Federal Institution Optimizes AWS Cloud to Save More Than $2 Million

case study setup

Setup: We moved to the cloud... now what?

A large federal government organization in the United States was starting to gain a more established presence within AWS through migrations and cloud-native development. Still, like many organizations going into the cloud for the first time, they still had a lot of room for improvement. They weren't yet following all AWS best practices or taking full advantage of the cloud's capabilities in a cost-optimized manner. 

Our mission was to launch the client's cost optimization project, which included three initial phases:

  1. Create a new optimization report mimicking what was already in place for the client's research team
  2. Create consistent language across multiple reports so they may be applicable at a higher “system” level for the client
  3. Evaluate cost reporting tools and offer recommendations

case study challenge

Challenge: Uncompromising Standards for Security, Performance, and Cost Optimization

This organization plays a massive role in the financial outcomes of the United States government and its citizens, so it's imperative that they manage all cloud resources in a manner that aligns with best practices for security in performance. At the same time, it's also unacceptable to waste money on the resources they've created in the cloud. This client engaged Sketch to optimize AWS cloud costs without cutting corners that could hurt performance or create security risks.

case study solution

Solution: Create Multiple Reporting Levels for Cloud Cost Optimization

Throughout the course of this engagement, we used the client's pre-selected tool for high-level, cross-account reporting, and AWS Cost Explorer for lower-level, resource metrics and reporting. Neither tool could do everything by itself (which is why we would otherwise recommend Cloudsaver), so we used both to get the best of both worlds and paint a complete picture with the following features and capabilities:

  • Switch between various charting styles
  • Data breaks at significant business dimensions
  • Support for AWS and Azure
  • AWS built-in service
  • Good dashboards
  • Reserved Instance and Savings Plan recommendations

Based on our findings, we implemented Infrastructure as Code (IaC) practices for the client. This resulted in instant savings. It also ensured that any resources they established in the future would be optimized for cost from the beginning.

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On top of the work we did, we allowed this client to leverage Sketch's AWS Partner status. In some cases, we could connect them with rates that were even lower than what this client could access through its existing membership in an exclusive AWS EDP program.

Finally, before ending the engagement, we introduced the client to additional resources they could use to further optimize for cost on their own. These resources provide additional features and capabilities, including the following:

  • Reserved Instance and Savings Plan recommendations
  • Reserved Instance mapping to specific accounts
  • Build-in optimization features for cost, security, availability, and utilization
  • Reporting that goes from high-level all the way to line-item detail
  • Compliance with even strict regulations
  • Support for AWS, Azure, and GCP
case study results

Results: Cloud Cost Savings of More Than $2 Million

We were able to slash the client's monthly bill by several tens of thousands of dollars almost instantly. Those savings have only been growing and compounding since then, with total savings eclipsing the million-dollar mark within roughly one year.

Those savings come in many ways:

  • AWS RDS Cost Optimization
    • 50-90% savings on MSSQL instances (27-64% of total RDS spend)
    • 50-90% savings across db.r5.large instances (16-31% of overall RDS spend)
    • 53% savings across RDS instances with Reserved Instances commitments
  • AWS EBS Cloud Cost Optimization
    • 90+% savings on data retention by finding alternatives to unattached EBS volumes 
    • Fixed bugs in IaC templates to stop wasteful spend from spreading
  • AWS EC2 Cost Optimization
    • 50% savings across existing RDS instances after right-sizing and committing to Reserved Instance purchases for EC2

These savings, now totaling millions of dollars, all come from this one short engagement. That is, these figures don't even include savings from additional tools we recommended.

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Feedback from the Client

"Given the nature of our work, we have to take a cautious approach to cloud operations. As a result, change tends to happen deliberately and at a measured pace. Sketch has been a valuable partner in this process—helping us prioritize security while also encouraging us to modernize our approach and optimize our cloud spend. Today, both our team and our cloud infrastructure are more modern, efficient, and aligned with our responsibility to be good stewards of public funding.”

Assistant Vice President, Software Development | USA Federal Institution

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