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Data Warehouse Tools: An Introduction

March 20, 2023

Data reliability is crucial for businesses that rely on performance analytics to grow and improve customer experience. Without comprehensive data warehouse tools, businesses will struggle to organize and relocate vital data that they can leverage for future decision making. But finding well-rounded data warehouse solutions can feel like an uphill battle for businesses that aren’t certain what features they need to scale. This post will demystify some top data warehouse solutions to help you make your choice. But first, let's get some background on data warehouses. 

What Is a Data Warehouse?

A data warehouse is essentially a central repository of information that aggregates data from transactional systems, relational databases, application logs, and other sources into a single and consistent data store. It's designed to support data mining, data analysis, and business intelligence activities and offers businesses a secure way to store their data for analysis and future business decisions. 

Data warehouse tools remove the need to spend hours interpreting your data manually and sorting through data to find the most relevant analytics for your business objectives. Query tools in data warehouse environments are crucial for data acquisition and managing your data effectively. 

Multiple cloud-based data warehouse environments are available for businesses looking to organize data for easier access. An example of a famous cloud data warehouse is the Oracle Autonomous Data Warehouse, the most popular database management system globally. Along with Oracle, the Microsoft Data Warehouse is widely implemented in large companies and enterprises, making it a viable solution for your business. 

Google also has unique data warehouse solutions. Google BigQuery and Google Cloud are integral to the Google data warehouse architecture and provide various solutions for businesses looking to implement high-quality, practical data warehouse tools. By implementing a comprehensive suite of data warehouse tools, your organization will be able to access some of the following benefits. 

Centralized Data Repository

Data warehouse tools provide a centralized repository for all your data, making it easier to access and analyze. 

Structured Data

Data warehouse tools provide a structured way of organizing data so that you can quickly and easily find the information you need. 

Data Integration

With data warehouse tools, you can integrate data from multiple sources into one unified view. This makes it easier to analyze and make decisions based on the data. 

Scalability

Data warehouse tools help you scale your business quickly. As your data grows, the tools can handle the increased volume and complexity. 

Accessibility

Data warehouse tools provide easy access to data from multiple sources. 

Security

Data warehouse tools provide a secure platform for your data. They protect data from unauthorized access and ensure that only authorized users can view and manipulate it. 

Data Analysis

Data warehouse tools provide powerful tools for data analysis. This includes advanced capabilities like predictive analytics, data mining, and machine learning. 

Data Visualization

Data warehouse tools provide a range of data visualization capabilities, allowing you to quickly and easily visualize your data. 

Automation

Data warehouse tools can automate many processes involved in data analysis, such as data cleansing and transformation. This makes it easier and faster to analyze data. 

Cost Savings

Data warehouse tools can help reduce costs by eliminating manual data entry and reducing the time and resources required for data analysis. 

How Does a Data Warehouse Work?

Data warehouses have three tiers. The bottom tier is where all the data is loaded, the middle tier serves as the analytics engine, and the top tier is the front-end client that represents the results of the analysis. Let's take a closer look at each. 

Bottom Tier

The bottom tier is a data warehouse server that collects and transforms data. Data warehouses rely on extract, transform, and load (ETL) tools to integrate data across various sources into a single platform, stored within the warehouse, and access to all necessary parties. ETL tools in data warehouse operations ensure consistent, reliable data solutions. ETL covers various tools to manage your data warehouse, all created to map, validate, report, and automate your data pipeline. 

Alternatively, data can be sent to the central repository and then converted with extract, load, and transform (ELT) tools. Users can then use business intelligence tools to access and analyze data. 

Middle Tier

The middle tier has an online analytical processing (OLAP) server that allows for fast querying. There are three kinds of OLAP models: ROLAP, HOLAP, and MOLAP. The most appropriate model depends on the type of database. 

Top Tier

The top tier contains the user interface or some kind of reporting tool that allows users to analyze data. 

Data Warehouse Tools List

Advanced data warehouse tools are crucial for storing large quantities of data that businesses can use for future decision making. While data is crucial to how a business operates, many organizations don't have sufficient data warehouse software tools to maximize the effectiveness of their data. There are many popular data warehouse tools available that you may consider to manage large amounts of data your organization will need in the future; however, some tools may be more suitable for your business than others. 

While features vary between data warehousing platforms, specific tools and software are common among professionals. A standard data warehouse tools list typically includes widely known warehousing platforms, such as Snowflake. Ultimately, your data warehouse tools should provide tailored solutions to help your organization thrive. Additionally, you can use tools like Acceldata to maximize your investments and gain crucial insights into your data environment. 

Data Warehouse Tools and Utilities

Understanding the functions and purpose of the different data warehouse tools and utilities is crucial to making the most of your software tools. While a breadth of data warehouse software tools are essential for managing your data pipeline and collecting accurate data metrics, it’s also important to know how each utility functions and its role in keeping your data pipeline moving smoothly. A sustainable data warehouse architecture is built through platforms like Acceldata, which allows you and authorized individuals access to data observability utilities. 

By monitoring your data with advanced data warehouse tools and utilities, you can ensure that your data is practical and usable for future decision making opportunities. Data warehousing concepts are built on extracting, transforming, and loading data for future purposes and ensuring that data is easily accessible in a single, organized warehousing environment. 

Below is a breakdown of the individual purposes for some central data warehouse tools and utilities: 

  • Data extraction tools: Extraction tools and utilities gather data from various sources.
  • Data cleaning tools: Cleaning utilities allow your system to identify and correct data errors.
  • Data transformation tools: Transformation tools convert your data from its current format into a warehouse format.
  • Data loading tools: Loading tools cover organizing, consolidating, and summarizing data.

Top Data Warehouse Tools

Practical and comprehensive data warehouse tools are essential for many organizations and data teams. However, not all tools are built the same, making considering different features of the top data warehouse tools crucial. Your organization requires a cohesive solution to solve all of its current data issues and prevent data errors in the future. Popular data warehouse tools serve the core purpose of extracting, transforming, and loading data. However, more advanced tools offer added visibility to your current data warehouse to get the most from your data reports. 

There are various factors to consider when it comes to data warehouse tools. Open-source platforms are vital, as your organization’s warehouse will require customization and tailored solutions to provide as many benefits as possible. On-premises data warehouse vendors come with numerous risks that could spell trouble for your business in the future, such as unreliable and costly machines, system malfunctions, and a higher potential for data loss. 

Let's take a look at some of the most common data warehouse tools. 

Amazon Redshift

Redshift is an OLAP-style cloud-based data warehouse for enterprises. It can easily process exabytes (10ˆ18) of structured and unstructured data in seconds. And since it uses the massively parallel processing (MPP) design, it has fast querying and high-speed data analytics. 

The tool also supports automatic concurrency scaling, which reduces or adds query processing resources, depending on the workload demand. You can also switch between different node types or scale your cluster to optimize the performance of your data warehouse. 

Pricing

With Redshift, you can choose on-demand, serverless, or managed instances. 

With on-demand instances, you pay an hourly rate depending on the number and type of nodes within your cluster. Prices start from 25 cents/hour and vary by region. 

You can start with serverless for as low as $3/hour and then pay for the compute capacity the warehouse uses when it's active. The capacity is measured in Redshift Processing Units and starts from 36 cents/RPU hour. 

With managed storage, you pay for the data stored at a fixed GB/month rate. The pricing starts from 24 cents/GB/month and differs by region. 

Microsoft Azure Synapse Analytics

Azure Synapse Analytics is the successor of Azure SQL Data Warehouse, a cloud-based relational database designed to store and process data on Azure Cloud. Synapse Analytics inherits its predecessor's MPP design to store and includes various analytical tools, Apache Spark's big data analytics capabilities, and various security features, making it one of the most powerful solutions for data analytics. Other features include ETL software, Azure Machine Learning, and Power BI for in-depth analysis and data visualization. 

Pricing

The cost for Microsoft Azure Synapse Analytics depends on the data warehousing units you use. Pricing varies by region and starts from $1.20/hour. 

Snowflake

Snowflake is a fully managed data warehouse with an infrastructure that can handle both data warehouse and data lake needs. Its multi-cluster architecture allows you to independently query data with SQL and analyze data from different unstructured and structured sources. The multi-cluster shared architecture also separates processing power and storage, allowing you to scale the CPU based on user activity. Plus, with its multi-tenant design, you can easily share data across the organization. 

Pricing

Snowflake is billed on a per-second basis, with the price varying across the chosen platform, region, and pricing tier. There are four pricing tiers—VPS, Business Critical, Enterprise, and Standard. On average, the compute cost is 0.11 cents/second/credit for the Enterprise tier and 0.056 cents/second/credit for the Standard tier. 

Google BigQuery

Google BigQuery is a serverless data warehouse that features a built-in query engine that can run queries on petabytes of data. It provides fast query performance thanks to optimization techniques and features like in-memory caching and columnar storage. It also features a distributed architecture where data is processed in parallel and stored in multiple servers. As a result, it can handle a high volume of users and queries without compromising on the performance. 

Pricing

The pricing for BigQuery involves two main components: storage pricing and compute pricing, Storage pricing refers to the cost of storing data that's loaded into BigQuery. You pay for active (table or partition modified in the last 90 days) and long-term storage (table or partition not modified in the last 90 days). Active storage starts from 2 cents/GB/month and long-term storage starts from 1 cent/GB/month, with the first 10 GiB free every month. 

Compute pricing refers to the cost of processing queries, user-defined functions, and DDL statements. It has two models: on-demand and capacity. With on-demand pricing, you pay for the number of bytes that each query processes. Prices start from $6.25/TiB and vary by region. With capacity pricing, you pay for the compute capacity used for running queries, and it's measured in slots over time. Prices start from 4 cents/slot hour and vary by edition (Standard, Enterprise, or Enterprise Plus). 

A Modern Approach to Data Warehousing

Data warehouses are essential for businesses looking to leverage their current data to make better decisions. Beyond storing your data and making it easy to access, they make it possible to analyze and visualize it—helping you make the most out of it. This post includes some of the commonly used data warehouse tools. However, each tool is different and you need to keep in mind the features as well as the drawbacks before making the final choice. 

To deal with the pitfalls that can accompany on-premise tools, organizations must implement advanced solutions like Acceldata. It offers crucial data observability tools on an open-source platform to boost your data reliability and deliver solutions that work. Implementing data warehouse tools will ensure high-quality, practical data without potential costly errors. 

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