • 2. Re: Who maintains the SAP master data in your company?
            Venkat Venkatramani

            We have a centralized group that is responsible for creating/changing all kinds of master data (with the exception of Finance data like G/L, Profit Center etc.), for various divisions withing our organization.

             

            The onus of data sanctity still lies with the respective groups that is requesting the data setup.  And yes, a bunch of forms that we created, in addition to a web portal to submit the forms have come in quite handy.

             

            In my personal opinion, this setup will work in middle to high organizations (from either user community or company size perspective).  In small organizations, a user anyway performs multiple roles and a need for such a team may not be required.

             

            Pros:

            1.  Since we have this team spread across 2 global locations, the requester can put in their request at 5PM and when they get in next day, their data is ready for transaction process.

            2.  Streamlined process

            3.  Process of master data across the organization is rather straight forward and tends to be more cleaner (if the data I gave is incorrect, this is bound to get rejected by the operator processing it; meaning, I better ensure that the info I give is accurate)

            4.  Master data maintenance cost (ex: having an experienced resource to do master data vis-a-vis a data entry operator)

             

            Cons:

            1.  If I were to fill out a form, I might as well create it - one of the common questions that comes from the user fraternity, which I cannot ignore

            2.  Point # 3 of "Pros" is also a Cons; I have to circle back with the group with the corrected information and wait for them to finish

             

            All said and done, if the master data group's SOP is not properly defined, it could well end up being a disaster.

             

            Regards

            Venkat

            • 3. Re: Who maintains the SAP master data in your company?
              Richard Wortmann

              My organization has invested in centrally managing master data.  Procurement owns Purchased Materials (MRO & Direct Materials), Supplier Master Records, and Catalog (aka Price).

               

              It is a complex organizational decision but I can tell you, in brief, that there is a high cost to centrally managing master data.  But the ROI of such an investment is, hopefully, clean master data.

               

              Having clean master data positions the organization to take advantage of many higher valued activities.  It is just a matter of understanding what drives value since it is pretty universally accepted that redundant master data is costly.

               

              But, if you have a good process & good data with a decentralized approach to managing master data, I wouldn't see the value in centralizing it.

              • 4. Re: Who maintains the SAP master data in your company?
                Kate Lafferty

                Our organization has a decentralized model.  Business resources do the master data request processing as one of the several jobs in their day.  I think data would be cleaner and easier to manage if centralized.  However, this view is not shared widely.

                We are a global organization working in two business areas. Manufacturing and Service.  Each with their own needs.

                 

                The PRO to doing it this way though is generally quick response to the local requestor and real subject matter knowledge for the materials used by that area of the business.