In this “summer series” of posts dedicated to Master Data Management for Product Data, we go across what we identified as the five most frequent use cases of MDM for product data.
In this fourth part of the series, we focus on MDM for Regulated Products. This use case happens when products must comply with government or industry regulations. This mandates to adhere to standard codifications and to exchange information beyond the enterprise walls to provide control and traceability on how products are sourced, tested, manufactured, packaged, documented, transported or promoted.
More and more industries need to report on the supply chain related to their products. Traceability mandates are driving towards increased velocity and precision, and this starts with standards codification of products attributes and characteristics.
Life Sciences is the obvious example of an industry whose products are heavily regulated, from the different phases of trials to manufacturing and distribution. But, many other industries are increasingly impacted too: from Financial Services to Agriculture, from Healthcare to Chemicals or Consumer Products, best practices for Information Governance have matured and sometimes have even reached the status of mandated standard.
The first and foremost benefit of this use case is to minimize the costs and risks of compliance. Regulated products need precise traceability of the product supply chain and the corresponding information supply chain. This generally involves many stakeholders that need to access to shared product information, and update them chen needed according to their activity under the control of a well defined and auditable workflow.
As a result, even when those codification standards are not mandatory, extended supply chain can reap benefits in adopting them for real time exchange of information between business partners. The overall process then becomes more uniform, efficient and quality proofed, and more open for continuous improvement because it is being carefully and precisely controlled and monitored. Because of a more holistic and shared view of the product data and related processes, making informed decisions about the regulated products is facilitated too ; Reacting faster to alerts because there are detected and shared earlier is a clear business benefit, too.
Finally, the business benefits for their adoption may be as simple as staying in the business, as illustrated by a Gartner prediction: “By 2016, 20 percent of CIOs in regulated industries will lose their jobs for failing to implement the discipline of information governance successfully.”