Online analytical processing (OLAP) is software technology you can use to analyze business data from different points of view. Organizations collect and store data from multiple data sources, such as websites, applications, smart meters, and internal systems. OLAP combines and groups this data into categories to provide actionable insights for strategic planning. For example, a retailer stores data about all the products it sells, such as color, size, cost, and location. The retailer also collects customer purchase data, such as the name of the items ordered and total sales value, in a different system. OLAP combines the datasets to answer questions such as which color products are more popular or how product placement impacts sales.","id":"seo-faq-pairs#what-is-olap","customSort":"1"},"metadata":{"tags":[{"id":"seo-faq-pairs#faq-collections#olap","name":"olap","namespaceId":"seo-faq-pairs#faq-collections","description":"

olap","metadata":{}}]}},{"fields":{"faqQuestion":"Why is OLAP important? ","faqAnswer":"

Online analytical processing (OLAP) helps organizations process and benefit from a growing amount of digital information. Some benefits of OLAP include the following. \n

Faster decision making \n

Businesses use OLAP to make quick and accurate decisions to remain competitive in a fast-paced economy. Performing analytical queries on multiple relational databases is time consuming because the computer system searches through multiple data tables. On the other hand, OLAP systems precalculate and integrate data so business analysts can generate reports faster when needed. \n

Non-technical user support \n

OLAP systems make complex data analysis easier for non-technical business users. Business users can create complex analytical calculations and generate reports instead of learning how to operate databases. \n

Integrated data view \n

OLAP provides a unified platform for marketing, finance, production, and other business units. Managers and decision makers can see the bigger picture and effectively solve problems. They can perform what-if analysis, which shows the impact of decisions taken by one department on other areas of the business.","id":"seo-faq-pairs#why-is-olap-important","customSort":"2"},"metadata":{"tags":[{"id":"seo-faq-pairs#faq-collections#olap","name":"olap","namespaceId":"seo-faq-pairs#faq-collections","description":"

olap","metadata":{}}]}},{"fields":{"faqQuestion":"What is OLAP architecture? ","faqAnswer":"

Online analytical processing (OLAP) systems store multidimensional data by representing information in more than two dimensions, or categories. Two-dimensional data involves columns and rows, but multidimensional data has multiple characteristics. For example, multidimensional data for product sales might consist of the following dimensions: \n

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