Data governance is a paramount strategic program that not only identifies and prioritizes the financial benefits that data brings to organizations but also acts as a safeguard against the business risks associated with subpar data practices and quality. Over the years, we have been assisting companies in sub-Saharan Africa in the implementation of data governance programs, and nearly a decade later, we witness strong signals of its maturation.

Data governance is a strategic business program that determines and prioritizes the financial benefit data brings to organizations as well as mitigates the business risk of poor data practices and quality

Michelle Goetz, Forrester Research

Six Signs that Data Governance is Maturing

Here are some compelling indicators of data governance’s maturity:

1. Growing Emphasis by Analysts:

Prominent players in the technology research and advisory industry, such as Aberdeen, Bloor, Forrester, and Gartner, have started producing and selling research specifically focused on data governance. While these analysts have been providing insights on data management disciplines like data integration, data quality, and master data management for years, their recent attention to data governance is a clear testament to its increasing significance. The availability of research reports demonstrates a thriving market for data governance solutions.

2. Widening Interest Across Industries:

Data governance is no longer limited to highly regulated industries like financial services. We observe a growing interest in data governance principles from various sectors, including manufacturing, hospitality, government, and retail, among others. Organizations are realizing the financial toll of poor data management practices and are eager to measure the costs associated with rework, project delays, and operational issues linked to data mismanagement. Better-governed data can lead to substantial savings in IT spending and operational efficiency.

Big data and analytics are raising awareness of the value of better-managed data.

Big data and AI are exciting to executives. Analytics promises to bring new insights to business users to improve customer profitability, loyalty and satisfaction.  It does so by simplifying the data management problems associated with large, diverse data sets.

Yet, without governance and data quality, big data solutions struggle to scale. The executive focus on big data has extended into a focus on data – this is good for data governance and for data management in general.

3. Rise of Data-Centric Regulations:

Corporate governance now intertwines with sound information governance, with regulations like Sarbanes-Oxley (SOX) and South Africa’s King IV demanding board-level responsibility for data. Additionally, privacy regulations, like the South African Protection of Personal Information (PoPIA) Act, underscore the importance of data governance in governing the capture, storage, use, and disposal of personal data. Data governance frameworks play a crucial role in ensuring compliance with these regulations.

4. Practical Implementation Approach:

Data governance programs are shifting from being merely structural and process-oriented to focusing more on deliverables and practical outcomes. Early adopters have learned from past experiences and are now determined to derive tangible value from their governance efforts. Such programs proactively identify and address data-related risks, ensure comprehensive documentation of data assets like the business glossary and reference data, and actively work on sustainable improvements to data quality. Moreover, these programs provide vital information to auditors and regulators to meet compliance requirements effectively.

5. Flourishing Data Governance Careers and Certifications:

Emerging roles like Chief Data Officers are taking on executive responsibilities for data management, especially in terms of setting up data governance and data quality initiatives, shaping data strategy, and bridging the gap between business and IT from a data perspective. The need for dedicated data stewards is growing, and certifications like the Certified Data Steward and Certified Information Management Professional (CIMP) in Data Governance offer recognition and specialized training for these essential roles.

6. Integration of Data Governance Across Technology Solutions:

As the discipline of data governance matures, we see a trend where almost every technology solution claims to support data governance. From business intelligence and master data tools to metadata management and identity access management, various solutions position themselves as enablers of data governance.

However, it’s important to understand that data governance goes beyond these individual tools; it provides overarching oversight and direction for various data management disciplines.

In a post on the Forrester Research blog, analyst Michelle Goetz expands on why data governance is not data management.

True data governance solutions empower data stewards to focus on managing data performance against business goals without being bogged down by complex data management technologies or manual processes.

While data governance is a maturing discipline, it is still not mature.

In her post, Michelle tracks the maturing data governance market and the emerging platforms that support data governance, not just data management. She suggests that the time is soon coming when data stewards will do their jobs without resorting to complex data management technologies, SQL code and manual remediation.

They will be seen as the business professionals they are, not as a shadow IT function (or as clowns), and they will be enabled and empowered to focus on the processes and activities that they are expected to do – manage the performance of data against business goals.

Conclusion

Age is no guarantee of maturity

Lawana Blackwell

In conclusion, data governance is indeed maturing, and the signs are encouraging. As organizations across industries recognize the value of well-governed data, data governance will continue to evolve and play a pivotal role in driving success and minimizing risks.

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