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G00261673 Market Guide for MDM External Service Providers Published: 16 February 2015 Analyst(s): Bill O'Kane, Andrew White, Saul Judah, Ehtisham Zaidi Use of external service providers can accelerate master data management program success. MDM leaders should use this research to identify and engage with candidate providers based on their requirements by region, data domain, vertical sector, software solution, and size of their organization. Key Findings Engaging an external service provider (ESP) with the appropriate skills and experience is a proven way to accelerate your master data management (MDM) program or project. In Gartner surveys and client interactions, more than 50% of MDM leaders report using at least one ESP to accelerate their MDM strategies and/or implementations. Interactions with our clients and references supplied by software vendors indicate that when ESPs are engaged for MDM, the investment averages between two and three times the MDM software spend, with some large programs going even higher. Specialist MDM ESP firms are more likely to concentrate on program strategy than implementation, and larger ESP firms have more experience with implementation than strategy. Recommendations Use the techniques described in Gartner's "Best Practices in MDM: How to Evaluate and Engage External Service Providers" to effectively partition ESP work and maintain control of the overall engagement. Perform a thorough assessment of your internal MDM capabilities to determine which ESP engagement model is the most suitable for your MDM program in relation to skills, funding and bandwidth. Evaluate and engage an ESP for MDM based on its experience in your vertical industry and required data domains. If direct industry experience is unavailable, consider adjacent industries.
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Page 1: Market Guide for MDM External Service · PDF fileG00261673 Market Guide for MDM External Service Providers Published: 16 February 2015 Analyst(s): Bill O'Kane, Andrew White, Saul Judah,

G00261673

Market Guide for MDM External ServiceProvidersPublished: 16 February 2015

Analyst(s): Bill O'Kane, Andrew White, Saul Judah, Ehtisham Zaidi

Use of external service providers can accelerate master data managementprogram success. MDM leaders should use this research to identify andengage with candidate providers based on their requirements by region,data domain, vertical sector, software solution, and size of theirorganization.

Key Findings■ Engaging an external service provider (ESP) with the appropriate skills and experience is a

proven way to accelerate your master data management (MDM) program or project.

■ In Gartner surveys and client interactions, more than 50% of MDM leaders report using at leastone ESP to accelerate their MDM strategies and/or implementations.

■ Interactions with our clients and references supplied by software vendors indicate that whenESPs are engaged for MDM, the investment averages between two and three times the MDMsoftware spend, with some large programs going even higher.

■ Specialist MDM ESP firms are more likely to concentrate on program strategy thanimplementation, and larger ESP firms have more experience with implementation than strategy.

Recommendations■ Use the techniques described in Gartner's "Best Practices in MDM: How to Evaluate and

Engage External Service Providers" to effectively partition ESP work and maintain control of theoverall engagement.

■ Perform a thorough assessment of your internal MDM capabilities to determine which ESPengagement model is the most suitable for your MDM program in relation to skills, funding andbandwidth.

■ Evaluate and engage an ESP for MDM based on its experience in your vertical industry andrequired data domains. If direct industry experience is unavailable, consider adjacent industries.

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■ Consider an ESP based on its MDM software implementation experience only if your MDMstrategy is complete, or you intend to use an MDM software solution based on other factors,such as an enterprise-level software vendor relationship.

Market DefinitionMDM is a technology-enabled discipline in which business and IT work together to ensure theuniformity, accuracy, stewardship, governance, semantic consistency and accountability of theenterprise's official, shared master data assets. Master data is the consistent and uniform set ofidentifiers and extended attributes that describes the core entities of the enterprise, such ascustomers, prospects, citizens, suppliers, sites, hierarchies, and chart of accounts.

MDM is a complex discipline that requires active participation from a broad range of constituents inthe enterprise. Moreover, the MDM software market is complex and largely characterized byspecific segments focused on particular master data domains (for example, customer/party,product/thing, location/site or hierarchy). This means that MDM leaders often struggle whenselecting and implementing MDM software because vendor solutions are not only diverse, andcurrently no single solution caters to a typical organization's entire spectrum of MDM requirements(see "Why You Will Probably Need More Than One Master Data Management Vendor").

The scope and complexity of MDM programs, coupled with the high level of cooperation neededbetween IT and business, necessitate organizations to seek assistance from ESP firms to devise asound MDM strategy and (or) implementation plan for their MDM initiatives (see Note 1).

MDM ESPs provide strategic, tactical and operational support to organizations engaging in MDMprograms. These services include the formulation of information strategies, business cases, roadmaps, business and technical metrics, governance organizations and processes, organizationalrecommendations, information life cycle discovery, and program and project planning. Theseservices may also be used to assist the installation and configuration of MDM software.

The effective use of ESP firms in the strategy and implementation of MDM programs can be thedeciding factor in overcoming the common technical, organizational and political barriers toimplementation — which can mean the difference between success and failure. The majority ofclients that plan and execute MDM programs have reported gaining significant traction andmomentum by using ESP partners. This is particularly useful in environments that are constrainedby bandwidth or organizational issues, or those that lack the appropriate expertise.

In the future, Gartner expects the ESP/partner market for MDM solutions to grow in proportion tothe expected growth of the MDM market, since the core issues concerning MDM strategy and MDMsolution implementation will continue to be the major inhibitors of a holistic, organization-wide MDMprogram success.

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Market DirectionLarge and small ESPs have rapidly entered the MDM professional services market, as engagementscan be quite lucrative and long lasting, depending on how much exposure a client is willing toexperience with a single ESP in the context of its overall MDM program. Even at this early stage ofits life cycle, the MDM ESP market is expanding rapidly and we anecdotally estimate that its totalsize is between double and triple that of the MDM software market.

Gartner's annual survey data for MDM Magic Quadrants suggests that approximately 50% oforganizations adopting MDM involve at least one ESP in their programs. This information provesbeyond doubt that organizations are heavily relying on ESPs to assist them with their overall MDMinitiatives. ESPs, from big consulting firms to boutique outfits are now fully engaged in the market.They have capabilities that are essential to large enterprises looking to achieve critical mass in oneor more master data domains and within a single budget cycle.

The vast majority of our interactions with MDM leaders in end-user organizations suggest that theyspend an average of between double and triple their MDM software investment on MDM ESPs, withvery large enterprise business-to-consumer customer data implementations sometimes runningbetween seven and ten times the software spend. A conservative aggregation of the variousestimates we have compiled shows an estimated total market size of between $3 billion and $5billion. Even at these rates of expenditure, most organizations report satisfaction with their ESPexperience.

While the shortage of experienced resources (particularly on the strategy side) is often reported as atransient issue, ESP firms are typically able to rectify these issues to a client's satisfaction,indicating that the increase in the number of implementations is yielding a greater number ofproficient strategy and implementation professionals overall.

One well-defined pattern emerging is that smaller firms tend to concentrate on MDM andgovernance strategies, while the larger firms deploy a greater percentage of their resources to post-strategy implementations (see the Market Analysis section for definitions of strategy andimplementation).

Similar to the MDM software market, the MDM and information governance consulting servicesmarket is growing substantially from year to year, but is far from mature. The more fluidcharacteristics of MDM ESPs and their engagements make this market quite challenging to qualify,segment, and track.

These characteristics include, but are not limited to:

■ Turnover of qualified resources.

■ Rapid formation of alliances with software vendors.

■ The continued use of stand-alone data quality and data integration tools to build customizedMDM solutions.

■ Subcontracting arrangements between and external to the vendors included in this research.

Gartner, Inc. | G00261673 Page 3 of 28

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Even though the MDM ESP market is rapidly gaining popularity and momentum in the overallinformation infrastructure space, it is still in the adolescent phase of maturity (with a marketpenetration of less than 20% of the possible target audience) and Gartner predicts that it will takearound five to 10 years to reach mainstream adoption (see "Hype Cycle for InformationInfrastructure, 2014").

The relative immaturity of the MDM ESP market, coupled with the large number of tools andapproaches available to address these programs, has caused many MDM ESP firms to specialize inat most two or three MDM software vendors' offerings. This bias in implementation expertise caneasily taint the manner in which a firm approaches an overall MDM strategy, as each softwarevendor's approach varies widely.

Market AnalysisThose clients planning to evaluate and engage ESPs for their MDM initiatives are strongly advisedto separate the strategy part of the MDM program (including, but not limited to, technologyselection) from the implementation phase. In fact, it is often preferable to engage a strategy providerthat does not perform implementations, unless the client's industry or geographical profile makesthis impractical.

We describe the two most common segments of the MDM ESP market in the following sections andexplain why they are important components of a holistic MDM program.

ESPs for MDM Strategy

This is defined as services that assist clients in the formulation of business cases, road maps,business and technical metrics, governance organizations and processes, organizational changerecommendations, information life cycle capture and planning, and technology selections thatenable MDM to be implemented in their enterprises. These services correspond to the first six ofGartner's Seven Building Blocks of MDM, up to and including technology evaluation and selection(see "The Seven Building Blocks of MDM: A Framework for Success"). Therefore, a vendor claimingto concentrate on strategy may also report the software experience. The vendors surveyed wereasked to segment their practices using this definition, but this was probably not strictly adhered to.

Engaging the expertise of an ESP with significant levels of MDM strategy experience in yourindustry and master data domains can be an invaluable asset for ensuring the success of thesecritical efforts. In an MDM strategy engagement, the levels of experience that these firms generallypossess in specialized areas can significantly accelerate an MDM program and reduceimplementation risks. These areas also include critical activities, such as engaging the business forfunding and starting the data governance organization and process, as well as innovative methodsof identifying process pain points for the master data and formulation of metrics around them toprove the ongoing value of a program.

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ESPs for MDM Implementation

This is defined as services that assist clients in the installation, configuration and other requiredtasks for MDM software implementation in their enterprises (see "Market Definitions andMethodology: IT Services"). These ESP firms are engaged after all of the MDM strategy artifactshave been produced according to a recognized framework (such as Gartner's Seven BuildingBlocks of MDM) and an MDM technology solution has been evaluated and selected. These servicescorrespond to the seventh and last of Gartner's Seven Building Blocks of MDM. The vendorssurveyed were asked to segment their practices using this definition, but this was probably notstrictly adhered to.

From a technology implementation perspective, engaging the expertise of an ESP with significantlevels of MDM implementation experience in your selected technology solution and master datadomains can be invaluable for ensuring the success of these critical efforts. This includessuccessful alignment with internal technical disciplines, such as those for data integration, businesscontinuity planning and SLAs. These MDM strategy and implementation skill sets can also betransferred to internal client members of both the MDM and information governance teams, bringingmodern and tested techniques for information management to enterprises that likely did notpossess them in the past (see "Best Practices in MDM: How to Evaluate and Engage ExternalService Providers").

Representative VendorsThe vendors listed in this Market Guide do not imply an exhaustive list. This section is intended toprovide more understanding of the market and its offerings.

This analysis was compiled using a dedicated survey of ESP firms that appear regularly in ourinteractions with clients, event attendees and software vendors, as well as in vendor briefings andother structured surveys of software vendor references and event attendees. Professional servicesteams resident within MDM software vendors and only supporting the implementation of thatparticular vendor's software, were not included.

The following vendors represent those that responded to the survey, are specific to this researchand representative of those in the market. The information we received through the survey wasaugmented (where appropriate) by publicly available information (such as vendors' websites) andour interactions with Gartner clients. Due to the fluid nature of this market, no references wererequested or referees contacted for this research, so the information that was not publicly availablecould not be independently verified for accuracy. Due to the timing of the survey, the resultssubmitted are considered to apply to the end of calendar year 2014.

The companies listed in this research represent the respondent base for this dedicated survey andmay not include all those competing in this market.

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BackOffice Associates

boaweb.com

Headquarters: South Harwich, Massachusetts, U.S.

Engagement experience: 50% strategy — 50% implementation

Regions: North America, EMEA, and Asia/Pacific

Top industries: Life sciences manufacturing, oil/gas/chemical process and resource manufacturing,consumer goods manufacturing, other manufacturing, and other nonmanufacturing.

Top data domains: Direct material, supplier, customer, product (sell-side), indirect material(maintenance repair and operations [MRO]), and others (human capital management [HCM], andFICO scores).

Dedicated MDM full-time equivalents (FTEs): 200

BackOffice Associates is a solution provider of data stewardship platforms and applications,including two software products that are sold both directly and through a value-added reseller (VAR)with SAP. The majority of its MDM experience is with large enterprises, although it has also donesome work with small and midsize firms (see Note 2 for the definitions of large, midsize and smallorganizations).

The majority of the company's experience involves direct-to-SAP data stewardshipimplementations, with the exception of SAP accelerator applications, although BackOffice'ssolutions are vendor neutral. BackOffice has software vendor partnerships, including IBM,Microsoft, Oracle, and SAP. It has implemented significant MDM projects with IBM (InfoSphereMaster Data Management Advanced Edition, InfoSphere Master Data Management EnterpriseEdition, InfoSphere Master Data Management Standard Edition, and InfoSphere MDM Server),Informatica MDM (Non-Cloud), Microsoft, Oracle (customer data hub [CDH], product data hub[PDH], MDM for Customer, and MDM for Product), and SAP (Master Data Governance for Customer[MDG-C], Master Data Governance for Material [MDG-M], and NetWeaver MDM).

BackOffice Associates has developed configuration for roles, tasks and processes to HR (HCM),materials, customers, vendors, and FICO scores in many industries including retail, oil/gas/chemical, high tech, industrial/discrete, consumer goods, manufacturing, life sciences, financialservices, distribution, power/utilities, and automotive.

BearingPoint

bearingpoint.com

Headquarters: Amsterdam, The Netherlands

Engagement experience: 80% strategy — 20% implementation

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Regions: EMEA

Top industries: Financial services, oil/gas/chemical processes and resource manufacturing, thepublic sector, distribution/logistics, industrial discrete manufacturing, and consumer goodsmanufacturing.

Top data domains: Customer, direct material, indirect material (MRO), product (sell-side), supplier,asset, and others (finance data).

Dedicated MDM full-time equivalents (FTEs): 33

BearingPoint is an EMEA-based consulting firm with practices in several information managementdisciplines including MDM and information governance. The entirety of its MDM experience is withlarge enterprises. It has partnerships with IBM, Oracle, SAP (including hybris, a SAP Company) andSAS.

The company also has MDM experience with Informatica (Cloud MDM, MDM Non-Cloud and PIM[Heiler]), Kalido, Oracle (CDH, PDH and Siebel Universal Customer Master [UCM]), OrchestraNetworks, Pitney Bowes Spectrum MDM, Riversand, Talend, SAP (MDG-C, Master DataGovernance for Financials [MDG-F], Master Data Governance for Suppliers [MDG-S], MDG-M, Net-Weaver MDM, and hybris [a SAP company]), SAS MDM, Semarchy and all of the IBM InfoSphereMDM software products, with the exception of InfoSphere MDM Enterprise Edition and InfoSphereMDM for PIM.

Camelot Management Consultants AG

camelot-mc.com

Headquarters: Mannheim, Germany

Engagement experience: 30% strategy — 70% implementation

Regions: EMEA, North America, and Asia/Pacific

Top industries: Oil/gas/chemical process and resource manufacturing, life sciences manufacturing,consumer goods manufacturing, healthcare, and distribution/logistics.

Top data domains: Product (sell-side), customer, direct material, indirect material (MRO), supplier,and other (chart of accounts).

Dedicated MDM full-time equivalents (FTEs): 60

Camelot Management Consultants AG is a specialist strategy and organization consultancy firmoffering MDM services under its broader information management portfolio of services, which alsocomprises data quality management and IT governance and organization services. The majority ofits MDM experience is with large enterprises, although it has also carried out substantial MDM workfor midsize firms. The company has formal alliances and implementation experience with SAP(MDG-C, MDG-M, MDG-F, MDG-S, and NetWeaver MDM).

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Camelot has also developed MDM best practice templates and frameworks for the life science andprocess industry by leveraging SAP MDM solutions.

Capgemini

Capgemini

Headquarters: Paris, France

Engagement experience: 17% strategy — 83% implementation

Regions: EMEA, North America, Asia/Pacific, and Latin America

Top industries: Financial services, the public sector, retail, other manufacturing, and othernonmanufacturing.

Top data domains: Customer, product (sell-side), direct material supplier, asset, indirect material(MRO), and other party.

Dedicated MDM full-time equivalents (FTEs): 450

Capgemini is a global consulting, technology and outsourcing firm that performs MDM under theportfolio of its information management technology practices housed within its broader IT servicesportfolio. The majority of its MDM experience is with large enterprises, although it has also carriedout some MDM work with small and midsize firms.

It has partnerships with IBM, Informatica, Oracle, and SAP (including hybris). It also has significantMDM implementation experience with IBM (InfoSphere MDM Advanced Edition, InfoSphere MDMCollaborative Edition, InfoSphere MDM Standard Edition, InfoSphere MDM Server, and InfoSphereMDM for PIM), Informatica (Cloud MDM, and MDM [Non Cloud]), Kalido, Microsoft, Oracle (CDH,PDH, Siebel UCM, Supplier Hub, and Data Relationship Management [DRM]), Orchestra Networks,Riversand, SAP (hybris as well as MDG-C, MDG-M, MDG-S, MDG-F, and NetWeaver MDM), SASMDM, Stibo Systems, Teradata, and Tibco Software.

Capgemini has developed industry-specific MDM solutions for capital markets, insurance,telecommunications (a geospatial hierarchy solution), pharmaceuticals, banking, and assetinformation management. It has also developed specific MDM frameworks, such as a strategy andassessment framework, an information strategy framework, and a quick-start informationgovernance framework. The company has also come up with a SAP-based solution for integratingSAP Information Steward with NetWeaver MDM, and a custom framework to move from SAP MDMto SAP MDG.

Cognizant Technology Solutions

cognizant.com

Headquarters: Teaneck, New Jersey, U.S.

Engagement experience: 15% strategy — 85% implementation

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Regions: North America, EMEA, and Asia/Pacific

Top industries: Life sciences manufacturing, consumer goods manufacturing, financial services,retail, healthcare, and the public sector.

Top data domains: Customer, other party, product (sell side), supplier, indirect material (MRO), andothers (financial reference data management, and securities).

Dedicated MDM full-time equivalents (FTEs): 1,480

Cognizant's MDM practice is organized within its enterprise analytics division and the majority of itsMDM experience is with large enterprises, although it also has some MDM experience with midsizefirms. It has formal alliances with IBM, Informatica, Markit, Microsoft, Oracle, Orchestra Networks,Reltio, Riversand, SAP (including hybris), Stibo Systems, Talend, Teradata, Tibco, and TrilliumSoftware. The company has also performed MDM implementations in Ataccama, all IBM InfoSphereMDM solutions, Informatica (Cloud MDM, PIM [Heiler] and MDM [Non-Cloud]), Markit, Microsoft,Oracle (CDH, PDH, DRM, Siebel UCM, Fusion MDM for Customer, and Fusion MDM for Product),Orchestra Networks, Reltio, Riversand, SAP (hybris as well as MDG-C, MDG-M, MDG-S, andNetWeaver MDM), SAS MDM, Stibo Systems, Talend, Tibco, and Trillium.

Cognizant has developed industry-specific MDM solutions for life sciences, financial services,healthcare, and retail vertical sectors, as well as solutions for cloud-based MDM, social dataintegration with MDM and financial reference data management for multiline business enterprises. Ithas also developed accelerators for MDM assessment and road map development, business casedevelopment, data governance strategy, requirement analysis, data quality strategy, datastewardship UI development, MDM vendor software solution evaluation and MDM implementationtesting. Cognizant also offers frameworks for data mapping and migration, and templates for MDMdesign and development deliverables.

Datum

datumstrategy.com

Headquarters: Annapolis, Maryland, U.S.

Engagement experience: 95% strategy — 5% implementation

Regions: North America

Top industries: Consumer goods manufacturing, life sciences manufacturing, automotivemanufacturing, healthcare, oil/gas/chemical process and resource manufacturing, and high-techmanufacturing.

Top data domains: Customer, other party, product (sell side), supplier, asset, direct material, andindirect material (MRO).

Dedicated MDM full-time equivalents (FTEs): 40

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Datum is an enterprise information management (EIM) strategy firm with technology assets andmethodologies in the information management discipline, with an emphasis on informationgovernance. The majority of its MDM experience is with large global manufacturing enterprises inNorth America. Datum has partnerships and significant MDM experience with SAP (MDG-C, MDG-M, MDG-F, and MDG-S), and Winshuttle.

The company has also developed a technology neutral framework which assists in documentingand tracking the business impact and the value of information management programs.

Deloitte

deloitte.com

Headquarters: New York, U.S.

Engagement experience: 14% strategy — 86% implementation

Regions: North America, EMEA, Asia/Pacific, and Latin America

Top industries: Financial services, oil/gas/chemical process and resource manufacturing, lifesciences manufacturing, the public sector, and retail.

Top data domains: Customer, other party, product (sell-side), direct material, indirect material(MRO), supplier, asset, and others (location, chart of accounts, and events).

Dedicated MDM full-time equivalents (FTEs): 475

Deloitte is a global consulting and advisory firm that performs MDM and information governanceengagements under the umbrella of its enterprise data management practice, within its broader ITservices portfolio. The majority of Deloitte's MDM experience is with large enterprises, although ithas also done some work with midsize and small organizations. The company has MDMpartnerships with IBM, Informatica, Oracle, SAP, and SAS MDM. It also has substantial MDMimplementation experience with Informatica (MDM for Finance, Product, Vendor, Customer, andPIM [Heiler]), Oracle (CDH, PDH, Siebel UCM, Fusion MDM for Customer, and Fusion MDM forProduct), SAP (MDG-C, MDG-M, MDG-F, MDG-V, and NetWeaver MDM), IBM all InfoSphere MDMproducts, Reltio, SAS MDM, and Tibco.

Deloitte has developed tools to prioritize the delivery of MDM solutions, which include a business-value prioritization framework, a customer 360 data management solution framework, MDMprocess models, and MDM data models, as well as an enterprise data-governance framework andan operating model. Deloitte has also developed MDM quality dashboard templates to offer aunified enterprise analytics platform that can support the organization's reporting needs.

Entity

entity.co.uk

Headquarters: Sittingbourne, Kent, U.K.

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Engagement experience: 36% strategy — 64% implementation

Regions: EMEA

Top industries: The public sector, financial services, media/telecommunications, othernonmanufacturing, and retail.

Top data domains: Customer, other party, and asset.

Dedicated MDM full-time equivalents (FTEs): 50

Entity is a specialist consulting firm providing enterprise information management advisory services,and MDM and information governance solutions within the larger set of information managementofferings, including metadata and reference data solutions. While the majority of Entity's MDMconsulting experience is with large enterprises, it has also done some work with midsize and smallorganizations. Entity has formal partnerships with IBM, Informatica, and Semarchy. It has MDMexperience with IBM (InfoSphere MDM Standard Edition, InfoSphere MDM Server, and InfoSphereMDM for PIM), and Informatica MDM (Non-Cloud).

Entity has developed several "single view" products based on IBM Standard Edition for the publicand private sectors (particularly central/local government and financial services/insurance), as wellas a component to mask sensitive citizen data for local government solutions. Entity has alsodeveloped a product that integrates IBM SE with the IBM InfoSphere Global Name Managementproduct to provide search capabilities for individuals of interest across multiple languages.

First San Francisco Partners

firstsanfranciscopartners.com

Headquarters: Oakland, California, U.S.

Engagement experience: 85% strategy — 15% implementation

Regions: North America

Top industries: Financial services, high-tech manufacturing, oil/gas/chemical processes andresource manufacturing, distribution/logistics, other non-manufacturing, and life sciencesmanufacturing.

Top data domains: Customer, product (sell-side), direct material, other party, and others (location).

Dedicated MDM full-time equivalents (FTEs): 3

First San Francisco Partners is a specialist strategy consulting firm concentrating on informationmanagement. The majority of its MDM experience is with large enterprises, but it also has someexperience with midsize firms. It has partnerships with Dell Boomi, Informatica, Oracle, OrchestraNetworks, Reltio, Riversand, and Semarchy. First San Francisco Partners has MDM experience with

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IBM InfoSphere MDM Standard Edition, Informatica (Cloud MDM and MDM [Non-Cloud]), Oracle(PDH and Siebel UCM), and Semarchy.

The company has developed proprietary methodologies for MDM and information governanceassessment, strategy, and agile-based implementation. It also offers a workshop designed to alignan organization around shared goals for MDM and/or information governance.

HCL Technologies

hcltech.com

Headquarters: Noida, India

Engagement experience: 35% strategy — 65% implementation

Regions: North America, EMEA, and Asia/Pacific

Top industries: Industrial discrete manufacturing, consumer goods manufacturing, othermanufacturing, life sciences manufacturing, and media/telecommunications

Top data domains: Customer, product (sell-side), direct material, and supplier

Dedicated MDM full-time equivalents (FTEs): 540

HCL Technologies is a global system integrator (SI) with MDM and information governancepractices housed within its larger set of information management offerings. The majority of its MDMexperience is with large enterprises and it has partnerships with IBM, Informatica, Oracle, SAP, andTibco. It has substantial MDM implementation experience with all IBM InfoSphere MDM products,Informatica (PIM [Heiler], Cloud MDM, and MDM [Non-Cloud]), Oracle (CDH, PDH, Siebel UCM,Fusion MDM for Customer, and Fusion MDM for Product), SAP (MDG-C, MDG-M, and NetWeaverMDM), and Tibco.

It has also developed a data survivorship framework and testing productivity kit for use with OracleSiebel UCM. HCL has a data management center of excellence that is responsible for developingMDM solutions, frameworks and accelerators. HCL also has frameworks for data assessment andinformation model creation, and has created industry agnostic accelerators for automated MDMtesting. HCL has formed a customer solution that provides a holistic view of organizations'customers with integration to social data.

Hub Designs

hubdesigns.com

Headquarters: Massachusetts, U.S.

Engagement experience: 50% strategy — 50% implementation

Regions: North America, and EMEA

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Top industries: High-tech manufacturing, healthcare, media/telecommunications, financialservices, industrial discrete manufacturing, and retail.

Top data domains: Customer, product (sell-side), other party, asset, and supplier

Dedicated MDM full-time equivalents (FTEs): Not available

Hub Designs is a specialist global management and technology consulting firm focused on MDMand information governance. The majority of its MDM experience is with large enterprises, althoughit has also done some work with midsize and small organizations. It has partnerships with IBM,Informatica, Oracle, Orchestra Networks, SAP, and Stibo Systems. It also has MDM experience withAtaccama, IBM InfoSphere MDM Server, Informatica MDM (Non-Cloud), Oracle (CDH and PDH),Orchestra Networks, SAP NetWeaver MDM, Stibo Systems, and VisionWare.

Hub Designs has also developed MDM-specific templates and deliverables for education, currentstate assessment, strategic road map development, software selection, and business casedevelopment for customer/party and product domains, and for the financial services, software/hightech, life sciences, business services and manufacturing industries.

IBM Global Business Services

ibm.com/us/en/

Headquarters: Armonk, New York, U.S.

Engagement experience: 50% strategy — 50% implementation

Regions: North America, EMEA, Asia/Pacific, and Latin America

Top industries: Financial services, oil/gas/chemical process and resource manufacturing, retail,and healthcare.

Top data domains: Customer, product (sell-side), and others (contract)

Dedicated MDM full-time equivalents (FTEs): Not available

IBM Global Business Services is a global SI with an information management practice that includesMDM and information governance. IBM has MDM experience with all IBM InfoSphere MDMproducts, Informatica MDM (cloud and on-premises), all Oracle MDM products, all SAP MDMproducts, and Tibco. It has formal alliances with Oracle and SAP.

The company has also developed MDM assets covering most domains and industries. Theseinclude estimation models, strategic road maps for information governance and data quality, datamapping, tool selection and consolidation, business interview guides, as well as use case testingand validation templates.

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Igate

igate.com

Headquarters: New Jersey, U.S.

Engagement experience: 5% strategy — 95% implementation

Regions: North America, and EMEA

Top industries: Financial services, consumer goods manufacturing, retail, healthcare, and othermanufacturing.

Top data domains: Supplier, customer, other party, product (sell-side), and others (location,securities, and financial instruments).

Dedicated MDM full-time equivalents (FTEs): 128

Igate is a global SI with a dedicated enterprise information management practice specializing inMDM and information governance disciplines. This practice is under the umbrella of its largerbusiness intelligence (BI) and analytics division. The majority of its MDM experience is with largeenterprises. Igate has formal partnerships with IBM, Informatica, Microsoft, Oracle and SAP, andMDM experience with Ataccama, Informatica (Cloud MDM and MDM [Non-Cloud]), Kalido,Microsoft, Oracle (CDH, PDH, Siebel UCM, Supplier Hub, and DRM), SAP (MDG-C, MDG-M, andNetWeaver MDM), Software AG, Talend, Teradata, and Tibco.

Igate has developed industry-specific MDM solutions for banks, global financial institutions andinsurance domains, along with business and technology-focused frameworks for data governanceorganization setup and reference data management. The company has also created utilities andaccelerator packs for vendor tools like Informatica and Oracle MDM suites, and has developedindustry-standard data models for party, customer, product and supplier data domains.

InforData Consulting

infordataconsulting.com

Headquarters: London, U.K.

Engagement experience: 70% strategy — 30% implementation

Regions: EMEA

Top industries: Consumer goods manufacturing, and the public sector

Top data domains: Customer, and other party

Dedicated MDM full-time equivalents (FTEs): 12

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InforData Consulting is an EMEA-based specialist consulting firm concentrating on informationmanagement, including MDM, information governance and data quality. InforData Consultingcurrently has MDM experience with small organizations and significant partnerships and MDMimplementation experience with Informatica and Talend.

The company has developed a data governance charter template that can be adjusted to anycustomer's requirements. The charter includes roles and responsibilities, processes, and metrics. Ithas also been able to devise an MDM framework linking data governance and data quality for thehousing sector.

Infosys

infosys.com

Headquarters: Bangalore, India

Engagement experience: 8% strategy — 92% implementation

Regions: North America, EMEA, Asia/Pacific, and Latin America

Top industries: Retail, industrial discrete manufacturing, high-tech manufacturing, automotivemanufacturing, and other nonmanufacturing,

Top data domains: Product (sell-side), customer, direct material, supplier, and other party.

Dedicated MDM full-time equivalents (FTEs): 1,300

Infosys is a global consulting and system integration service provider catering to informationmanagement including MDM and information governance. The majority of its MDM experience iswith large organizations. It has formal partnerships with IBM, Informatica, Oracle, Riversand, SAP,SAS, Software AG, Stibo Systems, and Tibco. Infosys also has substantial MDM experience withIBM (InfoSphere MDM Advanced Edition, InfoSphere MDM Standard Edition, InfoSphere MDM forPIM, and InfoSphere MDM Server), Informatica MDM (Non-Cloud), Oracle (CDH, PDH, and SiebelUCM), Riversand, SAP (MDG-C, MDG-M, and NetWeaver MDM), Stibo Systems, and Tibco.

With the acquisition of Lodestone, Infosys has augmented its consulting, technology andoutsourcing services that furnish MDM capabilities. Infosys has created several MDM IntellectualProperty(IP) and implementation accelerators in partnership with MDM software vendors, and has amodel and framework to accelerate business value to its clients. Infosys has developed varioustools, templates and accelerator packs across industries, which include a process template forrapid onboarding of items in e-commerce for retailers, and a reference architecture that includes allthe components of MDM capabilities. Its data capture and best practice templates for life sciencesassist in designing data models quickly. Infosys has also developed data quality and workflowmanagement tools with OEMs that help clients realize accelerated business value.

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InfoTrellis

infotrellis.com

Headquarters: Toronto, Ontario, Canada

Engagement experience: 25% strategy — 75% implementation

Regions: North America, EMEA, Asia/Pacific, and Latin America

Top industries: Financial services, life sciences manufacturing, retail, the public sector, healthcare,and high-tech manufacturing.

Top data domains: Customer, product (sell-side), other party, and others (location)

Dedicated MDM full-time equivalents (FTEs): 140

InfoTrellis is a specialist consulting firm concentrating on MDM. The majority of its experience iswith large enterprises, although it has also done some work with midsize firms. It has formalpartnerships with IBM, Riversand, Software AG, and Talend and substantial MDM experience in allof IBM's InfoSphere MDM products (including Reference Data Management [RDM]), Teradata,Tibco, and Trillium.

InfoTrellis has also developed an MDM implementation methodology, as well as products thatmonitor the ongoing quality of hub master data and perform mastering of big data sources. It hasalso developed MDM analytics and MDM testing tools.

Infoverity

infoverity.com

Headquarters: Dublin, Ohio, U.S.

Engagement experience: 15% strategy — 85% implementation

Regions: North America, and EMEA

Top industries: Financial services, life sciences manufacturing, distribution/logistics, retail,healthcare, and consumer goods manufacturing.

Top data domains: Customer, product (sell-side), other party, direct material, and indirect material(MRO).

Dedicated MDM full-time equivalents (FTEs): 31

Infoverity is a specialist consulting firm concentrating on MDM and information governance. Themajority of its MDM experience is with large enterprises and it has partnerships with IBM,Informatica, SAP, and Stibo Systems. It also has significant MDM experience with hybris (a SAPCompany), IBM (InfoSphere MDM Advanced Edition, InfoSphere MDM Enterprise Edition and

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InfoSphere MDM Standard Edition), Informatica (PIM [Heiler], Cloud MDM and MDM [Non Cloud]),Oracle (PDH), Orchestra Networks, and Stibo Systems.

Infoverity has developed industry-centric starter templates for party and product solutions, as wellas framework assets to accelerate MDM solutions' time-to-value and to reduce project risks.Infoverity offers hosting through national providers and managed services for their clients, for MDMand PIM solutions. The company has also developed a cross functional process and integrationdesign framework for mastering, editing and querying master data assets, and a testing frameworkestablished for integration with an agile MDM initiative, or to introduce the benefits of agile designand testing into a traditional waterfall implementation. Other than this Infoverity provides workflowtemplates and accelerators, governance throughput dashboards and libraries of MDM ROIcalculators by business function.

Knowledgent

knowledgent.com

Headquarters: Warren, New Jersey, U.S.

Engagement experience: 60% strategy — 40% implementation

Regions: North America, EMEA, and Asia/Pacific

Top industries: Oil/gas/chemical processes and resource manufacturing, life sciencesmanufacturing, healthcare, financial services, distribution/logistics, media/telecommunications, andretail

Top data domains: Customer, other party, product (sell-side), supplier, direct material, indirectmaterial (MRO), and asset.

Dedicated MDM full-time equivalents (FTEs): 85

Knowledgent is a specialist SI that provides MDM strategy and implementation services under itsbroader portfolio of data foundation modernization services. The majority of its MDM experience iswith large enterprises, although it has also done some work with midsize firms. Knowledgent hasformal partnerships with Informatica, IBM, Kalido, Markit, Reltio, Talend, and Tibco. It also hassignificant MDM experience with IBM (InfoSphere MDM Advanced Edition, InfoSphere MDMStandard Edition, and InfoSphere MDM Server), Informatica (MDM [Non-Cloud] and PIM [Heiler]),Kalido, Orchestra Networks, Riversand, SAP (MDG-C and MDG-M), Semarchy, Talend, Tibco, andTrillium. The company also has significant strategy experience with all Oracle MDM softwaresolutions.

Knowledgent has developed a platform that uses MDM to curate data for Data Lakes. It has alsodeveloped MDM accelerator packs for governance and operations and standard MDM developmenttemplates for IBM and Informatica.

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L&T Infotech

lntinfotech.com

Headquarters: Mumbai, India

Engagement experience: 25% strategy — 75% implementation

Regions: North America, EMEA, and Asia/Pacific

Top industries: Financial services, consumer goods manufacturing, oil/gas/chemical processesand resource manufacturing, automotive manufacturing, media/telecommunications, and othermanufacturing.

Top data domains: Customer, product (sell-side), other party, supplier, and others (location, andchart of accounts).

Dedicated MDM full-time equivalents (FTEs): 9

.L&T Infotech is a global SI with a MDM practice housed within its larger BI and data warehouseoffering. It has MDM experience, mainly with large enterprises. The company has partnerships withIBM, Informatica, Oracle, SAP, and Tibco. It also has experience with Informatica MDM (Non-Cloud), Oracle (CDH, PDH, Siebel UCM, and Fusion MDM for Customer and Product).

L&T Infotech has developed a solution framework to provide data quality and a technology-neutralMDM strategy/development framework with reusable components and customizable solutions. Ithas also developed an in house custom MDM solution with significant implementation experience.

LumenData

lumendata.com

Headquarters: Santa Clara, California, U.S.

Engagement experience: 25% strategy — 75% implementation

Regions: North America, and EMEA

Top industries: Retail, financial services, high-tech manufacturing, automotive manufacturing, andlife sciences manufacturing.

Top data domains: Customer, product (sell-side), other party, and supplier.

Dedicated MDM full-time equivalents (FTEs): 75

LumenData is a specialist consulting firm with a concentration on MDM, data quality and datagovernance. The majority of its MDM experience is with large enterprises, although it has also donesome work with small and midsize firms. The company has partnerships with Informatica, Oracle,and Talend. It also has MDM experience with Informatica MDM (Non- Cloud), and Oracle (CDH,

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PDH, Siebel UCM, Fusion MDM for Customer, Fusion MDM for Product, Site Hub, Supplier Hub,and DRM).

LumenData has developed hub solutions based on Oracle for spend monitoring, B2B solutions andhigher education, as well as solutions to integrate Oracle Customer Hub with Oracle CRM onDemand and Salesforce. It has also developed a predictive analytics solution combining personallyidentifiable information (PII) data in MDM with third-party data to make business predictions forbusiness-to-consumer (B2C) enterprises. It has also built a B2B cross-sell and prospecting solutionbased on Fusion MDM for Customer and other Oracle technologies.

Luxoft

luxoft.com

Headquarters: New York, U.S.

Engagement experience: 100% implementation

Regions: North America, and EMEA

Top industries: Financial services

Top data domains: Customer

Dedicated MDM full-time equivalents (FTEs): 100

Luxoft is an IT services company providing end-to-end data management solutions. Luxoft'soffering is focused on IT systems implementation, IT maintenance and operations, and dataoperations. It has MDM experience with small firms and a formal partnership with significant MDMimplementation experience for Informatica MDM.

The company has developed a custom MDM application and custom code for Informatica MDMHUB functionality for instruments (listed derivatives, index and fixed income), book projects, andlegal entities for banks and financial services.

Tech Mahindra

techmahindra.com

Headquarters: Mumbai, India

Engagement experience: 100% implementation

Regions: North America, EMEA, Asia/Pacific, and Latin America

Top industries: Financial services, oil/gas/chemical process, and resource manufacturing

Top data domains: Asset

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Dedicated MDM full-time equivalents (FTEs): 70

Tech Mahindra is a global SI that has developed a custom MDM and instruments reference datamanagement platform that is housed within a larger set of platform solutions offered by its businessservices group. The majority of its MDM experience is with large enterprises and it has formalalliances with IBM, Informatica, Oracle, and SAP, with significant implementation experience with itscustom-built MDM platform.

The company has also developed custom MDM solutions using Java, Informatica and webMethods(Software AG) and has a lab ecosystem to test MDM solutions, develop proof of concepts (POCs),and a training/supply chain engine that can scale to a client's MDM requirements.

Virtusa

virtusa.com

Headquarters: Westborough, Massachusetts, U.S.

Engagement experience: 25% strategy — 75% implementation

Regions: EMEA, North America, and Asia/Pacific

Top industries: Media/telecommunications, financial services, healthcare, and other non-manufacturing.

Top data domains: Customer, product (sell-side), other party, supplier, asset, and others.

Virtusa is a global SI with MDM and information governance offerings housed under its EIMpractice. The majority of its MDM experience is with large enterprises, although it has donesubstantial work with midsize firms and some MDM engagement with small firms as well. Virtusahas MDM implementation experience with IBM (InfoSphere MDM Enterprise Edition and InfoSphereMDM Standard Edition), Oracle (CDH, PDH, Fusion MDM for Customer, and Fusion MDM forProduct), SAP (MDG-C, MDG-M, and NetWeaver MDM), and Talend. It also has formal allianceswith IBM, Oracle, and Talend.

It has developed MDM and governance assets such as a design methodology to align stakeholdersand accelerate business benefits, a modeling framework for customer data including pre-configuredbusiness rules and a toolkit for modeling complex product portfolios. The company has alsodeveloped assessment methodologies for MDM, information governance and data quality. It is alsodeveloping a customer value management solution for telecom and Banking, Financial services andInstitutions (BFSI) clients which will assist with customer profiling, cross-sell and upsellopportunities and effective customer churn management.

Wipro Technologies

wipro.com

Headquarters: Bangalore, India

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Engagement experience: 53% strategy — 47% implementation

Regions: North America, EMEA, and Asia/Pacific

Top industries: Oil/gas/chemical processes and resource manufacturing, financial services, lifesciences manufacturing, high-tech manufacturing, and media/telecommunications

Top data domains: Customer, other party, supplier, indirect material (MRO), direct material,product (sell-side), and others (site, and location)

Dedicated MDM full-time equivalents (FTEs): 950

Wipro Technologies is a global SI providing MDM and information governance solutions from itsanalytics and information management practice. The majority of its MDM experience is with largeenterprises. Wipro has formal partnerships with Agility (Pindar), IBM, Informatica, Microsoft, Oracle,Orchestra Networks, Pitney Bowes Spectrum MDM, Riversand, SAP (including hybris), SAS,Software AG, Teradata, Tibco, and Winshuttle. It also has substantial MDM experience with all IBMInfoSphere MDM products, Informatica MDM (Non-Cloud), Kalido, Microsoft, Oracle(CDH, PDH,Siebel UCM, Site Hub, Supplier Hub, and DRM), Orchestra Networks, Riversand, all SAP MDMproducts (including hybris), SAS MDM, Teradata, Tibco, and Winshuttle.

Wipro has developed MDM assets for customer and product data for high-tech manufacturers, legalentities for financial services, product data for telecommunications, multidomain for retail, andservices master data for oil and gas, industry neutral solutions for reference data, and the supplierdata domain. Wipro offers frameworks for MDM strategy and blueprinting, MDM tool evaluation,business case development, process analysis, information governance, and managed MDMservices (business process outsourcing). It has patents in MDM reference architecture andinformation management and has set up a MDM leadership council for its customers for sharingindustry best practices and leveraging experiences. The company has also created frameworks tofacilitate MDM for big data and the cloud.

Capabilities Summaries

Figures 1 to 4 represent the capability summary of each MDM ESP listed in the RepresentativeVendors section by Region, Domain, Industry and MDM software product.

For further clarification, refer to the explanation in the Representative Vendors section.

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Figure 1. Region and Data Domain

Source: Gartner (February 2015)

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Figure 2. Industry

Source: Gartner (February 2015)

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Figure 3. Software Product (Part 1)

Source: Gartner (February 2015)

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Figure 4. Software Product (Part 2)

Source: Gartner (February 2015)

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Market RecommendationsMDM is a complex discipline requiring long-term planning and close integration between IT andvarious business units. Moreover, the MDM software market is complex and largely characterizedby specific segments focused on particular master data domains (for example, customer/party,product/thing, location/site or hierarchy).

This means that many clients planning to execute MDM programs have reported gaining significanttraction and momentum by using ESP partners. This is particularly useful in organizationalenvironments constrained by bandwidth or organizational issues, or lacking the appropriateexpertise required to execute a holistic MDM program successfully.

MDM leaders looking to leverage the expertise of ESP firms to kick-start or accelerate their MDMinitiatives should:

■ Use the techniques described in "Best Practices in MDM: How to Evaluate and Engage ExternalService Providers" to effectively partition ESP work and maintain control of the overallengagement.

■ Perform a thorough assessment of their internal MDM capabilities to determine which ESPengagement model is most suitable for their MDM programs from a skills, funding andbandwidth perspective.

■ Evaluate and engage an ESP for MDM based on its experience in their vertical industry andrequired data domains. If direct industry experience is unavailable, consider adjacent industries.

■ Consider an ESP based on its MDM software implementation experience only if their MDMstrategy is complete, or they intend to use an MDM software solution based on other factors,such as an enterprise-level software vendor relationship. This will prevent the software vendor'scapabilities from influencing or affecting their overall MDM strategies.

■ Carefully evaluate their mix of vendor partnerships, domain experience and the number of MDMESP firms that they are willing to engage with for their MDM programs by leveraging thecapability summary tables in the Representative Vendors section.

Gartner Recommended ReadingSome documents may not be available as part of your current Gartner subscription.

"Best Practices in MDM: How to Evaluate and Engage External Service Providers"

"The Seven Building Blocks of MDM: A Framework for Success"

"The Five Vectors of Complexity That Define Your MDM Strategy"

"Magic Quadrant for Master Data Management of Customer Data Solutions"

"Magic Quadrant for Master Data Management of Product Data Solutions"

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"Why You Will Probably Need More Than One Master Data Management Vendor"

"Hype Cycle for Enterprise Information Management, 2014"

"Hype Cycle for Information Infrastructure, 2014"

"A Master Data Management Initiative Needs Effective Program Management"

"Market Definitions and Methodology: IT Services"

Evidence

A dedicated survey was transmitted to 50 ESP firms through regular Gartner interactions withclients, event attendees and software vendors. Additionally, vendor briefings and other structuredsurveys of software vendor references (such as "Magic Quadrant for Master Data Management ofProduct Data Solutions") and Gartner Master Data Management Summit attendees were used.

The companies listed in this research represent the qualified respondent base for this dedicatedsurvey. The survey included data points for revenue, dedicated and aligned FTE counts andexperience by client enterprise revenue segment, vertical industry sector, geographic region, masterdata domain, and MDM software product (indicating formal alliances, as appropriate). Therepresentative vendor table and the capability summary tables have been prepared from the resultsof this dedicated survey, as well as publicly available information (such as from vendors' websites).

Note 1 ESPs

An ESP is a firm that provides consulting and staffing services focused on developing and/orsupporting IT- or operations-based disciplines or processes (such as information governanceand/or MDM) for client organizations. By contrast, business consulting firms generally assist cliententerprises with developing an overall vision of the future state of the organization. This visionencompasses broader topics such as marketing strategy and operational excellence, which may inturn be used to initiate an MDM program.

Note 2 Definitions

For the purpose of this research organizations are defined as follows:

■ Large organizations are those with annual revenue above $1 billion.

■ Midsize organizations are those with annual revenue between $250 million and $1 billion.

■ Small organizations are those with annual revenue below $250 million.

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