7 Reasons Why You Should Invest in a Data Warehouse

Data Warehouse is a collection of standardized data from heterogeneous sources which helps in analyzing the data and reporting the results in a structured way to help in the decision-making. 

Ever wondered if Data Warehouse is necessary? We are going to give you 7 reasons that makes Data Warehouse worth the investment!

1.  Integrated  Data 

Suppose we have data from various sources. Without data warehouse, it will be difficult for business leaders to analyze and make decisions out of it.

Data warehouse  provides great comfort  by acting  as  a  single  data source of  all the  external and internal data  that  has been integrated in a uniform format. It gives a complete picture of the data and acts as a  compatible  source  for  every aspect  and dimension  of  your  business. 
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2.  Massive and Meaningful Data  

Tired with lots of data?  

​Data warehouse allows  you  to maintain  large volumes of  data where the access  to  the required  information  can be easily available.   

With such huge data, ambiguity is common. With ambiguity, comes the inefficiency to  deal  with  the data.  

This can be  handled  if the meaning behind the data variables is easily understood.  Data warehouse  is  more user-friendly  compared to  the other data sources. It enables  you  to  retrieve quick and easy results along with  proper understanding  of the  data essence - which cannot be found in the source system.  

3.  Real-Time and Interactive source    

As your data changes continuously in every dimension of the operations, it is burdensome for you to handle the static data.  
  
No need to worry! Data Warehouse comes to your rescue!  
 
Data Warehouse  can be used as an interactive information source where the interaction can happen in real-time and the reports generated can be used to gain multiple insights into the business analytics.    
  
4.  Historical Accuracy and Analysis of Data    

The data concerning your business goes way back and continues for a long time. At times, you may need to access the data of your past operations and past market situations. This will help you to analyze how the market is changing and how it is affecting your business. So, handling your history of data efficiently is needed.  
 
Using ETL (Extract-Transform-Load) for Data warehousing helps in reducing room for manual errors
and human risk. It enables  you  to maintain historical data by ensuring  the consistent record of data changes in the source system. This data allows  you  to perform the historical analysis and compares
the performances as well as improvements resulted from these changes.  
 
For example, when  you implement  a change in  your  product or service, the reports before the change can be compared to the present reports which enable  you  to  make rational decisions regarding the business.   
  
5.  Faster and Efficient Source    

In this era of  the  digital world, the idea of analyzing and writing reports manually from the data is exhausting.  And again, you need the reports to be easily understandable.  
 
Data Warehouse helps  you  to spend less time on data extraction and report generation. This quick retrieval and analysis increase the efficiency of  your  job.  Although it involves  aggregating and analyzing huge data, the data warehouse architecture helps in the faster analysis of the data than  other  reporting  tools  such as Excel and R Studio. Also, as compared to these tools,  the data warehouse is less expensive  which makes it more attractive.  
  
6.  Secure source    

Since all your data is present at a single place, it may need your IT department to look over the data and its operations. But imagine if an analyst needs simple data from the source and needs to go through a long process of asking the IT department, waiting for long-hours, and retrieving it. If this is done multiple times, it takes more time to complete simple operations.  
 
If the data is secured at multiple levels, then access can be given to all the employees according to their needs. This is done by controlling the access of certain users to the data and determining the extent of operations that a  user  can perform on the data, i.e., viewing, modifying, or updating.   
 
So, you can select which employees  can access what data and what are the operations they  can  perform on the data. You  can also audit the usage of  the data and retrieve all the information regarding the operations performed by a user on it.  
And being a  secure  source of data,  data warehouse  is also able to  maintain confidential data effectively.   
  
7.  Flexibility of the Data source and Analysis reports    

These days, we have lots of resources on  Business Intelligence (BI) tools  that  can provide easy illustrations of the data reports.  Owing to the  flexible data warehouse architecture, you  can  easily collaborate with different BI tools and contribute towards the best reporting display structures of the results. This allows  you  to take rational managerial decisions  easily.  

In addition, these Data warehouse structures enable  you  to  analyze the reports in whichever dimension required and help in accommodating the additional  prospects  of  your  product or service.