Respondents report that cloud migration, governance and cost control have been pain points for their current cloud adoption. Many are choosing multicloud to improve availability and adopt best-in-breed capabilities. This can increase complexity, especially when it comes to cost estimation, optimization and reporting.
Enter FinOps, short for cloud financial management. FinOps makes sure you get optimum value from your cloud spend by providing financial transparency to the dynamic cloud model. This will support the needs of your business to expand and grow, increase revenue and promote innovation while providing an effective governance framework to manage and control cloud expenditure. However, in bringing together business, finance and technology, FinOps demands cultural change.
FinOps isn’t a product; it is a framework of organizational processes, cultural practices and associated tools. It enables cross-functional teams to collaborate for faster delivery of cloud services while maintaining financial control and gaining greater predictability. The main reason enterprises end up having issues with the cloud is that they don’t establish a cost-effective way of utilizing cloud resources. The typical departmental organization of teams within a business means there is little or no transparency over what cloud delivers to business outcomes or what is being consumed by whom and for what. FinOps provides a framework for collaboration. Instead of each team, such as IT, marketing and human resources, being accountable for monitoring their cloud usage and spend, FinOps takes over the entire process. It provides complete cloud spend visibility across the whole organization. For example, through assessing data and reviewing management policies, services can be rightsized by usage. Auto scaling can then better serve capacity peaks to optimize the user experience.