Optimize Your System z ROI with z Operational Insights (zOI)

Hopefully all System z users are aware of the Monthly Licence Charge (MLC) pricing mechanisms, where a recurring charge applies each month.  This charge includes product usage rights and IBM product support.  If only it was that simple!  We then encounter the “Alphabet Soup” of acronyms, related to the various and arguably too numerous MLC pricing mechanism options.  Some might say that 13 is an unlucky number and in this case, a System z pricing specialist would need to know and understand each of the 13 pricing mechanisms in depth, safeguarding the lowest software pricing for their organization!  Perhaps we could apply the unlucky word to such a resource.  In alphabetical order, the 13 MLC pricing options are AWLC, AEWLC, CMLC, EWLC, MWLC, MzNALC, PSLC, SALC, S/390 Usage Pricing, ULC, WLC, zELC and zNALC!  These mechanisms are commercial considerations, but what about the technical perspective?

Of course, System z Mainframe CPU resource usage is measured in MSU metrics, where the usage of Sub-Capacity allows System z Mainframe users to submit SCRT reports, incorporating Monthly License Charges (MLC) and IPLA software maintenance, namely Subscription and Support (S&S).  We then must consider the Rolling 4-Hour Average (R4HA) and how best to optimize MSU accordingly.  At this juncture, we then need to consider how we measure the R4HA itself, in terms of performance tuning, so we can minimize the R4HA MSU usage, to optimize cost, without impacting Production if not overall system performance.

Finally, we then have to consider that WLC has a ~17-year longevity, having been announced in October 2000 and in that time IBM have also introduced hardware features to assist in MSU optimization.  These hardware features include zIIP, zAAP, IFL, while there are other influencing factors, such as HyperDispatch, WLM, Relative Nest Intensity (RNI), naming but a few!  The Alphabet Soup continues…

In summary, since the introduction of WLC in Q4 2000, the challenge for the System z user is significant.  They must collect the requisite instrumentation data, perform predictive modelling and fully comprehend the impact of the current 13 MLC pricing mechanisms and their interaction with the ever-evolving System z CPU chip!  In the absence of such a simple to use reporting capability from IBM, there are a plethora of 3rd party ISV solutions, which generally are overly complex and require numerous products, more often than not, from several ISV’s.  These software solutions process the instrumentation data, generating the requisite metrics that allows an informed decision making process.

Bottom Line: This is way too complex and are there any Green Shoots of an alternative option?  Are there any easy-to-use data analytics based options for reducing MSU usage and optimizing CPU resources, which can then be incorporated into any WLC/MLC pricing considerations?

In February 2016 IBM launched their z Operational Insights (zOI) offering, as a new open beta cloud-based service that analyses your System z monitoring data.  The zOI objective is to simplify the identification of System z inefficiencies, while identifying savings options with associated implementation recommendations. At this juncture, zOI still has a free edition available, but as of September 2016, it also has a full paid version with additional functionality.

Currently zOI is limited to the CICS subsystem, incorporating the following functions:

  • CICS Abend Analysis Report: Highlights the top 10 types of abend and the top 10 most abend transactions for your CICS workload from a frequency viewpoint. The resulting output classifies which CICS transactions might abend and as a consequence, waste processor time.  Of course, the System z Mainframe user will have to fix the underlying reason for the CICS abend!
  • CICS Java Offload Report: Highlights any transaction processing workload eligible for IBM z Systems Integrated Information Processor (zIIP) offload. The resulting output delivers three categories for consideration.  #1; % of existing workload that is eligible for offload, but ran on a General Purpose CP.  #2; % of workload being offloaded to zIIP.  #3; % of workload that cannot be transferred to a zIIP.
  • CICS Threadsafe Report: Highlights threadsafe eligible CICS transactions, calculating the switch count from the CICS Quasi Reentrant Task Control Block (QR TCB) per transaction and associated CPU cost. The resulting output identifies potential CPU savings by making programs threadsafe, with the associated CICS subsystem changes.
  • CICS Region CPU Constraint: Highlights CPU constrained regions. CPU constrained CICS regions have reduced performance, lower throughput and slower transaction response, impacting business performance (I.E. SLA, KPI).  From a high-level viewpoint, the resulting output classifies CICS Region performance to identify whether they’re LPAR or QR constrained, while suggesting possible remedial actions.

Clearly the potential of zOI is encouraging, being an easy-to-use solution that analyses instrumentation data, classifies the best options from a quick win basis, while providing recommendations for implementation.  Having been a recent user of this new technology myself, I would encourage each and every System z Mainframe user to try this no risk IBM z Operational Insights (zOI) software offering.

The evolution for all System z performance analysis software solutions is to build on the comprehensive analysis solutions that have evolved in the last ~20+ years, while incorporating intelligent analytics, to classify data in terms of “Biggest Impact”, identifying “Potential Savings”, evolving MIPS measurement, to BIPS (Biggest Impact Potential Savings) improvements!

IBM have also introduced a framework of IT Operations Analytics Solutions for z Systems.  This suite of interconnected products includes zOI, IBM Operations Analytics for z Systems, IBM Common Data Provider for z/OS and IBM Advanced Workload Analysis Reporter (IBM zAware).  Of course, if we lived in a perfect world, without a ~20 year MLC and WLC longevity, this might be the foundation for all of our System z CPU resource usage analysis.  Clearly this is not the case for the majority of System z Mainframe customers, but zOI does offer something different, with zero impact, both from a system impact and existing software interoperability viewpoint.

Bottom Line: Optimize Your System z ROI via zOI, Evolving From MIPS Measurement to BIPS Improvements!

Are You Ready For z Systems Workload Pricing for Cloud (zWPC) for z/OS?

Recently IBM announced the z Systems Workload Pricing for Cloud (zWPC) for z/OS pricing mechanism, which can minimize the impact of new Public Cloud workload transactions on Sub-Capacity license charges.  Such benefits will be delivered where higher Public Cloud workload transaction volumes may cause a spike in machine utilization.  Of course, if this looks familiar and you have that feeling of déjà vu, this is a very similar mechanism to Mobile Workload Pricing (MWP)…

Put simply, zWPC applies to any organization that has implemented Sub-Capacity pricing via the basic AWLC or AEWLC pricing mechanisms, for the usual MLC software suspects, namely z/OS, CICS, DB2, IMS, MQ and WebSphere Application Server (WAS).  An eligible transaction is one classified as Public Cloud originated, connecting to a z/OS hosted transactional service and/or data source via a REST or SOAP web service.  Public Cloud workloads are defined as transactions processed by named Public Cloud applications transactions identified as originating from a recognized Public Cloud offering, including but not limited to, Amazon Web Services (AWS), Microsoft Azure, IBM Bluemix, et al.

As per MWP, SCRT calculates the R4HA for Public Cloud transaction GP MSU resource usage, subtracting 60% of those values from the traditional Sub-Capacity software eligible MSU metric, with LPAR granularity, for each and every reporting hour.  The software program values for the same hour are aggregated for all Sub-Capacity eligible LPARs, deriving an adjusted Sub-Capacity value for each reporting hour.  Therefore SCRT determines the billable MSU peak for a given MLC software program on a CPC using the adjusted MSU values.  As per MWP, this will only be of benefit, if the Public Cloud originated transactions generate a spike in the current R4HA.

One of the major challenges for implementing MWP was identifying those transactions eligible for consideration.  Very quickly IBM identified this challenge and offered a WorkLoad Manager (WLM) based solution, to simplify reporting for all concerned.  This WLM SPE (OA47042), introduced a new transaction level attribute in WLM classification, allowing for identification of mobile transactions and associated processor consumption.  These Reporting Attributes were classified as NONE, MOBILE, CATEGORYA and CATEGORYB.  Obviously IBM made allowances for future workload classifications, hence it would seem Public Cloud will supplement Mobile transactions.

In a previous z/OS Workload Manager (WLM): Balancing Cost & Performance blog post, we considered the merits of WLM for optimizing z/OS software costs, while maintaining optimal performance.  One must draw one’s own conclusions, but there seemed to be a strong case for WLM reporting to be included in the z/OS MLC Cost Manager toolkit.  The introduction of zWPC, being analogous to MWP, where reporting can be simplified with supplied and supported WLM function, indicates that intelligent and proactive WLM reporting makes sense.  Certainly for 3rd party Soft-Capping solutions, the ability to identify MWP and zWPC eligible transactions in real-time, proactively implementing MSU optimization activities seems mandatory.

The Workload X-Ray (WLXR) solution from zIT Consulting delivers this WLM reporting function, seamlessly integrating with their zDynaCap and zPrice Manager MSU optimization solutions.  Of course, there is always the possibility to create your own bespoke reports to extract the relevant information from SMF records and subsystem diagnostic data, for input to the SCRT process.  However, such a home-grown process will only work on a monthly reporting basis and not integrate with any Soft-Capping MSU management, which will ultimately control z/OS MLC costs.

In conclusion, from a big picture viewpoint, in the last 2 years or so, IBM have introduced several new Sub-Capacity pricing mechanisms to help System z Mainframe users optimize z/OS MLC costs, namely Mobile Workload Pricing (MWP), Country Multiplex Pricing (CMP) and now z Systems Workload Pricing for Cloud (zWPC).  In theory, at least one of these new pricing mechanisms should deliver benefit to the committed System z user, deploying this server for strategic and Mission Critical workloads.  With the undoubted strategic importance associated with Analytics, Blockchain, Cloud, DevOps, Mobile, Social, et al, the landscape for System z workloads is rapidly evolving and potentially impacting those sacrosanct legacy Mission Critical workloads.  Seemingly the realm of possibility exists that Cloud and Mobile originated transactions will dominate access to System z Mainframe System Of Record (SOR) data repositories, which generates a requirement to optimize associated MLC costs accordingly.  Of course, for some System z users, such Cloud and Mobile access might not be on today’s to-do list, but inevitably it’s on the horizon, and so why not implement the instrumentation ability ASAP!

The IBM Mainframe: A Several Year Hardware Refresh Cycle?

Typically a new generation of IBM Mainframe server is released every three years or so, along with a number of function and performance upgrades.  In 2003, IBM released their Mainframe Charter that included a statement:

IBM lowered MSU values incorporated in the z990 microcode by approximately 10 percent, resulting in IBM software savings for IBM zSeries software products with MSU-based pricing.  These reduced MSUs do not indicate a change in machine performance. Superior performance and technology within the z990 has allowed IBM to provide improved software prices for key IBM zSeries operating system and middleware software products.

This terminology was named by some as the “Technology Dividend” where put simply, when upgrading IBM Mainframe servers, users would benefit from a ~10%+ software price versus performance benefit.  However, the z10 server model was the last IBM Mainframe series that benefitted from this hardware CPU chip related performance benefit.  Subsequent IBM Mainframe models have compensated for this slowing of hardware performance increase, by compensating with AWLC and AEWLC pricing models.  Therefore, unless your business has an absolute need for the “latest and greatest” IBM Mainframe server hardware, the realm of possibility exists that your business can extend the useful and cost efficient lifetime of your IBM Mainframe asset beyond the typical three year period…

As we all know, with every IT platform, there is a strong correlation between server hardware and associated Operating System.  Arguably the IBM Mainframe server has the best compatibility attribute, where there are many server hardware and Operating System interoperability scenarios.  A recent Statement Of Direction (SOD) for z/OS states:

Going forward, IBM intends to make new z/OS and z/OSMF releases available approximately every two years. Such a schedule would be intended to provide you with sufficient time to plan for new releases and to leverage them for the most business value. In addition, beginning with z/OS Version 2, IBM plans to provide five years of z/OS support, with three years of optional, fee-based extended service (5+3) as part of the new release cadence. Beginning with z/OSMF Version 2, IBM also plans to provide five years of z/OSMF support. However, similar to z/OSMF Version 1, optional extended service is not planned to be available for z/OSMF Version 2.

In addition, in z/OS V2.1, IBM plans to further leverage enhancements in the current IBM mainframe servers and storage control units. z/OS V2.1 is planned to IPL only on System z9 and later servers. Also, z/OS Version 2 is planned to require 3990 Model 3 (3990-3), 3990 Model 6 (3990-6), and later storage control units.

In attempt to simplify this scenario, in theory an IBM Mainframe customer could benefit from 5 years z/OS Version 2 support, with an IBM z9 or newer server.  In addition, this support could be extended for a further 3 years, for an extended service fee.  Therefore, from a software support perspective, there are no tangible cost considerations for extending the asset life of an IBM Mainframe from a 3 to 5 year cycle.

We must then consider the End of Marketing (EOM), also known as Withdrawal From Marketing (WDFM) and End Of Service (EOS) life cycles for the IBM Mainframe Server (Hardware).  Once again, when compared to other non-Mainframe platforms, the IBM Mainframe Server demonstrates an arguably unparalleled support cycle, where in the last 20 years or more, an average of 4.2 years sales and service, supplemented by an additional average of 7.1 years additional service applies.  Once again, as per z/OS Operating System support, the realm of possibility exists for extending the typical 3 year hardware refresh cycle to 5 years or longer.

When considering IBM Mainframe server hardware provision and support, there is one subtle difference that is not necessarily obvious, especially for those organizations that refresh their IBM Mainframe server every 3 years or so.  Clearly and stating the obvious, only IBM or a highly certified IBM System z Business partner can supply a latest generation IBM System z server or field upgrade option.  Conversely, there are a higher number of certified organizations that can provide IBM Mainframe hardware support services, allowing for a competitive and healthy 3rd party market for these services.  Additionally these companies also maintain inventories of equipment and have access to Microcode and Firmware upgrades that offer a possibility for performing field upgrades of EOM/WDFM servers.  One such company with a longevity and good track record of providing these value-added IBM Mainframe services from The United Kingdom is Blue Chip Customer Engineering.  As per any other competitive market place, arguably each and every IBM Mainframe user might consider obtaining a comparative hardware support services quotation for their business, whether they’re using the current latest and greatest IBM System z server model, or a slightly older (E.g. 4-8+ Years) model.

In conclusion, there are always options for the cost savvy business to reduce costs.  In the IBM Mainframe environment, soft capping via standard IBM Defined Capacity (DC) or Group Capacity Limit (GCL) function is an option, intelligent soft capping via a 3rd party product such as zDynaCap might be an option, or leveraging from the latest Absolute Capping IBM feature also applies.  Moreover, exploring the 3rd party hardware support services market might prove to be a very simple and commercial exercise that could decrease IBM Mainframe TCO, while extending asset life accordingly.

System z MLC Pricing Increases: Look After The Pennies…

Recently IBM announced ~4% price increases in z/OS Monthly License Charges (MLC) for selected Operating System and Middleware software programs and associated features. Specifically, price increases will apply to the VWLC, AWLC, EWLC, AEWLC, PSLC, FWLC and TWLC pricing metrics. Notably, SDSF price increases will be ~20% with Advanced Function Printing (AFP) product price increases of ~13-24%. In a global economy where inflation rates for The USA and Western Europe are close to 0%, one must draw one’s own conclusions accordingly. Lets’ not forget that product version changes typically have an associated price increase. From a contractual viewpoint, IBM only have to provide 90 days advance notice for such price changes, in this instance, IBM provided 150+ days advanced notice.

Price increases are inevitable and as always, it’s better to be proactive as opposed to reactive to such changes. As always, the old proverbs always make good sense and in this instance, “look after the Pennies and the Pounds will look after themselves”! This periodic IBM price increase is inevitable, but is not the underlying issue for controlling System z software costs. For many years, since 1994 to be precise, when IBM introduced Parallel Sysplex License Charges (PSLC), the need for IBM Mainframe users to minimize MSU usage has been of high if not critical importance. Nothing has changed in this 20+ year period and even though IBM might have introduced Sub-Capacity and specialty engines to minimize chargeable MSU usage, has each and every System z user optimized their MSU usage? Ideally this would not be a rhetorical question, rather being a “Golden Rule”, where despite organic CPU capacity increases of ~10% per annum, a System z environment could maintain near static IBM MLC software costs.

I have written several blog entries and presented on this subject matter over the years, for example:

The simple bottom line is that System z MLC software accounts for ~20-35% of the overall System z TCO, typically being the #1 expenditure item. For that reason alone, it’s incumbent for each and every System z user to safeguard they have the technical and commercial skills in place to manage this cost item, not as an afterthought, but inbuilt into each and every System z process, from application design, through to that often neglected afterthought, application tuning.

Many System z organizations might try to differentiate between a nuance of System and Application tuning, but such a “not my problem” type attitude is not acceptable and will be imposing a significant financial burden on each and every organization.

A dispassionate and pragmatic approach is required for optimizing System z CPU usage. In this timeframe, let’s examine the ~20% SDSF price increase. IBM will quite rightly state that in conjunction with their z/OS 2.2 release, there are significant SDSF product function advancements, including zIIP offload, REXX interoperability and increased information delivery. However are such function improvements over and above the norm and not expected as a Business As Usual (BAU) product improvements, which should be included in the Service & Support (S&S) or Monthly License Charges (MLC) paid for software?

In October 2013 I wrote a blog entry; Mainframe ISV Software: Is Continuous Product Improvement Always Evident? The underlying message was that an ISV should deliver the best product they can, for each and every release, without necessarily increasing software costs. In this particular instance, the product was an SDSF equivalent, namely (E)JES, which many years ago delivered all of the function incorporated in SDSF for z/OS 2.2, but for a fraction of the cost…

As of 1 November 2015, IBM will start billing cycles for Country Multiplex Pricing (CMP), which requires the October 2015 version of SCRT, namely V23R10. A Multiplex is defined as a collection of all System z servers in one country, measured as one System z server for software sub-capacity reporting. Sub-Capacity program utilization peaks across the Multiplex will be measured, as opposed to separate peaks by System z servers. CMP also provides the flexibility to move and run workloads anywhere with the elimination of Sysplex aggregation pricing rules.

Migrating to CMP is focussed on CPU capacity growth and flexibility going forward. Therefore System z users should not expect price reductions for their existing workloads upon CMP deployment. Indeed there are CMP deployment considerations. A CMP MSU baseline (base) needs to be established, where this MSU Base and associated MLC Base Factor is established for each sub-capacity MLC product and each applicable feature code. These MSU and MLC bases represent the previous 3 Month averages reported by SCRT before commencing CMP. Quite simply, to gain the most from CMP, the System z user must safeguard that their R4HA for each and every MLC product is optimized, before setting the CMP baseline, otherwise CMP related cost savings going forward are likely to be null.

From a very high-level management viewpoint, we must observe that IBM are a commercial organization, and although IBM provide mechanisms for controlling cost going forward, only the System z user can optimize System z MLC cost for their organization. Arguably with CMP, Soft-Capping isn’t a consideration, it’s mandatory.

Put very simply, each and every System z user can safeguard that they look after the Pennies (Cents) and the Pounds (Euros, Dollars) will look after themselves by paying careful attention to System z MLC software costs. Setting a baseline of System z MLC costs is mandatory, whether for the first time, or to set a new baseline for CMP deployment. Maintaining or lowering this System z MLC cost baseline should or arguably must be the objective going forward, even when considering 10% organic CPU growth, each and every year. System z decision-makers and managers must commit to such an objective and safeguard the provision of adequately skilled personnel to optimize such a considerable TCO cost line item (I.E. MLC @ ~20-35% of System z TCO). In an ecosystem with technical resources including DBA, Systems Programmer, Capacity Planner, Application Personnel, Performance Tuning, et al, why wouldn’t there be a specialist Software Cost Manager?

Let’s consider how even an inexperienced System z user can maintain a baseline of System z MLC costs, even with organic CPU capacity growth of 10% per annum:

  • System z Server Upgrade: Higher specification CPU chips or Technology Transition Offering (TTO) pricing metrics deliver 10%+ cost per MSU benefits.
  • System z Specialty Engines: Over time, more and more application workload can be offloaded to zIIP processors, with no sub-capacity MLC software charges.
  • System z Software Version Upgrades: Major subsystems such as CICS, DB2, IMS, MQSeries and WebSphere deliver opportunity to lower cost per MSU; safeguard such function exploitation.
  • Application Tuning: Whether SQL, COBOL, Java, et al, or the overall I/O subsystem, safeguard that latest programming techniques and I/O subsystem functions are exploited.
  • New Application Deployment: As and when possible, deploy new or convert existing workloads to benefit from the optimal MLC pricing metric; previously zNALC, nowadays zCAP.
  • Technical & Commercial Skills Currency: Safeguard personnel have the latest System z software pricing knowledge, ideally from an independent 3rd party such as Watson & Walker.

In conclusion, as householders we have the opportunity to optimize our cost expenditure, choosing and switching between various major cost items such as financial, utility and vehicle products. As System z users, we don’t have that option, only IBM provide System z servers and associated base architecture, namely the most expensive MLC software products, z/OS, CICS, DB2, IMS and WebSphere/MQ. However, just as we manage our domestic budgets, reducing power usage, optimizing vehicle TCO and getting more bang from our buck for financial products various, we can and must deliver this same due diligence for our System z MLC TCO. With industry averages of ~$500-$1000 per MSU for z/OS MLC software and associated annual expenditure measured in many millions, why wouldn’t any System z user look to deliver 10%+ cost per MSU optimization, year-on-year for their organization?

Clearly the cost of doing nothing in this instance, is significant, measured in magnitudes of millions, each and every year. Hence for System z MLC TCO optimization, looking after the Pennies is more than worthwhile, while the associated benefit of the Pounds, Euros or Dollars looking after themselves is arguably priceless.

z13 WLC Software Pricing Updates: Are You Ready?

Along with the z13 hardware announcement were several very obvious WLC pricing announcements, but more importantly, two hidden Statements Of Direction (SOD) or pre-announcements.

I guess we can all remember the “zSeries Technology Dividend” where put simply, when upgrading zSeries servers, users would benefit from a ~10%+ software price versus performance benefit.  Does anybody still remember the IBM Mainframe Charter from 2003?  That was the document that first referenced this price/performance benefit, which became known as the “technology dividend”.  Specifically, this document stated:

IBM lowered MSU values incorporated in the z990 microcode by approximately 10 percent, resulting in IBM software savings for IBM zSeries software products with MSU-based pricing.  These reduced MSUs do not indicate a change in machine performance. Superior performance and technology within the z990 has allowed IBM to provide improved software prices for key IBM zSeries operating system and middleware software products.

Put really simply, for z990, z9 and z10 server upgrades, IBM delivered this ~10% benefit with faster CPU chips.  Therefore, no noticeable impact on Software Pricing, Capacity Planning or Performance Measurement processes.  However, with the z196/z114, this ~10% benefit could no longer be delivered by CPU chip hardware speed enhancements.  To compensate, IBM introduced the Advanced Workload License Charges (AWLC) pricing regime.  AWLC is an evolution of the Variable (VWLC) pricing regime, lowering per MSU costs for WLC eligible products (E.g. z/OS, CICS, DB2, IMS, WebSphere/MQ, et al).  Hence delivering the ~10% price/performance benefit when upgrading from a z10 to a z196 or z114 (AEWLC) server.

Of course, when upgrading to the zEC12 or zBC12, further refinement of AWLC pricing was required, to deliver this the ~10% price/performance benefit.  Hence, IBM introduced the AWLC Technology Transition Offerings (TTO), lowering AWLC prices for zXC12 and now z13 zSeries servers.

For z13, IBM announced the following z13 AWLC Technology Transition Offerings:

  • Technology Update Pricing for the IBM z13 (TU3): When stand-alone z13 servers are priced with AWLC, or when all the servers in an aggregated Sysplex or Complex are z13 servers priced with AWLC, these servers receive a reduction to AWLC pricing which is called.  Quantity of z13 Full Capacity MSUs for a stand-alone server, or the sum of Full Capacity MSUs in an actively coupled Parallel Sysplex or Loosely Coupled Complex made up entirely of z13 servers.  AWLC discounts range from 4% (4-45 MSU) to 14% (5477+ MSU).
  • AWLC Sysplex Transition Charges (TC2): When two or more machines exist in an aggregated Sysplex or Complex & at z13, zEC12, or zBC12 server & at least one is a z196 or z114 server, with no older technology machines included, they will receive a reduction to AWLC pricing across the aggregated Sysplex or Complex. This reduction provides a portion of the benefit related to the Technology Update Pricing for AWLC (TU1) based upon the proportion of zEC12 or zBC12 server capacity in the Sysplex or Complex.  AWLC discounts range from 0.5% (0-20% z13/zXC12 MSU) to 4.5% (81%-<100% z13/zXC12 MSU).
  • AWLC Sysplex Transition Charges (TC3): When two or more machines exist in an aggregated Sysplex or Complex & at least one is a z13 server & at least one is a zEC12 or zBC12 server, with no older technology machines included, they will receive a reduction to AWLC pricing across the aggregated Sysplex or Complex. This reduction provides a portion of the benefit related to the IBM z13 TU3 offering, based on the total Full Capacity MSU of all z13, zEC12, & zBC12 Machines in the Sysplex or Complex.  AWLC discounts range from 2.8% (4-45 MSU) to 9.8% (5477+ MSU).

These AWLC software pricing announcements are Business As Usual (BAU) and to be expected, but if we dig slightly deeper into the z13 announcements, we will find two other pre-announcements of interest!

Since introducing sub-capacity and WLC pricing regimes, IBM have continually evolved zSeries software sub-capacity pricing mechanisms, with zNALC, AWLC, IWP and more recently MWP offerings.  From a generic viewpoint, with the exception of zNALC, a niche new workload price offering, these pricing announcements did not challenge the “status quo”, where aggregated MSU and large LPAR structures were the ideal.  So why might the upcoming z13 (E.g. Q2 2015) pricing announcements be of note?  Primarily because they challenge the notion of having separate structural entities (I.E. Sysplex Coupled zSeries Servers & LPARS) for existing and new workloads.

Country Multiplex Pricing (CMP): A major evolution, essentially eliminating prior Sysplex pricing rules, requiring that systems be interconnected and/or sharing the same data in order to be eligible for aggregation of MLC software pricing charges.  A Multiplex is defined as the collection of all z Systems within a country.  Therefore, sub-capacity usage will be measured & reported as a single machine, regardless of the connectivity or data sharing configurations.  A new sub-capacity reporting tool is being implemented & clients should expect a transition period as the new pricing model is implemented.  This should allow flexibility to move & run work anywhere, eradicating multiple workload peaks when workloads move between machines.  Ultimately the cost of growth is reduced with one price per product based on MLC capacity growth anywhere in the country.CMP should facilitate for flexible deployment and movement of business workloads between all zSeries Servers located within a country, without impacting MLC billing.  For the avoidance of doubt, this will assist the customer in safeguarding they don’t encounter duplicate MLC peaks as a result of moving an LPAR workload from one zSeries Server to another.  It also removes all Sysplex aggregation considerations, Single Version Charging (SVC) time limits and Cross Systems Waivers (CSW).  Most notably, the cost per MSU for additional capacity will be optimized, being based upon total Multiplex MSU capacity.

IBM Collocated Application Pricing (ICAP): Previously, new applications (zNALC) required a separate LPAR to avoid increases in other MLC software charges.  ICAP facilitates new eligible applications be charged as if they are running in a dedicated environment.  Technically they are integrated with other (non-eligible) workloads.  Software supporting the new application will not impact the charges for other MLC software collocated in the same LPAR.  ICAP appears as an evolution of the Mobile Workload Pricing (MWP) for z/OS pricing mechanism.  ICAP will use an enhanced MWRT, implemented as a z/OS application.  ICAP applies to z13, zXC12, z196/z114 servers.  IBM anticipates that ICAP will deliver zNALC type price benefit, discounting ~50% of ICAP eligible software MSU.

Seemingly IBM have learned from the lessons of IWP, where at first glance, software discounts were attractive, but not at the cost of a separate LPAR.  From a reporting viewpoint, there are similarities to Mobile Workload Pricing for z/OS (MWP), but most notably, pricing is largely zNALC based.  Therefore collocating new workloads in the same LPAR as existing workloads, but with the best price performance of any pricing regime, except zNALC, which is a niche and special edition software pricing metric.

In conclusion, CMP and ICAP are notable WLC pricing regime updates, because they do challenge the status quo of MSU aggregation via Sysplex coupled servers and the ability to collocate new and existing workloads in the same LPAR.  On the one hand, simplified pricing considerations from a granular per MSU cost viewpoint.  However, to optimize price versus performance, arguably the savvy Data Centre will now require a higher level of workload management, safeguarding optimum MSU capacity usage and associated performance.

zPrice Manager is an evolution of the typical soft-capping approach, which can be IBM function based, namely Defined Capacity (DC) or Group Capacity Limit (GCL), or ISV product based.  ISV products typically allow MSU management with dynamic MSU capacity resource management between LPAR, LPAR Group & CPC structures, ideally with Workload Manager (WLM) interaction.  If plug & play simple MSU management is required, these traditional IBM or 3rd party ISV approaches will still work with CMP and ICAP, but will they maximize WLC TCO?

The simple answer is no, because CMP allows the movement of workloads between zSeries Servers.  Therefore if WLC product (I.E. z/OS, CICS, DB2, IMS, WebSphere/MQ) pricing is to be country wide, and optimum WLM performance is to be maintained, a low level granularity of MSU management is required.

zPrice Manager from zIT Consulting allows this level of WLC software product management, with a High Level REXX programmatic interface, and the ability to store real life MSU profile data as callable REXX variables.  Similar benefits apply to ICAP workloads, where different WLM policies might be required for the same WLC product, deployed on the same collocated workload LPAR.  Therefore the savvy data centre will safeguard they optimize MSU TCO via MWP and/or ICAP pricing regimes, without impacting business application performance.

In conclusion, the typical z13 AWLC software pricing updates are Business As Usual (BAU) and can be implemented, as and when required and without consideration.  Conversely, CMP and ICAP can deliver significant future benefit and should be considered in zSeries Server capacity planning forecasts.

Bottom Line Recommendation: Each and every zSeries Server user, whether large or small, should initiate contact with their IBM account teams, for CMP and ICAP briefings, allowing them to consider how they might benefit from these new WLC software pricing regimes.

Are You Ready For z/OS Mobile Workload Pricing (MWP)?

Recently IBM announced Mobile Workload Pricing (MWP) for z/OS which can minimize the impact of mobile workloads on Sub-Capacity license charges, delivering optimized pricing for System z environments extending their workloads to incorporate mobile devices.

MWP only applies to Mainframe customers deploying a zEC12 or zBC12 in their enterprise, as per the AWLC or AEWLC (AKA Advanced/Entry Workload License Charges) metric; MWP is also extended if a zEC12 or zBC12 enterprise is deploying a z196 or z114 via the AWLC or AEWLC metric.

The primary consideration for MWP is determining how a Mainframe customer can comply with the tracking requirements for mobile workloads.  On the plus side, MWP does not require an isolation of mobile workload transactions in separate LPARs, using enhanced reporting for software pricing.  This is a major step forward when compared with Integrated Workload Pricing (IWP), which ideally requires large LPAR container structures, minimizing costs for WebSphere workloads, applying to the CICS, IMS and WebSphere MLC software products.  Conversely, MWP includes DB2 in the list of eligible software products for cost reduction.

If a Mainframe customer is eligible for MWP pricing they will then need to utilize the Mobile Workload Reporting Tool (MWRT), which is analogous to the original Sub-Capacity Reporting Tool (SCRT).  This is an either/or situation, the Mainframe customer only submits MCRT reports to IBM if they’re MWP eligible, or the status quo remains, where non-MWP Mainframe customers continue to submit SCRT reports.

The Mainframe customer must track and report General Purpose (GP) CPU time for mobile transactions, reporting those values in a pre-defined format to IBM each month to benefit from MWP.  MWRT utilizes reported mobile transaction data to adjust the Rolling 4 Hour Average (R4HA) Sub-Capacity software eligible MSUs, with LPAR granularity.  Optimizing mobile transactions impact for peak LPAR MSU values delivers benefit when higher mobile transaction volumes generate MSU resource usage peaks (Workload Spikes).

MWRT calculates the R4HA for mobile transaction GP MSU resource usage, subtracting 60% of those values from the traditional Sub-Capacity software eligible MSU metric, with LPAR granularity, for each and every reporting hour.  The software program values for the same hour are aggregated for all Sub-Capacity eligible LPARs, deriving an adjusted Sub-Capacity value for each reporting hour.  Therefore MWRT determines the billable MSU peak for a given MLC software program on a CPC using the adjusted MSU values.

Most committed zSeries Mainframe customers will be deploying CICS, DB2 and WebSphere software, while IT trends dictate that mobile device usage (I.E. Smartphone, Tablet, et al) is increasing.  Therefore most z/OS applications that require such mobile access have evolved accordingly over time.  Therefore it seems to be one of those “No Brainer” type scenarios, where the Mainframe user should plan to benefit from MWP, either as they upgrade to the latest zSeries technology, namely zEC12 or zBC12, or immediately if already deploying a zEC12 or zBC12 server.

The only minor consideration is a requirement for the zEC12 or zBC12 customer to engage their local IBM account team, to determine what data they need to report on mobile transactions for MWP consideration.  This one off task will deliver optimized WLC pricing forever more.

Of course IBM are encouraging customers to consider the Mainframe for new applications, driven by mobile transaction requirements.  Equally, there is no reason why longer term Mainframe customers can’t benefit from MWP, benefitting from reduced MLC costs, a major consideration of Mainframe TCO.

Mainframe Server Planning: Vendor Interaction

In the last few weeks I have encountered a couple of scenarios regarding Mainframe Server upgrades that have surprised me somewhat.  The first was at the annual UK GSE conference during November 2013, where one of the largest UK Mainframe customers stated “we had problems regarding the capacity sizing of the IBM Mainframe server installed and our vendor was not very helpful in resolving this challenge with us”.  The second was a European customer with 2 aging servers deployed, z9 BC, and they had asked their IBM Mainframe server vendor to provide an upgrade quotation.  The server vendor duly replied, providing a like-for-like upgrade quotation, 2 new zBC12 servers, which at first glance seemed to be a valid configuration.

The one thing in common for these 2 vastly different Mainframe customers, the first very large, the second quite small, is that inadvertently they didn’t necessarily engage their respective vendors with the best set of questions or indeed terms of reference; while the vendors might say “ask me no questions and I’ll tell you no lies”…

For the 2nd scenario, I was asked to quickly review the configuration provided.  My first observation was to consolidate both workloads on 1 server.  The customer confirmed, there was no business reason to have 2 servers, it was historic, and there wasn’t even a SYSPLEX between the 2 z9 BC servers.  The historic reason for the 2 z9 BC servers was the number of General Purpose (GP) engines supported.  My second observation was that software licensing could be simplified and optimized with aggregated MSU and use of the AEWLC pricing model.  So within ~1 hour, the customer had a significant potential to dramatically reduce costs.

We then suggested an analysis of their configuration with 2 software products, PerfTechPro for z/OS and zDynaCap.  They already had the SMF data, so using the simulation abilities of these products, the customer quickly confirmed they could consolidate their workloads onto 1 zBC12, deploy zIIP processors to offload ~15% CPU usage from GP, and control MSU allocation with zDynaCap, saving another ~10% of CPU.  For this customer, a small investment in software products reduced their server upgrade costs by ~€400,000 in year 1, with similar software savings, each and every year forever more.  Although they didn’t have the skills in-house from a Mainframe Capacity Planning and software licensing viewpoint, this customer did eventually ask the right questions, and the rest as they say is history!

No man or indeed Mainframe customer is an island, so don’t be afraid to ask questions of your vendors or business partners!

From a cost viewpoint, both long-term (TCO) and day 1 (TCA), the requirement to deploy the optimum Mainframe server configuration from a capacity viewpoint cannot be under estimated, both in terms of hardware costs, but more importantly, associated software costs.  It therefore follows that Mainframe Capacity Planning and Mainframe Software Licensing knowledge is imperative, but I’m not so sure there are that many Mainframe customers that have clearly defined job roles for such disciplines.

To generalize, always a dangerous thing, typically the larger Mainframe customer does have skilled and seasoned personnel for the Capacity Planning discipline, while the smaller Mainframe user might rely on a generic Systems Programmer or maybe even rely on their vendor to size their Mainframe servers.  From a Mainframe software licensing viewpoint, there seems to be no general rule-of-thumb, as sometimes the smaller customer has significant knowledge and experience, whereas the larger Mainframe customer might not.  Bottom Line: If the Mainframe customer doesn’t allocate the optimum capacity and associated software licensing metrics for their installation, problems will arise, probably for several years or more!

Are there any simple solutions or processes that can assist Mainframe customers?

The first and most simple observation is to engage your vendor and safeguard that they generate the final Mainframe server configuration that is used for Purchase Order activities.  For sure, the customer will have their capacity plan and perhaps a “draft” server configuration, but even in these instances, the vendor should QA this data, refining the bill of materials (E.g. Hardware) accordingly.  Therefore an iterative process occurs between customer and vendor, but the vendor is the one that confirms the agreed configuration is fit for purpose.  In the unlikely event there are challenges in the future, the customer can work with their vendor to find a solution, as opposed to the example stated above where the vendor left their customer somewhat isolated.

The second observation is leverage from the tools and processes that are available, both generally available and internal for vendor pre sales personnel.  Seemingly everybody likes something for nothing and so the ability to deploy “free” tools will appeal to most.

For Mainframe Capacity Planning, in addition to the standard in-house processes, whether bespoke (E.g. SAS, MXG, MICS based) or a packaged product, there are other additional tools available, primarily from IBM:

zPCR (Processor Capacity Reference) is a generally available Windows PC based tool, designed to provide capacity planning insight for IBM System z processors running various z/OS, z/VM, z/VSE, Linux, zAware, and CFCC workload environments on partitioned hardware.  Capacity results are based on IBM’s most recently published LSPR data for z/OS.  Capacity is presented relative to a user-selected Reference-CPU, which may be assigned any capacity scaling-factor and metric.

zCP3000 (Performance Analysis and Capacity Planning) is an IBM internal tool, Windows PC based, designed to for performance analysis and capacity planning simulations for IBM System z processors, running various SCP and workload environments.  It can also be used to graphically analyse logically partitioned processors and DASD configurations.  Input normally comes from the customer’s system logs via a separate tool (I.E. z/OS SMF via CP2KEXTR, VM Monitor via CP3KVMXT, VSE CPUMON via VSE2EDF).

zPSG (Processor Selection Guide) is an IBM internal tool, Windows PC based, designed to provide sizing approximations for IBM System z processors intended to host a new application, implemented using popular, commercially available software products (E.g. WebSphere, DB2, ODM, Linux Apache Server).

zSoftCap (Software Migration Capacity Planning Aid) is a generally available Windows PC based tool, designed to assess the effect on IBM System z processor capacity, when planning to upgrade to a more current operating system version and/or major subsystems versions (E.g. Batch, CICS, DB2, IMS, Web and System).  zSoftCap assumes that the hardware configuration remains constant while the software version or release changes.  The capacity implication of an upgrade for the software components can be assessed independently or in any combination.

zBNA (System z Batch Network Analysis) is a generally available Windows PC based tool, designed to understand the batch window, for example:

  • Perform “what if” analysis and estimate the CPU upgrade effect on batch window
  • Identify job time sequences based on a graphical view
  • Filter jobs by attributes like CPU time / intensity, job class, service class, et al
  • Review the resource consumption of all the batch jobs
  • Drill down to the individual steps to see the resource usage
  • Identify candidate jobs for running on different processors
  • Identify jobs with speed of engine concerns (top tasks %)

BWATOOL (Batch Workload Analysis Tool) is an IBM internal tool, Windows PC based, designed to analyse SMF type 30 and 70 data, producing a report showing how long batch jobs run on the currently installed processor.  Both CPU time and elapsed time are reported. Similar results can then be projected for any IBM System z processor model. Basic questions that can be answered by BWATOOL include:

  • What jobs are good candidates for running on any given processor?
  • How much would jobs benefit from running on a faster processor?
  • For jobs within a critical path (batch window), what overall change in elapsed time might occur with a new processor?

zMCAT (Migration Capacity Analysis Tool) is an IBM internal tool, Windows PC based, designed to compare the performance of production workloads before and after migration of the system image to a new processor, even if the number of engines on the processor has changed.  Workloads for which performance is to be analysed must be carefully chosen because the power comparison may vary considerably due to differing use of system services, I/O rate, instruction mix, storage reference patterns, et al.  This is why customer experiences are unique from an internal throughput ratio (ITRR) based on LSPR benchmark data.

zTPM (Tivoli Performance Modeler) is an IBM internal tool, Windows PC based designed to let you build a model of a z/OS based IBM System z processor, and then run various “what if scenarios”.  zTPM uses simulation techniques to let you model the impact of changes on individual workload performance.  zTPM uses RMF or CMF reports as input.  Based on these reports, zTPM can create summary charts showing LPAR as well as workload utilization.  An automated Build function lets you build a model that represents the system for any reporting interval.  Once the model is built, you can make changes to see the impact on workload performance.  zTPM is also available as an IBM software product offering.

Therefore there are numerous tools available from IBM to assist their customers determine optimum Mainframe server capacity requirements.  Some of these tools are generally available without engaging the IBM account team, but others are internal to IBM, and for that reason alone, Mainframe customers must engage their IBM Mainframe account team to participate in their capacity planning activities.  Additionally, as the only supplier of Mainframe Servers, IBM have a wealth of knowledge and indeed a responsibility and generally a willingness to assist their customers deploy the right Mainframe server configuration from day 1.

As a customer, don’t be afraid to engage external 3rd parties to perform a sanity check of your thinking and activities, clearly IBM as they will be fulfilling your IBM Mainframe server order.  However, consider engaging other capacity/performance and software licensing specialists as their experience incorporates many customers, as opposed to an insular view.  Moreover, such 3rd parties probably utilize their own software tools or products to assist in this most important of disciplines.

In conclusion, as always, the worst question is the one not asked, and for this most fundamental of processes, not collaborating with your vendor and the wider community, might leave you as an individual exposed and isolated, and your company exposed to the consequences of an undersized or oversized Mainframe sever configuration…

IBM Mainframe: Workload License Charges (WLC) Pros & Cons

It is estimated that less than half of eligible IBM Mainframe customers deploy the VWLC pricing mechanism, which in theory, is the lowest cost IBM software pricing metric.  Why?  In the first instance, let’s review the terminology…

Workload License Charges (WLC) is a monthly software license pricing metric applicable to IBM System z servers running z/OS or z/TPF in z/Architecture (64-bit) mode.  The fundamental ethos of WLC is a “pay for what you use” mechanism, allowing a lower cost of incremental growth and the potential to manage software cost by managing associated workload utilization.

WLC charges are either VWLC (Variable) or FWLC (Flat).  Not all IBM Mainframe software products are classified as VWLC eligible, but the major software is, including z/OS, CICS, DB2, IMS and WebSphere MQ, where these products are the most expensive, per MSU.  What IBM consider to be legacy products, are classified as FWLC.  More recently a modification to the VWLC mechanism was announced, namely AWLC (Advanced), strictly aligned with the latest generation of zSeries servers, namely zEC12, z196 and z114.  For the smaller user, the EWLC (Entry) mechanism applies, where AEWLC would apply for the z114 server.  There is a granular cost structure based on MSU (CPU) capacity that applies to VWLC and associated pricing mechanisms:

Band MSU Range
Base 0-3 MSU
Level 0 4-45 MSU
Level 1 46-175 MSU
Level 2 176-315 MSU
Level 3 316-575 MSU
Level 4 576-875 MSU
Level 5 876-1315 MSU
Level 6 1316-1975 MSU
Level 7 1976+ MSU

Put simply, as the MSU band increases, the related cost per MSU decreases.

IBM Mainframe users can further implement cost control by specifying how much MSU resource they use by deploying Sub-Capacity and Soft Capping techniques.  Defined Capacity (DC) allows the sizing of an LPAR in MSU, and so said LPAR will not exceed this MSU amount.  Group Capacity Limit (GCL) extends the Defined Capacity principle for a single LPAR to a group of LPARs, and so allowing MSU resource to be shared accordingly.  A potential downside of GCL is that is one LPAR of the group can consume all available MSU due to a rogue transaction (E.g. loop).

Sub-Capacity software charges are based upon LPAR hardware utilization, where the product runs, measured in hourly intervals.  To smooth out isolated usage peaks, a Rolling 4-Hour Average (R4HA) is calculated for each LPAR combination, and so software charges are based on the Monthly R4HA peak of appropriate LPAR combinations (I.E. where the software product runs) and not based on individual product measurement.

Once a Defined Capacity LPAR is deployed, this informs WLM (Workload Manager) to monitor the R4HA utilization of that LPAR.  If the LPAR R4HA utilization is less than the Defined Capacity, nothing happens.  If the LPAR R4HA utilization exceeds the Defined Capacity, then WLM signals to PR/SM and requests that Soft Capping be initiated, constraining the LPAR workload to the Defined Capacity level.

If a user chooses a Sub-Capacity WLC pricing mechanism, they will be required by IBM to submit a monthly Sub-Capacity Reporting Tool (SCRT) report.  Monthly WLC invoices are based upon hourly utilization metrics of LPAR hardware utilization, where the software product executes.  The cumulative R4HA and bottom line WLC billing metric is calculated for each product and associated LPAR group and not based on individual product measurement.

Bottom Line: From a Soft Capping viewpoint, the customer only pays for WLC software based upon the Defined Capacity (DC) or Rolling 4-Hour Average (R4HA), whichever is the lowest.  So whether a customer uses Soft Capping or not, in all likelihood, there will be occasions when their workload R4HA is lower than their zSeries server MSU capacity.

So, at first glance, VWLC seems to provide a compelling pricing metric, based upon Sub-Capacity and a pay for what you use ethos, and so why wouldn’t an IBM Mainframe user deploy this pricing metric?

The IBM Planning for Sub-Capacity Pricing (SA22-7999-0n) manual states “For IBM System z10 BC and System z9 BC environments, and z890 servers, EWLC pricing is the default for z/OS systems, and Sub-Capacity pricing is always the best option.  For IBM zEnterprise 114, environments, AEWLC pricing is the default for z/OS systems, and Sub-Capacity pricing is always the best option.  For IBM zEnterprise 196, System z10 EC and System z9 EC environments, and other zSeries servers, Sub-Capacity pricing is cost-effective for many, but not all, customers.  You might even find that Sub-Capacity pricing is cost effective for some of your CPCs, but not others (although if you want pricing aggregation, you must always use the same pricing for all the CPCs in the same sysplex)”.

Conclusion: For all small Mainframe users qualifying for the EWLC (AEWLC) pricing metric, arguably this pricing mechanism is mandatory.  For the majority of larger Mainframe users, the same applies, although a granularity of adoption might be required.  IBM also have a disclaimer “Once you decide to use Sub-Capacity pricing for a specific operating system family, you cannot return to the alternative pricing methods for that operating system family on that CPC.  For example, once you select WLC you may not switch back to PSLC without prior IBM approval”.  However, the requisite contractual exit clause option does exist; the customer can switch back to the PSLC pricing metric.

Some IBM Mainframe users might object to a notion of Soft Capping, relying upon their tried and tested methodology of LPAR management via the number of CPs allocated and associated PR/SM Weight.  This is seemingly a valid notion and requirement, prioritizing performance ahead of cost optimization.

Conclusion: As previously indicated, with VWLC, SCRT invoices are generated upon a premise of the customer only pays for WLC software based upon the Defined Capacity (DC) or Rolling 4-Hour Average (R4HA), whichever is the lowest.  So the VWLC pricing mechanism should deliver a granularity of cost savings, typically higher for a Soft Capping environment.

Some IBM Mainframe users might just believe that nothing can match their Parallel Sysplex Licensing Charge (PSLC) mechanism, first available in the late 1990’s, which might be attributable to other 3rd party ISV’s who cannot and will not allow for their software to be priced on a Sub-Capacity basis.  In reality, adopting the VWLC pricing mechanism delivers ~5% cost savings when compared with PSLC, as indicated by the IBM Planning for Sub-Capacity Pricing Manual (SA22-7999-0n) and related Sub-Capacity Planning Tool (SCPT).

Conclusion: Adopting Sub-Capacity based pricing metrics can only be a good thing.  If your 3rd party ISV supplier doesn’t recognise Sub-Capacity pricing, whether MIPS or MSU based, perhaps you should consider your relationship with them.  Regardless, the z10 server was the last IBM Mainframe to incorporate the “Technology Dividend” solely based on faster CPU chips.  The lower cost WLC pricing metric is now only available with the AWLC and related (E.g. AEWLC) pricing metrics, as per the z196, z114 and zEC12 servers.

Some customers might state that there is a lack of function or granularity of policy definition for IBM supplied Soft Capping (E.g. DC, GCL) or Workload Management (WLM) techniques.  To some extent this is a valid argument, but wasn’t it forever thus with IBM function?  Sub-Capacity implementation is possible via IBM, as is Workload Management (WLM), Soft Capping or not, but should the customer require extra functionality, 3rd party software solutions are available.

The zDynaCap software solution from zIT Consulting delivers a “Capacity Balancing” mechanism, integrating with R4HA and WLM methodologies, but constantly monitoring MSU usage to determine whether CPU resource can be reallocated to Mission & Time Critical workloads, based upon granular customer policies.  The only guarantee in a multiple LPAR environment, for a Mission & Time Critical LPAR to receive all available MSU resource, Soft Capping or not, is to inactivate all other LPARs!  Clearly this is not an acceptable policy for any installation, and so a best endeavours policy applies for PR/SM DC, GCL and Weight settings.

Conclusion: z/OS workloads change constantly, whether the time of day (E.g. On-Line, Batch) or period of the year (E.g. Weekly, Monthly, Quarterly, Yearly) or just by customer demand (E.g. 24 Hour Transaction Application).  Therefore a dynamic MSU management solution such as zDynaCap is arguably mandatory, implementing the optimum MSU management policy, whether for purely performance reasons, safeguarding the Mission & Time Critical workload isn’t impacted by lower priority workloads, or for cost reasons, optimizing MSU usage for the best possible monthly WLC cost.

In conclusion, not considering and arguably not implementing z/OS VWLC related pricing mechanisms is impractical, because:

  • The VWLC and AWLC related pricing metrics deliver the lowest cost per MSU for eligible z/OS software
  • When compared with PSLC, VWLC related pricing mechanisms deliver conservative ~5% cost savings
  • A pay for what you use and therefore Sub-Capacity pricing mechanism, not the installed MSU capacity
  • If extra MSU policy management granularity is required, consider 3rd party software such as zDynaCap

Software cost savings are not just for the privileged; they’re for everyone!