What exactly is FinOps?
In its simplest form, FinOps is about making sure you are aware of who is spending IT money in your organization and is that money is being spent wisely? It’s the financial management of your IT estate including the cloud.
When granted that visibility, it gives you the information to create responsibility within your organization, define simple processes and ensure that on an ongoing basis, they are being followed.
As The FinOps Foundation puts it, “[FinOps] is the practice of bringing financial accountability to the variable spend model of the cloud, enabling distributed teams to make business trade-offs between speed, cost, and quality.”
Why does Enterprise need it?
Kumoco has witnessed customers save an average of 35 percent on cloud spending once they have FinOps visibility. For Enterprises spending $5M+ a year, savings are significant.
In the majority of cases, your organization will be paying for things it doesn’t need, such as the following:
- Servers Kumoco have seen, provisioned with 10x+ larger capacity than required
- Servers no longer needed following testing
- Storage from old projects
- 3rd party vendors who have forgotten to turn off your servers
Very quickly, the cost savings originally promised by moving to the cloud become eroded and the business case becomes fragile.
The companies that have a clear strategy and approach to using the cloud are the ones that will truly realize the benefits of cloud computing.
How can Kumoco Cloud Manager help?
There are many products and services on the market that offer their solution to FinOps.
Having a cloud strategy provides good direction, however, implementation is not always that easy.
Nevertheless, at the root of the strategy will always be a solid fully featured cloud management solution. This system:
- Connects to your cloud estate and monitors it 24/7
- Alerts you if servers are not being used
- Alerts if engineers have deployed services that are not configured securely
- Makes intelligent recommendations on how to fix the issues quickly and automatically
- Provides you with an intuitive dashboard that simplifies decision-making
Once you are comfortable that the cloud is under control, the money you save can be redirected to innovation and product development or just to reduce costs.
Kumoco is a cloud management expert providing ServiceNow customers with the world’s most comprehensive cloud management solution, powered by and built on the ServiceNow platform.
Terry Benge, COO of Kumoco, has been working in the managed service and cloud space for 20+ years all the way back to when it was known as grid computing. Yes, cloud computing has been around that long!