Operational systems are optimized for preservation of data integrity and speed of recording of business transactions through use of database normalization and an entity-relationship model. Operational system designers generally follow the Codd rules of data normalization in order to ensure data integrity. Codd defines five increasingly stringent rules of normalization. Fully normalized database designs (that is, those satisfying all five Codd rules) often result in information from a business transaction being stored in dozens to hundreds of tables. Relational databases are efficient at managing the relationships between these tables. The databases have very fast insert/update performance because only a small amount of data in those tables is affected each time a transaction is processed. Finally, in order to improve performance, older data are usually periodically purged from operational systems.
Data warehouses are optimized for speed of data retrieval. Frequently data in data warehouses are denormalised via a dimension-based model. Also, to speed data retrieval, data warehouse data are often stored multiple times - in their most granular form and in summarized forms called aggregates. Data warehouse data are gathered from the operational systems and held in the data warehouse even after the data has been purged from the operational systems.
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