Relicense Azure resources to use reserved instances (RIs)
Recommendation Impact Across KPIs
| KPI | Impact | Calculated? |
|---|---|---|
| Reliability: | No direct impact on reliability | ❌ |
| Security Compliance: | No direct impact on security | ❌ |
| Economic: | Cost reduction through committed use discounts | ✅ |
| User Experience: | No direct impact on user experience | ❌ |
| Environment: | No direct impact on environment | ❌ |
Score Calculation
1. Data Ingestion
- Azure resource details
- Current licensing costs
- Resource utilization patterns
- Instance types and sizes
2. Data Enrichment
- Mapping to available RI options
- Cost comparison analysis
- Term commitment options (1 or 3 years)
- Potential savings calculations
3. Health Score
- Calculate the Economic Health score based on: (Current cost - New RI cost) / Total Cost of all assets
- Score reflects potential cost optimization through RI adoption
Example Graph
Pie chart showing the percentage of potential cost savings versus total costs, helping visualize the economic impact of implementing Reserved Instances across the Azure environment.
Business Opportunities
Product Sales Opportunity
As a provider this recommendation provides you an opportunity to sell Azure Reserved Instances and associated management tools. The platform will identify specific resources eligible for RI conversion and highlight potential savings.
Professional Services Opportunity
The recommendation provides an opportunity for professional services to assist customers with RI implementation, optimization, and management. Services include analysis of resource usage patterns, RI purchase planning, and ongoing optimization services.
Remediation Guidance
To resolve the recommendation the following steps are recommended:
- Develop a Licensing Plan for Reserved Instances
- Identify Eligible Resources
- Evaluate Resource Usage
- Budget Allocation
Establish Purchase Timeline
Communicate with Stakeholders
- Inform Relevant Teams
- Set Expectations
Coordinate Timing
Execute the Relicensing Process
- Purchase Reserved Instances
- Assign Reserved Instances to Resources
- Update Resource Management
Confirm Transition
Post-Relicensing Monitoring & Optimization
- Monitor Resource Utilization
- Ensure Correct Billing
Address Underutilized RIs
Ongoing Maintenance
- Review Regularly
- Adjust RIs as Needed
- Use Azure Advisor for Additional Insights
Supporting Information
Supported Data Sources
- Azure Advisor
- CoreStack
Recommendation Categorisation
- Relicense
- Cost Optimization
- Cloud Infrastructure
Supported Instances
- Azure Virtual Machines
- Azure SQL Database
- Other eligible Azure services
Planned Instances
- Status: In Development
- Implementation Type: New
- Asset Type: Server