Expenditure and Usage Awareness - Cost Optimization Pillar

Expenditure and Usage Awareness

Understanding your organization’s costs and drivers is critical for managing your cost and usage effectively, and identifying cost-reduction opportunities. Organizations typically operate multiple workloads run by multiple teams. These teams can be in different organization units, each with its own revenue stream. The capability to attribute resource costs to the workloads, individual organization, or product owners drives efficient usage behavior and helps reduce waste. Accurate cost and usage monitoring allows you to understand how profitable organization units and products are, and allows you to make more informed decisions about where to allocate resources within your organization. Awareness of usage at all levels in the organization is key to driving change, as change in usage drives changes in cost.

Consider taking a multi-faceted approach to becoming aware of your usage and expenditures. Your team must gather data, analyze, and then report. Key factors to consider include: