Understanding Data Warehousing

A data warehouse functions as a centralized repository that collects and integrates data from various applications across an organization. This allows departments such as accounting, finance, and marketing to access a comprehensive corporate view of data rather than limited application-specific data. The concept emerged from the need to analyze information beyond mere transaction processing, promoting the difference between operational and analytical data. Over time, it became essential for organizations to have a data warehouse to consolidate enterprise-wide information for informed decision-making.