Ciorise The “Mastering Cloud Cost Optimization” roadshow, hosted by ET CIO and Tata Communications, explored the latest trends in cloud cost management and offered practical strategies for optimizing expenses across diverse cloud environments.
The Growing Need for Cloud Cost Optimization
Cloud services have become indispensable for modern enterprises, yet managing cloud expenses remains a significant challenge. Studies indicate that much of cloud spending is wasted, underscoring the need for better cost-control mechanisms.
This has led to the rise of FinOps, a financial operations framework designed to optimize cloud spending. FinOps promotes:
- Transparency in cloud expenditures
- Informed financial decision-making
- Efficient resource utilization
As businesses deepen their reliance on multi-cloud environments, mastering cost optimization through FinOps will be essential for maximizing value and eliminating inefficiencies.
Insights from Industry Experts on FinOps Strategies
The ET CIO-Tata Communications event provided key insights into implementing FinOps frameworks for better financial governance. Discussions emphasized how FinOps fosters collaboration between finance and cloud operations teams, enhancing cost management through transparency, cross-functional teamwork, and a cost-conscious culture.
Key industry leaders shared real-world strategies for addressing cloud cost challenges:
- Ravindra Bhardwaj (GM, Samsung)
- Mukul Agarwal (SVP of Technology, Religare Housing Finance)
- Vijay Devnath (GGM/Infra ITSG & CDG, CRIS)
- Rahul Rao (Head of IT, Apollo Tyres)
- Rajesh Awasthi (VP & Business Head, Tata Communications)
Moderated by Saurabh Kumar, Consulting Editor at The Economic Times, the discussion explored cost optimization best practices and strategies for aligning cloud spending with business objectives.
Cloud Spending Trends and the Role of FinOps
According to Gartner, by 2026, public cloud spending will exceed 45% of enterprise IT expenditures, a sharp increase from 17% today. As organizations expand their cloud footprint, managing multi-cloud environments becomes increasingly complex.
FinOps plays a critical role in bridging financial and DevOps teams, ensuring:
- Optimized resource allocation
- Financial control over cloud investments
- Cost-effective multi-cloud strategies
Addressing Cloud Cost Challenges with FinOps as a Service
Rajesh Awasthi emphasized the importance of integrated financial and operational management, stating:
“In today’s multi-cloud landscape, cost optimization and aligning expenditures with budgets are crucial.”
He highlighted the challenges of cloud cost management, with 84% of CXOs struggling to control cloud budgets and 30% of cloud spending deemed wasteful. To address this, Tata Communications offers FinOps as a Service, providing:
- Visibility & Reporting: Normalized financial data with customized reporting for governance.
- Optimization & Cost Management: Recommends on-demand vs. reserved vs. spot instances for efficiency.
- Governance & Compliance: Ensures security, compliance, and regulatory alignment.
Awasthi also emphasized different optimization strategies based on workload types, noting that:
- Intel-based instances, AMD instances, or GPUs for AI workloads have distinct cost benefits.
The Strategic Value of FinOps Beyond Cost Reduction
Panelists highlighted that FinOps is not just about cost-cutting but value maximization:
- Bhardwaj likened FinOps to Google Maps, stating that it helps businesses navigate the best path, balancing cost, efficiency, and performance.
- Agarwal emphasized value-driven cloud investments, ensuring every dollar is well spent.
- Devnath stressed that cost savings must align with security and operational feasibility.
- Roy underscored the importance of cloud-native tools for pricing insights and fostering financial accountability.
Conclusion: FinOps as a Business Imperative
As cloud adoption accelerates, FinOps is evolving from a financial management tool to a strategic enabler. The event reinforced that:
- Cloud cost optimization is not just about savings but about maximizing business value.
- Integrating financial and operational insights helps businesses overcome inefficiencies and improve ROI.
- A strong FinOps culture ensures financial accountability and better cloud investment decisions.
In today’s competitive digital landscape, organizations must embrace FinOps frameworks to streamline cloud spending, enhance governance, and drive sustainable growth.
