Skip to main content

Database vs Data Warehouse: Key Differences

Database vs Data Warehouse: Key Differences

What is Database?

A database is a collection of related data which represents some elements of the real world. It is designed to be built and populated with data for a specific task. It is also a building block of your data solution.
In this tutorial, you will learn
  • What is Database?
  • What is a Data Warehouse?
  • Why use a Database?
  • Why Use Data Warehouse?
  • Characteristics of Database
  • Characteristics of Data Warehouse
  • Difference between Database and Data Warehouse
  • Applications of Database
  • Applications of Data Warehousing
  • Disadvantages of Database
  • Disadvantages of Data Warehouse

What is a Data Warehouse?

A data warehouse is an information system which stores historical and commutative data from single or multiple sources. It is designed to analyze, report, integrate transaction data from different sources.
Data Warehouse eases the analysis and reporting process of an organization. It is also a single version of truth for the organization for decision making and forecasting process.

Why use a Database?

Here, are prime reasons for using Database system:
  • It offers the security of data and its access
  • A database offers a variety of techniques to store and retrieve data.
  • Database act as an efficient handler to balance the requirement of multiple applications using the same data
  • A DBMS offers integrity constraints to get a high level of protection to prevent access to prohibited data.
  • A database allows you to access concurrent data in such a way that only a single user can access the same data at a time.

Why Use Data Warehouse?

Here, are Important reasons for using Data Warehouse:
  • Data warehouse helps business users to access critical data from some sources all in one place.
  • It provides consistent information on various cross-functional activities
  • Helps you to integrate many sources of data to reduce stress on the production system.
  • Data warehouse helps you to reduce TAT (total turnaround time) for analysis and reporting.
  • Data warehouse helps users to access critical data from different sources in a single place so, it saves user's time of retrieving data information from multiple sources. You can also access data from the cloud easily.
  • Data warehouse allows you to stores a large amount of historical data to analyze different periods and trends to make future predictions.
  • Enhances the value of operational business applications and customer relationship management systems
  • Separates analytics processing from transactional databases, improving the performance of both systems
  • Stakeholders and users may be overestimating the quality of data in the source systems. Data warehouse provides more accurate reports.

Characteristics of Database

  • Offers security and removes redundancy
  • Allow multiple views of the data
  • Database system follows the ACID compliance ( Atomicity, Consistency, Isolation, and Durability).
  • Allows insulation between programs and data
  • Sharing of data and multiuser transaction processing
  • Relational Database support multi-user environment

Characteristics of Data Warehouse

  • A data warehouse is subject oriented as it offers information related to theme instead of companies' ongoing operations.
  • The data also needs to be stored in the Datawarehouse in common and unanimously acceptable manner.
  • The time horizon for the data warehouse is relatively extensive compared with other operational systems.
  • A data warehouse is non-volatile which means the previous data is not erased when new information is entered in it.

Difference between Database and Data Warehouse

ParameterDatabaseData Warehouse
PurposeIs designed to recordIs designed to analyze
Processing MethodThe database uses the Online Transactional Processing (OLTP)Data warehouse uses Online Analytical Processing (OLAP).
UsageThe database helps to perform fundamental operations for your businessData warehouse allows you to analyze your business.
Tables and JoinsTables and joins of a database are complex as they are normalized.Table and joins are simple in a data warehouse because they are denormalized.
OrientationIs an application-oriented collection of dataIt is a subject-oriented collection of data
Storage limitGenerally limited to a single applicationStores data from any number of applications
AvailabilityData is available real-timeData is refreshed from source systems as and when needed
UsageER modeling techniques are used for designing.Data modeling techniques are used for designing.
TechniqueCapture dataAnalyze data
Data TypeData stored in the Database is up to date.Current and Historical Data is stored in Data Warehouse. May not be up to date.
Storage of dataFlat Relational Approach method is used for data storage.Data Ware House uses dimensional and normalized approach for the data structure. Example: Star and snowflake schema.
Query TypeSimple transaction queries are used.Complex queries are used for analysis purpose.
Data SummaryDetailed Data is stored in a database.It stores highly summarized data.

Applications of Database

SectorUsage
BankingUse in the banking sector for customer information, account-related activities, payments, deposits, loans, credit cards, etc.
AirlinesUse for reservations and schedule information.
UniversitiesTo store student information, course registrations, colleges, and results.
TelecommunicationIt helps to store call records, monthly bills, balance maintenance, etc.
FinanceHelps you to store information related stock, sales, and purchases of stocks and bonds.
Sales & ProductionUse for storing customer, product and sales details.
ManufacturingIt is used for the data management of the supply chain and for tracking production of items, inventories status.
HR ManagementDetail about employee's salaries, deduction, generation of paychecks, etc.

Applications of Data Warehousing

SectorUsage
AirlineIt is used for airline system management operations like crew assignment, analyzes of route, frequent flyer program discount schemes for passenger, etc.
BankingIt is used in the banking sector to manage the resources available on the desk effectively.
Healthcare sectorData warehouse used to strategize and predict outcomes, create patient's treatment reports, etc. Advanced machine learning, big data enable datawarehouse systems can predict ailments.
Insurance sectorData warehouses are widely used to analyze data patterns, customer trends, and to track market movements quickly.
Retain chainIt helps you to track items, identify the buying pattern of the customer, promotions and also used for determining pricing policy.
TelecommunicationIn this sector, data warehouse used for product promotions, sales decisions and to make distribution decisions.

Disadvantages of Database

  • Cost of Hardware and Software of an implementing Database system is high which can increase the budget of your organization.
  • Many DBMS systems are often complex systems, so the training for users to use the DBMS is required.
  • DBMS can't perform sophisticated calculations
  • Issues regarding compatibility with systems which is already in place
  • Data owners may lose control over their data, raising security, ownership, and privacy issues.

Disadvantages of Data Warehouse

  • Adding new data sources takes time, and it is associated with high cost.
  • Sometimes problems associated with the data warehouse may be undetected for many years.
  • Data warehouses are high maintenance systems. Extracting, loading, and cleaning data could be time-consuming.
  • The data warehouse may look simple, but actually, it is too complicated for the average users. You need to provide training to end-users, who end up not using the data mining and warehouse.
  • Despite best efforts at project management, the scope of data warehousing will always increase.

What Works Best for You?

To sum up, we can say that the database helps to perform the fundamental operation of business while the data warehouse helps you to analyze your business. You choose either one of them based on your business goals.

Comments

Post a Comment

Popular posts from this blog

गरुड़ पुराण कथा और सार – Garud Puran in Hindi

गरुड़ पुराण कथा और सार – Garud Puran in Hindi गरुड़ पुराण कथा – Garud Puran in Hindi गरुड़ पुराण  हिन्दू धर्म के प्रसिद्ध वेद पुराण में से एक है। वैष्णव सम्प्रदाय से सम्बन्धित गरुण पुराण हिन्दू धर्म में मृत्यु के बाद सद्गति प्रदान करने वाला माना जाता है। इसलिये सनातन हिन्दू धर्म में मृत्यु के बाद ‘गरुड पुराण’ के श्रवण का प्रावधान है। इस पुराण के अधिष्ठातृ देव भगवान विष्णु  हैं। अठारह पुराणों में ‘गरुड़ महापुराण’ का अपना एक विशेष महत्व है। क्योंकि इसके देव स्वयं विष्णु माने जाते हैं, इसीलिए यह वैष्णव पुराण है। गरुड़ पुराण के अनुसार हमारे कर्मों का फल हमें हमारे जीवन में तो मिलता ही है, परंतु मरने के बाद भी कार्यों का अच्छा-बुरा फल मिलता है। इसी वजह से इस ज्ञान को प्राप्त करने के लिए घर के किसी सदस्य की मृत्यु के बाद का अवसर निर्धारित किया गया, ताकि उस समय हम जन्म-मृत्यु से जुड़े सभी सत्य जान सके और मृत्यु वश बिछडऩे वाले सदस्य का दुख कम हो सके। भगवान विष्णु की भक्ति |  Devotion to Lord Vishnu वास्तविक तथ्य यह है कि ‘गरुड़ पुराण’ में भगवान विष्णु ...
3 comments
Read more

Pakistan committed one of the biggest blunders by joining U.S. after 9/11, says Imran Khan

Pakistan committed one of the biggest blunders by joining U.S. after 9/11, says Imran Khan Pakistan . Prime Minister Imran Khan admitted on September 24 that Pakistan committed “one of the biggest blunders” by joining the U.S. after the 9/11 attacks, saying the previous governments “should not have pledged what they could not deliver”. Speaking at the Council on Foreign Relations (CFR) think-tank here, Mr. Khan also said the least he expects the international community to do is to urge India to lift the curfew in Kashmir. Responding to a question, Mr. Khan said he had urged his Indian counterpart Narendra Modi to “reset” bilateral ties and his government waited to resume talks until after the elections in India were over but then it found that “India is pushing us in the blacklist of the Financial Action Task Force to bankrupt us”. He said that by abrogating Article 370, India had cast aside the UN Security Council resolutions, the Simla accord and its ...
Post a Comment
Read more

Science, Tech, Math › Science Laws of Thermodynamics as Related to Biology Share Flipboard Email Energy and Thermodynamics Mikael Häggström/Public Domain by Regina Bailey Updated July 09, 2019 The laws of thermodynamics are important unifying principles of biology. These principles govern the chemical processes (metabolism) in all biological organisms. The First Law of Thermodynamics, also known ​as the law of conservation of energy, states that energy can neither be created nor destroyed. It may change from one form to another, but the energy in a closed system remains constant. The Second Law of Thermodynamics states that when energy is transferred, there will be less energy available at the end of the transfer process than at the beginning. Due to entropy, which is the measure of disorder in a closed system, all of the available energy will not be useful to the organism. Entropy increases as energy is transferred. In addition to the laws of thermodynamics, the cell theory, gene theory, evolution, and homeostasis form the basic principles that are the foundation for the study of life. First Law of Thermodynamics in Biological Systems All biological organisms require energy to survive. In a closed system, such as the universe, this energy is not consumed but transformed from one form to another. Cells, for example, perform a number of important processes. These processes require energy. In photosynthesis, the energy is supplied by the sun. Light energy is absorbed by cells in plant leaves and converted to chemical energy. The chemical energy is stored in the form of glucose, which is used to form complex carbohydrates necessary to build plant mass. The energy stored in glucose can also be released through cellular respiration. This process allows plant and animal organisms to access the energy stored in carbohydrates, lipids, and other macromolecules through the production of ATP. This energy is needed to perform cell functions such as DNA replication, mitosis, meiosis, cell movement, endocytosis, exocytosis, and apoptosis. Second Law of Thermodynamics in Biological Systems As with other biological processes, the transfer of energy is not 100 percent efficient. In photosynthesis, for example, not all of the light energy is absorbed by the plant. Some energy is reflected and some is lost as heat. The loss of energy to the surrounding environment results in an increase of disorder or entropy. Unlike plants and other photosynthetic organisms, animals cannot generate energy directly from the sunlight. They must consume plants or other animal organisms for energy. The higher up an organism is on the food chain, the less available energy it receives from its food sources. Much of this energy is lost during metabolic processes performed by the producers and primary consumers that are eaten. Therefore, much less energy is available for organisms at higher trophic levels. (Trophic levels are groups that help ecologists understand the specific role of all living things in the ecosystem.) The lower the available energy, the less number of organisms can be supported. This is why there are more producers than consumers in an ecosystem. Living systems require constant energy input to maintain their highly ordered state. Cells, for example, are highly ordered and have low entropy. In the process of maintaining this order, some energy is lost to the surroundings or transformed. So while cells are ordered, the processes performed to maintain that order result in an increase in entropy in the cell's/organism's surroundings. The transfer of energy causes entropy in the universe to increase.

Laws of Thermodynamics as Related to Biology Mikael Häggström/Public Domain The laws of thermodynamics are important unifying principles of biology. These principles govern the chemical processes (metabolism) in all biological organisms. The First Law of Thermodynamics, also known ​as the law of conservation of energy, states that energy can neither be created nor destroyed. It may change from one form to another, but the energy in a closed system remains constant. The Second Law of Thermodynamics states that when energy is transferred, there will be less energy available at the end of the transfer process than at the beginning. Due to entropy, which is the measure of disorder in a closed system, all of the available energy will not be useful to the organism. Entropy increases as energy is transferred. In addition to the laws of thermodynamics, the cell theory, gene theory, evolution, and homeostasis form the basic princi...
Post a Comment
Read more