Why Does Cloud Wastage Happen?

Do you want to make cloud cost savings?

You’ll need to look at why cloud wastage occurs. We define cloud wastage as every $ of cloud spend you can save or avoid, without incurring equal offsetting cost or unacceptable quality impact elsewhere.

Identifying the problem is the first step to finding a solution.

We see many reasons why cloud wastage occurs. To name a few:

• A drive to become more agile
• Cloud initiatives started small and below the radar and are now growing big and fast
• Ease of spending and spending without plan
• Non-IT driven spend in avoidance of perceived IT lack of value add
• Spend made by technical staff with little financial understanding
• Relatively (perceived) low cost of individual items
• Complexity of different models across hyper clouds
• Lack of cost reporting models and systems
• Level of change within cost reporting models
• Immaturity of internal cost knowledge
• Inability to justify investment in cost governance through individual projects

But whatever they are, most reasons for too high cloud costs can be brought back the following top three:

1. Lack of Visibility
2. Lack of Capability
3. Lack of Accountability

Does this ring a bell and do you want to know more? We’re here to help you save on cloud costs. Contact us:

• For Americas – [email protected]
• For rest of world – [email protected]

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