Maximize Efficiency with Cloud Financial Management and Cost Allocation Solutions

Cloud financial management is one of the most important factors in maintaining the integrity of any organization providing cloud services. Today, most websites depend upon the database based on cloud services. Hence its proper cost allocation is necessary to monitor, maintain and optimize the costs regarding services. It also helps to reduce the wastage of cloud resources that have no use. Let us see how to maximize efficiency with cloud financial management and cost allocation solutions.

Efficiency Is The Key

Cloud platforms are coming up as the base structure for any small-scale or large-scale organization. Hence, now more and more IT sectors follow efficient cloud management strategies. More than 90% of enterprises are upgrading to a multi-cloud strategy as well as a hybrid cloud strategy. One with the highest efficiency survives this cloud revolution.

Cloud management and cost allocation solutions include organization and optimization of the current service that is being used, proper billing methods, logs and proper history records, adapting new solutions and maybe alternative solutions wherever required and following a business metric.

How Cloud Financial Management Works?

Popularly known strategy FinOps or Cloud Financial Management works directly upon the cost structure of any enterprise. It is better to invest more in Cloud financial management rather than directly investing in cloud solutions. Hence FinOps is one of the essential steps taken before cloud strategy.

There is great competition among the cloud service providers and which is providing the best cost-efficient solutions. The improper costs of different service provided by different organizations is an issue because some provide costly service, but their result is not that appreciable. Also, some have developed methods that are low-cost but efficient.

Cloud Financial Management Best Practices to Maximize Efficiency

There are a lot of options that organizations are following to achieve the best financial cloud solutions. Below mentioned are the best FinOps practices that everyone using cloud services should know.

Cost Tracking

Maintaining cost and how the money value flows in the system of cloud service used by clients is essential. Knowing how much cost allocation is done in a particular period of time helps to keep financially aware of any situation or opportunity seeking.

Cost Optimization

After cost tracking, it is important to optimize the cost as much as possible. Move for the best improvements in the cloud services, different service plans, and budget management and look for the best alternatives wherever needed.

Budget planning and Forecasting

To remain one step ahead of any other competitive organization, it is important to how the money flow is calculated according to the market. Different market situations are essential when buying any cloud service. Sometimes, an unstable market makes cloud services available at cheaper rates. Hence budget forecasting is always good.

Monitor and Analysis

Different types of enterprises require different cloud solutions and hence different cloud plans. Cloud financial management includes the analysis of which software, hardware, servers, databases, how many employees, how many clients, etc., so that cost can be divided appropriately and not wasted on non-requirement services.

Reporting Issues

Any issue can up which are generated for the first time. Even cloud service providers take a reasonable amount of time to resolve the issue. Hence its maintenance period can be replaced by alternate solutions and constant reporting bugs if any, so that they can update their service for more complex tasks.

Maintaining History and Logbook

Cost history always helps to get a financial chart and to measure the efficiency of your enterprise’s workflow. Using the logbook, the organizations can continue the work from the same leftover point without wasting time.

Resource Allocation

Different resources utilize different per cent amounts of cloud services provided. Proper resource planning will lead to cost-efficient work setup, and the tasks become the value for money.

Resource Optimization

After allocating different resources, whichever is needed, keeping an eye on them is essential. Not every resource will work at full capacity, and it is good to remove underutilized resources.

Train Staff and Educate

This is an easy but very efficient and important step for the best cloud financial management practices. Ultimately the staff and employees will be generating work using cloud service, and therefore, knowledge of how to use cloud service is the most important.

Manage Cloud Agreements

On the legal side, cloud agreements and contracts must remain aligned with the organization’s financial guidelines so they can provide work flexibility.

Integration and Automation

Automation can save a great number of human work hours, and that time can be given to other human-performed tasks such as making complex cloud systems, servers, websites, E-commerce or cloud Apps. Terraform, Azure Resource Manager(ARM), CloudFormation, etc., are examples of cloud automation.

Examples of Different Cost Allocation Solutions

Here are some mentioned cloud cost allocation solutions providing good financial management to any organization. Based on their specific needs and requirements, organizations can take from any of these different cloud allocation solutions.

• Google Cloud Billing

• Cloud Checker

• AWS Cost Allocation

• Azure Cost Management and Billing

• Appito

• VMware vRealize Buisness for Cloud

• Cloudability

• RightScale

• Nutanix Beam

• Turbonomic

• Cloudyn

Conclusion

Flexibility and scalability are the significant factors that can be achieved by the FinOps strategy. Not just cost optimization but allover improvements and automation can be achieved through it. Overall, cloud management solutions help to provide organizations with an integrated approach towards managing their cloud resources. This is a more comprehensive method and can enhance collaboration and greater efficiency.