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FinOps X 2023, San Diego June 27-30 - Early Bird Registration

Setting Goals for Optimize

We have a $3m cost avoidance goal this year. We plan to achieve that by ramping up our reservation coverage to 80%. We break down our reservation coverage by budget tranches. As we continue to buy reserved instances, we want to ensure a high reservation utilization. We have a goal of 95% reservation utilization, and track that by budget tranches as well.

We have a KPI for tagging, as it’s critical to our optimization efforts. The application owner tag is critical to our efforts around rightsizing. We also track rightsizing opt-out. We track who has opted in and out of the recommendations we provide to them. Our goal is to get to only 25% of rightsizing recommendations being opted out of.

Also, we’re tracking our cloud provider budgets across two things: 1) our commit to the provider and 2) our budget progress within each budget tranche. Finally, we track a total opportunities to save number via rightsizing and reservation coverage, and how that number changes over time. We have a target for the year for how low we want to get the total savings opportunities.