Cloud Pricing
Companies transitioning to the cloud are often so overwhelmed by other technical and cultural changes that they don’t take the time to understand the pricing structures, and they begin using cloud resources as if they were on premise resources, causing a high degree of wasted money.
Pricing Principles
Pricing benefits:
- Pay for use
- pay as you go
- use more & payless
- commit & payless
- optimized
- no complex licensing
Pricing models
- On demand
- commitment
- Spot instance
- Free tier
fundamentals
- Compute
- storage
- Data transfer
PRicing factor
- Resource usage
- Time
- Service level
Service model
- IaaS
- PaaS
- SaaS
Pricing model cloud vs on-premises
Organization & Culture Change Requirement - Finops, CCOE, Operation Model
6 Pillars of Successful Cloud Cost Management
- Oragnization
- Operating Model
- CCOE (cloud center of excellence)
- Finops
- Structure
- hierarchy
- tag
- shared cost model
- visibility
- Data & Visualization
- Advisor
- Alerting
- Accountability
- showback
- chargeback
- budget
- Strategy
- governance
- Well-architecture
- Standards
- Optimization
- Commitment
- Discountmodels
- Over-X inefficiency
Governance principle
- Policy, standard, automation
- Responsibility
- Accountability
- Mornitoring and Reporting
- Budgeting and Forecasting
- Approval Workflows
- Trainign and Education
Cloud operating model
CCOE
Standardization + Governance Skill Development + Knowledge Sharing Strategic Desicion Making Increase efficiency Cost Optimization