For the first time, enterprises can evaluate their cloud financial maturity by benchmarking themselves against an index of low, medium and high performance.
The FinOps Index is built on aggregate Cloudability customer data spanning $9B in cloud spend under management, and provides a quantitative benchmark for cloud excellence based on criteria such as purchasing efficiency, provisioning optimization, resource utilization and infrastructure tagging.
Percent of spend that is on-demand
High performers are able to drive down the unit economics of cloud by minimizing costly on-demand pricing and taking advantage of discounted public cloud pricing, such as Commitments, Reserved Instances (RIs) and Spot.
Percent of infrastructure that is over provisioned
High performers operate with more optimally sized infrastructure and fewer over-provisioned resources.
Percent of idle or wasted infrastructure
By obtaining visibility into their workloads, high performers have fewer idle resources and less waste.
Average number of tags or categories used to describe the infrastructure
The volume of tags used to describe an organization's cloud infrastructure enables high performers to perform more granular cost management.
During the course of this study, 451 Group found that more than half of large enterprises worry about cloud costs on a daily basis and 80% believe that poor cloud financial management has a negative impact on their business, yet enterprises are uneducated and unprepared to manage multi-million dollar cloud budgets.Download the Full Report