SAP Master Data Governance
SAP Master Data Governance
Public
Disclaimer
The information in this presentation is confidential and proprietary to SAP and may not be disclosed without the permission of SAP.
Except for your obligation to protect confidential information, this presentation is not subject to your license agreement or any other service
or subscription agreement with SAP. SAP has no obligation to pursue any course of business outlined in this presentation or any related
document, or to develop or release any functionality mentioned therein.
This presentation, or any related document and SAP's strategy and possible future developments, products and or platforms directions and
functionality are all subject to change and may be changed by SAP at any time for any reason without notice. The information in this
presentation is not a commitment, promise or legal obligation to deliver any material, code or functionality. This presentation is provided
without a warranty of any kind, either express or implied, including but not limited to, the implied warranties of merchantab ility, fitness for a
particular purpose, or non-infringement. This presentation is for informational purposes and may not be incorporated into a contract. SAP
assumes no responsibility for errors or omissions in this presentation, except if such damages were caused by SAP’s intention al or gross
negligence.
All forward-looking statements are subject to various risks and uncertainties that could cause actual results to differ materially from
expectations. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of their dates,
and they should not be relied upon in making purchasing decisions.
Public 2
Agenda
01 04
Federation in a nutshell Application Data Owner
A short introduction to the topic Everything you need to know about
“Federation” Application Data Owners.
02 05
Implementing Federation - Overview Other Applications
An overview of the main implementation How to integrate Other Applications within
steps Federation
03 06
Core Data Owner Processes Templates & Workflows
Everything you need to know about the SAPs rich out-of-the-box content for MDG
Core Data Owner process templates and workflows
Public 3
Federation in a nutshell
MDG Federation – Key Concept(s)
Federation
Definition of Master Data Ownership, centrally and easy within SAP Master Data Integration (MDI).
In this way, master data can be maintained by any application system while all relevant data owners are asked for approving their data.
Public 5
Federation of master data governance
Setting the right level of centralization and harmonization for effective master data management
Comprehensive Data Management offers end- Maximizing Value for Existing* MDG Customers, MDG offers Maximizing Value for New MDG Customers, Implementing
to-end master data management, incremental investment security through federated landscape upgrades, MDG components step-by-step, and helping customers to
implementation for new customers, investment installation of MDG components with low effort, and a focus on transition to the cloud. Low entry barrier by starting with
security for existing hub users, and cost-efficient minimizing Total Cost of Ownership (TCO), ensuring maximum governance of core master data on one central system.
cloud transitions. value. Continue with the current governance scope on existing Increase governance scope step-by-step e.g. per unit, LOB’s
MDG. Add (additional) units, LOB’s or countries in the federated or country without the need to harmonize all application-
model without the need to harmonize all application-specific master specific master data on one central master data hub
data on one central master data hub
Public 7
* Existing MDG on ECC customers need to move to MDG on S/4HANA to benefit from Federation
Federation with MDG on S/4HANA as Core Data Owner
Create Customer in SAP Sales Cloud: Landscape (example)
Trigger for Creation/Change Core Data Owner Application Data Owner, Other Applications
e.g. by region
ECC
System Landscape
or Business Suite
US
EU
…
SAP Sales Cloud
Europe
US
Replicate to
Replicate to Create / Merge Replicate to
Create customer application Correct data
MDG BP
data owners
core data owner
Overall Process
Receive and
Receive and Create BP
Change BP
Public 8
Implementing Federation
Overview
Main Implementation Steps - Federation
1. 2. 3. 4.
Choose Core Data Owner (CDO) Choose Application Data Owner (ADO) Choose Other Applications Choose Processes and Workflows
Choose the CDO, which controls and Choose the ADOs to maintain and validate Choose Additional Applications from the system Various Process and Workflow templates are delivered
orchestrates the federation processes. application specific data landscape, involved in business processes out of the box for best-practise federation scenarios.
MDG on S/4HANA as core data owner Data Owners can be separated e.g. by Each application, even if not a CDO nor Process Templates for CDO and ADOs
ADO, can initiate a master data request.
▪ Preferrable for existing MDG on S/4HANA ▪ LOBs (Sales, Procurement, Finance, …) ▪ Manual processes
customers ▪ Business Units (Unit 1, Unit 2, …) ▪ Maximum flexibility to model federation Manual interaction by user required for each
▪ Usage of existing integration possible ▪ Regions (Americas, Europe, Asia Pacific, …) scenarios step
▪ Core data and application data like e.g., ▪ It can be used to be built on different User is informed via workflow task
Financials or Procurement data can be Furthermore, “Ownership” can be defined: landscapes, which secures investments ▪ Automated processes
owned in MDG on S/4HANA done Automatic execution of all steps
▪ Based on Field-Groups Manual interaction by user in exceptional
MDG, cloud edition as core data owner* ▪ For selected Field Groups based on various Other applications will delegate creations cases only (e.g. ambiguous address, open
filters e.g. per Sales Organization, and changes to the CDO. match group, erroneous data)
▪ Preferrable for new MDG customers and Purchasing Organization, Company Code User is informed via workflow task
existing MDG, cloud edition customers ▪ Validated data will be sent back by the
▪ SaaS solution with lower costs CDO Workflow Templates
▪ Integration via MDI and SOAP ▪ Incoming matches from CDO will be
▪ Only core data can be owned in MDG, merged or duplicates will be processed (if ▪ Approval
cloud edition merge is not possible). ▪ Rework
▪ Review
Core
Core
… or
SAP Sales Cloud or SAP Master Data Governance, cloud
SAP Master Data Governance, cloud
edition
edition Other Applications (OA)
MDG1
MDG1
MDG3 MDG5
The customer starts with managing his core data only Build MDG for Financial Data and Procurement Data:
Example separate S/4HANA systems for:
▪ Implement MDG1 on S/4HANA or MDG, ce ▪ Implement MDG2 and define ownership for Financial Data
Financials, Procurement and
▪ Build up the data integration via MDG on S/4HANA or MDG, ce ▪ Implement MDG3 and define ownership for Procurement Data
Sales
▪ Define MDG on S/4HANA as core data owner Build MDG for each Sales Channel:
▪ Business Unit 1
At this point, you have the same situation as in a centrally managed ▪ Implement MDG4 and define ownership for Sales BU1
▪ Business Unit 2 landscape. The main difference will come when additional data owners
come into play. ▪ Implement MDG5 and define ownership for Sales BU2
Now the federation process can be performed.
Public 11
Implementing Federation – Overview of Transformation Steps continued
Transformation Overview – SAP Master Data Governance on SAP S/4HANA as Core Data Owner
Existing Customer System Landscape Transformation Step 1: Centrally Managed Landscape Transformation Step 2: Federated Landscape
CDO for core, financial and procurement data ADO(s) for sales of Business Unit 1,2
MDG2
• Core Data
• Financials • Financials • Core Data
• Procurement … • Procurement … • Financials
SAP Sales Cloud SAP Sales Cloud
• Procurement …
SAP Sales Cloud
MDG3
Example separate S/4HANA systems for: Customer starts with managing his core data together with Build MDG for each Sales Channel:
financial and procurement data.
Financials / Procurement and ▪ Implement MDG2 and define ownership for Sales BU1
▪ Implement MDG1 on S/4HANA
Sales ▪ Implement MDG3 and define ownership for Sales BU2
▪ Build up the data integration via MDG on S/4HANA
▪ Business Unit 1 Now the federation process can be performed.
▪ Define MDG on S/4HANA as core data owner and owner for
▪ Business Unit 2 financial and procurement data
At this point you have the same situation as in a centrally managed
landscape. The main difference will come when additional data
owners come into play.
Public 12
Implementing Federation
Core Data Owner
Implementing Federation – Core Data Owner (CDO)
Transformation Overview
Existing Customer System Landscape Transformation Step 1: Centrally Managed Landscape Transformation Step 2: Federated Landscape
Definition of Core Data Owner Definition of Application Data Owner and Other
Applications
MDG S/4HANA or MDG, ce
MDG S/4HANA
Public 14
Implementing Federation – Core Data Owner (CDO)
Details of the CDO within the Federation what are the main characteristics?
Characteristics of the Core Data Owner (CDO) Two options of choosing the Core Data Owner (CDO). What is equal or different?
There can only be one core data owner in the system landscape.
When MDG, cloud edition is in the system landscape, MDG on S/4HANA can assume the role of core
it automatically assumes the role of core data owner. data owner for…
During the Federation process, the core data owner will inform every
additional data owner to check and enhance their data. Core data only (general information, addresses, roles, … Core data + procurement, sales and financial
identification, bank accounts etc.) data
The core data owner is the only system that can decide on the Application Data Owners can be connected via Application Data Owners can be connected via
matching of records, since the matching is based on core data SOAP integration. SOAP integration.
such as name, address and Tax / ID-numbers. Systems only consuming data from core data owner Systems only consuming data from core data
can be integrated either via SOAP or MDI. owner can be integrated either via SOAP or MDI
SOAP REST or RFC/IDOC
The core data owner ends the process after receiving all approvals
SOAP REST RFC / IDOC
from the application data owners and then starts distribution to all
connected systems.
Public Cloud On-Premise, Private Cloud
The core data owner will be configured within the Ownership
definition (more details see in the section “Application Data Owner”)
Similar process flows for federation with SAP MDG on S/4HANA and SAP MDG, cloud edition as core
Ownership Definition data owner.
Public 16
Implementing Federation – Core Data Owner (CDO)
Choosing the best option is easy, as Federation offers flexibility. Some indicators to consider…
Customers who are looking for a step-by-step entry into master data Customers who have already implemented SAP MDG on S/4HANA and
management by first focusing on the core master data and then want to enhance their governance scope by further application-specific data
gradually adding application systems in order to place further application via federation.
data under governance. (low entry barrier)
Customers with S/4HANA focus in their landscape, e.g. to first clean their
Customers who are seeking a faster time to value by deploying a SaaS ERP data and only want to add other application systems in a federated
solution for the governance of core data. landscape later.
Customers which wants to harmonize more as the core data in the MDG
Customers who has a more decentralized approach and wants to system, which owns the core data. With MDG on S/4HANA it is possible to
harmonize as less as needed. harmonize also application data, when it makes sense from a business point
of view.
Public 19
Implementing Federation – Application Data Owner (ADO)
Details of the ADO within the Federation what are the main characteristics, and what does Ownership within
Federation mean?
Characteristics of the Application What does Ownership mean within Federation?
Data Owner (ADO)
Core Data Ow ner (CDO) Application Data Ow ner (ADO)
There can be several application data owners in For some master data attributes, it makes more sense to verify and check them where the business context is available. For
the system landscape. many application-specific data, this is not the central master data system.
During the Federation process, all data owners To configure this, define the ownership according to your system landscape, for example, as follows:
will be informed by the core data owner to be
able to check and enhance their data.
SAP Master Data Governance on
▪ Master Data System is the owner of the core data
The application data owners process incoming
Financials Sales Business
Unit 1 ▪ Procurement System is the owner of the
matches from the core data owner and decide ADO ADO
purchasing data
on merging their owned data under the best ▪ Financial System is the owner of the financial data
record. ▪ Sales System BU1 owns the data of sales
SAP Master Data Governance on organization 1
The application data owners replicate their
Core
▪ Sales System BU2 owns the data of sales
changes of their owned data back to the core organization 2
data owner. CDO
Separate ownership per business unit / region Separate ownership per business unit / region
1 2
Procurement data on same system Procurement data on separate system
ADO ADO
• Core
• Financials
SAP Master Data Governance on
SAP Master Data Governance on SAP Master Data Governance on
• Core
CDO
• Financials S/4 data BU 3 S/4 data BU 3
• Procurement
ADO ADO
CDO
SAP Master Data Governance on SAP Master Data Governance on SAP Master Data Governance on
Public 21
Implementing Federation – Application Data Owner (ADO)
Core, Financials data managed centrally
3 Separate ownership per business unit / region 4 Separate ownership per line of business (LoB)
ADO ADO
SAP Master Data Governance on SAP Master Data Governance on SAP Master Data Governance on
S/4 data BU 4
S/4 data all LoB
Sales,
Sales
Procurement
ADO ADO
Public 22
Implementing Federation – Application Data Owner (ADO)
Core data managed centrally
5 Separate ownership per business unit / region 6 Separate ownership per line of business (LoB)
ADO ADO
ADO ADO
Public 23
Implementing Federation – Application Data Owner (ADO)
Core data & selected Business Units managed centrally
S/4 data BU 3
- Sales
- Procurement
- Financials
ADO
SAP Master Data Governance on
• Core
• S/4 data BU 1,2
- Sales
- Procurement
- Financials
ADO
Public 24
Implementing Federation – Application Data Owner (ADO)
Defining Ownership within Federation – Details
Application Data Ow ner (ADO) Core Data Ow ner (CDO) Sales Areas
US01 MX01
Receiv e and
When defining ownership on a hierarchical structure, the Activ ate BP
Public 25
Implementing Federation – Application Data Owner (ADO)
What you need to configure?
Public 26
Implementing Federation
Other Applications
Implementing Federation – Other Applications
Transformation Overview
Existing Customer System Landscape Transformation Step 1: Centrally Managed Landscape Transformation Step 2: Federated Landscape
Definition of Core Data Owner Definition of Application Data Owner and Other
Applications
MDG S/4HANA or MDG, ce
MDG S/4HANA
Public 28
Implementing Federation – Other Applications
Connecting Other Applications like Ariba, Sales Cloud etc. to federation processes
Other Applications Core Data Ow ner (CDO) Application Data Ow ner (ADO)
…
SAP Sales Cloud
The maintenance of master data can also be started by other
applications (neither core data owner nor application data
Sales Business Unit 1
owner).
Sys2
The other applications replicate their creation / changes to the SAP Master Data Governance on
core data owner. SAP Sales Cloud
Core Data
parallel (if merge is not possible). …and the connected high-level process.
Receive and
Change BP
Public 29
Implementing Federation – Other Applications
What you need to configure?
Public 30
Choose Process Templates and Workflows
Implementing Federation – Process Templates
MDG Process Templates are controlling the federation process – SAP delivers rich predefined content…
Public 32
Implementing Federation – Process Templates
What you need to configure?
Public 33
Implementing Federation – Workflow Templates
MDG Workflow Templates are controlling the user involvement – SAP delivers rich predefined content…
▪ MDG Cloud: Approval with Rework: This workflow is used for both single request and mass
request processes, focusing on business partner data management, including display, creation,
editing, and mass changes.
Approval: Approve BP creations and changes. ▪ MDG Cloud: Basic Approval: This simplified workflow version of MDG Cloud: Approval with
Rework does not include the rework step and is not tied to a specific process template.
▪ MDG Cloud: Rework: This workflow comes into play during inbound processes when validation
Rework: Send back to creator of a process to rework
detects erroneous records, primarily during the initial load of business partner core data from SAP
BP details
S4/HANA.
▪ MDG Cloud: Confirm Match Groups: This workflow is employed within inbound processes to
review open match groups, supporting the process of matching and merging business partner core
Review: Review automated step results, like match groups data from external systems.
etc.
Public 34
Implementing Federation – Processes and Workflows
Bring it together: Create BP in any application, a detailed Process Flow
Public 35
Implementing Federation – Processes and Workflows
Bring it together: Create BP in any application (manual), a detailed Process Flow
Public 36
Roadmap
All MDG Deployments are Evolving in Line with Our Overall Strategy
Public 38
Appendix
Used Abbreviations
S/4HANA Cloud for MDG S/4HANA Cloud for SAP Master Data Governance
MDG Core data owner SAP Master Data Governance system in the role of the core
data owner
MDG Application data owner SAP Master Data Governance system in the role of the
application data owner
© 2023 SAP SE or an SAP affiliate company. All rights reserved. See Legal Notice on www.sap.com/legal-notice for use terms, disclaimers, disclosures, or restrictions related to this material.