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DA&DM 3rd Unit-Notes

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31 views

DA&DM 3rd Unit-Notes

Uploaded by

rahulchear12
Copyright
© © All Rights Reserved
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
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What is Data warehousing?

Definition: Data warehousing is defined as the process of gathering and handling


data from a variety of sources in order to enable better decision-making. Data
warehouses offer a central location for all relevant data where users with various
levels of skill may access and analyze it. ETL (extract, transform, and
load) operations are common among data warehouses because they extract,
transform, and load data from many different sources into a single repository. Data
cleansing, de-duplication, and real-time data integration are other features that are
often included in data warehouses.

Because of their powerful capabilities, data warehouses have become essential


tools for organizations seeking to gain better insights into their operations and
make more effective decisions. Whether you are a business owner, manager, or
analyst, a data warehouse can help you gain valuable insights into your
organization and make more informed decisions.

Concept of Data warehousing:-


A data warehouse (DW) is a digital storage system that connects and harmonizes
large amounts of data from many different sources. Its purpose is to feed business
intelligence (BI), reporting, and analytics, and support regulatory requirements – so
companies can turn their data into insight and make smart, data-driven
decisions. Data warehouses store current and historical data in one place and act as
the single source of truth for an organization.

A data warehouse is a large collection of business data used to help an


organization make decisions. The concept of the data warehouse has existed
since the 1980s, when it was developed to help transition data from merely
powering operations to fueling decision support systems that reveal business
intelligence. The large amount of data in data warehouses comes from different
places such as internal applications such as marketing, sales, and finance;
customer-facing apps; and external partner systems, among others.

On a technical level, a data warehouse periodically pulls data from those apps and
systems; then, the data goes through formatting and import processes to match the
data already in the warehouse. The data warehouse stores this processed data so
it’s ready for decision makers to access. How frequently data pulls occur, or how
data is formatted, etc., will vary depending on the needs of the organization.
Benefits of data warehousing
A well-designed data warehouse is the foundation for any successful BI or
analytics program. Its main job is to power the reports, dashboards, and analytical
tools that have become indispensable to businesses today. A data warehouse
provides the information for your data-driven decisions – and helps you make the
right call on everything from new product development to inventory levels. There
are many benefits of a data warehouse. Here are just a few:

 Better business analytics: With data warehousing, decision-makers have


access to data from multiple sources and no longer have to make decisions
based on incomplete information.
 Faster queries: Data warehouses are built specifically for fast data retrieval
and analysis. With a DW, you can very rapidly query large amounts of
consolidated data with little to no support from IT.
 Improved data quality: Before being loaded into the DW, data cleansing
cases are created by the system and entered in a worklist for further
processing, ensuring data is transformed into a consistent format to support
analytics – and decisions – based on high quality, accurate data.
 Historical insight: By storing rich historical data, a data warehouse lets
decision-makers learn from past trends and challenges, make predictions,
and drive continuous business improvement.
What are the limitations of data warehouse?

Disadvantages of Data Warehousing


 Underestimation of data loading resources. Often, we fail to estimate the time
needed to retrieve, clean, and upload the data to the warehouse. ...
 Hidden problems in source systems. ...
 Data homogenization.
The benefits of a data warehouse include improved data
analytics, greater revenue and the ability to compete more strategically in the
marketplace. By efficiently feeding standardized, contextual data to an
organization's business intelligence software, a data warehouse drives a more
effective data strategy.

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