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1 April 8, 2023© Kalido I Kalido Confidential I April 8, 2023
TCO: An Achilles Heel of Hand-Built Data Warehouses
2 April 8, 2023© Kalido I Kalido Confidential I April 8, 2023
Three Data Warehousing Achilles Heels
Time-to-Value
Time-to-Respond to Change
Total Cost of Ownership
3 April 8, 2023© Kalido I Kalido Confidential I April 8, 2023
High TCO Is A Cause/Effect Outcome
Lengthy implementation cycle
Built on 1-2 year old requirements and obsolete the day it goes live
Time-to-adapt to change is just as cumbersome as the initial implementation
“The business changes its mind too quickly for IT to keep up.”
n= 544 responses from 430 companies
“The Gap”
4 April 8, 2023© Kalido I Kalido Confidential I April 8, 2023
Drivers Of High TCO
People costs are not reduced over time
Lack of automation means hand coding changes as occur
Frequency of changes drives higher costs in a hand-built warehouse
Under 100K $100-249K $250-499K $500-999K Over $1M
77
110
135
68
137
“How much do you spend annually to support the data warehouse?”
n= 527 responses
n= 546 responses 430 companies
“How much did you spend on ETL tools to support you B.I. or data warehouse project?”
• Nearly 50% spent over $500K
• Nearly 40% spent over $1M 2012 online poll
5 April 8, 2023© Kalido I Kalido Confidential I April 8, 2023
Two Ways You And We Drive TCO Down
6 April 8, 2023© Kalido I Kalido Confidential I April 8, 2023
Delivering A Better Outcome
7 April 8, 2023© Kalido I Kalido Confidential I April 8, 2023
Business requirements that change?
“That does not keep me up at night”
Nik Green
Preparing Your Organization for BI Automation
Kalido Summer Series: Find Hidden Costs in Your Business Before They
Find You
Framing the Conversation & The Power of Relativity
“…humans rarely choose things in absolute terms. We don’t have an internal value meter that tells us how much things are worth. Rather, we focus on the relative advantage of one thing over another, and estimate value accordingly.” – Predictably Irrational, Dan Ariely
Which one of these circles is bigger than the other?
What constitutes art is relative…
especially when your kid is the artist
Nik: “Do you have slowly-changing dimensions?”Local DW Guru: “What’s that?”
YOU DON’T HAVE A DATA WAREHOUSE!!!
Nik: “How do you handle surrogate key management?”Local DW Guru: “Why would I use surrogate keys?”
Nik: “How do you manage referential integrity?”Local DW Guru: “The database handles it.”
Nik: “How many subject areas do you manage?”Local DW Guru: “One.”
Nik: “Are your dimensions conformed?”Local DW Guru: “Heh?”
A Data Warehouse Is Not a Relative Concept
“I don’t mean Data Warehouse the way you do.”
Offering to automate what I don’t do today or even understand is a silly proposition.
We Have to Baseline Our Organizations on a Definition
“Can I go see it, the Data Warehouse?”
“Teradata, our Data Warehouse…”
“Nik, I know you’re going to get mad, but we should just…”
“You know, Data Warehouse, a big database”
Modeling
Star and Snowflake Schema
Physical Schema Management
Slowly Changing Dimensions
Data Mart and Aggregates
Data Load and Index Management
Rollup Path Awareness
Incremental Summary Generation
Convert Existing Logical Models
Name & Label Management
Release to Production
Version Management
Object Level Change Management
Model Migration
Generic Export/Import for Data Migration
Model Comparison Report
Object Level Dependency for Migration Versions
Testing
Built-in Integrity Checking
Aggregate Task Results
Excel Integration for User Reconciliation
Data rollback and Batch Reload
User Interface for Data BrowsingOperations
Task Execution & Monitoring
Deployment & Migration
Audit and Logging
Process Automation
Archiving
Job Definition with Dependency
Data Integration
Data Sourcing and Field Mapping
Data Detection
Data Validation
Code Management and Lookup
Suspense and Exception Handling
Currency and Units of Measure
System Key Management Post Processing Housekeeping
BI DeliveryNative XLS Pivot Table
Generation
Metadata Management
Report-Time Formula Management
These capabilities enable building a scalable Business
Intelligence platform.
Imagine extolling the value of a snow blower to him…
Now try him…
Business Engagement10%
Logical Modeling20%
Physical Modeling40%
BI Metadata Development
15%
Mapping15%
Model Distribution of Effort
Model Distribution of Effort
Business Engagement10%
Logical Modeling20%
Physical Modeling40%
BI Metadata Development
15%
Mapping15%
55% Effort Reduction
55% Effort Reduction
…humans have consistently demonstrated an ability to find new things to do that are of greater value when jobs have been outsourced or automated.
– Philip Rosedale (Creator of Second Life),Abundance
Business Engagement55%Logical Modeling
30%
Mapping15%
Reinvest this time in engaging the business and building a better model.
Shifting Your TalentBusinessAcumen
Communication
ETL SQL
DimensionalModeling Data
AnalysisRDBMS
BusinessAcumen
Communication
ETL SQL
DimensionalModeling Data
Analysis
RDBMS
• Frame the conversation…make sure everyone is talking about the same thing.
• Reinvest your time-savings in developing a better solution.
• Re-tool your people.
© 2013 Kalido I Kalido Confidential I April 8, 202323
Thank You!
Is a relatively high Total Cost of Ownership still an expected consequence of an Enterprise Data Warehouse?
TCO Summer Webinar Series
Cost Per Release Cycle – 7/19
Automation to Reduce Operating Costs – 7/23
Reduce Tool Cost – 7/30
Scale Drives Cost Reductions – 8/6