Show Me the Money: Connecting Performance Engineering to Real Business Results

Show Me the Money: Connecting Performance Engineering to Real Business Results
Walter Kuketz
Collaborative Consulting
Frank Days
Correlsense

Speakers
Featured speaker:
Walter Kuketz
Senior Vice President and CTO
Collaborative Consulting
Your host:
Frank Days
VP, Marketing
Correlsense
2

Housekeeping
Presentation will last around 30 minutes
Followed by Q&A
Slides will be available tomorrow real-user-monitoring.com
Enjoy!
3

Agenda
Performance engineering challenges
Aligning PE to business initiatives
Improve IT and business communication
New approach to model business transactions

Performance engineering challenges today
Highly distributed apps
Complex and tangled system of systems
Distributed Infrastructure
Distributed production operations
Distributed teams
Performance engineering and testing
Architecture and Development
Business
Evolving & changing application architectures
Mobile devices
Third party services
SaaS products
Cloud
Changing usage patterns
Driven by mobile anywhere
Flash traffic events

Performance engineering challenges..
Enterprise
User experience
Budget
Team skills
Performance organization; skillsets, multi disciplined, communication, split team
Training and career paths
Constant cost and budget pressure
Maintaining a meaningful performance lab (production-like)
User populations are exploding
Web site performance directly impacts revenue
Release schedules, monthly, quarterly
Project based

Agenda
Performance Engineering challenges

Sharing information across the organization
Start Here
Business
goals,
SLA’s
Productions
Operations
monitoring
Enterprise
Architecture
SDLC
design
& build
Performance
Engineering
& testing

Connecting PE to business value
Indirect
expenses
Website Conversion rate & fast website response time
Hourly cost of a website outage
Defer hardware upgrades or purchase
New product or technology evaluation for NFR’s & learning investment
Design and build to support SLA’s
Methodology has PE tasks and activities
SDLC
Will it work with the new business volumes
Scalability, stability, performance
Manage risk
Manage costs, efficiency
Costs per business transaction
Costs
Improve web site conversion rates
Proactively monitor real user experience
Website
Key part of managing SaaS and cloud
No longer your infrastructure
Vendors

Indirect
expenses
Conversation rate: 10%
Average order amount: $55.00
Web site visitors: 5,000/hr
Event duration: 24 hrs.

Indirect
expenses
Outage cost of $250,000/hour
$3 Million per 12 hour day
What is the busiest hour during the day?
Average revenue per day & peak revenue per day

Indirect
expenses
A constant workload, for a given system configuration
Design and build more efficient applications for each release cycle
Process the same workload with fewer computing resources
Defer hardware upgrades, or purchases to another quarter

Indirect
expenses
Business is interested in the competitive value of a new product or technology
Evaluate for non-functional requirements of performance, scalability, stability
Use options based approach on product evaluations
Use benchmarks, custom performance tests, etc

Budgets – people, environments, tools
You must understand how budgeting decisions are made.
Shared services IT
Project based
Business unit
Enterprise level

Budgets – indirect expenses
You must connect the resource request to:
Because of this we can process more requests
Revenue producing project
Because of this we can process the same workload with less (deferred purchases)
Efficiency and cost
Large scale test from the cloud to remove the risk of system failure
Improve web site conversion rates, reduce the risk of being the last to know by proactive real user monitoring
Increase number of performance tests with in the testing window
Reduce risk
Training the team on new technologies and monitoring the market
Increase options

Agenda

Alignment – talking with the business
Why invest in a performance engineering team?
Manage risk:
stability, scalability
(fear of the
unknown)
Reduce
operational costs
and production
outages
Increase
efficiency:
supporting same
workload with fewer
Resources &
Additional
spending
Support business
objective
(growth), drive
revenue
Visibility:
what are PE
resources
working on?

Alignment – talking with the business
Know your audiences approach to investments and the significance of External focused applications vs. internal corporate
Internal
business units
Cost focus
External
business units
Revenue focus

IT and Business communication for Performance
Enterprise goals
Business plans call for 20% growth
New client for healthcare claims processing system (from 500,000/Day to 800,000)
Retail brokerage is expecting day trading volume to increase by 40%
And we need to handle more flash market events
Marketing driven events with limits
Value disciplines:
Customer intimacy
Operational excellence
Innovation

Different communication styles
What the business says:
What IT says:
Growth: Have a marketing event where our customers visit the site for a discount of 15% on (limited) our product for a limited time (until they are gone).
Can handle that?
We have 750,000 customers in the database, and expect half of them to be interested in this.
Well, we ran a couple of tests with 1,500 to 2,000 virtual users with almost no think time and the system held, though the Database ran hot.
The max response time did increase well past the goal, but the average was still under six seconds.
We could only test half the TPS of what we think 375,000 users would do. Due to the environment be smaller than production.
Where do you go from here??

An alternative dialog
What the business says:
What IT says:
Growth: We have scheduled a marketing event where we just invited all our registered customers to visit the site for a department wide discount of 15% on (limited) our product for a limited time ( till they are gone).
Can handle that?
We have 750,000 customers in the database, and expect half of them to be interested in this.
We see risk to the event. We have successfully executed scalability tests for 175,000 users accessing the site, before their experience will be poor.
We have developed a few options to help us reduce the risk;
Option A – requires $250,000 to implement, did this business factor this into their ROI
Option B – requires impacting other applications during the event. Taking their computing resources
Option C – gracefully turn-away customer during peak load, ensure the customers in the system have a good experience.

Agenda

Transactions matter to the business people
Business Service and workflow
Application transaction response time
Infrastructure
Complete user experience
Confirm Order
Component view of utilization

Business transactions
How do you make sure your customers have an outstanding experience on your web site?
How do you make sure your internal users are having the right experience on their internal systems (workflow)?

Application performance management
Measurement and compliance to SLA’s
Hold SaaS vendors accountable
SLA’s
Drive revenue with faster web site
Connect revenue to performance
User experience
Watch user experience over time
Locate trends in response time
Be first
Locate root-cause quickly
Identify slow parts of the overall transaction
Minimize disruptions

To Understand App Performance…
… You must know the experience of your real users…not a robot…

Transaction Management for Performance Engineering

SharePath – The APM Innovator
“SharePath rapidly generates detailed multitier models of an application's execution path in an almost entirely automated manner, making the technology very easy to deployand maintain, while capturing data at a high degree of granularity without having an impact on production performance.”
Gartner, March 2010

SharePath RUM
Real user monitoring
Understanding the end user experience
SharePath Datacenter
Transaction path detection
Every hop, every transaction
SERVER
WEB
APP SVR
PROXY
MQ/ESB
CORBA
LDAP
DCOM
Web
Services
The SharePath Product Family

Use SharePath RUM for Free
http://www.real-user-monitoring.com

About Collaborative Consulting
Business and technology consulting firm
Clients across the United States
Consulting services
Business enablement
Information management
Technology enablement
Program management
31

The Collaborative Difference
Combining a highly experienced team with several value based delivery options ensures that our clients obtain the right services utilizing the best model for their needs.
Experienced, pragmatic, and dedicated team
Integrated approach
Accelerators
Value

Questions?
More information:
info@correlsense.com
www.correlsense.com/demo
Free real user monitoring tool:www.real-user-monitoring.com
Get your free copy
SharePath RUM today!

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Show Me the Money: Connecting Performance Engineering to Real Business Results

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Show Me the Money: Connecting Performance Engineering to Real Business Results Presentation Transcript