Amazon’s Data Management Brain

Amazon’s Data Management Brain

Jan 19, 2011 by in Data Governance, Data Quality, Master Data Management

Last year, I ran a three-part series about holistic data management, which used a brain metaphor to compare and contrast operational and analytical data management as two half-brains designed to work together as an integrated and complete data management brain.

In Part 1, I discussed operational data management, which focuses on upstream systems where data is created by the business and technical processes that support daily activities.

In Part 2, I discussed analytical information management, which focuses on downstream systems where data is used to make the business decisions that drive tactical and strategic initiatives.

In Part 3, the series concluded by discussing the need for a holistic approach that synchronizes operational data management and analytical information management.

The Data Management Brain

Holistic Data Management

To download this diagram, click on it, or click on the following link: Holistic Data Management

Amazon’s Data Management Brain

After receiving some well-deserved constructive criticism for using such an overcomplicated analogy, in this blog post I want to share a more straightforward analogy for holistic data management using an example most of us can easily relate to — buying a book on Amazon.com:

You are buying the book The Practitioner’s Guide to Data Quality Improvement by David Loshin.

You are interacting with Amazon’s operational data management system, which provides product master data about the book and requires you to enter accurate billing and shipping details so your online sales transaction can be authorized and your purchase can be delivered to you.

You are also interacting with Amazon’s analytical information management system, which based on its analysis of previous sales transactions, makes recommendations of other books you might like by informing you that customers who bought David’s book also bought The Data Asset by Tony Fisher, Customer Data Integration by Jill Dyché and Evan Levy, The Next Wave of Technologies by Phil Simon, and Master Data Management in Practice by Dalton Cervo and Mark Allen.

Amazon is using its complete data management brain, combining operations and analytics, managing its data as a corporate asset, and enabling optimal business performance and an enhanced customer experience.

Is your organization using its complete data management brain?

If you’re looking for more great books about data management, check out the 2011 reading list of David Pratt (aka the Data Management Wonk): data management books.

Tags: , , ,

6 Responses to “Amazon’s Data Management Brain”

  1. Phil Simon

    Jan 19, 2011

    Good post, Jim. I have seen very few organizations capable of managing all three pillars. In fact, the analytics are often separate and apart from the transactional data. I have never understood this. Many organizations are using only one part of their brains–and even those aren’t being optimized.

    Reply to this comment

  2. Gordon Hamilton

    Jan 19, 2011

    Excellent point. Whole brain thinking is hard enough as an individual so it is no wonder organizations tend to think with the operational side to the exclusion of those niggling insights. Now, I wonder if we could push the analogy a little further to talk of enterprises that use just their “reptilian brain”.

    Ugly analogy I know, but I’m thinking about organizations that do not use any data well, whether operational or post-processing analytics, and instead rely on their visceral intuition. The reptilian brain doesn’t get a lot of good press, but I believe as species the crocodiles and alligators are amongst the oldest on earth.

    The reptilian orgs, may not be self identifying but might be the real survivors. :)

    Reply to this comment

    • Jim Harris

      Jan 20, 2011

      Thanks for your great comment, Gordon.

      I see The Reptilian Anti-Data Brain as a follow-up blog post in the near future.

      Thanks for the inspiration. I will make sure that even the crocodiles and alligators know that I got my insights from your data-based comment :-)

      Best Regards,

      Jim

      Reply to this comment

      • Gordon Hamilton

        Jan 20, 2011

        Yes, Reptilian did seem to be diverging madly from your topic but I couldn’t resist. Glad you liked it.

        You’re always scrupulous with your references Jim, probably one of the reasons your bloggings garner so many comments.

        Thanks for providing such great topics and perspectives!

        Reply to this comment

  3. Ken O'Connor

    Jan 19, 2011

    Jim,

    I like the analogy, and I love the practical example you found to illustrate it perfectly.

    Well done, Ken

    Reply to this comment

  4. Jim Harris

    Jan 19, 2011

    Thanks for your comments, Phil and Ken.

    @Phil – Yes, I have also witnessed the bizarre, but common, phenomenon where operations and analytics are managed separately. It is a myth that people only use 10% of their brain, but most organizations might actually be using only 10% of their data management brain :-)

    @Ken – It was part practical example, part shameless plug for my friends’ books :-)

    Best Regards,

    Jim

    Reply to this comment

Leave a Reply