Earlier this week, I wrote about the 3 Steps to Creating a Managed Taxonomy Across Your Organization. These steps involved following a people, process, and technology paradigm to create, onboard, and maintain a managed taxonomy. The process of aligning your organization to the new taxonomy is not simple, but it can be extremely effective and deliver a significant return on your investment of time and money.
Once the master taxonomy has been implemented and rolled out across the organization and multiple child taxonomies have been successfully onboarded, the return on the investment will be tangible and measureable in many ways.
Here are a few of the top ways you will see an ROI from creating a managed taxonomy for your organization:
Data quality, data consistency and data aggregations are all increased by centralizing a structured master taxonomy and aligning department specific child taxonomies across the organization. This also results in actionable KPIs, scorecards and dashboards from the individual contributor to executive management levels and facilitates apples-to-apples comparisons across disparate systems/tools and areas within the organization.
A managed taxonomy acts as a translation layer and collaboration focal point which increases the ability of disconnected areas of the organization to communicate with each other. The taxonomy mapping layer and data integrity business rules also reduce redundant work effort, allowing organization departments to focus on their specific subject areas while maintaining a structured connection with the rest of the organization.
Actionable Business Management:
Once your managed taxonomy builds momentum and critical mass within your organization, executive decision making is enhanced by a predictable, stable and accountable data and system foundation with clear visibility across the organization in terms of both taxonomy subject areas, elements and attributes.
One of our areas of expertise includes helping companies differentiate and improve their ROI, and in many cases this involves leveraging and managing your business analytics properly.
Our free eBook, Successful Business Intelligence From Start to Finish is a great place to start.