Financial data warehouse
A financial data warehouse is a data storage warehouse for Financial Intelligence, and is specially optimised for collecting and preparing accounting data.
A financial data warehouse is usually set up based on a multidimensional database, in order to meet the requirements of multidimentionality in the following aspects
- time (booking periods, months, quarters, years),
- data levels (current, plan, forecast and scenarios),
- consolidation hierarchy (cost centre, company, segment, partial group, group),
- valuation levels (transfer between various accounting standards) as well as
- currencies (local currency and one or multiple group currencies).
There are very complex functional interrelationships between - on the one hand - the P&L statement, balance sheet, and cash flow statement (see capital flow statement), as well as other analyses and additional information and - on the other - internal legal consolidation and transfer between various accounting standards; however, these functional interrelationships do not change from industry to industry or between countries. Therefore, it makes sense to establish financial data warehouses based on readily implementable standard software, which enables major time savings and cost-savings to be made during implementation.
Due to the complex business analysis logic, it is only possible to effect the planning, consolidation and analysis in real time (realtime Financial OLAP) by using database technologies especially optimised for Financial Intelligence; this is because, for technical reasons, classic relational or multidimensional databases are not suited for ongoing real-time calculations for integrated P&L, balance and liquidity planning, as well as legal consolidation.