Efficient Cloud FinOps : A Practical Guide to Cloud Financial Management and Optimization with AWS, Azure, and GCP / Alfonso San Miguel Sánchez and Danny Obando García.

Format:

Book

Author/Creator:

Sánchez, Alfonso San Miguel, author.

García, Danny Obando, author.

Language:

English

Subjects (All):

Cloud computing--Cost control.

Cloud computing.

Information technology--Management.

Information technology.

Physical Description:

1 online resource (446 pages)

Edition:

First edition.

Place of Publication:

Birmingham, England : Packt Publishing, [2024]

Biography/History:

Sanchez Alfonso San Miguel: Alfonso San Miguel Sanchez is a Multicloud Architect, with a deep experience both on premises and in the Cloud. He has always enjoyed being close to development teams, implementing codes, DevOps, and other methodologies into his way of working, with a strong focus on automation. Alfonso has a degree in Computer Science from Universidad Complutense de Madrid and MSc degree in Machine Learning. After his studies, he worked as an architect for Tecnicas Reunidas, Avanade and B2Holding, where he works now as Lead Cloud Architect. Though passionate about cloud governance, in the past few years, he specializes in FinOps developing a complete methodology around the practice. Garcia Danny Obando: Danny Obando Garcia is a Multicloud Data Architect, who has worked in varied roles during his professional career, always aiming to create reliable and scalable Data and Infrastructure solutions by applying different frameworks and methodologies. Danny has a degree in Computer Science from Universitat Oberta Catalunya (UOC), which he complemented with MSc in Artificial Intelligence for Financial Markets. With a rich IT experience for about 15 years, he is currently leading Data strategy for Holaluz, one of the biggest players in the Spain Energy market. Before this, he had experience of working and implementing FinOps for the biggest banking group in Spain.

Summary:

Explore cloud economics and cost optimization for Azure, AWS, and GCP with this practical guide covering methods, strategies, best practices, and real-world examples, bridging theory and application Key Features Learn cost optimization best practices on different cloud services using FinOps principles and examples Gain hands-on expertise in improving cost estimations and devising cost reduction plans for Azure, AWS, and GCP Analyze case studies that illustrate the application of FinOps in diverse real-world scenarios Purchase of the print or Kindle book includes a free PDF eBook Book Description In response to the escalating challenges of cloud adoption, where balancing costs and maximizing cloud values is paramount, FinOps practices have emerged as the cornerstone of fi nancial optimization. This book serves as your comprehensive guide to understanding how FinOps is implemented in organizations worldwide through team collaboration and proper cloud governance. Presenting FinOps from a practical point of view, covering the three phases--inform, optimize, and operate--this book demonstrates an end-to-end methodology for optimizing costs and performing financial management in the cloud. You'll learn how to design KPIs and dashboards for judicious cost allocation, covering key features of cloud services such as reserved instances, rightsizing, scaling, and automation for cost optimization. This book further simplifi es architectural concepts and best practices, enabling you to design superior and more optimized solutions. Finally, you'll discover potential synergies and future challenges, from the integration of artifi cial intelligence to cloud sustainability considerations, to prepare for the future of cloud FinOps. By the end of this book, you'll have built the expertise to seamlessly implement FinOps practices across major public clouds, armed with insights and ideas to propel your organization toward business growth. What you will learn Examine challenges in cloud adoption and cost optimization Gain insight into the integration of FinOps within organizations Explore the synergies between FinOps and DevOps, IaC, and change management Leverage tools such as Azure Advisor, AWS CUDOS, and GCP cost reports Estimate and optimize costs using cloud services key features and best practices Implement cost dashboards and reports to improve visibility and control Understand FinOps roles and processes crucial for organizational success Apply FinOps through real-life examples and multicloud architectures Who this book is for This book is for cloud engineers, cloud and solutions architects, as well as DevOps and SysOps engineers interested in learning more about FinOps and cloud financial management for efficiently architecting, designing, and operating software solutions and infrastructure using the public clouds. Additionally, team leads, project managers, and financial teams aiming to optimize cloud resources will also find this book useful. Prior knowledge of cloud computing and major public clouds is assumed.

Contents:

Cover

Title Page

Copyright and Credits

Dedication

Contributors

Table of Contents

Preface

Part 1: Get Started with FinOps

Chapter 1: Introduction to FinOps Principles

What is FinOps, and why do we need another buzzword?

Why FinOps?

Before the cloud

The cloud comes into play

A paradigm shift

Hidden on-premises costs

Back to the present

The FinOps Foundation

The three pillars of FinOps

Inform

Example (the Inform pillar)

Optimize

Example (the Optimize pillar)

Operate

Example (the Operate pillar)

Summary

Chapter 2: Understanding How FinOps Fits into Cloud Governance

The Well-Architected Framework - an introduction

FinOps as part of bigger governance

FinOps + Agile methodologies

FinOps, Infrastructure as Code, CI/CD, and DevOps

FinOps and change management

Tailoring a FinOps approach for each organization

Scenario 1 - companies not yet in the cloud or beginning their journey to it

Scenario 2 - companies already in the cloud but not mature enough or that have non-optimized workloads

Scenario 3 - big companies with strong cloud maturity

Scenario 4 - companies focused on generating cloud cost savings

Selecting the right tools for the job

Base tools

Market tools

Other interesting tools

Part 2: Inform - How to Increase Cost Visibility

Chapter 3: Designing and Executing the Tagging and Naming Convention Strategies

The importance of naming conventions and tagging in FinOps

Why are naming conventions significant?

Why are tagging strategies significant?

Naming conventions versus tagging

Naming convention and tagging enforcement

Naming conventions for cloud resources

Style and format

Separators

Key fields to include

Parent and child resources

Creating a name generator

Building a tagging strategy.

Style and format

Simple and compound tags

Creating a tagging strategy

Automated tagging

Cost allocation

Chapter 4: Estimating Cloud Solution Costs and Initiative Saving

Technical requirements

How to calculate the TCO for cloud solutions

TCO introduction

Cloud pricing calculators

Pricing APIs from cloud providers and how to work with them

Pricing APIs overview

Estimating potential savings of cost optimization initiatives

How to automate cost estimation

Data sources selection

Data consolidation

Estimation calculation

Change notification

Data update

Chapter 5: Improving Cost Visibility with Dashboards and Reports

Understanding cloud invoices and billing data

Dashboards and reports

The main differences between a report and a dashboard

Key benefits

Dashboards from another view - simulators

How to prepare cost evolution reports and dashboards and their importance

Financial basics

Tracking savings to initiatives and adding milestones

Unit economics

How to prepare FinOps dashboards and reports

Existing dashboards and reports

Custom dashboards and reports

Part 3: Optimize - How to Get the Most out of Cloud Resources

Chapter 6: Implementing IaaS Compute Optimization

Compute optimization key concepts

Quick wins

Introduction to IaaS, PaaS, and serverless

Stateless versus stateful

IaaS optimization

Quick win - orphaned resources

Virtual machine version upgrades

Virtual machine rightsizing

Virtual machine family standardization

Virtual machine power scheduling

Virtual machine scaling

Reserved Instances and Saving Plans

Spot VMs

Chapter 7: Implementing PaaS and Other Compute Optimization Initiatives

PaaS optimization

PaaS rightsizing and workload consolidation.

Example - Azure App Service and App Service plans

Serverless versus provisioned compute

The benefits of Serverless

Example - Azure SQL Serverless

Managed Kubernetes cluster optimization

Data transfer costs optimization

Azure - Data transfer costs

AWS - Data transfer costs

GCP - Data transfer costs

Licensing optimization

Bring-your-own-license model

Cloud provider agreements and resource allocation

Azure - Enterprise Agreement versus CSP

AWS organizations, billing accounts, and OUs

GCP organization, folders, projects and resources

Chapter 8: Implementing Database Optimization

Relational versus non-relational/NoSQL databases

Relational databases

Non-relational or NoSQL databases

Which one should you choose?

Which database management system?

Example - SQL Server versus Oracle pricing for AWS RDS

SQL Server

Oracle

PostgreSQL

MySQL

MongoDB

IaaS versus PaaS versus serverless

IaaS database optimization

Rational database use

Backup storage optimization

Shared Disks for database clusters

Shrinking relational databases

Database grouping in SQL Server

PaaS database optimization

Compute optimization and rightsizing

Database grouping

Database scaling

Serverless versus Provisioned Compute

Backup storage and redundancy

Reserved capacity

Azure

AWS

Google

Bring your own license (BYOL)

Development scenarios

Chapter 9: Implementing Storage Optimization

Storage key concepts

Types of storage in the cloud

Thick versus thin provisioning in disks

Disk snapshots

Storage redundancy

Block storage

File storage

Object storage

Block storage optimization

Snapshot optimization

Ephemeral disks

Disk rightsizing

Offloading to file and object storage.

Reserved capacity

File storage optimization

File storage rightsizing and data temperature

Object storage optimization

Object storage tiering

Life cycle policies

Limiting and tracking versioning, soft delete, and object snapshot usage

Object storage inventory

Other storage optimization initiatives

Log storage optimization

Part 4: Operate - How to Set Up a Governance Model around Cloud Costs

Chapter 10: Designing and Implementing FinOps KPIs

What is a KPI?

KPI creation process

Types of KPIs

Objectives and key results

Using KPIs for FinOps practices

Example of a FinOps KPI in Azure - region placement

More FinOps examples

Chapter 11: Defining New FinOps Roles and Processes

Target operating model and FinOps

FinOps operational model

Organizational model

Rollout and execution plan

Functions, capabilities, and processes

Roles and responsibilities

Governance

Part 5: Hands-On Cost Optimization with Real-Life Use Cases and More

Chapter 12: Case Studies for Cost Optimization

IaaS case study - multi-tiered application migrated to the cloud

Solution description

Initiatives covered

Summary of initiatives and final results

PaaS case study - storage, serverless, and database optimization

Chapter 13: Wrapping up and Looking ahead

FinOps summary and future challenges - how to keep up

Inform (Chapters 3, 4, and 5)

Optimize (Chapters 6, 7, 8, and 9)

Operate (Chapters 10 and 11)

Case studies

FinOps future challenges

Cloud sustainability and FinOps

How environmental sustainability policies work

Public cloud and sustainability - GreenOps.

Machine learning, artificial intelligence, and FinOps

How ML works

FinOps applications

Self-assessment/knowledge check

Chapter 1

Chapter 2

Chapter 3

Chapter 4

Chapter 5

Chapter 6

Chapter 7

Chapter 8

Chapter 9

Chapter 10

Chapter 11

Chapter 13

Index

About Packt

Other Books You May Enjoy.

Notes:

Description based upon print version of record.

How to prepare FinOps dashboards and reports

Description based on print version record.

ISBN:

9781805129691

1805129694

OCLC:

1420630520