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What is Master Data Management (MDM)? A Complete Guide

Master Data Management (MDM) explained: what it is, why it matters, the four MDM styles, golden records, and how it is tested in the CDMP exam.

CDMP Master Academy·11 February 2025·11 min read

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A professional-level summary covering key definitions, frameworks, and exam-relevant points.

DMBOK Definition

The DAMA DMBOK v2 defines Master Data as "data about the business entities that provide context for business transactions." Master Data Management is the set of processes, policies, standards, and tools that consistently define and manage the critical data of an organisation to provide a single point of reference.

Master Data Domains

The most common master data domains are: Party (customers, suppliers, employees), Product (items, services, SKUs), Financial (accounts, cost centres, currencies), Location (addresses, geographic hierarchies), and Asset (equipment, facilities, infrastructure). Each domain requires its own governance, stewardship, and MDM implementation approach.

The Four MDM Styles

StyleDescriptionBest For
RegistryCentral index linking records across systemsMinimal disruption, read-only consolidation
ConsolidationData copied to hub for analysis; source systems unchangedReporting and analytics
CoexistenceHub holds golden record; syncs back to source systemsOperational and analytical use
CentralisedHub is single source of truth; all systems read/write to hubMaximum control and consistency

Survivorship Rules

When creating a golden record from multiple source records, survivorship rules determine which value "wins" for each attribute. Common survivorship strategies include: most recent (use the latest value), most trusted source (use the value from the highest-quality system), most complete (use the value with the most information), and majority vote (use the value that appears most frequently across sources).

CDMP Exam Weight

Reference and Master Data carries approximately 10% of the CDMP exam weight. Key exam topics include the four MDM styles, survivorship rules, the difference between reference data and master data, and the relationship between MDM and data governance.

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