Planning to spend less

Capacity-planning software was created to help network executives plan for long-term growth and implement new initiatives. But in today's tough economy, those same planning tools are being used to help companies make their existing assets stretch further.

"Typically, the thought with capacity planning is 'I want to buy more,' but to me, that's a flawed understanding. It doesn't have to be about buying more," says David Swan, senior manager of global network operations for Altera, a maker of programmable logic devices.

From Altera's San Jose headquarters, Swan plans the company's network needs in the U.S., Europe and Asia. Although he could not reveal specifics, the cost to maintain connectivity on Altera's frame relay, ATM, leased lines and VPN circuits can exceed $100,000 per month. So when network performance starts to degrade, Swan says his first thought isn't to invest in more resources.

"The first things that come to mind for me are, 'Do I need to better prioritize what I've got?' or 'Do I need to more efficiently use my network based on the pattern of usage?'" Swan says. The capacity-planning process he uses shows which applications and users hog bandwidth and when. He can also determine the types of usage that demand a VPN circuit, which is typically a lower-cost circuit. This helps him plan around network-consuming activities and meet each department's bandwidth needs - without investing in more circuits.

"[Capacity planning] lets us manage the mix of circuit and resource types. It has allowed us to delay an increase in circuits for at least six months, and in the meantime, we've been able to deliver more sophisticated quality of service," he says.

Frank Walters, senior network engineer at the Illinois Century Network, shares Swan's philosophy. Fortunately for Walters, his budget isn't shrinking, and he can continue to purchase more bandwidth when necessary. The one hurdle he encounters in terms of capacity planning is getting the bandwidth from local providers and the OK from city officials in time to best serve his users. He says because of the delay in getting more lines wired to his network, he has to ensure his network will continue to run smoothly for more than six months at a time.

Walters must project the needs of the Illinois Century Network, a service provider that maintains point-to-point and peer-to-peer Internet access for Illinois schools. He says it sometimes can take from six months up to one year just to get the right of way for a new OC-12 line from city officials, and in the meantime, Walters must reallocate resources so users don't notice any degradation in service.

"Even if we're not able to get the lines upgraded, [capacity planning] helps us to identify the pipes that aren't fully utilized," Walters says. "It just makes sense to better use what we already have, and it pushes our deadline out a little bit so our users don't have to suffer."

Swan and Walters use capacity-planning software tools from NetScout and Clairvoyant, respectively. NetScout Capacity Planner helps network engineers spot usage trends in historical performance data and predict where more bandwidth may be needed. Clairvoyant's ForeCast Manager works with real-time information and can spot more immediate problems for network engineers looking for a short-term resolution.

These are just two of the many products designed to help network planners see where performance is lacking and how to boost the network. Some software uses model networks to simulate traffic. Others pose what-if scenarios to better calculate how the network may behave under heavy load and high traffic conditions. Companies such as Opnet, Compuware, BMC Software, Aprisma and Computer Associates - among many others - offer some type of capacity-planning software.

"Users now are looking for the short-term [return on investment (ROI)] when they spend any money," says Jean-Pierre Garbani, an analyst at Giga Information Group. "Capacity planning has gone from long-term optimization to providing immediate results, and users want that kind of instant gratification."

That's especially important this year because with budgets tight and estimated spending on hardware flat or falling, network planners need to find ways to stretch their existing network infrastructure and avoid spending IT dollars. Giga recently estimated that spending on computer and telecommunications equipment in 2002 will be down $5 billion, a 5% drop from 2001, while spending on software is expected to grow a modest 8% this year.

George Duguay, senior network engineer at American Tower, says he saved money by investing in new capacity-planning software. Using NetScout's tool set, Duguay estimates he saved the Boston Internet and wireless tower builder more than $1 million per year in circuit costs. American Tower has 60 sites across the country, each connected over a frame relay WAN. Duguay uses NetScout's nGenius Capacity Planner along with the company's Real-Time Monitor software to monitor WAN circuit utilization.

"We were able to plan appropriately and customize each site based on usage," Duguay says. American Tower used NetScout to plan for about three months out, and Duguay says he saw money-saving results within six months. It took some configuration, but otherwise he says the quick turnaround time mostly can be attributed to NetScout's ease of use.

This new fervor for faster results has gotten smaller companies such as Niksun, Adlex and NetQoS more attention. The vendors all sell performance management appliances that passively watch network traffic and pinpoint what applications or users cause slowdowns. And Garbani says, "Users see these devices as a great source of short-term ROI. You pay $50,000 once, and it tells you where you have a problem."

The appliances also can show quickly how to fix the performance problems, but Garbani warns that the benefits provided by these boxes is limited to the size of the network and the time users are willing to invest.

"In the real world, there really is no such thing as instant gratification," Garbani says.

"If you look at the economics, correcting a problem after the fact always costs more money. And if you choose to provision - or not to - in a hurry, you won't get the best deal," Garbani adds.

Contact Staff Writer Denise Dubie

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