Welcome!

Ruby-On-Rails Authors: Liz McMillan, Pat Romanski, Elizabeth White, Hovhannes Avoyan, Yeshim Deniz

Related Topics: Java IoT, Microservices Expo, @CloudExpo, @DevOpsSummit

Java IoT: Article

SaaS Performance | @CloudExpo @Catchpoint #DevOps #WebPerf #AI #SaaS

SaaS providers need better tools to manage performance, enabling them to get ahead of problems

Managing Performance for SaaS-Based Applications

Software as a service (SaaS), one of the earliest and most successful cloud services, has reached mainstream status. According to Cisco, by 2019 more than four-fifths (83 percent) of all data center traffic will be based in the cloud, up from 65 percent today. The majority of this traffic will be applications.

Businesses of all sizes are adopting a variety of SaaS-based services - everything from collaboration tools to mission-critical commerce-oriented applications. The rise in SaaS usage has many positive benefits, but one drawback is that as demand grows, SaaS providers are having a harder time ensuring a high-performing (fast, reliable) end-user experience - at the same time performance expectations are growing higher than ever.

SaaS Providers Struggle to Meet Modern Day User Performance Expectations
Websites and applications must be fast. People want to read an article as soon as it's clicked; shoppers will abandon their cart on an ecommerce site if the website is too slow; customers expect to be able to quickly make transactions - and the list goes on. According to Google's latest research (February 2017), as page load time increases from 1 second to 7 seconds, the likelihood of a visitor abandoning the page increases 113 percent. For SaaS companies to be successful, they need to adopt the same laser focus on the end-user experience that has fueled the rise of ecommerce and B2B applications.

Meeting these performance demands is proving to be a significant challenge. One recent survey of SaaS providers found more than half reported difficulties in delivering sufficient performance levels, while more than a quarter said their organizations had incurred financial penalties as a result of unmet service-level agreements. Twenty-one percent of respondents whose organizations had an unplanned service interruption said it resulted in the loss of a customer relationship. Among those SaaS providers suffering financial penalties, the average cost incurred was $359,000 - not including the time and effort spent finding and fixing the source of performance declines.

Why Is Ensuring Superior Performance So Difficult?
Ensuring strong performance levels is proving difficult for several reasons:

Infrastructure Build-Outs - As many SaaS providers expand into new geographies and support more businesses, they are adding infrastructure as well as partitioning more existing systems. According to the SaaS provider survey mentioned above, almost half of respondents noted they have at least doubled the number of systems supporting their workloads and applications over the past two years. While this helps them support more customers, there is a nasty side effect - greater complexity, which makes it harder to find and fix the source of performance problems when they do occur.

Users' Geographic Expansion - Heightening these performance challenges is the growth of end users in new geographies. Application performance tends to deteriorate based on distance from the SaaS provider's data center. This means as end users move further away, there are more variables standing between them and the data center which can degrade performance - networks, ISPs, even browsers. This makes it impossible for SaaS providers to gauge worldwide performance levels for a specific SaaS user, based solely on the experiences of end users in just one or two geographies.

To expand and improve geographic reach, many SaaS providers build out their infrastructure, which in turn adds more complexity. The net result is a vicious cycle that ultimately results in decreased visibility into infrastructure health and end-user application performance.

The Capricious Nature of the Internet - Full SaaS provider outages are rare, but when they do happen, they can be disastrous. The Amazon S3 outage on February 28 served as the latest example, causing widespread availability issues for thousands of websites, apps, and IoT devices.

There have been other instances recently - in February 2016, Office 365 went dark for wide swaths of Europe. In August 2015, a Google data center in Belgium was struck by successive lightning strikes, causing problems for numerous Google cloud infrastructure service users. Not even tech giants like Amazon, Microsoft, or Google are immune to acts of God or nature. Inevitable outages are not the fault of these providers - rather, the "ripple effect" is the result of the tendency for business users to concentrate too much work in the hands of a single provider.

More common than full-blown outages are instances of SaaS applications just not performing well. Even though many SaaS providers have monitoring systems in place, 54 percent report the primary way they find out about performance problems is through customer complaints.

Managing Performance Must Be a Shared Endeavor
SaaS providers need better tools to manage performance, enabling them to get ahead of problems before their customers' end users are affected. This is a fundamental shift from traditional application performance management (APM) to what Gartner refers to as digital experience management (DEM). DEM treats the end-user experience as the ultimate metric, and identifies how the myriad of underlying services, systems, and components influence it. This approach is consistent with a recent EMA survey in which more than three quarters of respondents prioritized the ability to troubleshoot and analyze root causes of application performance problems, down to the platform level.

As the number of performance-impacting variables increases, SaaS providers may find themselves drowning in data, but searching for insights. They need advanced analytics to make data more actionable by identifying the cause of performance issues, swiftly and accurately. Sometimes performance issues are within the SaaS provider's control (such as when a particular region or data center requires more capacity). Other times, the issue may not be directly within the IT team's control - for example, a slow ISP or CDN. Even with these external factors, the information is still useful because time spent unnecessarily "war-rooming" can be avoided.

Business users of SaaS services should also be contributing to the performance management effort. They should consistently measure their SaaS providers' response levels, as well as monitor and measure real end- user performance at the closest points of geographic proximity. This is the key to gaining the most realistic view of end-user performance levels around the world. Having this information can help SaaS users uphold provider SLAs, but perhaps, more important, identify performance problems in advance and quickly determine if the problem is with the cloud service provider, or another component or internal infrastructure element.

Finally, as the recent Amazon S3 example demonstrated, SaaS users should always have a redundancy plan in place for their critical applications. In essence, they need to architect for failure. This may require an investment of time and effort, but can make all the difference in keeping SaaS-based businesses running smoothly when faced with a completely unpredictable event.

Conclusion
The growth in SaaS reliance is not going away, and SaaS providers cannot afford setbacks. When the SaaS platform that employees spend 80% of their day on goes down, productivity, and therefore a company's bottom line, takes a hit.

SaaS providers will continue to struggle with rapid growth and increasing complexity as business users port more mission-critical applications to the cloud and end users demand increasingly higher levels of performance and productivity.

This situation has the potential to escalate unless SaaS providers address the issue head-on with new approaches that evolve APM to DEM. Business users must also do their part. Ultimately, this can translate to more proactive, productive performance management, with less finger pointing and war rooming and more accurate, decisive issue resolution.

More Stories By Mehdi Daoudi

Mehdi Daoudi is the co-founder and CEO of Catchpoint Systems, a premier provider of web performance testing and monitoring solutions. His team has expertise in designing, building, operating, scaling and monitoring highly transactional Internet services used by thousands of companies that impact the experience of millions of users.

Before Catchpoint Systems, Mehdi spent 10+ years at DoubleClick and Google, where he was responsible for Quality of Services, buying, building, deploying, and using monitoring solutions to keep an eye on an infrastructure that delivered billions of transactions daily.

Comments (0)

Share your thoughts on this story.

Add your comment
You must be signed in to add a comment. Sign-in | Register

In accordance with our Comment Policy, we encourage comments that are on topic, relevant and to-the-point. We will remove comments that include profanity, personal attacks, racial slurs, threats of violence, or other inappropriate material that violates our Terms and Conditions, and will block users who make repeated violations. We ask all readers to expect diversity of opinion and to treat one another with dignity and respect.


@ThingsExpo Stories
What is the best strategy for selecting the right offshore company for your business? In his session at 21st Cloud Expo, Alan Winters, U.S. Head of Business Development at MobiDev, will discuss the things to look for - positive and negative - in evaluating your options. He will also discuss how to maximize productivity with your offshore developers. Before you start your search, clearly understand your business needs and how that impacts software choices.
High-velocity engineering teams are applying not only continuous delivery processes, but also lessons in experimentation from established leaders like Amazon, Netflix, and Facebook. These companies have made experimentation a foundation for their release processes, allowing them to try out major feature releases and redesigns within smaller groups before making them broadly available. In his session at 21st Cloud Expo, Brian Lucas, Senior Staff Engineer at Optimizely, will discuss how by using...
SYS-CON Events announced today that Taica will exhibit at the Japan External Trade Organization (JETRO) Pavilion at SYS-CON's 21st International Cloud Expo®, which will take place on Oct 31 – Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. ANSeeN are the measurement electronics maker for X-ray and Gamma-ray and Neutron measurement equipment such as spectrometers, pulse shape analyzer, and CdTe-FPD. For more information, visit http://anseen.com/.
SYS-CON Events announced today that Daiya Industry will exhibit at the Japanese Pavilion at SYS-CON's 21st International Cloud Expo®, which will take place on Oct 31 – Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. Ruby Development Inc. builds new services in short period of time and provides a continuous support of those services based on Ruby on Rails. For more information, please visit https://github.com/RubyDevInc.
Nordstrom is transforming the way that they do business and the cloud is the key to enabling speed and hyper personalized customer experiences. In his session at 21st Cloud Expo, Ken Schow, VP of Engineering at Nordstrom, will discuss some of the key learnings and common pitfalls of large enterprises moving to the cloud. This includes strategies around choosing a cloud provider(s), architecture, and lessons learned. In addition, he’ll go over some of the best practices for structured team migrat...
As businesses evolve, they need technology that is simple to help them succeed today and flexible enough to help them build for tomorrow. Chrome is fit for the workplace of the future — providing a secure, consistent user experience across a range of devices that can be used anywhere. In her session at 21st Cloud Expo, Vidya Nagarajan, a Senior Product Manager at Google, will take a look at various options as to how ChromeOS can be leveraged to interact with people on the devices, and formats th...
SYS-CON Events announced today that Yuasa System will exhibit at the Japan External Trade Organization (JETRO) Pavilion at SYS-CON's 21st International Cloud Expo®, which will take place on Oct 31 – Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. Yuasa System is introducing a multi-purpose endurance testing system for flexible displays, OLED devices, flexible substrates, flat cables, and films in smartphones, wearables, automobiles, and healthcare.
Join IBM November 1 at 21st Cloud Expo at the Santa Clara Convention Center in Santa Clara, CA, and learn how IBM Watson can bring cognitive services and AI to intelligent, unmanned systems. Cognitive analysis impacts today’s systems with unparalleled ability that were previously available only to manned, back-end operations. Thanks to cloud processing, IBM Watson can bring cognitive services and AI to intelligent, unmanned systems. Imagine a robot vacuum that becomes your personal assistant tha...
Organizations do not need a Big Data strategy; they need a business strategy that incorporates Big Data. Most organizations lack a road map for using Big Data to optimize key business processes, deliver a differentiated customer experience, or uncover new business opportunities. They do not understand what’s possible with respect to integrating Big Data into the business model.
Coca-Cola’s Google powered digital signage system lays the groundwork for a more valuable connection between Coke and its customers. Digital signs pair software with high-resolution displays so that a message can be changed instantly based on what the operator wants to communicate or sell. In their Day 3 Keynote at 21st Cloud Expo, Greg Chambers, Global Group Director, Digital Innovation, Coca-Cola, and Vidya Nagarajan, a Senior Product Manager at Google, will discuss how from store operations...
Recently, REAN Cloud built a digital concierge for a North Carolina hospital that had observed that most patient call button questions were repetitive. In addition, the paper-based process used to measure patient health metrics was laborious, not in real-time and sometimes error-prone. In their session at 21st Cloud Expo, Sean Finnerty, Executive Director, Practice Lead, Health Care & Life Science at REAN Cloud, and Dr. S.P.T. Krishnan, Principal Architect at REAN Cloud, will discuss how they bu...
SYS-CON Events announced today that Dasher Technologies will exhibit at SYS-CON's 21st International Cloud Expo®, which will take place on Oct 31 - Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. Dasher Technologies, Inc. ® is a premier IT solution provider that delivers expert technical resources along with trusted account executives to architect and deliver complete IT solutions and services to help our clients execute their goals, plans and objectives. Since 1999, we'v...
SYS-CON Events announced today that TidalScale, a leading provider of systems and services, will exhibit at SYS-CON's 21st International Cloud Expo®, which will take place on Oct 31 - Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. TidalScale has been involved in shaping the computing landscape. They've designed, developed and deployed some of the most important and successful systems and services in the history of the computing industry - internet, Ethernet, operating s...
Enterprises have taken advantage of IoT to achieve important revenue and cost advantages. What is less apparent is how incumbent enterprises operating at scale have, following success with IoT, built analytic, operations management and software development capabilities – ranging from autonomous vehicles to manageable robotics installations. They have embraced these capabilities as if they were Silicon Valley startups. As a result, many firms employ new business models that place enormous impor...
SYS-CON Events announced today that Taica will exhibit at the Japan External Trade Organization (JETRO) Pavilion at SYS-CON's 21st International Cloud Expo®, which will take place on Oct 31 – Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. Taica manufacturers Alpha-GEL brand silicone components and materials, which maintain outstanding performance over a wide temperature range -40C to +200C. For more information, visit http://www.taica.co.jp/english/.
SYS-CON Events announced today that MIRAI Inc. will exhibit at the Japan External Trade Organization (JETRO) Pavilion at SYS-CON's 21st International Cloud Expo®, which will take place on Oct 31 – Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. MIRAI Inc. are IT consultants from the public sector whose mission is to solve social issues by technology and innovation and to create a meaningful future for people.
As hybrid cloud becomes the de-facto standard mode of operation for most enterprises, new challenges arise on how to efficiently and economically share data across environments. In his session at 21st Cloud Expo, Dr. Allon Cohen, VP of Product at Elastifile, will explore new techniques and best practices that help enterprise IT benefit from the advantages of hybrid cloud environments by enabling data availability for both legacy enterprise and cloud-native mission critical applications. By rev...
With major technology companies and startups seriously embracing Cloud strategies, now is the perfect time to attend 21st Cloud Expo October 31 - November 2, 2017, at the Santa Clara Convention Center, CA, and June 12-14, 2018, at the Javits Center in New York City, NY, and learn what is going on, contribute to the discussions, and ensure that your enterprise is on the right path to Digital Transformation.
SYS-CON Events announced today that Datera will exhibit at SYS-CON's 21st International Cloud Expo®, which will take place on Oct 31 – Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. Datera offers a radically new approach to data management, where innovative software makes data infrastructure invisible, elastic and able to perform at the highest level. It eliminates hardware lock-in and gives IT organizations the choice to source x86 server nodes, with business model option...
Infoblox delivers Actionable Network Intelligence to enterprise, government, and service provider customers around the world. They are the industry leader in DNS, DHCP, and IP address management, the category known as DDI. We empower thousands of organizations to control and secure their networks from the core-enabling them to increase efficiency and visibility, improve customer service, and meet compliance requirements.