Special: Make threat forecasting work for you. FREE webcast explains how.
ITworld.com
  Search  
ITworld Home Page ITworld Webcasts ITworld White Papers ITworld Newsletters ITworld News ITworld Topic Map Changing the way you view IT
Data warehouse: The single version of truth
DATA MANAGEMENT STRATEGIES --- 12/10/2003

Chuck Kelley

Being a business intelligence junkie, I read most everything I can on the subject. The item that I find most hilarious is "Do you have multiple single versions of truth?". My answer is "Yes, I do".
Advertisement
On this topic
DATA MANAGEMENT STRATEGIES
Data Management Strategies. Sign up Now!

The reason I find this so hilarious is the background of the question. The background goes like this.

Let's say you are the CEO of an insurance company. You ask your VP of Sales and VP of Finance what the sales were for last quarter. Each of the VPs goes off to their respective systems and gladly reports back. The VP of Sales proclaims that we had $34 million in sales last quarter. The VP of Finance reports that we had $27 million in sales last quarter. Which one is right?

This is one of the reasons that you need a data warehouse. You need to have a single version of truth. But you can have multiple versions of truth.

I submit to you that both of the answers are correct and that neither is correct. Before you start thinking that I am loosing my mind (although my wife would agree with you!), let's think about this.

It may be that in Finance (perhaps the more conservative group), sales are not truly sales unless the risk has been accepted by the company and the policy is in force (effective date of the policy has passed). In Sales, sales may be defined as the collection of money at the application for insurance, since that is what commissions are based on. Both are equally valid definitions. Both are equally correct.

However, what is the CEO's definition of sales? Maybe the CEO thinks sales are defined as the collection of the money, acceptance of the risk – whether or not the policy is in force. In this case, both are equally valid definitions, but both are equally incorrect.

So what do we do?

I create three columns (for this example, but believe me it can be worse) - FINANCE_DEFINITION_OF_SALES, SALES_DEFINITION_OF_SALES, MGMT_DEFINITION_OF_SALES. Then, I create the metadata to reflect how each of the columns are defined and created. This does three things.

1) It provides each group with their meaning of what a "sale" is, 2) It allows IT and management see that there may be a problem with the organization if there isn't agreement on what a "sale" is, and 3) It makes IT look like heroes because we created what everyone wants. It may not be good, but it is what they want.

So there are many versions of truth when it comes to data and we need to reflect this in our data warehouse. But the data warehouse is the single version of truth, because it contains the data as each group defines it.

 

Chuck Kelley is the President and CTO of Excellence In Data, Inc., an Arizona-based consultancy that helps organizations get the most out of corporate data. Reach him at: mailto:chuck.kelley@excellenceindata.com.



ITworld.com Site Network
 www.itworld.com
 security.itworld.com
 smallbusiness.itworld.com
 storage.itworld.com
 utilitycomputing.itworld.com
 wireless.itworld.com
Advertisement
Sponsored links
HP Wireless Solutions for business. Proven technology. Superior service.
How do you maximize return on your IT investments? Learn more now.
Setting the pace of PC technology. HP Compaq Desktops, starting at $367.
By networking your storage, you can reduce costs, protect your information--and simplify management.
Tips to Optimize Your Revenue Assurance Investment
Free webcast: Stepping up your SMB Network Infrastructure
Find the Right Balance Between Useful Wireless Networks and Security
Latest News, Webcasts, White Papers and Newsletters on UTILITY COMPUTING
Experts estimate that more bioinformatic data will be created over the next three years than in the last 40-thousand years combined! Learn what to do about it.
 Home   Newsletters  DATA MANAGEMENT STRATEGIES
www.itworld.com     security.itworld.com     smallbusiness.itworld.com
storage.itworld.com     utilitycomputing.itworld.com     wireless.itworld.com
 
About Us   Privacy Policy    Terms of Service   Webcast & Marketing Solutions
Copyright © 2003 Accela Communications, Inc. All rights reserved