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Cloud Cost Optimization Cloud FinOps

Why CloudCADI Should Be Your Cloud FinOps Tool?

Cloud FinOps products & tools are essential for enterprises to effectively manage, optimize, and control their cloud costs. They offer a plethora of benefits allowing organizations to make data-driven decisions, achieve cost savings, and maximize the value of their cloud investments. Let’s dig deep into some of its benefits.

What Are The Benefits of Cloud FinOps Tools?

1. Cost Optimization: They tell you where you can save.

Cloud FinOps tools help enterprises optimize their cloud spending by providing insights into usage patterns, identifying cost-saving opportunities, and enabling effective cost-management strategies. They allow to monitor and control cloud costs, avoid unnecessary expenses, and make informed decisions to optimize their cloud investments.

2. Financial Visibility: They break down your cloud spend.

Cloud FinOps tools offer financial visibility by providing detailed reports and analytics on cloud costs. They help enterprises understand their cloud spending across different services, business units, projects, or regions. This visibility enables better budgeting, forecasting, and cost allocation, empowering organizations to track and manage their cloud financials effectively.

3. Resource Efficiency: They show ways to leverage your cloud resources.

Cloud FinOps tools enable enterprises to optimize resource allocation and utilization. They help identify underutilized or idle resources, recommend rightsizing opportunities, and enable efficient scaling and provisioning of cloud resources. By optimizing resource usage, enterprises can eliminate wasteful spending and achieve better overall resource efficiency.

4. Cost Accountability: They turn cloud stakeholders financially accountable.

Cloud FinOps tools facilitate cost accountability by providing cost visibility to different stakeholders within the enterprise. They enable cost tracking and chargeback/showback mechanisms, allowing business units or teams to understand and manage their cloud spending. This promotes transparency, accountability, and cost-conscious decision-making throughout the organization.

5. Collaboration and Communication: They provide cross-functional collaboration.

Cloud FinOps tools foster collaboration between finance, IT, and business teams. They provide a common platform for discussions, cost analysis, and decision-making related to cloud spending.

6. Scalability and Growth: They align your financial goals with technical objectives.

Cloud FinOps tools support enterprises in scaling their cloud operations efficiently. As organizations grow and their cloud usage expands, these tools enable proactive cost management and scalability planning. They provide insights into the cost implications of scaling, help forecast future costs, and enable enterprises to align their cloud spending with business growth objectives.

Why Should You Choose CloudCADI?

CloudCADI (Cognitive & Actionable Data Insights) is an all-in-one cloud cost optimization tool that can supercharge your cloud cost management. From granular cost breakdowns to actionable recommendations, our tool provides the ultimate financial visibility and control.

While CloudCADI offers a wide range of benefits, we highlight three need-of-the-hour features that solved most of our client’s cost optimization challenges.

CloudCADI has Externalized Business Rule Engine (EBRE):

An externalized business rule engine (EBRE) refers to a software component or system that separates business rules from application code and stores them in an external repository or engine. It allows business rules to be managed independently of the application logic, enabling greater flexibility, maintainability, and agility in decision-making processes.

Some of its benefits include:

  1. Business-User Friendly: An EBRE is designed to be accessible to business users and subject matter experts who have domain knowledge but may not possess programming skills. It provides a user-friendly interface to manage rules, empowering non-technical users to participate in the rule development process.
  2. Agility and Flexibility: With an EBRE, CloudCADI allows business rules to be modified and updated independently of the underlying application logic. This promotes agility and flexibility in adapting to changing business requirements without the need for code changes or application redeployment.
  3. Separation of Concerns: Externalizing business rules improves maintainability, modularity, and readability by allowing developers to focus on application logic while business experts concentrate on defining and managing the rules. It in turn promotes collaboration and reduces the time required to implement rule changes.
  4.  Target-driven approach: Business users have the option to set utilization targets and derive actionable insights & recommendations for execution. Like the traditional data center optimization models, this target-driven optimization using CloudCADI EBRE provides the technology team with the much-needed, end-state visualization before implementing the changes.

CloudCADI is Non-intrusive:

When an enterprise wishes to start cloud cost optimization with CloudCADI, all they need to give us is just a reader-level role for their cloud subscription. Our product starts its work right from there through the cloud service provider’s logs. Unlike other major cloud finops tools in the market, CloudCADI is agentless, (do not load agents),  and exports any of your confidential data outside your secured networks.

A few benefits include:

  1. Security: CloudCADI ensures the security and privacy of your cloud cost data. It sits within your cloud environment without any third-party external agents that require access to your sensitive cloud information.  
  2. Minimized disruption: CloudCADI identifies cost-saving opportunities without requiring significant changes to your existing infrastructure or application architecture. It analyses your cloud usage and spending patterns, providing recommendations to optimize costs while minimizing disruption.
  3. Easy Implementation: CloudCADI can be implemented with minimal effort and configuration. It typically integrates with your existing cloud environment seamlessly. Within 2 weeks you can start optimizing your cloud infrastructure.

CloudCADI is Cloud-native:

CloudCADI is a cloud-native solution leveraging the cloud-native components for its deployment and functioning.

Some of its benefits are:

  1. No additional compute: CloudCADI utilizes customers’ existing cloud services for its necessary data extraction required for optimization. Thus differs from many cloud finops tools in the market that writes separate scripts on the client instances consuming significant compute power and associated costs.
  2. Agility: CloudCADI embraces the principles of agility, allowing for faster deployment and iteration cycles. They leverage containerization and monolithic architecture, enabling rapid updates and feature releases, thereby improving time-to-market.

Role-Based Access:

Not all cloud stakeholders require all cloud financials. While the business heads focus on the expenses overview for a defined period, cloud engineers will look for a granular breakdown that can lead them to the ultimate cause. CloudCADI has the flexibility to restrict or grant view permissions for users.

Self-Service Analytics / Dashboard View: You can grant or restrict user permissions to view cost summary, service category, performance, and/or highly utilized resources as per the user. For example, resources’ performance and highly utilized resources chart alone could be given to engineers who handle restructuring.

Advisor recommendations: This is our key feature that allows users to start optimizing almost immediately with multiple choices. This makes it more valuable to engineers rather than the CIOs. You can make this read-only access for them, so they focus on what is required.

Settings: You even have the facility to restrict CloudCADI usage settings like the cloud account information, tags, and members according to the user. This allows you to protect your secret cloud account credentials, usage, etc. intra-organization.

CloudCADI Integrates with Service Now:

Enterprises use ServiceNow ticketing for various reasons like centralized ticketing management, streamlined ticket workflows, self-service capabilities, and enhanced reporting.

If you are a large enterprise with multiple disconnected teams handling ‘n’ a number of cloud resources for diverse set deliverables and using ServiceNow as your ticketing software, you are in safe hands.

CloudCADI can be easily integrated with your ServiceNow in just a few seconds. Beyond the visualization of your cloud environment, this paves the way to take action on the optimization recommendations. With this, the cloud cost optimization becomes seamless eliminating manual error-prone communications and efforts. 

Start Now!

Are you excited about the above features? We have just listed a few and there are many more to experience. Reach out to us for a demo today. Start optimizing your cloud investment without compromising your performance.

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Cloud Cost Optimization Cloud FinOps

Kubernetes Cost Optimization Best Practices – Part 1

Cloud containers come with the flexibility to lift and shift applications to any environment, cloud or virtual, or bare metal without worrying about the virtual OS, hypervisors, etc.  Simplified management, paced-up delivery, and agility compel cloud developers to hail containerization. Kubernetes aka k8s (if you are wondering what k8 means, it’s just a replacement of 8 letters “ubernete”) is a popular open-source containerization platform cloud developers adopt widely. According to a recent report by CNCF, there is a 67% increase in Kubernetes developers worldwide which manifests the popularity.

The sad news is the surge in adoption and usage comes with a compromise in the IT infrastructure budget. Enterprises could be wasting nearly 80% of Kubernetes expenses on unintentional resources that are not helping organizations to hit their goals as planned. Let’s see in this blog what are the challenges and ways to optimize.

Challenges in Kubernetes Cost Optimization

Charged as a whole:

A cluster contains multiple nodes within. Each node will, in turn, contain a varying number of containers. Every node that is present inside one cluster is not necessarily part of the same application as others. Each node may be handled by 20 different teams for different applications. But the cluster is charged as a whole or clusters together by the cloud service providers. Billing starts right when a container is deployed into a node. The additional cost of $2.4/day is charged for Kubernetes cluster maintenance, software license, disaster recovery, etc.

Showback and chargeback – Near Impossible:

These two processes are vital for enterprises to bring financial accountability. (Showback is the process that gives visibility to a business unit’s expenses on cloud resources usage for a particular period but not charged. Whereas chargeback is where the unit is informed as well as charged based on its utilization.) Tagging, which can aid the engineers in cost tracking is not possible in Kubernetes clusters.

Every penny we invest becomes worthy when it checks the list of features/output we planned. When they just stay at the expense side mapped to no production, then the ultimate source for the anomalies should be identified. But it is not as simple as it sounds for Kubernetes clusters. Spotting the team responsible for most of the expenses is daunting as each container may be utilized by different teams in the enterprise working on different deliverables. Each team’s Infrastructure budget and resource cost allocation varies on the other hand.

Multi-cloud adoption:

In Gartner’s recent survey, 81% of the respondents stated that they use 2 or more cloud service providers to avail of various benefits like overcoming vendor- lock-in, resource discounts, disaster recovery, etc. Kubernetes clusters will contain workloads from different cloud service providers like AWS, Azure, GCP, etc. which further twists the cost anomalies detection and Kubernetes cost optimization process.

Dynamic Autoscaling

One of the key reasons for cloud engineers to choose the Kubernetes cluster is its autoscaling feature. Depending on the usage demand, Kubernetes scales up or down so the resources suffice the compute requirement during peaks and valleys. Further in horizontal autoscaling, containers scale out which may reach from 2 to 20 within a day. Kubernetes cost optimization turns complicated because of this unpredicted autoscaling.

Kubernetes Cost Optimization Best Practices

Let’s look at the optimal ways to trim the inadvertent expenses.

 

  1. Quality of Services for Pods (QoS)

Kubernetes cluster offers cloud practitioners the flexibility to set different QoS classes to Pods. Based on this the Pods’ scheduling and removal become easier for cloud practitioners. It is of 3 types – Guaranteed, Burstable, and Best-Effort.

Guaranteed: 

When cloud engineers need to have a Pod, whose instances are sufficient to handle a highly critical app, they can configure it to be a guaranteed QoS class. So, both the CPU & memory limits and requests are the same and set. As the name suggests it guarantees minimal resources (Requests are the minimum number of resources and limits are the maximum resources it can use)

Burstable:

 A Burstable QoS class is assigned for a Pod when the vCPU or memory limit is more than the requests or not essentially the same. So, when the need arises for a spiked compute requirement, they can be utilized.

Best-Effort:

When both the limits and requests are not set, it is classified as a best-effort QoS class. Cloud engineers can avail for non-critical applications.

As we can clearly witness, Best-effort pods are the first choice for removal followed by Burstable and then Guaranteed.

Related reading: How to configure pods and containers?

2. ResourceQuotas & LimitRange

As we saw earlier, the Kubernetes cluster is shared by various teams. There is a possibility that one team may consume most of the Pods leaving other teams scarce. Namespace-level Pod restriction can mitigate this issue (Namespace is a virtual cluster). ResourceQuota is the means through which we can limit Pods’ usage within a Namespace.

Kubernetes administrators create a ResourceQuota for each Namespace. Whenever a user creates or updates a Pod within a Namespace, the ResourceQuota system checks if the limits are exceeded,  If it is crossing the limits, it returns a “403 FORBIDDEN” error denying the action.

LimitRange is another policy that helps with resource constraints individually. As the name goes limits the range of “limits & requests” within a Namespace.

3. Affinity

Pod/Node Affinity helps in influencing the pod scheduling that helps in resource optimization and, in turn the cost. Even though the scheduler does its job of equally spreading pods across the nodes, for some special cases like, when an application requires a specific hardware or licensing constraints, we can use Node Affinity to schedule pods onto specific nodes. This in turn avoids over provisioning of expensive resources and kubernetes cost management.

It is not done. Looking for more optimal ways to cut down Kubernetes costs? Read our next blog here : Kubernetes Cost Optimization Best Practices – Part 2

Kubernetes Cost management can turn simple when you use CloudCADI. Try a demo today.

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Cloud Cost Optimization Cloud FinOps

List of Best Cloud Cost Optimization Tools 2024

Enterprises globally prefer to use cloud cost optimization tools to maximize their cloud investments. While certain organizations use native tools provided by AWS, GCP, and Azure others tend to opt for homegrown tools or third-party tools. Few even mix up to reduce cloud spending. According to a report from report of the FinOps Foundation, enterprises use an average of 3.7 tools for their cloud cost optimization process. Let’s see in this article a few of the best cloud cost optimization tools you can evaluate for 2024.

1. CloudCADI

CloudCADI is a one suite cloud cost optimization tool offered by Amadis Technologies Inc., USA. It got you covered for all your cloud FinOps needs. It makes the day of cloud practitioners easy with an effective dashboard, and precise reports with which allows show back to the lowest possible unit and start restructuring almost immediately. This tool comes with need-of-the-hour features like,

Cloud Native – It leverages the power of cloud features like scalability, elasticity, etc. facilitating faster deployment

Externalized Business Rule Engine – It allows the user to play around with multiple cloud assets recommendations, so the user has the flexibility to choose as per their infrastructure and project needs.

Non-intrusive nature – It stays within your cloud environment eliminating the need to worry about the security breach and third-party intrusion

Role-based data access – Customizing the cost optimization data visibility based on roles (Engineering team, Finance team, etc.) is simple with Cloud CADI.

Showback- It allows you to drill down and find the root cause of the cost overruns to take immediate actions.

End-to-End Automation- It facilitates the seamless integration of ticketing tools like ServiceNow.

Alerts- It has customizable reporting& alert capabilities to give visibility over IaaS/SaaS/PaaS services and assets, resulting in a better understanding of activities in the cloud

Clients – Johnson & Johnson, Unisys, GSM Outdoors, Exafluence, DigiKey

Founded – 2019

HQ: New Jersey, USA

Other Tools

‘Finops Foundation‘ is a non-profit organization that was established to promote best practices, standards, and education in the emerging field of cloud financial management, recently released a report on “Different Usage Types of FinOps Tools” (ref. figure below). Let’s see some of the tools mentioned,

2. AWS Cost Explorer

A native product of AWS cloud service provider helps to visualize, understand, and manage your AWS costs and usage over time. Few key features are, 

    • Monthly costs report – AWS Cost Explorer includes a default report that helps you visualize the costs and usage associated with your top five cost-accruing AWS services and gives you a detailed breakdown of all services in the table view.

    • Hourly & resource level granularity – AWS Cost Explorer helps you visualize, understand, and manage your AWS costs and usage over a daily or monthly granularity.

    • Savings plan reports – It provides you with two reports to help analyse your Savings Plans purchases and saving opportunities – Savings Plans utilization report and Savings Plans coverage report.

    • Reservation reports – The reservation utilization report visualizes your aggregate reservation utilization and allows you to set a custom reservation utilization target. The reservation coverage report visualizes your overall reservation coverage and allows you to set a custom reservation coverage target.

Few Clients – Verisk, Airbnb, Arista

Founded – 2014

HQ: Seattle, Washington, United States.

3. Cloudability (Apptio)