Today's world is dynamic, digital, and data intensive. And in this data-driven world, data management needs to be done right. John Yelle, DTCC Executive Director, Enterprise Data Management, discussed the necessity of a data management plan with other key data executives in the recent CDO panel, "Getting Data Management Right."
The panel was hosted by John Bottega, President, EDM Council. The EDM Council aims to define standards and best practices for data management through tools such as Data Management Capability Assessment Model (DCAM). DCAM is the standard to manage, monitor, and measure data management maturity within the financial services industry.
Bottega noted that data collection has evolved from the mainframe where it was consistently correct, to the PC, to today's use of the cloud, and has "become increasingly challenging." Artificial Intelligence and Machine Learning are accelerating these challenges.
In this continually changing environment, how can firms get it right? With constant change, a standardized framework is essential.
Barry Panayi, Chief Data Officer, Lloyds Banking Group, talked about how DCAM helps create a consistent language, a critical aspect in order to discuss data with all relevant parties in a way that all parties understand.
John Yelle remarked about how DTCC uses DCAM to assess maturity, define and maintain a program roadmap. "DTCC uses a sentiment survey to help us see how we are perceived in the industry," he said. “While it sounds simple, it takes an extensive amount of collaboration to arrive at the point where data management is essential across all organization levels.”
For efficient data management, it helps to have the buy-in of the entire organization. Bottega remarked how at DTCC, "they think data." Data management helps build communications awareness and transparency, and at DTCC, data is a critical component.
“We’re not done yet,” Yelle added. “It takes time and effort to engage key stakeholders. We don't have a choice—we have to get data right.”
Bottega asked Yelle about the impacts of the pandemic on data and the acceleration of digitization. "You can't wait to figure out what you need to do—you have to have control of the data, and get the foundation right," Yelle responded. “A solid foundation helps address change, and data is critical to deal with unanticipated events."
The introduction of Artificial Intelligence and Machine learning has brought new challenges to data management from a data ethics perspective. A core data foundation is essential to addressing the issues that arise from these new ways of processing data. Yelle noted, "you can't wait for a crisis … you need to get your hands-on data to get it right."
All participants agreed that you need the entire organization's engagement and support in order to get data management right. And as Bottega noted “data management is always changing.”