Actual User of Dimension in Cube

Hi Experts,
Can anyone tell me What is the advantage of having multiple dimensions. When we can hold all the infoobject in one dimension itself and generate report why do we need to plan and design what should be put every dimension. Its very confusing me when people raise question on me about this.
A dimension can hold up to 248 records and I have only 100 records which need not be maintained in many dimensions.
Please help me understand better.
Thanks

Hi,
   Dimensions are used to group all similar characteristics into a single table. So in one dim table you have many combinations of the characteristics that you have included in the dimension
For eg you have
Material Material group  in 1 dimension, so the dimension table would be like
Material Mat Group Dim ID
A             B               1
A             C              2
So in your transactional data(fact table) the data is stored in the following format
Dim ID     Quantity
1             100
This speeds up the reporting and allows BW to be as fast as it is.
      Now designing the dimensions is based on your ER diagram. The idea being that related characteristics would create less combinations and hence fewer dim IDs. Consider the above example Material and Material group in a single dimension
Now if I were to add Customer to this dimension, the number of combinations and hence DIM iDs would be large. Hence you dont include them
You can refer  the following link for step by step info on how to design a dimension
[http://www.sdn.sap.com/irj/sdn/go/portal/prtroot/docs/library/uuid/6ce7b0a4-0b01-0010-52ac-a6e813c35a84]
Hope this helps.
Regards.

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