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What is a Data Warehouse? A Simple Guide

Bivek Subedi
3 min readOct 24, 2023

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To get more understanding of a data warehouse let us first discuss what a warehouse means.

Let’s take a simple example: Suppose you have a storeroom in your house. You have stored many things in it. Let’s say there are ropes, you don’t need ropes for everyday use. You might never need it but you keep it for future use. In this example, your storeroom is a warehouse.

A data warehouse is a similar concept to the above one. In the case of a data warehouse, all the data are stored in a warehouse for further use.

Fig: Basic Data Warehouse Architecture

The above shown is an architecture of a basic data warehouse. You can see the small database icon on the left-hand side of the image. These are the databases that are designed based on the OLTP method.

(Online transaction processing) or OLTP the name suggests is used when the data needs to be written very fast. Let’s say you are buying multiple items from the departmental store. The store quickly scans your item and a receipt is given to you in a matter of seconds. Nobody wants to wait for minutes to collect their receipts so the data writing in store must be very fast and OLTP or traditional database system is used. This is also known as the traditional database method.

All these data collected on the database are transferred to a big data warehouse where all the data…

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Bivek Subedi
Bivek Subedi

Written by Bivek Subedi

(BI/DATA) Engineer at Sursa Tech

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