Business Intelligence and
Analytics for decision Support
(10th Edition)
Chapter 3:
Data Warehousing
Learning Objectives
Understand the basic definitions and concepts
of data warehouses
Learn different types of data warehousing
architectures; their comparative advantages
and disadvantages
Describe the processes used in developing
and managing data warehouses
Explain data warehousing operations
Explain the role of data warehouses in
decision support
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Learning Objectives
Explain data integration and the extraction,
transformation, and load (ETL) processes
Describe real-time (a.k.a. right-time and/or
active) data warehousing
Understand data warehouse administration
and security issues
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Main Data Warehousing (DW) Topics
DW definitions
Characteristics of DW
Data Marts
ODS, EDW, Metadata
DW Framework
DW Architecture & ETL Process
DW Development
DW Issues
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Data Warehouse Defined
A physical repository where relational data
are specially organized to provide enterprise-
wide, cleansed data in a standardized format
“The data warehouse is a collection of
integrated, subject-oriented databases design
to support DSS functions, where each unit of
data is non-volatile and relevant to some
moment in time”
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Characteristics of DW
Subject oriented
Integrated
Time-variant (time series)
Nonvolatile
Summarized
Not normalized
Metadata
Web based, relational/multi-dimensional
Client/server
Real-time and/or right-time (active)
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Data Mart
A departmental data warehouse that
stores only relevant data
Dependent data mart
A subset that is created directly from a
data warehouse
Independent data mart
A small data warehouse designed for a
strategic business unit or a department
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DW definitions
Operational data stores (ODS)
A type of database often used as an interim area for a
data warehouse
Oper marts
An operational data mart.
Enterprise data warehouse (EDW)
A data warehouse for the enterprise.
Metadata
Data about data. In a data warehouse, metadata
describe the contents of a data warehouse and the
manner of its acquisition and use
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A Conceptual Framework for DW
No data marts option
Data Applications
Sources (Visualization)
Access
Routine
ERP Business
ETL
Reporting
Process Data mart
(Marketing)
Select
/ Middleware
Legacy Metadata Data/text
Extract mining
Data mart
(Engineering)
Transform Enterprise
POS Data warehouse
OLAP,
Integrate
API
Data mart Dashboard,
(Finance) Web
Other Load
OLTP/wEB
Replication Data mart
(...) Custom built
External
applications
data
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Generic DW Architectures
Three-tier architecture
1. Data acquisition software (back-end)
2. The data warehouse that contains the data &
software
3. Client (front-end) software that allows users to
access and analyze data from the warehouse
Two-tier architecture
First 2 tiers in three-tier architecture is combined
into one
… sometime there is only one tier?
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Generic DW Architectures
Tier 1: Tier 2: Tier 3:
Client workstation Application server Database server
Tier 1: Tier 2:
Client workstation Application & database server
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DW Architecture Considerations
Issues to consider when deciding which
architecture to use:
Which database management system (DBMS)
should be used?
Will parallel processing and/or partitioning be
used?
Will data tools be used to load the data
warehouse?
What tools will be used to support data
retrieval and analysis?
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A Web-based DW Architecture
Web pages
Application
Server
Client Web
(Web browser) Internet/ Server
Intranet/
Extranet
Data
warehouse
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Alternative DW Architectures
(a) Independent Data Marts Architecture
ETL
End user
Source Staging Independent data marts
access and
Systems Area (atomic/summarized data)
applications
(b) Data Mart Bus Architecture with Linked Dimensional Datamarts
ETL
Dimensionalized data marts End user
Source Staging
linked by conformed dimentions access and
Systems Area
(atomic/summarized data) applications
(c) Hub and Spoke Architecture (Corporate Information Factory)
ETL
End user
Source Staging Normalized relational
access and
Systems Area warehouse (atomic data)
applications
Dependent data marts
8-14 (summarized/some
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Alternative DW Architectures
(d) Centralized Data Warehouse Architecture
ETL
Normalized relational End user
Source Staging
warehouse (atomic/some access and
Systems Area
summarized data) applications
(e) Federated Architecture
Data mapping / metadata
End user
Logical/physical integration of access and
Existing data warehouses
common data elements applications
Data marts and legacy systmes
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Data Warehousing Architectures
Ten factors that potentially affect the
architecture selection decision:
1. Information 6. Strategic view of the data
interdependence between warehouse prior to
organizational units implementation
2. Upper management’s 7. Compatibility with existing
information needs systems
3. Urgency of need for a 8. Perceived ability of the in-house
data warehouse IT staff
4. Nature of end-user tasks 9. Technical issues
5. Constraints on resources 10. Social/political factors
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Data Integration and the Extraction,
Transformation, and Load (ETL) Process
Extraction, transformation, and load (ETL) process
Packaged Transient
application data source
Data
warehouse
Legacy
Extract Transform Cleanse Load
system
Data mart
Other internal
applications
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ETL
Issues affecting the purchase of an ETL tool
Data transformation tools are expensive
Data transformation tools may have a long
learning curve
Important criteria in selecting an ETL tool
Ability to read from and write to an unlimited
number of data sources/architectures
Automatic capturing and delivery of metadata
A history of conforming to open standards
An easy-to-use interface for the developer and the
functional user
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Benefits of DW
Direct benefits of a data warehouse
Allows end users to perform extensive analysis
Allows a consolidated view of corporate data
Better and more timely information
Enhanced system performance
Simplification of data access
Indirect benefits of data warehouse
Enhance business knowledge
Present competitive advantage
Enhance customer service and satisfaction
Facilitate decision making
Help in reforming business processes
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Data Warehouse Development
Data warehouse development approaches
Inmon Model: EDW approach (top-down)
Kimball Model: Data mart approach (bottom-up)
Which model is best?
There is no one-size-fits-all strategy to DW
One alternative is the hosted warehouse
Data warehouse structure:
The Star Schema vs. Relational
Real-time data warehousing?
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DW Development Approaches
(Inmon Approach) (Kimball Approach)
See Table 8.3 for details
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Things to Avoid for Successful
Implementation of DW
Starting with the wrong sponsorship chain
Setting expectations that you cannot meet
Engaging in politically naive behavior
Loading the warehouse with information just
because it is available
Believing that data warehousing database
design is the same as transactional DB design
Choosing a data warehouse manager who is
technology oriented rather than user oriented
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Real-time DW
(a.k.a. Active Data Warehousing)
Enabling real-time data updates for
real-time analysis and real-time decision
making is growing rapidly
Push vs. Pull (of data)
Concerns about real-time BI
Not all data should be updated continuously
Mismatch of reports generated minutes apart
May be cost prohibitive
May also be infeasible
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Data Warehouse Administration
Due to its huge size and its intrinsic nature, a
DW requires especially strong monitoring in
order to sustain its efficiency, productivity
and security.
The successful administration and
management of a data warehouse entails
skills and proficiency that go past what is
required of a traditional database
administrator.
Requires expertise in high-performance software,
hardware, and networking technologies
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DW Scalability and Security
Scalability
The main issues pertaining to scalability:
The amount of data in the warehouse
How quickly the warehouse is expected to grow
The number of concurrent users
The complexity of user queries
Good scalability means that queries and other
data-access functions will grow linearly with the
size of the warehouse
Security
Emphasis on security and privacy
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BI / OLAP Portal for Learning
MicroStrategy, and much more…
www.TeradataStudentNetwork.com
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End of the Chapter
Questions, comments
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