Abstract: We disclose a cloud-computing system configurable to allocate cloud resources to application functions based on a performance model generated for some or all of such functions by monitoring the performance of an instance pool employed for their execution. In an example embodiment, a corresponding performance model is generated by iteratively forcing the instance pool, during a learning phase, to operate in a manner that enables a control entity of the cloud-computing system to adequately sample different sub-ranges of an operational range, thereby providing a sufficient set of performance data points to a model-building module thereof. The model-building module operates to generate the performance model using a sufficient set of performance data points and then provides the model parameters to the control entity, wherein the model parameters can be used, e.g., to optimally configure and allocate the cloud resources to the application functions during subsequent operation.