The big data challenges

THE BIG DATA CHALLENGES 5

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Integration of cloud infrastructure into Volvo Car networks

In a bid to avoid the limitations of technology, reduce cost andenhance collection of voluminous data, Volvo sought the incorporationof cloud technology. This is a technology that allows real timecommunication and transmission of data from various sources such asthe car sensors and CPUs, dealers and the customer relationshipmanagement systems. Cloud technology also allows the transmission ofthis data into a central warehouse where it is stored for futureretrieval and analysis (Asthana, 2011). Cloud enables the access ofthis data to all the employees and departments of the company. Theexpansion of the car company into 8 business units and 12 supportareas, as well as production plants in more than 15 countries calledfor a centralized system that would link all the employees. Thecompany has deployed the Cloud’s Saas software user interface fordisplay. Web portals are used by the company to enhancecommunication. Cloud technology enables an extremely high speednetworking and storage of enormous amount of data.

Transformation of data into knowledge at Volvo Car Corporation

The voluminous data that the company collects can only be useful ifit is analyzed and the information gathered put into proper use. Theknowledge that is collected from the analysis must be used to improvecar performance, client and passenger safety, as well customersatisfaction. The data that is streamed into the company’swarehouse is combined together and analyzed to provide usefulinformation to the company (Asthana, 2011). Sometimes the company isable to get predictive information from the data collected onmanufacturing faults and embark on effecting the necessary changes.Volvo has invested in a technology that allows an extremely quickanalysis of the data that allows the company to respond to the needsof the clients with immediate effect. This has given the company acompetitive advantage over its competitors. The data that iscollected from the cars with regard to safety has been one of theprimary sources of knowledge that has made the company change itsmanufacturing style and to end up producing one of the safest cars inthe globe (Asthana, 2011). This is due to the data that the companyanalyses from the cars sensors and CPUs which guides decision makingwith regard to safety. The maintenance plans that Volvo provides itscustomers with is as a result of the voluminous data that has beenanalyzed to provide information on when certain parts of the carrequire maintenance or replacement (Willbro, 2013).

Real time information system implementation and its impact at thecompany

Volvo implemented various systems that were able to enhance datatransmission and collaboration easier and quickly. The systemsimplemented aimed at streamlining the services of the company and thedata handling procedures. The company deployed the Microsoft SQLServer 2012 Business Intelligence. This is a system that the companyacquired for the purposes of assisting in business performancemanagement. For the purposes of handling business reporting andanalysis services of data, the company acquired the Microsoft SQLServer 2012 Reporting Services and Microsoft SQL Server 2012simultaneously (Willbro, 2013). Microsoft 2010 has also been widelyimplemented at the company for various purposes such as datapresentation and display. The streamlining of these informationsystems had the impact of reducing the cost of acquiring licensesfrom different system providers. The real time information systemshave also had the impact of enhancing collaboration and businessintelligence. Employees, partners and clients are able to communicateeasily and faster as well as send voluminous data for long distancesinstantly.

Competitive advantage of big data strategy at Volvo

The collection, storage and analysis of voluminous data Volvo CarCompany has various competitive advantages over its competitors. Theanalysis of the data provides the company with vital information thatleads to the improvement of the cars. The company has been able toimprove the quality of the cars, as well as the safety of the carsthrough the information they gather from the sensors installed in thecar (Asthana, 2011). Customers form an integral part of the company.As a result, the company is able to gather data that is analyzed andleads to the improvement of various aspects in the car that leads tocustomer satisfaction (Willbro, 2013). The company is able to developcar designs that are in line with demands of the customers.

The big data at Volvo enables the company to anticipate the variousneeds of the clients. This gives the company an added competitiveadvantage over its competitors. For the purposes of gathering thedata and streaming it to the Volvo’s warehouse, the company hasinstalled numerous sensors and CPUs at sensitive areas such as thebrakes and the central locking systems (BDIG, 2012). Whereas theseequipment are meant to stream data to the company’s warehouse, itis evident that they are also used as means of vehicle safety. Thisgives the company a competitive advantage over its competitors.

References

Willbro, M. (2013). Big data can improve business. Retrievedfrom: http://news.volvogroup.com/2013/12/09/big-data-can-improve-business/

Asthana, P. (2011). Big data and little data. Retrieved from: http://www.forbes.com/sites/dell/2011/10/31/big-data-and-little-data/

BDIG. (2012). Teradata case study: A car company powered by data.Retrieved from: http://www.thebigdatainsightgroup.com/site/article/teradata-case-study-car-company- powered-data