Cloudthread Y Combinator
November 1, 2023

Why Cloudthread Series: Part 4 – Distributed Cloud Cost Ownership

Cloudthread is not just a tool, it is a solution helping enterprises to establish practice of distributed cloud cost ownership.

In our previous articles, we've delved deep into the various facets of cloud cost optimization and how Cloudthread is revolutionizing the landscape. From simplifying optimization discovery to fostering seamless engineering action and meticulous savings tracking, Cloudthread has been at the forefront of transforming FinOps workflows and enabling engineering action. Today, we're going to explore a pivotal cultural shift in enterprises: the adoption of a distributed cloud cost ownership model (a.k.a. DCCO) and how Cloudthread is fundamentally aligned with this vision.

Understanding Distributed Cloud Cost Ownership

The traditional approach to cloud cost management often involves a centralized team analyzing expenses and making optimization efforts (see FinOps principles for more context). However, as cloud infrastructures grow in complexity and scale, this centralized model can become a bottleneck, leading to inefficiencies and missed opportunities. This is especially true for the usage optimization, while for rate optimization centralized approach still makes a lot of sense (see more on usage vs. rate optimization in our previous blog post).

Enter the distributed cloud cost ownership model. Here's what it entails:

  • Decentralized Usage Optimization: Instead of a single team holding all the reins, cost management responsibilities on usage optimization side are distributed across various engineering teams. Each team has a designated virtual cloud cost owner role responsible for the cost efficiency of their cloud infrastructure. The role can belong to an Engineer, Product Manager or anyone closely related to a particular engineering team operations. This person accepts optimization recommendations from the FinOps team and makes sure that they get implemented on the engineering side.
  • Empowered Engineering Teams: By giving engineering teams partial ownership of their usage optimization agenda, they're empowered to make decisions that best align with their specific needs and objectives.
  • Making Life Easier for FinOps: With DCCO, FinOps people have a clear point of contact in each engineering team. No more chasing down engineers, getting lost in email threads, or being unable to push the tasks into the sprints.
  • Agile Response: With cloud cost ownership distributed, teams can respond more agilely to changing requirements, ensuring optimal resource allocation and cost efficiency.

Cloudthread: A Catalyst for Distributed Cloud Cost Ownership

Cloudthread isn't just a tool, it's a solution that aligns perfectly with the distributed cloud cost ownership model:

  • Facilitating Communication: As highlighted in Part 2 of our series, Cloudthread bridges the gap between FinOps and Engineering teams, ensuring clear communication of cost-saving opportunities.
  • Empowering Teams with Data: With features like the Savings Dashboard, Cloudthread provides engineering teams with the data they need to make informed decisions about their cloud resources.
  • Promoting Accountability: The Team Leaderboard fosters a sense of competition and accountability among teams, encouraging them to be proactive in their cost optimization efforts.
  • Supporting the Vision: As highlighted in a recent TechTimes article, enterprises that adopt the distributed cost ownership model derive the most value from Cloudthread's features. The platform is designed to support and enhance this model, reshaping workflow dynamics for strategic FinOps.

Wrapping It Up

The distributed cost ownership model represents a paradigm shift in the usage optimization side of cloud cost management. By decentralizing usage optimization and empowering engineering teams, enterprises can achieve greater agility and efficiency in their cloud operations. Cloudthread stands as a beacon in this transformation, offering tools and features that not only support but also enhance the distributed cost ownership vision.

Stay tuned for more insights and explorations in the "Why Cloudthread Series". As the cloud landscape evolves, Cloudthread remains committed to driving innovation and supporting enterprises in their cloud cost optimization journey.

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Copyright © 2024 CloudThread Inc. All rights reserved