Systems Analysis and Design 3

The document discusses the architectural decisions necessary for creating a scalable, secure, and efficient data-driven system for a global corporation. Key considerations include distributed data processing, microservices architecture, data security measures, and compliance with regulations, alongside optimizing data pipelines and integrating AI. A balanced approach between cloud-native and on-premises deployment is recommended to maximize data potential while ensuring performance and security.

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Systems Analysis and Design 3

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Jotham Shumba

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Architectural Decisions for a Scalable, Secure, and Efficient Data-Driven

System

Introduction

Moving to a data-driven architecture necessitates careful planning to guarantee

scalability, security, and efficiency. A global corporation needs to implement a
framework that supports various data sources, guarantees secure access, and
provides real-time analytics for effective decision-making. This essay rigorously
examines the essential architectural choices required for creating and executing a
strong data-driven system.

Scalability Considerations
A scalable data-driven system needs to be able to handle growing computational
demands, user requests, and data quantities.

Distributed Data Processing

It is crucial to use frameworks like Apache Hadoop or Apache Spark to implement a
distributed architecture. Large datasets can be processed effectively across several
nodes thanks to these frameworks' ability to support parallel processing (Biswas &
Sen, 2017). Additionally, dynamic resource allocation to control demand fluctuations
is made possible by the usage of cloud-based services like AWS, Azure, or Google
Cloud.

Data Storage Solutions

Relational and non-relational databases must be used in conjunction. NoSQL
databases like MongoDB and Apache Cassandra effectively manage unstructured
and semi-structured data, while SQL databases like PostgreSQL guarantee
transactional consistency. For various data kinds, the hybrid approach optimises the
retrieval and storage procedures.

Microservices Architecture
Modular development is made possible by microservices architecture, in which each
service manages a distinct task, such analytics, data ingestion, or user
authentication. By improving fault isolation and scalability, this method enables
autonomous service scaling in response to demand.

Security Considerations
A data-driven system's security is essential for preventing breaches, illegal access,
and data loss.

Data Encryption and Access Control

Data confidentiality is ensured by implementing encryption for both in-transit and at-
rest data utilising standards like TLS and AES-256. By limiting data access to
authorised workers exclusively, role-based access control (RBAC) and attribute-
based access control (ABAC) lessen insider threats (Simmhan et al., 2018).

Identity and Access Management (IAM)

Authentication security is enhanced by single sign-on (SSO) and multi-factor
authentication (MFA) systems. Centralised authentication is ensured and security
risks are decreased through integration with identity providers (such as Okta and
Microsoft Active Directory).

Compliance and Regulatory Adherence

The system needs to abide by international laws including the CCPA, GDPR, and
ISO 27001, among others. Protecting personally identifiable information (PII)
requires the enforcement of data governance principles, which include data masking
and anonymisation.

Efficiency Considerations
Real-time analytics, efficient data governance, and optimised data processing are
the keys to efficiency in a data-driven system.

Data Pipeline Optimization

Data ingestion and transformation are improved by using ETL (Extract, Transform,
Load) and ELT (Extract, Load, Transform) frameworks like Apache NiFi or Talend.
Real-time data input is made possible by stream processing systems such as
Apache Kafka, which lowers data availability delay.
Artificial Intelligence and Machine Learning Integration
Using AI and ML algorithms improves decision-making based on data. TensorFlow
or PyTorch can be used to construct predictive analytics models that identify patterns
and abnormalities and give the company useful information (Biswas & Sen, 2017).

Edge Computing for IoT

By processing data closer to the source, edge computing eases the strain on central
servers for enterprises incorporating IoT devices. By reducing latency and bandwidth
consumption, this method enhances real-time analytics performance (Simmhan et
al., 2018).

Interoperability and Data Integration

A worldwide company uses a variety of data sources, such as external APIs, IoT
devices, and ERP systems. Interoperability is improved by ensuring smooth
integration with middleware programs like MuleSoft or Apache Camel. Standardised
APIs increase overall efficiency by facilitating communication between various
systems.

Cloud-Native vs. On-Premises Deployment

Business goals, financial constraints, and security needs all play a role in the
decision between cloud-native and on-premises implementation. The optimal
balance between cost effectiveness and data control can be found in a hybrid
strategy that uses cloud flexibility while keeping important workloads on-premises.

Real-Time vs. Batch Processing

Making the decision between batch and real-time processing is essential for
streamlining data workflows. While batch processing is still the best option for large-
scale historical data analysis, real-time streaming analytics, made possible by
Apache Flink or Google Dataflow, provides use cases that call for instant insights.

Conclusion
Making the switch to a data-driven architecture calls for a calculated strategy that
strikes a balance between efficiency, security, and scalability. A resilient system is
the result of a combination of distributed data processing, microservices, encryption,
IAM, compliance adherence, optimised data pipelines, and AI integration. The
system's effectiveness is further increased by taking into account other factors
including cloud deployment, interoperability, network scalability, and energy
efficiency. A multinational company can maximise the potential of its data assets
while upholding strict security and performance standards by implementing these
architectural concepts.
Bibliography
Biswas, S., & Sen, J. (2017). A Proposed Architecture for Big Data Driven Supply
Chain Analytics. Retrieved from https://arxiv.org/pdf/1705.04958, [18 February
2025].

Simmhan, Y., Ravindra, P., Chaturvedi, S., Hegde, M., & Ballamajalu, R. (2018).
Towards a data-driven IoT software architecture for smart city utilities. Retrieved
from https://onlinelibrary.wiley.com/doi/abs/10.1002/spe.2580, [18 February 2025].