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

Estimating potential savings of cost optimization initiatives

Once we have a basic understanding of how to estimate solutions hosted in the cloud, we are prepared to go one step further and begin analyzing the potential savings brought about by FinOps initiatives.

In this section, we are going to analyze how we can leverage proper cost estimation to drive our FinOps initiatives.

As part of FinOps practices, FinOps practitioners or other cloud teams propose a series of possible cost optimization initiatives, to make the most out of the cloud budget.

Imagine we go through a lot of work to apply some initiatives and, after all the work and effort, we find out that the savings we have created are minimal. Not ideal, is it?

To avoid this, our proposal is to use potential savings estimation to score our FinOps initiatives. What we are going to do is calculate in advance the impact of FinOps initiatives on our solutions.

To implement this analysis process, we like to use the...