Batch Compilation, Recompilation, and Plan Caching Issues in SQL Server 2005
This paper explains how batches are cached and reused in SQL Server 2005, and suggests best practices on maximizing reuse of cached plans. It also explains scenarios in which batches are recompiled, and gives best practices for reducing or eliminating unnecessary recompilations.
Thanks to Arun Marathe & Shu Scott / Source Microsoft TechNet
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