DAMA CDMP-RMD Dumps Questions Answers

Reference data plays a crucial role in financial trading. It includes data such as financial instrument identifiers, market data, currency codes, and regulatory classifications. Despite the dynamic nature of financial trades, reference data provides the necessary static information to execute and settle transactions. Industry estimates suggest that approximately 70% of the data used in financial transactions is reference data, underscoring its importance in the financial sector.

References:

DAMA-DMBOK: Data Management Body of Knowledge (2nd Edition), Chapter 11: Reference and Master Data Management.

"The Data Warehouse Toolkit: The Definitive Guide to Dimensional Modeling" by Ralph Kimball and Margy Ross.

Industry publications and whitepapers on reference data management in financial services.

Planned control activities are not considered master data. Here’s why:

Master Data Examples:

Categories and Lists: Master data typically includes lists and categorizations that are used repeatedly across multiple business processes and systems.

Examples: Product categories, account codes, country codes, and currency codes, which are relatively stable and broadly used.

Planned Control Activities:

Process-Specific: Planned control activities pertain to specific actions and checks within business processes, often linked to operational or transactional data.

Not Repeated Data: They are not reused or referenced as a stable entity across different systems.

References:

Data Management Body of Knowledge (DMBOK), Chapter 7: Master Data Management

DAMA International, "The DAMA Guide to the Data Management Body of Knowledge (DMBOK)"

Managing master data elements can be performed at multiple levels within an organization. This includes third-party providers such as Dun & Bradstreet (D&B) which can supply enriched and standardized master data. At the enterprise level, organizations manage master data centrally to ensure consistency and quality across all systems and processes. Within application suites suchas ERP (Enterprise Resource Planning) systems, master data management ensures that data is consistent and accurate within and across different applications. Therefore, master data elements can be managed at all these points.

References:

DAMA-DMBOK2 Guide: Chapter 10 – Master and Reference Data Management

"The Data Warehouse Toolkit: The Definitive Guide to Dimensional Modeling" by Ralph Kimball