Business Intelligence and Cloud Computing

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    Martin Demker

    BUSINESS INTELLIGENCEAND

    CLOUD COMPUTING

    1 Buzzword Cloud Computing

    2 Attributes of Cloud Computing

    3 Layers of Cloud Computing

    4 Cloud Infrastructure

    5 Risks of Cloud Computing (1)

    6 Risks of Cloud Computing (2)

    7 Benefits of Cloud Computing for BI

    8 Impact of Cloud Computing on BI

    9 BI in the Cloud Today

    10 The Future of BI in the Cloud

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    1 BUZZWORD CLOUD COMPUTING

    Cloud Computing is a

    relatively recent term

    The technology itself is

    nothing new

    Used as a buzzword to

    generate hype

    No common definition, distinction to

    grid computing and virtualization

    not clear to everyone

    Hype not over yet according

    to Gartner

    Image 1 [trnd]

    References: [dck] Image 2 [grtn1]

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    2 ATTRIBUTESOF CLOUD COMPUTING

    Service-based: consumer concerns abstracted from provider

    concerns; interfaces hide the implementation details; "ready

    to use" and "offthe shelf

    Scalable and Elastic:service scale capacity up or down to

    meet demand

    Shared: services share a pool or resources to optimize

    economies of scale; better resource utilization

    Metered by use:plans based on the amount of service used

    by the consumers

    Uses Internet Technologies:based on existing standards

    (URLs, HTTP, IP, )

    References: [grtn2]

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    3 LAYERSOF CLOUD COMPUTING

    References: [ccj]

    Software-as-a-Service (SaaS): customer gets access to ready-made software, everythingis managed by the cloud provider (e.g. Salesforce, Gmail, )

    Application-Components-as-a-Service (A-CaaS): personalized PaaS components whichcan be integrated by the user into higher-level applications in the SaaS layer

    Application

    Platform-as-a-Service (PaaS): customer gets access to a solution platform, develops and

    manages own application on top of that platform (e.g. Force.com, Google App Engine,Windows Azure, )Plattform

    Infrastructure-as-a-Service (IaaS): customer gets access to a virtualized hardwaresystem, manages software himself (e.g. Amazon EC2, Amazon S3)Infrastructure

    Based on many loosely coupled and distributed computers built with commodityhardware

    Software used to achieve parallelization and avoid hardware failures

    Virtualization &Hardware

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    4 CLOUD INFRASTRUCTURE

    Infrastructure is built using cheap hardware

    Hardware failures will occur

    Bandwidth of one single node is not very high

    Virtualization used to hide the hardware implementation

    Data-parallel programming model required to allow

    scalability and fault-tolerance

    Well known solutions: Google MapReduce / Apache Hadoop

    Distributed file system ensures fault-tolerance

    Processing jobs are split into map and reduce tasks, which can be

    executed in parallel on different nodes, if a task fails or takes too

    long it is repeated on another node

    Used at: Google, Facebook, Amazon, Yahoo!, References: [brkl]

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    5 RISKSOF CLOUD COMPUTING (1)

    Authentication / Privileged user access: danger of outside

    party access to data

    Regulatory compliance: requirements for privacy and

    security of sensitive data

    Data location: data distributed beyond control, country /

    jurisdiction not clearly defined

    Data segregation: data is stored alongside data from other

    customers, has to be separated and protected from them

    (e.g. through encryption)

    References: [grtn3] [itex]

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    6 RISKSOF CLOUD COMPUTING (2)

    Integration with internal systems:some (strategic) systems

    cant be outsourced, have to interface with the cloud; may

    lead to huge data transfers

    System availability: no control over the cloud, uncertainty

    about availability of system

    Long-term viability / business continuity: cloud vendor could

    go bankrupt or be acquired

    Recovery: restoration ability of cloud provider unclear

    Investigative support: maybe impossible to investigate errors

    or illegal activity in the application due to system architecture

    References: [grtn3] [itex]

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    7 BENEFITSOF CLOUD COMPUTINGFOR BI

    Lower costs & usage billing:no huge up-front investment for

    hardware and software needed; pay only as much as you use

    Fast deployment, low maintenance: cloud BI platforms can

    be up and running in a matter of minutes; maintenance is

    done by the cloud provider

    Scalable provisioning of resources: BI applications show

    different work load over time (e.g. analytics during the day,

    ETL during the night); the cloud dynamically allocates

    resources where they are needed

    On-demand resource improvements: when DW capabilities

    need to be expanded, this can be done without interrupting

    daily operationsReferences: [mit]

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    8 IMPACTOF CLOUD COMPUTINGON BI

    Easier evaluation of new technology: allowing faster BI

    technology adoption

    Increased short-term ad-hoc analysis: when short term

    needs arise, they can be easily implemented in the cloud and

    be canceled after the necessary period (no leftover HW/SW)

    Increased flexibility: no long-term commitments

    individual business units can fund more data mart projects

    Growth considerations: data volume increases database

    architecture required that can handle large volumes and the

    changing analytics workloads and still provide high

    availability; cloud architecture is well suited for that

    References: [ijcte]

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    9 BI INTHE CLOUD TODAY

    Megavendors (SAP, Oracle, MS, IBM) continue to control

    majority of BI market share/revenue

    All of them working on SaaS offerings; product maturity not

    very high yet; development focus on hybrid solutions (part of

    the data in traditional systems, part in the cloud)

    Many emerging vendors trying to compete with diverse

    product range

    Customer BI platform SaaS adoption currently very low, but

    rising

    References: [grtn4]

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    10 THE FUTUREOF BI INTHE CLOUD

    Cloud BI expected to grow in the coming years

    Factors that might lead to faster cloud BI adoption:

    Rapid growth of data volume; incorporation of diverse data from

    outside of the corporate data sources (especially social networks)

    Ease of usebecoming more important; intuitive and fun user

    interfaces required; business users want to explore data without

    relying on IT (data mashup)

    Mobile availability of BI solutions; access to data from outside of the

    company using smartphones and tablets

    Cloud Computing and Business Intelligence consistently high-

    ranked on Gartners list of top strategic technologies for the

    last few years; trend likely to continue

    References: [ijcte] [grtn4]

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    REFERENCES

    [trnd] http://www.google.de/trends/?q=cloud+computing,+grid+computing,+virtualization&ctab=0&geo=all&date=all&sort=0, Last checked: 31.01.2012

    [dck] http://www.datacenterknowledge.com/archives/2008/03/25/whats-in-a-name-utility-vs-cloud-vs-grid/, Last checked: 31.01.2012

    [grtn1] Gartner, Hype Cycle for Cloud Computing, Stamford, July 2011

    [grtn2] Gartner, Gartner Highlights Five Attributes of Cloud Computing, Stamford, 2009

    [grtn3] http://www.networkworld.com/news/2008/070208-cloud.html, Last checked: 31.01.2012

    [grtn4] Gartner, Magic Quadrant for Business Intelligence Platforms, Stamford, January 2011

    [ccj] http://cloudcomputing.sys-con.com/node/1200642, Last checked: 31.01.2012

    [itex] http://www.infotex.com/portal_blog/white_papers/risk_landscape_of_cloud_computing_isaca.pdf, Last checked: 31.01.2012

    [mit] E. Reyes, A systems Thinking Approach to Business Intelligence Solutions Based on Cloud Computing, Cambridge, June 2010[brkl] M. Zaharia, Cloud Computing with MapReduce and Hadoop, Berkley, 2010

    [ijcte] OufS., The Cloud Computing: The Future of BI in the Cloud, International Journal of Computer Theory and Engineering, Vol. 3, No. 6, December 2011

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