Book Image

AWS FinOps Simplified

By : Peter Chung
Book Image

AWS FinOps Simplified

By: Peter Chung

Overview of this book

Much like how DevOps is a combination of cultural philosophies, practices, and tools that advocate a collaborative working relationship between development and IT operations, FinOps encourages the same collaboration between technology and finance team, making it key relationship to establish and maintain for any thriving business. This book will help you understand how organizations with a mature FinOps practice can decentralize cost ownership to developer teams and encourage cross-functional collaboration between business, finance, and technology, enabling speed, innovation, and business growth. You’ll focus on structuring your organization to form the right FinOps team, including a Cloud Center of Excellence, and learn how to implement practical cost savings measures with AWS tools to optimize costs in both the short as well as long term. By the end of this cloud FinOps book, you’ll be ready to implement a successful Cloud FinOps practice for your organization to get the best value from the AWS cloud for your workloads.
Table of Contents (18 chapters)
Free Chapter
2
Part 1: Managing Your AWS Inventory
7
Part 2: Optimizing Your AWS Resources
12
Part 3: Operationalizing FinOps

Right sizing compute

An important question that arises is “do I first need to right-size my instances before reserving them?” Indeed, we don’t want to reserve an instance when it turns out it wasn’t the right instance to reserve in the first place! Doing so would contribute to waste. With SPs, this question becomes less relevant because with Compute SPs, you have more flexibility in the type of instances you launch. Even if you’re launching one instance type today, and you launch a different instance type tomorrow, you still benefit from the SP rate on the new instance type as long as you have enough in your cumulative hourly commitment to cover usage.

Right sizing is still a critical component of cloud waste management. Right sizing leverages the elasticity of the cloud. When you provisioned servers in a data center, you provisioned for peak. To maintain your service, you purchased enough servers (and beefy servers at that) to handle maximum capacity...