Manage, Measure, and Control Cloud Expenses Using FinOps
Balance Cloud Costs and Business Goals with FinOps Service Offerings
Why FinOps?
FinOps brings financial accountability to the variable spend model of cloud, enabling distributed teams to make business trade-offs among speed, cost, and quality.
In practice, it means establishing performance indicators for an organization’s cloud costs based on service, business unit, environment, etc., and diagnosing the organization’s consumption based on these indicators.
Top 7 FinOps Adoption Related Challenges
Here are the top 7 FinOps adoption related challenges that many encounter.
Getting Engineers to act on cost optimization
Accurate forecasting of cloud spend
Organizational adoption of FinOps
Enabling automation
Reducing waste or unused resources
Aligning finance/procurement teams with tech/eng teams
Full allocation of cloud spending
FinOps - Key Drivers
Reduce wasted cloud spend
- 32% of total cloud spend is wasted spend.
Cost Management across multiple clouds
- 89% organizations are using multiple clouds resulting in increased demand for cost optimization Initiatives.
Strong demand from end customers to optimize cloud spend
- 59% of organizations have cost savings - cloud spend optimization - as their top cloud initiative.
Operating Model changes arising from increased cloud spend
- IT and Finance teams need to operate more efficiently together to support the agility of the business and pro-actively monitor and react to cloud spends.
Key Benefits
Gain visibility to control costs
Drive accountability for cloud spend
Simplify cloud budget management
Identify optimization opportunities & automate tasks
Accelerate fulfillment requests
Enable data driven decision making
FinOps - KPIs/Metrics
FinOps relies heavily on key performance indicators. FinOps KPIs are used to gain visibility and a metric perspective to streamline the cost-controlling process. Cigniti’s FinOps KPIs can be broadly classified as follows.
Cloud Visibility KPIs
- Rightsizing savings percentage
- Effective cost per resource
- Production incidents by application/team
- Reverted cloud deployments
- Mean time to repair or mean time between failures
- Number of security lapses in a month
- Number of assets that don’t meet configuration standards
Cloud Optimization KPIs
- Rightsizing savings percentage
- Effective cost per resource
- Production incidents by application/team
- Reverted cloud deployments
- Mean time to repair or mean time between failures
- Number of security lapses in a month
- Number of assets that don’t meet configuration standards
Cloud Governance and Automation KPI
- Cost optimized over time
- Cost optimized per policy over time
- Time saved as a result of policies
- Number of reservations automated
- Time to remediate security violations
- Resource based commitment discount target coverage
- Service availability
- Time to deployment
Cigniti FinOps Service Offerings
Inform
Visibility & Allocation
Visibility & Allocation
FinOps Maturity Assessment
Cloud Health Check
FinOps Diagnostic Services
Operate
Continuous Improvement & Operations
Continuous Improvement & Operations
FinOps CoE
FinOps Operating Model Design
CMP tooling service native & specilaized tools
Optimize
Utilization
Utilization
FinOps as a Service
Cloud Cost Optimization services
FinOps Practitioner Staff Aug services
Key Enablers
Cigniti Cloud CoE
Cigniti FinOps Practitioners
Partner tools native CSP & Niche CMP tools
Cigniti FinOps solutions, utilities & accelerators
Cigniti FinOps Business Model Options
FinOps Consulting & Implementation Partner
- Cigniti to be positioned as independent FinOps consulting and tool implementation partner with capability in all native cloud cost optimization tools and leading independent CMP/FinOps tools.
- Customer to be charged for consulting and tool implementation services based on the agreed engagement model T&M, fixed price, etc.
- CMP/FinOps tool license cost should be borne by customer
- FinOps operations post initial consulting and implementation to be managed by customer team
FinOps as a Service
- Managed service option that includes Cigniti consulting and implementation services + Cigniti white labelled CMP platform or CMP tool of choice by customer
- Customer to be charged monthly factoring the license cost of CMP platform and consumption of Cigniti services cost
- No upfront investment in CMP/FinOps tool license cost by customer
- FinOps operations will be supported by Cigniti team
Gain Share Model
- Includes Cigniti consulting and implementation services + Cigniti white labelled CMP platform
- Customer to be charged a small percentage of the actual cloud cost savings
- No Sunk cost. No upfront investment in CMP/FinOps tool license cost by customer
Cigniti’s Assurance to Customers
FinOps is a practice that brings financial intelligence and realization of an organization’s cloud spending.
Here are some of the assured benefits for the customer.
Here are some of the assured benefits for the customer.
- Cloud cost savings result in better RoI from cloud investments.
- Wasted cloud spend reduced up to 95%
- Cigniti Consulting led FinOps tool/CMP centric PoC quickly proves benefits and builds FinOps business case
- Pricing Model based on reduced cloud spend
- Improved FinOps operating model with better outcome
Cigniti FinOps Vendor Landscape
FinOps Thought Leadership
Contact Us
Let us know how our FinOps experts can help you.