We seem to have lost our ability to build efficient cloud systems, resulting in billions of dollars of lost business value. We need to find that metric again and find it now. Credit: Gorodenkoff / Shutterstock I’ve been in so many meetings over the years and asked the question that nobody can answer: How are we measuring the efficiency of this cloud architecture, and what steps are we taking to improve it? Based on the blank looks, you would have thought I asked, “Where do we keep the polar bears?” It’s more important than we perhaps understand. Here’s why. Efficiency is achieving a desired outcome using the least resources possible, such as time, effort, energy, or money. It reflects how well a machine, system, or process converts inputs into outputs without unnecessary waste. In engineering, it can mean the ratio of a machine’s valuable work to the total energy expended. Efficiency also encompasses operational and organizational aspects, such as minimizing waste and maximizing productivity. This is often quantified using metrics like return on investment, throughput, and resource utilization rates. Efficiency should be distinct from effectiveness, which focuses on achieving a goal or fulfilling a purpose, regardless of resource expenditure. A system can be effective without being efficient if it achieves its goals but uses more resources than necessary. Many cloud architectures fall into this category. Measuring the efficiency of cloud architecture So, how do we measure efficiency to know if we’ve achieved it? Efficiency in cloud computing isn’t just about reducing costs, it’s about maximizing resource utilization, improving performance, and ensuring scalability. To measure efficiency effectively, converged architectures must incorporate several key metrics and processes: Resource utilization metrics track how well the cloud infrastructure is using its allocated resources. High utilization rates indicate efficient resource use, whereas low utilization may suggest overprovisioning or underused assets. Tools that monitor CPU, memory, and storage utilization in real time can provide valuable insights. Cost-efficiency metrics compare the cost of cloud resources to the value derived from those resources. This involves tracking spending rates, comparing them to budget forecasts, and analyzing cost-effective allocation strategies. Finops practices come into play here, providing visibility and control over cloud expenditures. Performance metrics such as latency, throughput, and error rates are critical performance indicators. Converged architectures must continuously monitor these metrics to ensure applications and services operate within desired performance parameters. Scalability metrics are a hallmark of cloud computing. Measuring the time and efficiency of scaling operations helps ensure that the architecture can handle varying loads without performance degradation or excessive cost. How converged cloud architectures achieve efficiency Remember that we can certainly measure the efficiency of each of the architecture’s components, but that only tells you half of the story. A system may have anywhere from 10 to 1,000 components. Together, they create a converged architecture, which provides several advantages in measuring and ensuring efficiency. Converged architectures facilitate centralized management by combining computing, storage, and networking resources. This unified view allows for more straightforward monitoring and optimization, reducing the complexity of managing disparate systems. With an integrated approach, converged architectures can dynamically distribute resources based on real-time demand. This reduces idle resources and enhances utilization, leading to better efficiency. Automation tools embedded within converged architectures help automate routine tasks such as scaling, provisioning, and load balancing. These tools can adjust resource allocation in real time, ensuring optimal performance without manual intervention. Advanced monitoring tools and analytics platforms built into converged architectures provide detailed insights into resource usage, cost patterns, and performance metrics. This enables continuous optimization and proactive management of cloud resources. The long and the short of this is you can leverage these components in a 1+1=4 type of scenario if you have visibility into efficiency metrics and can combine these components to drive more efficiency. For example, a storage system may be inefficient regarding I/O. When combined with a caching middleware system, architecture is efficient in terms of the degree of performance you get from the combined use versus the amount of money needed to build and operate it. On the contrary, you can have two highly efficient components, such as serverless computing and serverless databases. However, they could be more efficient when combined to form a system. This happens all of the time. Too often, a cloud computing architecture leverages only the best components and still fails when it is deployed as a unified system. The architects did not consider the efficiency of the converged architecture. Mapping a path to efficiency This is not as complex as it seems. We just need to consider efficiency when picking components such as storage, computing, and databases and examine how they function together in terms of efficiency. This is especially important now with AI, as cloud and AI systems architecture go down the cloud provider’s shopping list of all the things they think they need to build an AI system. It ends up costing too much to build and operate and ultimately fails. Efficiency was never a consideration. Related content analysis Azure AI Foundry tools for changes in AI applications Microsoft’s launch of Azure AI Foundry at Ignite 2024 signals a welcome shift from chatbots to agents and to using AI for business process automation. By Simon Bisson Nov 20, 2024 7 mins Microsoft Azure Generative AI Development Tools analysis Succeeding with observability in the cloud Cloud observability practices are complex—just like the cloud deployments they seek to understand. The insights observability offers make it a challenge worth tackling. 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