â€śData Warehousingâ€ť is technical process where we are making our data centralized while â€śData miningâ€ť is more of business activity which will analyze how good your business is doing or predict how it will do in the future coming times using the current data. As said before â€śData Warehousingâ€ť is not a need for â€śData miningâ€ť. Itâ€™s good if you are doing â€śData miningâ€ť on a â€śData Warehouseâ€ť rather than on an actual production database. â€śData Warehousingâ€ť is essential when we want to consolidate data from different sources, so itâ€™s like a cleaner and matured data which sits in between the various data sources and brings then in to one format. â€śData Warehousesâ€ť are normally physical entities which are meant to improve accuracy of â€śData miningâ€ť process. For example you have 10 companies sending data in different format, so you create one physical database for consolidating all the data from different company sources, while â€śData miningâ€ť can be a physical model or logical model. You can create a database in â€śData miningâ€ť which gives you reports of net sales for this year for all companies. This need not be a physical database as such but a simple query.