What is a primary reason to maintain a data lineage diagram?

What is a primary reason to maintain a data lineage diagram?

• A. Understanding data flows for impact analysis, audits, and compliance.
• B. Increasing data redundancy.
• C. Reducing the need for ETL processes.
• D. Eliminating documentation.

Answer: (A)

A data lineage diagram provides a clear view of where data comes from, how it moves, and what transformations it undergoes across systems. That visibility is crucial for impact analysis—when a source changes, you can trace which downstream reports and processes are affected. It also supports audits and compliance by offering a documented trail of data provenance and transformations, which regulators and governance teams rely on. It’s not about increasing redundancy, reducing ETL work, or eliminating documentation; instead, it serves as documentation that helps manage data flows and governance.

A data lineage diagram provides a clear view of where data comes from, how it moves, and what transformations it undergoes across systems. That visibility is crucial for impact analysis—when a source changes, you can trace which downstream reports and processes are affected. It also supports audits and compliance by offering a documented trail of data provenance and transformations, which regulators and governance teams rely on. It’s not about increasing redundancy, reducing ETL work, or eliminating documentation; instead, it serves as documentation that helps manage data flows and governance.