Cost optimization is built on a simple principle: How to spend wisely while you run workloads on AWS Cloud.

At EraCloud, we assist you to achieve this goal by identifying areas of improvements in your workloads, we introduce the required changes that are aligned with your business outcomes and are cost effective.

Consider the following principles for cost optimization:

• Implement cloud financial management: To achieve financial success and accelerate business value realization in the cloud, you must invest in Cloud Financial Management. Your organization must dedicate the necessary time and resources for building capability in this new domain of technology and usage management. Similar to your Security or Operations capability, you need to build capability through knowledge building, programs, resources, and processes to help you become a cost efficient organization.
• Adopt a consumption model: Pay only for the computing resources you consume, and increase or decrease usage depending on business requirements. For example, development and test environments are typically only used for eight hours a day during the work week. You can stop these resources when they’re not in use for a potential cost savings of 75% (40 hours versus 168 hours).
• Measure overall efficiency: Measure the business output of the workload and the costs associated with delivery. Use this data to understand the gains you make from increasing output, increasing functionality, and reducing cost.
• Stop spending money on undifferentiated heavy lifting: AWS does the heavy lifting of data center operations like racking, stacking, and powering servers. It also removes the operational burden of managing operating systems and applications with managed services. This allows you to focus on your customers and business projects rather than on IT infrastructure.
• Analyze and attribute expenditure: The cloud makes it easier to accurately identify the cost and usage of workloads, which then allows transparent attribution of IT costs to revenue streams and individual workload owners. This helps measure return on investment (ROI) and gives workload owners an opportunity to optimize their resources and reduce costs.

How much you will save after the cost optimization highly depends on the nature of your AWS environment and workloads. The percentage varies from a customer to another, however, we have assisted some customers to save up to 80% on their cloud spend.