Business organizations have realized that their data contains the key to unlock their true potential. However, they need a well-defined strategy to manage their information elements to convert them into assets. Critical information must be governed and organized in such a manner that there exists a single source of truth for the enterprise. Master data management helps achieve this objective and ensures that all the vital elements always remain consistent. Various technological solutions can be used to implement your enterprise data strategy. In recent days, it has been seen that more and more businesses are gravitating towards third-party solutions. Another trend has also emerged that involves the usage of open-source platforms for the purpose. In this post, we are discussing the reasons why using such frameworks will be beneficial for businesses.

1. Cost-effective Solutions For Businesses

Data management, if conducted in an unplanned manner, can cause significant financial damage to an organization. Moreover, the constant increase in the flow of information means that organizations have to increase their capabilities accordingly. This means that businesses have to make significant financial investments regularly to keep their systems aligned to the new requirements. When they use an open-source platform, then the cost automatically comes down to a large extent. Since they do not need to pay any money for using the infrastructure, businesses do not have to worry about regular investments. The only monetary investment they need to make is for acquiring the relevant human resources and implementing the program. This helps in minimizing operational costs, as well. 

2. Flexible Platforms Facilitate Easy Scalability

As mentioned in the above point, the organic nature of data means that the corresponding system also needs to be scaled up. This is one of the most significant pain point s for organizations that have implemented a data management strategy. Many entrepreneurs do not consider this fact during the outset, and this causes them to lose time and many in making the necessary changes afterward. Open-source solutions are flexible and built for the changing requirements of the users. The clients do not have to make any physical changes on their end. They only need to report their new elements to the service provider, and the agency will alter the infrastructure assigned to them accordingly.

3. Benefit Of Accessing The Latest Technology

One of the biggest reasons enterprises must use open-source platforms for their master data management programs is that they get access to the latest technology. The service providers ensure that the state of the art technology is used in creating the infrastructure. Since the core of the framework is easily accessible to anyone, such platforms are enriched by the contributions of numerous third-party entities. Independent experts and even some business entities add new capabilities to the framework to fulfill their unique requirements. This, in turn, helps other users get access to a range of different custom-0made solutions.  

4. Improves The Efficiency Of The Organization

Using a non-proprietary solution can have a positive impact on the efficiency of an organization. When a business invests in a paid product, then it is tied in with that system for the duration of the license period. In case the platform does not prove to be effective, and the enterprise will lose money. There are no such issues in using a freely-available product. There is no specified license period, and the user is also not tied to detailed service providers. Large enterprises can hire their team to customize the solution according to their requirements. This means that they will be able to conduct the processes in a faster and better manner, which in turn will improve their efficiency.

5. Universally Accessible Cloud-based System

Another reason for using an open-source product is that it eliminates the need for creating an extensive on-site storage infrastructure. All the data can be stored in the cloud that can be accessed at any time by authorized users. There are no issues like downtime that can make the elements inaccessible to the relevant stakeholders. This means that the program continually runs in an optimized state where data is readily available across the enterprise. 

6. Open-source Systems Are Secure

Contrary to popular belief, open-source platforms are secure to store and manage data. People feel that their freely-accessible character makes them prone to security hazards. The opposite is exact, as multiple users have a stake in the safety of the platform. These third-party entities, along with the core team, ensure that the framework receives regular upgrades and has the necessary features for blocking attacks. They keep track of all the latest vulnerabilities and make sure that they are resolved at the earliest. 

Conclusion 

Master data management is a critical exercise that can affect all data-related activities of an enterprise. Using open-source products to run the initiative helps organizations in saving money and ensuring that the initiative remains productive.