COST05-01 Analyzing Service Trends and Optimization Benefits

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Cloud cost management is a comprehensive initiative that requires regular review, assessment, and execution. While keeping in mind the optimization benefits, consider the associated costs, such as labor and time costs.

To reduce the overall cost, ensure that the optimization workload remains proportional to the potential savings. During cost optimization, consider the proportion of application costs relative to the total cost. For example, an application that accounts for 50% of the total cost should be reviewed more frequently and thoroughly than an application that accounts for 5% of the total cost. Another factor to consider when optimizing is the amount of work required to implement changes. If change testing and verification costs are high, do not frequently apply optimizations. Instead, consider using substitution automation testing and verification to further reduce labor costs.

As there are potential reductions in resource redundancy from cost optimization, the service trend should be taken into account. For example, a rapidly growing business organization may prioritize agility and adopt a more flexible cloud cost optimization strategy to accelerate growth, while a stable business organization may focus more on cost efficiency and design a stricter cloud cost optimization strategy. If your application targets a specific geographic location or market segment and you have predicted a decline in cloud service usage, increasing the optimization frequency may save more costs.