Explain why businesses have shown a growing interest in data warehousing in recent years.
What will be an ideal response?
Since the 1970s, organizations have mostly focused their investment in new computer systems that
automate business processes. In this way, the businesses gained competitive advantage through systems
that offered more efficient and cost-effective services to the customer. Throughout this period,
businesses accumulated growing amounts of data stored in their operational databases. However, in
recent times, where such systems are common place, businesses are focusing on ways to use
operational data to support decision-making, as a means of gaining competitive advantage.
The successful implementation of a data warehouse can bring major benefits to an organization
including:
Potential high returns on investment
Competitive advantage
Increased productivity of corporate decision-makers
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