Which to choose depends on the data you use and who the end users of the analysis are, and also what data sources they have access to.
In-database data can never be embedded since it is always fetched directly from the database.
You can also link to a portion of a file — for example, a few cells in an Excel sheet — by using a linked object. embedding Link information between Word and Excel files If you maintain data in an Excel file and related information in a Word file, you can link the information to make updating easier.
The added problem I have, is that it may just be a small section required to be embedded, not the full sheet.
We are not networked I have an Excel file which is made up of mulitple tabs some of which are embedded into Word. I have opened the old word document and 'saved as' giving it a new name for 2012. I updated my Excel file with the new information then went into word to update links. I needed to add 'update links' to the ribbon, which I did sucessfully. Some show only a fraction of what is required, some show too much.
See Data Overview and Working With In-Database Data for more information.
Reloading Data When you save data embedded, the Reload/Refresh options can be used to reload data from the original data source.
Or, you might want to insert instructions from a Word document into several Excel files.