Book Image

Efficient Cloud FinOps

By : Alfonso San Miguel Sánchez, Danny Obando García
Book Image

Efficient Cloud FinOps

By: Alfonso San Miguel Sánchez, Danny Obando García

Overview of this book

In response to the escalating challenges of cloud adoption, where balancing costs and maximizing cloud values is paramount, FinOps practices have emerged as the cornerstone of fi nancial optimization. This book serves as your comprehensive guide to understanding how FinOps is implemented in organizations worldwide through team collaboration and proper cloud governance. Presenting FinOps from a practical point of view, covering the three phases—inform, optimize, and operate—this book demonstrates an end-to-end methodology for optimizing costs and performing financial management in the cloud. You’ll learn how to design KPIs and dashboards for judicious cost allocation, covering key features of cloud services such as reserved instances, rightsizing, scaling, and automation for cost optimization. This book further simplifi es architectural concepts and best practices, enabling you to design superior and more optimized solutions. Finally, you’ll discover potential synergies and future challenges, from the integration of artifi cial intelligence to cloud sustainability considerations, to prepare for the future of cloud FinOps. By the end of this book, you’ll have built the expertise to seamlessly implement FinOps practices across major public clouds, armed with insights and ideas to propel your organization toward business growth.
Table of Contents (21 chapters)
Free Chapter
1
Part 1:Get Started with FinOps
4
Part 2:Inform – How to Increase Cost Visibility
8
Part 3:Optimize – How to Get the Most out of Cloud Resources
13
Part 4:Operate – How to Set Up a Governance Model around Cloud Costs
16
Part 5:Hands-On Cost Optimization with Real-Life Use Cases and More

Licensing optimization

Licensing model cost optimization is one of the first things to work on when carrying out a FinOps exercise. We need to take a step back and try to look at the licensing needs for solutions from a higher-level perspective. The idea is, instead of managing the licenses at a solution scope, we manage them at the enterprise level instead.

This allows for much better savings due to licensing volumes if all licenses are purchased under the same conditions and contracts.

This topic is huge, and we could go on about all kinds of software vendors and how to optimize them. But as that goes beyond the purpose of the book, we are just going to cover one key concept here, which is to make use of the bring-your-own-license model in the cloud.

Bring-your-own-license model

Bring-your-own-license model, as the name suggests, it is about purchasing separate licenses directly to the vendor instead of paying them through the cloud provider. For this concept to work...