OLTP vs OLAP: What's the right fit for your business needs?

Online Transaction Processing (OLTP) and Online Analytical Processing (OLAP) are two distinct data processing systems. OLTP is designed for real-time transactional processing, such as debit/credit card transactions or funds transfers during online banking. It captures and processes real-time data transactions in a relational database. On the other hand, OLAP is used for complex data analysis, forecasting, and creating business reports. It processes data already stored in a data mart or warehouse. The choice between the two systems depends on an organization's specific needs. OLTP is best suited for handling multi-user queries involving several thousand read-and-write operations to the database, while OLAP focuses more on bulk processing of historical data and reading millions of rows stored in data marts, warehouses, or lakes. Both systems are crucial in streamlining data-related processes and enabling business growth.