The cloud made app development, data management, storage, and computing faster and easier – but now bills are coming due. And they’re not pretty. But we know it doesn’t have to be this way. You can stop the sprawl with CoreStratus – an Azure Cloud Cost Optimization and Financial Governance Solution from Core BTS.
As cloud adoption continues to grow and organizations continue to embrace the cloud for its scalability, flexibility, and cost-efficiency, cloud cost optimization has become integral to managing cloud resources. Here are 6 key things every CIO should know about cloud cost optimization to maximize the benefits of cloud computing while minimizing expenses.
1. Cloud Cost Optimization is an Ongoing Process
Optimizing cloud costs is not a one-time effort but rather an ongoing process. Cloud environments are dynamic, and usage patterns can change over time. By establishing a continuous process for monitoring and optimizing costs, CIOs can stay proactive and ensure that the organization is consistently getting the best value for its cloud investments.
2. Visibility is Key
To effectively optimize cloud costs, organizations need visibility into their cloud usage and spending. This requires the implementation of tools and processes to monitor and analyze cloud usage data. By having a clear understanding of resource consumption and associated costs, CIOs can identify areas of inefficiency and take targeted actions to optimize costs and more effectively allocate resources.
3. Optimization Requires Collaboration
Cloud cost optimization is a collaborative effort that extends beyond the IT department. CIOs should work to foster collaboration between various departments like finance and procurement. Collaborative discussions can uncover insights in things like budget allocations, workload priorities, and the impact of cost optimization strategies on overall operations. By working together, the organization can better identify opportunities to optimize costs while ensuring that business objectives are met.
4. Automation is Essential
Manual processes for monitoring and optimizing cloud costs can be time-consuming and error prone. CIOs should leverage automation tools and intelligent algorithms to reduce manual errors and streamline cost optimization efforts. Automation can help organizations quickly and accurately identify cost optimization opportunities and take the necessary actions to remedy them.
5. Embrace Cloud Cost Optimization Tools and Services
In addition to automation, leveraging specialized cloud cost optimization tools and services (like CloudCheckr or Flexera) can significantly enhance the organization’s ability to manage cloud expenses effectively. Partnering with a company (like Core BTS) that specializes in cloud cost optimization can help you reap the full benefits of these tools. They can help you set up advanced analytics, provide cost modeling, identify areas of potential waste, and offer optimization recommendations based on real-time data.
6. Cloud Cost Optimization Requires a Multi-Faceted Approach
Cloud cost optimization is a multi-dimensional challenge that encompasses various factors. It involves evaluating resource utilization, exploring different pricing models, implementing effective governance policies, and considering architectural optimizations. By adopting a holistic approach and considering the unique needs and priorities of their organization, CIOs can achieve significant cost savings while maintaining optimal performance and meeting business requirements.
You Can Effectively Manage Cloud Costs
Cloud cost optimization is an ongoing process that requires visibility, collaboration, automation, and a holistic approach. By embracing these key principles of cloud cost optimization, CIOs can lead their organizations in effectively managing cloud costs.
To get the most value from your cloud investments, contact us today. Our cloud experts can help you predict monthly cloud costs to improve cash flow.