Budget Enforcement

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budget enforcement is our next cloud governance principle

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in this module will cover the concepts of budget transparency and agnostic reporting.

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We'll also be looking at some best practices around proactive enforcement.

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All organizations care about cost control

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in the cloud of the cost management optimization and reporting life cycle requires that CFO's received assurance that cloud spend can be controlled and budgets adhere to and respected.

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While this sounds simple enough, the reality is often different at any scale in the cloud.

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As we discussed earlier, providing a single cloud account or subscription to a user is synonymous with giving them their own data center.

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Controlling costs, while still empowering users with the power of the cloud, is a balance that must be struck early to avoid unexpected overruns.

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One of the first steps in budget enforcement is providing cloud users transparency to their cloud costs.

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Sounds straightforward, but the cost of cloud computing alone, with nothing to compare or related against, provides very little value to the end user.

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Aligning the cloud account or subscription with a budget

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gives dimension to resource costs over time and provides more context around spend on a daily or weekly basis.

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This visibility to cloud costs with the added context of how it fits within a budget provides users with a fuller picture of their cloud spending trajectory,

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enabling them to better plan and strategize efforts for the long term.

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Another dimension of budget enforcement is proactively handling waste management. This could be a simple is turning off resource is and non production environments when not in use or alerting users and leadership to unused or orphaned resource is provisioned. Cloud resources continue to turn the meter and generates Ben

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whether they're being used or not.

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So handling these concerns at scale requires an automated and programmatic approach. As most cloud services are billed in single second Interval,

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nothing will stifle cloud adoption in an organization faster than unbounded and unaccounted expenses.

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Establishing an automated solution toe automatically and proactively look for re sources that are over provisioned and underutilized can help drastically pulling unnecessary costs.

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One best practice that can alleviate complexity and understanding cloud costs at scale is providing users agnostic data reporting from multiple cloud service providers. A cloud tamer. We've seen an increase over time in the amount of organizations that work with more than one cloud service provider.

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So here's an example of how we provide this agnostic reporting in our tool.

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Here we are inside Cloud Tamer at the organizational chart for Company A.

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As we drill down into the company's structure, we see the research and development department within research and development. There are a number of projects with associate ID accounts and subscriptions from multiple cloud providers.

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For instance, in the Asthma research project alone, there is an AWS commercial account, an azure subscription and an address CSP Resource Group

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with agnostic reporting at any level, a user with the right permissions can select, in this case, the Research and Development Department and poll aggregated financial reporting.

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This first spending view gives us a summary of cost across all of the accounts underneath.

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But if we want to drill in more, we can go into spend reports and filter the data even further, say by cloud provider.

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Now we can see the cost breakdown between AWS and Azure. In this case,

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we can take it one step further by filtering our results. But each cloud service giving us a full breakdown of both AWS and azure services that have been used in all of the accounts and subscriptions in research and development.

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We couldn't even isolate our particular service in a month to view resource level details around the spend, giving us even more insight.

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Another best practice in budget enforcement that we have brought to our cloud tamer customers is proactive budget enforcements.

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This allows users to create automated enforcements that could be configured to take any number of actions. When a cost threshold is reached,

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let me show you

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back in cloud tamer. We're taking a look at this remote support project,

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which we can already visually tell is overspending their planned budget.

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Let's go into enforcements to see how they work. And if we can tighten the reins on this particular environment

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in enforcements, we have a myriad of options to create an appropriate custom trigger.

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We could set the enforcement on a particular cloud service or on the entire project, which will do here.

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We can also customize the timeframe and spend type of this trigger

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for this first enforcement.

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We're going to set the trigger when monthly spend surpasses 85% of her monthly budget for this project.

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When that happens, let's have our developers on this project notified. We hit save and then see that our enforcement is active on the project.

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And because this project is already passed this spend threshold, the enforcement automatically triggers sending email and platform notifications to our Debs that this enforcement has been triggered.

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Now let's add in another enforcement.

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Let's set this one to trigger an event when spending is past 95% for the given month.

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When that happens, we'll have this enforcement kick off a cloud resource that will restrict easy to skews to those that are under $2 an hour.

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Once we save this enforcement and it's triggered, we can actually see that this cost restricting cloud resource has been deployed within this project

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and its cloud environment.

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Finally, let's make an enforcement that triggers at 99% of our monthly spend

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this time, we'll have it kick off a system freeze rule and notify. Our admits

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This system freeze rule deploys policies to the project to deny all but read only actions in this environment,

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meaning no one can spend up. New resource is creating additional spend.

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These are just a few examples of how our customers use proactive enforcements, toe limit cloud costs

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to review providing users of an organization with cloud cost transparency. An agnostic reporting is instrumental for finding balance in budget enforcement.