In my experience optimizing cloud costs, especially on AWS, I often find that many quick wins are in the "easy to implement - good savings potential" quadrant.
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That's why I've decided to share some straightforward methods for optimizing expenses on AWS that will help you save over 80% of your budget.
Choose reserved instances
Potential Savings: Up to 72%
Choosing reserved instances involves committing to a subscription, even partially, and offers a discount for long-term rentals of one to three years. While planning for a year is often deemed long-term for many companies, especially in Ukraine, reserving resources for 1-3 years carries risks but comes with the reward of a maximum discount of up to 72%.
You can check all the current pricing details on the official website - Amazon EC2 Reserved Instances
Purchase Saving Plans (Instead of On-Demand)
Potential Savings: Up to 72%
There are three types of saving plans: Compute Savings Plan, EC2 Instance Savings Plan, SageMaker Savings Plan.
AWS Compute Savings Plan is an Amazon Web Services option that allows users to receive discounts on computational resources in exchange for committing to using a specific volume of resources over a defined period (usually one or three years). This plan offers flexibility in utilizing various computing services, such as EC2, Fargate, and Lambda, at reduced prices.
AWS EC2 Instance Savings Plan is a program from Amazon Web Services that offers discounted rates exclusively for the use of EC2 instances. This plan is specifically tailored for the utilization of EC2 instances, providing discounts for a specific instance family, regardless of the region.
AWS SageMaker Savings Plan allows users to get discounts on SageMaker usage in exchange for committing to using a specific volume of computational resources over a defined period (usually one or three years).
The discount is available for one and three years with the option of full, partial upfront payment, or no upfront payment. EC2 can help save up to 72%, but it applies exclusively to EC2 instances.
Utilize Various Storage Classes for S3 (Including Intelligent Tier)
Potential Savings: 40% to 95%
AWS offers numerous options for storing data at different access levels. For instance, S3 Intelligent-Tiering automatically stores objects at three access levels: one tier optimized for frequent access, 40% cheaper tier optimized for infrequent access, and 68% cheaper tier optimized for rarely accessed data (e.g., archives).
S3 Intelligent-Tiering has the same price per 1 GB as S3 Standard — $0.023 USD.
However, the key advantage of Intelligent Tiering is its ability to automatically move objects that haven't been accessed for a specific period to lower access tiers.
Every 30, 90, and 180 days, Intelligent Tiering automatically shifts an object to the next access tier, potentially saving companies from 40% to 95%. This means that for certain objects (e.g., archives), it may be appropriate to pay only $0.0125 USD per 1 GB or $0.004 per 1 GB compared to the standard price of $0.023 USD.
Information regarding the pricing of Amazon S3
AWS Compute Optimizer
Potential Savings: quite significant
The AWS Compute Optimizer dashboard is a tool that lets users assess and prioritize optimization opportunities for their AWS resources.
The dashboard provides detailed information about potential cost savings and performance improvements, as the recommendations are based on an analysis of resource specifications and usage metrics.
The dashboard covers various types of resources, such as EC2 instances, Auto Scaling groups, Lambda functions, Amazon ECS services on Fargate, and Amazon EBS volumes.
For example, AWS Compute Optimizer reproduces information about underutilized or overutilized resources allocated for ECS Fargate services or Lambda functions. Regularly keeping an eye on this dashboard can help you make informed decisions to optimize costs and enhance performance.
Use Fargate in EKS for underutilized EC2 nodes
If your EKS nodes aren't fully used most of the time, it makes sense to consider using Fargate profiles. With AWS Fargate, you pay for a specific amount of memory/CPU resources needed for your POD, rather than paying for an entire EC2 virtual machine.
For example, let's say you have an application deployed in a Kubernetes cluster managed by Amazon EKS (Elastic Kubernetes Service). The application experiences variable traffic, with peak loads during specific hours of the day or week (like a marketplace or an online store), and you want to optimize infrastructure costs. To address this, you need to create a Fargate Profile that defines which PODs should run on Fargate. Configure Kubernetes Horizontal Pod Autoscaler (HPA) to automatically scale the number of POD replicas based on their resource usage (such as CPU or memory usage).
Manage Workload Across Different Regions
Potential Savings: significant in most cases
When handling workload across multiple regions, it's crucial to consider various aspects such as cost allocation tags, budgets, notifications, and data remediation.
Cost Allocation Tags: Classify and track expenses based on different labels like program, environment, team, or project.
AWS Budgets: Define spending thresholds and receive notifications when expenses exceed set limits. Create budgets specifically for your workload or allocate budgets to specific services or cost allocation tags.
Notifications: Set up alerts when expenses approach or surpass predefined thresholds. Timely notifications help take actions to optimize costs and prevent overspending.
Remediation: Implement mechanisms to rectify expenses based on your workload requirements. This may involve automated actions or manual interventions to address cost-related issues.
Regional Variances: Consider regional differences in pricing and data transfer costs when designing workload architectures.
Reserved Instances and Savings Plans: Utilize reserved instances or savings plans to achieve cost savings.
AWS Cost Explorer: Use this tool for visualizing and analyzing your expenses. Cost Explorer provides insights into your usage and spending trends, enabling you to identify areas of high costs and potential opportunities for cost savings.
Transition to Graviton (ARM)
Potential Savings: Up to 30%
Graviton utilizes Amazon's server-grade ARM processors developed in-house. The new processors and instances prove beneficial for various applications, including high-performance computing, batch processing, electronic design automation (EDA) automation, multimedia encoding, scientific modeling, distributed analytics, and machine learning inference on processor-based systems.
The processor family is based on ARM architecture, likely functioning as a system on a chip (SoC). This translates to lower power consumption costs while still offering satisfactory performance for the majority of clients. Key advantages of AWS Graviton include cost reduction, low latency, improved scalability, enhanced availability, and security.
Spot Instances Instead of On-Demand
Potential Savings: Up to 30%
Utilizing spot instances is essentially a resource exchange. When Amazon has surplus resources lying idle, you can set the maximum price you're willing to pay for them. The catch is that if there are no available resources, your requested capacity won't be granted.
However, there's a risk that if demand suddenly surges and the spot price exceeds your set maximum price, your spot instance will be terminated.
Spot instances operate like an auction, so the price is not fixed. We specify the maximum we're willing to pay, and AWS determines who gets the computational power. If we are willing to pay $0.1 per hour and the market price is $0.05, we will pay exactly $0.05.
Use Interface Endpoints or Gateway Endpoints to save on traffic costs (S3, SQS, DynamoDB, etc.)
Potential Savings: Depends on the workload
Interface Endpoints operate based on AWS PrivateLink, allowing access to AWS services through a private network connection without going through the internet. By using Interface Endpoints, you can save on data transfer costs associated with traffic.
Utilizing Interface Endpoints or Gateway Endpoints can indeed help save on traffic costs when accessing services like Amazon S3, Amazon SQS, and Amazon DynamoDB from your Amazon Virtual Private Cloud (VPC).
Key points:
Amazon S3: With an Interface Endpoint for S3, you can privately access S3 buckets without incurring data transfer costs between your VPC and S3.
Amazon SQS: Interface Endpoints for SQS enable secure interaction with SQS queues within your VPC, avoiding data transfer costs for communication with SQS.
Amazon DynamoDB: Using an Interface Endpoint for DynamoDB, you can access DynamoDB tables in your VPC without incurring data transfer costs.
Additionally, Interface Endpoints allow private access to AWS services using private IP addresses within your VPC, eliminating the need for internet gateway traffic. This helps eliminate data transfer costs for accessing services like S3, SQS, and DynamoDB from your VPC.
Optimize Image Sizes for Faster Loading
Potential Savings: Depends on the workload
Optimizing image sizes can help you save in various ways.
Reduce ECR Costs: By storing smaller instances, you can cut down expenses on Amazon Elastic Container Registry (ECR).
Minimize EBS Volumes on EKS Nodes: Keeping smaller volumes on Amazon Elastic Kubernetes Service (EKS) nodes helps in cost reduction.
Accelerate Container Launch Times: Faster container launch times ultimately lead to quicker task execution.
Optimization Methods:
Use the Right Image: Employ the most efficient image for your task; for instance, Alpine may be sufficient in certain scenarios.
Remove Unnecessary Data: Trim excess data and packages from the image.
Multi-Stage Image Builds: Utilize multi-stage image builds by employing multiple FROM instructions.
Use .dockerignore: Prevent the addition of unnecessary files by employing a .dockerignore file.
Reduce Instruction Count: Minimize the number of instructions, as each instruction adds extra weight to the hash. Group instructions using the && operator.
Layer Consolidation: Move frequently changing layers to the end of the Dockerfile.
These optimization methods can contribute to faster image loading, reduced storage costs, and improved overall performance in containerized environments.
Use Load Balancers to Save on IP Address Costs
Potential Savings: depends on the workload
Starting from February 2024, Amazon begins billing for each public IPv4 address. Employing a load balancer can help save on IP address costs by using a shared IP address, multiplexing traffic between ports, load balancing algorithms, and handling SSL/TLS.
By consolidating multiple services and instances under a single IP address, you can achieve cost savings while effectively managing incoming traffic.
Optimize Database Services for Higher Performance (MySQL, PostgreSQL, etc.)
Potential Savings: depends on the workload
AWS provides default settings for databases that are suitable for average workloads. If a significant portion of your monthly bill is related to AWS RDS, it's worth paying attention to parameter settings related to databases.
Some of the most effective settings may include:
Use Database-Optimized Instances: For example, instances in the R5 or X1 class are optimized for working with databases.
Choose Storage Type: General Purpose SSD (gp2) is typically cheaper than Provisioned IOPS SSD (io1/io2).
AWS RDS Auto Scaling: Automatically increase or decrease storage size based on demand.
If you can optimize the database workload, it may allow you to use smaller instance sizes without compromising performance.
Regularly Update Instances for Better Performance and Lower Costs
Potential Savings: Minor
As Amazon deploys new servers in their data processing centers to provide resources for running more instances for customers, these new servers come with the latest equipment, typically better than previous generations. Usually, the latest two to three generations are available. Make sure you update regularly to effectively utilize these resources.
Take Memory Optimize instances, for example, and compare the price change based on the relevance of one instance over another. Regular updates can ensure that you are using resources efficiently.
InstanceGenerationDescriptionOn-Demand Price (USD/hour)m6g.large6thInstances based on ARM processors offer improved performance and energy efficiency.$0.077m5.large5thGeneral-purpose instances with a balanced combination of CPU and memory, designed to support high-speed network access.$0.096m4.large4thA good balance between CPU, memory, and network resources.$0.1m3.large3rdOne of the previous generations, less efficient than m5 and m4.Not avilable
Use RDS Proxy to reduce the load on RDS
Potential for savings: Low
RDS Proxy is used to relieve the load on servers and RDS databases by reusing existing connections instead of creating new ones. Additionally, RDS Proxy improves failover during the switch of a standby read replica node to the master.
Imagine you have a web application that uses Amazon RDS to manage the database. This application experiences variable traffic intensity, and during peak periods, such as advertising campaigns or special events, it undergoes high database load due to a large number of simultaneous requests.
During peak loads, the RDS database may encounter performance and availability issues due to the high number of concurrent connections and queries. This can lead to delays in responses or even service unavailability.
RDS Proxy manages connection pools to the database, significantly reducing the number of direct connections to the database itself.
By efficiently managing connections, RDS Proxy provides higher availability and stability, especially during peak periods.
Using RDS Proxy reduces the load on RDS, and consequently, the costs are reduced too.
Define the storage policy in CloudWatch
Potential for savings: depends on the workload, could be significant.
The storage policy in Amazon CloudWatch determines how long data should be retained in CloudWatch Logs before it is automatically deleted.
Setting the right storage policy is crucial for efficient data management and cost optimization. While the "Never" option is available, it is generally not recommended for most use cases due to potential costs and data management issues.
Typically, best practice involves defining a specific retention period based on your organization's requirements, compliance policies, and needs.
Avoid using an undefined data retention period unless there is a specific reason. By doing this, you are already saving on costs.
Configure AWS Config to monitor only the events you need
Potential for savings: depends on the workload
AWS Config allows you to track and record changes to AWS resources, helping you maintain compliance, security, and governance. AWS Config provides compliance reports based on rules you define. You can access these reports on the AWS Config dashboard to see the status of tracked resources.
You can set up Amazon SNS notifications to receive alerts when AWS Config detects non-compliance with your defined rules. This can help you take immediate action to address the issue. By configuring AWS Config with specific rules and resources you need to monitor, you can efficiently manage your AWS environment, maintain compliance requirements, and avoid paying for rules you don't need.
Use lifecycle policies for S3 and ECR
Potential for savings: depends on the workload
S3 allows you to configure automatic deletion of individual objects or groups of objects based on specified conditions and schedules. You can set up lifecycle policies for objects in each specific bucket. By creating data migration policies using S3 Lifecycle, you can define the lifecycle of your object and reduce storage costs.
These object migration policies can be identified by storage periods. You can specify a policy for the entire S3 bucket or for specific prefixes. The cost of data migration during the lifecycle is determined by the cost of transfers. By configuring a lifecycle policy for ECR, you can avoid unnecessary expenses on storing Docker images that you no longer need.
Switch to using GP3 storage type for EBS
Potential for savings: 20%
By default, AWS creates gp2 EBS volumes, but it's almost always preferable to choose gp3 — the latest generation of EBS volumes, which provides more IOPS by default and is cheaper.
For example, in the US-east-1 region, the price for a gp2 volume is $0.10 per gigabyte-month of provisioned storage, while for gp3, it's $0.08/GB per month. If you have 5 TB of EBS volume on your account, you can save $100 per month by simply switching from gp2 to gp3.
Switch the format of public IP addresses from IPv4 to IPv6
Potential for savings: depending on the workload
Starting from February 1, 2024, AWS will begin charging for each public IPv4 address at a rate of $0.005 per IP address per hour. For example, taking 100 public IP addresses on EC2 x $0.005 per public IP address per month x 730 hours = $365.00 per month.
While this figure might not seem huge (without tying it to the company's capabilities), it can add up to significant network costs. Thus, the optimal time to transition to IPv6 was a couple of years ago or now.
Here are some resources about this recent update that will guide you on how to use IPv6 with widely-used services — AWS Public IPv4 Address Charge.
Collaborate with AWS professionals and partners for expertise and discounts
Potential for savings: ~5% of the contract amount through discounts.
AWS Partner Network (APN) Discounts: Companies that are members of the AWS Partner Network (APN) can access special discounts, which they can pass on to their clients. Partners reaching a certain level in the APN program often have access to better pricing offers.
Custom Pricing Agreements: Some AWS partners may have the opportunity to negotiate special pricing agreements with AWS, enabling them to offer unique discounts to their clients. This can be particularly relevant for companies involved in consulting or system integration.
Reseller Discounts: As resellers of AWS services, partners can purchase services at wholesale prices and sell them to clients with a markup, still offering a discount from standard AWS prices. They may also provide bundled offerings that include AWS services and their own additional services.
Credit Programs: AWS frequently offers credit programs or vouchers that partners can pass on to their clients. These could be promo codes or discounts for a specific period.
Seek assistance from AWS professionals and partners. Often, this is more cost-effective than purchasing and configuring everything independently. Given the intricacies of cloud space optimization, expertise in this matter can save you tens or hundreds of thousands of dollars.
More valuable tips for optimizing costs and improving efficiency in AWS environments:
Scheduled TurnOff/TurnOn for NonProd environments: If the Development team is in the same timezone, significant savings can be achieved by, for example, scaling the AutoScaling group of instances/clusters/RDS to zero during the night and weekends when services are not actively used.
Move static content to an S3 Bucket & CloudFront: To prevent service charges for static content, consider utilizing Amazon S3 for storing static files and CloudFront for content delivery.
Use API Gateway/Lambda/Lambda Edge where possible: In such setups, you only pay for the actual usage of the service. This is especially noticeable in NonProd environments where resources are often underutilized.
If your CI/CD agents are on EC2, migrate to CodeBuild: AWS CodeBuild can be a more cost-effective and scalable solution for your continuous integration and delivery needs.
CloudWatch covers the needs of 99% of projects for Monitoring and Logging: Avoid using third-party solutions if AWS CloudWatch meets your requirements. It provides comprehensive monitoring and logging capabilities for most projects.
Feel free to reach out to me or other specialists for an audit, a comprehensive optimization package, or just advice.
In today's digital world, businesses rely heavily on their IT infrastructure to operate effectively. Any downtime or performance issues can result in lost productivity, revenue, and brand reputation. This is where infrastructure monitoring comes in.
What Is Infrastructure Monitoring?
Infrastructure monitoring plays a vital role in collecting and analyzing data from various components of a tech stack, including servers, virtual machines, containers, and databases. This data is then analyzed to provide insights into the health and performance of the infrastructure. The tools also provide alerts and notifications when issues are detected, enabling IT teams to take corrective action.
By utilizing infrastructure monitoring practices, organizations can proactively identify and address issues that may impact users and mitigate risks of potential losses in terms of time and money.
Modern software applications must be reliable and resilient to meet clients' needs worldwide. Companies like Amazon are making an average of $14,900 every second in sales, therefore, even 30 seconds of downtime would have cost them thousands of dollars.
For software to keep up with demand, infrastructure monitoring is crucial. It allows teams to collect operational and performance data from their systems to diagnose, fix, and improve them.
Monitoring often includes physical servers, virtual machines, databases, network infrastructure, IoT devices and more. Full-featured monitoring systems can also alert you when something is wrong in your infrastructure.
In this article, we'll explain how infrastructure monitoring works, its primary use cases, typical challenges, use cases and best practices of infrastructure monitoring.
Infrastructure Monitoring: What Should You Monitor?
Infrastructure monitoring is essential for tracking the availability, performance, and resource utilization of backend components, including hosts and containers. By installing monitoring agents on hosts, engineers collect infrastructure metrics and send them to a monitoring platform for analysis. This allows organizations to ensure the availability and proper functioning of critical services for users.
Identifying which parts of your infrastructure to monitor depends on factors such as SLA requirements, system location, and complexity. Google has its Four Golden Signals (latency, traffic, errors, and saturation), which can help your team narrow down important metrics (review the official Google Cloud Monitoring Documentation). AWS, Azure also provides its best practices for monitoring.
Common System Monitoring Metrics Include
Sеrvеrs: Monitor sеrvеr CPU usagе, mеmory usagе, disk I/O, and nеtwork traffic.
Nеtwork: Monitor nеtwork latеncy, packеt loss, bandwidth usagе, and throughput.
Applications: Monitor application rеsponsе timе, еrror ratеs, and transaction volumеs.
Databasеs: Monitor databasе pеrformancе, including quеry rеsponsе timе and transaction throughput.
Sеcurity: Monitor sеcurity еvеnts, including failеd logins, unauthorizеd accеss attеmpts, and malwarе infеctions.
This list of metrics for each system isn't exhaustive. Rather, you should determine your business requirements and expectations for different parts of the infrastructure. These baselines will help you better understand what metrics should be monitored and establish guidelines for setting alerting thresholds.
Use Cases of Infrastructure Monitoring
Operations teams, DevOps engineers and SREs (site reliability engineers) generally use infrastructure monitoring to:
1. Troublеshoot pеrformancе issues
Infrastructure monitoring is instrumental in preventing incidents from escalating into outages. By using an infrastructure monitoring tool, engineers can quickly identify failed or latency-affected hosts, containers, or other backend components during an incident. In the event of an outage, they can pinpoint the responsible hosts or containers, facilitating the resolution of support tickets and addressing customer-facing issues effectively.
2. Optimize infrastructure use
Proactive cost reduction is another significant benefit of infrastructure monitoring. By analyzing the monitoring data, organizations can identify overprovisioned or underutilized servers and take necessary actions such as decommissioning them or consolidating workloads onto fewer hosts. Furthermore, infrastructure monitoring enables the redistribution of requests from underprovisioned hosts to overprovisioned ones, ensuring balanced utilization across the infrastructure.
Learn from this case study how Gart helped with AWS Cost Optimization and CI/CD Automation for the Entertainment Software Platform.
3. Forecast backend requirements
Historical infrastructure metrics provide valuable insights for predicting future resource consumption. For example, if certain hosts were found to be underprovisioned during a recent product launch, organizations can leverage this information to allocate additional CPU and memory resources during similar events. By doing so, they reduce strain on critical systems, minimizing the risk of revenue-draining outages.
4. Configuration assurancе tеsting
One of the prominent use cases of infrastructure monitoring is enhancing the testing process. Small and mid-size businesses utilize infrastructure monitoring to ensure the stability of their applications during or after feature updates. By monitoring the infrastructure, they can proactively detect any issues that may arise and take corrective measures, ensuring that their applications remain robust and reliable.
Ready to level up your Infrastructure Management? Contact us today and let our experienced team empower your organization with streamlined processes, automation, and continuous integration.
Infrastructure Monitoring Best Practices
Infrastructure monitoring best practices involve a combination of key strategies and techniques to ensure efficient and effective monitoring of your infrastructure. Here are some recommended practices to consider:
1. Opt for automation
To enhance Mean Time to Resolution (MTTR), leverage from the best infrastructure monitoring tools that offer automation capabilities. By adopting AIOps for infrastructure monitoring, you can achieve comprehensive end-to-end observability across your entire stack, facilitating quicker issue detection and resolution.
3. Install the agent across your entire environment
Rather than installing the monitoring agent on specific applications and their supporting environments, it is advisable to deploy it across your entire production environment. This approach provides a more holistic view of your infrastructure's health and performance, enabling you to make informed decisions based on comprehensive data.
Google Ops Agent Overview | AWS Systems Manager OpsCenter
3. Set up and prioritize alerts
Given the potential for numerous alerts in an infrastructure monitoring system, it's crucial to prioritize them effectively. As an SRE, focus on identifying and addressing the most critical alerts promptly, ensuring that essential issues are promptly resolved while minimizing distractions caused by less urgent notifications.
Google Cloud Monitoring Alerting Policy | AWS Alerting Policy
4. Create custom dashboards
Take advantage of the customization options available in infrastructure monitoring tools. Tools like Middleware offer the ability to create custom dashboards tailored to specific roles and requirements. By leveraging these capabilities, you can streamline your monitoring experience, presenting relevant information to different stakeholders in a clear and accessible manner.
5. Test your tools
Before integrating new applications or tools for infrastructure monitoring, testing is vital. This practice ensures that the monitoring setup functions correctly and all components are working as expected. By performing test runs, you can identify and address any potential issues before they impact your live environment.
6. Configure native integrations
If your infrastructure includes AWS resources, it is beneficial to configure native integrations with your infrastructure monitoring solution. For example, setting up the AWS EC2 integration allows for the automatic import of tags and metadata associated with your instances. This integration facilitates data filtering, provides real-time views, and enables scalability in line with your cloud infrastructure.
7. Activate integrations for comprehensive monitoring
Extend your infrastructure monitoring beyond CPU, memory, and storage utilization. Activate pre-configured integrations with services such as AWS CloudWatch, AWS Billing, AWS ELB, MySQL, NGINX, and more. These integrations enable monitoring of the services supporting your hosts and provide access to dedicated dashboards for each integrated service.
8. Create filter set for efficient resource management
Utilize the filter set functionality offered by your monitoring solution to organize hosts, cluster roles, and other resources based on relevant criteria. By applying filters based on imported EC2 tags or custom tags, you can optimize resource monitoring, proactively detect and resolve issues, and gain a comprehensive overview of your infrastructure's performance.
9. Set up alert conditions based on filtered data
Instead of creating individual alert conditions for each host, leverage the filtering capabilities to create alert conditions based on filtered data. This approach automates the addition and removal of hosts from the alert conditions as they match the specified tags. By aligning alerts with your infrastructure's tags, you ensure scalability and efficient alert management.
Our Monitoring Case Study
Wrapping Up
In conclusion, infrastructure monitoring is critical for ensuring the performance and availability of IT infrastructure. By following best practices and partnering with a trusted provider like Gart, organizations can detect issues proactively, optimize performance and be sure the IT infrastructure is 99,9% available, robust, and meets your current and future business needs. Leverage external expertise and unlock the full potential of your IT infrastructure through IT infrastructure outsourcing!
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In the relentless pursuit of success, businesses often find themselves caught in the whirlwind of IT infrastructure management. The demands of keeping up with ever-evolving technologies, maintaining robust security, and optimizing operations can feel like an uphill battle. But what if I told you there's a liberating solution that could lift this weight off your shoulders and propel your organization to new heights?
Definition of Infrastructure Outsourcing
IT infrastructure outsourcing refers to the practice of delegating the management and operation of an organization's information technology (IT) infrastructure to external service providers. Instead of maintaining and managing the infrastructure in-house, companies opt to outsource these responsibilities to specialized third-party vendors.
IT infrastructure includes various components such as servers, networks, storage systems, data centers, and other hardware and software resources essential for supporting and running an organization's IT operations. By outsourcing their IT infrastructure, companies can leverage the expertise and resources of external providers to handle tasks like hardware procurement, installation, configuration, maintenance, security, and ongoing management.
Benefits of IT Infrastructure Outsourcing
Outsourcing IT infrastructure brings numerous benefits that contribute to business growth and success.
Manage cloud complexity
Over the past two years, there’s been a surge in cloud commitment, with more than 86% of companies reporting an increase in cloud initiatives.
Implementing cloud initiatives requires specialized skill sets and a fresh approach to achieve comprehensive transformation. Often, IT departments face skill gaps on the technical front, lacking experience with the specific tools employed by their chosen cloud provider.
Moreover, many organizations lack the expertise needed to develop a cloud strategy that fully harnesses the potential of leading platforms such as AWS or Microsoft Azure, utilizing their native tools and services.
Experienced providers of infrastructure management possess the necessary expertise to aid enterprises in selecting and configuring cloud infrastructure that can effectively meet and swiftly adapt to evolving business requirements.
Access to Specialized Expertise
Outsourcing IT infrastructure allows businesses to tap into the expertise of professionals who specialize in managing complex IT environments. As a CTO, I understand the importance of having a skilled team that can handle diverse technology domains, from network management and system administration to cybersecurity and cloud computing. By outsourcing, organizations can leverage the specialized knowledge and experience of professionals who stay up-to-date with the latest industry trends and best practices. This expertise brings immense value in optimizing infrastructure performance, ensuring scalability, and implementing robust security measures.
"Gart finished migration according to schedule, made automation for infrastructure provisioning, and set up governance for new infrastructure. They continue to support us with Azure. They are professional and have a very good technical experience"
Under NDA, Software Development Company
Enhanced Focus on Core Competencies
Outsourcing IT infrastructure liberates businesses from the burden of managing complex technical operations, allowing them to focus on their core competencies. I firmly believe that organizations thrive when they can allocate their resources towards activities that directly contribute to their strategic goals. By entrusting the management and maintenance of IT infrastructure to a trusted partner like Gart, businesses can redirect their internal talent and expertise towards innovation, product development, and customer-centric initiatives.
For example, SoundCampaign, a company focused on their core business in the music industry, entrusted Gart with their infrastructure needs.
We upgraded the product infrastructure, ensuring that it was scalable, reliable, and aligned with industry best practices. Gart also assisted in migrating the compute operations to the cloud, leveraging its expertise to optimize performance and cost-efficiency.
One key initiative undertaken by Gart was the implementation of an automated CI/CD (Continuous Integration/Continuous Deployment) pipeline using GitHub. This automation streamlined the software development and deployment processes for SoundCampaign, reducing manual effort and improving efficiency. It allowed the SoundCampaign team to focus on their core competencies of building and enhancing their social networking platform, while Gart handled the intricacies of the infrastructure and DevOps tasks.
"They completed the project on time and within the planned budget. Switching to the new infrastructure was even more accessible and seamless than we expected."
Nadav Peleg, Founder & CEO at SoundCampaign
Cost Savings and Budget Predictability
Managing an in-house IT infrastructure can be a costly endeavor. By outsourcing, businesses can reduce expenses associated with hardware and software procurement, maintenance, upgrades, and the hiring and training of IT staff.
As an outsourcing provider, Gart has already made the necessary investments in infrastructure, tools, and skilled personnel, enabling us to provide cost-effective solutions to our clients. Moreover, outsourcing IT infrastructure allows businesses to benefit from predictable budgeting, as costs are typically agreed upon in advance through service level agreements (SLAs).
"We were amazed by their prompt turnaround and persistency in fixing things! The Gart's team were able to support all our requirements, and were able to help us recover from a serious outage."
Ivan Goh, CEO & Co-Founder at BeyondRisk
Scalability and Flexibility
Business needs can change rapidly, requiring organizations to scale their IT infrastructure up or down accordingly. With outsourcing, companies have the flexibility to quickly adapt to these changing requirements. For example, Gart's clients have access to scalable resources that can accommodate their evolving needs.
Whether it's expanding server capacity, optimizing network bandwidth, or adding storage, outsourcing providers can swiftly adjust the infrastructure to support business growth or handle seasonal variations. This scalability and flexibility provide businesses with the agility necessary to respond to market dynamics and seize growth opportunities.
Robust Security Measures
Data security is a paramount concern for businesses in today's digital landscape. With outsourcing, organizations can benefit from the security expertise and technologies provided by the outsourcing partner. As the CTO of Gart, I prioritize the implementation of robust security measures, including advanced threat detection systems, data encryption, access controls, and proactive monitoring. We ensure that our clients' sensitive information remains protected from cyber threats and unauthorized access.
"The result was exactly as I expected: analysis, documentation, preferred technology stack etc. I believe these guys should grow up via expanding resources. All things I've seen were very good."
Grigoriy Legenchenko, CTO at Health-Tech Company
Piyush Tripathi About the Benefits of Outsourcing Infrastructure
Looking for answers to the question of IT infrastructure outsourcing pros and cons, we decided to seek the expert opinions on the matter. We reached out to Piyush Tripathi, who has extensive experience in infrastructure outsourcing.
Introducing the Expert
Piyush Tripathi is a highly experienced IT professional with over 10 years of industry experience. For the past ten years, he has been knee-deep in designing and maintaining database systems for significant projects. In 2020, he joined the core messaging team at Twilio and found himself at the heart of the fight against COVID-19. He played a crucial role in preparing the Twilio platform for the global vaccination program, utilizing innovative solutions to ensure scalability, compliance, and easy integration with cloud providers.
What are the potential benefits of outsourcing infrastructure?
High scale: I was leading Twilio covid 19 platform to support contact tracing. This was a fairly quick announcement as state of New York was planning to use it to help contact trace millions of people in the state and store their contact details. We needed to scale and scale fast. Doing it internally would have been very challanaging as demand could have spiked and our response could not have been swift enough to respond. Outsourcing it to cloud provider helped mitigate that, we opted for automatic scaling which added resources in infra as soon as demand increased. This gave us peace of mind that even when we were sleeping, people would continue to get contacted and vaccinated.
What expertise and capabilities would you can lose or gain by outsourcing our infrastructure?
Loose:
Infra domain knowledge: if you outsource infra, your team could loose knowledge of setting up this kind of technology. for example, during covid 19, I moved the contact database from local to cloud so overtime I anticipate that next teams would loose context of setting up and troubleshooting database internals since they will only use it as a consumer.
Control: since you outsource infra, data, business logic and access control will reside in the provider. in rare cases, for example using this data for ML training or advertising analysis, you may not know how your data or information is being used.
Gain:
Lower maintenance: since you don't have to keep an whole team, you can reduce maintenance overhead. For example during my project in 2020, I was trying to increase adoption of Sendgrid SDK program, we were able to send 50 Billion emails without much maintenance hassle. The reason was that I was working on moving a lot of data pipelines, MTA components to cloud and it reduce a lot of maintenance.
High scale: this is the primary benefits, traditional infrastructure needs people to plan and provision infrastructure in advance. when I lead the project to move our database to cloud, it was able to support storing huge amount of data. In addition, it would with automatically scale up and down depending on the demand. This was huge benefit for us because we didn't have to worry that our provisioned infra may not be enough for sudden spikes in the demand. Due to this, we were able to help over 100+ million people worldwide vaccinate
What are the potential implications for internal IT team if they choose to outsource infrastructure?
Reduced Headcount: Outsourcing infrastructure could potentially decrease the need for staff dedicated to its maintenance and control, thus leading to a reduction in headcount within the internal IT team.
Increased Collaboration: If issues arise, the internal IT team will need to collaborate with the external vendor and abide by their policies. This process can create a new dynamic of interaction that the team must adapt to.
Limited Control: The IT team may face additional challenges in debugging issues or responding to audits due to the increased bureaucracy introduced by the vendor. This lack of direct control may impact the team's efficiency and response times.
The Process for Outsourcing IT Infrastructure
Gart aims to deliver a tailored and efficient outsourcing solution for the client's IT infrastructure needs. The process encompasses thorough analysis, strategic planning, implementation, and ongoing support, all aimed at optimizing the client's IT operations and driving their business success.
Free Consultation
Project Technical Audit
Realizing Project Targets
Implementation
Documentation Updates & Reports
Maintenance & Tech Support
The process begins with a free consultation where Gart engages with the client to understand their specific IT infrastructure requirements, challenges, and goals. This initial discussion helps establish a foundation for collaboration and allows Gart to gather essential information for the project.
Than Gart conducts a comprehensive project technical audit. This involves a detailed analysis of the client's existing IT infrastructure, systems, and processes. The audit helps identify strengths, weaknesses, and areas for improvement, providing valuable insights to tailor the outsourcing solution.
Based on the consultation and technical audit, we here at Gart work closely with the client to define clear project targets. This includes establishing specific objectives, timelines, and deliverables that align with the client's business objectives and IT requirements.
Implementation phase involves deploying the necessary resources, tools, and technologies to execute the outsourcing solution effectively. Our experienced professionals manage the transition process, ensuring a seamless integration of the outsourced IT infrastructure into the client's operations.
Throughout the outsourcing process, Gart maintains comprehensive documentation to track progress, changes, and updates. Regular reports are generated and shared with the client, providing insights into project milestones, performance metrics, and any relevant recommendations. This transparent approach allows for effective communication and ensures that the project stays on track.
Gart provides ongoing maintenance and technical support to ensure the smooth operation of the outsourced IT infrastructure. This includes proactive monitoring, troubleshooting, and regular maintenance activities. In case of any issues or concerns, Gart's dedicated support team is available to provide timely assistance and resolve technical challenges.
Evaluating the Outsourcing Vendor: Ensuring Reliability and Compatibility
When evaluating an outsourcing vendor, it is important to conduct thorough research to ensure their reliability and suitability for your IT infrastructure outsourcing needs. Here are some steps to follow during the vendor checkup process:
Google Search
Begin by conducting a Google search of the outsourcing vendor's name. Explore their website, social media profiles, and any relevant online presence. A well-established outsourcing vendor should have a professional website that showcases their services, expertise, and client testimonials.
Industry Platforms and Directories
Check reputable industry platforms and directories such as Clutch and GoodFirms. These platforms provide verified reviews and ratings from clients who have worked with the outsourcing vendor. Assess their overall rating, read client reviews, and evaluate their performance based on past projects.
Read more: Gart Solutions Achieves Dual Distinction as a Clutch Champion and Global Winner
Freelance Platforms
If the vendor operates on freelance platforms like Upwork, review their profile and client feedback. Assess their ratings, completion rates, and feedback from previous clients. This can provide insights into their professionalism, technical expertise, and adherence to deadlines.
Online Presence
Explore the vendor's presence on social media platforms such as Facebook, LinkedIn, and Twitter. Assess their activity, engagement, and the quality of content they share. A strong online presence indicates their commitment to transparency and communication.
Industry Certifications and Partnerships
Check if the vendor holds any relevant industry certifications, partnerships, or affiliations.
By following these steps, you can gather comprehensive information about the outsourcing vendor's reputation, credibility, and capabilities. It is important to perform due diligence to ensure that the vendor aligns with your business objectives, possesses the necessary expertise, and can be relied upon to successfully manage your IT infrastructure outsourcing requirements.
Why Ukraine is an Attractive Outsourcing Destination for IT Infrastructure
Ukraine has emerged as a prominent player in the global IT industry. With a thriving technology sector, it has become a preferred destination for outsourcing IT infrastructure needs.
Ukraine is renowned for its vast pool of highly skilled IT professionals. The country produces a significant number of IT graduates each year, equipped with strong technical expertise and a solid educational background. Ukrainian developers and engineers are well-versed in various technologies, making them capable of handling complex IT infrastructure projects with ease.
One of the major advantages of outsourcing IT infrastructure to Ukraine is the cost-effectiveness it offers. Compared to Western European and North American countries, the cost of IT services in Ukraine is significantly lower while maintaining high quality. This cost advantage enables businesses to optimize their IT budgets and allocate resources to other critical areas.
English proficiency is widespread among Ukrainian IT professionals, making communication and collaboration seamless for international clients. This proficiency eliminates language barriers and ensures effective knowledge transfer and project management. Additionally, Ukraine shares cultural compatibility with Western countries, enabling smoother integration and understanding of business practices.
Long Story Short
IT infrastructure outsourcing empowers organizations to streamline their IT operations, reduce costs, enhance performance, and leverage external expertise, allowing them to focus on their core competencies and achieve their strategic goals.
Ready to unlock the full potential of your IT infrastructure through outsourcing? Reach out to us and let's embark on a transformative journey together!
