1 Oct 2022| ONPASSIVE
Data Analytics, Visualizations, Data Warehousing
Top 5 Reasons To Build Your Data Warehouse In The Cloud
In recent years, cloud usage rates in business BI have increased dramatically. Many successful firms now employ the Cloud Data Warehouse (CDW) as the cornerstone of their data analytics architecture.
In the current competitive world, businesses should consider transferring their data architecture to the cloud because a traditional data warehousing architecture may not be able to fulfill your modern data processing needs.
A data warehouse is a repository of business data that firms keep supporting and allowing Business Intelligence (BI) activities. It’s made to combine data from various sources, making it simple to run analytics and extract useful information.
Managers and executives can access data from many sources in a data warehouse, making reporting and analysis easier and having all the data in one location allow analysts to get a more holistic view of the data and gain essential insights more quickly. They may execute complex and predictive analytics using ad-hoc queries, resulting in better business decisions.
A cloud data warehouse is a centralized cloud-based data repository. It’s less complicated to set up than an On-premise data warehouse because it doesn’t require expensive hardware or lengthy configuration and setup.
This built-in flexibility allows businesses to scale up their compute and storage capacity as needed. Cloud systems’ rapid scalability also enables them to handle massive amounts of data at a fast rate, allowing businesses to gain data-driven strategic insights and make faster, wiser decisions.
A modern data warehouse architecture improves computational capabilities and accessibility, giving analysts a single source of truth to power their business intelligence and analytics activities.
Most firms select a cloud data warehouse because of its unique features and benefits.
Here are five reasons why migrating your data warehouse to the cloud is a good idea:
Enterprises have switched their attention to data integration to support analytics and BI activities due to the influx of data in today’s digitized environment.
A modern cloud data warehouse can be incredibly useful in this situation. It works with third-party data integration solutions to help with data integration tasks like cleansing, ETL mapping, and transformation. In general, it has better integration than the On-premises version.
Data from various sources, such as other cloud platforms and semi-structured or unstructured inputs, can be easily integrated into cloud data warehouses. Users can start modeling a data warehouse to match their individual business needs by simply connecting and configuring the required source system.
A modern cloud-based data warehouse, unlike an On-premise data warehouse, requires little to no initial investment. It saves businesses money on IT infrastructure and eliminates the need to hire a professional IT crew to operate and maintain the system.
One of the most compelling reasons for many firms to migrate to a cloud-based data warehouse is cost. A cloud-based data warehouse is a more practical choice for small and mid-sized businesses since it requires fewer resources to maintain hardware, server rooms, networking, and other infrastructure.
As a result, even huge corporations have begun to migrate data warehouses to the cloud in order to reduce operational costs. A cloud-based enterprise data warehouse provides lower prices and adaptability while assisting organizations in meeting their ever-increasing analytical requirements.
When weighing the benefits of a cloud-based data warehouse vs. a traditional data warehouse, scalability is a critical issue to consider. Unlike on-premise data warehouses, new cloud data warehouses can easily allow large-scale expansion.
As a result, cloud data warehouse migration can be extremely advantageous, particularly for businesses that have outgrown their storage and computing requirements. They can update their plan to add more resources to support their company’s growth without making a capital investment.
Furthermore, businesses can scale up when there is a surge in incoming data and scale down when necessary to save money.
Data security is perhaps one of the most critical concerns for every company. Moving a data warehouse to the cloud is an excellent step toward ensuring the security of important corporate data. Because there is no physical infrastructure on-site, the risk of physical theft of the organization’s confidential data is essentially eliminated.
In addition, cloud-based data warehouse solutions have a variety of internal controls and policies in place to protect sensitive data. Advanced encryption and security measures protect corporate information from external dangers such as cyber-attacks to ensure data security.
To make critical business choices, businesses require accurate and timely data. Traditional on-premises data warehousing infrastructure with delayed batch processing can wreak havoc on your reporting infrastructure by providing obsolete data. Furthermore, typical data warehouses rely exclusively on equipment and personnel, and a little mechanical or system failure can result in significant downtime.
On the other hand, Cloud data warehouses are designed to handle near-real-time or streaming updates, allowing for quick and timely analytics. Because the cloud is always available, these data insights are immediately available to business users and constantly updated.
A cloud-based data warehouse can assist in storing and processing large amounts of data to derive insights and make data-driven choices. The advanced reporting and analytics capabilities of a modern cloud data warehouse can boost your company’s bottom line, while safeguarding your confidential data. As a result, migrating your data warehouse to the cloud should be your top priority.
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