Information management systems for business

How PIM and MDM bring order to data, remove duplicates and errors, and speed up sales and procurement.

  • Classes of information management systems
  • PIM: master catalog of product information
  • Who needs PIM
  • PIM platforms and import substitution

Information has become the raw material on which sales, procurement, and production depend. But in many companies there is still no order: the assortment is stored in Excel spreadsheets, prices are in 1C, photos are in the cloud, and descriptions arrive by email. Research has shown that 80% of reference catalogs in CIS enterprises contain errors, which stretches order processing to five days or more.

There are so many duplicates, outdated attributes, and inconsistent barcodes that people spend time clarifying and aligning data, while the business loses money and customers. Clean, centralized data makes processes transparent. Below we will look at the types of information management systems, how they differ, what the market looks like in CIS, and which practical steps can help implement these solutions.

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Classes of information management systems

By "information systems," we mean CRM, ERP, BI, and data management platforms - tools that automate processes and improve how information is handled in B2B eCommerce.

By information management systems, we mean: - PIM (Product Information Management) - product information management systems.

They make it possible to store text descriptions, specifications, photos, and prices, and distribute this content across all channels: online stores, marketplaces, and dealer portals.

Filters and rules make it possible to build assortments for specific partners, reducing the time needed to create catalogs. - MDM/Master Data Management (master data management, master reference information) - solutions that collect, cleanse, standardize, and distribute core master data: products, customers, suppliers, and documents. MDM platforms eliminate duplicates, ensure a unified structure, and pass data to ERP, CRM, warehouse, and other systems.

There are also CRM and ERP, but they address broader tasks, from relationship management to resource planning. PIM and MDM are the "data core": they are responsible for the quality of information passed to all other applications.

PIM: master catalog of product information

- Single source of truth. Moving away from scattered spreadsheets and creating a master catalog makes it possible to remove duplicates and inaccuracies. This reduces returns and makes work easier for customers and managers. - Fast product launch. An example from a pharmacy retail chain shows that after implementing Compo PIM, the time needed to prepare product cards for new items was cut in half, which helped increase order volumes. - Complex catalogs are not a problem. In manufacturing and distribution, a catalog can include hundreds of thousands of products.

With 700,000 SKUs, X-Com used PIM to enable suppliers to add 20,000 items per month, and storefront updates were reduced from two months to one week. - Multichannel sales management. A single content repository makes it possible to automatically update data on Ozon, Wildberries, and your own online store, reducing errors and manual update costs. - Working with supplier content. PIM provides templates and validation tools that let partners upload content directly, which is essential for building your own marketplaces.

Who needs PIM The PIM audience falls into three segments. Large businesses (retail, distribution, manufacturing holdings) with revenue above 500 million rubles need a master catalog, since SKU counts run into the tens of thousands. Mid-sized companies implement PIM to enter marketplaces and develop omnichannel sales. Small businesses usually manage with standard tools, but SaaS models let them get started without major investment.

PIM platforms and import substitution Until 2022, the CIS PIM market was shaped by Western solutions, but sanctions led to their exit and accelerated import substitution. Today, these platforms are the most popular:

PlatformKey FeaturesSources
Compo PIMA CIS-developed solution built on Java, supports on-premises and cloud deployment, is designed for catalogs with more than 500,000 SKUs, and integrates closely with 1C and marketplaces.Domestic vendor
BrandquadA cloud-oriented solution with PIM, DAM, and analytics; suitable for large corporations and available exclusively as SaaS.CIS-French company
Catalog.appOpen-source code in C#, integrations with 1C-Bitrix and marketplaces, and the ability to deploy on your own servers.On-premises project
MarketProviderA SaaS platform for product management that integrates with 1C and popular marketplaces, but does not support on-premises installation.CIS service
PimcoreA modular open source platform that combines PIM, MDM, DAM, and DXP; it requires skilled integrators, but can be deployed on your own servers.International solution
AkeneoA specialized PHP-based PIM offers a free Community Edition and a cloud Enterprise Edition.French vendor

PIM market trends and challenges Demand for PIM in CIS is growing. Search traffic increased tenfold in six months, driven by marketplaces and companies' desire to control content.

However, there are obstacles: - Insufficient awareness. Executives often underestimate the impact of data quality and postpone the project until serious problems arise. - Need for data cleansing. Before implementation, information from ERP, Excel, and external sources must be collected and normalized, otherwise the system will only move chaos to a new place. - Integration challenges. For data exchange with ERP, WMS and marketplaces, connectors and experienced developers are needed. - High costs. Projects require investment and skilled specialists; for large businesses this is justified, but smaller companies sometimes choose simpler tools. - Staff shortage. PIM specialists are scarce on the market, which raises implementation costs and training timelines.

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MDM: managing core reference data

Master data refers to standard information about products, customers, partners, documents, and materials. MDM systems collect data from different sources, remove duplicates, normalize the structure, and ensure identical records in ERP, CRM, and other applications. As a result, operational, managerial, and strategic decisions are made based on a single source of truth. Employees find the information they need faster, management receives accurate reports, and owners see a transparent view of the business.

The CIS market and trends

Demand for MDM solutions is growing by at least by 20% per year. The reasons are companies moving to a data-centric architecture, abandoning foreign systems, and the rapid growth of cloud services.

Current trends: - Low/no-code. The platforms let you configure processes without coding, which reduces time and dependence on IT staff. - Integration with external reference catalogs. Vendors offer connectors to government registers and commercial databases to automate attribute loading. - SaaS and import independence. The subscription model lowers the entry barrier, while the absence of foreign vendors spurs the growth of domestic products.

Among local players, 1C solutions are usually named as the most prominent providers. These products are designed for large and mid-sized businesses, offer on-premises and cloud deployment, and support integration with existing systems.

Benefits of MDM

- Less time and fewer errors. A centralized reference directory speeds up operations and eliminates duplicates.

In one case, order processing time dropped from five days to a few hours after master data implementation. - Budget and margin control. Management receives accurate reports and can respond to market changes faster. - Eliminating losses. A manufacturing company that lost 10% of revenue due to inconsistent data reduced costs by 15% after implementing a single reference catalog. - Fast payback. Most projects pay off within 1-3 years. - Flexible process configuration. 1C:MDM illustrates this: the platform supports centralized storage, automates handling of change requests, and provides tools for classifying and visualizing data.

The ETL subsystem makes it possible to load data from any source and transform it. Users can build universal reference catalogs and describe material properties, while integrations via ESB, web services, and OData enable data exchange with other systems.

MDM challenges and risks

- User resistance. A lack of data-driven culture and the habit of using personal spreadsheets create barriers to implementation. - Compatibility with existing systems. A new MDM platform may require changes in ERP and CRM.

That is why it is important to run a pilot first and make sure the solution is compatible. - Preliminary data cleansing. Duplicates must be removed and missing attributes filled in before loading into the system, otherwise the impact will be limited. - Project cost. Implementation and training take time and resources, which sometimes delays the launch.

PIM vs MDM: when to use which

PIM and MDM complement each other, but serve different functions. PIM is a master catalog of product data that stores marketing content and feeds it to all channels. MDM is the core of the main reference data, covering not only products but also customers, suppliers, materials, and documents. In large holdings, MDM creates a single data landscape, while PIM is added as a module for detailed product content.

For an online store, PIM may be the first step, but as the company grows, MDM will also be needed to eliminate chaos in counterparties and documents.

Practical implementation recommendations

1. Conduct a data audit. Make a list of reference directories, assess data quality and the volume of duplicates. Data preparation is the most important step, and the success of the project depends on it. 2. Define requirements. Determine which functions you need: assortment management for marketplaces (PIM), consolidation of customer and supplier data (MDM), or both.

3. Choose a platform. For large companies with high security requirements, on-premises products (Compo PIM, 1C:MDM, Harmony MDM) and customizable projects are a better fit. Mid-sized businesses can start with SaaS solutions to lower the entry barrier. 4. Start with a pilot project. Implement the system in one part of the business, such as a single product category or department. A pilot will let you test processes, identify integration issues, and assess the real value.

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5. Assign data owners. Assign responsible employees to monitor the quality and relevance of reference data. This will reduce risks and speed up request handling. 6. Train staff. Provide training and create instructions so employees know how to work with the new system correctly. Update procedures and hold regular training sessions.

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7. Track results and ROI. Measure the benefits: shorter order processing times, fewer errors, lower inventory costs, and higher sales. Real-world cases show that such projects pay back in 1 to 3 years. To avoid getting lost in the noise, companies need to assess their data today, choose the right system, and implement it step by step. Organized information makes it possible to serve customers faster, cut costs, and grow steadily even in unstable conditions.

Frequently asked questions

How does PIM differ from MDM? PIM - stores and distributes product content: names, specifications, photos, prices, descriptions to sales channels. MDM - maintains core master data: products, customers, suppliers, documents. Summary: PIM is about product cards and their quality, while MDM is about unified data across all systems. When should PIM be implemented? - Item master of around 10-20 thousand items. - Launching on marketplaces and omnichannel. - Many suppliers and different file formats. - Need to launch new items faster and reduce returns caused by description errors.

Which platforms are available in CIS? - PIM: Compo PIM, Brandquad, Catalog.app, MarketProvider, as well as Pimcore and Akeneo (often deployed on their own servers). - MDM/NSI: 1C:MDM, Harmony MDM, and other on-premises solutions. The choice depends on catalog size, security requirements, integrations, and budget.

How long does MDM implementation take? - Data audit and requirements specification: 3-6 weeks. - Pilot on one reference catalog: 6-12 weeks. - Phased rollout: 4-9 months. Main timeline factors: the quality of source data and the number of integrations (ERP/CRM/WMS/BI). What is the ROI of PIM/MDM?

Payback usually 1-3 years through: - fewer errors and duplicates; - faster order processing; - quicker launch of new products; - lower costs for manual corrections and warehousing. Metrics: time-to-market, card completeness, share of duplicates/errors, order processing speed, content-related returns, operating costs.

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