Facts say that the adoption rate of cloud analytics by businesses is at their all time high level. The concept of analytics being performed in the cloud without needing any software or on-site equipment is itself a big thing for sure.
With the advancement of cloud analytics, it has been seen that on-premise analytics solution is progressively been replaced by the cloud. This is because of the fact that there are some inherent disadvantages associated with the on-premise analytical solution.
The first and foremost disadvantage is the cost associated with procurement as well as maintenance of the on-premise solution. It is too expensive. In addition to it, there is the scalability concern. It has been seen that collaboration among multiple teams become difficult with the on-premise analytical solutions. These are the points where cloud score over on-premise solutions. When it comes to cloud analytics, it is not only scalable but also more affordable. The service variety in case of cloud analytics is much more. These cloud hosting services are offered on subscription basis and it makes it easier for the clients in making decisions. Numerous studies have found out that there is multiple business benefits associated with cloud analytics. However, it has been pointed out by Gartner that hasty adoption of services can lead to various problems and the advantages discussed so far would not be realised. Therefore, a good planning is required for getting the best out of cloud analytics.
Starting with the Explanation of Cloud Analytics
Cloud analytics essentially helps businesses in performing tasks related to business intelligence (BI). This is nothing but a set of solutions that are hosted in cloud. These solutions may include data models, data sources, analytic models, computer power, processing applications, and most importantly result storage and sharing. There are two basic models of pricing. One of the most followed pricing models is pay per use pricing model. It is also known as utility pricing model, where the charges are done as per the usages. The other pricing model is the subscription based model. The greatest advantage is that subscribers can either opt for a single service or many services.
Explaining the Concept
There are many examples of cloud analytics. One of the most important example can be the SaaS BI, whose full form is Software as a Service Business Intelligence. Other two examples can be cloud based social media analytics and hosted data warehouses.
A probable example scenario of a business will help in understanding the concept more easily.
Suppose, a business entity subscribes to both BI solutions as well as data warehousing that are hosted in cloud. It must be said here that the concepts of data warehousing as well as BI solutions are very different from one another. Business Intelligence toll provides various services including dashboards, categorization, charting, and most importantly pivot tables after the query is sent to the hosted data. It must be said here that large volumes of data are hosted in the data warehouses, from where the BI fetches the hosted data. The services can be scaled up or down by scaling the services up and down, based on specific requirements.
Why Using Cloud Analytics is more efficient?
It is a known fact that businesses are always changing along with the ever evolving business environment. Therefore, it is the dynamism that helps in faster adoption. It can’t be achieved in the on-premise analytical solutions. This flexibility can be provided by the cloud. With this, businesses are more equipped to adapt to ever evolving business conditions. This has also been corroborated by the facts put forward by D&B. The report shows that more and more companies, right from start-ups to large enterprises, are embracing cloud analytics. In fact, the largest commercial information providers, D&B, has also acquired an analytics start-up named Indicee. This start-up offers analytics system on Chatter ESN, a product of Salesforce. This acquisition is very important for D&B because it helps them provide their clientele with the required commercial information easily. In fact, this entire information is provided to D&B clientele absolutely free of cost.
What is the Biggest advantage associated with BI?
The most important advantage of BI is the availability of integrated view. The business management gets an integrated view of their businesses. This helps them in getting a 360 degree view on the affairs. Therefore, they can accordingly take insightful decisions on the basis of that. With a comprehensive view on the prevailing situations, they can make a far better decision. In fact, some of biggest names in the sports industry such as NHL, NBA, and NFL have adopted cloud so that they can have superior insight on the performances of the players, interest of the audiences, sales of tickets, ground capacity, and many more.