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Data Warehouse Definition<br />Different people have different definitions for a data warehouse. The most popular definition came from Bill Inmon, who provided the following: <br />A data warehouse is a subject-oriented, integrated, time-variant and non-volatile collection of data in support of management's decision making process. <br />Subject-Oriented: A data warehouse can be used to analyze a particular subject area. For example, quot;
salesquot;
 can be a particular subject.<br />Integrated: A data warehouse integrates data from multiple data sources. For example, source A and source B may have different ways of identifying a product, but in a data warehouse, there will be only a single way of identifying a product.<br />Time-Variant: Historical data is kept in a data warehouse. For example, one can retrieve data from 3 months, 6 months, 12 months, or even older data from a data warehouse. This contrasts with a transactions system, where often only the most recent data is kept. For example, a transaction system may hold the most recent address of a customer, where a data warehouse can hold all addresses associated with a customer.<br />Non-volatile: Once data is in the data warehouse, it will not change. So, historical data in a data warehouse should never be altered.<br />Ralph Kimball provided a more concise definition of a data warehouse: <br />A data warehouse is a copy of transaction data specifically structured for query and analysis.<br />This is a functional view of a data warehouse. Kimball did not address how the data warehouse is built like Inmon did, rather he focused on the functionality of a data warehouse. <br />Data Warehouse Architecture<br />Different data warehousing systems have different structures. Some may have an ODS (operational data store), while some may have multiple data marts. Some may have a small number of data sources, while some may have dozens of data sources. In view of this, it is far more reasonable to present the different layers of a data warehouse architecture rather than discussing the specifics of any one system.<br />In general, all data warehouse systems have the following layers:<br />,[object Object]
Data Extraction Layer
Staging Area
ETL Layer
Data Storage Layer
Data Logic Layer
Data Presentation Layer
Metadata Layer
System Operations Layer The picture below shows the relationships among the different components of the data warehouse architecture: <br />Each component is discussed individually below: <br />Data Source Layer <br />This represents the different data sources that feed data into the data warehouse. The data source can be of any format -- plain text file, relational database, other types of database, Excel file, ... can all act as a data source. <br />Many different types of data can be a data source: <br />,[object Object]
Web server logs with user browsing data.
Internal market research data.
Third-party data, such as census data, demographics data, or survey data. All these data sources together form the Data Source Layer. <br />Data Extraction Layer <br />Data gets pulled from the data source into the data warehouse system. There is likely some minimal data cleansing, but there is unlikely any major data transformation. <br />Staging Area <br />This is where data sits prior to being scrubbed and transformed into a data warehouse / data mart. Having one common area makes it easier for subsequent data processing / integration. <br />ETL Layer <br />This is where data gains its quot;
intelligencequot;
, as logic is applied to transform the data from a transactional nature to an analytical nature. This layer is also where data cleansing happens. <br />Data Storage Layer <br />This is where the transformed and cleansed data sit. Based on scope and functionality, 3 types of entities can be found here: data warehouse, data mart, and operational data store (ODS). In any given system, you may have just one of the three, two of the three, or all three types. <br />Data Logic Layer <br />This is where business rules are stored. Business rules stored here do not affect the underlying data transformation rules, but does affect what the report looks like. <br />Data Presentation Layer <br />This refers to the information that reaches the users. This can be in a form of a tabular / graphical report in a browser, an emailed report that gets automatically generated and sent everyday, or an alert that warns users of exceptions, among others. <br />Metadata Layer <br />This is where information about the data stored in the data warehouse system is stored. A logical data model would be an example of something that's in the metadata layer. <br />System Operations Layer <br />This layer includes information on how the data warehouse system operates, such as ETL job status, system performance, and user access history. <br />Data Warehousing Concepts<br />Dimensional Data Model: Dimensional data model is commonly used in data warehousing systems. This section describes this modeling technique, and the two common schema types, star schema and snowflake schema. <br />Slowly Changing Dimension: This is a common issue facing data warehousing practioners. This section explains the problem, and describes the three ways of handling this problem with examples. <br />Conceptual Data Model: What is a conceptual data model, its features, and an example of this type of data model. <br />Logical Data Model: What is a logical data model, its features, and an example of this type of data model. <br />Physical Data Model: What is a physical data model, its features, and an example of this type of data model. <br />Conceptual, Logical, and Physical Data Model: Different levels of abstraction for a data model. This section compares and constrasts the three different types of data models. <br />Data Integrity: What is data integrity and how it is enforced in data warehousing. <br />What is OLAP: Definition of OLAP. <br />MOLAP, ROLAP, and HOLAP: What are these different types of OLAP technology? This section discusses how they are different from the other, and the advantages and disadvantages of each. <br />Bill Inmon vs. Ralph Kimball: These two data warehousing heavyweights have a different view of the role between data warehouse and data mart<br />Dimensional Data Model<br />Dimensional data model is most often used in data warehousing systems. This is different from the 3rd normal form, commonly used for transactional (OLTP) type systems. As you can imagine, the same data would then be stored differently in a dimensional model than in a 3rd normal form model. <br />To understand dimensional data modeling, let's define some of the terms commonly used in this type of modeling: <br />Dimension: A category of information. For example, the time dimension. <br />Attribute: A unique level within a dimension. For example, Month is an attribute in the Time Dimension. <br />Hierarchy: The specification of levels that represents relationship between different attributes within a dimension. For example, one possible hierarchy in the Time dimension is Year -> Quarter -> Month -> Day. <br />Fact Table: A fact table is a table that contains the measures of interest. For example, sales amount would be such a measure. This measure is stored in the fact table with the appropriate granularity. For example, it can be sales amount by store by day. In this case, the fact table would contain three columns: A date column, a store column, and a sales amount column. <br />Lookup Table: The lookup table provides the detailed information about the attributes. For example, the lookup table for the Quarter attribute would include a list of all of the quarters available in the data warehouse. Each row (each quarter) may have several fields, one for the unique ID that identifies the quarter, and one or more additional fields that specifies how that particular quarter is represented on a report (for example, first quarter of 2001 may be represented as quot;
Q1 2001quot;
 or quot;
2001 Q1quot;
). <br />A dimensional model includes fact tables and lookup tables. Fact tables connect to one or more lookup tables, but fact tables do not have direct relationships to one another. Dimensions and hierarchies are represented by lookup tables. Attributes are the non-key columns in the lookup tables. <br />In designing data models for data warehouses / data marts, the most commonly used schema types are Star Schema and Snowflake Schema. <br />Whether one uses a star or a snowflake largely depends on personal preference and business needs. Personally, I am partial to snowflakes, when there is a business case to analyze the information at that particular level. <br />Snowflake Schema<br />The snowflake schema is an extension of the star schema, where each point of the star explodes into more points. In a star schema, each dimension is represented by a single dimensional table, whereas in a snowflake schema, that dimensional table is normalized into multiple lookup tables, each representing a level in the dimensional hierarchy. <br />Sample snowflake schema<br />For example, the Time Dimension that consists of 2 different hierarchies: <br />1. Year -> Month -> Day 2. Week -> Day <br />We will have 4 lookup tables in a snowflake schema: A lookup table for year, a lookup table for month, a lookup table for week, and a lookup table for day. Year is connected to Month, which is then connected to Day. Week is only connected to Day. A sample snowflake schema illustrating the above relationships in the Time Dimension is shown to the right. <br />The main advantage of the snowflake schema is the improvement in query performance due to minimized disk storage requirements and joining smaller lookup tables. The main disadvantage of the snowflake schema is the additional maintenance efforts needed due to the increase number of lookup tables. <br />Star schema<br />In the star schema design, a single object (the fact table) sits in the middle and is radially connected to other surrounding objects (dimension lookup tables) like a star. Each dimension is represented as a single table. The primary key in each dimension table is related to a forieng key in the fact table. <br />Sample star schema<br />All measures in the fact table are related to all the dimensions that fact table is related to. In other words, they all have the same level of granularity. <br />A star schema can be simple or complex. A simple star consists of one fact table; a complex star can have more than one fact table. <br />Let's look at an example: Assume our data warehouse keeps store sales data, and the different dimensions are time, store, product, and customer. In this case, the figure on the left repesents our star schema. The lines between two tables indicate that there is a primary key / foreign key relationship between the two tables. Note that different dimensions are not related to one another. <br />Slowly Changing Dimensions<br />The quot;
Slowly Changing Dimensionquot;
 problem is a common one particular to data warehousing. In a nutshell, this applies to cases where the attribute for a record varies over time. We give an example below: <br />Christina is a customer with ABC Inc. She first lived in Chicago, Illinois. So, the original entry in the customer lookup table has the following record: <br />Customer KeyNameState1001ChristinaIllinois<br />At a later date, she moved to Los Angeles, California on January, 2003. How should ABC Inc. now modify its customer table to reflect this change? This is the quot;
Slowly Changing Dimensionquot;
 problem. <br />There are in general three ways to solve this type of problem, and they are categorized as follows: <br />Type 1: The new record replaces the original record. No trace of the old record exists. <br />In Type 1 Slowly Changing Dimension, the new information simply overwrites the original information. In other words, no history is kept. <br />In our example, recall we originally have the following table: <br />Customer KeyNameState1001ChristinaIllinois<br />After Christina moved from Illinois to California, the new information replaces the new record, and we have the following table: <br />Customer KeyNameState1001ChristinaCalifornia<br />Advantages: <br />- This is the easiest way to handle the Slowly Changing Dimension problem, since there is no need to keep track of the old information. <br />Disadvantages: <br />- All history is lost. By applying this methodology, it is not possible to trace back in history. For example, in this case, the company would not be able to know that Christina lived in Illinois before. <br />Usage: <br />About 50% of the time. <br />When to use Type 1: <br />Type 1 slowly changing dimension should be used when it is not necessary for the data warehouse to keep track of historical changes<br />Type 2: A new record is added into the customer dimension table. Therefore, the customer is treated essentially as two people. <br />In Type 2 Slowly Changing Dimension, a new record is added to the table to represent the new information. Therefore, both the original and the new record will be present. The newe record gets its own primary key. <br />In our example, recall we originally have the following table: <br />Customer KeyNameState1001ChristinaIllinois<br />After Christina moved from Illinois to California, we add the new information as a new row into the table: <br />Customer KeyNameState1001ChristinaIllinois1005ChristinaCalifornia<br />Advantages: <br />- This allows us to accurately keep all historical information. <br />Disadvantages: <br />- This will cause the size of the table to grow fast. In cases where the number of rows for the table is very high to start with, storage and performance can become a concern. <br />- This necessarily complicates the ETL process. <br />Usage: <br />About 50% of the time. <br />When to use Type 2: <br />Type 2 slowly changing dimension should be used when it is necessary for the data warehouse to track historical changes.<br />Type 3: The original record is modified to reflect the change. <br />We next take a look at each of the scenarios and how the data model and the data looks like for each of them. Finally, we compare and contrast among the three alternatives. <br />n Type 3 Slowly Changing Dimension, there will be two columns to indicate the particular attribute of interest, one indicating the original value, and one indicating the current value. There will also be a column that indicates when the current value becomes active. <br />In our example, recall we originally have the following table: <br />Customer KeyNameState1001ChristinaIllinois<br />To accommodate Type 3 Slowly Changing Dimension, we will now have the following columns: <br />Customer Key<br />Name<br />Original State<br />Current State<br />Effective Date<br />,[object Object],Customer KeyNameOriginal StateCurrent StateEffective Date1001ChristinaIllinoisCalifornia15-JAN-2003<br />,[object Object]
- This does not increase the size of the table, since new information is updated.
- This allows us to keep some part of history.
Disadvantages:
- Type 3 will not be able to keep all history where an attribute is changed more than once. For example, if Christina later moves to Texas on December 15, 2003, the California information will be lost.
Usage:

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Dimensional data model