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In: Computer Science

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The data warehouse is one of the most important business intelligence tools a business needs to have. It turns the massive amount of data generated from multiple sources into a format that is easy to understand. Discuss the data warehouse concept?

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Data warehousing is a concept which is used to describe the process of storing all data of an organization from all available sources (internal or external) into a central repository with the focus on analysis and generating actionable insight. It help organization in reporting and data analysis from various current and historical stored data. This is the reason DW is considered as a core component of Business Intelligence.

The data warehouse process into multiple steps-

  1. Extracting data from various sources and uploading into DW.
  2. Perform data cleaning and transforming data into appropriate format.
  3. Archiving the transformed data.
  4. Steering data to proper data sources.

There are various benefits of DW that makes it suitable for Business Intelligence-

  • Extracting and integrating data from multiple sources, makes it accessible from one place.
  • Data is cleansed before storing which promises good quality of data before it is used for reporting and analysis.
  • It supports more efficient decision support query writing.
  • This stores massive amount of historical data, which is useful in analysis time based trends and helps in prediction.

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