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The State of Enterprise Data Warehousing: Trends and Predictions

By June 14, 2023June 19th, 2023No Comments

As data drives the world today, enterprises are constantly seeking innovative ways to harness the power of information. As businesses generate vast amounts of data from various sources, the need for effective data management and analysis has become more critical than ever. This is where data warehousing comes into play. In this blog, we will delve into the different components that go into a successful enterprise data warehouse solution and the emerging trends and predictions that are shaping the future of data in business.

Don’t Let Data Silos Hold You Back. Explore Data Warehousing Solutions

Data warehousing has long been a cornerstone of enterprise-level data management, enabling organizations to store, integrate, and analyze large volumes of data for actionable insights. However, with the rapid advancements in technology and the increasing complexity of data ecosystems, the future of enterprise data warehousing is poised for significant transformation.

Key advancements over the years that extended the capabilities of data warehousing generally include the use of SQL and NoSQL databases, API integration, Software-as-a-Service (SaaS) solutions, and the integration of Internet of Things (IoT) data. From the rise of cloud-based solutions to the adoption of advanced analytics techniques, we will explore how these developments are revolutionizing the way businesses handle their data. By understanding these trends and predictions, organizations can better prepare themselves to leverage the full potential of data warehousing in the years to come. 

Trends in Data Warehousing 

Trend 1: adoption of Lake Houses

One of the prominent trends in data warehousing is the adoption of Lake Houses, which offer the ability to store data once and access its views many times and in multiple layers and places. This approach minimizes data duplication, reduces silos, and promotes data democratization, enabling organizations to derive valuable insights from their data assets.

Google Cloud Platform (GCP) provides a robust solution for Lake House architectures with its offering called Dataplex. Dataplex is a data fabric platform that simplifies data management and integration across various data sources. It allows organizations to ingest, store, analyze, and serve data seamlessly while leveraging the power of GCP’s analytics capabilities.

With Dataplex, organizations can efficiently manage large volumes of data, establish data governance policies, and ensure data quality and consistency. The platform enables easy access to structured and unstructured data, facilitating comprehensive analytics and reporting. It also provides scalability and elasticity to handle growing data demands and optimize query performance.

By adopting GCP’s Dataplex solution, organizations can embrace the Lake House approach and harness the full potential of their data. They can derive meaningful insights, make informed decisions, and gain a competitive edge in today’s data-driven landscape.

Trend 2: Data exploration and business activation 

Data exploration and business activation play a critical role in leveraging the power of enterprise data warehousing. To facilitate this process, Looker, a leading data exploration and analytics platform, comes into the spotlight. Looker empowers organizations to unlock the full potential of their data by enabling users to explore, visualize, and analyze data in a user-friendly and intuitive manner.

With Looker, users can create interactive dashboards, reports, and visualizations, providing a comprehensive view of their data. The platform supports self-service analytics, allowing business users to access and explore data independently without heavy reliance on technical teams. This fosters a culture of data-driven decision-making throughout the organization.

Furthermore, Looker offers advanced features such as embedded analytics, data modeling, and collaborative data exploration. These capabilities enable organizations to delve deeper into their data, uncover hidden insights, and drive actionable outcomes. Looker’s flexibility and scalability make it suitable for organizations of all sizes, from startups to large enterprises.

By integrating Looker with their enterprise data warehouse, organizations can seamlessly connect, explore, and activate their data for meaningful business outcomes. Whether it’s identifying trends, optimizing operations, or driving customer engagement, Looker empowers organizations to transform data into actionable insights and accelerate business growth.

Trend 3: Data exchange between organizations and teams

Another significant trend in the realm of data warehousing is the increasing need for data exchange and collaboration between organizations and teams. To address this trend, analytics hubs and platforms like Apigee, offered by Google Cloud Platform (GCP), have gained prominence.

Analytics hubs serve as centralized platforms that enable seamless data sharing and collaboration across different organizations and teams. These hubs provide a secure and controlled environment for data exchange, ensuring privacy and compliance with regulations. By establishing an analytics hub, organizations can easily share data assets, insights, and analytics capabilities with trusted partners, customers, or internal teams, fostering collaboration and driving innovation.

Apigee, as a GCP offering, plays a pivotal role in enabling data exchange through APIs (Application Programming Interfaces). It allows organizations to create, manage, and secure APIs, making it easier to share data and services across different systems and applications. With Apigee, organizations can ensure secure and governed data exchange, while also leveraging built-in analytics capabilities to monitor and optimize API performance.

By leveraging analytics hubs and platforms like Apigee, organizations can break down data silos, enable seamless collaboration, and accelerate innovation through data sharing. These solutions facilitate the exchange of valuable insights, datasets, and analytical tools, leading to enhanced decision-making, improved operational efficiency, and increased agility in the ever-evolving business landscape.

Enterprise Data Warehouse – Ingesting Data 

One of the critical steps in enterprise data warehousing is the ingestion of data from various sources into the data warehouse. The process of data ingestion involves extracting data, transforming it into a suitable format, and loading it into the data warehouse for analysis and reporting. Yet with enterprise data warehousing, the process of extracting and loading data into a central repository is just the beginning. As organizations strive to extract maximum value from their data, they are exploring new avenues and technologies to go beyond traditional practices. Which is why choosing the right tool for data ingestion is crucial to ensure efficient and seamless data flow into the warehouse. At Niveus Solutions, we specialize in delivering streamlined data ingestion solutions tailored to your specific needs. With expertise in various data ingestion techniques and a deep understanding of your unique data landscape, we provide personalized recommendations and implement efficient data pipelines. Our goal is to minimize disruption, reduce dependencies, and ensure data integrity throughout the ingestion process. Trust us to streamline your data ingestion experience and unlock the full potential of your data assets.

Having efficient and standardized data ingestion processes is crucial. Ingest templates play a significant role in achieving this goal by providing pre-defined frameworks and structures for data ingestion. These templates serve as a foundation for ingesting data from various sources, ensuring consistency, reliability, and scalability.

Data foundations, comprising accelerators such as templates and utility tools, offer organizations a head start in their data ingestion journey. These accelerators provide ready-to-use frameworks that streamline the ingestion process, reducing the time and effort required to onboard new data sources. With pre-built templates, organizations can quickly configure data ingestion pipelines, define data mappings, and handle common data transformation tasks.

While simple data ingestion techniques offer a quick way to load data into a warehouse, they come with challenges like infrastructure cost, manual processes, and limited data usability. Provisioning and managing infrastructure can be costly, while relying on custom scripts creates dependencies and maintenance issues. Additionally, incomplete data transformation hinders valuable insights for decision-making.

SAP Data modeling – 

SAP is known for its complex data structure that can present challenges during data ingestion and modeling processes. However, our industry-leading tools and accelerators are specifically designed to address these complexities, making the ingestion and modeling of SAP data more manageable compared to other solutions in the market. Our expertise and experience allow us to navigate the intricacies of SAP data structures effectively.

Furthermore, our Data Fusion capabilities enable seamless integration and utilization of SAP data within the data warehousing ecosystem. By leveraging Data Fusion, we can harmonize and consolidate SAP data with other data sources, enabling comprehensive analytics and reporting across the organization.

In addition to SAP, our solutions also extend to other platforms such as Salesforce, where we offer seamless integration and data modeling through our Cortex framework. This framework allows for efficient extraction, transformation, and loading of Salesforce data into the data warehouse, ensuring that organizations can harness the full potential of their Salesforce data for valuable insights and decision-making.

We partnered with a major Indian automotive conglomerate to migrate 2,000 tables and 10 TB of historical data into a Lake House architecture. By leveraging Google Cloud Platform (GCP) for analytics without high infrastructure costs, we achieved cost-effective modeling and seamless data increments. The automotive conglomerate now benefits from centralized data, improved query performance, and real-time insights for informed decision-making. This case exemplifies the power of our data management approach in the automotive industry.

Data Modeling –  Preliminary Discovery Of Data Models And Prioritizing Optimizations

Data modeling plays a crucial role in enterprise data warehousing as it enables organizations to structure and organize their data for effective analysis and decision-making. By defining the relationships between data entities and establishing a logical framework, data modeling provides a blueprint for organizing and understanding complex datasets. It allows for efficient data storage, optimized query performance, and meaningful insights extraction. With a well-designed data model, organizations can unlock the full potential of their data assets, enabling them to make informed decisions and gain a competitive edge in today’s data-driven landscape. Let’s explore the preliminary discovery of data models and the process of prioritizing optimizations to enhance the data warehousing experience.

Preliminary Discovery of Data Models: Before diving into the design and implementation of a data model, it is essential to conduct a preliminary discovery phase. This phase involves understanding the organization’s data sources, business processes, and analytical requirements. By engaging with stakeholders and subject matter experts, organizations can gain valuable insights into the structure and relationships of their data. During the preliminary discovery phase, key steps may include Data Profiling, Business Requirement Gathering, Entity Identification and Relationship Mapping, Data Granularity and Aggregation Levels

Prioritized Optimizations: Once the preliminary discovery of data models is complete, organizations can focus on prioritizing optimizations to enhance the performance, scalability, and usability of their data warehouse. Some key areas to consider during the optimization phase include Query Performance, Data Transformation and ETL Processes, Data Compression and Storage Optimization, Scalability and Data Governance. By prioritizing these optimizations based on the organization’s specific needs and goals, data warehousing initiatives can achieve better performance, increased efficiency, and improved decision-making capabilities. By focusing on targeted optimizations, organizations can further enhance the performance, scalability, and usability of their data warehouse, enabling them to derive actionable insights and gain a competitive edge in today’s data-driven landscape.

Through a comprehensive understanding of the data landscape and business requirements, organizations can design data models that align with their analytical goals. 

Benefits of Enterprise Data Warehouse 

Enterprise data warehouse solutions offer several benefits for organizations, including:

  • Centralized Data: Data warehouse solutions provide a centralized repository for storing and managing large volumes of data from various sources. This allows for easy access, integration, and analysis of data across the organization.
  • Improved Data Quality: Data warehouses facilitate data cleansing, validation, and transformation processes, ensuring higher data quality and integrity. This leads to more accurate and reliable insights for decision-making.
  • Enhanced Analytics and Reporting: With a data warehouse, organizations can perform complex analytics and generate comprehensive reports efficiently. Data can be structured and optimized for faster query performance, enabling timely and informed decision-making.
  • Scalability and Performance: Data warehouses are designed to handle large and diverse datasets. They offer scalability, allowing organizations to accommodate increasing data volumes and user demands. Additionally, optimized query performance enables faster data retrieval and analysis.
  • Data Integration and Consolidation: By integrating data from multiple sources, including internal systems, external sources, and third-party applications, data warehouses enable a unified view of the organization’s data. This consolidation facilitates cross-functional analysis and a holistic understanding of business operations.
  • Data Security and Governance: Enterprise data warehouse solutions incorporate robust security measures to protect sensitive data. Access controls, data encryption, and audit trails ensure data privacy and compliance with regulatory requirements.
  • Historical Analysis and Trend Identification: Data warehouses store historical data, enabling organizations to conduct trend analysis, identify patterns, and gain insights into long-term performance. This historical perspective aids in strategic planning and forecasting.
  • Support for Advanced Analytics: Data warehouses provide a foundation for advanced analytics techniques, such as data mining, predictive modeling, and machine learning. By leveraging these capabilities, organizations can uncover valuable insights and drive innovation.
  • Faster Decision-Making: With streamlined data access and analysis, enterprise data warehouses empower decision-makers with timely and accurate information. This leads to faster, data-driven decision-making, improving operational efficiency and competitive advantage.
  • Business Agility: By enabling self-service analytics and empowering business users to access and analyze data independently, data warehouses foster a culture of data-driven decision-making and enhance organizational agility.

New vs. Legacy Data Warehouse: Building a Lake House

The world of data warehousing has witnessed a significant evolution, with the emergence of new approaches that challenge traditional legacy data warehousing practices. One such approach gaining prominence is the concept of building a “Lake House,” which combines the strengths of data lakes and data warehouses. Lake Houses offer a unified platform for storing, processing, and analyzing both structured and unstructured data. A Lake House leverages the strengths of a data lake, which can handle vast amounts of raw data in its native format, while incorporating elements of a traditional data warehouse to provide curated and query-optimized data for analysis.

The concept of a Lake House in data management is centered around the principle of storing data once and accessing its views multiple times and in various layers and places. Unlike traditional data warehousing approaches that enforce rigid schemas and centralized storage, a Lake House architecture allows for the ingestion of raw, unstructured data into a data lake. This data can then be transformed and curated into different views or layers, providing flexibility for diverse analytics and reporting needs. By embracing the Lake House approach, organizations can avoid data duplication, reduce data silos, and enable data democratization, ensuring that data can be accessed and utilized by multiple stakeholders across the organization to derive valuable insights.

Advantages of Building a Lake House

Scalability and Flexibility: A Lake House provides scalability and flexibility to handle the ever-growing volume and variety of data. Data lakes enable the ingestion of diverse data sources without strict schema requirements, while the data warehouse component allows for the structuring and indexing of data for efficient querying and analysis.

Cost-Efficiency: By leveraging cloud-based storage and computing resources, a Lake House can offer cost efficiencies compared to traditional legacy data warehousing. The pay-as-you-go model of cloud services allows organizations to scale resources based on demand, optimizing costs while maintaining performance.

Real-Time Analytics: The amalgamation of data lakes and data warehouses in a Lake House enables real-time analytics capabilities. Real-time or near-real-time data can be ingested into the data lake, processed, and made available for immediate analysis, empowering organizations to make data-driven decisions with up-to-date insights.

Data Discovery and Exploration: With a Lake House, data discovery and exploration become easier due to the ability to store raw and untransformed data in the data lake. Data scientists and analysts can access and explore diverse datasets without the need for upfront schema design, allowing for more agile and iterative analysis.

Advanced Analytics: The unified architecture of a Lake House enables the integration of advanced analytics techniques, such as machine learning and artificial intelligence. By combining structured and unstructured data, organizations can derive deeper insights and unlock hidden patterns or correlations within their data.

By embracing the Lake House concept, organizations can adapt to the evolving data landscape, harness the power of diverse data sources, and leverage insights for enhanced decision-making and business success.

Reporting and Dashboarding: Going Beyond Simple Data Reporting

Reporting and dashboarding play a pivotal role in transforming raw data into actionable insights. Traditionally, organizations relied on standalone reports to gain visibility into their data. However, with advancements in technology and the emergence of Lake House architectures, the approach to reporting and dashboarding has evolved. Businesses need to ride the shift from standalone reports to more advanced ways to leverage their data to drive successful new campaigns and initiatives.

Standalone reports have long been the foundation of reporting in data warehousing. These reports typically provide pre-defined, static views of data, often presenting historical or aggregated information. While useful for basic reporting needs, standalone reports have limitations in terms of flexibility, interactivity, and the ability to derive deeper insights from the data.

The shift from standalone reports to insights-driven analytics marks a significant transition in data warehousing practices. With the advent of Lake House architectures, organizations can leverage a combination of structured and unstructured data to generate valuable insights. By applying advanced analytics techniques, such as machine learning, organizations can discover patterns, correlations, and predictive models that go beyond what traditional reporting can offer.

One of the key enablers of insights-driven analytics in a Lake House is the availability of low-code machine learning tools. These tools empower users, including data analysts and business users, to build and deploy machine learning models without extensive coding knowledge. With low-code ML tools integrated into the Lake House architecture, organizations can leverage the power of machine learning to uncover hidden insights and patterns within their data.

The true value of insights lies in their activation—using the derived knowledge to drive new campaigns, initiatives, and business strategies. Once actionable insights are identified, organizations can translate them into practical actions, such as launching targeted marketing campaigns, optimizing operations, or making informed business decisions. The activation of insights enables organizations to capitalize on the power of their data, driving innovation and competitive advantage.

By moving from standalone reports to insights-driven analytics and leveraging low-code ML tools in the Lake House, organizations can unlock the full potential of their data. This transition empowers stakeholders across the organization to interact with data in real-time, explore deeper insights, and take proactive actions based on those insights. The activation of insights builds a data-driven culture and enables organizations to stay ahead in a rapidly evolving business landscape.

In conclusion, the future of enterprise data warehousing is evolving rapidly, driven by emerging trends and advancements in technology. From the adoption of Lake House architectures to the integration of low-code ML tools, organizations are transitioning from traditional data warehousing approaches to more agile and insights-driven practices. As we look ahead, it is clear that enterprise data warehousing will continue to evolve, driven by advancements in technology and the growing need for agile and data-driven decision-making. By embracing these trends, organizations can leverage their data assets, derive valuable insights, and gain a competitive edge in the dynamic business landscape of the future.

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Prasad Pai

Author Prasad Pai

Prasad Pai is a Cloud Expert with Niveus having garnered extensive knowledge and experience with AI/ML, Analytics & Data Modernization

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