Seven Questions to Consider Before Building a Cloud Data Warehouse

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Building a Cloud Data WarehouseThe number of companies using the cloud for data warehousing or business intelligence (BI) has increased by nearly 50% over the last five years according to a recent survey by the Eckerson Group and the Business Application Research Center (BARC).

While the cloud offers scalability and elasticity, BI teams still have some significant issues to address before taking the plunge. Here are seven questions you should consider before building a cloud data warehouse.

  1. How will our data be moved? Before loading data, administrators need to compare estimated data volumes against network bandwidth to ascertain the time required for cloud data integration.
  2. How will the data warehouse be designed? Although deploying and administering a cloud data warehouse can be painless, designing one is not.
  3. Will my data be secure and in compliance? Data is vulnerable to hackers in transit to the cloud and once stored there. The cost of a security breach can be enormous in terms of government fines and employee or customer legal settlements.
  4. What if I have a hybrid environment? In a hybrid cloud environment, data and computing resources are split between on-premises and cloud systems or between multiple cloud providers. It may be a fact of life as you transition a data warehouse from on-premises to the cloud.
  5. How can I avoid vendor lock-in? Although the cloud promises liberation from heavy-footed data centers and IT departments, it doesn’t guarantee freedom from vendor lock-in. The fear is that vendors could increase prices with impunity, because most customers won’t expend the time and money to migrate off the platform.
  6. How secure is my job if we outsource to the cloud? When s company outsources its data warehouse to a cloud provider, many IT professionals fear they will lose their jobs.
  7. How does pricing work with the cloud? Pricing in the cloud is complex and sometimes requires a specialist to help explain it. And the cloud is not necessarily cheaper than a comparable on-premises system.

Want to learn more? Download the Eckerson Group’s report entitled “Seven Considerations When Building a Data Warehouse Environment in the Cloud.”

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