What is the Difference between Business

What is the Difference between Business Intelligence Data Warehousing and Data Analytics

What is the Difference between Business Intelligence, Data Warehousing and Data Analytics?

In the age of massive Data, you’ll hear tons of terms tossed around. Three of the foremost commonly used are “business intelligence,” “data warehousing” and “data analytics.” you'll wonder, however, what distinguishes these three concepts from one another so let’s take a glance.

Business Intelligence (BI)

What differentiates business intelligence from the opposite two on the list is that the idea of presentation. Business intelligence is primarily about how you're taking the insights you’ve developed from the utilization of analytics to supply action. BI tools include items like:

  • Graphics and charts

  • Written reports

  • Spreadsheets

  • Dashboards

  • Presentations

  • Insights shared at meetings


To put it simply, business intelligence is that the final product. It’s the yummy cooked food that comes out of the frypan when everything is completed. In the flow of things, business intelligence interacts heavily with data warehousing and analytics systems. Information are often fed into analytics packages from warehouses. It then comes out of the analytics software and is routed back to storage and also into BI.

Once the BI products are created, information may once more be fed back to data storage and warehousing. Notably, BI doesn’t need to be a finished product within the traditional sense. For instance, a BI dashboard for a clothing retailer might include up-to-the-minute trendspotting data from social media, buyers overseas, inventories, store sales, focus group interviews and fashion shows. Come to the dashboard during a half-hour, and you would possibly see different information being displayed because the trends have shifted within that point frame.

Data Warehousing

This is sometimes grouped alongside storage, but many organizations differentiate the 2 . The difference is essentially about data that’s stored for very long periods, warehousing and data that’s stored for immediate use. Some organizations don’t draw this distinction, though.

Warehousing can occur at any step of the method. Data gets warehoused right after it's been acquired therefore the raw stuff are often rescanned for analytics purposes. This is often a superb safeguard against data being mangled by processes, leaving the first information potentially unrecoverable.

Data also will be warehoused within the middle of projects. For instance, it'd be warehoused after several runs of analytics are conducted. This ensures the results of study programs are stowed away just in case they have to be mentioned again. It also avoids possible problems with mangling in business intelligence packages.

Lastly, data often gets warehoused after it's made it to the promised land of getting used as BI. Reports, charts, daily states of dashboards and spreadsheets may all enter the warehouse for permanent records-keeping, legal, historical and auditing purposes.

Data Analytics

Analysis is the sexy part of this business for many folks. This is where statistical methods and computer programming techniques are combined to study data and derive possible insights. Much of the toolset comes from the stats world, with common methods applied to data including:

  • Linear regression

  • Bayesian analysis

  • Frequency studies

  • Network analysis

  • Hypothesis testing

  • Clustering

  • Correlation


Performing analysis often involves tons of prep work. Data may need to be formatted properly for machine-reading. It’s going to even have to be filtered for duplicates, errors and other troublesome flaws. This all has got to be done to preserve the integrity of the info the maximum amount as possible. After analysis has been done, there’s still more work to be handled initially gets fed into warehouses and BI packages. Further analysis should be performed to validate the info. Data scientists often reserve a part of a dataset to use for comparison. If there are radical departures between the analysis and what world data seems like, which may be taken as a clue to travel back to the lab and find out what went wrong with the analysis efforts. Consideration can also tend as to if different sorts of analysis could be worth exploring before moving to the BI phase.




Working with data within the times is way from one action or maybe set of actions. Organizations now hack the method into many pieces because there are numerous responsibilities along the way. Competent data warehousing methods can make sure that information isn’t lost. Skillful analysis will attempt to avoid problems like social and statistical biases, over- and under-fitting, duplicability failures and self-reference. Good business intelligence usage can make sure that information gets into the hands of decision-makers and powers a data-driven culture.

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