The use of cloud-based business intelligence (BI) tools in enterprises is a growing trend. Louis Columbus suggests that in 2018 cloud BI has grown to twice its adoption level of 2016.
However, for businesses considering a switch from an on-premises business intelligence platform, following a trend simply for the trend’s sake is not always a good plan. In this article, you can discover the advantages and disadvantages of cloud-based systems and whether they genuinely present more benefits than traditional in-house tools.
Exploring the Cloud
Cloud-based business intelligence has been around for a few years now, gaining in popularity and adoption across various industries. Breaking it down by sector, Forbes suggests the 2018 adoption rates at around 62% for Financial Services, and 54% for Technology and Education.
Such BI tools allow businesses to analyze KPIs, trends and other metrics via a variety of systems, with Amazon AWS, Microsoft Azure and Google Cloud leading the pack.
With such impressive rates and providers behind the movement, it’s difficult not to be enchanted by the potentials presented by the technology. But is all as it seems?
Advantages of the Cloud
These are the benefits that enterprises engaging cloud-based BI tools can expect to receive:
Cloud software is often expandable to meet the needs of a business; pricing plans will vary accordingly based on the number of users and required functions.
External maintenance and updates
The monitoring of cloud-based tools is the vendor’s responsibility, meaning your staff will not be required to update or maintain the software, only to use it. It should also be updated regularly by the vendor ensuring the product’s security and relevance.
Excellent reporting standards
Such tools are often able to sync with other software, making reporting more straightforward. This saves time for employees and reduces the need for copying and pasting information from one source to another.
Challenges of Cloud-based Solutions
While the advantages