Cloud technology makes building and scaling applications quickly and flexibly easier than ever. But one of the biggest challenges organizations face is cost management. Controlling Cloud spend isn’t always straightforward, that’s why we invited Khun Tae, our Senior Platform Services Engineer, to share practical tips for tackling this issue. According to Khun Tae, many organizations are now adopting the FinOps Framework, an approach that blends DevOps practices with financial operations. This model helps teams manage Cloud costs more effectively by fostering collaboration between engineering, finance, and business units to ensure every decision aligns with organizational goals. Let’s break down the FinOps Framework into 5 easy-to-understand components: Core Components of the FinOps Framework Phases (The Working Process) These are 3 continuous steps to help your organization make the most out of the Cloud: Inform: Give every team clear visibility into Cloud usage and costs. Optimize: Strategize to reduce unnecessary spend. Operate: Maintain efficient and responsible Cloud usage on an ongoing basis. Principles (The Core Mindset) FinOps isn’t just about numbers. It’s about cross-team collaboration and making the most of Cloud’s flexible pricing models. Personas (The People Involved) It’s not just an IT thing. FinOps involves engineers, finance teams, product managers, and executives, all working together to make smart financial decisions. Domains and Capabilities (The Skill Areas)Key activities include data collection and reporting, cost allocation and control, budget forecasting, and anomaly detection in Cloud usage. Maturity Model (The Growth Journey)You don’t have to perfect FinOps on day one. Start small with Crawl (understand your Cloud costs), then Walk (apply FinOps practices), and finally Run (scale it across the organization). By adopting the FinOps Framework, organizations can systematically approach cloud financial management, ensuring that cloud investments deliver maximum business value. Leveraging AWS CUR and Amazon Managed Grafana for FinOps. Managing cloud costs effectively is a central challenge for organizations adopting cloud services. The FinOps framework provides a structured approach to cloud financial management, emphasizing collaboration, visibility, and accountability. Integrating AWS Cost and Usage Reports (CUR) with Amazon Managed Grafana exemplifies this approach, enabling teams to gain detailed insights into cloud expenditures. Understanding AWS Cost and Usage Reports (CUR) AWS CUR offers a comprehensive breakdown of cloud usage and associated costs, delivering data at a granular level—down to individual resources and hourly usage. By configuring CUR to include resource IDs and opting for hourly granularity, organizations can achieve precise tracking of cloud expenditures. The reports are stored in Amazon S3 and query via Amazon Athena facilitating easy access and analysis. Visualizing Cost Data with Amazon Managed Grafana Amazon Managed Grafana is a fully managed service that allows for the visualization of operational data across various sources. By integrating CUR data through Amazon Athena, teams can create dynamic dashboards that reflect real-time cost and usage metrics. This setup supports the FinOps principles by: Inform: Providing transparent and accessible cost data to all stakeholders. Optimize: Identifying trends and anomalies to inform cost-saving measures. Operate: Maintaining continuous monitoring to ensure ongoing financial efficiency. Pre-built dashboards, such as the Cost and Usage Report (CURE) dashboard, offer insights into specific services like EC2, RDS, and data transfer costs, facilitating targeted analysis and optimization efforts. How’s AWS CUR aligning with FinOps Principles? The integration of AWS CUR with Amazon Managed Grafana aligns with key FinOps principles: Collaboration: By making cost data visible and understandable, teams across engineering, finance, and operations can work together to manage cloud spending effectively. Accountability: Detailed insights empower teams to take ownership of their cloud usage and associated costs. Timeliness: Real-time dashboards ensure that decisions are based on the most current data available. This approach fosters a culture of financial responsibility and continuous improvement, essential components of a successful FinOps practice. In Conclusion FinOps is no longer optional — it’s essential. As cloud environments grow in complexity, so does the challenge of understanding and managing cloud spend. This is where FinOps delivers value: by introducing financial accountability into the fast-paced world of cloud operations. With the FinOps Framework, organizations can: Inform teams with accurate, transparent data Optimize cloud usage through analysis and best practices Operate with continuous financial governance and collaboration Integrating tools like AWS Cost and Usage Reports (CUR) with Amazon Managed Grafana brings these principles to life. Teams gain visibility into usage patterns, identify cost-saving opportunities, and enable real-time decision-making based on data. Whether you’re just starting your FinOps journey or looking to mature your cloud financial operations. If your organization is looking for solutions, feel free to reach out to us at the following link:https://forms.office.com/r/P14E9tNGFD Reference https://www.finops.org/introduction/what-is-finops/ https://www.finops.org/framework/ https://aws.amazon.com/blogs/mt/visualize-and-gain-insights-into-your-aws-cost-and-usage-with-amazon-managed-grafana/
DevOps Insider: From DevOps to FinOps A Smarter Way to Optimize Cloud Costs
