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Overcoming Modern Data Warehouse Challenges

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Read more about author Irfan Gowani.

Data warehouses fuel modern business intelligence but are not without their challenges. With data growing faster than ever and the need for real-time insights, many organizations struggle to keep up. But here’s the thing: These challenges are not roadblocks. They are, in fact, opportunities. With the right approach, modern data warehouses can become powerful tools for growth and efficiency. Let’s look at the top data warehouse challenges that data warehousing teams often encounter and how to overcome them:

Code-Based Development Delays Project Timelines

The biggest challenge in modern data warehouse projects is completing them on time. Bottlenecks often arise due to inefficient processes, slow data integration, and constant changes in requirements. Coding and debugging become endless tasks when dealing with complex data structures and evolving project scopes. Teams often find themselves chasing down bugs or refactoring code, which delays progress and increases costs.

Additionally, shifting business needs means the original project scope is frequently changed, forcing engineers to go back and rework solutions. This constant change cycle prolongs project timelines as teams struggle to meet ever-shifting expectations.

Solution: Opt for a no-code data warehouse building tool. Modern enterprises are moving toward low-code and no-code platforms to expedite project timelines. Drag-and-drop interfaces allow data warehouse developers to design and develop data models and ETL pipelines faster. The no-code approach means fewer bugs to fix, and troubleshooting also becomes easier. They can also factor in changes quickly. As a result, data warehousing projects are completed on time.

Unstructured Data Extraction Complicates Things 

Extracting and managing unstructured data also complicates data warehousing. Much of business data doesn’t fit neatly into rows and columns. To handle this, companies often rely on separate third-party vendor software to ingest and process unstructured data. While these tools can help, they also introduce complexity, compatibility issues, and additional costs. These tools slow down data pipelines, make real-time processing nearly impossible, and lead to inconsistent data quality.

Solution: Invest in an intelligent document processing (IDP) solutionCompanies prefer a data management platform with built-in IDP capabilities because it eliminates the need for separate third-party vendors, simplifying the entire data pipeline. With these capabilities integrated directly into the platform, there’s no need to worry about compatibility issues or complex integrations. For instance, users can add data validation rules to ensure that the extracted data meets specific criteria. This simplifies the ETL and data warehousing process and results in faster querying and performance.

The BI Reporting Requirements Keep Changing 

Schema changes in data sources can create significant headaches for data modelers. Every time a source system changes its data structure, whether by adding new fields, removing old ones, or modifying data types, the data model needs to be updated accordingly. 

Also, if the schema changes are frequent, they can disrupt the ETL process, causing delays and increasing maintenance overhead. And when changes are made to multiple sources at once, it requires coordinated updates to the entire data model. If not properly managed, it can lead to broken data pipelines and unexpected errors in downstream analytics, compromising the consistency and reliability of the data warehouse.

Solution: There are some best practices to overcome this challenge. Use version control to track and adjust data model updates. Set up automated tests and monitoring to catch issues early. Build a flexible data architecture so changes only affect specific areas. Work closely with source system teams to get early notice of changes. These measures help avoid broken pipelines and make updates smoother. Also, it’s always a good idea to involve the users who will eventually use the data warehouse for BI reporting to ensure the final version meets their requirements.

Bridging AI and Data Warehousing

AI-driven document processing outputs often include a mix of structured, semi-structured, and unstructured data, which leads to data structure misalignment when integrating with data warehouses.

Structured data, such as extracted fields like invoice totals or dates, fits neatly into the rigid schemas of traditional warehouses. However, semi-structured data, like JSON or XML, brings complexity due to its hierarchical relationships and variable attributes, which don’t conform easily to predefined columnar formats. Unstructured data, including free-text comments or notes, presents an even greater challenge because it requires significant preprocessing—like text parsing, natural language processing (NLP), or embedding techniques—to derive meaningful, structured representations for integration.

Solution: Addressing this requires a combination of document processing solutions and advanced ETL/ELT tools that can dynamically adapt to the varied structures of data sources. The integration ensures a seamless flow of information from diverse data sources to the data warehouse, where it becomes a foundation for AI-powered analytics and decision-making.

A Final Word

Businesses must abandon old, manual processes and introduce automation and flexibility to tackle these data warehouse challenges. It’s not just about using new tools; it’s about building systems that can quickly adapt to constant change. No-code and low-code platforms are essential for speeding up data warehouse development and ensuring timely project completion. 

Dealing with unstructured data should be a priority, and investing in integrated solutions can simplify data pipelines. Finally, managing schema changes requires a proactive approach. A unified platform that offers ETL, data warehousing, and intelligent document processing software is ideal for avoiding integration and vendor management issues.