What we achieved

  • $440K

    cost savings allocated

  • $275K

    waste elimination

  • $101K

    reserved instance

To who

Overview

  • Part 1

    Challenge

    Ballooning cloud costs that seem to grow faster than revenue and inability to see full picture of operational spending.

  • Part 2

    Solution

    A solution to provide visibility, control and a more strategic approach to managing their cloud environment.

  • Part 3

    Results

    $440K cost savings identified for the services provider with $275K waste elimination, $21K scheduling, $43K right-sizing, and $101K reserved instance.

The Challenge

Many businesses are facing a familiar challenge – cloud costs that seem to balloon faster than their revenue. This was the reality for a leading US provider of mission-critical services. Their success relied heavily on a robust cloud infrastructure, which included a staggering $15 million in annual consumption, 122 subscriptions, and a network of 1,750 servers. However, this very foundation for their growth also presented a growing challenge: keeping cloud spending under control.

The pressure was on. They needed a way to optimize their cloud usage and achieve cost savings without sacrificing the agility and innovation that the cloud offered. Identified goals were: to design a strategy to effectively track cloud spend and carry out cost optimization with a structured tagging policy, predefined budget thresholds, and cost optimization recommendations.

Their story is a blueprint for any business facing the challenge of soaring cloud bills.

Here’s what made managing their cloud environment difficult:

  • Flying Blind: Without a centralized, single-pane view, they lacked a clear understanding of their overall cloud-spend across different services and accounts. This made it difficult to identify areas for cost optimization.
  • Cost Creep: Public cloud costs were steadily increasing, putting pressure on their budget. They needed to find ways to curb these expenses without sacrificing performance or scalability.
  • Budgeting in the Dark: The absence of a structured budget allocation mechanism made it hard to plan and control spending across various cloud resources.
  • Underutilized Resources: They suspected they were paying for resources they weren’t fully utilizing. Identifying and eliminating these inefficiencies could lead to significant cost savings.
  • Engagement Gap: Account owners responsible for specific cloud resources weren’t readily responding to suggestions for cost reduction. This lack of buy-in from key stakeholders hindered overall optimization efforts.
  • Approval Bottleneck: The absence of a single point-of-contact for cloud spending approvals caused delays in implementing cost-saving measures.
  • Missing Pieces of the Puzzle: Incomplete or missing information about account owners made it difficult to track usage and assign responsibility for cloud spending.
  • Consolidation Challenge: Managing a single account with multiple application owners made it hard to attribute costs accurately and optimize spending for each specific application.

The Solution

These challenges created a cloud cost conundrum for the organization. They needed a solution that provided visibility, control, and a more strategic approach to managing their cloud environment. We were tasked with defining a standardized approach to identifying and executing cloud cost optimization recommendations.

The team worked to build a set of monitoring and control routines, presented below, to drive agility and cost transparency:

  • Increased cloud cost awareness and analysis with an initial baseline.
  • Cost optimization recommendations using various techniques such as waste elimination, scheduled instances, and right-sizing.
  • Operational alerts for cost analytics, optimization, and governance.
  • Budget allocation based on account and tag values.

The Results

With significant results achieved, a large business services provider group aligned perfectly with their core values of sustainability and responsible resource management. The implementation of HCL MyXalytics resulted in the following cost savings:

  • $275K waste elimination
  • $21K scheduling
  • $43K right sizing
  • $101K reserved instance

Offering a single-pane view of your operational performance optimizes you for today and with tomorrow in mind, the solution is clear with HCL MyXalytics.

About the company

The company is a leading U.S.-based business services provider known for delivering mission-critical services to its clients. Leveraging a robust cloud infrastructure consisting of 122 subscriptions and a network of 1,750 servers, the organization plays a pivotal role in driving operational excellence across various industries. With an annual cloud consumption of $15 million, the company is deeply committed to innovation, scalability, and maintaining a competitive edge. However, the growing complexity and costs associated with cloud usage have prompted the company to prioritize cost optimization and operational efficiency to sustain its growth trajectory.

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