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...
