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Data Ware Housing

Data warehousing is the electronic storage of a large amount of information by a business or organization. Data warehousing is a vital component of business intelligence that employs analytical techniques on business data.

Data warehousing is used to provide greater insight into the performance of a company by comparing data consolidated from multiple heterogeneous sources. A data warehouse is designed to run query and analysis on historical data derived from transactional sources.

Once the data has been incorporated into the warehouse, it does not change and cannot be altered since a data warehouse runs analytics on events that have already occurred by focusing on the changes in data over time. Warehoused data must be stored in a manner that is secure, reliable, easy to retrieve and easy to manage.

There are certain steps that are taken to create a data warehouse. The first step is data extraction, which involves gathering large amounts of data from multiple source points. After the data has been compiled, it goes through data cleaning, the process of combing through the data for errors and correcting or excluding any errors found.

The cleaned-up data is then converted from a database format to a warehouse format. Once it’s stored in the warehouse, the data goes through sorting, consolidating, summarizing, etc. so that it’s more coordinated and easier to use. Over time, more data is added to the warehouse as the multiple data sources are updated.

KEY TAKEAWAYS

   Data warehousing is the electronic storage of a large amount of information by a business or organization.

   A data warehouse is designed to run query and analysis on historical data derived from transactional sources for business intelligence and data mining purposes.

   Data warehousing is used to provide greater insight into the performance of a company by comparing data consolidated from multiple heterogeneous sources.