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OLTP and OLAP Powered By Docstoc
					                                                                       Danielle Constantinos

       Online Transaction Processing and
         Online Analytical Processing
The following table summarizes the major differences between OLTP and OLAP system

                      Online Transaction Processing      Online Analytical Processing
                                    (OLTP)                           (OLAP)
Source of Data        Operational Data, OLTP’s are the Consolidation Data, OLAP”s data
                      original source of data          comes from many OLTP
Stored Values         Stores typically coded data      Stores descriptive data
Organization          Business Functions               Information Topics
Normalization         Normalized – more tables         De-normalized – less tables
Processing            Very Fast Processing Speed – Slower         speed     than   OLTP
Speed                 only 1 record is processed at a because there are more complex
                      time.                            queries that take many hours to
                                                       analyze, but can be improved by
                                                       creating indexes. – Group of
                                                       records is processed at once.
Homogeneity           Spread amongst different         Centralized in a data warehouse.
                      databases using different value
                      coding schemes.

Two essential features of OLAP systems:
      Data Visualisation involves displaying information in a visual and interactive format.
       OLAP systems generate a variety of graphs and charts in real time based on user input.
      Drill Downs involves the ability to progressively focus in on more and more detailed

Examples of OLTP and OLAP Systems:
      A Hotel Reservation Application would be designed mainly for faster inserts of the
       customer related data. It would also be designed in a manner as to get a faster retrieval
       of the hotel room availability information. This database is part of an OLTP system.
      An example of a OLAP system would be designed mainly for storing less current data
       which is able to create ‘what if’ scenarios and solutions. Such as at a bank when
       choosing a home loan that is right for you, the customer related data which was inserted
       in an OLTP database is looked at, and a query is made to look up the customer’s past
        In order to come to a conclusion of which home loan is best suited for the customer. It is
       based on information such as:
                 Does the customer have financial insurance?
                 How much is the customer earning every year?
                 Information explaining the standard home loan package.

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