Master data management and distribution in the PIM system
Master data is basic information about customers, products and suppliers that is used in companies. It is important for enabling efficient business processes and carrying out accurate data analyses. A PIM (Product Information Management) system can help to centrally manage and update master data. This article presents best practices for the maintenance and use of master data as well as successful implementation examples.
By optimally managing master data with a PIM application, companies can increase their efficiency and make better decisions.
1 Introduction: What is master data and why is it important?
Master data forms the foundation for efficient and successful company management. It is fundamental information about customers, products, suppliers and other business partners that is required in a company.
Master data includes names, addresses, contact details and, above all, product specifications. The correct maintenance and updating of this data is of great importance for companies, as it forms the basis for numerous business processes. Only with correct master data can orders, for example, be processed without errors or invoices created correctly. It also enables efficient planning and control of business activities. Clean master data is also essential for marketing in order to be able to carry out targeted advertising measures. In short: no company can operate successfully without high-quality master data.
Master data systems such as a product information management (PIM) system enable companies to manage their master data centrally while ensuring high data quality. Such a system ensures that all relevant information is brought together in one place and is easily accessible. This creates a consistent and uniform database that is available to all departments and customers. Furthermore, a PIM system also enables the automation of processes relating to the maintenance and updating of master data. This saves time and resources compared to manual data maintenance.
Companies that have successfully implemented a PIM system benefit from efficient management and utilization of their master data, which can have a positive impact on their business results.
In the following sections, we will take a closer look at the definition of master data and explain why correct master data is so important for companies. We will also look at the benefits of using a PIM system to manage master data and best practices to ensure high data quality. We will also look at the role of data quality in the use of master data in the company and the integration of a PIM system into existing IT infrastructures. Finally, we provide tips on how to optimize the flow of data between different departments with the help of a PIM system and present examples of success in practice. At the end of the article, we draw a conclusion about the efficiency of managing and using master data thanks to a professional PIM system.
2. definition of master data
Master data is fundamental information about products and other business objects that are used in a company. It forms the foundation for all business processes and decisions. The definition of master data refers to the uniform and consistent recording, storage and management of this data within a company. It includes structured information such as product descriptions or customer data as well as unstructured data such as images or documents. The correct maintenance of master data is of crucial importance for companies. Missing or incorrect information can lead to inefficient processes, which in turn can cause costs and affect customer satisfaction.
A clean database, on the other hand, enables companies to optimize their internal processes, make informed decisions and ensure the high quality of their products and services. A Product Information Management (PIM) system offers numerous advantages in the efficient management of master data. It enables centralized data storage, updating and distribution as well as automated classification and enrichment of data. This not only reduces the susceptibility to errors, but also facilitates collaboration between different departments. To ensure a smooth flow of data and guarantee high data quality, it is important to establish best practices for maintaining and updating master data.
This includes, for example, regularly checking data for completeness, accuracy and up-to-dateness as well as setting up clear responsibilities for its maintenance. Companies should also ensure that the PIM system is seamlessly integrated into their existing IT infrastructure. Success stories from practice show that professional management of master data using a PIM system brings considerable benefits. Companies can increase their efficiency, reduce costs and strengthen their competitiveness. Overall, a professional PIM system enables the efficient management and use of master data. By defining and correctly maintaining this data, companies can optimize their internal processes, make informed decisions and ultimately increase their business success.
3. importance of correct master data for companies
As a digital agency that develops its own PIM and DAM system with dynamicTOOLS, the focus is on the interface between the manufacturer of products and the diverse retailer structures through which sales take place offline and online.
Retailers need up-to-date, correct and complete product data. This requirement is further enhanced by the many different data formats and structures that the respective retailers use for their systems. It is by no means the case that all retailers can be supplied via standardized interfaces (API). In practice, a lot is done via individualized Excel spreadsheets and images and videos optimized for the retail market.
4. advantages of a PIM system in the management of master data
A PIM system (Product Information Management System) offers many advantages when managing master data in a company. By centrally storing and maintaining all relevant product data, a PIM system enables efficient organization and updating of master data. A major advantage is that all departments in a company can access the same information, which avoids redundancies and inconsistencies. This ensures high data quality. Another advantage is the automation of many processes relating to master data entry and maintenance. With the help of a PIM system, product information can be automatically imported from various sources, among other things. This not only saves time, but also minimizes the risk of errors due to manual entries. A PIM system also makes it easy to edit and adapt existing master data and quickly create new data records.
PIM software also supports integration with other IT systems within the company. Interfaces allow the PIM system to be seamlessly connected to ERP, CRM or online store systems, ensuring a smooth flow of data between the various departments. This ensures that all relevant information is always up-to-date and available to all employees. Last but not least, the implementation of a PIM system contributes to improved collaboration within the company.
The central management of master data means that all departments have access to the same information and can therefore work together more effectively. This leads to increased efficiency and productivity within the company. Overall, a PIM system offers many advantages for the management of master data in a company. It enables efficient organization, automation of processes, integration with other IT systems and improved collaboration. By using a professional PIM system, high data quality can be guaranteed, which is crucial for the success of a company.
5. best practices for maintaining and updating master data in a PIM system
A PIM system (Product Information Management) enables companies to manage their master data efficiently and keep it up to date. This avoids errors and inconsistencies that can have a negative impact on various business processes. There are some best practices to ensure optimal maintenance and updating of master data in a PIM system. One best practice is to define clear responsibilities for data maintenance. Assigning tasks to specific employees or departments will ensure that all relevant data is regularly reviewed and updated. In addition, clear guidelines for data entry should be defined to ensure a uniform structure and quality of master data.
Another important aspect is the regular checking of data quality. The PIM system can perform automated validations to identify missing information or incorrect formatting, for example. Manual checks should also be carried out to ensure that all data is complete and correct. The integration of the PIM system into existing IT infrastructures also plays a decisive role in the successful maintenance and updating of master data. Seamless data exchange with other systems such as ERP (Enterprise Resource Planning) or CRM (Customer Relationship Management) allows information to be synchronized effectively.
In order to optimize the flow of data between different departments, it is advisable to define clear communication channels and processes. Close collaboration between the different teams enables efficient data maintenance and updating. Success stories from the field show that companies can manage and use their master data efficiently with a professional PIM system. By implementing such a system, companies have been able to increase their productivity, reduce errors and improve their customer experience. Overall, it can be said that maintaining and updating master data in a PIM system is essential for companies. Proven best practices such as clear responsibilities, regular data quality checks and integration into existing IT infrastructures can ensure efficient use of master data. With a professional PIM system, companies can benefit from correct and up-to-date master data in the long term.
6. the role of data quality in the use of master data in the company
The role of data quality in the use of master data in a company A decisive factor for the successful use of master data in a company is the quality of this data. This is because master data can only be used efficiently if it is correct, complete and up-to-date. High data quality guarantees a reliable basis of information and enables employees to make well-founded decisions based on the available data. But what exactly is the role of data quality? Quite simply, it forms the foundation for all business processes in which master data is used. Be it customer management, product management or supplier communication – reliable information must be available everywhere. If customer data in particular is incorrect or incomplete, this can lead to incorrect orders or poor customer service. Inadequate product master data can also lead to problems in warehousing or sales. To ensure high quality master data, it is advisable to introduce a Product Information Management (PIM) system.
A PIM system offers numerous advantages in the management and maintenance of master data. It enables central data storage as well as clear structuring and categorization of information. This ensures that all relevant data is available in one place and can be found quickly. A PIM system also offers extensive options for data validation and cleansing. Automated processes allow incorrect or outdated data to be identified and corrected. This not only increases the quality of the master data, but also saves time and resources during manual checks. However, the role of data quality is not limited to the management of master data. It also plays a decisive role in its use within the company. Because only if the information is reliable can it be used for analyses, reports or marketing campaigns. High data quality therefore forms the basis for a company’s success and should therefore always be guaranteed. To ensure that a PIM system is optimally integrated into the existing IT infrastructure, it is advisable to fall back on best practices. The main focus here is on smooth communication between the PIM system and other systems such as the ERP system or the online store.
Good integration enables an efficient flow of data between the various departments and avoids duplicate data entry or inconsistencies. A successful example of the use of a PIM system is the company Coty. By implementing the system, they were able to manage and use their master data more efficiently. This enabled them to increase their productivity, reduce costs and improve their customer service. Overall, it is clear that data quality plays a decisive role in the use of master data in the company. High-quality information is essential in order to design processes efficiently and make well-founded decisions. The use of a PIM system and the consideration of best practices can ensure data quality and thus support the success of the company in the long term.
7. integration of the PIM system into existing IT infrastructures
Integrating a PIM system into existing IT infrastructures is a crucial step in further optimizing the efficiency and accuracy of master data collection and management. Seamless integration of the PIM system into the existing IT system ensures that all relevant data can be easily merged and updated. This enables the various departments to access up-to-date and accurate information, which in turn improves the quality of decision-making. The integration of the PIM system also facilitates the flow of data between departments. By setting up interfaces, data can be automatically exchanged between different systems, which reduces manual effort and minimizes errors. An important aspect of integrating a PIM system into existing IT infrastructures is optimizing the flow of data between departments.
Care should be taken to ensure that relevant information reaches the right places quickly and efficiently. A clear definition of responsibilities and processes can ensure that no information is lost or has to be entered twice. Success stories from the field clearly show the added value that a professional PIM system can offer. Companies such as Coty and Procter & Gamble have already successfully implemented a PIM system and are now benefiting from more efficient management of their master data.
Thanks to the seamless integration into their existing IT landscape, they were able to optimize their data exchange, improve data quality and make internal processes more efficient. Overall, the integration of a PIM system into existing IT infrastructures enables companies to manage and use their master data efficiently. The automated data flow between different departments facilitates collaboration and minimizes errors. The integration of a PIM system is therefore an important step on the way to successful data management within the company.
8. tips for optimizing the flow of data between different departments using PIM software
Another important aspect of efficient master data management is optimizing the flow of data between different departments. For example, technology, production, logistics, sales, marketing, etc.
This is where PIM systems can play a decisive role. The central storage and management of master data in a PIM system ensures that all relevant information is easily accessible for all departments. This enables smooth collaboration and the rapid exchange of information between employees from different departments. Similarly, a PIM system can also be used to implement workflows and approval processes to ensure that changes to master data are properly reviewed and approved before they enter the system. This ensures that only correct and up-to-date data is used and errors can be avoided.
However, close cooperation between all departments involved is essential to ensure the optimal flow of data. Regular communication and clear responsibilities and processes are crucial here. Furthermore, the training of employees in the use of the PIM system should not be neglected in order to ensure effective use. With these tips for optimizing the flow of data between different departments with the help of a PIM system, nothing stands in the way of efficient management and use of master data.
Another frequently used method is the automated import of data from internal production systems such as SAP, ERP and other global systems. This can be made possible via interfaces (API). The most pragmatic approach is often to maintain Excel tables and store them in a defined location. The system pulls this data at night, for example, and stores it in the PIM system in a structured manner.
Hybrid solutions can also be advantageous for automated imports. Some fields are filled automatically and then locked in the system for manual maintenance. Other fields can be added manually.
9. success stories from the field: companies that have already successfully implemented a PIM system
A PIM system (Product Information Management) can help companies to manage their master data efficiently and use it successfully. There are already numerous successful examples of companies that have implemented a PIM system and achieved great benefits as a result.
One such example is Procter & Gamble, a leading supplier of consumer goods. By implementing a PIM system, Procter & Gamble was able to centralize and harmonize its master data. This avoided duplicates and ensured high data quality. In addition, product information could be updated more quickly and passed on to various sales channels. This led to a significant increase in efficiency in the company’s day-to-day business. Customers benefited from the improved data quality, as they could now access up-to-date and correct information. The extremely positive feedback from customers confirmed the success of the PIM system at Procter & Gamble.
Overall, the implementation of the PIM system has made master data management more efficient and enabled the smooth use of data in various areas of the company. Companies such as Procter & Gamble, Wella, the NOBILIS Group, Merz Consumer Care and De’Longhi are successful examples of how the use of a PIM system can achieve optimum management of master data. PS: All these customers rely on our dynamicTOOLS, which integrates a PIM system and DAM system.
10 Conclusion: Efficient management and use of master data thanks to a professional PIM system
Managing and using master data is a major challenge for companies. In order to manage this task efficiently, the use of a professional PIM system is of great importance. Such a system allows master data to be recorded, maintained and updated centrally.
This ensures that all relevant information is always correct and up-to-date. A PIM system also offers numerous advantages in the management of master data. On the one hand, it enables structured organization of the data, which makes it easier to search and access. Secondly, it ensures high data quality, as errors and duplicates can be avoided. Thirdly, the PIM system makes it possible to display individual data as required by customers/retailers. This is an invaluable advantage, especially in the consumer goods sector. The master data is reformatted as required by the respective customer. Here, each retailer often has its own format and requires the data to be precisely formatted in order to process it quickly and efficiently.
Good data quality is crucial for the functioning of various business processes such as marketing or sales activities. A PIM system can also be integrated into existing IT infrastructures and optimize the flow of data between different departments.
For example, product information can be passed on quickly and easily to the marketing department for use in advertising materials, on the company website and, above all, in central retail systems.
Success stories from practice already show that companies can efficiently manage and use their master data by using a PIM system. In summary, it can be said that a professional PIM system is essential for the management of master data and leads to a more efficient use of this information in the company.