Customer Data Quality Management – Part 1

Customer Data Quality Management – Part 1

Poor data quality apparently costs American businesses six hundred billion dollars every year, according to the Data Warehousing Institute . This is an enormous waste of resources, and it can be controlled and minimized.

Customer Data Quality (CDQ) Management is the management of everything relating to customer data, particularly within CRM systems. New companies do not have the problems associated with legacy data, and the multitude of ways that this data may have been classified in the past, but they still need to be proactive in how they look after their data now. This will ensure they do not run into expensive problems in the future.



A comprehensive CDQ management program is the key to ensuring accurate customer information throughout the enterprise. The components of a CDQ program include data conversion and cleansing, continuous data quality maintenance and the sharing of updates throughout the enterprise.

Why does CRM ever fail?

CRM’s fail most often due to an organization’s failure to address the most essential component of the initiative, which is accurate customer information.
According to a recent Gartner Group report, bad data is the number one reason that CRM projects fail. Poor data quality compromises the organization’s total CRM investment and it undermines the organization’s relationships with customers.

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Organizations must develop a comprehensive customer data quality (CDQ) management program designed to ensure that not only is basic contact information up to date but that more complex and, non-intuitive customer relationships are identified and represented in the CRM application.

Establishing a CDQ management program for your CRM

Best practitioners of CDQ combine vision, technology, culture and business rules to cultivate more intimate and relevant relationships with their customers.

Establishing a successful CDQ program requires more than just applying the right data quality software to the problem. It is important that organizations first identify and resolve any business or cultural issues creating problems for customer information management. Prioritizing the objectives to be achieved with the CDQ program is the next order of business.

When those matters have been adequately addressed, an organization can confidently start the implementation of a CDQ program, which is comprised of the following four components:

  • Discovery & Analysis
  • Data Conversion & Cleansing
  • Data Quality Maintenance
  • CDQ in Enterprise-wide CRM

Part two will be focusing on the four components of CDQ

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