AWS Cost Optimization Story: Addressing Multiple Issues in a Logistics Company

AWS Cost Optimization Story: Addressing Multiple Issues in a Logistics Company

·

4 min read

The Situation:

As a Senior DevOps Engineer working with a client in the logistics sector, I encountered a critical issue: their AWS bill was unexpectedly high, and there were several inefficiencies and security risks in their AWS setup. The client was not using AWS Organizations for consolidated billing, lacked centralized security practices, and had several storage and resource management issues.

Discovery:

Client: "We've noticed that our AWS costs are spiraling out of control. We’re also concerned about potential security risks since we don’t have a centralized way to manage and monitor our accounts."

Me: "Let’s take a closer look. I suspect we have several issues contributing to the high costs and security concerns. I’ll need to analyze our AWS setup and identify areas for improvement."

Data Collection and Analysis:

I used AWS Cost Explorer to break down the costs and found the following:

  • Fragmented Billing: Without AWS Organizations, cost visibility across multiple accounts was limited.

  • Unmanaged Snapshots: EBS snapshots had accumulated without lifecycle policies, leading to bloated storage costs.

  • Unused Elastic IPs: Multiple Elastic IP addresses were idle and incurring unnecessary charges.

  • Inefficient Storage Use: Rarely accessed archival footage was stored in high-cost S3 Standard storage rather than a more cost-effective option.

Optimization Strategy:

1. Implement AWS Organizations and Control Tower:

  • Client: "What can we do to better manage costs across our accounts?"

  • Me: "We should implement AWS Organizations to consolidate billing across all accounts. This will give us a unified view of our expenses and simplify cost management. Additionally, using AWS Control Tower will automate account provisioning and enforce governance policies."

AWS Organizations allows centralized management of multiple AWS accounts, making it easier to track costs and apply policies across the organization. AWS Control Tower further simplifies account setup and governance by providing pre-configured blueprints and automated compliance checks.

2. Enhance Security and Logging:

  • Client: "How can we improve our security posture and compliance?"

  • Me: "We need to establish centralized logging and security monitoring. Setting up a centralized audit and log archive account will help us aggregate logs and monitor security events more effectively. Additionally, enabling AWS CloudTrail across all accounts will provide comprehensive logging of API activity. Integrating AWS Security Hub will centralize security findings and facilitate compliance."

AWS CloudTrail records API calls and provides logs for auditing and troubleshooting. AWS Security Hub aggregates and prioritizes security findings from across AWS services, giving a comprehensive view of your security posture. Creating dedicated audit and log archive accounts ensures that logs are securely stored and managed.

3. Optimize Storage and Resource Management:

  • Client: "What can we do about our storage and unused resources?"

  • Me: "We should implement lifecycle policies for EBS snapshots to automatically delete or transition old snapshots to lower-cost storage. Additionally, we need to release any unused Elastic IPs and transition archival footage to S3 Glacier or Glacier Deep Archive for cost-effective storage."

Lifecycle Policies for EBS snapshots help manage storage costs by automatically deleting or transitioning older snapshots. S3 Glacier and S3 Glacier Deep Archive provide lower-cost alternatives for storing archival data. Releasing unused Elastic IPs prevents unnecessary charges.

4. Cost Management and Monitoring:

  • Client: "How can we keep track of and manage our costs more effectively?"

  • Me: "We can set up cost allocation tags to track spending by department or project. AWS Budgets will help us monitor costs and usage, with alerts for any unexpected spikes. Regularly reviewing our cost and usage reports will also help us stay on top of expenses."

Cost Allocation Tags allow detailed tracking of expenses, helping identify high-cost areas. AWS Budgets enables setting custom budgets and alerts for tracking costs and usage, ensuring that you stay within budget limits.

Implementation and Results:

I proceeded with the following actions:

  • AWS Organizations was set up to consolidate billing across accounts.

  • AWS Control Tower was used to automate account provisioning and governance.

  • Centralized audit and log archive accounts were created, and AWS CloudTrail and Security Hub were enabled.

  • EBS snapshot lifecycle policies were applied, unused Elastic IPs were released, and archival footage was transitioned to S3 Glacier.

A few weeks later, the results were impressive:

  • Cost Reduction: We saw a significant decrease in monthly AWS expenses by consolidating billing and optimizing storage.

  • Improved Security: Centralized logging and security monitoring enhanced our security posture and compliance.

  • Efficient Storage: Implementing lifecycle policies and using S3 Glacier reduced storage costs by approximately 40%.

Lessons Learned:

  • Consolidate Billing: Using AWS Organizations streamlines cost management and provides a clearer view of spending.

  • Centralize Security: Centralized logs and Security Hub improve security oversight and compliance.

  • Optimize Storage: Effective lifecycle management and using appropriate storage classes reduce unnecessary costs.

  • Continuous Improvement: Regularly review and optimize resources and strategies to maintain efficiency and cost-effectiveness.

By addressing these issues, I helped the client significantly reduce their costs and improve their AWS environment’s overall efficiency and security. 🚛💰

#AWS #CostOptimization #Security #CloudComputing #DevOps

Did you find this article valuable?

Support AditModi's Blog by becoming a sponsor. Any amount is appreciated!