
Material Master Data Management
Material Master Data Management: Materials MDM: The Foundation of Your Business
Materials Master Data Management (MDM) serves as the central repository for critical business information, encompassing products, materials, vendors, customers, and more. It’s an essential component of any Enterprise Resource Planning (ERP) system used in distribution or manufacturing.
By consolidating material data into a single, reliable source, MDM eliminates the inefficiencies caused by data redundancy. By effectively managing duplicate records and creating accurate BOMs, materials MDM
Creating Bills of Materials (BOMs) in Materials MDM
BOMs are essential for manufacturing and assembly processes. Materials MDM systems can play a crucial role in BOM creation and management.
⦁ BOM Structure: Define the hierarchical structure of BOMs (e.g., parent-child relationships).
⦁ Component Relationships: Establish relationships between components and their parent assemblies.
⦁ BOM Attributes: Define attributes such as quantity, cost, and lead time for each component.
⦁ BOM Revisions: Manage changes to BOMs over time.
Integration with Other Systems: Integrate BOM data with ERP, PLM, and other relevant systems.systems can significantly improveoperational efficiency and reduce costs.
Material Master
Data Dump from Client
Data Audit
Data
Classification
Data
Cleansing
Data
Enrichment
Codification/Schema Classification
De-Duplication Identification
Data
Standardization
Data
Normalization
Manufacturer/Vendor Validation
Data Uploading & Preparation
Data Dump from Client
Data Audit
Data
Classification
Data
Cleansing
Data
Enrichment
Manufacturer/Vendor Validation
Data Normalization
Data Standardization
De-Duplication Identification
Codification/Schema Classification
Data Uploading & Preparation
Data Audit
Data Classification
Data Cleansing
Data Enrichment
Data Standardization
Data Normalization
De-Duplication Identification
UNSPSC classification or codification
Data Uploading & Preparation
A Journey to MRO DATA EXCELLENCE

Vendor Master
Data Aggregation
Data Cleansing
Data Collection Primary/
Secondary
Vendor Codification
Parent - Child
Realtionship
Upload to ERP System
Enriched
Identified
Importance of Accurate Material Master Data for ERP/MDM
Data Quality Improvement
Operational Efficiency
Cost Reduction
Regulatory Compliance
Customer Satisfaction
Material data cleansing within an MDM framework is essential for maintaining data quality, improving operational efficiency, reducing costs, ensuring regulatory compliance, and ultimately enhancing customer satisfaction.
1.Data Quality Improvement
⦁ Elimination of Duplicates: MDM helps identify and remove duplicate records, preventing inconsistencies and errors.
⦁ Standardization: Ensures that data is formatted and structured consistently across the organization.
⦁ Accuracy: Helps maintain the accuracy of material information, such as descriptions, specifications, and classifications.
2. Operational Efficiency
⦁ Streamlined Processes: Clean and accurate data enables smoother workflows and reduced errors.
⦁ Improved Decision Making: Reliable data supports informed decisions across various departments.
⦁ Enhanced Supply Chain Management: Accurate material data facilitates efficient procurement, inventory management, and production planning.
3. Cost Reduction
⦁ Reduced Errors: Fewer errors lead to lower costs associated with rework, scrap, and delays.
⦁ Optimized Inventory: Accurate material data enables better inventory management, reducing excess stock and stockouts.
⦁ Improved Supplier Relationships: Consistent and accurate data facilitates better communication with suppliers.
4. Regulatory Compliance
⦁ Data Privacy: Ensures compliance with data privacy regulations like GDPR and CCPA.
⦁ Quality Standards: Helps meet industry-specific quality standards and certifications.
5. Customer Satisfaction
⦁ Accurate Product Information: Clean and accurate material data leads to better product descriptions and customer experiences.
⦁ On-Time Delivery: Reliable data supports efficient order fulfillment and timely delivery.