What is the primary purpose of a data warehouse?

What is the primary purpose of a data warehouse?

• A. Storing physical products
• B. Supporting decision-making with comprehensive information
• C. Tracking employee performance
• D. Managing customer invoices

Answer: (B)

The primary purpose of a data warehouse is to support decision-making by providing comprehensive and organized information that is suitable for analysis and reporting. Data warehouses consolidate data from various sources into a centralized repository, allowing organizations to efficiently analyze their data and derive insights that inform strategic decisions. This structured environment enables users to perform complex queries, run analytics, and generate reports that can guide management in understanding business performance, identifying trends, and making informed decisions. By integrating data from different systems, a data warehouse enhances the overall quality and accessibility of the information, leading to more effective decision-making processes across various departments within an organization.

The primary purpose of a data warehouse is to support decision-making by providing comprehensive and organized information that is suitable for analysis and reporting. Data warehouses consolidate data from various sources into a centralized repository, allowing organizations to efficiently analyze their data and derive insights that inform strategic decisions.

This structured environment enables users to perform complex queries, run analytics, and generate reports that can guide management in understanding business performance, identifying trends, and making informed decisions. By integrating data from different systems, a data warehouse enhances the overall quality and accessibility of the information, leading to more effective decision-making processes across various departments within an organization.