Lecture #1- Intro to DW - SS ZG515: Data Warehousing...

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SS ZG515: Data Warehousing Introduction to Data Warehousing Lecture Notes #1 Present Business Scenario Over the last 20 years, $1 trillion has been invested in new computer systems to gain competitive advantage. The vast majority of these systems have automated business processes, to make them faster, cheaper, and more responsive to the customer. Electronic point of sales (EPOS) at supermarkets, itemized billing at telecommunication companies (telcos), and mass market mailing at catalog companies are some examples of such “Operational Systems”. These systems computerized the day-to-day operations of business organizations. Some characteristics of the operational systems are as follows: Most organizations have a number of individual operational systems (databases, applications) On-Line Transaction Processing ( OLTP ) systems capture the business transactions that occur. An Operational System is a system that is used daily (perhaps constantly) to perform routine operations - part of the normal business processes. Examples: Order Entry, Purchasing, Stock/Bond trading, bank operations. Users make short term, localized business decisions based on operational data. e.g., "Can I fill this order based on the current units in inventory?" Presently almost all businesses have operational systems and these systems are not giving them any competitive advantage. These systems have gathered a vast amount of “data” over the years. The companies are now realizing the importance of this “hidden treasure” of information. Efforts are now on to tap into this information that will improve the quality of their decision-making. A “data warehouse” is nothing but a repository of data collected from the various operational systems of an organization. This data is then comprehensively analyzed to gain competitive advantage. The analysis is basically used in decision making at the top level. From being just a passing fad, Data Warehousing technology has grown much in scale and reputation in the past few years, as evidenced by the increasing number of products, vendors, organizations, and yes books, even books, devoted to the subject. Enterprises that have successfully implemented data warehouses find it strategic and often wonder how they ever managed to survive without it in the past. As early as 1995, a Gartner Group survey of Fortune 500 IT managers found that 90% of
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This note was uploaded on 04/21/2010 for the course CSIS SS G515 taught by Professor Prof.yash during the Winter '10 term at Birla Institute of Technology & Science, Pilani - Hyderabad.

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Lecture #1- Intro to DW - SS ZG515: Data Warehousing...

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