Database for Business Performance

Improvement
• Database for Business Performance
Improvement - OLAP & OLTP, Data Lake, Data
Warehousing (Concept, Features, Architecture
& Analytical Techniques -Roll up, Drill Down,
Slicing, Pivot), Data Mining and Forecasting,
Data Mart, Data Backup (Concept & Types)
 Data warehouse
• A data warehouse is a subject-oriented,
integrated, time-variant and non-volatile
collection of data in support of
management's decision making process.
Basic Architecture of Data warehouse
 Features
• Subject-Oriented: A data warehouse can be
used to analyze a particular subject area. For
example, "sales" can be a particular subject.
• Integrated: A data warehouse integrates data
from multiple data sources. For example,
source A and source B may have different
ways of identifying a product, but in a data
warehouse, there will be only a single way of
identifying a product.
• Time-Variant: Historical data is kept in a data
warehouse. For example, one can retrieve data from 3
months, 6 months, 12 months, or even older data from
a data warehouse. This contrasts with a transactions
system, where often only the most recent data is kept.
For example, a transaction system may hold the most
recent address of a customer, where a data warehouse
can hold all addresses associated with a customer.
• Non-volatile: Once data is in the data warehouse, it
will not change. So, historical data in a data warehouse
should never be altered.
 Analytic Technique-Roll-up

• Roll-up performs aggregation on a data cube

in any of the following ways −
• By climbing up a concept hierarchy for a
dimension
• By dimension reduction
• Roll-up is performed by climbing up a concept
hierarchy for the dimension location.
• Initially the concept hierarchy was "street < city <
state < country".
• On rolling up, the data is aggregated by ascending
the location hierarchy from the level of city to the
level of country.
• The data is grouped into cities rather than countries.
• When roll-up is performed, one or more dimensions
from the data cube are removed.
 Drill-down

• Drill-down is the reverse operation of roll-up.

It is performed by either of the following ways
• By stepping down a concept hierarchy for a
dimension
• By introducing a new dimension.
• Drill-down is performed by stepping down a concept
hierarchy for the dimension time.
• Initially the concept hierarchy was "day < month <
quarter < year."
• On drilling down, the time dimension is descended
from the level of quarter to the level of month.
• When drill-down is performed, one or more
dimensions from the data cube are added.
• It navigates the data from less detailed data to highly
detailed data.
 Slice

• The slice operation selects one particular

dimension from a given cube and provides a
new sub-cube. Consider the following diagram
that shows how slice works.
• Here Slice is performed for the dimension
"time" using the criterion time = "Q1".
• It will form a new sub-cube by selecting one or
more dimensions.
 Pivot

• The pivot operation is also known as rotation.

It rotates the data axes in view in order to
provide an alternative presentation of data.
Consider the following diagram that shows the
pivot operation.
Sources: Data Warehousing - OLAP (tutorialspoint.com)
 Data mining
• Data mining, the extraction of hidden predictive
information from large databases, is a powerful new
technology with great potential to help companies
focus on the most important information in their data
warehouses. Data mining tools predict future trends
and behaviors, allowing businesses to make proactive,
knowledge-driven decisions. The automated,
prospective analyses offered by data mining move
beyond the analyses of past events provided by
retrospective tools typical of decision support systems.
Data mining tools can answer business questions that
traditionally were too time consuming to resolve.
 Application of data mining
• Here is the list of areas where data mining is
widely used −
– Financial Data Analysis
– Retail Industry
– Telecommunication Industry
– Biological Data Analysis
– Healtcare
– Intrusion Detection
 Forecasting
• Forecasting involves predicting what can
happen in the future by considering past and
present events and incidents. Forecasting is a
decision-making tool that helps businesses
cope with the uncertainty surrounding a
business by carefully examining historical data
and trends.
• Example: Rainfall prediction in 2023 based on
past 20 years dataset
 Online Transaction Processing
System (OLTP)
• OLTP System deals with operational data.
Operational data are those data involved in
the operation of a particular system.
• Example: In a banking System, you withdraw
amount from your account. Then Account
Number, Withdrawal amount, Available
Amount, Balance Amount, Transaction
Number etc are operational data elements.
 Online Analytical Processing
(OLAP)
• OLAP deals with Historical Data or Archival Data.
Historical data are those data that are archived over a
long period of time. Data from OLTP are collected over
a period of time and store it in a very large database
called Data warehouse. The Data warehouses are
highly optimized for read (SELECT) operation.
• Example: If we collect last 10 years data about flight
reservation, The data can give us many meaningful
information such as the trends in reservation. This may
give useful information like peak time of travel, what
kinds of people are traveling in various classes
 Data Lake
• A data lake is a centralized repository that
stores all kinds of structured and unstructured
data at any scale. It is a type of data storage
architecture that allows organizations to store
large amounts of data from various sources
without the need for predefined schema or
organization.
• Unlike traditional data warehousing
techniques, a data lake does not require data
to be organized in a specific way before it is
stored. Instead, data is stored in its raw, native
format, enabling organizations to store large
amounts of data in its original format.
• A data lake can be built on top of a Hadoop-
based distributed file system, such as Apache
Hadoop, or on cloud-based platforms such as
Amazon Web Services (AWS), Microsoft Azure,
or Google Cloud Platform (GCP). It can be
used for a variety of purposes, including big
data analytics, data science, and machine
learning.