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Modernization of
your AWS based
SaaS platform
AWS User Groups of Florida
Fort Lauderdale
August 21ST
, 2024
Patrick Hannah
CTO
CloudHesive
Jorge Rodriguez
Cloud Engineer – Lead
CloudHesive
Where you may have started
Small team
Building an app
To get customers
Now you have customers
And those customers have unstated, but expected, expectations
Customers are not always the ones paying for the service
Considerations
Product/Development
Responsiveness
Accuracy
Allocation
Security and Compliance
Libraries
Infrastructure
Code
Intellectual Property
Events
Vendors, Licenses, SaaS, Software, NF Systems (DevOps), People Backgrounds, Training, Phishing – Corporate and App
Infrastructure
Availability
Performance – Sync
Performance – Async
Customer
Trials
Conversions
Attrition
Growth
NPS
Financial
Budget to Plan
Margin
Vendors, Licenses, SaaS, Software, NF Systems (DevOps), People Backgrounds, Training, Phishing People – Corporate and App
Sell your product on AWS
Listing
Subscription
Metering
Market your product on AWS
Sets of Challenges
Infosec
Sprawl (Contracts, Software, Licenses, Services, Hardware), Auth, Unique
Risks/Threats
Data
Generative AI
Machine to Machine
Platforming
Compute is a commodity
Containerization as a default
Serverless as a way forward
Stack consolidation (Stackolidation)
Well Architected Framework
Pillars
Operational Excellence
Security
Reliability
Performance Efficiency
Cost Optimization
Sustainability
Lenses
SaaS
Security Frameworks
SOC ½ Type ½
PCI DSS
FedRAMP / CMMC
HIPAA / HITRUST
Information Security
Information
Risks
Policies
Procedures
Controls
Assessment/Audit/Testing
People
Onboarding, Offboarding, Change
Permissions: Privileged Access, Business Need
Credentials: Strength and Factors
Training
Background
Phishing
Vendors
Software/Services
Shared Responsibility Model
What’s do customers often miss?
Ingress Security Group
Egress Security Group (Internet)
Security Groups to/from other Services (AWS and On Premises)
Security of the Environment
Security of supporting servers (Active Directory)
Security of other network-accessible resources (Web Servers)
User Permissions (Non-Local Admin, Local Admin, Global Admin)
Access of the environment (PKI Cert, PKI PIV, Network, MFA)
The rest of the AWS Account? The rest of the AWS Account! (Services, APIs)
The many ways to run software
Bare Metal
Not AWS
EC2
Virtual
EC2
Container
EC2
ECS
EKS
Fargate
Serverless
Lambda
Cloud Workload Lifecycle Management
Workload
Architecture
Monitoring
Automation
Processes
Integration
Workload + Architecture Drives Service Selection
Containers
Container File
Versioning
Multi-threaded/Single-task
Minutes to Days
Per VM/Per Hour
Virtual Machines
AMI
Patching
Multi-threaded/Multi-task
Hours to Months
Per VM/Per Hour
Functions/Services
Code
Versioning
Single-threaded/Single-task
Microseconds to Seconds
Per Memory/Second/Per Request
Automation + Processes Drives Lifecycle Management Selection
Organizations
Cross-Account Asset Management + Governance
Control Tower
Account vending/default standardization
Service Catalog
Workload platform vending/default standardization
CloudFormation
IaC
Ephemeral Compute + API Managed Data/Control Plane for Persistence Tiers
Hands off/Lights out
Processes
Patching
Backup/Restore Testing
Failover Testing (AZ)
Credential Rotation/Credential Audit
Event Response Testing
Incident Response Testing
Performance Testing
Performance/Cost Review
Vulnerability/Penetration Testing
Customer Example - Architecture
Notable percentage of Managed Services incidents could have been
avoided through up-front architecture
~9 EC2 instances (NGINX, Front End, Back End, Database) = 4
hours/instance/month in caring for/feeding is 108,000.00 USD/Year @ 250.00
USD/Hour
That’s customer cost, what about opportunity cost?
Opportunity for tremendous customer value (customer saves 108,00.00
USD/Year) and provides us an opportunity to be more strategic with our partner
(moving up the stack)
What can we do? None of the above systems need to be servers
Increases the customers we can touch without a direct correlation to headcount
Customer Example - Monitoring
Previous Example entails hundreds of monitorable events and
metrics, with a composite required to understand state
Interesting events feed into event driven automation
Eliminate the instances and changes focus monitoring on
customer outcomes
Increasing the scope of automated data collection eliminates manual
checking but introduces complex correlation engines (people), which
Outcome based monitoring minimizes the need for/increases positive
customer sentiment
Customer Example - Automation
Previous example also has numerous automation touch points
(AWS Services, Operating System, Services, etc.)
A move to serverless drops this number to practically none
Automation skills shifted to development automation
Provides a consistent experience intra and inter customer, and again
increases the value of our impact to our customers without a direct tie to
headcount
Revenue to Usage to Cost Attribution
Revenue
Hierarchy of Needs
Usage
Typically tied to revenue if you are offering a SaaS based product
Cost Attribution
Labor
Capitalized
Software
Opex vs. Capex
Services
Third Party
Okayish
AWS
With serverless (or well managed servers) margin should be linear, or better with scale of usage
Optimization at Scale
Savings Plans
Common Opportunities
Unused Resources (All the time/some of the time)
Oversized Resources (Undersized Resources)
Inappropriate Resources (EC2 versus Fargate)
Discounting Schemes
Priority Funnel
Inappropriate Resources (EC2 versus Fargate)
Rightsizing (Compute Optimizer/CloudWatch Memory) – EC2 Unused/Underused
EC2-Other (EBS Unused, Underused)
Trusted Advisor (EBS Unused)
Egress
Well Architected Pillars
Savings Plans (Compute)
Reserved Instances (RDS, ElastiCache)
Discount/Other Commitment Schemes
Available Discounting Schemes
Enterprise Agreement – Customer
Customer
Enterprise Agreement – Service
Org - CloudFront
Service Tiering
Org
Savings Plans
EC2, Lambda, Fargate
Reserved Instances
EC2, RDS, Elasticache
Sustainability in Technology
Industry Goals
AWS Goals – Water Positive 2030, 100% Renewable Energy 2025
Partner Impact – 1 of 13 domains in MSP Audit focus on sustainability
Industry Impact – 1 of 6 pillars in Well Architected Framework focus on sustainability
Customer Impact – Proactive (planning) and reactive (actual consumption) visibility into a workload’s Carbon Footprint
Organizational Goals
Our Goals – Influence and impact our customers through leadership
Our Unique Position
Cross section of customers
Influenced Impact
Direct Impact
Sustainability in technology starts with optimization (cost, performance, etc.) – it doesn’t end there
Defining operational parameters – how “fast” does ”it” need to be?
Service selection (which can be influenced by/influences cost optimization objectives) – running 24 hours a day
servicing work-day application
Conclusion
AWS continues to increase the breadth and depth of their service offerings
I wish it did that
I didn’t know I needed that
It’s easier to get started today than it was yesterday
Simplicity
Support
Cost
Conclusion
Consider sustainability when choosing an approach – Maslow’s Hammer
Don’t forget about team enablement
Limited by your imagination and ability to execute
Thank you!

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Modernization of your AWS based SaaS platform - Short

  • 1. Modernization of your AWS based SaaS platform AWS User Groups of Florida Fort Lauderdale August 21ST , 2024 Patrick Hannah CTO CloudHesive Jorge Rodriguez Cloud Engineer – Lead CloudHesive
  • 2. Where you may have started Small team Building an app To get customers Now you have customers And those customers have unstated, but expected, expectations Customers are not always the ones paying for the service
  • 3. Considerations Product/Development Responsiveness Accuracy Allocation Security and Compliance Libraries Infrastructure Code Intellectual Property Events Vendors, Licenses, SaaS, Software, NF Systems (DevOps), People Backgrounds, Training, Phishing – Corporate and App Infrastructure Availability Performance – Sync Performance – Async Customer Trials Conversions Attrition Growth NPS Financial Budget to Plan Margin Vendors, Licenses, SaaS, Software, NF Systems (DevOps), People Backgrounds, Training, Phishing People – Corporate and App
  • 4. Sell your product on AWS Listing Subscription Metering
  • 6. Sets of Challenges Infosec Sprawl (Contracts, Software, Licenses, Services, Hardware), Auth, Unique Risks/Threats Data Generative AI Machine to Machine Platforming Compute is a commodity Containerization as a default Serverless as a way forward Stack consolidation (Stackolidation)
  • 7. Well Architected Framework Pillars Operational Excellence Security Reliability Performance Efficiency Cost Optimization Sustainability Lenses SaaS
  • 8. Security Frameworks SOC ½ Type ½ PCI DSS FedRAMP / CMMC HIPAA / HITRUST
  • 9. Information Security Information Risks Policies Procedures Controls Assessment/Audit/Testing People Onboarding, Offboarding, Change Permissions: Privileged Access, Business Need Credentials: Strength and Factors Training Background Phishing Vendors Software/Services
  • 11. What’s do customers often miss? Ingress Security Group Egress Security Group (Internet) Security Groups to/from other Services (AWS and On Premises) Security of the Environment Security of supporting servers (Active Directory) Security of other network-accessible resources (Web Servers) User Permissions (Non-Local Admin, Local Admin, Global Admin) Access of the environment (PKI Cert, PKI PIV, Network, MFA) The rest of the AWS Account? The rest of the AWS Account! (Services, APIs)
  • 12. The many ways to run software Bare Metal Not AWS EC2 Virtual EC2 Container EC2 ECS EKS Fargate Serverless Lambda
  • 13. Cloud Workload Lifecycle Management Workload Architecture Monitoring Automation Processes Integration
  • 14. Workload + Architecture Drives Service Selection Containers Container File Versioning Multi-threaded/Single-task Minutes to Days Per VM/Per Hour Virtual Machines AMI Patching Multi-threaded/Multi-task Hours to Months Per VM/Per Hour Functions/Services Code Versioning Single-threaded/Single-task Microseconds to Seconds Per Memory/Second/Per Request
  • 15. Automation + Processes Drives Lifecycle Management Selection Organizations Cross-Account Asset Management + Governance Control Tower Account vending/default standardization Service Catalog Workload platform vending/default standardization CloudFormation IaC Ephemeral Compute + API Managed Data/Control Plane for Persistence Tiers Hands off/Lights out
  • 16. Processes Patching Backup/Restore Testing Failover Testing (AZ) Credential Rotation/Credential Audit Event Response Testing Incident Response Testing Performance Testing Performance/Cost Review Vulnerability/Penetration Testing
  • 17. Customer Example - Architecture Notable percentage of Managed Services incidents could have been avoided through up-front architecture ~9 EC2 instances (NGINX, Front End, Back End, Database) = 4 hours/instance/month in caring for/feeding is 108,000.00 USD/Year @ 250.00 USD/Hour That’s customer cost, what about opportunity cost? Opportunity for tremendous customer value (customer saves 108,00.00 USD/Year) and provides us an opportunity to be more strategic with our partner (moving up the stack) What can we do? None of the above systems need to be servers Increases the customers we can touch without a direct correlation to headcount
  • 18. Customer Example - Monitoring Previous Example entails hundreds of monitorable events and metrics, with a composite required to understand state Interesting events feed into event driven automation Eliminate the instances and changes focus monitoring on customer outcomes Increasing the scope of automated data collection eliminates manual checking but introduces complex correlation engines (people), which Outcome based monitoring minimizes the need for/increases positive customer sentiment
  • 19. Customer Example - Automation Previous example also has numerous automation touch points (AWS Services, Operating System, Services, etc.) A move to serverless drops this number to practically none Automation skills shifted to development automation Provides a consistent experience intra and inter customer, and again increases the value of our impact to our customers without a direct tie to headcount
  • 20. Revenue to Usage to Cost Attribution Revenue Hierarchy of Needs Usage Typically tied to revenue if you are offering a SaaS based product Cost Attribution Labor Capitalized Software Opex vs. Capex Services Third Party Okayish AWS With serverless (or well managed servers) margin should be linear, or better with scale of usage Optimization at Scale Savings Plans
  • 21. Common Opportunities Unused Resources (All the time/some of the time) Oversized Resources (Undersized Resources) Inappropriate Resources (EC2 versus Fargate) Discounting Schemes
  • 22. Priority Funnel Inappropriate Resources (EC2 versus Fargate) Rightsizing (Compute Optimizer/CloudWatch Memory) – EC2 Unused/Underused EC2-Other (EBS Unused, Underused) Trusted Advisor (EBS Unused) Egress Well Architected Pillars Savings Plans (Compute) Reserved Instances (RDS, ElastiCache) Discount/Other Commitment Schemes
  • 23. Available Discounting Schemes Enterprise Agreement – Customer Customer Enterprise Agreement – Service Org - CloudFront Service Tiering Org Savings Plans EC2, Lambda, Fargate Reserved Instances EC2, RDS, Elasticache
  • 24. Sustainability in Technology Industry Goals AWS Goals – Water Positive 2030, 100% Renewable Energy 2025 Partner Impact – 1 of 13 domains in MSP Audit focus on sustainability Industry Impact – 1 of 6 pillars in Well Architected Framework focus on sustainability Customer Impact – Proactive (planning) and reactive (actual consumption) visibility into a workload’s Carbon Footprint Organizational Goals Our Goals – Influence and impact our customers through leadership Our Unique Position Cross section of customers Influenced Impact Direct Impact Sustainability in technology starts with optimization (cost, performance, etc.) – it doesn’t end there Defining operational parameters – how “fast” does ”it” need to be? Service selection (which can be influenced by/influences cost optimization objectives) – running 24 hours a day servicing work-day application
  • 25. Conclusion AWS continues to increase the breadth and depth of their service offerings I wish it did that I didn’t know I needed that It’s easier to get started today than it was yesterday Simplicity Support Cost Conclusion Consider sustainability when choosing an approach – Maslow’s Hammer Don’t forget about team enablement Limited by your imagination and ability to execute

Editor's Notes

  • #21: (2 minutes) Unused Resources (30 seconds): Many AWS environments have resources running when they aren’t needed, leading to wasted costs. The classic example are development environments. Running them for 40 hours a week instead of 168 can yield very significant savings. Another one are QA, stress and training environments that are not needed at every stage of the lifecycle. You can script these to be deployed, terminated, and redeployed as needed, instead of paying for them 24/7.  Use AWS tools like Cost Explorer to quickly identify idle resources, expensive resources, and automate start/stop times to optimize usage. Oversized Resources (30 seconds): Over-provisioning resources can result in higher costs without added benefit, while undersizing can cause performance issues. Right-size your resources using AWS Compute Optimizer to ensure they match your actual needs. Review what you have in CloudWatch for your resources and make sure they are not idle or underused. Inappropriate Resources (30 seconds): Choosing the wrong type of resource, like using EC2 instead of Fargate, can create inefficiencies. Match workloads to the most suitable AWS services, such as using Fargate for serverless container tasks and EC2 for more persistent needs. Analysis and design work up front can save you big in the future. Discounting Schemes (30 seconds): AWS offers discounts through Reserved Instances, Savings Plans, and Spot Instances to reduce costs. Analyze your workload patterns and commit to the right discounting schemes to maximize savings. Savings plans are flexible and easy to get into, plus you can stack them if your needs expand. They’re available in 1 year and 3 year commitments, covering EC2, Fargate, Lambda and Sagemaker Conclusion (10 seconds): Regularly revisiting these opportunities ensures you're continually optimizing your AWS environment for performance and cost efficiency.
  • #22: (1-2 mins) 1. Inappropriate Resources (EC2 vs. Fargate) (20 seconds): Proper design can yield the largest results. Prioritize evaluating whether your workloads are on the right resource type. Misalignments, like using EC2 instead of Fargate for containerized tasks, can lead to inefficiencies. Reassess your resource choices to ensure optimal performance and cost. 2. Rightsizing (20 seconds): Use Compute Optimizer and CloudWatch Memory metrics to right-size your EC2 instances, addressing unused or underused instances. Regularly monitor and adjust resources to match actual usage. 3. EC2-Other (EBS Unused/Underused) (20 seconds): Address unused or underutilized EBS volumes. These can accumulate costs without adding value. Watch out for unattached EBS volumes in your account. Use Trusted Advisor to identify and clean up these resources. 4. Egress (10 seconds): Prioritize managing and reducing data egress costs, which can be significant depending on your data transfer needs. 5. Well-Architected Pillars (10 seconds): Ensure your architecture aligns with AWS Well-Architected Framework principles to optimize across cost, performance, security, reliability, and operational excellence. 6. Discounting Options (20 seconds): Leverage Savings Plans for compute workloads and Reserved Instances for services like RDS and ElastiCache. Explore other commitment schemes to maximize savings across your environment. Conclusion (10 seconds): By focusing on these priorities, you can systematically improve the efficiency and cost-effectiveness of your AWS environment.
  • #23: (2 mins) 1. Enterprise Agreement – Customer (20 seconds): Customer: Bulk discounting for your entire organization based on committed spend across various AWS services. Tailored agreements can significantly reduce costs for large-scale operations. 2. Enterprise Agreement – Service (20 seconds): Org - CloudFront: Specific service-level agreements provide discounts for targeted usage, like CloudFront. Ideal for organizations with significant use of particular AWS services or global distribution needs. 3. Service Tiering (20 seconds): Org: Discounts are available at the organizational level based on usage tiers. As your organization’s usage increases, costs can decrease, particularly in services like S3. 4. Savings Plans (20 seconds): EC2, Lambda, Fargate: Flexible discounting across compute services based on hourly usage commitments. These plans are ideal for organizations looking to optimize costs across multiple compute services. 5. Reserved Instances (20 seconds): EC2, RDS, ElastiCache: Commit to a certain level of usage over 1 or 3 years to receive substantial savings. Best for predictable workloads, ensuring consistent cost reductions. Conclusion (10 seconds): By strategically leveraging these discounting schemes, your organization can effectively manage AWS costs while maintaining high performance.
  • #24: (2 mins) Slide Title: Sustainability in Technology 1. Industry Goals (30 seconds): AWS Goals: AWS is leading by example with ambitious goals like becoming Water Positive by 2030 and achieving 100% Renewable Energy by 2025. Partner Impact: Sustainability is a key focus, as seen in the MSP Audit, where one of 13 domains targets sustainability. Industry Impact: The Well-Architected Framework emphasizes sustainability as one of its six pillars, guiding best practices. Customer Impact: Customers gain visibility into their carbon footprint, both in proactive planning and reactive consumption. 2. Organizational Goals (20 seconds): Our Goals: Our aim is to influence and impact our customers through leadership in sustainability, ensuring that we drive positive change across the board. 3. Our Unique Position (20 seconds): We operate at the cross-section of customers, giving us a broad influence. We have the power to create influenced impact through our partnerships. Additionally, we can drive direct impact by optimizing our own operations and those of our customers. 4. Sustainability in Technology Starts with Optimization (20 seconds): True sustainability begins with optimizing costs and performance but goes beyond just that. Operational Parameters: Defining how “fast” something needs to be can significantly reduce unnecessary energy use. Service Selection: Choosing the right services, like avoiding running a 24-hour service for a work-day application, can influence both sustainability and cost optimization. Conclusion (10 seconds): In technology, sustainability is a continuous journey that starts with optimization and extends to thoughtful service selection and operational efficiency.
  • #25: (1-2 minutes) 1. AWS Continues to Increase the Breadth and Depth of Their Service Offerings (30 seconds): AWS is constantly innovating, adding new services and features that often leave us thinking, “I wish it did that,” or “I didn’t know I needed that.” This continuous expansion makes AWS more versatile, enabling us to tackle challenges we couldn’t even imagine before. 2. It’s Easier to Get Started Today Than It Was Yesterday (30 seconds): Simplicity: AWS is increasingly user-friendly, with more intuitive interfaces and automation tools. Support: The support ecosystem has grown, with more resources, documentation, and community help available. Cost: AWS has introduced various pricing models and discounts, making it more affordable to experiment and scale. 3. Conclusion (30 seconds): When selecting your approach, always consider sustainability—think of Maslow’s Hammer: not every problem requires the same tool. Don’t forget about team enablement—your team’s ability to leverage these tools is just as important as the tools themselves. Remember, your potential is limited only by your imagination and your ability to execute on your ideas.