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Big Companies
Why Enterprises Fail at Finops
Finops isn't working as well as it should for many companies. While it promises to help improve money efficiency on cloud costs, many organizations are getting poor results - sometimes only saving 30 cents for every dollar spent on finops programs.
The potential is huge though. Studies show companies could save $21 billion by 2025 through proper finops use. Some businesses have cut their cloud costs by 40% when they do it right.
Here's why many companies struggle with Finops:
The finance teams don't work closely with the engineering teams who build cloud systems
Companies don't automatically build cost-saving rules into their systems
Basic cost-saving practices are ignored, like turning off unused services
To fix these issues, companies should:
Connect their finance and engineering teams better
Build automatic cost controls into their systems
Label all cloud resources clearly to track spending
Remove or resize services that aren't being fully used
FinOps Weekly Webinars
How to Manage Tagging and Naming Conventions for FinOps
Tagging, one of the most controversial topics in FinOps.
Naming conventions or the things that nobody does.
Yet two of the most powerful things in Cloud.
Automate those, and governance is done.
Forget about them, and chaos will reign.
We bring Alfonso San Miguel, author of the book "Efficient Cloud FinOps"
He’ll explain us the core concepts of tagging and naming conventions.
Something that will only be available for the ones attending.
Nobody else will have it.
Literally nobody.
So earn the privilege and register today.
Get ahead of everyone in FinOps Governance.
FinOps
FinOps Insights for 2025
FinOps is changing from a simple money matter to a key part of how teams build software. A new study of 700 developers and leaders shows some interesting findings about this shift.
Most developers want more say in managing cloud costs, but there's a big gap between wanting to help and having the right tools to do it.
Here are the key findings from the research:
Only 29% of developers have cost tracking tools that work with their regular coding process.
It takes most teams over a week to find and fix wasteful cloud spending.
About two-thirds of developers think 20% of their cloud money is being wasted on unused resources.
Teams are starting to use AI to help manage costs better. 79% use AI in some way for cloud cost management.
The report suggests some clear next steps:
Teams should give developers better tools to see costs while they work.
Cost planning should start during development, not after software is released.
Companies need to create a culture where everyone cares about cloud costs.
The main message is simple - waiting until after software is deployed to think about costs creates expensive problems that could have been avoided earlier.
AWS
Optimize AWS Savings Plans with Chargeback Strategy
AWS Savings Plans help companies save money on cloud services, but sharing these savings across different company accounts can get tricky. Let's look at how to split the costs fairly.
When one account buys a Savings Plan, the savings can be shared with other accounts in the same organization. The buying account pays the fees, but other accounts can use the discounts. To track and split costs properly:
Set up AWS Cost and Usage Reports to collect data
Use Amazon Athena to run special queries that show:
Which accounts are using the savings
How much each account should pay back
Any unused savings amounts
The article provides a detailed query that helps find:
The date of usage
Account IDs using the savings
Types of savings plans being used
How much each account saved
Any leftover unused amounts
Two key things to watch:
The "Effective Cost" shows how much each account should pay
The "Unused Commitment" shows if you're leaving money on the table
Bottom line: Good cost tracking leads to better spending habits across the company.
ITAM
Optimize Microsoft 365 Costs with a FinOps Framework
Microsoft 365 costs are getting harder to manage for many companies. A new guide shows how to handle this better using a method called FinOps.
Companies often pay too much because they don't know exactly what they're using. And teams that buy software (procurement) and teams that use it (IT) don't talk enough to each other. It's hard to see clearly how much everything costs and who's using what. The solution has four main parts:
Understanding what you use and pay for by collecting data from different sources, use good tools to track everything and know which department pays for what.
Showing the business value. Make better budgets, plan ahead for what you'll need and match the right tools to the right people.
Making smart changes to save money. Check if everyone needs their current software level. Look for better pricing deals and remove accounts for people who left.
Setting up good habits. Train people on how to manage costs, check regularly if everything's working well and keep everyone informed about progress
Companies can save up to 35% on their Microsoft 365 costs by following these steps.
This approach helps companies spend money more wisely on Microsoft 365 while making sure everyone has the tools they need to work well.
🎖️ Mention of Honour
Creating a Successful FinOps Team & Culture
Building a successful FinOps team requires bringing together different experts who work on managing cloud costs effectively.
The core team includes FinOps specialists who handle day-to-day cost management and create good practices. Cloud engineers team up with these specialists to make sure systems run well while keeping costs down. The finance department helps connect cloud spending to business goals and keeps track of expenses.Top company leaders, especially tech and finance chiefs, need to support these efforts for them to work.
Recent data shows this approach works - 73% of companies saved lots of money after starting FinOps practices.
Creating a FinOps mindset across the company is important too. Get different teams talking to each other about costs, and make sure cloud spending helps achieve company goals. Have everyone, not just finance people, be responsible for their cloud use. Share clear, up-to-date information about spending.
To make this work, companies should:
Get support from top leaders first.
Train everyone on good practices.
Set clear rules about spending.
Use data to make better decisions.
Make everyone feel responsible for managing costs.
When done right, this approach helps companies get the most value from their cloud services while keeping costs under control.
📺️ VIDEO
FinOps in 2025 with Udam Dewaraja
Explore the evolution of FinOps with Udam Dewaraja, the need for standardization, how FOCUS changes billing and the growing role of automation in FinOps.
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Professional Spotlight
Nilofar Bhurawala
“Smarshing” Cloud Costs
Supportive member of our Community, Nilofar is the Head of Cloud at Smarsh. She provides incredible value on her LinkedIn posts. Always grateful for her to make FinOps Weekly a better project!
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