controlling your cloud costs
TRANSCRIPT
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1© 2017 ServiceNow All Rights Reserved Confidential© 2017 ServiceNow All Rights Reserved Confidential
Controlling Your Cloud Costs
Giri Padmanabh Liam Yu
Sr. Director Engineering Sr. Product Marketing ManagerServiceNow ServiceNow
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ServiceNow Is a Fast-Growing, Global Company
~4,800 Employees
Major SitesSan Diego, Silicon Valley, Seattle
Amsterdam, London, Sydney, Israel, India
$28M $64M$128M
$683M
$1B
’16
$1.391B
‘09
$244M
$425M
Strong Revenue & Growth
‘10 ‘11 ‘12 ‘13 ‘14 ‘15
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Agenda
• Business Drivers
• Solution
• Next steps
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4© 2017 ServiceNow All Rights Reserved Confidential
Poll Question #1
• What cloud technologies are you using? (please select all that apply) • AWS
• Azure
• vSphere
• Other
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Poll Question #2
• What cost management challenges are you trying to address? (Please select all that apply)
• Visibility of cloud spend across groups, cost centers, and business services
• Managing cloud spend within my budget
• Reducing wastage of spend across clouds
• Others
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Business Demand for Agility
• Changing competitive landscape across almost every industry
• Shifting customer loyalty and expectations
• Time-to-market to capture new markets
Disrupt or get disrupted
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Challenges of Cloud Cost Management
• Lack of visibility of cloud spend across groups and business services
• Spend overshooting the budget
• Uncontrolled spend and wastage of spend on cloud
Unmanaged consumption of public clouds
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Approval Processes
Change Management
CMDB
Self-Service Catalog
ServiceNow Platform
Visual Deployment Blueprints
Cloud API Layer
YAML-Based Templates
Blueprint & Service Design
Quotas and Compliance Rules
Governance Policy Engine
Billing & Usage Management
Cloud ManagementExtend single system of engagement to private and public clouds
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Cost Visibility Across Cost-centers, Groups, Business Services
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Tagging
• Standard tags defined in ServiceNow
–Cost centers, business services, applications, and groups
• Defined new standard tags as needed by your business
• Cost reports breakdown by defined tags
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Certified and Standardized Service Catalog
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Every Stack Tied to Cost Center, Business Service, Group & Quotas
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Quota Definitions to Control Spend
Define Business Group limits
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Data Center Capacity LimitsDefine maximum limits for resources within data centers
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Live Demo
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Normalized billing data showed abnormal spikes in usage and network on a given date
Ability to drill down and identify subscription contributing to the spike
Additional drill down helped identify VMs running in subscription, running heavy data transfer into storage accounts
Identify Abnormalities and Root Causes
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NonProd Azure subscription constantly had increased compute costs
Close examine of billing data and VMs associated with subscriptions helped identify the zombie resource (not active), that helped customer to immediately shutdown and control cost
Next day billing data pull clearly showed the drop in compute costs for that subscription
Identify Zombie Resources and Contribution to the Cost
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Created a Database View between azure billing table to cmdb Virtual machine table
Create Custom report to show total Cost for a given subscription stacked by contribution from each VM
This helped customer to analyze the following things Understand the Highest contributor to the
cost for a given VM Understand the configuration to make
decision to run in Private cloud With CI information and Tagging ( Dev/Prod)
take measure using Orchestration to minimize the cost during non peak times by shutting down the machine ( incase of NonProd/Dev/Test)
Customer said he could create an orchestration flow to shut down all such VMs during the weekend to cut down costs
We explained the importance of governance policies to achieve the same in Jakarta release
Identify Opportunities to Apply Governance Policies
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Create custom report and e-mail to the members of the group Cost trend for the assets Usage trend for assets
Study the Spending Nature of Individual User
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Analyze the Usage Trend
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This helps to understand the enterprise overall cloud adoption strategy
Identify Cloud Services You Are Consuming Most
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Study Data Transfer Costs Associated with Each Service
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Call to Action
• Enable Cloud Management Plugin on your Jakarta instance
• Check out how-to videos on ServiceNow community site and ask questions
• Coordinate with your solution consultant for your cloud management workshop
• Get started with cloud cost visibility and control with ServiceNow
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Q & AThank you for joining us.
Giri Padmanabh Liam YuSr. Director Engineering Sr. Product Marketing ManagerServiceNow ServiceNow