Small and Medium-sized Enterprises (SMEs) are increasingly aware of the gap that separates them from large corporate organizations, particularly in terms of access to and strategic management of data (we call this the Analytics Divide). Often, envisioning sophisticated strategies and adopting Business Intelligence and Advanced Analytics tools clashes with a reality of limited resources, both economic and in terms of skills.
In such a context, Cloud Computing emerges as a driving force for innovation, offering small enterprises the ICT tools to enable Business Intelligence solutions that not only allow them to survive in such a competitive scenario but to thrive in the long term.
In this article, we will see how Cloud Computing can help small and medium-sized companies, as well as large ones, to implement BI solutions and the benefits of this combination.
What is Cloud Computing?
Cloud Computing is a technology that allows companies to access computing resources (such as servers, storage, databases, applications, and network services) over the internet (hosted on a “cloud”), on a pay-per-use, on-demand basis.
This means that companies can benefit from advanced technological infrastructure without having to invest in expensive hardware and software or manage complex maintenance operations (which may be unfeasible in a startup phase), reducing project delivery times and embracing collaborative data management focused on integration, automation, and continuous improvement: the beating heart of digital transformation. All this is encapsulated in the DataOps methodology and the Agile model, two approaches to data and process management that find the perfect component in the Cloud for application.
Cloud services are divided into three main categories:
- Infrastructure as a Service (IaaS): A third-party provider hosts hardware, software, servers, storage space, and other infrastructure components, also providing backup, security, and maintenance services, relieving the company of the burden of creating and managing such infrastructure. Examples include Amazon Web Services (AWS), Microsoft Azure, and Google Cloud Platform.
- Platform as a Service (PaaS): A cloud service model that provides developers and companies with a platform and environment to develop, test, deliver, and manage software applications without the complexity of building and maintaining the infrastructure typically associated with app development and launch. It includes tools for continuous integration, application lifecycle management services, analytics, and team collaboration tools. Examples include Microsoft Azure, Google App Engine, and Dataiku.
- Software as a Service (SaaS): A software distribution model where an application is hosted as a service provided to customers over the internet. Instead of installing and maintaining software, users simply access it via the internet, freeing themselves from complex software and hardware management. Examples include Microsoft Power BI, Google Cloud AI Platform, and Dataiku.
Through these solutions, the cloud offers scalability and flexibility, allowing companies to quickly adapt resources to their constantly evolving needs.
There are various models of Cloud Computing, including:
- Public cloud: Cloud resources are available and shared by a global public.
- Private cloud: Cloud resources are dedicated to a single company or organization.
- Hybrid cloud: Companies use a combination of public and private cloud.
Choosing the right solution is the result of a careful analysis of the company’s specific needs.
Benefits of Cloud Computing for BI
Reduced Costs and Greater Efficiency
The transition to Cloud Computing for implementing ICT solutions represents a paradigm shift in terms of business economy, especially for SMEs. They have the opportunity to significantly reduce operational costs traditionally associated with purchasing, managing, maintaining, and securing hardware and software. The on-demand nature of the cloud allows for paying only for the resources actually used, optimizing IT investment. Furthermore, data management becomes more efficient: update, backup, archiving, and data recovery operations are simplified and automated, reducing the risk of data loss and ensuring better regulatory compliance.
Scalability and Flexibility: Growing with Freedom
Cloud Computing organically adapts to the evolution of organizations. Scalability is one of its key benefits, allowing companies to expand the functionality of their BI solutions without incurring the costs and complexities associated with upgrading physical infrastructures. This translates into unprecedented growth freedom, where resources can be quickly increased or decreased based on business needs. Similarly, the cloud ensures real-time adaptability to market fluctuations, enabling companies to respond promptly to unexpected changes or market opportunities.
Accessibility and Collaboration: The Cloud as a Centralized Hub
Another revolutionary aspect of Cloud Computing is accessibility. Data and analyses become available in real-time, from any device and location, as long as there is an internet connection. This promotes seamless collaboration, whether teams work remotely or on-site. The cloud thus becomes a centralized hub where vital information is accessible to all authorized stakeholders, fostering information sharing and alignment of business objectives, accelerating decision-making processes, and increasing operational agility.
All these advantages, combined with the potential of a BI and Advanced Analytics solution capable of transforming raw data into strategic information through intuitive dashboards that enable self-analysis, make the Cloud the main ally for BI and business innovation.
Integrating Cloud Computing with BI
The integration of Cloud Computing with Business Intelligence is a powerful combination that brings tangible benefits to companies of all sizes. Cloud Computing democratizes access to powerful analytical tools, allowing even small companies to leverage advanced analytics and predictive insights that were once out of their reach.
Machine Learning, predictive and prescriptive analytics, and highly reliable future scenario forecasts are no longer an exclusive luxury of large corporate organizations; instead, they are becoming the engine of change and the key to success for SMEs seeking to optimize processes, reduce costs, and make informed decisions in real-time.
Cloud-based BI solutions remove many of the obstacles associated with traditional IT infrastructures, such as the need for significant initial investments or the management of complex systems. SMEs can leverage cloud-based BI to achieve greater agility and better responsiveness to market needs.
This synergy translates into greater efficiency at two critical moments in a company’s life:
- At the time of introducing new technology (the initial costs, incubation times, and need for highly specialized skills could discourage project initiation or make it unproductive);
- During decision-making and daily operations, as strategic information is accessible anywhere and anytime, fostering a collaborative, data-driven work environment oriented toward growth and innovation.
The ability to transform data into strategic actions through cloud-based BI is the determining factor for the future and growth of a company, regardless of its size.
How to Implement Cloud-Based BI Solutions in SMEs
Analysis of Business Needs and BI Objectives For SMEs deciding to embrace cloud-based Business Intelligence solutions, the first step is to conduct a thorough analysis of business needs and identify specific BI objectives. This process includes evaluating existing resources, understanding information gaps, and clearly defining what they want to achieve with BI, such as improving customer experience, optimizing the supply chain, or increasing sales. An accurate mapping of needs and expectations will guide the selection of the most suitable BI tools and provide a solid foundation for the subsequent implementation process.
Choosing the Right Cloud Provider Choosing the right cloud provider is crucial for the success of the BI strategy. Selection criteria should include evaluating ease of use, scalability, compatibility with existing tools, and the support offered. It’s also essential to consider data security issues, ensuring that the provider complies with relevant security standards and data privacy regulations, such as GDPR. A reliable provider should guarantee not only data protection but also their availability and integrity through backup and disaster recovery services.
Cloud Migration: Planning and Strategies Migrating to the cloud represents a critical and delicate phase that requires meticulous planning and well-defined strategies. Migration steps should be designed to minimize disruption to daily activities, including personnel preparation, updating or replacing processes, and data transfer. Organizational change management is also essential, guiding all company levels through the transition, providing training and support to ensure personnel can fully utilize the new BI tools. A gradual and careful approach to migration can facilitate a smoother transition and increase the chances of long-term success.
Ease of Use and Time to Market
Time is one of the factors that influence the success of a BI solution for any organization. A great opportunity to optimize time is the introduction of BI and advanced analytics solutions, which allow rapid implementation and immediate operation.
Cloud computing is a powerful ally for reducing release times (imagine the planning and realization time of an ICT infrastructure for the integration of AI and ML tools compared to the practically instantaneous access time to an already functioning service).
Another conditioning factor is the degree of technology adoption, which, especially in a small company, is closely linked to the ease of use of the interfaces.
BBI solutions are designed to meet this dual need: to be immediately operational and easy to use, even for non-technical users. This means that even small companies can implement BI solutions internally using Cloud Computing technology without having to invest in additional training or IT resources.
The scalability of our BI solutions is the third key element that makes them sustainable immediately and in the long term.
We realize Business Intelligence & Advanced Analytics solutions to transform simple data into information of freat strategic value.
