Kurdistan Regional Government-Iraq

Ministry of Higher Education and Scientific Research

Duhok Polytechnic University
Technical College of Administration
Dept. of Information Technology Management

DATA WAREHOUSE

Supervisor
Mr. Ahmed Ala’
By
Millat hakem merza 2023-2024
Contents

Introduction ........................................................................................... 3

Data warehouse architecture ............................................................. 4

Components of Data Warehouse Architecture ................................. 5

Data Warehouse vs. Database, Data Lake, and Data Mart .............. 6

Types of Data Warehouse .................................................................... 7

Benefits of a Data Warehouse ............................................................ 8

Conclusion............................................................................................. 9

Reference ............................................................................................ 10
Abstract
This comprehensive report dives into the world of data warehousing,
illuminating the foundational concepts, architecture, components, types,
and the multitude of benefits it offers to organizations. A data warehouse,
often referred to as an enterprise data warehouse (EDW), is a sophisticated
system designed to gather and consolidate data from diverse sources,
enabling advanced data analysis, artificial intelligence, and machine
learning. This report also distinguishes data warehouses from other data
management systems and emphasizes their pivotal role in facilitating
smarter decision-making and gaining a competitive edge.
Introduction
In the era of data-driven decision-making, data warehouses play a pivotal
role in supporting organizations' analytical needs. A data warehouse, often
referred to as an enterprise data warehouse (EDW), is a sophisticated
system designed to gather and consolidate data from various sources into
a unified, central, and consistent data store. This centralization of data
empowers organizations to leverage data analysis, data mining, artificial
intelligence (AI), and machine learning to make informed business
decisions. Unlike standard databases, data warehouses are purpose-built
to handle vast volumes of historical data, often reaching petabytes in size.

Data warehousing has been an integral part of business intelligence (BI)

solutions for over three decades. It has evolved significantly, especially with
the advent of new data types and hosting methods. Traditionally, data
warehouses resided on on-premises mainframe computers, primarily
focusing on data extraction, transformation, and loading into a relational
database. In recent years, data warehouses have transitioned to dedicated
appliances or cloud-based solutions, incorporating advanced analytics
capabilities, data visualization tools, and more.
Data warehouse architecture
Generally speaking, data warehouses have a three-tier architecture, which
consists of a:

Bottom tier: The bottom tier consists of a data warehouse server, usually a
relational database system, which collects, cleanses, and transforms data
from multiple data sources through a process known as Extract, Transform,
and Load (ETL) or a process known as Extract, Load, and Transform (ELT).

Middle tier: The middle tier consists of an OLAP (i.e. online analytical
processing) server which enables fast query speeds. Three types of OLAP
models can be used in this tier, which are known as ROLAP, MOLAP and
HOLAP. The type of OLAP model used is dependent on the type of database
system that exists.

Top tier: The top tier is represented by some kind of front-end user interface
or reporting tool, which enables end users to conduct ad-hoc data analysis
on their business data.
Components of Data Warehouse Architecture
Critical components of data warehouse architecture include:
• ETL (Extract, Transform, Load): ETL is the process employed by
database analysts to move data from source systems to the data
warehouse. It converts data into a usable format for analysis and
querying.

• Metadata: Metadata provides information about stored data, making it

searchable and organized. It is essential for creating dashboards and
reports.

• SQL Query Processing: SQL is the primary language used for

extracting insights from the data warehouse. Proprietary SQL query
processing technologies are often tightly integrated for high-
performance analytics.

• Data Layer: The data layer provides access to the data and may include
data marts, which segment data for different user groups.

• Governance and Security: Data warehouses store vast amounts of

sensitive information, requiring fine-grained access control and
security policies to protect data. Most data warehouses offer robust
governance and security capabilities.

• Data Warehouse Access Tools: These external tools act as user-

friendly front ends, facilitating reporting and data visualization. Data
analysts and business users use these tools to interact with the data,
extract insights, and create visualizations.
Data Warehouse vs. Database, Data Lake, and Data Mart
Data warehouses are often confused with databases, data lakes, and data
marts, but they serve distinct purposes:

• Data Warehouse vs. Data Lake: Data warehouses store structured

data with predefined schemas optimized for data analytics. In
contrast, data lakes store raw, unstructured data and offer flexibility
for various analytics methods.

• Data Warehouse vs. Data Mart: Data marts are subsets of data
warehouses tailored for specific departments or business units,
allowing them to quickly access focused insights.

• Data Warehouse vs. Database: Databases focus on transaction

processing and are often application-specific. In contrast, data
warehouses store both historical and current data for comprehensive
analytics, data mining, and machine learning.
Types of Data Warehouse
There are three primary types of data warehouses:

• Enterprise Data Warehouse (EDW): Serving as a central database,

EDWs support decision-support services across the entire
organization. They provide access to cross-organizational
information, offer a unified approach to data representation, and
enable complex queries.

• Operational Data Store (ODS): ODS refreshes data in real-time and is

preferred for routine activities, such as storing employee records,
especially when data warehouse systems cannot meet reporting
needs.

• Data Mart: Data marts are subsets of data warehouses designed to

serve specific departments, regions, or business units. Data from data
marts is periodically sent to the EDW for storage and use.
Benefits of a Data Warehouse
Data warehouses offer a multitude of benefits, including:

1. Improved Data Consistency: By centralizing data from various

sources, data warehouses ensure data consistency and accuracy.

2. Better Business Decisions: Data warehouses empower data-driven

decision-making through comprehensive data analysis.

3. Easier Access to Enterprise Data: End-users can access and query

data without affecting the performance of operational systems.

4. Better Data Documentation: Metadata and documentation within data

warehouses make data more understandable and usable.

5. Reduced Computer Costs and Higher Productivity: Data warehousing

streamlines data access and analysis, reducing costs and increasing
productivity.

6. Smarter Decision-Making: Data warehouses support advanced

analytics, data mining, AI, and machine learning, enabling intelligent
decision-making.

7. Competitive Advantage: By effectively leveraging data, organizations

gain a competitive edge through quicker insights and opportunities
discovery.
Conclusion
In a world inundated with data, data warehouses serve as the bedrock of
informed decision-making and the cornerstone of competitive advantage.
By centralizing and structuring data from diverse sources, data warehouses
offer organizations the power to extract valuable insights, support
advanced analytics, and embark on the journey of artificial intelligence and
machine learning. As organizations continue to expand and generate ever-
growing volumes of data, data warehouses provide a scalable and reliable
solution to ensure data consistency, accessibility, and security.

The journey of data warehousing has evolved from on-premises

mainframes to cloud-based solutions, adapting to the ever-changing data
landscape. The benefits of data warehouses are multifold, encompassing
improved data quality, streamlined decision-making, and ultimately, the
ability to outpace competitors in an increasingly data-centric world.
Reference
1. Kimball, R., & Ross, M. (2002). The Data Warehouse Toolkit: The
Complete Guide to Dimensional Modeling. Wiley.
2. Inmon, W. H., & Hackathorn, R. D. (1993). Using the Data Warehouse.
Wiley.
3. Redman, T. C. (1996). Data Quality: The Field Guide. Digital Press.
4. Chaudhuri, S., & Dayal, U. (1997). An Overview of Data Warehousing and
OLAP Technology. ACM SIGMOD Record, 26(1), 65-74.
5. Kimball, R. (2013). The Data Warehouse Lifecycle Toolkit. Wiley.