Berlin, February 4, 2020 | Master data is a term which frequently pops up in a professional environment. Last but not least, at innoscale AG we are constantly talking about it. In this blog post we will illustrate what this term reflects and how it can be distinguished from transaction data.
Master data is defined by a few central characteristics that distinguish it from transaction data in particular: It has a high level of statics, which means that it rarely changes and is mostly valid in the long term. Since master data is used by several divisions of a company, it is highly relevant for all business processes. This is underlined by the fact that master data is often used as a criterion in statistics and data evaluations. In addition, transaction data is dependent on master data – no transaction data without master data. For these reasons, master data is generally kept long-term.
Transaction data, on the other hand, is dynamic data that is used by specific departments. Its relevance is limited to a certain period of time. For the mentioned statistics it provides the facts behind the master data criteria. As suggested by the term, master data is key to the organization. Its core and structure is represented by master data. Transactional data though is renewed and replaced regularly.
Let’s give you a few examples of master data
Product data, supplier data, customer data, employee data and geo data is amongst the typical master data types. Let’s assume a product that a company has manufactured. Product-related master data can for example be the article number, the product name, the location in the warehouse, the assigned price, the individual parts or raw materials used for production. Of course, there is not just one product, but rather quite a few. The overview of the entire product range can only be maintained if the master data is available in a correct format. However, if the data set is outdated and incorrect, this will result in defective business processes and inefficiency.
In order to prevent exactly that, we offer a simple and effective solution for data management: our multi domain software DataRocket. On our website you will find further information on the subject of master data and also on our tailor-made solutions.
We are happy to discuss improvements to your data management – just drop us a message.