
Advanced Azure Cost Anomaly Detection by GDC Services
In the evolving landscape of cloud computing, efficient cost management remains a cornerstone of business success. GDC Services introduces its Azure Cost Anomaly Detection solution as part of its custom FinOps suite - a tailored approach to mitigating overspend and optimizing cloud usage through proactive anomaly detection. Below we highlight the service’s unique benefits, compares it to Azure’s native capabilities, and highlight a real-world success story.
What is it all about?
GDC Services’ Azure Cost Anomaly Detection is a bespoke solution designed to detect cost anomalies as early as the day after they occur. This early detection prevents unnecessary overspending and empowers businesses to refine their cloud cost strategies. By leveraging actionable insights, the solution ensures long-term savings and boosts operational efficiency.
Key Benefits of Azure Cost Anomaly Detection
Early Detection:
· Custom Solution: Identifies anomalies within 24 hours, enabling faster responses to potential cost issues.
· Azure Native: Delays detection by a minimum of 96 hours, increasing the risk of missed anomalies and overspending.
High Customizability and Flexibility:
· Custom Solution: Tailored to fit unique business needs with a custom-built algorithm that flags anomalies specific to the organization. Supports intricate detection methods across diverse scenarios.
· Azure Native: More limited flexibility and customization, making it less effective for large or complex environments.
Enhanced Cost Control and Budget Adherence:
· Custom Solution: Fully automated to detect inefficiencies, helping businesses maintain strict budgetary constraints and optimize resource usage.
· Azure Native: Basic cost control features with less configurability, often requiring manual oversight to manage budgets across multiple subscriptions.
Faster Mitigation of Unjustified Costs:
· Custom Solution: Rapidly flags high-cost services like Azure Data Factory (ADF), preventing extended periods of overspending.
· Azure Native: Slower detection and pre-configured settings increase the risk of prolonged inefficiencies.
Real-Life Success Story: Global Manufacturing Company
Data Collection Scope
- Entire Azure Tenant, encompassing over 100 subscriptions.
- Specific resource groups were excluded as part of the process.
Challenge
The primary goal was to detect anomalies, even those caused by minor price fluctuations, while minimizing false positive alerts.
Solution
- A custom algorithm was designed to identify even minor usage spikes while effectively avoiding false positives.
- A 30-day trend graph was integrated into cost anomaly alerts to provide actionable insights.
- Activity logs were included in the reports to help pinpoint the root causes of anomalies.
- A "5-day no-repeat" anomaly logic was implemented to prevent duplicate alerts during algorithm reassessments.
Results
The optimized algorithm resulted in significant long-term savings driven by near-immediate response to anomalies detection. As an illustration, right after algorithm deployment Client saved over $15k in just two days, by promptly identifying unjustified and misconfigured Azure Data Factory pipeline runs, preventing significant accumulated costs.
Conclusion
GDC Services’ Azure Cost Anomaly Detection solution provides a proactive, flexible, and highly effective approach to Azure cost management. By providing functionality above Azure’s native capabilities and aligning with business-specific needs, this solution empowers organizations to achieve long-term savings and operational excellence.