Do you know how much data your network is transmitting right now, or how close you are to overloading it?

Knowing these things is the key to avoiding issues like slow or dead connections from poor network utilization. We see it often. It’s the end of the quarter, and your team is scrambling to meet deadlines. Suddenly, the network slows to a crawl, resulting in major delays. Operating a network at full capacity during peak times can cause these slowdowns. 

Now let’s back up and look at how this happens and what you can do to fix it.

What is network utilization?

Network utilization is a measurement of your network’s capacity, represented as a percentage of the total network capacity used over a set period. By understanding the current rates of your network utilization, you’ll see how much of your network’s capacity is being used and identify areas for improvement.

In this article, we’ll look at what network utilization includes and how to monitor it.

Monitoring the network first is necessary so that you can then take the information you've gathered and use it to improve the biggest problem areas. 

We’ll provide tips for boosting your network efficiency as we cover:

  • Why is network utilization important?
  • How to monitor network utilization
  • How to increase network utilization
  • Common challenges in monitoring and improving network utilization
  • Next steps: Optimizing network performance with Meter

Why is network utilization important?

Understanding your network utilization rates is important to help maintain the high-speed connections you need and manage your operating costs. 

For optimal performance, utilization should generally be 30% to 70% of your maximum capacity. For example, if a network with a capacity of 100 Mbps uses 50 Mbps regularly, the utilization is 50%, ensuring efficient use of bandwidth.

In practice, the results of various utilization rates look like this:

  • High utilization: Consistently high usage leads to congestion and slower performance when operating above 70% of the max capacity.
  • Optimal utilization: Efficient use (30% to 70%) ensures smooth performance.
  • Low utilization: Underused capacity of less than 30% of your max capacity can give you fast connections but waste your budget potential.

To determine network utilization rates, various types of software tools, third-party applications, and some enterprise-grade routers and switches can calculate the percentage of the total capacity used for you. Network utilization involves continuously tracking the data being transmitted and received across the network.

The benefits of monitoring and improving your network utilization include:

  • Performance optimization to identify bottlenecks and ensure reliable access to applications and services
  • Better cost management that optimizes resources to reduce unnecessary expenditures
  • Capacity planning to help forecast future network needs to avoid over or under-provisioning
  • Smoother user experiences that will minimize delays and interruptions, creating a positive experience for end-users
  • Greater potential for network growth by maintaining an efficient and scalable network

How to monitor network utilization

Defining the right metrics and baselines is the first step in understanding normal performance and identifying issues. Key Performance Indicators (KPIs) provide insights into network performance. 

Identify important KPIs

  • Bandwidth usage measures the amount of data transmitted over the network within a specific period.
  • Packet loss tracks the percentage of packets sent but not successfully received.
  • Latency calculates the time it takes for a packet to travel from the source to the destination and back.

Establish baseline performance metrics during typical usage periods to help quickly spot areas of concern. Monitor the network, calculate average values for each KPI, document these baselines, and regularly update them as your network evolves.

Use network monitoring tools

Network monitoring tools provide the data and insights needed to keep your network running smoothly. Tools like SNMP (Simple Network Management Protocol) automate data collection and analysis, providing real-time visibility. 

Effective tools should include:

  • Real-time monitoring dashboards help you visualize network performance.
  • Customizable alerts notify you when KPIs exceed predefined thresholds.
  • Historical reports identify trends and plan future capacity needs.

Implement continuous monitoring

Continuous monitoring detects issues as they occur, preventing minor problems from becoming major disruptions. 

To implement this:

  • Install monitoring software on all critical network devices.
  • Ensure the software collects data continuously, not just at intervals.
  • Regularly review real-time dashboards to stay informed about network status.

Dashboards and reports provide visual representations of network performance, making it easier to identify and respond to issues. Customize dashboards to display critical KPIs and schedule automated reports to review performance trends over time.

Analyze data

Regular data analysis helps you to understand network performance and identify trends. Analyze collected data regularly to identify patterns and anomalies and address issues proactively. Use analysis tools to compare current data to baselines and assess network performance. Adjust baselines or implement corrective actions if deviations are substantial.

Now that you have a comprehensive understanding of network utilization and how to monitor it, the next step is to use the data you’ve gathered to target areas for improvement. 

Monitoring network utilization is a crucial part of the process because it provides the insights needed to make informed decisions about optimizing your network’s performance. By identifying patterns, bottlenecks, and anomalies, you can pinpoint specific areas that require attention and devise strategies to enhance network efficiency.

Organizing the data collected during monitoring

Effective data organization is key to leveraging the insights obtained from network monitoring. Here are some ways to structure and analyze the data for maximum benefit:

Create comprehensive reports

  • Daily and weekly reports: Generate daily and weekly reports that summarize key metrics like bandwidth usage, packet loss, and latency. These reports provide a snapshot of network performance over time.
  • Monthly and quarterly trends: Use longer-term reports to identify trends and patterns. Extended reports can help in understanding the cyclical nature of network usage and planning for peak times.
  • Real-time dashboards: Implement real-time dashboards that provide an up-to-date view of network performance. Dashboards can display critical KPIs and alert you to any immediate issues.
  • Customizable views: Customize dashboard views to highlight the most relevant metrics for different stakeholders, such as network administrators, IT managers, and business leaders.
  • Graphs and charts: Use graphs and charts to visualize historical data. Line graphs, bar charts, and pie charts can help in comparing current performance against historical baselines.
  • Heatmaps: Create heatmaps to visualize network usage intensity across different times of the day or week. This can reveal peak usage periods.

You can also segment data by network components

  • Device-specific data: Break down data by specific network devices like routers, switches, and firewalls. This step helps in identifying which devices are underperforming or overloaded.
  • Application-specific data: Segment data by applications to understand which ones are consuming the most bandwidth and causing potential bottlenecks.
  • Local ISP (Internet Service Provider) data: Track your ISP’s connection performance to look for when you’re hitting bandwidth limitations, peak usage times of network congestion, and outages or maintenance periods.  

Next, you can start implementing alert systems that notify you when certain thresholds are exceeded. For example, you can receive alerts if bandwidth usage exceeds 80% or if packet loss rates spike. Another option is using anomaly detection algorithms to identify unusual patterns that might indicate security threats or hardware failures.

By organizing and analyzing the data effectively, you can transform raw information into actionable insights. 

4 ways to improve network utilization

This data-driven approach to network utilization enables you to target specific areas for improvement, ensuring that your network operates at peak efficiency.

1. Optimize network configuration and traffic management

Optimizing network configurations allows high-priority applications the necessary bandwidth, reducing latency and improving performance. 

To start, look into these options:

Adjust Quality of Service (QoS) settings on routers and switches to prioritize critical traffic. The goal here is to configure the settings to ensure that important applications, such as VoIP or video conferencing, receive higher priority over less critical traffic, thereby improving their performance and reliability. 

Use load balancing to distribute traffic evenly across the network. Ideally, you want to spread network traffic across multiple servers or pathways to prevent any single point from becoming a bottleneck. Load balancing ensures more efficient use of network resources, leading to better overall performance and availability.

Implement rate limiting to control the bandwidth of less-critical applications. You can set limits on the amount of data these applications can transfer within a certain period. This can be configured on network devices by specifying maximum data transfer rates for different types of traffic, thereby preventing non-essential applications from consuming excessive network resources.

Use caching to set up local storage on the network for storing frequently accessed data. By using dedicated caching devices or software on existing servers, you reduce the need for repeated data transfers across the network. This not only decreases latency but also improves access speeds for users, as commonly requested data is quickly retrieved from the local cache rather than being fetched from external sources repeatedly.

2. Upgrade network infrastructure

Outdated or underperforming hardware can create congestion. Conduct a thorough audit of your network hardware to identify devices that are outdated. Then invest in scalable, high-performance network devices to handle increasing traffic and future growth.

3. Enhance security measures

Enhancing security measures protects your network and ensures optimal utilization. Security breaches and DDoS attacks can flood your network with traffic, disrupting operations. 

Increase your network security by:

  • Implementing firewalls, IDS, and IPS to block unauthorized access and threats.
  • Using DDoS protection services to detect and mitigate attacks in real time.
  • Continuously monitoring for unusual traffic patterns.

Regularly update and patch all software and systems to protect against the latest vulnerabilities. Then conduct staff workshops to teach employees how to prevent accidental breaches and malicious attacks.

4. Perform regular maintenance and updates

Routine maintenance helps detect and resolve issues before they become major problems. Set an ongoing maintenance schedule that includes:

  • Inspections to identify signs of wear or potential failure
  • Cleaning and optimizing devices to prevent overheating and performance issues
  • Equipment upgrades to replace outdated or non-functional devices

Updating firmware and software is just as important. Continuously monitor for updates from device manufacturers and implement them during scheduled maintenance windows to minimize disruption. Remember to test updates in a controlled environment before full deployment to ensure compatibility and stability.

Challenges in monitoring and improving network utilization

Common obstacles like budget cuts, lack of skilled personnel, complex networks, and rapidly changing demands can make improving network utilization a challenge.

For example, you may need to tackle these issues first:

  • Network complexity: Numerous devices and applications can create blind spots, affecting performance.
  • Rapidly fluctuating demands: Increased remote work and adding new applications quickly can lead to unexpected congestion.
  • Insufficient personnel: Smaller organizations may struggle to find and retain skilled and experienced IT professionals to maintain the network.
  • Budget restrictions: Limited budgets can lead to outdated technology and inadequate monitoring.

Optimizing network utilization is crucial for maintaining efficient and reliable IT infrastructure. Implementing the strategies outlined in this guide will help you monitor and improve your network’s performance. 

Next steps: Optimize network performance with Meter

Meter’s seamless, cloud-managed infrastructure can help monitor and improve network utilization effectively. We offer a comprehensive solution to support your network engineers with everything from design and installation to ongoing maintenance and support. 

Meter keeps your network running efficiently with:

  • Maintenance and hardware upgrades: Enjoy no upfront costs, complimentary hardware upgrades, 24/7 operations, reduced expenses, and time savings with our integrated approach.
  • Greater support for your network engineers: Meter allows your existing network engineers to manage much bigger networks and oversee more locations without hiring more people. Empower your team with more time to focus on a broader network strategy.
  • High-level security: Our centralized platform monitors, manages, and enforces security policies with DNS security, malware protection, VPN capabilities, and real-time insights to prevent unauthorized access and ensure data integrity.
  • Complete network transparency: Monitor and control your network remotely with our intuitive dashboard, automating configurations and eliminating manual IT intervention.
  • Improved speed and reliability: Integrated security appliances, routing, and switching ensure seamless network interoperability, high availability with redundancy, and preventive enterprise controls.

Try a demo of Meter to see how we can help you achieve optimal network performance. If you have questions, then contact the Meter support team today or sign up for a free 45-day trial.

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