How (And Why) To Build A Data Warehouse: A Quick Guide

Data Warehouse

Every business deals with data. The only difference is in how good (not good) we are at that. One way to be a little better at it than others is by building a data warehouse. The latter may become a strong resource base for your business intelligence.

What’s Data Warehousing Exactly?

So your business has to handle a certain amount of data. You can do that chaotically. Or, you can collect, store, and manage it in a centralized repository. The latter is a data warehouse as such. When you choose the DWH approach, you get some advantages in terms of analysis and reporting. The thing is that traditional databases are only fit for transactional processing. Data warehouses, in turn, handle complex queries and large volumes of input.

Imagine you run an e-commerce company with data scattered across different systems. You’ve got sales, inventory, customer support, marketing, and other sources of information. A warehouse brings all this information together. You now have reports that show how your marketing efforts are impacting sales. In other words, you see the big picture. For effective management and utilization of your data, consider leveraging data warehouse consulting services to streamline your processes and enhance your business intelligence capabilities.

How to Build a Data Warehouse Service

Step 1: DWH Consulting

First and foremost, you’ll need to work with a reliable data warehousing implementation service. So the first step is to ask their experts to assess your business needs, data sources, and objectives.

You, in turn, can identify the key questions your business needs to answer. What are your reporting requirements? Which metrics are most important to your operations? This will help you determine what to include in your warehouse.

Together with the consultants, you’ll next map out all sources of information, both internal (e.g., CRM, ERP systems) and external (e.g., social media, third-party APIs). The experts will help you choose the right technology stack (e.g., SQL-based, NoSQL, etc.). You’ll agree on the budget.

Step 2: Development of DWH Solutions

The next step is to develop the DWH solutions. At this stage, developers 

  • design the architecture
  • create Extract, Transform, Load (ETL) processes
  • set up data models.

Stay involved because your DWH architecture will define how everything is stored, processed, and accessed. The heart of your DWH lies in its ETL processes. They extract insights from various sources, transform them into a consistent format, and load them into the warehouse. Ask the developers to create robust ETL pipelines that can 

  • handle large data volumes
  • ensure data quality
  • process updates in real time or batch modes.

Step 3: Integration of DWH Solutions

Now, it’s time to see how your DWH solution is doing in practice. The developers will have it connected with existing systems and tools for that.

Discuss with the experts if they’ll implement synchronization processes. That’s very important because that guarantees updates and connection between systems. It may be a good idea to set up data replication or incremental updates, depending on the frequency and volume of data changes.

And of course, standard security measures — encryption, access controls, and compliance measures (GDPR or HIPAA) — must be in place. It’s wise to discuss them in advance.

Step 4: Data Warehouse Support

DWH support is, first and foremost, about regular monitoring. The latter is necessary to identify and resolve issues like

  • slow queries
  • data inconsistencies
  • ETL failures.

Ask the developers to build automated monitoring tools that can alert your team when required.

Data quality likewise needs to be monitored. Set up validation rules, conduct regular audits, and cleanse the data as needed. After all, you rely on it in your decisions.

Final Thoughts

So you now have a general idea of how the process of DWH building is carried out. Does your business need it? If it generates data, if it wants to make smarter decisions, if it doesn’t want to miss opportunities — then, the answer is, most likely, yes. Anyway, it’s always best to speak to professionals from a data warehousing implementation service. That may make sense even if you already have a data warehouse because they can recommend a migration to a more efficient deployment model.

Subscribe

* indicates required