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While the focus of the operational system is the execution of a business process, the analytic system supports the evaluation of the process. How are orders trending this month versus last Where does this put us in comparison to our sales goals for the quarter Is a particular marketing promotion having an impact on sales Who are our best customers These questions deal with the measurement of the overall orders process, rather than asking about individual orders. Interaction with an analytic system takes place exclusively through queries that retrieve data about business processes; information is not created or modified. These queries can involve large numbers of transactions, in contrast to the operational system s typical focus on individual transactions. Specific questions asked are less predictable, and more likely to change over time. Historic data will remain important to the analytic system long after its operational use has passed. The differences between operational systems and analytic systems are highlighted in Figure 1-1. The principles of dimensional modeling address the unique requirements of analytic systems. A dimensional design is optimized for queries that may access large volumes of

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Operational System Purpose Primary Interaction Style Scope of Interaction Query Patterns Temporal Focus Design Optimization Design Principle Execution of a business process Insert, Update, Query, Delete Individual transaction Predictable and stable Current Update concurrency Entity-relationship (ER) design in third normal form (3NF) Transaction System On Line Transaction Processing (OLTP) System Source System

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A cooperative was formed in partnership with a local businessman with the mission to develop, train, employ, and elevate the whole community Ultimately the profits made from this very profitable company are used for the care of the employees, including their retirement, and the betterment of the community That s not to say the typical American corporation should be run the same way as a European cooperative However there are important lessons to be learned from the Mondrag n model All companies must decide how much of their purpose is to serve the well-being, growth, and development of the people who work for them Are employees considered disposable cogs in the company machine Or are they truly integral to the function of the organization While this is not a simple question, each company must answer it.

$70.00 28,000,000 $60.00 General Motors Corporation NYSE: GM $50.00 23,000,000

Query Aggregated transactions Unpredictable and changing Current and historic High-performance query Dimensional design (Star Schema or Cube) Data Warehouse System Data Mart

Figure 1-1

transactions, not just individual transactions. It is not burdened with supporting concurrent, high-performance updates. It supports the maintenance of historic data, even as the operational systems change or delete information.

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If companies do put a value on human capital, then they must address whether and how employees should share in ownership, management, and governance Stock options go at it backwards, doling out a ticket to ownership in hopes that it will make employees and executives think and act like owners A far healthier approach is, first, to encourage the kind of action and behaviors that warrant having the chance to become owners Motivating employees to think and act like owners, however, is one of the biggest challenges of corporate managers today..

The founding principle of dimensional design is disarmingly simple. Dimensional design supports analysis of a business process by modeling how it is measured. Measurement is easy to discern, whether by listening to people talk or reading a report or chart. Consider the following business questions: What are gross margins by product category for January What is the average account balance by education level How many sick days were taken by marketing employees last year What are the outstanding payables by vendor What is the return rate by supplier

Each of these questions centers on a business process: sales, account management, attendance, payables, return processing. These process-centric questions do not focus on individual activities or transactions. To answer them, it is necessary to look at a group of transactions. Most importantly, each of these questions reveals something about how its respective business process is measured. The study of sales involves the measurement of gross margin. Financial institutions measure account balance. In human resources, they measure number of absences. The finance department measures payables. Purchasing managers watch the return quantities. Without some kind of context, a measurement is meaningless. If you are told sales were $10,000, there is not much you can do with this information. Is that sales of a single product, or many products Does it represent a single transaction, or the company s total sales from conception to date Without some context, the measurement is useless. As with the measurements themselves, context is revealed in business questions or reports. In the preceding questions, for example, gross margin is viewed in the context of product categories and time (the month of January). Sick days are viewed in the context of a department (marketing) and time (last year). Payables are viewed in the context of their status (outstanding) and vendor. These two simple concepts, measurement and context, are the foundation of dimensional design. Every dimensional solution describes a process by capturing what is measured and the context in which the measurements are evaluated.

18,000,000

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