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What is a data warehouse – Its definition and features

Ankit Gupta by Ankit Gupta
March 27, 2022
in Technology
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What is a data warehouse – Its definition and features
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What is a data warehouse | this time we come with another exited article on the data warehouse? So you guys should have come across the term data warehousing but should have been assured what exactly is a data warehouse?

In this blog post, we will learn about the following topics,

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  • Need for data warehouse
  • What is a data warehouse 
  • Key features of data warehousing
  • Applications of data warehousing
  • Data warehouse tools
  • Data warehouse job trends

Need for data warehouse

So what is a need for a data warehouse ? The goal of every business is to make better it. Then this is where business intelligence comes with. Business intelligence turns the massive amount of a data operational system into a proper format that is easy to understand. So this data could be analyzed timely and accurately to obtain actionable insight into the business.

And also to bring effectiveness in decision making but instance in the E-commerce industry to maintain data about products, customer login, deals, and other technical and non-technical information. 

Now all of this information could be available in different services. So we need a system that can combine all this information so that companies can extract then analyze this data in an integrated manner. 

And that’s exactly where the requirement of a data warehouse comes into the picture. Now let’s understand what is a data warehouse? 

What is a data warehouse?

So the concept of data warehousing is pretty simple. Data is extracted on a periodic piece from the source system which could be an application such as ERP, SALES, CRP, HRM, FINANCE, and so on.

Now data from the systems moved to a dedicated server that contains a data warehouse. So when the data is moved it is cleaned formatted, summarized, and supplemented with data from many other sources.

And for analysis and report generation it will become the source. 

Now sometime it has been noticed that many companies say that they have a data warehouse but they don’t feely have a true data warehouse rather it is an actually temping ground for tables that are copied from sources with little modification. 

So for a company to be successful in the future they must make good decisions and to make good decisions they required all relevant data to be taken into concentration. And the well-defined source of data is a data warehouse.

And data warehouses are specially designed to perform business intelligence activities and enable professionals and employees to comprehend and improve the organization’s overall performance.

And the two major functions of a data warehouse are to maintain past and present records and also help the organization to make effective business decisions with precise data analysis.

Additionally, the data warehouse’s environment also supports ETL solutions, data mining capabilities, statically analysis, reporting, and OLAP tools which help in interactive and efficient data analysis in a multi visible view.

So this is what data warehouse. Now we look at some key features of data warehousing. 

Features of data warehousing

  • Subject oriented

So data warehousing gives you an option to analyze a particular subject area. Thus subject meters professionals can answer relevant questions from the data. For example, if that particular subject is sales then sales executed for an online website can develop a subject-oriented database including the data fields you want to query. So the salesperson can extract data writing different quires like how many customers purchase the database architect cost today. 

  • Integrated 
  • Centralized
  • Holds entire organization’s data
  • Non-volatile
  • Data never removed
  • Always growing
  • Time variant
  • Timely data flow 
  • Projected data

So these are the features of data warehousing. Now, look at some applications of a data warehouse.

Applications of a data warehouse

Data warehouses use in various sectors. In the airline industry, it is used. 

Banking also uses a data warehouse to manage the resources. 

To generate patient reports hospitals also use a data warehouse.

In the public sector, data warehousing is used for intelligence gathering. 

Insurance companies use the data warehouse for many kinds of operations.

There are lots of other applications of the data warehouse. Now, look at some tools of the data warehouse.

Data warehouse tools

  • Oracle data warehouse
  • Amazon Redshift
  • Mark logic etc.

Data warehouse job trends

Now there are lots of opportunities in the market to build a career in data warehousing. So candidates interested to pick up data warehouse professionals can look for job opportunities in sectors like information technology, financial services, healthcare, and retail. 

According to the pay scale, the average salary in data warehouse professionals is between $68,000 and $149,000.

Conclusion:

So this is all about data warehouse. Here we have learned what is data warehouse, what are the key features of data warehousing, some applications of data warehouse, data warehouse tools, and job trends of data warehouse professionals.

Tags: DataWarehouse
Ankit Gupta

Ankit Gupta

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