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Why Data Quality Makes or Breaks Your Business Software

  • Writer: Debora Alencar
    Debora Alencar
  • 2 days ago
  • 7 min read
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The Quick Answer: Poor data quality costs organisations an average of $12.9 million annually, according to Gartner research. When you implement business management software without prioritising clean, accurate master data from day one, you're building your entire operation on a shaky foundation that will cost you time, money, and opportunities.


Key Impact: Research from the Journal of Industrial Engineering and Management shows that companies underestimate the financial impact of poor data quality by 40-60%, with total cost of ownership increasing by 20-35% for each percentage point of data defects in operations.


The Hidden Crisis in Business Software


Here's a scenario that plays out in businesses every day: A company invests thousands in a new ERP or CRM system. The software is powerful. The features are exactly what they need. The implementation team is excited.


Six months later? Frustration.


Sales reps can't find accurate customer information. The finance team is manually correcting invoices. Reports show conflicting numbers. Customer service keeps apologising for "system errors" that are really data errors.


The problem isn't the software. It's what went into it.


Sharon Mulligan, Product Expert at Enterpryze, puts it simply in the first session of Enterpryze University:


"If the data going in is not correct, how are you going to analyse that? How are you going to get the most from your system if it's not right to begin with?"

This isn't just a technical issue. It's a business survival issue.


The Real Cost of "Good Enough" Data


When business leaders think about software implementation, they focus on features, training, and go-live dates. Data quality? That's something to "clean up later."


But research from the National Institute of Statistical Sciences reveals that poor data quality creates significant economic and political inefficiencies across organisations.

The impact spans multiple dimensions:


Financial losses happen when incorrect pricing data leads to revenue leakage, duplicate customer records waste marketing budgets, and inaccurate inventory levels cause stockouts or overordering.


Operational inefficiencies multiply as teams spend hours manually correcting errors, re-entering data, and reconciling conflicting information across systems.


Strategic missteps occur when executives make critical decisions based on reports that look authoritative but contain flawed data underneath.


According to research published in the Journal of Industrial Engineering and Management, companies face at least 23 distinct types of costs from poor quality data, including higher maintenance costs, excess labour costs, data re-input costs, loss of revenue, costs of losing customers, and process failure costs.


The most insidious part? Most organisations don't even know how bad their data quality is until it's already causing problems.


Master Data: The Foundation Everything Else Depends On


Think of master data as the DNA of your business software. It's the core information that every transaction, report, and analysis depends on: your customers, suppliers, products, and services.


Research from the International Journal of Science and Research on Master Data Management confirms that compartmentalisation and inconsistency in master data negatively affects organisational efficiency and analytics. MDM provides a "singular truth" for critical entities across an organisation.


In Enterpryze University's first class on CRM and Sales, Sharon emphasises that master data includes:


Customer information - Not just names and addresses, but complete profiles that drive accurate transactions, targeted marketing, and effective service delivery.


Supplier data - The foundation of your procurement process, affecting everything from purchase orders to inventory management.


Product and service catalogs - The backbone of pricing, availability, and fulfillment across your entire operation.


Inventory details - Critical for manufacturing, distribution, and even service businesses that need to track parts or materials.


Get these right from the start, and your software works for you. Get them wrong, and you'll spend years fighting your own system.


Why "Garbage In, Garbage Out" Multiplies Over Time


Data quality isn't static. It degrades.


Industry research identifies what's called the "1x10x100 rule" in incident management: the cost of addressing a data quality issue at the point of entry is approximately 1x the original cost. If you catch and fix it during processing, it costs 10x. If the error makes it into reports and decisions before you catch it? 100x the original cost.


Here's how it typically unfolds:


Week 1: A sales rep enters a customer record with a typo in the email address. Small mistake.

Month 1: Marketing launches an email campaign. The customer never receives their communications.

Month 3: The customer tries to order but doesn't receive order confirmations. They call customer service, frustrated.

Month 6: The customer leaves a negative review mentioning poor communication and shops elsewhere.


Year 1: The sales team spends hours trying to understand why this "segment" has such low engagement.


One small data error. Months of compounding costs and lost opportunities.

Research from ResearchGate on Master Data Management emphasises that even with sophisticated systems like CRM and ERP, inadequate master data management leaves organisations vulnerable to data synchronisation issues and quality problems across their entire technology stack.


The Enterpryze University Approach: Start Right, Stay Right


This is exactly why Enterpryze launched Enterpryze University - a free, comprehensive learning programme designed to help business owners and teams maximise their ERP investment from day one.


The curriculum spans 10 sessions over a term, each focusing on a critical area of business management:


  • CRM and Sales (Session 1) - Master data fundamentals and customer relationship management

  • Services (Session 2) - Project management and service delivery

  • Procurement and Purchasing (Session 3) - Supplier management and ordering processes

  • Accounting (Session 4) - Financial management and reporting

  • Banking and Payments (Session 5) - Payment processing and reconciliation

  • Stock Management (Multiple sessions) - Inventory control and warehouse operations

  • Expenses (Session 8) - Expense tracking and management

  • Production (Session 9) - Manufacturing and production workflows

  • Reporting (Session 10) - Analytics and business intelligence


Every session is recorded and available on-demand, allowing teams to learn at their own pace and revisit critical concepts as needed.


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But the programme starts with data quality for a reason. As Sharon explains in the first session:

"I would suggest that you spend some time, particularly if this is your first time to use Enterpryze, to make sure that the raw data going in - that is your customers, your suppliers, your prospects, your stock items - to make sure that information as it goes into the system is going to work for you."

What Master Data Setup Actually Looks Like


Getting master data right isn't about perfection. It's about intentionality.

In the CRM and Sales session, Sharon walks through practical considerations that most businesses overlook:


Customer setup requires thinking through billing addresses versus shipping addresses, primary contacts versus billing contacts, and how to structure information so it serves multiple departments.


Defining prospects versus customers helps your CRM pipeline work effectively, ensuring you're tracking the right people through the right processes.


Product and service catalogues need consistent naming conventions, accurate pricing structures, and proper categorisation so reporting actually makes sense.


Integration planning means understanding how master data flows between different modules - from sales to delivery to invoicing to accounting.


Research published in ScienceDirect on CRM adoption in SMEs confirms that organisational, technical, and data quality factors are all critical for successful implementation. Data quality can't be treated as an afterthought.


The Notification Centre: Staying on Top of Data Changes


One often-overlooked aspect of data quality? Monitoring what changes and when.

Enterpryze University covers the notification centre - a feature that lets users "follow" critical records and receive alerts when changes occur. It's like version control for your business data.


Sharon demonstrates:

"Anytime that any changes are made to that particular document, so you can see here I'm now following, if there's any changes made, I will be notified here in the Notification Centre and I can see all of the different transactions that I'm following as well."

This matters because data quality isn't just about the initial setup. It's about maintaining accuracy over time, catching errors before they cascade, and ensuring everyone's working with the same reliable information.


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Beyond the Basics: Advanced Features Built on Clean Data


Once master data is solid, the real power of business software emerges.


Enterpryze University's first session covers advanced capabilities that only work when data quality is right:


Bulk processing lets you email or print multiple transactions at once - but only if customer contact information is accurate.

Recurring transactions automate repetitive billing - but rely on clean customer and product data to work reliably.

Resource planning helps schedule deliveries and allocate resources - but needs accurate customer, product, and inventory information to generate useful plans.

Customer portals empower clients to view transactions, make payments, and manage their own information - but only if the underlying data is trustworthy.


According to research from Data Science Central on MDM and CRM integration, organisations with unified, consistent data sources gain reliable insights into customer behaviour, market trends, and business performance. These insights enable data-driven decision-making and foster agility in responding to market dynamics.


The Learning Journey Continues


Enterpryze University isn't just about watching videos. It's about transformation.


Each session builds on the previous one, creating a comprehensive understanding of how business management software should work when implemented thoughtfully. The recordings are available 24-48 hours after each live session, stored in a permanent repository on Enterpryze's website.


But the programme goes deeper than just technical training. It's about changing how teams think about their systems - from seeing software as a necessary evil to understanding it as a strategic asset that only works when fuelled by quality data.


Because data quality isn't something you get right once and forget about. It's an ongoing commitment that pays dividends in efficiency, accuracy, and competitive advantage.


The Bottom Line


Poor data quality costs the average organisation $12.9 million per year. But the cost isn't just financial - it's lost opportunities, frustrated teams, and eroded customer trust.


The good news? It's preventable.


By prioritising master data from day one, monitoring data quality over time, and investing in training that helps teams understand why data quality matters, organisations can transform their software from an expensive problem into a powerful competitive advantage.


That's exactly what Enterpryze University is designed to help you achieve.


Ready to Start Your Journey?


Watch the complete first session of Enterpryze University to learn how proper master data setup transforms CRM and sales operations. Sharon Mulligan walks through practical examples, demonstrates key features, and answers common questions from business owners just like you.





The session is free, recorded, and available on-demand. Whether you're just getting started with business management software or looking to optimise your current system, this is your roadmap to data quality success.


What You'll Learn:

  • How to set up customer and supplier master data correctly

  • The difference between prospects and customers in your CRM

  • How to use the notification centre to monitor critical data changes

  • Advanced features like bulk processing and resource planning

  • Common data quality mistakes and how to avoid them


About Enterpryze University


Enterpryze University is a free, comprehensive training programme designed for business owners, operations managers, and teams implementing or optimising their ERP system. With 10 sessions covering every aspect of business management - from sales and procurement to production and reporting - it's the education programme that should come with every business software purchase.


Sessions are recorded live, available on-demand, and taught by Enterpryze product experts with years of real-world implementation experience. Learn at your own pace, revisit concepts as needed, and transform how your organisation uses technology.

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