The cost optimization pillar in the Google Cloud Architecture Framework describes principles and recommendations to optimize the cost of your workloads in Google Cloud.
The intended audience includes the following:
- CTOs, CIOs, CFOs, and other executives who are responsible for strategic cost management.
- Architects, developers, administrators, and operators who make decisions that affect cost at all the stages of an organization's cloud journey.
The cost models for on-premises and cloud workloads differ significantly. On-premises IT costs include capital expenditure (CapEx) and operational expenditure (OpEx). On-premises hardware and software assets are acquired and the acquisition costs are depreciated over the operating life of the assets. In the cloud, the costs for most cloud resources are treated as OpEx, where costs are incurred when the cloud resources are consumed. This fundamental difference underscores the importance of the following core principles of cost optimization.
The recommendations in this cost optimization category of the Architecture Framework are mapped to the following core principles:
- Align cloud spending with business value: Ensure that your cloud resources deliver measurable business value by aligning IT spending with business objectives.
- Foster a culture of cost awareness: Ensure that people across your organization consider the cost impact of their decisions and activities, and ensure that they have access to the cost information required to make informed decisions.
- Optimize resource usage: Provision only the resources that you need, and pay only for the resources that you consume.
- Optimize continuously: Continuously monitor your cloud resource usage and costs, and proactively make adjustments as needed to optimize your spending. This approach involves identifying and addressing potential cost inefficiencies before they become significant problems.
These principles are closely aligned with the core tenets of cloud FinOps. FinOps is relevant to any organization, regardless of its size or maturity in the cloud. By adopting these principles and following the related recommendations, you can control and optimize costs throughout your journey in the cloud.
Contributors
Author: Nicolas Pintaux | Customer Engineer, Application Modernization Specialist
Other contributors:
- Anuradha Bajpai | Cloud Solutions Architect
- Daniel Lees | Cloud Security Architect
- Eric Lam | Head of Google Cloud FinOps
- Fernando Rubbo | Cloud Solutions Architect
- Filipe Gracio | Customer Engineer
- Gary Harmson | Customer Engineer
- Jose Andrade | Customer Engineer
- Kent Hua | Solutions Manager
- Kumar Dhanagopal | Cross-Product Solution Developer
- Marwan Al Shawi | Partner Customer Engineer
- Steve McGhee | Reliability Advocate
- Sergei Lilichenko | Solutions Architect
- Wade Holmes | Global Head of Security Solutions Management, Google Cloud
- Zach Seils | Networking Specialist