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OLAP (Online Analytical Processing) is a software technology that enables users to analyze data from multiple database systems simultaneously. It is based on a multidimensional data model, where data is represented in the form of cubes, also known as hyper-cubes. Each cube consists of dimensions (e.g., Location, Time, Product) and measures (e.g., Sales, Profit).
Note: OLAP is widely used in data warehousing and business intelligence systems to support analytical queries, trend analysis, and decision-making.
OLAP supports five fundamental analytical operations that allow users to view data from different perspectives and levels of detail:
Example: Viewing sales data for 2024 -> Q1 -> January instead of only yearly totals.
Example: Aggregating sales data from City -> Country or from Month -> Quarter.
Example: Selecting Time = "Q1" to analyze sales across all products and regions for the first quarter.
Example: Selecting: Location = "Delhi" or "Kolkata", Time = "Q1" or "Q2" & Item = "Car" or "Bus"
Example: Swapping the Time and Location axes to compare sales by quarter across different regions.