Defference between Database and Data Warehouse


A database is a collection of related information is called a database. It has some elements that can be mapped to real-world objects. It is designed in such a manner that has all the data for a specific purpose is stored in a single place.

Data Warehouse

It is a complete report accounting for every process and a complete analysis of the organization. It stores both historical and current data of the organization. It is used for making decisions and future predictions.

Basic Difference Between Database and Data Warehouse

  • Database as discussed is a collection of related information put together for a specific purpose while the Database Warehouse contains both historical and cumulative data that can be further used for analysis and prediction.
  • The purpose of the Database is to store the data for reference while the purpose of the Data warehouse is used to study the data.
  • Data stored in the Database is more application based while the data Warehouse data is more subject related. 
  • Database uses Transactional Processing whereas Data warehouse uses Analytical Processing to determine the conclusion from them.
  • Database tables and joins are complex but they are not redundant as the data stored in a database is stored in a single file in a normalised manner while the data in Data Warehouse is simple but redundant as it is de-normalized.
  • Database is designed keeping Entity-Relationship modelling techniques while the Data Warehouses are based on the Data Modelling techniques.

Characteristics of a Database

  • It is a secure way of accessing and storing the data.
  • It is used for performing the create, retrieve, update and delete operation on the data stored.
  • Database enables the various applications to access and alter the data stored at the same time.
  • Database Management System maintains the quality of the data stored in the database by implementing integrity constraints on the data.
  •  Multiple users can access the data stored in the database at the same time, this is called concurrent access of the data.
  • In a database all the data is stored in a single file which prevents data redundancy as the data stored is normalised.
  • We can implement various views of the data for a better understanding.
  • Database system ensures that the atomicity, consistency, isolation and durability of the data is maintained throughout.
  • It acts as isolation between the program and data so that change in one does not affect the other.
  • It maintains the concurrency and the operation on the database occurs in the form of transactions.

Characteristics of a Data Warehouse

  • Data warehouse helps business users to access critical data from some sources all in one place.
  • It ensures that the data stored is consistent even when multiple operations are being performed on it.
  • The data stored from multiple sources is stored in one place and increasing the efficiency of the production process.
  • Data warehouse reduces the TAT (total turnaround time) and makes the analysis of progress easier.
  • Data warehouse makes the data retrieval process quite efficient as all the quality data is stored at this place, it saves them time that would otherwise take to collect information from various sources.
  • Data warehouse we can study the trend of the company since the time of establishment and can make future predictions on that accord.
  • It makes the operation of the business efficient and helps to maintain customer relationships.
  • It isolates the analytical information from the transactional information improving the performance of both the systems.
  • It provides valuable information to the Stakeholders as it is all true and cannot be altered and can be used to analyse various aspects of the business. Data warehouse provides more accurate reports.
  • A data warehouse is subject-oriented, it contains all the information about the organization’s operation and can be used to analyse the performance of the organization.
  • The data be stored in the Data warehouse should be easily understandable and written in a unanimously acceptable manner.
  • A data warehouse is non-volatile, it is an accumulation of historical as well as current data, the previous data is not to be deleted even when the new information is constantly being added to it.

Database Vs Data Warehouse

ObjectiveIt is used to store information.It is used to study the data.
ProcessingIt uses online transaction processingIt uses online analytical processing.
UsageIt performs CRUD operations and keeps up with day to day operationsIt is used to analyse the growth of the business.
Tables and JoinsThey are complex but with no redundant data.They are simple but data may be redundant.
ModellingER modelling is usedData Modelling is used
Data ApplicationUsually, data is collected from one applicationData is gathered from multiple application
Type of DataData is recent and updated continuouslyData stored is historical as well as current.
SummaryData is detailedData stored is to the point.