Moving a business from different data sources and ad hoc reporting to a single data warehouse solution signals growth in the right direction. However, different organizations have different data warehousing requirements. Moreover, service providers generally assume that users fully understand the industry. Therefore, it is essential to have a data warehouse strategy that clearly defines the requirements of any organization before implementing a solution.

In this blog, we have curated a list of questions to help you set up a successful data warehouse strategy. Read on.

Why have a Data Warehouse Strategy?

Selecting the right data warehouse is often the first step in a bigger effort to modernize data platforms and data infrastructure. Data warehouse implementations help businesses grow by allowing them to extract value from data. The right data, stored in the right manner offers strategic insights for business insights and helps make accurate projections about future opportunities. On implementing a data warehouse strategy, you gain all the benefits of a modern data warehouse for your organization.

Here are some of the main benefits:

• Consolidates datasets into a central location
• Enhances data quality
• Faster data integration and data transformation
• Scalability and flexibility
• Better decision-making capabilities
• Boosts data analytics accuracy

Questions for a Successful Data Warehouse Strategy

Following is a list of questions that can help set up a successful data warehouse strategy:

Can we expect ROI with a cloud data warehouse?

Depending on initial costs (which differ from vendor to vendor), you may start making returns as soon as the data comes into the data warehouse for storage and processing. Eventually with appropriate data in place, you can start making better decisions that drive revenue and reduce costs.

Can we implement a pay-as-you-scale price model?

Yes, this is certainly an option, since no two companies approach data warehousing with the same workloads (and objectives). Pricing is based on your requirements and consumption. As you scale, keep in mind how high data volumes and processing will cost you.

Data warehouse providers typically offer tiered pricing models where costs differ based on usage and size. However, this flexibility is not available if you decide to hire technical talent to manage your data warehousing in the cloud.

Which is a better option – a cloud or an on-prem data warehouse solution?

Earlier, on-premises infrastructure and other overhead costs made data warehousing quite expensive. However, with the emergence of Data Warehouse as a Service (DWaaS) providers, setup, infrastructure, and maintenance costs are much more affordable. Both cloud and on-prem data warehouse solutions offer the same memory redundancy and security. Do consider the pros and cons of each option.

For example, a cloud solution offers quicker and cost-effective scaling, but an on-prem solution comes with comprehensive governance and the ability to choose your tech stack. Also, depending on where the on-prem infrastructure is located, you can prevent network latency issues. Do note that you have the option to pick a hybrid solution as well.

Can a data warehouse solution automate scaling and data input processes?

The best data warehouse solutions scale automatically. Automatic scaling is crucial when there is a temporary spike in workload and storage capacity requirements and when the data increases organically. However, we recommend that you look for a data warehousing partner that automates the data input, processing, and presentation of analysis results. This transforms into a managed data warehouse solution, reducing many expenses.

How many data sources can we integrate with our data warehouse solution?

Data warehouse solutions have a long list of data integration options. These include mainstream databases and custom information storage solutions. The number of sources you can integrate depends on the solution you choose. However, the following are some data sources you can integrate into a data warehouse solution:

• ERPs and accounting packages
• Websites and social media pages
• Relational databases (PostgreSQL, MySQL, and so on.)
• Document data lists (CSV, Google Sheets, and so on.)
• Unstructured databases (NoSQL, MongoDB, and so on.)

Note: Using APIs and one-off authorization, you can set up data bridges that offer high performance with minimal maintenance.

Can we start with data warehousing without a central database?

Yes! With data warehousing, you can collect information from all your data sources in a central location. A data warehouse enables you to pull all your business’s data to a single source of truth, irrespective of where the data comes from and its format. Your data in the data warehouse will be available in a well-understood format. This makes analyzing that data or integrating other data sources easier, going forward.

What are the common methods to upload data into a data warehouse?

This depends on the type of data used within your respective business. For most modern use cases, data is collected and stored in a source software or system. Accessing the data from the source system can be done programmatically through manual CSV, an API, JSON, Excel, or flat file exports. Direct connection to a database is another option available. ETL and the ELT methods are the two most common methods available for uploading data into a data warehouse. The ETL process transforms data on a secondary processing server. In contrast, the ELT process loads raw data directly into the target data warehouse. Once the data is loaded into the data warehouse, you can transform the data when you need it.

Wrapping Up

In this blog, we have covered all the questions that can help you plan an effective data warehouse strategy. Aretove is at the forefront of data-driven innovation, offering expertise in setting up and executing effective data warehouse strategies. By leveraging advanced technologies and a complete understanding of your business needs, Aretove ensures seamless integration and optimal performance from your data warehouse. Partner with Aretove to transform your data into a strategic asset, driving informed decision-making and sustainable growth for your organization.