The Birth of Data Marts and Data Warehouses: Transforming Decision Support Systems (1980-1990)
Recap: Data Architecture Advancements: Operational Systems ????? (1980-1990): The preceding article delved into the evolution of Data Architecture from 1980 to 1990, emphasizing the progress in Operational Systems. During this time, there was a shift from monolithic to modular designs, the advent of relational databases, and the emergence of client-server architecture, all of which greatly enhanced the efficiency and scalability of operational systems. Additionally, the article discussed the rise of ERP and CRM systems, the move from bespoke interfaces to standardized protocols, and the establishment of Data Quality, Metadata, Data Governance, and Data security practices. These developments formed the cornerstone of contemporary data management and decision-making processes. For an in-depth understanding of this critical era, please consult the full article.. Part 3.1: Data Architecture Advancements in the 1980-1990 Era -> ??? Operational Systems ??
Executive Summary and Introduction ??
Have you ever considered the origins of the data systems we depend on today? This article guides you through the captivating evolution of data management, starting with the early Decision Support Systems (DSS) from 1960 to 1980, and progressing to the advanced Data Marts and Data Warehouses of the 1980 to 1990 period. Explore how these developments established the groundwork for the state-of-the-art technologies we utilize today, and understand the pivotal innovations that revolutionized data accessibility, storage, and analysis. Although reading the entire article is recommended for comprehensive insight, you are welcome to navigate directly to the sections of greatest interest to you.
In the early days of data management, Decision Support Systems (DSS) were the pioneers, helping organizations make informed decisions. As technology advanced, these systems evolved into more specialized and powerful tools, leading to the creation of Data Marts and Data Warehouses. This article explores this remarkable journey, highlighting the key milestones and innovations that shaped the data landscape. Understanding this evolution is essential for appreciating the sophisticated data management frameworks we have today. Join us as we delve into the history and significance of these transformative advancements.
Section Summaries
Technological Advancements (1980-1990) ??
During the 1980s and 1990s, significant technological advancements revolutionized data storage, processing, and analysis. The introduction of Relational Database Management Systems (RDBMS) provided a more flexible and efficient way to manage data. Additionally, the development of Reporting (analytics) tools and Advanced Analytics tools further enhanced data analysis capabilities. These advancements included:
RDBMS (Relational Database Management Systems) Technologies
Teradata: Known for its scalability and parallel processing capabilities, Teradata was widely used for large-scale data warehousing.
Oracle: Oracle’s RDBMS was popular for its robustness and support for SQL. Oracle also introduced Oracle Data Warehouse, which provided advanced data warehousing features.
Microsoft SQL Server: Offered a comprehensive data management solution with integrated tools for data warehousing and business intelligence.
IBM DB2: A powerful RDBMS that supported large-scale data warehousing and provided advanced analytics capabilities.
Sybase: Sybase’s Adaptive Server Enterprise (ASE) was known for its performance and reliability in data warehousing.
?? The Rise of Decision Support Systems (1980-1990)
Decision Support Systems (DSS) originated in the 1960s as computerized aids for decision-makers to use data and models in addressing unstructured problems. They supported business and organizational decision-making processes, offering insights and facilitating complex data analysis. For an in-depth review of DSS development from 1960 to 1980, please see my preceding article. --> ?? Decision Support Systems Evolution (1960-1980)
Development and Adoption
Between 1980 and 1990, Decision Support Systems (DSS) experienced significant development and became widely adopted across diverse industries.. The advancements in computer technology and the increasing availability of data led to the creation of more sophisticated DSS. These systems evolved from simple model-driven tools to more complex systems that integrated with Management Information Systems (MIS) and supported group decision-making.
Key Features and Functionalities
Early DSS had several key features and functionalities that made them valuable tools for decision-makers:
DSS Challenges Faced (1960-1980)
Despite their usefulness, early DSS faced several challenges:
Transitioning to Tools of the New Era
The difficulties encountered by initial Decision Support Systems (DSS) spurred the creation of more sophisticated tools and systems in the 1980s and 1990s. Organizations acknowledged the necessity for improved data management and analytical abilities, which resulted in the development of numerous pivotal tools and systems:
Thought Process and Integration Envisioning: Organizations started to conceptualize a unified approach to data management and decision support. They recognized that by modularizing and isolating the different elements of Decision Support Systems (DSS), they could build systems that were more efficient and scalable. The objective was to create independent systems with centralized data management, which would enhance data integration, accessibility, and analytical capabilities. The reasoning included:
These challenges enforced the need to start thinking about a new era of data management, focusing on centralized data management for analytics and decision-making.
Summary
In summary, the evolution of DSS involved the development of Data Marts and Data Warehouses, with each type of DSS transitioning into more specialized tools and systems:
The Emergence of Data Marts and Data Warehouses from Data-Driven Decision Support Systems (1980-1990) ??
In the 1980s and 1990s, organizations encountered substantial challenges with Data-Driven Decision Support Systems (DSS). These systems frequently resulted in data silos, redundancy, and inconsistencies, complicating the achievement of a unified organizational data perspective.
Envisioning Central Data Management Systems: Organizations recognized the need for centralized data management systems to handle the growing volumes of data. This led to the development of Data Marts and Data Warehouse Architecture Frameworks, which provided centralized data storage and improved data accessibility.
Centralized Data Management Architecture (1980 to 1990) ???
In the 1980-1990 era, organizations grappled with the task of managing and integrating large volumes of data from diverse sources. To tackle these challenges, centralized data management architectures were developed. These systems offered a structured method for storing, integrating, and analyzing data, which guaranteed data quality, consistency, and accessibility. The subsequent steps delineate the essential components and practices that were integral to constructing a centralized data management system in that timeframe.
Step 1: Understand Your Operating Systems
Vision: Understand your operational systems and have a clear vision of your end analytics/reporting use cases. This helps in designing a data management system that meets the specific needs of the organization.
Step 2: Choose the appropriate RDBMS for your Data Marts and Data Warehouse needs.
RDBMS Options: Choose the appropriate RDBMS based on your data marts and data warehouse requirements. Common options during this era included Teradata, Oracle, Microsoft SQL Server, IBM DB2, and Sybase.
Step 3: Select the Appropriate Data Model Schema for the Use Case
Schema Design: Decide whether to use data marts or a data warehouse, and choose between star schema and snowflake schema based on the use case.
Data Modeling: Perform conceptual, logical, and physical data modeling based on the selected RDBMS.
Step 4: Choose ETL Tools and Integrate Them with Source Systems
ETL Tools: Use the given RDBMS ETL tools to connect to respective source systems. Options included ODBC, file transfer, etc.
Integration pattern: Verify the integration based on the required data extraction and loading patterns (batch - daily, weekly, monthly, quarterly, yearly) and incremental, full load, etc.
Step 5: Develop a Layered Architecture
Staging Layer: Design the staging layer for temporary storage of raw data before transformation.
History Layer: Design the history layer to store historical data for auditing and analysis.
Consumption Layer: Design the consumption layer to store transformed and aggregated data for reporting and analysis.
Step 6: Implement Data Extraction and Loading Patterns
Patterns and Schedules: Extract and load the data based on patterns and schedules, and populate the data marts or data warehouse.
Step 7: Implement Data Quality Measures
Auditing Framework: Implement the workflow/mappings or pipelines auditing framework and capture logs for exceptions of integration, data quality, and transformation exception rules.
Monitoring System: Have a monitoring system in place to monitor and rerun failed jobs.
Example: Setting up alerts to notify the data team of any failed ETL jobs and automatically rerunning the jobs.
Step 8: Document Data Lineage
Documentation: Manually document the lineage of objects, workflows, mappings, and jobs with respect to ETL and consumptions.
Step 9: Manage Data Catalog and Metadata
Metadata Management: Each RDBMS had its own data dictionary and auditing objects of metadata to capture every activity performed in the RDBMS.
Step 10: Implement Data Governance and Security
Performance Monitoring: Build performance monitoring dashboards to measure ETL workload, user query performance, and resource usage.
User Management: Monitor and manage users, and use views to secure data projection and selection of data sets.
Step 11: Utilize Reporting Tools
RDBMS Clients: The reporting tools of their own RDBMS systems (clients) were connected to their servers to retrieve data for viewing and managing data sets.
Third-Party Reporting Tools: There were limited third-party reporting tools available during this era. Most organizations relied on built-in reporting tools provided by the RDBMS vendors.
Step 12: Support for Advanced Analytics Tools
Integration: The architecture supported advanced analytics tools (formerly known as Knowledge-Driven DSS) to connect and build respective models and procedures.
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Data Warehouse ??
A Data Warehouse is a centralized repository that aggregates data from multiple sources into a single, consistent data store. It is designed for query and analysis rather than transaction processing.
Why Build Data Warehouses?: Organizations needed a centralized system to manage and analyze large volumes of data from various sources. Data Warehouses provided a single source of truth, enabling more accurate and consistent decision-making. Data Warehouse systems were used for two aspects:
Enterprise Data Warehouse (EDW)
An Enterprise Data Warehouse (EDW) is a centralized repository that stores data from various sources across an organization. It is designed to support decision-making processes by providing a unified view of data with full history.
Enterprise Data Warehouse (EDW) Industries Use Cases and Analytics
Operational Data Store (ODS)
An Operational Data Store (ODS) is a database designed to integrate data from multiple sources and provide a current snapshot of operational data. It is used for operational reporting and analysis. This is basically simulating the previous DSS capabilities to support both Operational and Analytical requirements.
Operational Data Store (ODS) Use Cases and Analytics
RDBMSs Considered for Data Warehouses
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Data Marts ??
A Data Mart is a specialized subset of a data warehouse focused on a specific functional area or department within an organization. It provides a simplified and targeted view of data, addressing specific reporting and analytical needs.
Why Build Data Marts?: Organizations recognized the need for more focused and efficient data analysis for specific business units or departments. Data Marts allowed teams to quickly access critical insights without sifting through an entire data warehouse.
Initially, some organizations built Independent Data Marts to meet the immediate needs of specific departments. Over time, they realized the benefits of integrating these data marts into a centralized data warehouse, leading to a top-down and bottom-up approach in data warehousing. There are three types of Data Marts:
Independent Data Mart
An Independent Data Mart is created and maintained separately from the data warehouse. It is designed to meet the specific needs of a business unit.
Dependent Data Mart
A Dependent Data Mart is generated from an existing data warehouse. It leverages the data integration, quality, and consistency provided by the data warehouse.
Hybrid Data Mart
A Hybrid Data Mart combines features of both independent and dependent data marts. It uses the centralized data warehouse for core data integration while incorporating additional data sources specific to a business unit.
RDBMSs Considered for Data Marts
Data Warehouse & Data Marts Concepts &Frameworks ????
Data Warehouses and Data Marts are essential components of modern data management and analytics. They provide a structured and efficient way to store, organize, and analyze large volumes of data from various sources. Understanding the concepts and frameworks behind Data Warehouses and Data Marts is crucial for designing and implementing effective data solutions that meet the needs of different business units and departments.
Schema: What is Schema?
A schema in data warehousing is a logical description of the entire database. It defines how data is organized, stored, and related, ensuring efficient data integration and querying. Schemas are crucial for organizing data, reducing data redundancy, and improving query performance. Schemas are represented using two main components: Dimensions and Facts.
Schema Representation
Star Schema: A type of database schema where a single fact table references a number of dimension tables, forming a pattern that resembles a star. It is optimized for querying large data sets and is simple to design and maintain.
Snowflake Schema: A more complex variation of the star schema, where dimension tables are normalized, leading to multiple related tables forming a pattern similar to a snowflake. It reduces data redundancy and improves data integrity but requires more complex queries.
Dimensions History Management - Slowly Changing Dimensions (SCD)
Slowly Changing Dimensions (SCD) are techniques used in data warehousing to manage and track changes in dimension data over time. These methods ensure that historical data is preserved and accurately reflects the state of the data at different points in time.
SCD Type 1: Overwrite Old Data with New Data: In this approach, the old data is overwritten with the new data. This means that the historical data is not preserved, and only the most recent data is available.
SCD Type 2: Maintain Historical Data: This approach maintains historical data by creating multiple records for each entity, with each record representing a different version of the data. There are several ways to implement SCD Type 2:
SCD Type 3: Maintain Limited Historical Data: This approach maintains limited historical data by adding new columns to the existing record. This allows for tracking changes to a specific attribute without creating multiple records.
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Data Extraction, Transformation, and Loading (ETL) Approach
For centralizing the data, ETL tools provided by the respective RDBMSs were used. ETL scripts (command line scripts), pipelines, or workflows were designed to take care of end-to-end data extraction, loading, integration, transformation, and building the consumption objects.
Extraction: Data was extracted from various operational systems using ETL tools. Connectivity frameworks like ODBC (Open Database Connectivity) or File Transfer Protocol (FTP) were often used to facilitate data extraction.
Transformation: Data was cleaned, transformed, and structured to fit the data mart or data warehouse schema.
Loading: Transformed data was loaded into the data mart or data warehouse using batch processing or incremental updates.
Loading Patterns and Schedules
Batch Processing: Data was loaded in batches, often scheduled daily, weekly, or monthly.
Incremental Updates: Data was updated incrementally based on the last extraction timestamp or Period.
Data Modeling
Data Modeling is the process of creating a visual representation of either a whole information system or parts of it to communicate connections between data points and structures. The goal of data modeling is to illustrate the types of data used and stored within the system, the relationships among these data types, the ways the data can be grouped and organized, and its formats and attributes.
Purpose: Data modeling helps in understanding and organizing data requirements, ensuring data quality, and supporting business processes and planning IT architecture and strategy.
Data Layered Architecture
The centralization systems needed to store, integrate, and transform the data, hence it was managed using various layers. Each layer serves a specific purpose in the data management process, ensuring data quality, consistency, and accessibility.
Staging Layer: The staging layer is a temporary storage area for raw data before it undergoes transformation. It acts as a buffer between the source systems and the data warehouse.
History Layer: The history layer stores historical data for auditing and analysis. It ensures that changes to data over time are tracked and preserved.
Consumption Layer: The consumption layer stores transformed and aggregated data for reporting and analysis. It provides a denormalized view of the data, optimized for query performance.
Data Integration: The layered architecture ensures that data from various sources is integrated and transformed consistently. This integration is crucial for providing a unified view of the data across the organization.
Data Quality: Each layer in the architecture plays a role in ensuring data quality. The staging layer allows for data cleansing and transformation, the history layer preserves historical accuracy, and the consumption layer provides a reliable source for reporting and analysis.
Scalability: The layered approach allows for scalability, as each layer can be optimized and scaled independently based on the organization’s needs.
The Emergence of Reporting Tools from Model-Driven Decision Support Systems (1980-1990) ??
Model-Driven DSS Recap: These are computerized systems that use mathematical, statistical, or simulation models to support decision-making processes. They help users analyze complex data and make informed decisions by providing insights and recommendations. Refer details here.
Why Build New Reporting Tools Instead of Model-Driven DSS?
Organizations realized they didn’t need another permanent data storage system for reporting. Instead, they could use system memory to run queries and generate reports. This led to the development of reporting tools for analytics and data visualization, allowing users to access, analyze, and visualize data without extensive data storage systems.
Thanks to the Emergence of Client-Server Architecture, in the late 1980s, client-server architecture revolutionized reporting tools. This architecture separated data storage, processing, and presentation layers, enabling more efficient data management and reporting. Organizations could store only the reporting data and connect to RDBMSs through ODBC or file transfer protocols.
Design of Reporting Tools Architecture
Reporting tools in the 1980-1990 era often followed a client-server architecture, allowing for efficient data management and reporting. The initial tools are designed for querying the data, report writing, and analysis of the data sets.
Data Consumption from Reporting Tools
Users could consume data through various methods:
Tools and Vendors
Lotus 1-2-3: A popular spreadsheet program introduced in 1983 for creating reports and performing data analysis.
dBASE: A DBMS introduced in 1979-80 by Ashton-Tate, known for its ease of use and powerful features.
R:BASE: An early RDBMS introduced in 1981 by Microrim, known for its relational database capabilities.
IBM Query Management Facility (QMF): A tool for creating and running SQL queries and generating reports from IBM’s DB2 database.
Oracle SQL*Plus: A command-line tool for executing SQL queries and generating formatted reports, introduced in the early 1980s.
Teradata BTEQ: Basic Teradata Query (BTEQ) for interacting with the Teradata server, running queries, and generating reports.
Reporting Schedules/Patterns and Consumption
Use Cases/Dashboard Types
Knowledge-Driven DSS to Advanced Analytics Tools (1980-1990) ??
Knowledge-Driven DSS: These systems integrated with advanced analytics tools to provide deeper insights. Machine learning models were developed and deployed to analyze data and provide recommendations. Insights were delivered through dashboards and reports, enabling data-driven decision-making.
Why Build Separate Advanced Analytics Tools? Organizations realized they didn’t need another permanent data storage system for advanced analytics. Instead, they could use system memory to run complex algorithms and models. This led to the development of Advanced Analytics tools for statistical analysis and modeling.
Tools and Vendors
SAS: Provided advanced analytics, business intelligence, data management, and predictive analytics. SAS was further developed in the 1980s with the addition of new statistical procedures and components.
SPSS: A statistical analysis tool widely used in social science research. SPSS became the first in its class to make applications available on individual PCs in the 1980s.
MATLAB: A numerical computing environment used for data analysis, visualization, and algorithm development. MATLAB became a commercial product in the early 1980s.
Integration, Reporting Patterns and Schedules
Use Cases/Dashboard Types
Document-Driven DSS (1980-1990) ??
Document-Driven DSS: These systems were designed to manage and retrieve unstructured and semi-structured data, such as documents, reports, and presentations. They provided users with the ability to store, organize, and access documents efficiently.
Why Develop Document-Driven DSS? Organizations needed a way to manage and retrieve unstructured and semi-structured data. Document-Driven DSS provided advanced search capabilities, document management features, and facilitated better information management.
Architecture Integration
Tools and Vendors
IBM’s Document Management System (DMS): IBM developed early document management systems that allowed organizations to store and retrieve documents electronically. These systems provided basic document management features such as indexing, search, and retrieval.
Wang Laboratories’ Office Information Systems (OIS): Wang Laboratories developed OIS in the 1980s, which included document management capabilities. OIS allowed users to create, store, and retrieve documents electronically.
Content Management Patterns and Schedules
Use Cases
Collaboration-Driven DSS to Collaborative Platforms (1980-1990) ??
Collaboration-Driven DSS systems were developed to facilitate communication and collaboration among team members. This led to the development of collaborative platforms that supported real-time communication, file sharing, and collaborative analysis.
Why Build Collaborative Platforms? Organizations recognized the need for tools that facilitated communication and collaboration among team members. This led to the development of collaborative platforms that supported real-time communication, file sharing, and collaborative analysis.
Architecture Integration
Tools and Vendors
Lotus Notes: An early email and collaboration system developed by Lotus Development Corporation. Its initial release, Lotus Notes 1.0, came out in 1989. It allowed users to share documents, calendars, and emails.
Microsoft Mail: Before the release of Microsoft Exchange, Microsoft Mail was used for email and collaboration. It was replaced in 1991 by "Microsoft Mail for PC Networks v2.1".
Bulletin Board Systems (BBS): BBS allowed users to connect and share messages and files over a network. They were popular in the 1980s and early 1990s.
Collaboration Patterns and Schedules
Use Cases
Hierarchical Structure and Roles (1980-1990) ??
Chief Information Officer (CIO)
The CIO was responsible for establishing and managing the organization’s IT department, developing IT strategies aligned with business goals, overseeing data management, security, and compliance, and reporting to the CEO while collaborating with other C-level executives.
Data Management Director
The Data Management Director supervised data management teams, ensured data quality, consistency, and accessibility, developed data governance policies, and reported to the CIO.
Project Manager: Oversees the implementation of the data management system, manages project timelines, budgets, and resources, coordinates with various teams and stakeholders, and ensures project goals and objectives are met. The Project Manager typically reports to the Data Management Director.
End-User Teams
1. Marketing Team
The Marketing Team utilized data to analyze campaign performance, generated insights for targeted marketing strategies, and collaborated with data analysts for reporting needs.
2. Sales Team
The Sales Team tracked sales performance and trends, used data to identify sales opportunities and challenges, and collaborated with BI developers for sales dashboards.
3. Finance Team
The Finance Team analyzed financial data for budgeting and forecasting, ensured data accuracy for financial reporting, and collaborated with data engineers for data integration.
4. Operations Team
The Operations Team monitored operational efficiency and performance, used data to optimize processes and resource allocation, and collaborated with data architects for data modeling.
5. Human Resources Team
The Human Resources Team analyzed employee data for workforce planning, used data to improve recruitment and retention strategies, and collaborated with data stewards for data quality.
These roles and hierarchical structures were essential for the successful implementation and management of centralized data management systems during the 1980-1990 era. Each role brought unique skills and expertise to ensure data was effectively managed, monitored, and utilized to support business objectives.
Pain Points Resolved and New Challenges (1980-1990) ??
Points Resolved from 1960-1980
New Challenges in the 1980-1990 Era
Conclusion ??
The emergence of Data Marts and Data Warehouses between 1980 and 1990 represented a significant leap forward in data management and analysis. These systems equipped organizations with the means to handle and scrutinize vast amounts of data, fostering more informed decision-making processes. Understanding the progression and development of these systems allows organizations to enhance this foundation and utilize contemporary technologies to meet current and future challenges. The centralized data management structures instituted during this time formed the basis for the advanced data warehousing and analytics solutions we depend on today. Despite encountering issues like scalability, performance bottlenecks, and data silos, the breakthroughs of that era continue to influence the domain of data management profoundly.
Call to Action ??
I trust you found the exploration of data architecture from 1980 to 1990 enlightening. Whether you're a data professional, a tech enthusiast, or simply interested in the evolution of data management, this article has insights for all. For a thorough understanding, I recommend reading the entire piece, though you're welcome to focus on sections that pique your interest.
Should you wish to share thoughts, questions, or personal experiences, please contribute to the comments section below. Let's foster a dialogue and enrich our knowledge with shared perspectives. Remember to follow for more content on data architecture and related fields. Your readership is greatly appreciated!
Look forward to the upcoming article delving into the progression of data systems from 1990 to 2000. It will highlight novel discoveries, technologies, frameworks, and milestones that influenced the data realm in that decade. Continuing the theme, it will also discuss the progress in Enterprise Architecture from 1980-1990 and subsequent advancements into 2000.
As we advance our data management techniques and integrate contemporary tools and technologies, we can overcome historical challenges and establish strong, scalable, and effective data systems for tomorrow. Let's harness historical lessons and apply them to forge an improved data-centric future.
Thank you for accompanying me on this historical voyage of data architecture. Maintain your curiosity and continue your exploration!
Regards,
Mohan
Senior Business System Analyst into the role of azure architect at FIS Global Information Services Pvt Ltd
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