Cost‑Performance Optimization

Overview

This tutorial guides you through strategies to optimize your Azure workloads for both cost efficiency and high performance. Learn how to select the right services, right‑size resources, and implement automation to continuously balance cost and performance.

Prerequisites

• Active Azure subscription
• Basic knowledge of Azure Resource Manager (ARM) templates
• Familiarity with Azure Monitor and Azure Advisor

Step‑by‑Step Guide

Analyze current workload patterns using Azure Monitor.
Identify under‑utilized resources with Azure Advisor.
Apply Azure Reserved Instances or Spot VMs where appropriate.
Configure autoscaling rules for compute services.
Implement Azure Cost Management budgets and alerts.

Cost Estimation Calculator

Enter estimated usage to see a monthly cost preview.

VM Hours per month

Standard SSD Storage (GB)

Data Transfer (GB)

Best Practices

Prefer Platform as a Service (PaaS) over Infrastructure as a Service (IaaS) when possible.
Leverage Azure Auto‑Scale to match demand.
Use region‑specific pricing and locate resources in lower‑cost regions.
Review and clean up orphaned resources monthly.
Utilize Azure Policy to enforce cost‑saving configurations.

Sample ARM Template Snippet

{
  "$schema": "https://schema.management.azure.com/schemas/2019-04-01/deploymentTemplate.json#",
  "contentVersion": "1.0.0.0",
  "resources": [
    {
      "type": "Microsoft.Compute/virtualMachines",
      "apiVersion": "2022-03-01",
      "name": "myOptimizedVM",
      "location": "[resourceGroup().location]",
      "properties": {
        "hardwareProfile": { "vmSize": "Standard_B2s" },
        "storageProfile": {
          "osDisk": {
            "createOption": "FromImage",
            "managedDisk": { "storageAccountType": "Premium_LRS" }
          }
        },
        "osProfile": {
          "computerName": "myVM",
          "adminUsername": "azureuser",
          "adminPassword": "P@ssw0rd!"
        }
      }
    }
  ]
}

Additional Resources