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Do We Need a Data Warehouse? How to Gain Business Intelligence Benefits and Avoid the Downsides of Data Warehouses

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Learn how to determine whether you need a data warehouse to gain the benefits of Business Intelligence solutions, and how to avoid the downsides typically associated with data warehouses. Senturus ...

Learn how to determine whether you need a data warehouse to gain the benefits of Business Intelligence solutions, and how to avoid the downsides typically associated with data warehouses. Senturus provides an overview of how data warehouses work, addresses their benefits and other factors, and hosts a product demonstration by WhereScape.

This slide deck is part of a recorded Senturus webinar, “Do We Need a Data Warehouse?” To view the free recording of this entire presentation and download the slide deck, visit www.senturus.com. You will find this and many other webinars and resources about Business Intelligence and related topics.

Senturus designs and builds Business Intelligence systems to enable executives to better run their businesses. Since 2001, Senturus has delivered over 1400 projects to 650+ clients in a breadth of industries and applications.

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Do We Need a Data Warehouse?  How to Gain Business Intelligence Benefits and Avoid the Downsides of Data Warehouses Do We Need a Data Warehouse? How to Gain Business Intelligence Benefits and Avoid the Downsides of Data Warehouses Presentation Transcript

  • Part of the BI Demystified Series Do we Need a Data Warehouse? www.Senturus.com Helping Companies Learn From the Past, Manage the1 Present and Shape the Future
  • Today’s Agenda • Welcome and introduction • When do we need a data warehouse? • How to achieve the benefits of integrated business insight without the downsides of a data warehouse project • Product demo: • Q&A • Upcoming Events & Resources2
  • This slide deck is part of a recorded webinar. To view the FREE recording of this entire presentation and download the slide deck, go to www.senturus.com/recorded-webinars.php You will find this—and many other recorded webinars-- under the “Business Intelligence 101‖3
  • Introductions – Greg Herrera • Co-Founder, CEO – John Peterson • Co-Founder, Chairman & COO – Jim Frazier • Vice President, Sales – Mark Budzinski • Vice President & General Manager – Douglas Barrett • Senior Solutions Architect4
  • Who is Senturus ? • Consulting firm specializing in Corporate Performance Management – Business Intelligence and Enterprise Planning & Budgeting – San Francisco Business Times Hall of Fame -- Four consecutive years in Fast 100 list of fastest-growing private companies in the Bay Area • Experience – 10-year focus on performance management – More than 1,000 projects for 500+ clients • People – Business depth combined with technical expertise. Former CFOs, CIOs, Controllers, Directors... – DBAs with MBAs5
  • A few of our 500+ Clients6
  • Semantics ―DATA WAREHOUSE‖ - CLARIFYING THE TERM7
  • Data Warehouse = Copy of Source System? Threshold Alerting Replication Planning Standard Reports ―Universe‖ Planning Data Planning Data Querying Sales Ad hoc ―Warehouse‖ ―Universe‖ Self-service Reporting & AnalysisSource Systems of Record Web Portal Slicing & Dicing Finance ERP Data ERP Data ―Universe‖ ―Warehouse‖ Dashboards/ Dashboard Authoring Scorecards HR ―Universe‖ … Authoring Labor Data Labor Data Report ―Warehouse‖ Threshold-based Other Alerts ―Universes‖ Other Sources Other Data ―Warehouse‖ Excel 8
  • Data Warehouse = Non-integrated Data Mart Silos? ETL Processes Threshold Alerting Planning Standard Reports Datamart Planning Data Querying Sales Ad hoc Datamart Self-service Reporting & AnalysisSource Systems of Record Web Portal Slicing & Dicing Finance ERP Data Datamart Dashboards/ Dashboard Authoring Scorecards HR Datamart … Authoring Labor Data Report Threshold-based Other Alerts Datamarts Other Sources Excel Spreadmart 9
  • Data Warehouse = Integrated Business Process Dimensional Models Threshold Alerting Standard Reports Single Version of the Truth Planning Data Querying Data Warehouse Ad hoc Self-service Reporting Data Abstraction Model & AnalysisSource Systems of Record Web Portal Slicing & Dicing Data Integration ERP Data Dashboards/ Dashboard Authoring Scorecards Conforming Authoring Labor Data Report Business Process Dimensional Models Threshold-based Alerts Information Security Other Sources 10
  • This slide deck is part of a recorded webinar. To view the FREE recording of this entire presentation and download the slide deck, go to www.senturus.com/recorded-webinars.php You will find this—and many other recorded webinars-- under the “Business Intelligence 101‖11
  • Business Justification BENEFITS OF THE DATA WAREHOUSE12
  • Got Motivation? Value Integrators > 20x 49% 30% more 14.0% more more All other enterprises 12.1% 11.3% 9.4% 9.3% 0.5% EBITDA Revenue ROIC 5-year CAGR, 2004-2008 5-year CAGR, 2004-2008 5-year average, 2004-2008 Value Integrators also have an almost 20% better operating efficiency ratio than all other companies examined.Source: IBM Institute for Business Value, The Global CFO Study 201013
  • Justifying the Data Warehouse • Reduces the cost of BI • Accurately maintains historical context • Enables analysis across: – Business processes – Business functional areas – Heterogeneous source systems • Insulates business decision makers from the inevitable changes in source systems • Improves productivity and performance • When done correctly, the data warehouse arrives without ever doing a “data warehouse” project14
  • Reduces the cost of business intelligence • No data warehouse? – The data warehouse activities still get done, just more expensively – Acts of heroism by business users and IT • Elaborate Excel spreadmarts • Complex reports • Complex meta-data models • Access databases – Reinventing multiple variations of the wheel – Data silos everywhere – Informed decisions limited to small number of decision-makers15
  • Reduce cost by reducing complexity Data in source system (Bally’s Casino Management System): NAMECM LCLYCM MAILCM DNI@CM PL@PCM PL@SCM Joe Smith Y R Y Y Jane Doe N B Y Y N Pete Rose N R Y Y Don Draper Y O N Y Transformed data in reporting system’s Customer Dimension: Customer Distance Type Preferred Invitation Pit Status Slot Status Name Mailing Addr Status Joe Smith Local Residence Invite Pit Player Slot Player Jane Doe Regional Business Do not Invite Pit Player Not Slot Player Pete Rose National Residence Invite Pit Player Slot Player Don Draper Local Other Invite Not Pit Player Slot Player16
  • Accurately Maintain Historical Context 2009 Store #23: 8,000 sq ft 2010 Store gets remodeled Accurate Historical Context: Year Store ID Store Revenue Rev/ Store #23: 20,000 sq ft Size sq ft 2009 23 8,000 $500,000 $63 2010 23 20,000 $1,300,000 $65 Report that uses Store Size attribute from ERP table: Year Store ID Store Revenue Rev/ Size sq ft 2009 23 20,000 $500,000 $25 2010 23 20,000 $1,300,000 $6517
  • Accurate Historical Context – How To―Store Master‖ Table in ERP System (Reflects current attributes of each store):Store Store Loc Store Type StoreID Code Code Size10 115 1001 15,00023 125 1004 20,00040 135 1001 25,000―Store Dimension‖ Table in Data Whse (Uses Type 2 Slowly Changing Dimension):Store Store Store Store Store Store Effective Expiration CurrentKey ID Loc Region Type Size Date Date Flag1 10 Sacramento West Grocery 15,000 2001-01-30 2199-12-31 Current2 23 Atlanta East Variety 8,000 2002-10-05 2009-12-25 Historic3 40 Chicago Central Grocery 25,000 2005-06-11 2199-12-31 Current4 23 Atlanta East Variety 20,000 2009-12-26 2199-12-31 Current18
  • Data Warehouses without the Negative (I) • Recommendation: Don’t set out to build a data warehouse • Instead, build a series of business process dimensional models with conformed dimensions • The result will provide the benefits of a data warehouse without you ever having done a data warehouse project.19
  • Business Process Dimensional Models Dimensions (Attributes) Measures (Metrics) Date Time Store Product, etc. Qty Ext Cost Ext Amount Margin Added (Rolled-Up) Date Averaged Year Store Key Calculated Product ID … Quarter Store ID Product Name Month Store Name Product Class Week Store Loc Product Line Day Store Product Weight Day name Region Shipping Cost … Store Size … Store Age …20
  • Conformed Dimensions = Key to Integration Dimensions (Attributes) Measures (Metrics) Date Time Store Product Qty, Revenue, Gross Margin Added (Rolled-Up) Date Store ID Averaged Product ID Calculated Year Store Name Product Name … Quarter Store Product Class Month District Product Line Week Store Product Weight Day Region Shipping Cost Day name Store Mgr … … Store Age … Date Time Store Product Plan Qty, Plan Rev, Plan Margin21
  • Common, Conforming Dimensions Source: The Data Warehouse Toolkit © Ralph Kimball, Margy Ross John Wiley & Sons, Inc.22
  • Conforming Need Not Be Four-letter Word Marketing’s Product Dimension table: Manufacturing’s Product Dimension table: Product Product Product Product Product Supplier Material Product Product Type Category Class Type Category Class Super Ballpoints Pens Education Super Acme Ballpoints Pens Plastic Ballpoint BallpointBefore Pen Pen Metal Ballpoints Pens Business Metal XYZ Ballpoints Pens Metal Writer Pen Writer Pen Felt Great Felt Tips Markers Education Felt Great Acme Felt Tips Markers Hybrid Conformed Product Dimension table: Product Product Type Product Marketing Manufacturing Supplier Category Product Class Product Class Super Ballpoint Ballpoints Pens Education Plastic Acme PenAfter Metal Writer Ballpoints Pens Business Metal XYZ Pen Felt Great Felt Tips Markers Education Hybrid Acme 23
  • Data Warehouses without the Negative (II) • Build the Business Process Dimensional Models quickly – Provides faster time to value – Maintains organizational and executive commitment24
  • This slide deck is part of a recorded webinar. To view the FREE recording of this entire presentation and download the slide deck, go to www.senturus.com/recorded-webinars.php You will find this—and many other recorded webinars-- under the “Business Intelligence 101‖25
  • Demo AUTOMATE THE CREATION OF BUSINESS PROCESS DIMENSIONAL MODELS26
  • Summary • Don’t set out on a project to build a “data warehouse”. • Instead, build a series of business process dimensional models with conformed dimensions. • Use tools like WhereScape RED to build them quickly – http://www.wherescape.com/senturus • You will achieve the benefits of an integrated data warehouse without ever enduring a “data warehouse” project27
  • Upcoming Events & Resources • Tips for year-end rollover of plans and budgets (Webinar) – Nov 17 • Self-service Business Intelligence (Training Webinar) – November 30 • Report Studio Beginning/Intermediate Training Class - December 13 • Report Studio Advanced Training Class - December 15 • On-line Resources – http://www.senturus.com/events.php – http://www.senturus.com/recorded-webinars.php – http://www.wherescape.com/senturus28
  • Next Steps To discuss how Senturus can help quantify the value of business intelligence in your organization, please contact : James Frazier, Vice President of Sales: jfrazier@senturus.com (650) 949-2921 To request a soft copy of this presentation, please contact: sales@senturus.com29
  • This slide deck is part of a recorded webinar. To view the FREE recording of this entire presentation and download the slide deck, go to www.senturus.com/recorded-webinars.php You will find this—and many other recorded webinars-- under the “Business Intelligence 101‖30
  • Contact Senturus Senturus, Inc www.senturus.com sales@senturus.com 888-601-601031