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Data Management

Data Warehouses Are Evolving For The Good But Why Are Organizations Hesitant?

By TD NewsDesk

TD NewsDesk

Updated on Mon, May 22, 2023

Overall Rating
You’ve heard of “New Phone, Who Dis?”, now get ready for “New Company, Where Dat?”

Confused? Here’s a reference for those unaware: New Phone, Who Dis.

However, in this version, ‘Dat’ doesn’t stand for ‘That’ but instead is short for ‘Data.’ After all, it doesn’t matter if a company is old or new, it relies on collecting, storing, analyzing and using data on some level.

This is where data warehouses come in. As organizations are continually evolving to deliver results and accepting new work cultures, such as people working from remote locations, companies have found it beneficial to adopt modern data warehousing technologies.

Possessing a cloud ecosystem or adopting a hybrid cloud + on-premises approach allows information sharing from both sources, allowing for agility, cost-efficiency real-time data processing and analysis, improved scalability, increased flexibility, improved security, fully managed services and more. #wow

Sigmoid, a data solutions company, reports that the adoption of cloud data warehouses is growing at a CAGR of 15%.

Mike Capone, CEO of Qlik, asked an important question, “How do we leverage data?” and answered it with, “Not the old way, which is like blocked up in an old database of a data warehouse, but the new way, which is real time at the moment to improve experiences of our employees and our customers. That’s what our customers are talking to us about.”

TechDogs-"Image Of Mike Capone, CEO, Qlik"
However, despite the many benefits of modern data warehousing techniques, businesses are hesitant to invest in or adopt them due to certain misconceptions. Some of these misconceptions, according to Data Science Central, include:
  • Data warehousing analyzes past data: On the contrary, data warehousing can process data and offer analytics in real-time.

  • Data warehouses don’t possess a common structured query language (SQL) engine to process all types of data: A common SQL engine can be built, enabling companies to use internal solutions for structured data and data lakes for unstructured data.

  • Only cloud providers can make modern data warehousing possible: Businesses can store sensitive data on-premises, while cloud providers can be used for non-sensitive data. #HybridForTheWin

  • Managing data governance is tough in data warehousing: Modern solutions along with emerging technologies, such as AI and ML, can help businesses plan and design better data hubs. 

  • Data warehousing is expensive to build and use: Data fabric architecture can process data directly from online transactions, cutting costs and alternate warehousing solutions.

Speaking regarding misconceptions amongst organizations that lead to hesitation in adopting data warehouses, Justin Borgman, CEO and Co-founder of Starburst Data Inc., said, “We have large, giant hyperscale internet companies that don’t have the traditional data warehouse at all; they do all of their analytics in a data lake,” he stated. “So I think we’ve proven that it’s very much possible.”

TechDogs-"Image Of Justin Borgman, CEO And Co-founder Of Starburst Data Inc."
While adopting modernized data warehousing technologies might be an extensive and challenging task, its benefits and advantages majorly outweigh the risks posed to organizations.

What do you think of the misconceptions about data warehouses? Did we miss out on any? Let us know in the comments below!

First published on Mon, May 22, 2023

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