Data is nothing new for the world any more. There is a huge amount of data which is being generated. Therefore, data has definitely become an asset for the firms, and they are trying their best to deploy the best technological solutions to make the most of the huge amount of data. As, a very high volume of data is generated in the world today, by a plenty of different data sources, therefore, firms need a very solid platform to store the data and to work on it. This is exactly what data warehousing is all about. It is the mastery and the art of gathering massive amount of data from a host of diverse sources. Also, it includes the right techniques required to manage this huge quantity of data. Basically, the key aim of data warehousing solutions is to make it easy and quick for the companies to collect, store and analyze the data in order to generate valuable business insights.
Data warehousing is an amalgamation of the right measures and technologies which facilitate the strategic utilization of the data. It is all about storing the data digitally or electronically and then using it for the benefit of the business. The data is not only analyzed, but it is also used to solve many problems and answer various questions whenever needed. Thus, data warehousing is a part of the process which involves the transformation of this huge volume of data into extremely useful information which turns out to be very beneficial for the company. Data warehousing is a very important part of the Business Intelligence process. And, it is a main element of any BI program or any Business Intelligence solution. Therefore, there is no doubt about the fact the data warehousing is extremely important for any modern and traditional business. Thus, the market of data warehousing is blooming. The data warehousing industry is expected to touch the$34.69 Bn mark by the year 2025.
Let’s dive deep into the real ‘meaning’ of data warehousing
Data warehousing is the process of storing information from a wide range of sources including the external sources as well as the business’s operational databases. When it comes to the data warehouse platforms, they are extremely different from the operational databases. Data warehouse systems are designed to store huge quantity of historical data as well. This makes it super convenient for the companies to analyze the information which is captured over a certain period of time. Additionally, data warehousing involves the process of sorting the information as per the subject matter. For example, data can be sorted as product data, customer data etc.
Listed below are a few of the reasons that have led to the growth of the data warehousing industry:
- Enhances the consistency of the data
Now a days, data is collected from various sources and is collected in huge volume. Therefore, management of the consistency of the data is a task in itself. Data warehousing includes the process of setting a standard format for all the data that is collected. Thus, companies are able to identify the data more easily, and thus, it becomes easy to make use of the data. At the same time, the firms find it easy to make important business decisions as data analysis is more simplified. Also, the exchange of the insights becomes smooth. At the same time, because of the consistency of the data, the risk of error is lessened. And, standardization boosts the quality and the accuracy of the data.
- The huge potential of Business Intelligence
Data warehousing is an important part of the Business Intelligence process. As, at the end of the day, no company can do any business analysis without the accessibility to a large pool of data. If the data is systematically housed in the system, then it becomes very easy for the corporates to analyze the data and churn meaningful insights from it. At the same time, data warehousing makes sure that the data is standardized, thus, analysis and reporting of the data from a wide range of different sources is made easier too. Platforms like Pentaho BI are used extensively for BI purposes as they have all the important features for data collection, reporting, data warehousing and even for the analysis of data for BI purposes.
- Increases the quality of decision making
If any business has to grow then the leaders have to curate data-driven strategies for better decision making. The leaders of the company have to make important decisions after consulting and analyzing the useful information and the facts. Thus, data warehousing amplifies the speed as well as the accuracy of accessing varied data sets. Thus, it is easy for the businesses to get valuable insights to develop solid business and marketing strategies. Thus, data warehousing plays a major role in guiding the business to grow and stay ahead of the competition.
- Data warehousing offers historical intelligence to the company
As mentioned above as well, data warehousing is the process of storing a large range of data, which includes the historic data. The ease of access to the historical data makes it easy for the business leaders to analyze the information which is collected from a different time periods. Also, the analysis of the trends of the past help to make better decisions. At the same time, analysis of a comprehensive collection of data leads to the making of more valuable future predictions. Therefore, data warehouses are considered an upgraded version of the traditional database, as they do much more than allowing the bossiness to make reports.
- Data warehouses are more secure
Data warehousing makes it possible for the firms to access a large variety of data from a single point. Thus, the management of the data becomes a lot more convenient for the companies. At the same time, as the data is present at one place, it is easier for the firms to ensure proper security of the data. Thus, companies can easily give access to the data to only a few employees or business leaders. And, the systems can be locked down. In fact, the latest data warehousing solutions or the BI solutions are a lot more secure, like Pentaho.
The future of data warehousing is pretty bright. The latest data warehouses are eminent for the new Business Intelligence deployments. As, the new data warehouses amplifies the speed and accuracy of the data collection and movement. A plenty of latest data warehousing solutions are being developed. In fact, companies are now able to combine historical and current data as well, thanks to the modern data warehouses. This makes it easy for them to make and implement a lot more powerful Business Intelligence strategies. One of the best BI solution in the market is Pentaho BI as it not only makes the process of data collection at one place easy, but it also makes the process of data analysis and utilization of data for BI purposes easy. Pentaho is a suite of BI tools, thus, it is definitely a one stop solution for all the BI needs of a firm.
The future of data warehousing seems to be very bright, and it is only expected to grow in the near future.