Architecture blueprint 02

Hybrid Data Movement

A controlled route from on-premise operational systems into a governed Azure analytics platform.

Model
Logical hybrid data flow
Scope
On-premise / Azure / Power BI
Status
Illustrative target pattern

Reliable insight without exposing source platforms or creating fragile point-to-point reporting connections.

Data architecture / hybrid flow

Move data without exposing the source estate.

A one-way analytical flow from operational systems into a governed Azure data product. Validation happens at every boundary; raw history makes each movement observable and replayable.

Read left to right

Operational estate: On-prem ERP, Transactions, product, customer and financial records.; Warehouse systems, Inventory, pick, pack, dispatch and carrier events.; SQL platforms, Line-of-business databases and controlled reporting extracts.. Secure extraction: Self-hosted gateway, Outbound-only managed bridge between local and cloud services.; CDC & scheduled loads, Incremental movement with explicit windows and source impact limits.; Schema validation, Expected shape, volume and freshness checked before transfer.. Integration boundary: API & integration gateway, Managed connections, policy, retries and workload isolation.; Encrypted private routes, TLS in transit with restricted endpoints and network rules.; Managed identity & keys, No embedded credentials; rotation and access are centrally governed.. Azure landing zone: Governed subscription, Resource policy, budgets, roles, diagnostics and private endpoints.; Data lake staging, Immutable source-shaped history partitioned by time and domain.; Quarantine & replay, Invalid loads are isolated, diagnosed and safely reprocessed.. Transform & model: Transformation pipelines, Dependency-led processing with idempotent execution and retries.; Data quality rules, Completeness, validity, uniqueness and freshness thresholds.; Curated data model, Owned entities, conformed measures and documented semantics.. Insight & action: Governed measures, Reusable definitions, row-level security and certified datasets.; Power BI Embedded, Contextual insight presented inside secure business workflows.; Self-service reporting, Curated discovery for approved analysts and decision makers.

  1. 01 / SOURCE

    Operational estate

    Systems of record stay protected and continue to serve operations.

    • Finance & ordersOn-prem ERP

      Transactions, product, customer and financial records.

    • FulfilmentWarehouse systems

      Inventory, pick, pack, dispatch and carrier events.

    • Operational dataSQL platforms

      Line-of-business databases and controlled reporting extracts.

  2. 02 / CAPTURE

    Secure extraction

    Change is collected without opening source platforms to consumers.

    • RuntimeSelf-hosted gateway

      Outbound-only managed bridge between local and cloud services.

    • PatternCDC & scheduled loads

      Incremental movement with explicit windows and source impact limits.

    • ContractSchema validation

      Expected shape, volume and freshness checked before transfer.

  3. 03 / TRANSFER

    Integration boundary

    A governed route protects credentials, transport and contracts.

    • Control pointAPI & integration gateway

      Managed connections, policy, retries and workload isolation.

    • TransportEncrypted private routes

      TLS in transit with restricted endpoints and network rules.

    • SecretsManaged identity & keys

      No embedded credentials; rotation and access are centrally governed.

  4. 04 / LAND

    Azure landing zone

    Policy and subscription boundaries contain the data workload.

    • FoundationGoverned subscription

      Resource policy, budgets, roles, diagnostics and private endpoints.

    • Raw zoneData lake staging

      Immutable source-shaped history partitioned by time and domain.

    • Exception pathQuarantine & replay

      Invalid loads are isolated, diagnosed and safely reprocessed.

  5. 05 / CONFORM

    Transform & model

    Quality and business meaning become explicit and testable.

    • OrchestrationTransformation pipelines

      Dependency-led processing with idempotent execution and retries.

    • TrustData quality rules

      Completeness, validity, uniqueness and freshness thresholds.

    • ProductCurated data model

      Owned entities, conformed measures and documented semantics.

  6. 06 / CONSUME

    Insight & action

    Users access trusted models rather than operational sources.

    • Semantic layerGoverned measures

      Reusable definitions, row-level security and certified datasets.

    • ExperiencePower BI Embedded

      Contextual insight presented inside secure business workflows.

    • AccessSelf-service reporting

      Curated discovery for approved analysts and decision makers.

CTRL-01

Access & separation

Least-privilege roles, managed identities and environment separation ensure consumers never require direct source-system access.

CTRL-02

Lineage & audit

Run identifiers, source-to-model lineage, schema history and access logs provide evidence for every data movement and decision product.

CTRL-03

Observe & replay

Freshness, volume, quality and pipeline health are measured against service expectations, with failed loads recoverable from raw history.

The preferred path is incremental and outbound-only. Refresh frequency, retention, residency, classification and recovery requirements must be agreed per data domain.

DATA-01

Sources stay operational

Analytics never connects directly to ERP, WMS or operational SQL. Every extraction has a measured source-impact budget and approved window.

DATA-02

Movement is one-way

The integration bridge initiates outbound encrypted connections. Consumer access cannot become a return path into the operational estate.

DATA-03

Raw means recoverable

Source-shaped history, watermarks, manifests and checksums make a load replayable. Quality failure enters quarantine rather than trusted data.

DATA-04

Trust is measurable

Freshness, volume, validity, completeness, lineage and access are service measures with named owners and retained evidence.

01 / Source-to-insight path

Ten controlled hand-offs. No invisible leap.

Each stage has an accountable owner, an explicit exit condition and a recovery position. The service only becomes trustworthy when every hand-off can be observed and replayed.

Interactive control path

Select a stage to inspect its mechanism, decisions, controls, evidence and recovery stance.

Keyboard: arrow keys · Home · End

Stage 1 of 10On-premise operational trust zone

01 / Discover / On-premise operational trust zone

Source estate

ERP, WMS, line-of-business SQL and controlled file exports remain systems of record. Every feed starts with a named business owner, classification, extraction contract and source-impact budget.

Freshness
Per domain
RTO
4–24h
RPO
15m–24h
Mechanism

How this stage works

Read from supported APIs, reporting replicas, change tables or approved views. Inventory primary keys, change indicators, retention, peak windows and data sensitivity before a pipeline is designed.

Decisions

Choose deliberately

  • Prefer a reporting replica or vendor-supported API when production reads could affect transactions.
  • Use a full snapshot only for small, slow-changing entities or a controlled initial load.
  • Agree ownership for deletions, corrections, late records and source schema changes.
Controls

What protects the hand-off

  • Source register and data classification
  • Least-privilege read account
  • Query timeout and concurrency limits
  • Approved extraction window
Evidence

What proves it

  • Signed source contract
  • Baseline row counts and timings
  • Data classification record
Primary failure mode

An extraction query competes with operational workload or an undocumented source release changes the shape of the feed.

Contain & recover

Stop at the source boundary, preserve the last trusted watermark, compare the contract with the new schema, and resume from the last confirmed position after owner approval.

Accountable ownerSource-system owner

Exit evidenceApproved dataset contract and safe extraction path

02 / Network & security

Cross boundaries through named control points.

The route starts inside the operational estate, crosses a dedicated execution enclave, lands in a private Azure data zone and ends at governed semantic access.

  1. ZONE 01

    Operational trust zone

    ERP, WMS, SQL, files and vendor APIs. Read-only contracts, source-safe windows and no analytical users.

    Source ACLs · query budgets · classification
  2. ZONE 02

    Integration enclave

    Dedicated Windows hosts run SHIR close to private sources. Critical feeds use active-active nodes and monitored outbound HTTPS.

    Hardened hosts · HA · egress allow-list
  3. ZONE 03

    Private Azure data zone

    Orchestration, lake and processing services use managed identities, private endpoints, private DNS and central diagnostics.

    Policy · RBAC/ACL · Key Vault · logs
  4. ZONE 04

    Governed consumption zone

    Certified data products and semantic models serve embedded and self-service insight through controlled workspaces and roles.

    Certification · RLS/OLS · access review

SHIR is the pipeline bridge

Run it on dedicated, hardened Windows hosts. Critical feeds use multiple active-active nodes so maintenance or a host fault does not become a single point of failure.

Do not co-host gateway roles

SHIR and the Power BI on-premises data gateway have different operational jobs and should not share a machine. Prefer Power BI over curated cloud data; use a gateway only for a justified on-premises refresh or live-query path.

Private is an end-to-end posture

A private endpoint alone does not remove public access. Test DNS from each runtime host, restrict the public surface and retain the approved firewall, endpoint and flow evidence.

03 / Ingestion decisions

Choose capture from change behaviour, not fashion.

A domain can mix patterns. The important decisions are how a change is identified, how far back it can be replayed and what load the source can safely tolerate.

Ingestion pattern selection and recovery implications
PatternUse whenPrimary trade-offReplay stanceSource impact
Full snapshotInitial loads or small, slow-changing reference entities.Simple, but high source, network and reconciliation cost at scale.Replace a versioned snapshot; never overwrite the only raw copy.High and predictable
Watermark incrementalA reliable increasing timestamp or key identifies changed rows.Portable, but misses in-place change when the watermark is unreliable.Store low/high watermarks and overlap safely to catch late commits.Low to medium
Change tracking / CDCThe engine exposes a supported, retained change stream.Efficient deletes and updates, with retention and ordering dependencies.Persist offsets and raw change history; rebuild before retention expires.Low after setup
API or event feedA vendor contract or low-latency event path is authoritative.Clear contract, but throttling, paging, ordering and expiry need design.Retain payload plus cursor or event offset; design dead-letter handling.Contract-controlled
File drop / micro-batchPartners or legacy systems publish complete extracts on a cadence.Decoupled, but partial files and duplicate delivery must be detected.Manifest, checksum and immutable receipt folder by delivery ID.Low at ingestion time
Platform decision

ADF or Fabric Data Factory?

Treat orchestration as a current architecture decision. Keep Azure Data Factory where it is the established, supported estate; assess Fabric Data Factory for new integration work when its capacity, networking, governance and operating model fit.

Compare
Connectors · private networking · SHIR support · deployment · monitoring · Purview lineage
Preserve
Data contracts · run IDs · manifests · idempotence · quality gates · tiered recovery
Prove
A representative thin slice and failure drill before platform commitment

04 / Quality & governance

Promote data only when its evidence advances too.

Bronze, silver and gold are responsibilities rather than product names. A simpler implementation is valid if it preserves the same separation between receipt, validation and certified meaning.

BRONZE / LAND

Immutable & source-shaped

Retain original payload, source time, ingestion time, run ID, watermark, file manifest and checksum. Invalid delivery is visible in quarantine.

Exit gateComplete run + source reconciliation + published manifest
SILVER / CONFORM

Validated & interoperable

Enforce schema, standardise keys and types, deduplicate deterministically, resolve reference data and apply explicit late-arriving rules.

Exit gateContract tests + quality thresholds + rejected-record evidence
GOLD / SERVE

Business-ready & owned

Publish declared-grain facts, conformed dimensions, stable domain products and certified measures with versioned consumer contracts.

Exit gateOwner approval + lineage + semantic regression results
Cross-cutting assurance
  • Data contracts & schema history
  • Owner, steward & classification
  • Quality, freshness & volume SLOs
  • Automated + declared lineage
  • RBAC, ACLs & access reviews
  • Retention, privacy & deletion

Lineage needs a complete story

Collect automated pipeline lineage where the platform supports it, then add the parts automation cannot infer: business rules, semantic measures, manual approvals, exports and the decision products that consume them. Run IDs connect operational proof to that logical story.

05 / Reliability model

Define failure before production defines it for you.

Freshness, RPO and RTO belong to each data product. The targets below are starting points for discovery—not Microsoft service commitments or universal promises.

Illustrative service targetsValidate business impact, source retention, platform capability, support hours and cost for every domain before adoption.
Tier 1 / operational insight

≤15 minutes target; alert by 30 minutes

RPO
15 minutes
RTO
4 hours

Inventory position, dispatch exceptions, urgent order flow

Tier 2 / management reporting

≤2 hours

RPO
1 hour
RTO
8 hours

Trading, service, margin and warehouse performance

Tier 3 / controlled daily snapshot

Complete by 06:30 local time

RPO
24 hours
RTO
24 hours

Finance close support, daily executive packs, slower master data

Proposed service objectives

Measure the whole hand-off.

  • ≥99.5% of scheduled runs complete inside their service window, excluding owner-approved source maintenance.
  • 100% of promoted loads carry a run ID, manifest and source-to-target reconciliation result.
  • ≥99.8% completeness for required records and fields, or the domain-specific stricter threshold.
  • Critical pipeline, freshness and access failures alert the named responder within five minutes of detection.
Failure-mode register

Detect. Contain. Recover. Prove.

Recovery is complete only when data is reconciled and the next hand-off has not consumed a partial or untrusted state.

Core failure modes and recovery paths
Failure modeDetection signalContainmentRecovery & evidence
Source load or lock contentionQuery duration, blocking or ERP/WMS latency crosses the agreed budget.Cancel extraction; keep the last confirmed watermark.Move to the approved window, replica or lower-concurrency plan; re-baseline.
SHIR node or route unavailableRuntime heartbeat, copy queue or connection test fails.Fail to a healthy node; prevent downstream completion.Restore node or egress, replay the run, reconcile manifests and counts.
Private DNS or firewall driftName resolution, TLS handshake or network-flow alert changes.Block transfer and public fallback; preserve queued work.Redeploy approved DNS/rules, test from each node, drain by priority.
Schema drift or quality breachContract, null, uniqueness, volume or reference-data gate fails.Quarantine the run; do not promote bronze to trusted layers.Approve a compatible contract or fix the source/rule, then replay raw data.
Partial, late or duplicate batchManifest mismatch, missing completion marker or repeated delivery ID.Keep the batch unpublished and isolate its run scope.Complete or replay idempotently; deduplicate by run and business key.
Identity, key or permission failureAuthentication, authorisation or key-health alert fails a known path.Do not broaden access as a workaround; halt the affected stage.Restore the approved identity/key, verify least privilege, record rotation evidence.
Bad model or semantic releaseRegression test, KPI reconciliation or consumer incident finds changed meaning.Withdraw certification or route users to the last trusted version.Roll back, replay affected products and publish an impact statement.
Power BI refresh or RLS failureRefresh SLA, role test or access anomaly alert fails.Disable the affected artifact or distribution route.Restore last certified model, re-test representative identities and republish.

06 / Rollout & evidence

Scale the proven control path, not just the pipeline.

Begin with one consequential but bounded domain. Each wave leaves behind reusable assets and passes an evidence gate before scope expands.

  1. Wave 00

    Decide & found

    One domain, tier, owner, classification and target architecture agreed.

    Evidence gateSigned data contract, threat model, service tier and cost envelope.
  2. Wave 01

    Prove the thin slice

    One representative entity flows source → bronze → silver → gold → Power BI.

    Evidence gateReconciled counts, measured source impact and a repeatable deployment.
  3. Wave 02

    Harden movement

    Resilient runtime, private route, incremental capture and replay are operational.

    Evidence gateNode failover, network recovery and backlog tests meet the chosen tier.
  4. Wave 03

    Engineer trust

    Medallion layers, contracts, quality thresholds and lineage are automated.

    Evidence gateBad-data drill proves quarantine, rollback and deterministic replay.
  5. Wave 04

    Serve & adopt

    Certified semantic model, RLS, embedded or self-service experience reaches users.

    Evidence gateOwner signs off measures, role tests, performance and adoption support.
  6. Wave 05

    Scale & operate

    More domains onboard through templates, service dashboards and runbooks.

    Evidence gateRecovery exercise, access review and SLO trend accepted into service.
Minimum operating evidence

The handover is a proof pack.

Store evidence with clear retention and ownership. A live dashboard is useful, but release records, manifests, reviews and recovery exercises must remain auditable after the screen changes.

  1. 01Source register, owner, classification and extraction contract
  2. 02End-to-end data-flow diagram and threat model
  3. 03Runtime inventory, firewall rules, private endpoint and DNS tests
  4. 04Identity map, linked-service permissions and key-rotation record
  5. 05Run manifest, watermark, checksum and source-to-land reconciliation
  6. 06Schema, quality, deduplication and transformation test results
  7. 07Source-to-report lineage and certified measure dictionary
  8. 08RLS tests, privileged-access review and workspace release record
  9. 09Failure drill, restore evidence and measured RTO/RPO
  10. 10Freshness, quality, pipeline success and incident service dashboard

Architecture principles

The rules that survive product change.

Technology choices can evolve. These decision rules keep the architecture coherent as delivery moves from target state to transition and operation.

01

Sources remain operational systems of record

02

Every movement is observable and replayable

03

Data quality is explicit and measurable

04

Access is granted through governed models

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