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Chapter 3 Databases and Data Warehouses: Supporting the Analytics-Driven Organization McGraw-Hill/Irwin Copyright © 2013 by The McGraw-Hill Companies, Inc. All rights reserved. INTRODUCTION Business intelligence (BI) – collective information that gives you the ability to make effective, important, and strategic business decisions Analytics – the science of fact-based decision making Both are huge in today’s business world 3-2 OLTP, OLAP, and Business Intelligence 3-3 RELATIONAL DATABASE MODEL Database – collection of information that you organize and access according to the logical structure of the information Relational database – series of logically related two-dimensional tables or files for storing information Relation = table = file Most popular database model 3-4 Database – Collection of Information 3-5 Database – Logical Ties within the Information Primary key – field (or group of fields) that uniquely describes each record Foreign key – primary key of one file that appears in another file Customer Number is the primary key for Customer and appears in Order as a foreign key 3-6 DATABASE MANAGEMENT SYSTEM TOOLS Database management system (DBMS) – helps you specify the logical requirements for a database and access and use the information in a database 3-7 5 Components of a DBMS 1. 2. 3. 4. 5. DBMS engine Data definition subsystem Data manipulation subsystem Application generation subsystem Data administration subsystem 3-8 DATA WAREHOUSES AND DATA MINING Help you build and work with BI and some forms of knowledge Data warehouse – collection of information (from many places) that supports business analysis activities and decision making 3-9 The Tool Set of the Analytics Professional 3-10 Digital Dashboard 3-11 The Analytics Life Cycle 3-12 Data Marts Data mart – subset of a data warehouse in which only a focused portion of the data warehouse information is kept 3-13 INFORMATION OWNERSHIP Information is a resource you must manage and organize to help the organization meet its goals and objectives You need to consider Strategic management support Sharing information with responsibility Information cleanliness 3-14