Making the Case for
Master Data Management
Gas & Oil Expo
June 2011
Corvelle Drives Concepts to Completion
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Yogi Schulz
Biography
 Partner in Corvelle Consulting
 Information technology related management
consulting
 Microsoft Canada columnist & CBC Radio host
 PPDM Association board member
 Industry presenter:
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Project World - 4 years
CIPS Informatics - 7 years
PMI - Information Systems SIG - 2 years
Convergence - 4 years
PPDM Association - several years
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Presentation
Outline
 Objectives
 Value of MDM
 MDM Business Benefits
 MDM Program Scoping Themes
 Selling the MDM Program
 Conclusions
 Recommendations
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Master Data Management
Defined
 Master data management (MDM) comprises
a set of processes and tools that consistently
defines and manages the non-transactional
data of an organization
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Problem
 Benefits case for MDM
is not well understood
 MDM is not well sold
Before I make my drilling
decision, show me those
meaningless statistics again
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Presentation
Objectives
 Understand the
business case for MDM
 Learn how to effectively
sell MDM
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Value of MDM
 Enable business intelligence applications
 Assure single source of truth
 Improve data accessibility
 Reduce data
cleaning effort
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MDM Opportunity Evaluation
 Reduce risk:
Revenue
– Pick winners
– Avoid losers
 Evaluate more scenarios:
– producing asset
acquisition
– pool development
– well design
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MDM Operational Effectiveness
 Volumetric accuracy:
– exploitation decisions
 Cost accuracy:
– production optimization
 Agreement accuracy
Costs
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– acquisition and
divestiture decisions
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MDM Business Benefits
Operational
Oil & gas producer
requirement
Increase revenue from
ensuring accuracy and
completeness
Improve operational
efficiency
Increase regulatory
compliance
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MDM contribution
Volumetrics
Billing of processing fees
Joint venture invoices
Cost data
Business processes
Data quality
Consistent data collection
Reporting data
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MDM Business Benefits
Strategic
Oil & gas producer
requirement
Improve organization
agility
Improve decision making
Accelerate cycle times
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MDM contribution
Rapid access to impact
analysis data
Data quality
Data integration
Data accessibility
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MDM Technical Benefits
Oil & gas producer
requirement
Reduce the cost of
business processes
Improve information
management efficiency
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MDM contribution
Data duplication
Data quality
Share and analyze info
Data integration
Redundant data
management activities
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MDM Program
Scoping Themes
 Themes
– Geographic Area Coverage
– Reservoir Type Coverage
– Functionality Features
– Asset Life Cycle Coverage
 Criteria
– Business benefit
– Complexity
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Selling the
MDM Program
 Focus on business benefits
 Project sponsor leads the selling
 Highlight impacts of recent data quality
shortcomings
 Avoid references
to technology
 Don’t over-promise
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Conclusions
 MDM programs offer significant benefits to
oil & gas producers
 MDM programs have been hampered by:
– Poor business cases
– Focus on technical benefits
– Grandiose scope
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Recommendations
 Create a clear business case
 Have the project sponsor
present
 Develop an MDM program of
several releases
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Questions &
Discussion
Please
fill out
evaluation
form
Can you help us
make the case
for MDM?
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Making the Case for
Master Data Management
Yogi Schulz
Partner of Corvelle Consulting
Information technology related
management consulting
Microsoft Canada columnist & CBC
Radio host
Industry presenter
PPDM Association board member
Corvelle Drives Concepts to Completion
Corvelle Consulting
300, 400 - 5 Ave. S. W.
Calgary, Alberta T2P 0L6
Phone: (403) 249-5255
E-mail: YogiSchulz@corvelle.com
Web: www.corvelle.com
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Bibliography

Building a robust business case for high quality master data
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Building the Business Case for Master Data Management
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ESRI Petroleum User Group – 2010
http://proceedings.esri.com/library/userconf/pug10/papers/samsons_integrated_prospect_to_spud_well_life
cycle_managment_system.pdf
The International Conference on Information Quality (ICIQ)
–

Mark Smith, January 2007
http://www.ventanaresearch.com/uploadedFiles/The%20Business%20Case%20for%20Master%20Data%20Ma
nagement.pdf
E&P Prospect to Spud Life Cycle Solution
–
–

CapGemini, Informatica, May 2011
http://storage.vuzit.com/public/33cv7/Building_the_Business_Case_for_Master_Data_Management__MDM_.
pdf
The business case for master data management
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–

Andy Haler, February 2010
http://www.manjeetss.com/articles/MDM/InfoDifference_Quality_Master_Data.pdf
http://www.iciq2010.org/
Making the Business Case for Master Data Management
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Amol Patil, August 28, 2008
http://advice.cio.com/infonitive/making_the_business_case_for_master_data_management_mdm
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Bibliography

Master Data Management Benefits, May 21, 2011
– http://www.mdmsource.com/master-data-management-benefits.html
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Master Data Management for the Masses of Data
– InfoTech, February 24, 2009
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MIT IQ Industry Symposium (IQIS)
– http://www.eriqlab.org/mit/index.html

Monetizing Data Management
– http://erwin.com/uploads/erworld/Monetizing%20Data%20Management_09162010.pdf

P2 Energy Solutions - integrated well lifecycle management tools
– http://www.p2energysolutions.com/well-lifecycle
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Positioning Master Data Management for Success
– Yogi Schulz, 27 October 2010
– http://corvelle.com/presentations/ppdm/positioning.html
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PPDM master data at heart of Oracle’s Digital Oilfield - February 2008
– http://www.ppdm.org/community/PPDM_data_at_heart.html

Staying Relevant in Today’s Changing Data Management Environment
– http://erwin.com/events/detail/staying_relevant_in_todays_changing_data_management_en
vironment/
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MDM Adoption Reasons
• Reduce time spent in reconciling
data from disparate sources
• Assign accountability for the
quality of information
• Unable to determine which
spreadsheet had correct data
• Respond to rising costs of errors
in data
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• 33 percent
• 17 percent
• 12 percent
• Not specified
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