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options as the equity portion of annual compensation for its board members. Instead GE s board decided that deferred stock units (DSUs) would be 60 percent of annual director compensation. DSUs will not pay out until one year after a director leaves the board. Most importantly when executives exercise their existing options, they are required to hold a significant percentage of those shares for a minimum number of years. Another positive development, as noted in 8, is the decision by Coca-Cola in December 2002 to stop providing advance guidance on quarterly or annual earnings per share. Advance guidance refers to the practice of predicting the next earnings announcement, which exacerbates investors overly short-term focus on quarterly results. As Chairman and CEO Douglas N. Daft said in a statement, We believe that establishing short-term guidance prevents a more meaningful focus on the strategic initiatives that a company is taking to build its business and succeed over the long run. These two examples highlight concrete steps being taken to improve corporate governance and financial integrity. All companies, I would argue, should take a critical look at their governance practices with the end goal of restoring and strengthening investor confidence. In the name of more accountable companies, there can be no better place to focus than on executive compensation. Consider these nine steps for a healthier organization.

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One side effect of this requirement generates a notable contrast with other types of fact tables: the dimension table is likely to have more rows than the fact table itself. This should not be viewed as an error; it is in keeping with the analytic requirements. It can pose a tuning challenge for database administrators, who may find that star-join optimization is not the most efficient way to resolve a query involving an accumulating snapshot. Finally, note that an accumulating snapshot does not associate a historically accurate version of the thing being processed with each milestone achieved. It refers to the entity once, and that reference is the most up-to-date version. If the historic context of each processing step is required, this information can be obtained by consulting a transactionbased star, such as the one depicted in Figure 11-5. Together, the two designs can be used to answer a wide variety of business questions. If a transaction design is not required for other purposes, the accumulating snapshot can be supplemented to carry multiple references to the dimension one for each milestone.

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Summary

This chapter introduced two new forms of fact table design: the periodic snapshot and accumulating snapshot Each was motivated by a particular analytic challenge that is not well served by a transaction fact table design, and each has unique characteristics A transaction fact table tracks events Its grain usually corresponds to an individual transaction or a summary of transactions Facts that describe a level, balance, or similar status can sometimes be computed from the transactions that contribute to their value, but not always When they can be computed, the process is not usually very efficient A snapshot fact table samples a balance, level, or status measurement at a predefined interval across specified dimensions Unlike a transaction fact table, a snapshot tends to be very dense Balance or level measurements in a periodic snapshot are usually semi-additive; it does not make sense to sum them across snapshot periods.

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kept many people away from companies like Microsoft, Apple Computer, or Winnebago when they first started. They were not fraudulent investments in any way, and that is what the scam artist is counting on to gain the investor s confidence. A personal visit to a company can be helpful, but again it doesn t ensure the integrity of the information. Companies tend to be good at putting on a dog and pony show for investors and brokers. Even the worst of companies can usually put together a good show for an interested audience. Often, the best information about a company comes from outside sources that are in a position of being more objective. Usually, the best defense is to avoid companies where there is any doubt involved. If evidence of fraud appears, sell out quickly and take the loss.

In some cases, they may be nonadditive A snapshot can be embellished with period-begin and -end balances, as well as fully additive facts that summarize the period They may also include a sum that can be used to compute the average balance or level A business process that represents a series of steps or statuses may be tracked using a transaction fact table This model is useful for studying and quantifying the various activities but is notoriously difficult to use when studying the elapsed time spent at one or more stages If the items being processed can be readily identified, an accumulating snapshot can be designed It will have one row for each instance of the item undergoing the business process This row is repeatedly updated as the process unfolds The accumulating snapshot includes multiple day_keys, each representing the achievement of an important milestone.

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