Are you torn between the choice of using a PIM or MDM solution for your business? Well, both management solutions are excellent ways to organize crucial company data. The tricky thing about both MDM and PIM solutions is the similarity in the value they offer. But regardless of their strong tie and likeness, the question of choice between MDM vs. PIM always still occurs in business decision narratives because they are not perfect substitutes in the world of data management. Find out which of both solutions is right for you? But before then, let’s get into the meaning of both terms, at least before we get into the PIM vs. MDM discussion.
What is MDM?
MDM, meaning Master Data Management is nothing but an IT-led method of managing accurate source data about clients, employees, stock, cost, and a list of other pertinent measures of growth in a company. Master data is crucial for portraying consistency and uniformity in company data. It covers details about customer segmentation, product categorization and pricing, growth trends, customer detail, staff strength, employee payroll, and other detail.
An error in the entries made in the master data of a business always has far-reaching effects on the company performance and KPI. This fact is the more reason businesses engage Master Data management software and teams to ensure the consistency of the data with which they formulate company policies and make weighty decisions.
What is PIM
PIM means Product Information Management in full stretch. The PIM is the management of a type of Master Data- the Product master data. PIM is also an MDM, and it focuses on aiding merchandising and marketing. The management of the product master data is for saving, updating, and monitoring information about the product or services that a company provides. The Product master data contains information about the different sizes, packages, and varieties of the goods or services produced in a company. Product information management is hence the data management solution that is useful in the analysis and control of product details.
Customer master data
The customer master data is the centralized document that contains all the details about customers. Having the Customer master data gives entrepreneurs or business administrators a better view of their market share and can help tailor their next big marketing move.
Unlike other MDMs, the PIM can analyze more data. It has grown to involve more than the regular MDM does. PIM even controls the back-end of a business, to make sure that each product assumes a uniform image and perception throughout the company.
The Contest- PIM vs. MDM
Both data management solutions attack the same problem, just that they both operate different scopes. Their use depends on a couple of factors like the ones listed below:
The centralization of product information or concentration of company information.
The motive behind your decision to take up a data management solution will determine which of both solutions you’ll adopt. If it is the case that your company intends to go all out with data management to be able to keep track of all crucial business data, then product Information management will not suffice. Your best bet is Master Data management. But in a case where your data management adventure gears towards helping you improve the metrics that determine the quality of your products, then this is still within the ambit of product Information management. So there is no point going overboard with an overall MDM system.
An improved Marketing strategy or investment in overall operational productivity?
Product information management is instrumental to the viability of your next marketing plan and strategy. Get your product into the right niche within the market with PIM and strategically position your brand with investment in brand perception with MDM.
Needless to say that if you are running a tight budget for the management of your business data, then product Information management is your available option. It is a wise move to invest in PMI first, get dividends of your investment in the form of increased turnover rate, brand awareness, and customer engagement before going on the full-stretched Master Data Management. For a cost-effective, scale-developing data management solution, PIM is your go-to.
Although PIM focuses on products, it employs more extensive methods in data management. But for a multi-leveled, centralized data management course, MDM is your plug.