For years, FinOps has been:
โก๏ธ Dashboards
โก๏ธ Reports
โก๏ธ Monthly Reviews
But the future is ๐๐-๐ฉ๐จ๐ฐ๐๐ซ๐๐, ๐ซ๐๐๐ฅ-๐ญ๐ข๐ฆ๐, ๐๐ง๐ ๐ฉ๐ซ๐๐๐ข๐๐ญ๐ข๐ฏ๐.
The focus is on '๐๐ก๐๐ญ ๐ฐ๐ข๐ฅ๐ฅ ๐ก๐๐ฉ๐ฉ๐๐ง ๐ง๐๐ฑ๐ญ?' instead of '๐๐ฉ๐ข๐ต ๐ฉ๐ข๐ฑ๐ฑ๐ฆ๐ฏ๐ฆ๐ฅ ๐ญ๐ข๐ด๐ต ๐ฎ๐ฐ๐ฏ๐ต๐ฉ?'
Here is what an AI-first FinOps Ops Center looks like โ๏ธ
๐ค ๐๐ ๐๐จ๐ฉ๐ข๐ฅ๐จ๐ญ๐ฌ that explain spend changes in easy to understand language
๐ ๐๐ซ๐๐๐ข๐๐ญ๐ข๐ฏ๐ ๐ ๐จ๐ซ๐๐๐๐ฌ๐ญ๐ข๐ง๐ based on usage, seasonality, and product growth
๐ ๐๐ฎ๐ญ๐จ๐ฆ๐๐ญ๐๐ ๐๐ง๐จ๐ฆ๐๐ฅ๐ฒ ๐๐๐ญ๐๐๐ญ๐ข๐จ๐ง with context (who owns it, what changed, what is the likely root cause)
๐ฃ ๐๐ข๐ฆ๐ฎ๐ฅ๐๐ญ๐ข๐จ๐ง ๐๐จ๐๐๐ฅ๐ฌ that show cost impact before a feature is deployed (models that work well with well-architected framework)
โ๏ธ ๐๐๐๐จ๐ฆ๐ฆ๐๐ง๐๐๐ญ๐ข๐จ๐ง ๐๐ง๐ ๐ข๐ง๐๐ฌ proposing right-sizing, commitment purchases, or architecture trade-offs
Now imagine this becoming your real-time FinOps cockpit:
๐ชถ Engineering asks the AI: '๐๐ฉ๐ข๐ต ๐ธ๐ช๐ญ๐ญ ๐ฃ๐ฆ ๐ฎ๐บ ๐ด๐ฆ๐ณ๐ท๐ช๐ค๐ฆ ๐ค๐ฐ๐ด๐ต ๐ช๐ง ๐ต๐ณ๐ข๐ง๐ง๐ช๐ค ๐ฅ๐ฐ๐ถ๐ฃ๐ญ๐ฆ๐ด?'
๐ต Finance asks: '๐๐ฐ๐ธ ๐ธ๐ช๐ญ๐ญ ๐ฐ๐ถ๐ณ ๐ค๐ญ๐ฐ๐ถ๐ฅ ๐ฃ๐ช๐ญ๐ญ ๐ฃ๐ฆ๐ฉ๐ข๐ท๐ฆ ๐ฏ๐ฆ๐น๐ต ๐ฒ๐ถ๐ข๐ณ๐ต๐ฆ๐ณ ๐ฃ๐ข๐ด๐ฆ๐ฅ ๐ฐ๐ฏ ๐ค๐ถ๐ณ๐ณ๐ฆ๐ฏ๐ต ๐จ๐ณ๐ฐ๐ธ๐ต๐ฉ?'
๐ฆ Product asks: '๐๐ฉ๐ข๐ต ๐ช๐ด ๐ต๐ฉ๐ฆ ๐ฑ๐ณ๐ฆ๐ฅ๐ช๐ค๐ต๐ฆ๐ฅ ๐ถ๐ฏ๐ช๐ต ๐ค๐ฐ๐ด๐ต ๐ฐ๐ง ๐ต๐ฉ๐ช๐ด ๐ฏ๐ฆ๐ธ ๐ง๐ฆ๐ข๐ต๐ถ๐ณ๐ฆ?'
The Ops Center becomes the ๐ง๐๐ซ๐ฏ๐-๐๐๐ง๐ญ๐๐ซ for cloud / hybrid decisions!
๐ก Here are some real world signals:
โข Microsoft Azure Cost Management with AI-driven forecasting
โข Amazon Web Services Cost Anomaly Detection
โข Google Cloud Predictive FinOps (built into BigQuery FinOps ecosystem)
โข Tools like Apptio / CloudZero starting to roll out AI copilots & recommendation engines
This is no longer a theory - ๐๐ ๐๐ ๐๐๐๐๐๐๐ ๐๐๐ ๐๐๐๐๐!
๐ญ Thought for today
When AI can simulate, explain, and optimize your cloud costs in real-time... where does the human factor fall in?
#FinOps #AI #ArtificialIntelligence #AIOps #strategy #FinOpsMaturity #Governanceย
We always ask what is the business value we are getting by investing into cloud? If I am running a service on cloud, how much am I spending on it Vs how much am I earning by utilizing that service on cloud to provide services to my customers? < Legit question.... right?
Smart FinOps teams ask:
๐ Whatโs the cost per customer?
๐ถ Is it per transaction or stream?
๐ How does that cost scale?
This changes the game - Connecting cloud spend directly to ๐ฏ๐๐๐ถ๐ป๐ฒ๐๐ ๐๐ฎ๐น๐๐ฒ, not just budgets.
๐ก Here are some real-world examples that shows how tracking unit economics have helped large scale organizations into achieving their cloud investment objectives:
๐ฌ Netflix tracks cost per streaming hour - around $73 per thousand viewing hours in 1H23. (Link: https://lnkd.in/gg2TxMev)
๐ตSpotify uses user-level metrics (e.g., ARPU and active users) to drive product growth and unit economics decisions. (Link: https://lnkd.in/g5A57Qme)
๐ญ Here's today's closing thought for you: Will unit economics become the north star metric for mature FinOps teams?
#FinOps #CloudFinance #UnitEconomics #CloudOptimization #FinOpsMaturity #CloudStrategy #CloudFinOps #UnitMetrics #Metricsย
Guess whatโฆ One of the major outcomes of FinOps always gets overlookedโฆ It is ๐ฟ ๐๐๐๐๐๐๐๐๐๐๐๐๐๐ ๐ฟย
๐ Cloud financial management is evolving โ and it is no longer just โhow much did we spend?โ or โhow much did we save?โ but also:
๐ฃ What is the ๐๐๐ซ๐๐จ๐ง ๐๐จ๐จ๐ญ๐ฉ๐ซ๐ข๐ง๐ญ of that workload?
โ๏ธ How can cost optimization and ๐ ๐ซ๐๐๐ง ๐จ๐ฉ๐ญ๐ข๐ฆ๐ข๐ณ๐๐ญ๐ข๐จ๐ง work together?
๐ฉ๏ธ How can FinOps drive both ๐๐ข๐ง๐๐ง๐๐ข๐๐ฅ and ๐๐ง๐ฏ๐ข๐ซ๐จ๐ง๐ฆ๐๐ง๐ญ๐๐ฅ outcomes?
๐ซต Here are few quick wins that FinOps & Sustainability teams can tackle together:
โข Rightsizing and shutting down idle resources โ less cost, less carbon
โข Choosing regions and instance types with lower emissions
โข Forecasting not just spend, but also environmental impact
โ๏ธ All major cloud providers viz AWS, Azure, and GCP now provide emissions dashboards.
Forward-thinking FinOps teams are ๐๐ฆ๐๐๐๐๐ข๐ง๐ ๐ญ๐ก๐ข๐ฌ ๐๐๐ญ๐ ๐ข๐ง๐ญ๐จ ๐ญ๐ก๐๐ข๐ซ ๐๐จ๐ฌ๐ญ ๐จ๐ฉ๐ญ๐ข๐ฆ๐ข๐ณ๐๐ญ๐ข๐จ๐ง ๐ฐ๐จ๐ซ๐ค๐๐ฅ๐จ๐ฐ๐ฌ.
๐ญ Here is a thought for you... Will sustainability reporting in cloud become ๐๐ฌ ๐๐ซ๐ข๐ญ๐ข๐๐๐ฅ as financial reporting in the next few years? What do you think?
#FinOps #Sustainability #GreenCloud #CloudFinOps #CloudStrategy #CloudOptimization #CloudCarbon #Emissionsย