6 Essential Parts Of Data Governance Charter And Best Example Of It

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Data governance charter –  When attempting to connect several systems into an enterprise view of data, many businesses are running into a problem: poor data quality. This revelation frequently results in the creation of a data governance program to provide a “single version of the truth” and offer accurate data to all users within the company and, if necessary, to clients and other external consumers of data. In this article, with, let’s find out some useful information about data governance charter!

Data governance charter – Overview

Data governance charter - Overview
Data governance charter – Overview

An effective data governance charter provides a mechanism to manage corporate data, delivering accurate, trustworthy, and reliable sets of data, offering the firm a strong, dependable basis for business choices. A good data governance endeavor may be thought of as a collection of initiatives, each of which aims to improve the organization’s overall knowledge and use of the data that is collected and consumed. These initiatives may be coordinated by business unit, application set, or other factors; but, all data governance initiatives should start with a program vision and shared objectives.

Every successful program starts with a vision, which describes the ideal state that will be attained via the effective efforts of the project team(s). A data governance council would draft its charter, which serves as the program’s statement of aim, once the correct vision had been developed. The corporate data governance work’s aims, objectives, purpose, and expected outcomes are outlined in the charter. It is a high-level document without specifics, but it outlines the justification for starting the data governance charter, its objectives, and the outcomes that are anticipated to be realized over time.

No matter the kind of program, a charter remains constant throughout the life cycle in accordance with the data governance charter vision statement. Immediately after the program’s vision has been developed and approved, a charter is established that takes a strategic approach to the goals and expected outcomes. The principal project stakeholders have endorsed the charter, which is accessible for use at any time during the effort’s lifespan.

A data governance charter should clearly declare the need to increase awareness of data quality, its true value to the company, and specific goals that will be reached by the development of a permanent data governance initiative. A data governance charter is typically one or two pages long. A charter is one of the initial steps in any formal methodology for projects (Six Sigma, TQM, etc.), and if the vision, purpose, goals, and outcomes are defined clearly and simply, it may serve as the basis for all project-oriented activities.

6 Parts data governance charter

6 Parts data governance charter
6 Parts data governance charter

Data Governance Charter components include:

  • Business Problem Statement.
  • Program Title.
  • List of program objectives (5 maximum, typically 3 minimum).
  • Program anticipated outcomes.
  • Start of the program.
  • Name and title of the program manager.

The charter acts as a “announcement” to the audience (all users and other relevant parties) that this initiative is starting, that top management is actively supporting it, and that resources will be allocated to accomplish the objectives and address the issues outlined in the charter. The charter serves as the framework for the Program Scope document, a much more lengthy and extensive explanation of the issue, objectives, risks, resources, and activities that developing a data governance project would need. It is the first document in the data governance endeavor.

Data governance charter – Example

World Risk Insurance Data Governance Program

Data governance charter - Example
Data governance charter – Example

Business Problem Statement: There are presently apps for each of World Risk Insurance’s 12 business lines, including underwriting, claims, and financial applications. Many of the data aimed at the enterprise data warehouse that is fed by these data sources is not correct or comprehensive. As a result, judgments based on information from the data warehouse could not be well-founded.

The majority of data mistakes in the warehouse may be attributed to issues with the source systems, and the errors in data include both inaccurate or incomplete instances of data as well as metadata errors (wrong data type, unclear data description, inappropriate data source, incorrect algorithm, etc.). World Risk Insurance needs accurate and comprehensive source data as well as thorough business data definitions in order to achieve the benefits of an enterprise data warehouse.

Program Objectives

  • Increasing ownership and accountability for data quality among business units.
  • The creation of comprehensive and precise metadata for all source systems, the data warehouse, and data marts.
  • Creation of corporate procedures for World Risk Insurance’s data and metadata governance.
  • Establishing technical and business steward positions and being conscious of the crucial responsibility these roles carry.

The following outcomes are anticipated as a result of the creation and execution of an enterprise information governance program for World Risk Insurance:

  • Persistent awareness of company unit ownership and accountability for the accuracy of data in source systems, data warehouses, and data marts.
  • Establishing roles for data stewards, building enduring and effective data stewardship teams, and establishing an enterprise data governance committee.
  • All business divisions, IT, and operational departments like finance and human resources actively participate in data governance initiatives.
  • Creating and implementing training procedures for data governance charter and stewardship.


For the development of a dependable business data governance program, a data governance charter is a crucial document. One of the key pieces of evidence that concisely and clearly outlines the program’s needs, objectives, and anticipated outcomes is this document.

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