Q1: What are the key characteristics of data in a data warehouse?
Subject-Oriented: Data is organized around key subjects (e.g., sales, customers) rather than
applications.
Integrated: Data from various sources is consolidated into a consistent format.
Time-Variant: Historical data is maintained, allowing for analysis over time.
Non-Volatile: Once data is entered into the warehouse, it does not change, ensuring historical
accuracy.
Q2: Explain the data warehouse lifecycle and its main stages.
The data warehouse lifecycle includes the following stages:
Planning: Define the purpose and scope of the data warehouse.
Design: Create a blueprint for the data warehouse architecture, including data models and ETL
processes.
Implementation: Build the data warehouse, including data extraction, transformation, and
loading (ETL).
Operation: Maintain and manage the data warehouse, ensuring data quality and performance.
Evolution: Adapt and enhance the data warehouse based on changing business needs and
technology advancements.
Q3: What are the primary applications of a data warehouse?
Business Intelligence: Support decision-making through reporting and analysis.
Data Mining: Enable advanced analytics to discover patterns and insights.
Performance Management: Monitor and improve business performance through key performance
indicators (KPIs).
Customer Relationship Management (CRM): Analyze customer data to enhance relationships
and marketing strategies.
Q4: Describe the data architecture used in data warehouse operations.
The data architecture typically consists of:
Data Sources: Operational databases, external data sources, and flat files.
ETL Layer: Tools and processes for extracting, transforming, and loading data into the
warehouse.
Data Warehouse: Central repository for integrated data, often structured in a star or snowflake
schema.
OLAP Layer: Online Analytical Processing tools for multidimensional analysis.
Front-End Tools: Reporting, querying, and data mining tools for end-user access.
Q5: What is a data warehouse? How is it different from a traditional database?
A data warehouse is a centralized repository designed for analytical reporting and data analysis,
optimized for read access and complex queries. It differs from a traditional database in that:
Purpose: Data warehouses are designed for analysis and reporting, while traditional databases are
optimized for transaction processing.
Data Structure: Data warehouses use denormalized structures (e.g., star schema) for efficient
querying, whereas traditional databases use normalized structures.
Data Volume: Data warehouses handle large volumes of historical data, while traditional
databases focus on current transactional data.
Q6: What steps are involved in acquiring data for a data warehouse?
Data Extraction: Collect data from various sources, including operational databases and external
systems.
Data Cleaning: Remove inconsistencies, duplicates, and errors from the data.
Data Transformation: Convert data into a suitable format for analysis, including normalization
and aggregation.
Data Loading: Load the cleaned and transformed data into the data warehouse.
Q7: What challenges are commonly encountered when implementing a data warehouse?
Data Quality: Ensuring accuracy, consistency, and completeness of data.
Integration: Combining data from diverse sources with different formats and structures.
Scalability: Managing increasing data volumes and user demands.
Performance: Optimizing query performance and response times.
User Adoption: Encouraging users to adopt and effectively use the data warehouse.
Q8: Define a multidimensional data model and explain its role in data warehousing.
A multidimensional data model organizes data into dimensions and facts, allowing users to
analyze data from multiple perspectives. It typically includes:
Dimensions: Attributes that provide context (e.g., time, geography, product).
Facts: Numeric measures that are analyzed (e.g., sales, revenue). The model supports OLAP
operations, enabling users to perform complex queries and analyses efficiently.
Q9: Provide definitions for the following terms:
(a) OLAP: Online Analytical Processing, a category of software technology that enables analysts
to perform multidimensional analysis of business data. (b) ROLAP: Relational OLAP, which
uses relational databases to store data and performs OLAP operations directly on relational data.
(c) MOLAP: Multidimensional OLAP, which stores data in a multidimensional cube format,
allowing for faster query performance. (d) DSS: Decision Support System, a computer-based
information system that supports business or organizational decision-making activities. (e) Data
marts: Subsets of data warehouses that focus on specific business areas or departments,
providing tailored data for analysis
