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#thinkcloudnative © Onica 2019 | Onica.com
AWS Cost Optimization: Best Practices, Tips & Tricks
Sean Anderson Cloud Business Analyst – Optimizer Team at Onica
#thinkcloudnative © Onica 2019 | Onica.com
Agenda
• Cost Optimization in Context• A Practical Framework for Cost Optimization• CloudHealth Demo
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“All in” APN PremierConsulting PartnerFocused, deep expertise
Scaled to take on the most complex projects
Outcomes designed to lastEnsure the cloud keeps delivering value without rework
Cloud-native thinkingOur cloud-native mindset delivers results that leverage the full power of the cloud
We’re all about the peopleWe approach projects collaboratively, helping your team gain new skills to master the cloud
AWS COMPETENCIES
Data & AnalyticsDevOpsHealthcareMigrationIoTEducationStorageMicrosoft Workloads
AWSCertifications
400+
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A Holistic Approach to Cost Optimization
Cost Optimization should be… • Cross-functional• Part of the product roadmap, not an afterthought• Ongoing
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Cloud native [kloud ney-tiv]
adjective
1. Selects the most appropriate cloud technology for each workload.2. Offloads undifferentiated heavy lifting to the cloud provider.3. Avoids both Datacenter Thinking and Excessive Refactoring.
Wondering what’s cost effective?Strive for Cloud Native
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A Practical Framework for Cost Optimization
• Transparency• Prioritization • Execution
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Transparency
• Reporting• Tagging• Alerting
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#thinkcloudnative © Onica 2019 | Onica.com
Reporting Tools & Alerting
• Ability to see high level and granular data
• Dashboards
• See assets and utilization/waste
• Tags
• Alerts
• Track trends
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Monitor Trends“The sharks fin”
“The science experiment” “The delayed mistake”
“The climb”
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Case StudyClient: Consumer Goods CompanyAWS Use Case: Consumer-facing web application, big data analyticsAnnual spend: $2M+Problem: losing $30k / month on a “limbo” blue/green deployment
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Tagging• Have a policy defined, but keep it simple• Common tag keys: CostCenter, Client, Environment, Application, Owner,
Name• Pro-tip: use separate AWS accounts for different environments to keep
things organized• Values: Each key should have a range of applicable values
• Spelling and capitalization matters• “CostCenter” v. “Costcenter”, ”prod” v. “production”
• Use automation where appropriate• For example, EBS volumes inherit tags from instance• Snapshots inherit tags from volumes• Require essential tags (e.g. Owner) on launch
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Prioritization• Know your services• Effort/benefit• Decisionmaking
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Know Your AWS Services
• Research your options
• Pick the right tool for the job
• Identify use cases for ephemeral and managed services
In short: think Cloud Native!
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General Optimization Opportunities
• Appropriate provisioning
• Rightsizing
• Purchasing options: On Demand Instances, Spot Instances, and Reserved Instances
• Geographic selection
• Managed services
• Optimize data transfer
From https://d1.awsstatic.com/whitepapers/architecture/AWS-Cost-Optimization-Pillar.pdf
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Key Optimization Opportunities• Vertical and Horizontal Scaling
• Overprovisioning size/quantity of resources• Autoscaling/ephemeral architecture/Spot
• Zombie resources
• Old-gen resources• Moving from m3 to m5 saves 28% savings (EC2, USW2, USE1, USE2)• c4 to c5 15% savings (EC2, USW2, USE1, USE2)
• Using the wrong tool for the job/improper use of resources
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Effort/Benefit
• Quantify options – what’s the payoff?
• What’s feasible and what makes business sense?
• Whiteboarding method
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Whiteboarding
Action Complexity RewardContainerize and move to ECS High High ($100k savings / y)Deliver consumer data via CloudFront instead of EC2 directly
Moderate Moderate ($30k / y)
Buy RI Easy High ($73k / y)Migrate to new-gen instances Easy Moderate ($24k / y)
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Decisionmaking
• Key stakeholders in the loop
• Infrastructure considerations paired with Product,
Design, and Finance
• Data driven
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Execution• Make changes• Track and monitor• Governance
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Case Study• Client: Tax Service Provider• AWS Use Case: Windows-based consumer-facing web application• Annual spend: $3M+• Problem: Seasonal demand drives sudden increase in load
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Case Study
#thinkcloudnative © Onica 2019 | Onica.com
Case Study
#thinkcloudnative © Onica 2019 | Onica.com
Governance
• Don’t let the same issues you just fixed pop up again!
• Automation• Tagging, rightsizing, and other
policies
Above: A Greek artist’s rendition of the first AWS cost optimization initiative
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Common Pitfalls
• Analysis paralysis
• Siloed thinking• Communication
breakdowns and misalignment
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Onica’s preferred reporting tool. Let’s take a look at some use-cases.Onica provides this tool to clients free of charge.
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Optimizer Questions?Adam Chandani
achandani@onica.com
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