Many businesses are finding that cloud computing contracts are getting expensive.  But this does not mean that you should stop using cloud computing. 

We suggest that you use some measures that you would use for managing other IT contract costs. 

Overspending On Cloud Services

The cloud is booming, but so is cloud waste.  Cloud spending can quickly become a significant part of a company’s IT budget, but executives believe that 30-40% of it is wasted. However, some strategies can result in immediate and tangible benefits.

The transitions between EC2 instance states don’t always indicate when billing for that instance ends, even when the instance has been “stopped.” (Source: Amazon Web Services)

Common Reasons For Wasted Cloud Services

• Overspending On Cloud Services

Companies oftentimes pay for more cloud services than they need, just to be on the safe side. However, cloud services are dynamic and easily scalable to always give you just the right level of resources that you require at any given moment – so you don’t have to worry about wasting money on unnecessary infrastructure.

• Zombie Resources

Zombie resources are a type of idle resource that’s created as a result of carrying out routine activities.

• Cloud Cost Monitoring

Employees that are unaware of their cloud spend and not equipped to manage or control it will often result in racks up cloud costs.

Cloud Cost Optimization Best Practices

 • The Cloud Mindset

Having a culture of financial accountability in your organization can help to reduce waste and make the company more cost-effective as a whole. A cross-functional approach that involves departments such as planning, architecture, and operations can improve the efficiency of the company on a large scale.

 • The Cloud Skillset

Organizations should cultivate IT expertise in interpreting cloud cost and usage and implement necessary changes. They could also use the services of managed Cloud service providers like Adex International.

 • The Cloud Toolset

Cloud services offer free access to a variety of tools that can help you stay on top of your cloud usage. You can also use advanced third-party tools and platforms to get even more insights into your cloud usage.

Develop and Execute an Effective Cloud-Cost Strategy With Cloud Experts

Adex is an experienced select tier services partner that can help you balance the costs of your cloud services. We have the expertise and experience to guide businesses of all sizes through the process of devising a cloud cost-management plan. Our goal is to devise a plan that is easy for our customers and their CFOs to accept. 

Further Readings: How to Choose the Right Cloud Service Provider?