Virtualization has completely transformed how we deliver and manage applications in IT. By consolidating servers onto powerful hypervisors like VMware vSphere, we've unlocked incredible efficiencies while gaining flexibility and agility.

However, as virtual infrastructure grows more complex over time, performance bottlenecks and resource constraints can emerge if left unchecked. That is why you must review and optimize your VMware virtualization on a regular basis.

In this blog, we'll share 10 best practices you can apply to keep virtual machines humming along at peak performance.

1. Sharpen Your Monitoring Skills to Catch Issues Early

Monitoring is key to maintaining an optimized environment. Pay attention to CPU, memory, storage and network usage across your hosts and VMs. Know what typical usage looks like so you can spot anomalies. Install agents to collect detailed metrics and set meaningful alerts. That way, you’ll catch performance problems or capacity issues before users notice.

2. Consolidate to Conserve Resources

Consolidating VMware virtualization is key to squeezing the most value from your hardware resources. 

• Start by identifying underutilized hosts—those running at less than 50% CPU or RAM capacity on average. 
• Analyze historical usage trends for these hosts to see just how low their utilization dips. You may find some can easily carry additional VMs without issue.
• As you identify candidate storage for consolidation, consider which hosts have the headroom to accommodate them. 
• Look for compatible CPU and RAM footprints as well as available disk IOPS capacity. It's best to spread the load across multiple hosts rather than overloading a single machine. 
• Don't neglect network capacity either; be mindful of additional traffic that consolidation may introduce.
• When moving storage, do so gradually, using a phased approach. 
• Transfer a few at a time and monitor for several days to ensure no new bottlenecks emerge. 
• Maintain documentation on the changes so you can easily roll back if needed. 
• Once stable, deactivate the source host in vCenter to remove it from the environment. This simplifies management while yielding license cost savings.
• Be sure to reclaim any unused resources after consolidation. For example, resize down distributed port groups or storage if previous host utilization justified larger provisioning.

Ongoing monitoring helps confirm workloads remain optimized in their new configuration. Don't forget to back up data center VMs before and after migration as well. Over time, additional consolidation opportunities may emerge as needs change; continue to refine your setup.

3. Apply Storage Best Practices for Peak Efficiency

Storage performance impacts every workload in your environment, so it deserves careful attention. 

• Start by right-sizing datastores based on utilization and IOPS requirements. 
• Avoid combining different workload types that have mismatched performance needs, as this can lead to bottlenecks.
• For critical databases and applications, dedicate fast SSD storage using VMware’s storage policies. These workloads often see a dramatic performance boost from flash that justifies any additional cost. 
• Leverage SSD caching if your environment has space-constrained flash. This extends the usable lifespan of SSDs while still providing a caching benefit.
• It's also important to spread data centers evenly across all available spindles for optimal load balancing. Monitor datastore usage regularly to stay ahead of capacity issues. 
• Plan additional spindle expansion well in advance rather than waiting until storage tiers fill up. A full datastore impacts every VM using it.
• For less sensitive workloads, consider tiering to slower HDDs or even cloud-based object storage. This frees up premium flash resources for high-priority applications. 

Just be sure network throughput supports any cloud tier chosen. An optimized storage configuration is key to keeping virtual machines performing at their best.

4. Right-Size Resources with Careful Planning

It’s tempting to over-allocate RAM and CPUs when creating new VMs. But unused resources are wasted resources. Take time to right-size configurations based on real-world usage patterns. Monitor for a while first so you have accurate baseline data. Leave some headroom for growth, but avoid overprovisioning.

5. Deploy Virtual Hardware for Modern Workloads

Newer VMs benefit from the latest virtual hardware versions. Update to VMXNET3 networking and VMware Paravirtual SCSI controllers for faster performance. Enable nested paging and large pages for memory efficiency. Consider hardware virtualization if your CPUs support it. These features optimize modern applications and database deployments.

6. Apply Best Practices for Virtual Networking

Networking underlies every interaction in the datacenter. Configure distributed switches and VLANs intelligently. Avoid unnecessary network hops between data centers by grouping related workloads together. Tune MTU sizes and jumbo frame settings. Monitor traffic and provision additional uplinks or VLANs before congestion occurs.

7. Optimize for Specific Workloads

A one-size-fits-all approach doesn’t cut it. Fine-tune configurations based on actual workload requirements.

• Analyze your different workload types, like databases, applications, file servers, and desktops.
• Understand each workload's unique resource demands, like CPU, RAM, storage IOPS, or network throughput.
• I/O-intensive Oracle databases may need dedicated SSDs and additional memory to avoid storage bottlenecks.
• Memory-hungry Java applications perform best with large RAM allocations and should use flash-backed swap files.
• Middleware servers require balanced vCPU and RAM resources with dedicated network uplinks.
• File servers need large storage capacities more than performance and can use slower HDDs.
• Non-critical development/testing VMware virtualization can run on slower hosts to save on licensing.
• Apply VMware's Storage I/O Control to limit IOPS and prioritize critical workloads.
• Use reservations to guarantee resources like minimum memory for Oracle or vCPUs for SQL Server.
• Monitor workloads and adjust configurations as usage patterns change over time.
• Proper tuning ensures each workload gets the exact resources required for peak performance.

An optimized environment delivers on service levels by matching capabilities to individual needs.

8. Use Tags and Folders to Impose Structure

Leverage tags and folders to bring order to your environment. Group VMs logically by function, team, or datacenter location. Use tags to filter and automate management tasks. A well-organized inventory makes it easier to understand resource usage, pinpoint bottlenecks, and perform maintenance.

9. Schedule Maintenance During Off-Hours

Routine maintenance keeps your environment running smoothly. Patch and upgrade ESXi hosts during low-usage evening or weekend hours. Backup VMware virtualization, run disk defragmentation, and perform other maintenance in scheduled windows to avoid disruptions. Test disaster recovery plans regularly to ensure preparedness.

10. Document Everything for Transparency

No one can remember every setting and process. Maintain detailed documentation of your setup, configurations, procedures and policies. Note software versions, network configurations, and best practices. Document troubleshooting guides for common issues. Handoff documents help new administrators get up to speed quickly and prevent gaps in coverage.

Final Words

In conclusion, taking a proactive approach to VMware optimization delivers immense value by maximizing available resources, improving performance predictability, and safeguarding operations. Starting with the 10 techniques covered here is a smart first step to squeezing far more out of your virtualization investment.