What is one of the initial setup requirements during the SAP Master Data Governance (MDG) configuration?

The correct requirement is to activate Business Functions using transaction code SFW5. This step is essential in the initial setup of SAP Master Data Governance because activating the appropriate business functions enables the specific capabilities and features tailored to support Master Data Governance processes within the SAP environment. These functions encompass the foundational functionalities related to managing master data governance, such as policies, workflows, and data models.

By activating the right business functions, organizations ensure that the MDG system is aligned with their business needs and is equipped with the necessary tools to manage master data effectively. This preparatory action sets the stage for subsequent configuration tasks, allowing for seamless integration with other SAP modules and ensuring that users can leverage MDG's full functionality as they begin to configure and customize the system.

Other choices, while relevant to overall system administration and governance, are not part of the immediate setup phase specific to MDG configuration. For example, setting up user permissions is typically done after initial configurations, and defining service performance metrics is more related to ongoing performance evaluation rather than initial setup. Additionally, installing additional software packages generally precedes or coincides with the activation of business functions but is not specifically categorized as an initial configuration requirement for MDG.