How Enterprise Data Warehouse Impacts Businesses: Concept and Benefits Explained

Currently, in our digital age, the flow of operation and leverage of vast loads of data seamlessly is an integral point for businesses to stay relevant and demanded. A great solution to address this need is an enterprise data warehouse (EDW), which is hub storage for all of an organization’s data. Such software enables corporations to integrate and structure information extracted from a range of sources and ensure the utter source for insights and research. This article will help you delve into the notion of EDW, its value, as well as the way it boosts organizations contributing to wise decisions reflecting the data research.

An Enterprise Data Warehouse Notion

An Enterprise Data Warehouse (EDW) is a centralized hub that keeps enormous amounts of information and details that were retrieved from diverse resources within a company. This solution is designed with a focus on business intelligence and analytics software by delivering the utter vision of data spanning over the whole organization.

Being truly popular today, EDWs are applied by firms of diverse sizes and in a broad range of domains aiming at data researching, assisting in the implementation of an informed strategy, and gaining success. The core purpose of an EDW is to furnish a fully-fledged source of truth for enterprise-wide data, which simplifies it for employees to find and explore the details.

EDWs traditionally comprise recorded information, supporting to specify trends and examination that can enrich the business plan development as well as further stages to be taken. The input is extracted in a strategy that assures comfort in ordering and insights generation, enabling the users within the corporation to obtain analytical data simply and straightforwardly with warehouse automation technology.

Aside from that fact, EDWs let data connection by guaranteeing corporations amass elements from a span of necessary sources. It may imply the information acquired from internal software like CRM, ERP, and HR, as well as outside info obtained from inner software like CRM, ERP, and HR, as well as outside info sources such as social media, web insights, and market analytics. By integrating all of this data in one place, organizations can gain a more complete view of their operations and customers.

Related: Top 6 Best Enterprise SEO Tools You Can Use Now in 2023.

EDW Architecture

The architecture of such software is variable and can be outlined reflecting the precise needs of the company. Yet, we should summarize the basic models: the traditional approach and the modern approach.

Within the traditional one, we imply a multi-tiered architecture that sets apart data repository, integration, and business intelligence layers. It has been leveraged for a long term and remains the popular variant till now. Yet, this may be complicated and costly to design and ensure ongoing support.

When it comes to the modern one is based on a data pool, considerable storage incorporating raw information. It is relatively more adjustable in contrast to the model we’ve described earlier, as it facilitates corporations to keep and work with extensive magnitudes of knowledge in a fixed approach. Regardless, you may require sophisticated data procedures and administration strengths to ascertain absolute data exactness, compatibility, and credibility.

EDW Types

We are able to outline the several types of Enterprise Data Warehouses that organizations can opt from established on their explicit demands and requirements. Each sort of EDW offers typical perks as well as weaknesses, and businesses should precisely evaluate their options prior to going for the selection of a particular kind of EDW.

Centralized EDW

It is the most familiar type of data warehouse in which all data is accumulated in a standalone, utter hub. Such an EDW is employed within institutions with a fully-fledged source of truth for their info. The centralized solution is uncomplicated in manipulation and support, as all data is stored in one place. Nevertheless, the complexity may lie in the scaling of the centralized EDW as well as handling a vast information pool, which results in the more complicated gathering of data from numerous origins.

Federated EDW

This EDW can be described as a distributed repository that amalgamates the information from a span of relations. Talking more about a federated type, data is preserved in a number of spots, with the ability to access it via a joint interface. Such a type of EDW is employed by establishments with considerable data sources, implying different business units or subsidiaries. This choice is approvingly scalable and capable of handling extensive loads. But you should be aware that it may be hard to guarantee high data quality and sufficient cleanliness within mixed sources.

Hub-and-Spoke EDW

Briefly saying, it is a hybrid of consolidated and federated EDWs. In such an EDW, data is accumulated in a centralized hub and is available via a network of spokes that bind to the necessary data sources. Traditionally, businesses that have a combination of centralized and decentralized data sources, find this type pretty beneficial due to their concept. The hub-and-spoke is appreciated for its high scalability and can effectively cope with large volumes of data, still, it can be problematic to adopt and support.

Data Mart EDW

A data mart EDW is a lesser, more concentrated version of the centralized EDW that is organized to sustain a precise business procedure or operation, to illustrate, related to sales or marketing, or any other needed. Data marts are generally built within the data retrieval from the centralized EDW and reserved in a separate database that is adjusted to a specific use case. Corporations that have specific business needs that require a more focused view of the data will take huge advantage of this type. What is more, it is easy to govern and maintain.

Virtual EDW

A virtual solution traditionally offers a consolidated glimpse at details from a considerable number of sources excluding the necessity to hold the collected pieces in a hub. Here, the parties can view the data in real-time meeting your corporation’s requirements. The frequently leveraged options are the star and the snowflake schema- a plain sample that incorporates a fact table wrapped by dimension flats. The snowflake is one of higher complexity and contains extra normalization of dimension tables.

See also: How the Prosperity of Business Depends on Enterprise Application Integration?

How to Create Enterprise Data Warehouse?

The implementation flow of an Enterprise Data Warehouse is a multi-step and long procedure that can’t be done properly without a thorough and in-depth strategy creation, as well as the following design, and configuration. Let’s get acquainted with an extensive roadmap disclosing the EDW building process:

Define your business requirements

Begin the product creation by identifying your business requirements, goals, and objectives. This will help you determine the data that you need to collect and analyze in your EDW.

Choose a data model

You should pick an information model that fits your corporation’s requirements. The frequently leveraged options are the star and the snowflake schema. The star schema is a plain sample that incorporates a fact table wrapped by dimension flats. The snowflake is one of higher complexity and contains extra normalization of dimension tables.

Opt for a solution stack

Currently, we have an enormous assortment of tech instruments that are suitable for the development of EDW software. You ought to consider a tech stack that reflects your company’s conditions, financial resources, and technical proficiency. For your guidance, the traditional EDW solutions comprise Hadoop, Spark, NoSQL databases, and traditional RDBMS systems like Oracle or SQL Server.

Plan the data warehouse

You should put extra effort into organizing your data warehouse schema established on your selected data model as well as the priorly selected solution stack. This addresses creating tables, views, and indexes to sustain your company’s needs. For this, it may also be wise to determine your ETL (extract, transform, load) flows to shift data from the source to the EDW.

Build your data warehouse

After you have designed your data warehouse, everything is ready to move on to the implementation. It implies such activities as setting up your database environment, building tables and additional database objects, and configuring your ETL actions. There’s also the opportunity to test your data warehouse to assure that it fulfills your core organization objectives and performance aims.

Apply data administration

Data control can be explained as the technique of organizing the availability, utility, goodness, and safety of the information stored in your EDW. Enforce data governance policies and strategies to assure that your data is valid, consistent, and sufficiently protected.

Assure user admission

It’s an important point to furnish user access to your EDW. Therefore, the features like user account registration, setting up permissions, and creating reports and dashboards are required. As a result of that, users can leverage and analyze data.

Related: Why You Should Implement Zero Trust for Your Enterprise?

Track and streamline capacity

Last, don’t neglect monitoring and adapting the performance of your EDW by tracking query performance, identifying bottlenecks, and optimizing your ETL operations to ensure that data is loaded quickly and accurately.

The flow of an EDW implementation is a complex procedure that needs thorough strategy and undertaking. By following these steps, you can create an EDW that meets your business requirements and supports your data analysis needs.

Author: Yuliya Melnik

This article is written by Yuliya Melnik. Yuliya is a technical writer at Cleveroad. It is a web and mobile app development company in Ukraine. She is passionate about innovative technologies that make the world a better place and loves creating content that evokes vivid emotions.