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On maximizing service-level-agreement profits

Published: 01 December 2001 Publication History

Abstract

We present an initial study of a methodology for maximizing profits in a general class of e-commerce environments under a cost model in which revenues are generated when QoS guarantees are satisfied and penalties are incurred otherwise. The QoS guarantees are based on multiclass SLAs between service providers and their clients, which include the tail distributions of the per-class response times. Our approach consists of formulating the resulting optimization problem as a network flow model with a separable set of concave objective function summands based on derived queueing-theoretic formulas. This problem is then solved in a very efficient manner via a fixed-point iteration.

References

[1]
Z. Liu, M. S. Squillante, and J. L. Wolf. On maximizing service-level-agreement profits. In Proceedings of the ACM Conference on Electronic Commerce (EC'01), October 2001.
[2]
Z. Liu, M. S. Squillante, and J. L. Wolf. On maximizing service-level-agreement profits. Technical report, IBM Research Division, 2001.
[3]
D. A. Menascé, V. A. F. Almeida, R. Fonseca, and M. A. Mendes. Business-oriented resource management policies for e-commerce servers. Performance Evaluation, 42:223-239, 2000.

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Published In

cover image ACM SIGMETRICS Performance Evaluation Review
ACM SIGMETRICS Performance Evaluation Review  Volume 29, Issue 3
December 2001
48 pages
ISSN:0163-5999
DOI:10.1145/507553
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Association for Computing Machinery

New York, NY, United States

Publication History

Published: 01 December 2001
Published in SIGMETRICS Volume 29, Issue 3

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