Better data governance and management was a key issue for financial services firms in 2015, but for the majority of organizations there is still a long way to go.
The recent article “Golden Copy: Were They Right About 2015?” by Michael Shashoua of Inside Reference Data noted that at the beginning of last year firms’ focus was expected to be on taking steps to integrate multiple data sources and implement data strategies or governance plans – which, for example, can help better support analytics. Later in the year, industry participants started to link data governance projects with the need to tackle risk data management, with those governance projects seen as a way to “get a handle on data relevant to risk”.
Looking ahead to 2016, data centralization will remain a major challenge, according to the article, requiring a lot more work to properly organize data “so that it can be beneficially managed by evolved and improved data governance plans.”
So how can investment management firm’s best address these interconnected challenges of managing the growing volumes of diverse and often complex data from multiple sources, eliminating redundancy, achieving greater data centralization and improving governance?
A little help from your (data expert) friends
The answer is clear: a dedicated managed data service.
Rather than wrestling with disparate data sources that absorb valuable in-house resources on data collection, validation, remediation, reconciliation, distribution and maintenance, firms can leverage a single provider that takes on all the grunt work. The result is higher quality, timelier data delivered to the disparate business functions that need it at lower cost.
Furthermore, without having to make a major investment in people or technology, firms can take advantage of a best practice data governance environment that:
- Controls data procurement.
- Improves usage management by controlling data use and decommissioning as business needs change.
- Monitors and reports data use to support effective decision-making by management.
- Ensures data use, and the data’s appropriateness, accuracy and completeness, is in line with internal and regulatory compliance guidelines and restrictions.
By implementing a strategic data operating platform, asset managers will then have more time to spend on managing investments and supporting clients – which should be the real resolution for the year ahead.
Want to improve data governance at your firm? For more information on how RIMES can help, please contact us.