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Category: cloud

Case Study: Reducing Cloud Storage Costs for Large Enterprises

Posted on by Ben Tight

Managing cloud storage costs effectively is a top priority for FinOps Directors, Cloud Infrastructure VPs, and CIOs in the rapidly evolving digital landscape. This case study demonstrates how Lucidity’s cloud storage optimization solutions significantly reduced storage costs for a large logistics company, achieving substantial savings and enhancing operational efficiency.

The Challenge

Our client, a large logistics company with 800 employees, faced escalating cloud storage costs. With an Azure spend of $52,400 per month ($628,800 annually) and a managed disk spend of $6,834 per month, the organization sought opportunities to optimize spending and reduce costs without compromising performance.

Key Challenges:

  • Low Disk Utilization: The company’s disk utilization was 37%, indicating significant unused storage capacity.
  • High Monthly Costs: The average monthly bill for managed disks was $6,834, contributing to an estimated annual bill of $82,008.
  • Resource Constraints: The company struggled with managing and optimizing storage resources efficiently.

The Solution

Lucidity implemented its advanced AI-driven autoscaling and storage optimization solution to address these challenges. The solution aimed to increase disk utilization, reduce unnecessary costs, and streamline cloud storage management.

Key Features of Lucidity's Solution:

  • AI Autoscaling: Automatically adjusts storage resources based on real-time demand, ensuring optimal utilization and cost-efficiency.
  • Comprehensive Support: 99.99% availability with 24/7 support through email and phone.
  • NoOps Management: Seamless expansion and shrinking of disks with zero downtime, allowing DevOps teams to focus on strategic tasks.

The Implementation

Lucidity thoroughly audited the company’s Azure storage usage, identifying idle, orphaned, underutilized, and highly utilized resources. Here are the detailed findings and actions taken:

1. Idle/Orphan Resources:

    • 85 disks with 52.2 TB of provisioned capacity had no data.
    • Unrealized monthly cost savings: $2,918.60.

2. Underutilized Resources:

    • 193 disks with 31.26 TB of provisioned capacity, but only 10.7 TB was utilized.
    • Unrealized monthly cost savings: $685.66.

3. Well Utilized Resources:

    • 9 disks with 0.84 TB of provisioned capacity and 0.64 TB utilized.
    • Unrealized monthly cost savings: $25.80.

4. Highly Utilized Resources:

      • 8 disks with 1.3 TB of provisioned capacity and 1.19 TB utilized.
      • Unrealized monthly cost savings: $46.79.
      • Note: Highly utilized disks had a >80% chance of facing downtime, necessitating additional resources soon.
Decover How you Could Save up to 40%

Conclusion

This case study highlights the transformative impact of Lucidity’s cloud storage optimization solutions on a large enterprise’s operational efficiency and cost management. By leveraging advanced AI-driven autoscaling and comprehensive support, Lucidity enabled the logistics company to achieve substantial cost savings and improved storage utilization.

At MetrixData 360, we understand the importance of effective cloud cost management. Our solution Lucidity is designed to help organizations implement FinOps practices and optimize their cloud spending.
Contact us today to learn how we can support your FinOps journey and drive financial success in your cloud operations.

Top Strategies for Automating Cloud Infrastructure

Posted on by Ben Tight

In the fast-paced world of cloud computing, automation is the key to unlocking efficiency, reducing costs, and ensuring scalability. For FinOps Directors, Cloud Infrastructure VPs, and CIOs, automating cloud infrastructure is not just a luxury—it’s a necessity. This blog post will delve into the top strategies for automating cloud infrastructure, focusing on how Lucidity’s storage optimization solutions can play a critical role.

The Importance of Cloud Infrastructure Automation

Cloud infrastructure automation is essential for several reasons:

  • Cost Efficiency: Automation reduces the need for manual intervention, lowering operational costs and minimizing human error.
  • Scalability: Automated systems can quickly scale resources up or down based on demand, ensuring optimal performance and cost-effectiveness.
  • Agility: Automation allows for rapid deployment and management of resources, enabling your organization to respond swiftly to changing business needs.

Challenges Faced by IT Departments

For FinOps Directors, Cloud Infrastructure VPs, and CIOs, the journey toward cloud infrastructure automation comes with unique challenges:

  • Resource Constraints: Limited team bandwidth and expertise can hinder automation efforts.
  • Legacy Systems: Outdated systems and processes can complicate the transition to automated infrastructure.
  • Budget Limitations: Tight budgets often restrict the ability to invest in new automation tools and technologies.

Despite these challenges, the benefits of cloud infrastructure automation are too significant to ignore. Here are the top strategies to help you automate your cloud infrastructure effectively, emphasizing storage optimization.

1. Implement Infrastructure as Code (IaC)

Infrastructure as Code (IaC) is a fundamental practice for automating cloud infrastructure. IaC involves managing and provisioning computing resources through machine-readable scripts rather than manual processes.

Benefits:

  • Consistency: Ensures that the infrastructure setup is consistent and repeatable.
  • Version Control: Allows for versioning of infrastructure configurations, making it easier to track changes and roll back if necessary.

Tools to Consider:

  • Terraform: An open-source tool that enables safe and predictable infrastructure changes.
  • AWS CloudFormation: Automates the deployment of AWS resources using templates.

2. Use Automated Scaling Solutions

Automated scaling solutions adjust the number of active resources based on real-time demand. This ensures that your infrastructure can handle varying workloads without over-provisioning.

Benefits:

  • Cost Savings: Reduces costs by scaling down resources during periods of low demand.
  • Performance Optimization: Ensures applications run smoothly by scaling up resources during peak times.

Tools to Consider:

  • Amazon EC2 Auto Scaling: Automatically adjusts the number of EC2 instances based on specified conditions.
  • Azure Autoscale: Automatically scales Azure services to match workload demands.

3. Leverage Configuration Management Tools

Configuration management tools automate software applications and systems’ deployment, configuration, and management.

Benefits:

  • Consistency: Ensures that all systems are configured uniformly.
  • Efficiency: Reduces the time and effort required to manage configurations manually.

Tools to Consider:

  • Ansible: An open-source tool that automates software provisioning and configuration management.
  • Puppet: Automates the delivery and operation of software across the entire lifecycle.

4. Adopt Continuous Integration/Continuous Deployment (CI/CD)

CI/CD practices automate the integration and deployment of code changes, ensuring that new features and updates are delivered rapidly and reliably.

Benefits:

  • Faster Time-to-Market: Speeds up the release of new features and bug fixes.
  • Improved Quality: Automated testing and deployment reduce the risk of errors.

Tools to Consider:

  • Jenkins: An open-source automation server that supports building, deploying, and automating any project.
  • GitLab CI/CD: Integrates with GitLab and offers comprehensive CI/CD pipelines.

5. Utilize Monitoring and Logging Tools

Automated monitoring and logging tools provide real-time insights into the performance and health of your cloud infrastructure.

Benefits:

  • Proactive Management: Allows for early detection of issues, enabling proactive management and resolution.
  • Data-Driven Decisions: Provides valuable data that can be used to optimize infrastructure and applications.

Tools to Consider:

  • Prometheus: An open-source system monitoring and alerting toolkit.

ELK Stack (Elasticsearch, Logstash, Kibana): A powerful suite of tools for managing and analyzing logs.

The Role of Lucidity in Cloud Infrastructure Automation

While the strategies above cover a broad range of cloud infrastructure automation practices, storage optimization is a crucial area where Lucidity can make a significant impact:

  • Storage Cost Optimization: Lucidity’s solutions can reduce storage costs by up to 40%. By automating the identification and management of redundant, obsolete, and unused data, Lucidity helps ensure that your storage resources are used efficiently.
  • Enhanced Visibility: Gain comprehensive insights into storage usage patterns, enabling informed decisions and strategic planning.
  • Scalability and Efficiency: Automate storage management tasks, allowing your team to focus on more strategic initiatives and ensuring that your cloud infrastructure scales seamlessly with your business needs.
Unlock Massive Savings

Conclusion

Automating your cloud infrastructure is a strategic move that can benefit your organization significantly. You can enhance efficiency, reduce costs, and ensure scalability by implementing Infrastructure as Code, using automated scaling solutions, leveraging configuration management tools, adopting CI/CD practices, and utilizing monitoring and logging tools.

At Lucidity, we specialize in helping businesses like yours navigate the complexities of cloud infrastructure automation with a focus on storage optimization. Our solutions are designed to streamline your operations, optimize costs, and empower your team to focus on strategic initiatives. Contact us today to learn how we can support your automation journey and drive success in your cloud operations.

The Role of FinOps in Cloud Cost Management

Posted on by Ben Tight

As cloud adoption continues to surge, businesses face increasing pressure to effectively manage and optimize their cloud expenses. Enter FinOps is a cultural and financial management practice bridging the gap between finance, operations, and technology. This approach enables organizations to maximize cloud investments by fostering collaboration, enhancing visibility, and driving cost-efficient practices. In this blog post, we will explore the critical role of FinOps in cloud cost management and how it can transform your organization’s approach to cloud financial operations.

Understanding FinOps

FinOps, short for Financial Operations, is a set of practices and principles designed to bring financial accountability to the cloud computing variable spend model. It aims to align the objectives of finance, DevOps, and business teams, ensuring that cloud resources are used efficiently and effectively to meet organizational goals.

Critical components of FinOps include:

    • Collaboration: Promoting a culture where finance, operations, and technology teams work together to manage cloud costs.
    • Visibility: Providing detailed insights into cloud spending to help teams make informed decisions.
    • Optimization: Continuously identifying and implementing cost-saving opportunities without compromising performance.

Challenges Addressed by FinOps

FinOps addresses several challenges that organizations face in cloud cost management:

  • Lack of Cost Visibility: Many organizations struggle to understand their cloud expenses clearly. FinOps provides detailed visibility into where money is spent, allowing teams to identify and address inefficiencies.
  • Budget Overruns: Cloud costs can quickly exceed budgets without proper financial management. FinOps helps forecast and control spending, reducing the risk of budget overruns.
  • Resource Waste: Inefficient use of cloud resources can lead to significant waste. FinOps practices help identify and eliminate unused or underutilized resources.

The Core Principles of FinOps

FinOps is built on three core principles that guide organizations in managing their cloud costs effectively:

1. Teams Need to Collaborate:

    • Encourage cross-functional teams to work together to manage cloud spending.
    • Foster a culture of shared responsibility and accountability for cloud costs.

2. Decentralized Control with Centralized Visibility:

    • Allow individual teams to make informed decisions about their cloud usage.
    • Provide a centralized platform for tracking and analyzing cloud costs, ensuring transparency across the organization.

3. Everyone Takes Ownership of Their Cloud Usage:

    • Empower teams to take responsibility for their cloud spending.
    • Implement chargeback or showback models to allocate costs to the respective teams, promoting accountability.

Implementing FinOps in Your Organization

To successfully implement FinOps, organizations need to follow a structured approach:

1. Establish a FinOps Team:

    • Form a dedicated team comprising members from finance, operations, and technology departments.
    • Assign roles and responsibilities to ensure effective collaboration and communication.

2. Adopt FinOps Tools and Technologies:

    • Leverage cloud cost management tools to gain detailed insights into cloud spending.
    • Use automation tools to enforce cost-saving policies and optimize resource usage.

3. Develop a FinOps Framework:

    • Create a framework that outlines the processes, policies, and best practices for managing cloud costs.
    • Define key performance indicators (KPIs) to measure the success of your FinOps initiatives.

4. Promote Continuous Improvement:

    • Encourage a culture of continuous improvement by regularly reviewing and optimizing cloud usage.
    • Conduct training sessions and workshops to update teams on the latest FinOps practices and tools.

Benefits of FinOps

Implementing FinOps in Your Organization

  • Cost Savings: Organizations can achieve significant cost savings by optimizing cloud usage and eliminating waste.
  • Improved Financial Accountability: FinOps fosters a culture of accountability, ensuring that teams take ownership of their cloud spending.
  • Enhanced Decision-Making: With detailed visibility into cloud costs, teams can make more informed decisions about cloud usage.
  • Operational Efficiency: FinOps helps streamline cloud financial operations by promoting collaboration and automation.
Unlock Massive Savings

Conclusion

FinOps is a transformative approach to cloud cost management that empowers organizations to maximize the value of their cloud investments. FinOps enables businesses to manage their cloud expenses effectively and achieve their financial objectives by fostering collaboration, enhancing visibility, and driving cost-efficient practices.

At MetrixData 360, we understand the importance of effective cloud cost management. Our solution Lucidity is designed to help organizations implement FinOps practices and optimize their cloud spending.
Contact us today to learn how we can support your FinOps journey and drive financial success in your cloud operations.

How to Optimize Cloud Storage Costs by Up to 40%

Posted on by Ben Tight

As the adoption of public clouds like Azure, AWS and Google grows, businesses increasingly rely on cloud storage solutions to manage and store their vast amounts of data. However, this convenience has significant challenges, especially for crucial decision-makers such as FinOps Directors, Cloud Infrastructure VPs, and CIOs. These professionals are tasked with balancing the need for efficient, scalable cloud storage with the imperative to control and reduce costs.

Challenges Faced by FinOps Directors, Cloud Infrastructure VPs, and CIOs

  • Rapid Data Growth: As data volumes grow exponentially, cloud storage costs can quickly spiral out of control. FinOps Directors are often caught in a cycle of managing increasing storage costs while striving to optimize overall cloud expenditure.
  • Inefficient Data Management: Many organizations struggle with storing redundant or infrequently accessed data, leading to wasted resources. Cloud Infrastructure VPs face the challenge of implementing effective data management strategies to ensure cost efficiency.
  • Lack of Visibility: Limited insight into storage usage and costs hamper the ability of CIOs to identify optimization opportunities and make informed budget decisions. This lack of visibility can result in budget overruns and inflated cloud costs.
  • Resource Constraints: FinOps and DevOps teams often have limited time and bandwidth to implement cloud optimization actions. This is compounded by the nascent stage of many FinOps programs and a lack of knowledge about new tools in the market.

 

To tackle these challenges, businesses need to adopt strategic approaches to cloud storage management that can deliver substantial cost savings and operational efficiency.

1. Conduct a Comprehensive Storage Audit

The first step in optimizing cloud storage costs is to conduct a comprehensive audit of your current storage usage. This involves:

  • Identifying Redundant Data: Locate and eliminate duplicate files and data no longer needed.
  • Classifying Data: Categorize data based on its importance and access frequency. For example, frequently accessed data should be stored in high-performance storage, while infrequently accessed data can be moved to more cost-effective storage tiers.

2. Implement Data Lifecycle Management

Data lifecycle management (DLM) is a systematic approach to managing data from creation to deletion. By implementing DLM, you can:

  • Automate Data Movement: Set policies to automatically move data between storage tiers based on usage patterns. This ensures that only necessary data occupies expensive storage.
  • Schedule Data Deletion: Establish retention policies to automatically delete no longer needed data, reducing storage bloat.

3. Leverage Storage Tiers

Most cloud providers offer multiple storage tiers with different performance and cost characteristics. By leveraging these storage tiers effectively, you can optimize costs:

  • High-Performance Storage: Use high-performance (and more expensive) storage for mission-critical and frequently accessed data.
  • Cold Storage: Move infrequently accessed data to cold storage solutions, which are significantly cheaper but have longer retrieval times.

4. Optimize Data Access Patterns

Optimizing how and when data is accessed can lead to significant cost savings:

  • Batch Processing: Instead of accessing data frequently, consider batching data processing tasks to reduce access frequency and costs.
  • Caching: Implement caching mechanisms to temporarily store frequently accessed data, reducing the need for repeated data retrieval from primary storage.

5. Use Cost Management Tools

Many cloud providers offer tools and services to help manage and optimize cloud costs. These tools provide insights into your storage usage and identify potential savings opportunities:

  • AWS Cost Explorer: Offers detailed insights into your AWS storage costs and usage patterns.
  • Azure Cost Management: Provides comprehensive cost analysis and optimization recommendations for Azure storage.
  • Google Cloud’s Pricing Calculator: Helps estimate and optimize your cloud storage costs on Google Cloud.
  • Lucidity: Helps organizations implement FinOps practices and optimize their cloud spending.

6. Automate Cloud Storage Management

Automation is a powerful tool for optimizing cloud storage costs. By automating routine storage management tasks, you can ensure consistent application of best practices and policies:

  • Automated Scaling: Use automated scaling solutions to adjust storage resources based on demand, avoiding over-provisioning.
  • Policy-Based Management: Implement policy-based management tools to automatically enforce data retention and movement policies.
Unlock Massive Savings

Conclusion

Optimizing cloud storage costs requires a strategic approach that combines data management best practices, leveraging storage tiers and utilizing cost management tools. By conducting regular audits, implementing data lifecycle management, and automating storage management tasks, businesses can achieve significant cost savings—up to 40%—while maintaining efficient and scalable cloud storage solutions.

At MetrixData 360, we specialize in helping businesses optimize their cloud storage costs through innovative solutions and expert guidance. Contact us today to learn how we can help you achieve your cloud storage cost optimization goals.

The Secret Weapon for Cutting Cloud Storage Costs

Posted on by Ben Tight

Hey there!  Over the last three months, I have analyzed over $100 million of AWS, Azure, and Google Cloud bills.  One thing hit me hard in reviewing all these monthly and annual bills: the cost of cloud storage.  It’s like a silent budget eater lurking in your monthly bills.  But here’s a little secret I’ve learned – optimizing your storage with cloud storage cost-reduction techniques can be your golden ticket to savings.  Let me show you how.

Understanding Cloud Storage Costs

Cloud storage costs are sneaky.  They often take up a massive chunk of your IT budget, anywhere between 25% to 40%.  And it’s not just you – it’s a widespread issue.  But why?  The answer lies in our approach to managing these costs using effective cloud storage cost optimization techniques.

The Problem of Over-Provisioning

One thing I’ve seen in all of the bills I reviewed is how much storage people are provisioning compared to how much they use.  It’s not easy to know how much disc is managed versus how much has just been provisioned, but there are ways for each of the three big cloud providers (AWS, Azure, and GCP).  One of the biggest things I notice is that many companies double their storage to avoid downtime.  It’s like buying two cars just in case one breaks down.  Sounds excessive, right?  This over-provisioning means paying for more storage than you need.

The NoDev Approach to Storage Optimization

This is where the magic happens – the NoDev approach.  It’s about making storage optimization so simple that you don’t need a squad of developers to manage it.  With automation and intelligent algorithms, this approach does the heavy lifting in reducing your cloud costs.

Achieving Immediate ROI with Storage Optimization

Let’s talk about ROI – because who doesn’t like seeing results?  Storage optimization isn’t just about cutting costs; it’s about seeing those savings immediately through cloud cost optimization techniques.  I’ve seen big and small companies slash their storage costs by 40-50% in the first month alone!  This equates to 40%+ savings on storage costs (after paying for our solution).

Steps to Implement Storage Optimization

So, how do you jump on this cost-saving train?  First, we conduct a simple analysis of your storage usage.  Essentially, we grab a report to look at critical statistics (a 5-minute task for one of your admins).  A few days later, the MetrixData 360 team will return with a report showing how much our storage optimization solution can save you.   If there is an ROI and you want to move forward, we run a Proof of Value on a couple of dev workloads to show you how the solution works and allow you to work through any scenarios you want to ensure work for you.   During the POV, our team will work with you to build a business case to purchase.  We move to deployment after successfully concluding the POV and a proven ROI.  Then, monitor and adjust.  Keep a close eye on your storage needs and adapt as necessary.  The best part is turning on the solution and seeing the savings that day!

Real-World Success Stories

When we analyzed one of our clients’ Azure storage costs, we noticed they were at 9.9% disc utilization and spending $353,000 a year on storage.  Their storage costs were not just static either.  They had been growing every month.  MetrixData 360 analyzed this and reviewed what our Storage Optimization solution could achieve.  After a quick POC and full implementation, storage utilization improved to 75%, and annual storage spending was reduced to $141,000.  Oh, did I mention the $141,000 included in the costs of the solution?

Screenshot 2024 02 12 142204

The best part for this client is that storage increased every month, so the baseline of how much storage they are growing on is now lower.  They will save between $1.0 and $1.2 million over the next 5-years!

Conclusion

Cloud storage costs don’t have to be the black hole in your IT budget.  With some savvy optimization, you can turn the tables on these expenses.  Employing effective cloud storage cost reduction techniques is about being intelligent, proactive, and sometimes, a little bold in your strategies.

Why Keeping a Bad Sales Rep Could Cost You: How to Get a Great Software Deal and Strengthen Relationships

Posted on by Hailey Austin

As a customer, when you are looking to buy software, you want to get the best possible deal and build a strong relationship with the software provider. However, this can be difficult to achieve if a bad sales rep is working with you. In this blog post, we will explore why keeping a bad sales rep could cost you and provide actionable tips on how to get a great software deal and strengthen relationships.

Why Keeping a Bad Sales Rep Could Cost You

A bad sales rep can cost you in many ways. A bad sales rep:

  • Will not give you straight answers and will likely give you the runaround. This can be frustrating and time-consuming as you try to get the information you need to make an informed decision
  • May not be loyal to you and may be more interested in meeting their own goals than yours. This can lead to added costs, such as licensing, deployment, ongoing support, and increased costs over time.
  • Focuses on their quota and how they get paid. If you find a rep forcing you to buy products or services you don’t need, there is a reason. Reps that are focused on themselves are not going to help you accomplish what you need. 

Actionable Tips to Get a Great Deal and Strengthen Relationships

Now that we’ve looked at why a bad sales rep can cost you, let’s explore some actionable tips on how to get a great software deal and strengthen relationships.

  1. Do your research

Mistake: Not doing research 

Tip: Before making a software purchase, do your research. Look for reviews and testimonials from other customers, check the software provider’s website and social media accounts, and speak with current or past customers if possible. This will help you make an informed decision and avoid wasting time and money.

  1. Communicate your needs

Mistake: Not communicating your needs 

Tip: When speaking with a sales rep, be clear and specific about your needs. This will help the sales rep understand your needs and make appropriate recommendations. Don’t be afraid to ask questions or ask for clarification if you don’t understand something.

Statistic: According to a survey by TechValidate, 97% of B2B buyers said that the sales rep’s ability to understand their needs was an important factor in their decision to purchase.

  1. Negotiate

Mistake: Not negotiating

Tip: Don’t be afraid to negotiate with the sales rep. Ask for discounts or special pricing, especially if purchasing multiple licenses or a long-term contract. If the sales rep is unwilling to negotiate, consider speaking with management or looking for a different software provider.

Statistic: According to a survey by HubSpot, 89% of B2B buyers said negotiating pricing was an important factor in their decision to purchase.

Get in Touch with Us to Avoid That Bad Software and Sales Rep

As a customer, if you’re looking to buy software, you want to get the best possible deal and build a strong relationship with the software provider. We’ll help you avoid those bad sales reps that cost you, and we’ll provide even more actionable tips on how to get a great software deal and strengthen relationships.

 

  1. Don’t let a lousy software sales rep cost you more. Look for warning signs like poor communication and lack of support.

 

  • Don’t settle for vague timelines or complex deployments. A good sales rep should be clear and transparent.
  • Watch out for hidden costs and “shelf-ware” bundles. A good sales rep will work to provide value and meet your needs.
  • Work with a sales rep who prioritizes your goals and vision, not just their own. Loyalty and support are critical.
  • Choose a sales rep who values security and supports your business needs. Don’t compromise on protection or solutions.

 

  1. Don’t keep a bad sales rep if you want a great software deal and strong relationships.
  • Look for warning signs like poor communication, lack of support, and unclear timelines.
  • Don’t settle for hidden costs or unnecessary “shelf-ware” bundles. A good sales rep should provide value.
  • Prioritize your own goals and vision. Choose a sales rep who will support you and work to meet your needs.
  • Don’t compromise on security or protection. Choose a sales rep who values these aspects of software purchasing.
  • Take control of the purchasing process. Don’t let a bad sales rep drive up costs or hurt your relationship with your provider.

As businesses continue to rely more and more on software, the role of the sales representative has become increasingly important. A good sales rep can help enterprises to find the right software at the right price, while a bad sales rep can do the opposite. In fact, a bad sales rep could end up costing your business more than just money. According to a study by HubSpot, over 50% of customers say they have stopped doing business with a company because of poor customer service. So, how do you avoid keeping a bad sales rep, get an excellent software deal, and strengthen your business relationships?

  1. Identify Warning Signs

The first step in avoiding a bad sales rep is to know what to look for. Here are some warning signs that you might have a bad sales rep:

  • A sales rep who is challenging to reach, doesn’t respond to emails, or doesn’t listen to your needs is a red flag.
  • A good sales rep should be there to support you throughout the entire software purchasing process, not just during the sale.
  • Be wary of sales reps who aren’t transparent about costs or try to bundle unnecessary features or services.
  •  If the sales rep is only concerned with their own goals rather than yours, it’s time to look elsewhere.

Actionable Recommendation: Watch for these warning signs, and don’t hesitate to ask questions or voice concerns to their management team. A good sales rep will be transparent and responsive.

Error to Avoid: Don’t assume that a sales rep who seems nice or friendly will automatically be a good fit. Always do your research and ask questions.

  1. Prioritize Your Goals and Vision

Your business has unique needs and goals when it comes to software. A good sales rep should prioritize your vision, not theirs. Here are some ways to ensure that your goals are being met:

  • A good sales rep will be open and honest about what they can and can’t provide.
  • Your software needs might change over time. A good sales rep should be willing to adjust to your changing needs.
  • Look for a sales rep who provides ongoing support, not just during the sale.
  • A good sales rep will be loyal to you and your business, not just trying to make a quick sale.

Actionable Recommendation: Clearly articulate your goals and vision to potential sales reps. Look for reps who show a willingness to work with you to achieve these goals.

Error to Avoid: Don’t settle for a sales rep who tries to push their own agenda or goals onto your business. Always prioritize your own needs and vision.

  1. Don’t let your sales rep talk you into unnecessary add-ons:
  • Evaluate whether add-ons align with your goals and objectives
  • Ask for data or case studies that demonstrate how the add-on has helped similar clients
  • Push back if you feel like the add-on isn’t necessary or won’t provide a good ROI
  • Don’t let a bad sales rep pressure you into making a decision that isn’t right for your business and your budget.

Sales reps are often incentivized to push additional products or services, even if they don’t add value to your specific needs. Before agreeing to any add-ons, take the time to evaluate whether they align with your goals and objectives. Ask your rep to provide data or case studies demonstrating how the add-on has helped other clients in similar industries. Don’t be afraid to push back if you feel the add-on isn’t necessary or won’t provide a good return on investment. 

Remember, it’s your business and your budget— don’t let a bad sales rep pressure you into making a decision that isn’t right for you.

5 Ways Your Azure Cloud Spend Can Creep up on your IT Budget

Posted on by Hailey Austin

Did you know that the typical business spends $2.5 million annually on cloud services? That’s a sizable amount, so it’s crucial to make sure you’re making the most of your Azure cloud expenditure.

As more and more organizations move to Azure, they are discovering that their cloud spending can creep up on their IT budget if they’re not cautious. By being proactive and mindful of these potential budget traps, you can keep your Azure cloud costs in check and ensure that they remain a wise investment for your organization. 

1. Placing Resources in the Wrong Subscription

Placing Resources in the Wrong Subscription

Choosing the right sort of subscription is one of the first steps in establishing a new Azure membership. Production and non-production subscriptions are the two main categories. Because production assets often cost more than non-production resources, storing resources under the incorrect type of subscription could lead to greater expenses.

Before placing resources, there are a few pointers regarding production and non-production subscriptions that you need to keep in mind:

  • For performance reasons, you can use non-production subscriptions to house specific Azure features available. Without ever subjecting them to your production environment, you can activate information that will guide for these test services in your non-production subscription.
  • Azure dev/test subscriptions can be used as segregated sandbox setups. These sandboxes assist with data security and privacy concerns by enabling managers and programmers to quickly construct and destroy sets of Azure resources.

Note: The appropriate costs in production and non-production situations sometimes differ.

2. Not De-allocating or Deleting Chargeable Resources 

It should come as no surprise that cloud users end up using and paying for more cloud infrastructure than necessary. It’s normal for businesses using the cloud at scale to find themselves unable to explain extra 20% or more of the functioning cloud resources. Many of those unmonitored services are “orphaned infrastructure,” idling cloud assets in our ecosystem that have no economic purpose, even though some of them might still serve genuine corporate goals. 

It’s hardly surprising that entire divisions of experts and product suppliers have appeared to assist clients in finding and terminating abandoned assets in order to reduce their Azure costs. Since the dawn of the digital age, cloud “sprawl,” much like VM sprawl in the early 2010s, has been a significant issue, and it continues to do so, demonstrating how complex the issue truly is.

Few people are aware of the serious security risk that these unmonitored and mismanaged assets offer, despite the fact that orphaned services are widely acknowledged as a major Azure cost management issue that must be controlled. These expensive orphans are essentially deadly zombies from a management perspective.

 Therefore, de-allocating or deleting a resource when you no longer use it is crucial to avoid paying for resources you aren’t utilizing. This can be done through the Azure portal, Azure CLI, or Resource Manager templates. Deleting a resource completely removes it from your subscription, so be sure that you really don’t need it before taking this step.

 If you don’t, even though you aren’t using the resource, your Azure cloud spending will keep rising.

3. Sizing Workloads Inappropriately

 Sizing workloads inappropriately is a common mistake made by organizations when transitioning to Azure. It’s important to right-size your workloads so that you’re not paying for more compute power than you need. Right-sizing your workloads can help reduce your Azure cloud spend. There are a few ways to do this:

  • Review your existing on-premises workloads and determine which ones can be moved to the cloud. Not all workloads are suitable for cloud migration.
  • Once you’ve identified which workloads can be moved, determine how much compute power they need in order to run effectively in Azure. 
  • Pay close attention to your Azure bills and monitor your usage closely. If you notice that you’re constantly exceeding your compute limits, it’s time to scale up your VM sizes or add more VMs to your deployment.

 By keeping an eye on your computer usage and making sure that you’re not paying for more resources than you need, you can help yourself reduce your Azure cost.

4. Not Applying Azure Hybrid Benefits

Not Applying Azure Hybrid Benefits

If you have on-premises licenses for Windows Server and SQL Server with active Software Assurance, you can apply the Azure Hybrid Benefit to save up to 40% on those licenses when running them in Azure VMs. This benefit can help reduce your overall Azure cloud spend.

Below is a preview of what contributes to the cost of creating a Windows virtual machine in Azure and how much money the Azure HUB can save you.

  • Hourly compute costs: You spend an hourly fee for computation, whether creating a VM through the Azure interface or using PowerShell (V-cores, RAM, hard drive space, etc.)
  • Microsoft licensing: You must additionally purchase a license fee to operate a Windows virtual machine in Azure. You can host a VM in the cloud using Azure HUB by using the license for your on-premises VMs.

 

5. Not Reserving Instances

You can save money by reserving virtual machines (VMs) for one or three years. Reservations give you a discount of up to 72% compared to pay-as-you-go prices for VMs. This discount is applied to the total cost of the VM, including storage and networking charges. So if you have VMs that you know will be running continuously, reservation discounts can help reduce your overall Azure cloud spend. 

 

Conclusion 

Azure is a great platform for organizations looking to move to the cloud. Cloud migration can be a daunting task, but with careful planning, it doesn’t have to break the bank. The best way to keep your Azure spending in check and avoid any nasty surprises is to set up governance controls and processes for managing cloud resources. By doing this, you can ensure that all resource deployments are compliant with your organization’s standards and within budget.

Establishing Azure governance can be a little complicated, which is why our experts are here to assist you in managing all your Azure cloud costs with ease. So, if you’re looking for ways to cut Azure spending, request a demo on our website to find out how much you can save.

Bring Your Own License (BYOL) Rules on Third-Party Cloud Providers

Posted on by Hailey Austin

Bring Your Own License (BYOL) Rules on Third Party Cloud Providers

Software licensing is ridiculously confusing, and its hyper complexity is not slowing down anytime soon. This confusion can easily lead to overspending, which equates to more money in the software vendor’s pockets, taken at the expense of your company’s software budget. how does overspending occur? One key reason behind our client’s overspending stems from the complexity of Bring Your Own License rules (BYOL) on their third-party cloud providers. 

At MetrixData360, we have helped hundreds of companies save millions of dollars, in this article, we will clear the waters by showing you the steps you can take to mitigate any potential areas of overspending in your software licensing environment.

 

 

 

Rule Change 

Microsoft changed its rules as of 1st October 2019 around how Microsoft products are licensed in 3rd party hosting scenarios.  These changes primarily impact AWS, Google, and Alibaba clouds (although others are affected).  The concept of Bring Your Own Licenses (BYOL) is influenced significantly by these changes.  Before these changes, as long as you had hardware dedicated to your use (i.e., were not using shared infrastructure), you could BYOL now.  With these changes, you may be required to purchase subscription licenses for these products through the hoster (e.g., Windows Servers, Office).  Specific versions may still be licensed via BYOL if licenses were acquired for those products before October 2019 or on a contract still active as of October 2019. 

 

To understand these rights, you must review the Microsoft Product Terms.  Below are the relevant sections: 

 

 

  1. Customers may use the server software on a Licensed Server, provided it acquires sufficient Server Licenses as described below. 

  

A Licensed Server is: 

A Licensed Server means a single Server, dedicated to the Customer’s use, to which a License is assigned.  Dedicated Servers that are under the management or control of an entity other than the Customer or one of its Affiliates are subject to the Outsourcing Software Management clause.  For purposes of this definition, a hardware partition or blade is considered to be a separate Server. 

  

 

The Outsourcing Software Management clause states: 

Customers may install and use licensed copies of the software on Servers and other devices that are under the day-to-day management and control of Authorized Outsourcers, provided all such Servers and other devices are and remain fully dedicated to Customer’s use.  The customer is responsible for all of the obligations under its volume licensing agreement regardless of the physical location of the hardware upon which the software is used.  Except as expressly permitted here or elsewhere in these Product Terms, the Customer is not permitted to install or use licensed copies of the software on Servers and other devices that are under the management or control of a third party. 

  

Authorized Outsourcer means any third-party service provider that is not a Listed Provider and is not using Listed Provider as a Data Center Provider as part of the outsourcing service. 

  

AWS is a Listed Provider.  Next, we need to determine if we have a right to utilize software at the Listed Providers through Microsoft License Mobility through Software Assurance right: 

 

License Mobility through Software Assurance 

Under License Mobility Through Software Assurance (SA), Customer may move its licensed software to shared servers under any of its Licenses which are designated as having License Mobility for which it has SA, subject to the requirements below.  Products used for Self-Hosting may be used at the same time under License Mobility through SA rights, subject to the limitations of the Self-Hosting License Terms.  

  

Permitted Use: 

With License Mobility through SA, Customer may: 

      • Run its licensed software on shared servers;  
      • Access that software under access licenses and for which it has SA, and under its User and Device SLs that permit access to the Products;  
      • Manage its OSEs that it uses on shared servers; and/or  
      • Manage its OSEs that it uses on its servers using software that it runs on shared servers. 

  

Requirements: 

To use License Mobility through SA, the Customer must: 

      • Run its licensed software and manage its OSEs on shared servers under the terms of its volume licensing agreement;  
      • Deploy its Licenses only with Microsoft Azure Services or qualified License Mobility through Software Assurance Partner; and 
      • Complete and submit the License Mobility Validation form with each License Mobility through Software Assurance Partner who will run its licensed software on their shared servers. 

  

License Mobility allows for use on a shared server.  Products that have this right associated with them allow BYOL (as long as you have active Software Assurance).  Next, we need to see if a product has Server Mobility.  For Windows Server: 

 

4. Software Assurance 

 

Windows Server does not include License Mobility rights.  For Windows Server (or any product without License Mobility), this means BYOL is only available for versions that were released before October 2019 and for which licenses were acquired prior (or on active contracts as of October 2019) to October 2019 

 

 

Please refer to the current Product Terms to ensure this info is still accurate as Microsoft makes changes frequently to their licensing rules. 

 

Start Saving on Your Software Licensing

Being able to cut software licensing costs will mean money back into the IT department for smarter and more innovative investments. This can be done by tracking the life cycles of your assets through the successful deployment of an inventory tool (along with someone who can effectively read it), through having a clear understanding of usage during contract negotiations, carefully considering your migration to the Cloud, and by conducting internal audits to ensure compliance.

At Metrixdata360, we can help you cut down your costs to save you from unnecessary drains on your budget and potentially heavy audit penalties. Don’t put off saving money, get your free consultation today!

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