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Presentation Prepared By:: M.Balaji

1) A data warehouse is a single store of integrated data from multiple sources organized for analysis and reporting. 2) It transforms raw data into useful information by extracting, cleaning, and loading data and making it available for analysis. 3) A data warehouse provides a consistent, integrated view of business data that can be used for reporting, analysis, and decision making.

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117 views18 pages

Presentation Prepared By:: M.Balaji

1) A data warehouse is a single store of integrated data from multiple sources organized for analysis and reporting. 2) It transforms raw data into useful information by extracting, cleaning, and loading data and making it available for analysis. 3) A data warehouse provides a consistent, integrated view of business data that can be used for reporting, analysis, and decision making.

Uploaded by

jeebala
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Presentation Prepared by:

M.BALAJI
What is a Data Warehouse?

A single, complete and


consistent store of data
obtained from a variety of
different sources made
available to end users in a
what they can understand
and use in a business context.
What is Data Warehousing?
Information
A process of
transforming data into
information and
making it available to
users in a timely
enough manner to
make a difference

Data
Data Warehousing -- a process

• It is a relational or multidimensional database


management system designed to support
management decision making.
• A data warehousing is a copy of transaction data
specifically structured for querying and reporting.
• Technique for assembling and managing data from
various sources for the purpose of answering
business questions. Thus making decisions that were
not previous possible
Data warehousing is …
• Subject Oriented: Data that gives information about a particular subject
instead of about a company's ongoing operations.
• Integrated: Data that is gathered into the data warehouse from a variety of
sources and merged into a coherent whole.
• Time-variant: All data in the data warehouse is identified with a particular
time period.
• Non-volatile: Data is stable in a data warehouse. More data is added but data
is never removed. This enables management to gain a consistent picture of the
business.
• Data warehousing is combining data from multiple and usually varied sources
into one comprehensive and easily manipulated database.
• Common accessing systems of data warehousing include queries, analysis
and reporting.
• Because data warehousing creates one database in the end, the number of
sources can be anything you want it to be, provided that the system can
handle the volume, of course.
• The final result, however, is homogeneous data, which can be more easily
manipulated.
Data Warehouse Architecture

Client Client

Query & Analysis

Metadata Warehouse

Integration

Source Source
Source
• The data has been selected from various sources and then integrate and
store the data in a single and particular format.
• Data warehouses contain current detailed data, historical detailed data,
lightly and highly summarized data, and metadata.
• Current and historical data are voluminous because they are stored at the
highest level of detail.
• Lightly and highly summarized data are necessary to save processing time
when users request them and are readily accessible.
• Metadata are “data about data”. It is important for designing,
constructing, retrieving, and controlling the warehouse data.

Technical metadata include where the data come from, how the data were
changed, how the data are organized, how the data are stored, who owns
the data, who is responsible for the data and how to contact them, who
can access the data , and the date of last update.

Business metadata include what data are available, where the data are, what
the data mean, how to access the data, predefined reports and queries,
and how current the data are.
Business advantages
• It provides business users with a “customer-centric” view of the
company’s heterogeneous data by helping to integrate data from sales,
service, manufacturing and distribution, and other customer-related
business systems.
• It provides added value to the company’s customers by allowing them to
access better information when data warehousing is coupled with internet
technology.
• It consolidates data about individual customers and provides a repository
of all customer contacts for segmentation modeling, customer retention
planning, and cross sales analysis.
• It removes barriers among functional areas by offering a way to reconcile
views from multiple areas, thus providing a look at activities that cross
functional lines.
• It reports on trends across multidivisional, multinational operating units,
including trends or relationships in areas such as merchandising,
production planning etc.
Strategic uses of data warehousing
Industry Functional areas of Strategic use
use
Airline Operations; marketing Crew assignment, aircraft development, mix
of fares, analysis of route profitability,
frequent flyer program promotions

Banking Product development; Customer service, trend analysis, product and


Operations; marketing service promotions, reduction of IS
expenses

Credit card Product development; Customer service, new information service,


marketing fraud detection
Health care Operations Reduction of operational expenses
Investment and Product development; Risk management, market movements
Insurance Operations; marketing analysis, customer tendencies analysis,
portfolio management

Retail chain Distribution; marketing Trend analysis, buying pattern analysis,


pricing policy, inventory control, sales
promotions, optimal distribution channel
Telecommunications Product development; New product and service promotions,
Operations; marketing reduction of IS budget, profitability
analysis
Personal care Distribution; marketing Distribution decisions, product promotions,
sales decisions, pricing policy
Public sector Operations Intelligence gathering
Disadvantages of data warehouses
• Data warehouses are not the optimal environment for
unstructured data.
• Because data must be extracted, transformed and loaded into the
warehouse, there is an element of latency in data warehouse
data.
• Over their life, data warehouses can have high costs.
Maintenance costs are high.
• Data warehouses can get outdated relatively quickly. There is a
cost of delivering suboptimal information to the organization.
• There is often a fine line between data warehouses and
operational systems. Duplicate, expensive functionality may be
developed. Or, functionality may be developed in the data
warehouse that, in retrospect, should have been developed in the
operational systems and vice versa.
Data Marts
• A data mart is a scaled down version of a data warehouse that focuses on a
particular subject area.
• A data mart is a subset of an organizational data store, usually oriented to a
specific purpose or major data subject, that may be distributed to support
business needs.
• Data marts are analytical data stores designed to focus on specific business
functions for a specific community within an organization.
• Usually designed to support the unique business requirements of a specified
department or business process
• Implemented as the first step in proving the usefulness of the technologies to
solve business problems

Reasons for creating a data mart


• Easy access to frequently needed data
• Creates collective view by a group of users
• Improves end-user response time
• Ease of creation in less time
• Lower cost than implementing a full Data warehouse
• Potential users are more clearly defined than in a full Data warehouse
From the Data Warehouse to Data Marts

Information

Individually Less
Structured

Departmentally History
Structured Normalized
Detailed

Organizationally More
Data Warehouse
Structured

Data
Characteristics of the Departmental Data Mart
• Small
Data mart • Flexible
• Customized by Department
• OLAP
• Source is departmentally
structured data warehouse

Data warehouse
Data warehousing integration

End Users:
DATA Direct use
SOURCES Decision making and other
tasks:
(databases)
CRM, DSS, EIS
Data
organization ;
storage Information Data Use

Direct use Warehouse (storage)


Use of
Data visualization
knowledge
Use

Analytical processing, Generate knowledge


use

Data mining storage

Purchased Organizational
knowledge STORAGE Knowledge base
• Businesses run on information and the knowledge of
how to put that information to use.

• Knowledge is not readily available, it is continuously


constructed from data and/or information, in a
process that may not be simple or easy.

• The transformation of data into knowledge may be


accomplished in several ways

Data collection from various sources stored in simple


databases
• Data can be processed, organized, and stored in a data warehouse and then
analyzed (e.g.) by using analytical processing) by end users for decision
support.
• Some of the data are converted to information prior to storage in the data
warehouse, and some of the data and/or information can be analyzed to
generate knowledge. For example, by using data mining, a process that
looks for unknown relationships and patterns in the data, knowledge
regarding the impact of advertising on a specific group of customers can be
generated.
• This generated knowledge is stored in an organizational knowledge base, a
repository of accumulated corporate knowledge and of purchased
knowledge.
• The knowledge in the knowledge base can be used to support less
experienced and users, or to support complex decision making.

Both the data and the information, at various times during the process, and the
knowledge derived at the end of the process, may need to be presented to
users.
Data Warehouse for Decision Support
• Putting Information technology to help the knowledge worker
make faster and better decisions
• Used to manage and control business
• Data is historical or point-in-time
• Optimized for inquiry rather than update
• Use of the system is loosely defined and can be ad-hoc
• Used by managers and end-users to understand the business
and make judgments

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