Cloud spend is anticipated to continue its massive growth trajectory for the foreseeable future. However, the spend does not have to match that same growth curve! To help our Clients maintain sound Cloud Optimization programs, we've assembled a series of articles and tips called: 12 for '21 Cloud Optimization Series (note: request a download of all 21 here).
Today we review the third installment in the series: Demand Management.
It is critical that workloads and their consumption profile match with the appropriate cloud infrastructure.
Most of the cloud waste originates from a lack of consistent, dynamic governance. With few clicks, any member of the IT team could spin a new computing resource. Such flexibility requires a strict resourcing policy along with guidance on instance type to use and when to take advantage of spot and reserved instances.
Too often, well-designed governance models and processes are an afterthought once cost overruns become visible. For IT and business leaders used to the traditional world of on-premise data centers, the higher the cloud spend, the more they are pushed into reactive mode. With the inherent complexity and fast scalability of cloud infrastructure, they are forced to put out one fire after another, with little ability to predict what new problems may come next. To prevent these issues, organizations must be proactive and systematic in managing their cloud costs with the right mix of tools, policies and application ownerships to be developed at early stage of your cloud journey.
Develop steps toward cost management.
Learn your lessons from current cost overruns: understand your cost and its drivers before remediating toward cost containment, then cloud optimization. Start with the workload having the largest cost overruns and make sure you have the right cost visibility. Then develop gradual cost improvement steps along with policies that can be implemented later across your application stacks.
Hope you enjoyed installment number one and two in our series. Here are some options in case you cannot wait for all 21 and need help now:
- Chat with us: As always - if you need to chat with us, send us a note here.
- Read them all: If you can't wait for the entire series, click here to get an advance copy of the 12 for '21 eBook that includes all twelve in one PDF.
Founded in 2002, NET(net) is the world’s leading IT Investment Optimization firm, helping clients find, get and keep more economic and strategic value. With over 2,500 clients around the world in nearly all industries and geographies, and with the experience of over 25,000 field engagements with over 250 technology suppliers in XaaS, Cloud, Hardware, Software, Services, Healthcare, Outsourcing, Infrastructure, Telecommunications, and other areas of IT spend, resulting in incremental client captured value in excess of $250 billion since 2002. NET(net) has the expertise you need, the experience you want, and the performance you demand. Contact us today at firstname.lastname@example.org, visit us online at www.netnetweb.com, or call us at +1-866-2-NET-net to see if we can help you capture more value in your IT investments, agreements, and relationships.
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