Why is Data Governance Essential for SAP Data Intelligence Success?

24. June 2023

Data governance has long served as the guiding principle and code of conduct within organisations, playing a vital role in their cloud investments, taking into account-

  • The diverse types of information available,
  • The volume of data being managed, and 
  • The numerous technical processes involved within the corporation.

Moreover, it ensures that the data ecosystem works perfectly, regardless of its inherent fragility. Now, the question arises – how does data governance ensure the success of SAP DI?

Let’s find out. 

 

What is Data Governance?

Data governance refers to the set of policies and practices implemented by an organisation to ensure data accuracy and proper management throughout its lifecycle. This involves data input, storage, manipulation, access, and deletion. 

The responsibilities of data governance include –

  • Creating the necessary infrastructure and technology, 
  • Establishing and maintaining processes and policies, and 
  • Designating individuals with the authority and accountability for protecting data

Hold on, did the previous explanation sound too technical? Not to worry, let me provide a more precise and understandable explanation. 

Data governance is an integral part of organisational Compliance. 

The systems that fall under the umbrella of it will certainly work on the mechanics of security, operation handling, and storage. However, the governance team is capable of designing and defining the work policies accordingly. Additionally, the governance team focuses on managing the technologies implemented for these purposes.

Before I move on, data stewardship is another important aspect to consider.

Data governance will set the procedures and policies for establishing data security and reliability, while data stewardship integrates these processes within the organisational system. Data stewards tend to manage and superintend the aforementioned tools and processes to manage, store and protect your data.

Importance of Data Governance for SAP DI

The world of SAP Data Intelligence is undeniably captivating, where data takes centre stage and enables remarkable outcomes such as making more informed decisions or creating a much more efficient operational segment.  

However, behind the scenes, a silent data governance hero works diligently to ensure seamless operations.

Picture this: 

As you dive into SAP DI to uncover insights and make savvy decisions, data governance steps up to ensure that the data you have is top-notch – accurate, secure, and compliant. 

It’s almost like having a dependable sidekick guiding you through the complexities of data integration, privacy regulations, and more. 

But what makes data governance indispensable?

How does it help SAP DI and you to succeed in the tumultuous market?

Let’s dive deeper to unravel its significance.

1: Mitigating the Risk of Data Loss

Data governance tools play a crucial role in overseeing business data security. They focus on ensuring the integrity and protection of your system, minimising the chances of unauthorised access. By doing so, data governance helps mitigate the risk of data loss, safeguarding your valuable information from potential hackers or disruptive incidents that could jeopardise your business operations.

2: Ensuring Proper Data Quality

Of course, that’s the whole point of data governance, right?

With more reliable data onboard, people will have much more confidence in the information related to their business and organisational strategy—the heightened confidence leads to informed decision-making based on accurate and trustworthy data. And the outcomes of the same will be much more success-related, too, as they are based on precise information. As a result, the outcomes derived from these decisions are more likely to be success-oriented, thanks to the foundation of precise information.

3: Supporting Data Sharing

If you want to improve your data usage and management prowess, you must collaborate with another person accordingly. Collaborating and sharing data within a team is crucial for enhancing data capabilities. However, there is always a risk of data theft or unauthorised access during distribution.

And this is where data governance can be beneficial for you.

With a tool associated with the aforementioned feature, you can keep track of how much data you have shared and to whom. In the unfortunate event of data loss, this information helps identify the source of the breach, providing valuable insights for remediation and future prevention measures. Data governance empowers you to maintain visibility and control over your shared data, reducing the potential risks associated with data sharing.

4: Improving Overall Efficiency

Having all parts of the organisation and all decision-makers working from the same information brings countless benefits. Just imagine no more wasting time arguing over whose spreadsheet or plan is “better” or more up-to-date. 

With everyone on the same page, all the different departments and teams can coordinate seamlessly. It’s like having a well-oiled machine where everyone knows what’s happening and can work together efficiently. Implementing this approach will significantly enhance the productivity of your company.

5: Facilitating Compliance

When it comes to Compliance, solid data management procedures hold the key. Compliance is not just about the data itself. It encompasses the entire lifecycle, including data generation, handling, and protection.

Think of it this way: auditors and regulatory oversight representatives focus not only on the data but also on the processes and safeguards surrounding it. 

They want to ensure that your organisation has implemented robust procedures to generate data, handle it appropriately, and protect it from potential risks or breaches. 

By establishing reliable data management practices, you ensure Compliance and demonstrate to auditors and regulators your ability to effectively manage the entire data lifecycle. This strengthens your compliance efforts and enhances trust in your organisation’s data-related processes.

 

3 Ways to Create a Successful Data Governance Strategy

While building your business’s core with a proper data governance strategy may initially seem simple, it is, unfortunately, a complex task that requires careful planning and effort.

1: Create a Leadership Team

Establish a dedicated team that possesses both innovative thinking and leadership skills. This team will be responsible for managing the data governance strategy and addressing any conflicts or challenges that may arise.

Truth be told, a transforming corporation can become a battleground where conflicting challenges and interests collide, especially with the integration of data governance. 

Having leaders within each team helps control potential issues within the organisation and ensures consistent data management as a value chain.

That’s why it’s the first step to be included in your data governance strategy. 

2: Discard the Compartmented Operating Model

The silo operating model also called a compartmented working sequence, may seem suitable when aiming for proper data governance. However, in today’s digital age, there is a growing preference for an open, flexible architecture that allows individuals to work more effectively.

It can be helpful in two ways.

Firstly, having an open structure will help you adapt to any required working model, and you may complete your tasks quickly and efficiently.

Secondly, implementing new tools or technologies, such as a data governance tool, becomes smoother, with reduced risks of data loss during implementation. 

3: Develop a Data-Driven and Agile Working Culture

Employ the transformative power of creating a data-driven culture within your organisation, where data is considered a crucial business asset and an integral part of the value chain. 

This involves promoting data-leveraging approaches and ensuring that these processes are ingrained in the organisation’s daily practices. 

Invest in training employees on various data skills and technologies, empowering them to become data-savvy professionals.

However, it’s not just about technical skills. 

To truly foster a data-driven culture, it’s essential to focus on enhancing the soft skills of your workforce and reviewing cultural and behavioural habits. 

By supporting healthier digital habits and encouraging collaboration, the organisation can shift its mindset to become more agile, innovative, and collaborative. 

Every business unit leader and manager should embrace this cultural shift and work together to support and achieve the organisation’s vision and mission.

Conclusion

When it comes to implementing proper data governance within your organisation requires creating a conducive environment by establishing policies and practices to ensure accurate and well-managed data throughout its lifecycle. In addition, it is crucial to involve key stakeholders within the organisation. Besides that, you will also have to –

  • Create ownership, inclusion, and accountability for the continuous evolution of security.
  • Receive approval from different units and the leadership team before implementation.
  • Get people within your organisation involved and make it decisive.

Doing so can help you define data quality, policies, methods, and standards accordingly. Also, you can ensure the security of whatever project you are working on without encountering any issues and prevent sudden disassociation or misunderstandings. 

However, here’s the thing. This ensures the security of projects and prevents any sudden disassociation or misunderstandings. While creating a perfect data governance strategy can be challenging, addressing both technical and human aspects is vital for success. Besides the technicalities, it is also essential for you to actively involve individuals from your organisation in the data governance process.

However, it is essential to acknowledge that not everyone may fully comprehend certain aspects of data governance, which could potentially lead to their disengagement from the project. Given the significance of data governance, it is crucial to proactively address any knowledge gaps and provide the necessary support to ensure that all stakeholders remain actively involved and committed to its success, minimising the risk of unexpected disassociation.

By successfully implementing a data governance strategy, organisations can enhance productivity, make more informed decisions, improve operational efficiency, and maximise the value of their data assets. Embracing data governance is essential in today’s data-driven world to thrive in a competitive market and build a solid foundation for long-term success.