Basics of Data Warehousing

Data Warehousing

What is a Data Warehouse?

In simple terms a repository for any organization that contains the data pertaining to all the areas defines a warehouse. Basic use is for analysis rather than for transaction processing. Thus, it separates the analysis workload from all the transactions workload. All the information gathered in a warehouse can be used for the following analysis using different technologies that can help analyze the data effectively.

Be it any king of business, a data warehouse can help in analysis of customers and their buying behavior or patterns. Predictive analysis on the data captured in the warehouse can lead to increased profit, perfect demand and supply ratio and many more benefits.

Overview-
On Line Analytical Processing helps in viewing and analyzing the historical data captured in the data warehouse.
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Why do we need a Data Warehouse?

Before preparing the data model for a Warehouse, answer the following questions-

1.  Why do we need the warehouse, its business objective?

2.  What functionality should the warehouse cover?

3.  Types of data needed to support the functionality determined for the warehouse in the above step.

4.   How enormous the warehouse must be?

Once all the information is gathered the next step becomes clearer and easy but before that it is important to understand the term OLAP.

OLAP?

OLAP is a graphical tool that provides multidimensional views of data. Raw data when analyzed through OLAP can lead to a very easy way in understanding the data. It provides the users with all the information related to the data. Users can identify patters or trends from in the data easily through this tool and it makes the work easy as user no more has to search through piles of raw data.