Data Warehousing and Management The architecture of a data warehouse is determined by the

organization’s specific needs. Common architectures include

A data warehouse is a type of data management system that  Simple. All data warehouses share a basic design in
is designed to enable and support business intelligence (BI) which metadata, summary data, and raw data are
activities, especially analytics. Data warehouses are solely stored within the central repository of the
intended to perform queries and analysis and often contain warehouse. The repository is fed by data sources on
large amounts of historical data. The data within a data one end and accessed by end users for analysis,
warehouse is usually derived from a wide range of sources reporting, and mining on the other end.
such as application log files and transaction applications.  Simple with a staging area. Operational data must
A data warehouse centralizes and consolidates large amounts be cleaned and processed before being put in the
of data from multiple sources. Its analytical capabilities allow warehouse. Although this can be done
organizations to derive valuable business insights from their programmatically, many data warehouses add a
data to improve decision-making. Over time, it builds a staging area for data before it enters the warehouse,
historical record that can be invaluable to data scientists and to simplify data preparation.
business analysts. Because of these capabilities, a data  Hub and spoke. Adding data marts between the
warehouse can be considered an organization’s “single source central repository and end users allows an
of truth.” organization to customize its data warehouse to
A typical data warehouse often includes the following serve various lines of business. When the data is
elements: ready for use, it is moved to the appropriate data
 A relational database to store and manage data mart.
 An extraction, loading, and transformation (ELT)  Sandboxes. Sandboxes are private, secure, safe areas
solution for preparing the data for analysis that allow companies to quickly and informally
explore new datasets or ways of analyzing data
 Statistical analysis, reporting, and data mining
without having to conform to or comply with the
capabilities
formal rules and protocol of the data warehouse.
 Client analysis tools for visualizing and presenting
data to business users
The Evolution of Data Warehouses—From Data Analytics to
 Other, more sophisticated analytical applications that
AI and Machine Learning
generate actionable information by applying data
When data warehouses first came onto the scene in the late
science and artificial intelligence (AI) algorithms,
1980s, their purpose was to help data flow from operational
or graph and spatial features that enable more kinds
systems into decision-support systems (DSSs). These early
of analysis of data at scale
data warehouses required an enormous amount of
Organizations can also select a solution combining transaction
redundancy. Most organizations had multiple DSS
processing, real-time analytics across data warehouses and
environments that served their various users. Although the
data lakes, and machine learning in one MySQL Database
DSS environments used much of the same data, the
service—without the complexity, latency, cost, and risk of
gathering, cleaning, and integration of the data was often
extract, transform, and load (ETL) duplication.
replicated for each environment.
Benefits of a Data Warehouse
As data warehouses became more efficient, they evolved
Data warehouses offer the overarching and unique benefit of
from information stores that supported traditional BI
allowing organizations to analyze large amounts of variant
platforms into broad analytics infrastructures that support a
data and extract significant value from it, as well as to keep a
wide variety of applications, such as operational analytics and
historical record.
performance management.
Four unique characteristics (described by computer scientist
William Inmon, who is considered the father of the data
Data warehouse iterations have progressed over time to
warehouse) allow data warehouses to deliver this overarching
deliver incremental additional value to the enterprise with
benefit. According to this definition, data warehouses are
enterprise data warehouse (EDW).
 Subject-oriented. They can analyze data about a
particular subject or functional area (such as sales).
 Integrated. Data warehouses create consistency
among different data types from disparate sources.
 Nonvolatile. Once data is in a data warehouse, it’s
stable and doesn’t change.
 Time-variant. Data warehouse analysis looks at
change over time.
A well-designed data warehouse will perform queries very
quickly, deliver high data throughput, and provide enough
flexibility for end users to “slice and dice” or reduce the
volume of data for closer examination to meet a variety of
demands—whether at a high level or at a very fine, detailed Supporting each of these five steps has required an increasing
level. The data warehouse serves as the functional foundation variety of datasets. The last three steps in particular create
for middleware BI environments that provide end users with the imperative for an even broader range of data and
reports, dashboards, and other interfaces. analytics capabilities.
Today, AI and machine learning are transforming almost every
industry, service, and enterprise asset—and data warehouses
Data Warehouse Architecture are no exception. The expansion of big data and the
application of new digital technologies are driving change in
data warehouse requirements and capabilities.
The autonomous data warehouse is the latest step in this
evolution, offering enterprises the ability to extract even
greater value from their data while lowering costs and
improving data warehouse reliability and performance.
Find out more about autonomous data warehouses and get
started with your own autonomous data warehouse.
Data Warehouses, Data Marts, and Operation Data Stores
Though they perform similar roles, data warehouses are
different from data marts and operation data stores (ODSs). A
data mart performs the same functions as a data warehouse
but within a much more limited scope—usually a single
department or line of business. This makes data marts easier
to establish than data warehouses. However, they tend to
introduce inconsistency because it can be difficult to
uniformly manage and control data across numerous data
marts.
ODSs support only daily operations, so their view of historical
data is very limited. Although they work very well as sources
of current data and are often used as such by data
warehouses, they do not support historically rich queries.
What is a Cloud Data Warehouse?
A cloud data warehouse uses the cloud to ingest and store
data from disparate data sources.
The original data warehouses were built with on-premises
servers. These on-premises data warehouses continue to have
many advantages today. In many cases, they can offer
improved governance, security, data sovereignty, and better
latency. However, on-premises data warehouses are not as
elastic and they require complex forecasting to determine
how to scale the data warehouse for future needs. Managing
these data warehouses can also be very complex.
On the other hand, some of the advantages of cloud data
warehouses include:
 Elastic, scale-out support for large or variable
compute or storage requirements
 Ease of use
 Ease of management
 Cost savings
The best cloud data warehouses are fully managed and self-
driving, ensuring that even beginners can create and use a
data warehouse with only a few clicks. An easy way to start
your migration to a cloud data warehouse is to run your cloud
data warehouse on-premises, behind your data center firewall
which complies with data sovereignty and security
requirements.
In addition, most cloud data warehouses follow a pay-as-you-
go model, which brings added cost savings to customers.
What is a Modern Data Warehouse?
Whether they’re part of IT, data engineering, business
analytics, or data science teams, different users across the
organization have different needs for a data warehouse.
A modern data architecture addresses those different needs
by providing a way to manage all data types, workloads, and
analysis. It consists of architecture patterns with necessary
components integrated to work together in alignment with
industry best practices. The modern data warehouse includes:
 A converged database that simplifies management of
all data types and provides different ways to use data
 Self-service data ingestion and transformation
services
 Support for SQL, machine learning, graph, and spatial
processing
 Multiple analytics options that make it easy to use
data without moving it
 Automated management for simple provisioning,
scaling, and administration
A modern data warehouse can efficiently streamline data
workflows in a way that other warehouses can’t. This means
that everyone, from analysts and data engineers to data
scientists and IT teams, can perform their jobs more
effectively and pursue the innovative work that moves the
organization forward, without countless delays and
complexity.
Designing a Data Warehouse
When an organization sets out to design a data warehouse, it
must begin by defining its specific business requirements,
agreeing on the scope, and drafting a conceptual design. The
organization can then create both the logical and physical
design for the data warehouse. The logical design involves the
relationships between the objects, and the physical design
involves the best way to store and retrieve the objects. The
physical design also incorporates transportation, backup, and
recovery processes.
Any data warehouse design must address the following:
 Specific data content
 Relationships within and between groups of data
 The systems environment that will support the data
warehouse
 The types of data transformations required
 Data refresh frequency
A primary factor in the design is the needs of the end users.
Most end users are interested in performing analysis and
looking at data in aggregate, instead of as individual
transactions. However, often end users don’t really know
what they want until a specific need arises. Thus, the planning
process should include enough exploration to anticipate
needs. Finally, the data warehouse design should allow room
for expansion and evolution to keep pace with the evolving
needs of end users.
The Cloud and the Data Warehouse
Data warehouses in the cloud offer the same characteristics
and benefits of on-premises data warehouses but with the
added benefits of cloud computing―such as flexibility,
scalability, agility, security, and reduced costs. Cloud data
warehouses allow enterprises to focus solely on extracting
value from their data rather than having to build and manage
the hardware and software infrastructure to support the data
warehouse.
Do I Need a Data Lake?
Organizations use both data lakes and data warehouses for
large volumes of data from various sources. The choice of
when to use one or the other depends on what the
organization intends to do with the data. The following
describes how each is best used:
 Data lakes store an abundance of disparate,
unfiltered data to be used later for a particular
purpose. Data from line-of-business applications,
mobile apps, social media, IoT devices, and more is
captured as raw data in a data lake. The structure,
integrity, selection, and format of the various
datasets is derived at the time of analysis by the
person doing the analysis. When organizations need
low-cost storage for unformatted, unstructured data
 from multiple sources that they intend to use for
some purpose in the future, a data lake might be the
right choice.
 Data warehouses are specifically intended to analyze
data. Analytical processing within a data warehouse
is performed on data that has been readied for
analysis—gathered, contextualized, and transformed
—with the purpose of generating analysis-based
insights. Data warehouses are also adept at handling
large quantities of data from various sources. When
organizations need advanced data analytics or
analysis that draws on historical data from multiple
sources across their enterprise, a data warehouse is
likely the right choice.
Why Not Run Analytics Against Your OLTP Environment?
Data warehouses are relational environments that are used
for data analysis, particularly of historical data. Organizations
use data warehouses to discover patterns and relationships in
their data that develop over time.
In contrast, transactional environments are used to process
transactions on an ongoing basis and are commonly used for
order entry and financial and retail transactions. They do not
build on historical data; in fact, in OLTP environments,
historical data is often archived or simply deleted to improve
performance.
Data warehouses and OLTP systems differ significantly.
Zero-Complexity Deployment: The Autonomous Data
Warehouse
The most recent iteration of the data warehouse is the
autonomous data warehouse, which relies on AI and machine
learning to eliminate manual tasks and simplify setup,
deployment, and data management. An as-a-service
autonomous data warehouse in the cloud requires no human-
performed database administration, hardware configuration
or management, or software installation.
Creating the data warehouse, backing up, patching and
upgrading the database, and expanding or reducing the
database are all performed automatically—with the same
flexibility, scalability, agility, and reduced costs that cloud
platforms offer. The autonomous data warehouse removes
complexity, speeds deployment, and frees up resources so
organizations can focus on activities that add value to the
business.
Oracle Autonomous Data Warehouse
Oracle Autonomous Data Warehouse is an easy-to-use, fully
autonomous data warehouse that scales elastically, delivers
fast query performance, and requires no database
administration. The setup for Oracle Autonomous Data
Warehouse is very simple and fast.
Why choose Oracle Autonomous Data Warehouse over
Snowflake
 Automation. The only data warehouse fully
automates database administration.
 Ease of use. The Autonomous Data Warehouse
solution is simpler to deploy and manage with built-
in capabilities that remove the need for additional
standalone services
 Cost of solution. Our modern data warehouse and
enhanced feature have similar costs to similar
workload requirements.
 Data security. We provide stronger built-in security
protocols that protects your data against cyber
threats.
 Data governance. Our data warehouse platform
makes it seamless for organizations to manage to
data sovereignty needs.
What is Data Warehousing? Concepts, Features, and
Examples
In today’s business environment, an organization must have
reliable reporting and analysis of large amounts of data.
Businesses need their data collected and integrated for
different levels of aggregation, from customer service to
partner integration to top-level executive business decisions.
This is where data warehousing comes in to make reporting
and analysis easier. This rise in data, in turn, increases the use
of data warehouses to manage business data.
To understand the importance of data storage, let’s visit the
important data warehousing concepts.
What is Data Warehousing?
Data Warehousing is the process of collecting, organizing, and
managing data from disparate data sources to provide
meaningful business insights and forecasts to respective users.
Data stored in the DWH differs from data found in the
operational environment. It is organized so that relevant data
is clustered to facilitate day-to-day operations, data analysis,
and reporting. This helps determine the trends over time and
allows users to create plans based on that information.
Hence, reinforcing the importance of data warehouse use to
business decision-makers.
Approaches of Combining Heterogeneous Databases
To integrate different databases, there are two popular
approaches:
 Query-driven: A query-driven approach in data
warehousing is traditional to creating integrators and
wrappers on top of different databases.
 Update-driven: An update-driven approach to
integrating data is an alternative to the query-driven
approach and is more frequently used today. In this
approach, the data from diverse sources is combined
or integrated beforehand and stored in a data
warehouse. Later, employees can access this data for
querying and data analysis.
Data Warehouse Architecture
A data warehouse architecture uses dimensional models to
identify the best technique for extracting and translating
information from raw data. However, you should consider
three main types of architecture when designing a business-
level real-time data warehouse.
1. Single-tier Architecture
2. Two-tier Architecture
3. Three-tier Architecture
Enlisting the Features
The key features of a data warehouse include the following:
 Subject-Oriented: It provides information catered to
a specific subject instead of the organization’s
ongoing operations. Examples of subjects include
product information, sales data, customer and
supplier details, etc.
 Integrated: It is developed by combining data from
multiple sources, such as flat files and relational
databases.
 Time-Variant: The data in a DWH gives information
from a specific historical point in time. Therefore, the
data is categorized within a particular time frame.
 Non-volatile: Non-volatile refers to historical data
that is not omitted when newer data is added. A
DWH is separate from an operational database. This
means that any regular changes in the operational
database are not seen in the data warehouse.
The Role of Data Pipelines in the EDW
A lot of effort goes into unlocking the true power of your data
warehouse. You can build reliable, flexible, low-latency ETL
pipelines using a metadata-driven ETL approach.
A data warehouse is populated using data pipelines. They
transport raw data from disparate sources to a centralized
data warehouse for reporting and analytics. Along the way,
the data is transformed and optimized.
However, the volume, velocity, and variety increase has
rendered the traditional approach to building data
pipelines —involving manual coding and reconfiguration —
ineffective and obsolete.
Automation is integral to building efficient data pipelines that
match your business processes’ agility and speed.
Data Pipeline Automation
You can seamlessly transport data from source to visualization
through data pipeline automation. It is a modern approach to
populating data warehouses and requires designing functional
and efficient dataflows.
As we all know, timeliness is one of the crucial elements of
high-quality business intelligence. Automated data pipelines
help you make data available in the data warehouse quickly.
You can eliminate obsolete, trivial, or duplicated data by
leveraging the power of automated and scalable data
pipelines. This maximizes data accessibility and consistency to
ensure high-quality analytics.
With a metadata-driven ETL process, you can seamlessly
integrate new sources into your architecture and support
iterative cycles to fast-track your BI reporting and analysis.
Also, you can follow the ELT approach. In ELT, you can load the
data directly to the warehouse to leverage the computing
capacity of the destination system to carry out data
transformations efficiently.
Optimizing Data Pipelines
An enterprise must focus on building automated data
pipelines that can dynamically adapt to changing
circumstances—for instance, adding and removing data
sources or changing transformations.
Of course, moving entire databases when you need data for
reporting or analysis can be highly inefficient.
The best practice is to load data incrementally using change
data capture to populate your data warehouse. It helps
eliminate redundancy and ensures maximum data accuracy.
Other essential capabilities needed to create automated data
pipelines are incremental loading, job monitoring, and job
scheduling.
 Incremental loading ensures you don’t have to copy
all the data to your data warehouse every time the
source table changes. This ensures your data
warehouse is always accurate and up-to-date.
 Job monitoring helps you understand any issues with
your current system and allows you to optimize the
process.
 Job scheduling allows users to process data daily,
weekly, monthly, or only when data meets specific
triggers or conditions.
Orchestrating and automating your data pipelines can
eliminate manual work, introduce reproducibility, and
maximize efficiency.
examples of Data Warehousing in Various Industries
Big data has become vital to data warehousing and business
intelligence across several industries. Let’s review some
examples of data warehousing in various sectors.
Investment and Insurance sector
Firms primarily use a data warehouse to analyze customer
and market trends and other data patterns in these sectors.
Forex and stock markets are two major sub-sectors. Here data
warehouses play a crucial role because a single point
difference can lead to massive losses across the board. DWHs
are usually shared in these sectors and focus on real-time
data streaming.
Retail chains
Retail chains use DWHs for distribution and marketing.
Common uses are tracking items, examining pricing policies,
tracking promotional deals, and analyzing customer buying
trends. Retail chains usually incorporate EDW systems for
business intelligence and forecasting needs.
Healthcare
Healthcare businesses use a DWH to forecast patient
outcomes. They also use it to generate treatment reports and
share data with insurance providers, research labs, and other
medical units. EDWs are the backbone of healthcare systems
because the latest, up-to-date treatment information is
crucial for saving lives.
Types of Data Warehouses
There are three main types of data warehouses. Each has its
specific role in data management operations.
1- Enterprise Data Warehouse
An enterprise data warehouse (EDW) is a central or main
database to facilitate decisions throughout the enterprise. Key
benefits of having an EDW include the following:
  Access to cross-organizational information. schemas from scratch with the easy drag-and-drop option.
 The ability to run complex queries. The images below briefly depict how the ADWB works.
 The enablement of enriched, far-sighted insights for
data-driven decisions and early risk assessment. Reverse-engineering feature in Astera DWB
2- ODS (Operational Data Store)
In ODS, the DWH refreshes in real time. Therefore,
organizations often use it for routine enterprise activities,
such as storing records of employees. Business processes also
use ODS to provide data to the EDW.
3- Data Mart
It is a subset of a DWH that supports a particular department,
region, or business unit. Consider this: You have multiple
departments, including sales, marketing, product
development, etc. Each department will have a central
Dataflow to populate dimension table in ADWB
repository where it stores data. This repository is a data mart.
The EDW stores the data from the data mart in the ODS
daily/weekly (or as configured). The ODS acts as a staging
area for data integration. It then sends the data to the EDW to
store for BI purposes.

Why do Businesses Need Data Warehousing and Business

Intelligence?
A lot of business users wonder why data warehousing is
essential. The simplest way to explain this is through the
various benefits to the end-users. These include: Once the schema is built and data is populated, the data
 Improved end-user access to a wide variety of model can be forward engineered just as quickly to the
enterprise data business’ database.
 Increased data consistency
 Additional documentation of the data
 Potentially lower computing costs and increased
productivity
 Providing a place to combine related data from
separate sources
 Creation of a computing infrastructure that can
support changes in computer systems and business
structures
 Empowering end-users to perform ad-hoc queries or
reports without impacting the performance of the
operational systems
Data Warehousing
Data Warehousing Tools and Techniques
The data infrastructure of most organizations is a collection of
A Database Management System (DBMS) stores data in
different systems. For example, an organization might have the form of tables and uses an ER model and the goal
one system that handles customer relationships, human is ACID properties. For example, a DBMS of a college has
resources, sales, production, finance, partners, etc. These tables for students, faculty, etc.
systems are often poorly or not integrated at all. This makes it A Data Warehouse is separate from DBMS, it stores a
difficult to answer simple questions even though the huge amount of data, which is typically collected from
information is available “somewhere” within the disparate multiple heterogeneous sources like files, DBMS, etc.
data systems. The goal is to produce statistical results that may help in
Enterprises can use DWH tools to solve these issues by
decision-making. For example, a college might want to
creating a single database of homogeneous data. The
see quick different results, like how the placement of CS
software tools for extracting and transforming the data into a
homogeneous format for loading into the DWH are also vital students has improved over the last 10 years, in terms
components of a data warehousing system. of salaries, counts, etc.
Enterprise Data Warehousing Automation Tool by Astera Issues Occur while Building the Warehouse
Software  When and how to gather data: In a source-
Astera Data Warehouse Builder expedites developing a data driven architecture for gathering data, the data
warehouse from scratch. It supports numerous integrations, sources transmit new information, either
automates data modeling, and delivers a high-performance continually (as transaction processing takes
DWH through a unified, intuitive platform. place), or periodically (nightly, for example). In a
ADWB is a metadata-driven data warehousing automation
destination-driven architecture, the data
tool with a rich data modeler and includes all the key features
warehouse periodically sends requests for new
of a data warehouse mentioned above. The reverse-engineer
functionality allows users to create databases in a few clicks data to the sources. Unless updates at the
without writing codes. Similarly, users can quickly develop sources are replicated at the warehouse via two
phase commit, the warehouse will never be
 quite up to-date with the sources. Two-phase
commit is usually far too expensive to be an
option, so data warehouses typically have
slightly out-of-date data. That, however, is
usually not a problem for decision-support
systems.
 What schema to use: Data sources that have
been constructed independently are likely to
have different schemas. In fact, they may even
use different data models. Part of the task of a
warehouse is to perform schema integration,
and to convert data to the integrated schema
before they are stored. As a result, the data
stored in the warehouse are not just a copy of
the data at the sources. Instead, they can be
thought of as a materialized view of the data at
the sources.
 Data transformation and cleansing: The task of
correcting and preprocessing data is called data
cleansing. Data sources often deliver data with
numerous minor inconsistencies, which can be
corrected. For example, names are often
misspelled, and addresses may have street,
area, or city names misspelled, or postal codes
entered incorrectly. These can be corrected to a
reasonable extent by consulting a database of
street names and postal codes in each city. The
approximate matching of data required for this
task is referred to as fuzzy lookup.
 How to propagate update: Updates on relations
at the data sources must be propagated to the
data warehouse. If the relations at the data
warehouse are exactly the same as those at the
data source, the propagation is straightforward.
If they are not, the problem of propagating
updates is basically the view-maintenance
problem.
 What data to summarize: The raw data
generated by a transaction-processing system
may be too large to store online. However, we
can answer many queries by maintaining just
summary data obtained by aggregation on a
relation, rather than maintaining the entire
relation. For example, instead of storing data
about every sale of clothing, we can store total
sales of clothing by item name and category.
Need for Data Warehouse
An ordinary Database can store MBs to GBs of data and
that too for a specific purpose. For storing data of TB
size, the storage shifted to the Data Warehouse. Besides
this, a transactional database doesn’t offer itself to
analytics. To effectively perform analytics, an
organization keeps a central Data Warehouse to closely
study its business by organizing, understanding, and
using its historical data for making strategic decisions
and analyzing trends.
Benefits of Data Warehouse
 Better business analytics: Data warehouse plays
an important role in every business to store and
analysis of all the past data and records of the
company. which can further increase the
understanding or analysis of data for the
company.
 Faster Queries: The data warehouse is designed
to handle large queries that’s why it runs
queries faster than the database.
 Improved data Quality: In the data warehouse
the data you gathered from different sources is
being stored and analyzed it does not interfere
with or add data by itself so your quality of data
is maintained and if you get any issue regarding
data quality then the data warehouse team will
solve this.
 Historical Insight: The warehouse stores all your
historical data which contains details about the
business so that one can analyze it at any time
and extract insights from it.
Data Warehouse vs DBMS
Example Applications of Data Warehousing
Data Warehousing can be applied anywhere
where we have a huge amount of data and we
want to see statistical results that help in
decision making.
 Social Media Websites: The social networking
websites like Facebook, Twitter, Linkedin, etc.
are based on analyzing large data sets. These
sites gather data related to members, groups,
locations, etc., and store it in a single central
repository. Being a large amount of data, Data
Warehouse is needed for implementing the
same.
 Banking: Most of the banks these days use
warehouses to see the spending patterns of
account/cardholders. They use this to provide
them with special offers, deals, etc.
 Government: Government uses a data
warehouse to store and analyze tax payments
which are used to detect tax thefts.
Features of Data Warehousing
Data warehousing is essential for modern data
management, providing a strong foundation for
organizations to consolidate and analyze data
strategically. Its distinguishing features
empower businesses with the tools to make
informed decisions and extract valuable insights
from their data.
 Centralized Data Repository: Data warehousing
provides a centralized repository for all
enterprise data from various sources, such as
transactional databases, operational systems,
and external sources. This enables organizations
to have a comprehensive view of their data,
which can help in making informed business
decisions.
 Data Integration: Data warehousing integrates
data from different sources into a single, unified
view, which can help in eliminating data silos
and reducing data inconsistencies.
 Historical Data Storage: Data warehousing
stores historical data, which enables
organizations to analyze data trends over time.
This can help in identifying patterns and
anomalies in the data, which can be used to
improve business performance.
 Query and Analysis: Data warehousing provides
powerful query and analysis capabilities that
enable users to explore and analyze data in
different ways. This can help in identifying
patterns and trends, and can also help in making
informed business decisions.
 Data Transformation: Data warehousing
includes a process of data transformation, which
involves cleaning, filtering, and formatting data
from various sources to make it consistent and
usable. This can help in improving data quality
and reducing data inconsistencies.
 Data Mining: Data warehousing provides data
mining capabilities, which enable organizations
to discover hidden patterns and relationships in
their data. This can help in identifying new
opportunities, predicting future trends, and
mitigating risks.
 Data Security: Data warehousing provides
robust data security features, such as access
controls, data encryption, and data backups,
which ensure that the data is secure and
protected from unauthorized access.
Advantages of Data Warehousing
 Intelligent Decision-Making: With centralized
data in warehouses, decisions may be made
more quickly and intelligently.
 Business Intelligence: Provides strong
operational insights through business
intelligence.
 Historical Analysis: Predictions and trend
analysis are made easier by storing past data.
 Data Quality: Guarantees data quality and
consistency for trustworthy reporting.
 Scalability: Capable of managing massive data
volumes and expanding to meet changing
requirements.
 Effective Queries: Fast and effective data
retrieval is made possible by an optimized
structure.
 Cost reductions: Data warehousing can result in
cost savings over time by reducing data
management procedures and increasing overall
efficiency, even when there are setup costs
initially.
 Data security: Data warehouses employ security
protocols to safeguard confidential information,
guaranteeing that only authorized personnel are
granted access to certain data.
Disadvantages of Data Warehousing
 Cost: Building a data warehouse can be
expensive, requiring significant investments in
hardware, software, and personnel.
 Complexity: Data warehousing can be complex,
and businesses may need to hire specialized
personnel to manage the system.
 Time-consuming: Building a data warehouse
can take a significant amount of time, requiring
businesses to be patient and committed to the
process.
 Data integration challenges: Data from different
sources can be challenging to integrate,
requiring significant effort to ensure consistency
and accuracy.
 Data security: Data warehousing can pose data
security risks, and businesses must take
measures to protect sensitive data from
unauthorized access or breaches.
There can be many more applications in
different sectors like E-Commerce,
telecommunications, Transportation Services,
Marketing and Distribution, Healthcare, and
Retail.
Conclusion
Data warehousing in database management systems
(DBMS) enables integrated data management,
providing scalable solutions for enhanced business
intelligence and decision-making within businesses.
Its advantages in data quality, historical analysis, and
scalability highlight its critical role in deriving
important insights for a competitive edge, even in
the face of implementation problems.