Analytics is essential to derive valuable insights based on data obtained from multiple sources. Today, the volume of data generated is huge due to growth in technology/automation. But many organizations can’t afford/own the scale of infrastructure needed to analyze huge volume of data. The advent of cloud has enabled the “utility computing” where organizations hire computing infrastructure from cloud providers at an reasonable cost. This enables them to analyze voluminous data and derive valuable insights that would not be possible otherwise.
Cloud enables faster deployment of analytics solutions .These solutions can be accessed anywhere, anytime by employees since they are accessible outside the organization’s firewall. Customers/partners of an organization can also easily access relevant analytics information through cloud. It eliminates the effort on IT administration management and provides easy scalability. Organizations using cloud applications for enterprise systems (like CRM, ERP) will have all the relevant data for analysis in the cloud. A cloud based analytics solution can utilize this data and eliminate the need for data transfer/aggregation.
Security of your organizational data can always be a primary concern in cloud based applications. In situations where real time access to on-premise data is needed, continuous data transfer to cloud for analytics becomes a burden. Hosting legacy applications on cloud may not derive value because they are functionally less capable than latest analytics applications. Choosing a right cloud vendor who employs a proper security strategy (like regular threat assessments) and deciding the right choice of analytics applications to host can help an organization to derive maximum value from cloud usage.