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Building a Data Lakehouse with ER/Studio

Lakehouse database design

Introduction to Data Lake Challenges

The Data Lake has been a great place to take large quantities of semi-structured data and allow data scientists to run ad-hoc analyses and provide insights into the data. However, a large volume of ad-hoc work can result in a data swamp that quickly becomes unmanageable and ungovernable with potentially sensitive data exposed and undocumented data decaying, reducing its quality.

Benefits of a Data Lakehouse

Many organizations are now applying a little more structure to their lakes by creating Data Lakehouses. These offer:

  • Reusable and Processed Data Sets: Amalgamated and cleansed data sets that are well-structured and documented.
  • Faster Delivery for New Business Questions: Reusable data allows faster response to new inquiries.
  • Improved Data Quality and Trust: Well-managed data results in better quality and increased confidence in the data outputs.
  • Enhanced Governance and Security: Better documentation of data sets tied into data catalogs, improving security and ensuring that governance policies are applied to each data element.

Data Lakehouses address the limitations of traditional data lakes by enhancing structure, documentation, and data quality, allowing organizations to govern their data more effectively and meet business needs with greater efficiency.

Building the Lakehouse: Key Processes and Stages

1. Initial Data Collection

  • Raw Data Storage: Collected data in various file formats such as Parquet, JSON, and CSV.

2. Data Reading and Staging

  • Objective: Read raw data efficiently for further processing.
  • External Tables for Staging:
    • Creation of external tables to “stage” data, enabling SQL DML (Data Manipulation Language) operations.
    • Platform Support: Most database platforms now support external tables that can directly pull data from files, avoiding complex code refactoring for file-based data.

3. Data Cleansing, Processing, and Amalgamation

  • Processing and Storage:
    • Cleanse and transform data.
    • Store processed data either in the RDBMS (Relational Database Management System) or the data lake as persisted tables.
  • Platform-Specific Choices:
    • Databricks: Managed vs. unmanaged tables.
    • Azure Synapse: Use of Delta Tables or native tables.
    • Snowflake: Choice between Iceberg or native tables.

4. Presentation Layer and Star Schema Creation

  • Objective: Establish a presentation layer for reporting.
  • Schema and View Design:
    • Use star schemas to support routine reporting needs.
    • Create both persisted tables and views.

Data Lakehouse Structure

The Data Lakehouse is really just a Data Warehouse that includes data from the lake. The same principles as data warehouses should apply. The above process means that we have layers in the Lakehouse.

There are multiple approaches to naming and structuring these layers. The following list describes some of the more popular approaches.

Inmon Architecture

This approach has been around for many years, developed by Bill Inmon. It centers around a central data store well-organized using highly normalized third-normal-form (3NF) models. The central data store is designed to align with the structure of the business.

Data Mart or Presentation Layer

There is then a data mart or presentation layer that contains structures aligned with the final output, using the Kimball approach with denormalized star schemas that make reporting much easier.

  • Star Schemas: These star schemas pull data from the reusable, normalized central data store.

Data Loading and ETL Processes

The central data store loads data from sources, potentially using external tables pulling from lake-hosted files, and may also pull data from structured source systems using ETL tools, perhaps maintaining historical versions of that data.

Data Loading and ETL Processes

Medallion Architecture

This approach was originally promoted by Databricks and consists of Gold, Silver, and Bronze layers. For all intents and purposes it is identical to the Inmon approach above.

Bronze Layer: Data Staging

  • Role: Acts as the initial staging area for raw data.
  • Data Types: Can include a mix of external or persisted tables.

Silver Layer: Structured Data

  • Role: Provides well-organized, normalized data.
  • Structure: Prepares data for further processing and analytics.

Gold Layer: Analytics-Ready Data

  • Role: Optimized for analytics, typically in star schema format.
  • Structure: Designed to align with the specific needs of the lakehouse and to support business insights.
Medallion architecture

Data Vault

The Data Vault approach, developed by Dan Lindstedt, is designed to handle changes in data structures efficiently.

Core Structure: Hub and Link Tables

The Data Vault centers around a core structure consisting of Hub and Link tables, which align with the business’s understanding of its data.

Satellites for Data Storage

  • Raw Vault: Satellites contain raw data provided by source systems or raw files.
  • Business Vault: Satellites have cleansed, processed, and computed fields.

The reconciliation of records is done early in the process, using an accepted Business Key for each record held by the Hubs.

Additional Table Types

  • Staging Tables
  • External Tables

Final Presentation Layer
The final presentation layer is typically a set of star schemas.

Data Vault

The Business Model

So that’s the technical process and structure, but this requires some planning. All three of these approaches will only succeed if the central structures are well-defined and aligned with the business. ER/Studio is a tool that supports Enterprise Data Architecture and centers around the use of an Enterprise Data Model. 

This model is really an understanding of the business and should be non-technical. It has two layers: the Enterprise Conceptual Data Model and the Enterprise Logical Data Model.

The Enterprise Conceptual Data Model (ECDM)

This is the mile-wide inch-deep view of the organization and can be built very quickly. It should be a list of the fifty to two hundred concepts that are important to the organization. These may be key actors in the organization and the key transaction types performed within it. There will be a simple description for each and some lines that represent the relationships between the concepts.

This view allows the business to prioritize these concepts in terms of importance, sensitivity, etc.

The Enterprise Logical Data Model (ELDM)

This provides a more detailed view of the concepts and gives us standardized definitions of data entities. Concepts may be defined using taxonomies to show the different types of entities. Entities will have the accepted ways of uniquely identifying instances of them. Standard descriptions and attributes of them will be provided. And again, the relationships between them are described.

We hear many organizations tell us, “our business is too complex to do this; it would take forever.” This doesn’t have to be an exhaustive model and can take the important concepts from the conceptual model and go deep on those. Perhaps just have a standard definition of “Customer” and its related information.

The enterprise data model

The Enterprise Model may also store governance information such as policies and security classifications. 

This Enterprise Model is used for many purposes including:

  • Application design – ensuring that applications use of data is consistent ensuring interoperability
  • Master Data Management – creating data stores for important data. The enterprise model helps define what data goes into the MDM repository and documents it.
  • Application Integration – having standardized well-defined message formats makes interoperability much easier. The enterprise model helps design these messages and also how each application’s data maps to them.
  • Governance – The prioritized and structured Enterprise model helps data stewards define what to govern. Tools like Collibra with its Guided Stewardship approach use the enterprise model for this.

ER/Studio allows architects to define the Enterprise Model and publish it through its web-based front end to the entire organization. It then allows this model to design data assets ensuring they include standardized structures and are well documented. It then allows what-if analysis to be performed. 

The Enterprise Model and the Data Lakehouse

The three approaches to building an effective data lakehouse are all common in that they rely on the central body of the lakehouse to be aligned with the business. This ensures that requirements for new outputs from the warehouse can be met and changes managed quickly. The Enterprise Data Model provides this business knowledge in a form that can be quickly used in the lakehouse.

In ER/Studio, entities from the Enterprise Model can be added to the design of the warehouse, maintaining links back to it for traceability. For Data Vault, tools are available to transform 3NF entities into Hubs and Links so that the structure is aligned with the accepted enterprise model.

Building Your Lakehouse

In the past, approaches to the warehouse have been “build it and they will come.” Just loading data into the warehouse and hopefully new requirements will be able to use that data. More recently, we have accepted that we should start from the business requirements. Thus, the process should be:

  1. Gather requirements for outputs from the warehouse
  2. Map those requirements to the Enterprise Data Model
  3. Use those selected standardized Entities to:
  • Design and deploy star schemas
  • Design and deploy the structure of the central data store / Silver layer / Data Vault
  • Select source data assets
  1. The staging tables can then be designed and deployed along with all pipelines.

Data Mesh and Data Product Design

This approach has become popular of late and allows a decentralized approach to designing and governing the outputs of the analytics world that allows domains of genuine subject matter experts to define Data Products.

Key Concepts

  • Data as a Product: Ensures that only data sets that have real value to the business are created.
  • Self-Service Data: Supports the notion of self-service data where the business community can:
    • Browse existing products.
    • Make requests for new ones.

Domain Team Responsibilities

The domain teams review requests and maintain well-documented product catalogs and can set classifications and policies on them.

Domain Team Responsibilities

Data Mesh and Its Focus on Data Consumption

Data Mesh really focuses on the consumption model of the data products. The delivery can also be decentralized but will have more benefits if it is delivered through a well-managed platform, in this case, the Data Lakehouse.

Key Considerations for Consistency

  • Importance of Consistency: Imagine if every Data Product had a different definition of “Customer” or “Credit Rating.”
  • Mechanism for Consistency: We need a mechanism to ensure consistency across data products within a domain and across domains.

Role of the Enterprise Data Model

  • Foundational Data Products: Enter the Enterprise Data Model again. Every Entity in the Enterprise Data Model can be a Foundational Data Product.
  • Assembly Instructions: It also provides assembly instructions on which Foundational Products can be connected to form Aggregate Data Products.

Building Blocks for the Lakehouse

  • Defined Requirements: So now our requirements for the lakehouse are defined using the building blocks defined in the Enterprise Data Model.
  • Layer Design: The layers of the Lakehouse are also designed using the same building blocks.
  • Source Data Assets: Source data assets are also potentially designed and documented against the same building blocks.

Efficient Data Product Design

Now Data Products can be designed quickly with consistency, and the data for them sourced, staged, and processed quickly as part of an effective data supply chain. Throughout all data is well understood with governance policies considered.

ER/Studio’s Role

ER/Studio has been designed to support this process centered around the Enterprise Data Model to ensure consistent and high-quality lakehouses can be built that support the delivery of data requirements quickly with governance baked in.

  • Integration with Governance Tools: It connects with popular governance tools such as Collibra and Microsoft Purview.
  • Deployment Flexibility: It will take logical designs for data assets and deploy them to a wide range of platforms such as Databricks, Azure Synapse, Snowflake, and Google BigQuery.

To learn more about ER/Studio’s solutions, connect with our experts for a customized demo and see how we can support your goals.

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