Poor master data is the single biggest cause of ERP underperformance. This guide explains what master data is, why it matters, and how to set it up right.
What Is Master Data in ERP
Master data is the permanent reference data that every transaction uses — customer records, item codes, supplier accounts, cost centres, and chart of accounts entries. Unlike transactional data, master data changes rarely but is used constantly.
The Most Common Master Data Mistakes
Duplicate item codes for the same product. Customer accounts created by different users with different naming conventions. Incomplete supplier tax information. These errors compound with every transaction.
Master Data Governance: Who Owns What
Establishing clear ownership of each master data category is essential. One person or team should be responsible for creating, modifying, and archiving each type of master data.
Cleaning Up Before You Go Live
Data migration is the most underestimated ERP implementation task. Plan 40% of your implementation time for data cleaning, mapping, and validation — it determines whether your go-live succeeds.
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