A brief introduction into FinOps

95171436_mCompanies that have already moved to the cloud want to achieve the full benefits of cloud computing, which is not possible without an understanding of costs that can only be achieved through the application of standardised processes and best practices known as FinOps. Linke has always considered it an area that those moving to the cloud should be aware of.

Cloud has become the key for companies that are tackling digital transformation processes and need to have IT services that provide them with the flexibility, agility and scalability necessary to grow and offer new solutions, while controlling costs. There are many objectives to be achieved and this will only be possible if usage is optimised with cost control metrics, this is the focus of FinOps support.

What is FinOps?

FinOps is a model promoted by the FinOps Foundation to improve cloud financial management through best practices, standardisation and training

The non-profit organisation, which brings together more than 2,700 professionals from more than 1,200 companies, proposes this methodology to help understand the costs of cloud services and thus be able to better control them through appropriate management.

FinOps is a framework whose value proposition is similar to that of DevOps when it comes to developing applications. Applied to the cloud, its approach consists of putting an end to working in watertight compartments and integrating all the teams involved in a cloud strategy from both a technical and business point of view so as not to lose any of the advantages of the IT model.

In this regard, its results are achieved by generating processes that unite technology, business and finance professionals, in which each team is responsible for the data generated and its costs, based on centralised and previously established guidelines and patterns. 

The methodology combines tools, best practices and organisational culture to increase understanding of the costs of cloud projects, thereby gaining agility and generating value. With it, companies can optimise their cloud consumption by monitoring metrics, knowing where spending is and setting alerts to ensure budgets are met, and reduce costs by knowing which services are used and which are not, and identifying hidden costs.

Staged implementation

Linke proposes a series of phases to reach a FinOps strategy.

On the one hand, using the tools available in AWS to generate the most efficient architecture. In this phase, it is important to use the Well Architected Framework, developed by AWS, to evaluate the architectures of companies that host their workloads and applications in the cloud, and help them get the most out of their cloud investments, based on the best practices and guidelines of the public cloud platform.

At this stage, it is also important to gain visibility of costs per service, promote user control through roles that limit actions, as well as generate alerts on consumption, deployments by region and security.

On the other hand, review the sizing of the deployed infrastructure and take appropriate actions to reduce hourly costs and, finally, it is advisable to periodically clean up and create alerts to avoid unnecessary costs.

To enable our customers to control their costs in the cloud through FinOps, we have organised a webinar. Download the webinar (spanish version) "Cloud cost saving methodologies on AWS" now!

Stay tunned for more content like this.

Nueva llamada a la acción
Nueva llamada a la acción
New Call-to-action
Download Key Steps to Adopt DevOps on a Cloud-Native Company in PDF
Download The Linke AWS Connector for SAP in PDF