
Optimizing Snowflake Costs And Governance For A Global E-Commerce Enterprise
About Client
A global e-commerce company managing millions of daily transactions used Snowflake as its main data platform. While Snowflake helped them make smart data-driven decisions, their fast growth and poor resource management caused costs to spike. They needed a better way to cut expenses and tighten control over their data.
Problem Statement
The client stated: Our Snowflake environment is powerful, but we need to rein in costs and implement proper controls without disrupting operations.
The client approached us with the following concerns:
- High compute costs due to over-provisioned virtual warehouses.
- Warehouses remained active during downtime, driving up unnecessary costs.
- Poor role-based access control led to uncontrolled resource usage.
- Limited insights into usage patterns made it challenging to optimize resources.
- Weak governance policies increase risks of non-compliance and security vulnerabilities.
Objectives
- Reduce compute and storage costs through efficient resource management.
- Introduce automated policies to suspend inactive warehouses.
- Strengthen role-based access control to enforce accountability.
- Enable real-time monitoring of costs, usage patterns, and security risks.
- Enhance compliance and governance to align with regulatory standards.
Solutions Offered
Our team implemented a comprehensive cost optimization and governance framework:
- Right-sized compute warehouses based on historical usage patterns and query demand.
- Configured warehouses to suspend automatically during idle periods and scale dynamically based on workload.
- Enforced least-privilege access for users and service accounts to control spending and secure data.
- Developed real-time dashboards using Power BI and Snowflake cost views for actionable insights.
- Streamlined SQL queries to reduce redundant computations and enhance efficiency.
- Implemented automated notifications using AWS Lambda and Snowflake Event Notifications for unusual activity or cost spikes.
Tools And Technology Stack Used
Snowflake: Query Profiling, Warehouse Optimization, Auto-Suspend Policies, RBAC
Power BI: Cost Monitoring & Visualization
AWS Lambda: Automated Alerts and Governance Controls
Python & SQL: Performance Tuning
Development Process
- Conducted a detailed audit of Snowflake usage and cost patterns.
- Designed and deployed cost-saving policies, such as auto-suspend and scaling settings.
- Tuned inefficient queries to enhance performance and minimize compute usage.
- Built custom dashboards for transparency into costs, usage, and compliance metrics.
- Enforced RBAC policies to control unauthorized access and improve governance.
- Automated alerts to monitor and act on anomalies proactively.
Outcomes
Within six weeks, the client saw measurable improvements:
- 45% Reduction in Compute Costs due to Optimized warehouses.
- 30% Faster Query Execution: Streamlined SQL improved performance and reduced execution time.
- Stronger Governance due to Implemented role-based controls and audit logs.
- 100% better Operational Visibility and 20% better cost visibility through Real-time dashboards.
- 20% better Long-Term Cost Controls due to automated cost-saving practices.
Conclusion
Aegis Softtech has addressed the client's pinpoints by optimizing Snowflake usage and strengthening governance. The client achieved significant cost savings and improved operational control.
Future Implications
- Expand automation capabilities for further cost optimization.
- Leverage advanced analytics for deeper insights into cost and usage trends.
- Scale governance measures to meet future regulatory requirements
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