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Data Warehouse

Data Management

A data warehouse is a centralized repository optimized for analytics and reporting, storing historical data from multiple sources in a structured format designed for complex queries and business intelligence.

Category Data Management
Related Terms 3 connected concepts

What Is a Data Warehouse?

A data warehouse is a specialized database designed for analytics and reporting rather than transaction processing. It consolidates data from multiple operational systems into a single repository optimized for complex queries, historical analysis, and business intelligence.

Key characteristics:

  • Subject-oriented: Organized around business subjects (sales, finance, customers)
  • Integrated: Data from multiple sources combined consistently
  • Time-variant: Stores historical data for trend analysis
  • Non-volatile: Data is stable; not constantly updated like transactional systems

Data Warehouse vs. Database

AspectOperational DatabaseData Warehouse
PurposeRun the businessAnalyze the business
OperationsInsert, update, deleteRead-heavy queries
DataCurrent stateHistorical + current
SchemaNormalized (3NF)Denormalized (star/snowflake)
UsersApplications, transactionsAnalysts, reports
Query complexitySimple, fastComplex, analytical

Data Warehouse Architecture

Source Layer

Operational systems feeding the warehouse:

  • ERP systems
  • CRM systems
  • Financial applications
  • External data sources

Staging Layer

Temporary holding area for incoming data:

  • Raw data landing zone
  • Data quality checks
  • Transformation processing

Integration Layer

Where data is cleaned and combined:

  • Master data management
  • Business logic applied
  • Consistent definitions enforced

Presentation Layer

Where users access data:

  • Dimensional models (star schemas)
  • Aggregated summaries
  • Semantic layer/metrics

Access Layer

Tools for consuming data:

  • BI tools (Tableau, Power BI)
  • Excel connections
  • AI/ML platforms
  • Custom applications

Dimensional Modeling

Data warehouses typically use dimensional models:

Fact Tables

Contain measurable business events:

  • Sales transactions
  • Financial entries
  • Inventory movements

Include:

  • Measures (amounts, quantities)
  • Foreign keys to dimensions
  • Transaction dates

Dimension Tables

Contain descriptive attributes:

  • Products (name, category, price)
  • Customers (name, segment, region)
  • Time (date, month, quarter, year)
  • Accounts (number, name, type)

Star Schema

Fact table in center, dimensions around it:

        [Product]
            |
[Time]--[Sales Fact]--[Customer]
            |
        [Region]

Modern Cloud Data Warehouses

Cloud warehouses have transformed the landscape:

Snowflake

  • Separates storage and compute
  • Pay for what you use
  • Near-infinite scalability

Google BigQuery

  • Serverless architecture
  • Built-in ML capabilities
  • Strong for large-scale analytics

Amazon Redshift

  • Tight AWS integration
  • Familiar PostgreSQL interface
  • Good for AWS-centric organizations

Databricks

  • Unified analytics platform
  • Strong for data science
  • Lakehouse architecture

Data Warehouse Benefits

Single source of truth: All business data in one place

Historical analysis: Track trends over months and years

Complex queries: Run analytics not possible in operational systems

Consistent metrics: Same definitions used everywhere

Performance: Optimized for analytical workloads

Security: Centralized access controls

Data Warehouse Challenges

Complexity: Requires specialized skills to design and maintain

Cost: Storage, compute, and tooling expenses

Time to value: Months to implement properly

Data quality: Garbage in, garbage out applies

Adoption: Users must learn new tools and processes

How Go Fig Works with Data Warehouses

Go Fig can work with or without a data warehouse:

With existing warehouse: Connect to Snowflake, BigQuery, or Redshift as a source

Without warehouse: Go Fig provides integrated storage and processing

Warehouse output: Deliver processed data to your warehouse

Semantic layer: Add business meaning on top of warehouse data

Excel bridge: Connect warehouse data directly to spreadsheets

Whether you have a data warehouse or not, Go Fig delivers analytics-ready data to finance teams.

Put Data Warehouse Into Practice

Go Fig helps finance teams implement these concepts without massive IT projects. See how we can help.

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