You are the hero! You are the person trying to push the adoption of the cloud to the next level. A cloud that moves from being a hidden cost behind the scenes of IT to a cloud that adds value to the business and can prove it. This level of cloud maturity requires financial control, transparency and collaboration between finance, business and technology which is not a small feat.
Searching online got you a eureka moment. “We need to implement cloud FinOps!” Part of your study about cloud FinOps should get you to the FinOps Foundation and for some excellent deep dives, you should read our blog.
I have written this article so that you’ll be extra-ready when presenting cloud FinOps and will know how to manage objections. This article provides answers to common objections around cloud FinOps; include them in your battle card for tough meetings.
1. Cloud FinOps is only about cost reduction
Cloud FinOps is about creating and demonstrating the impact of a well-managed cloud on business value and proving it. Making sure every penny counts is part of the FinOps implementation, as well as reporting to allow better decision making, building a common language for better communication and other practices.
2. Cloud FinOps is only for those companies born in the cloud
Cloud FinOps is about managing cloud finance, but it’s not limited to companies that started in the cloud. Companies using the cloud can integrate FinOps in parallel with their existing procurement team.
3. Cloud FinOps will reduce my agility
A compelling need to implement cloud FinOps can happen in two situations:
- If you aren’t in the cloud yet, moving to the cloud while implementing FinOps will increase your agility and free access to more resources.
- If you are already in the cloud, then the implementation of FinOps is the only way to get access to the budget needed to gain even more agility.
4. Cloud FinOps will slow everything down
Cloud FinOps is born in the cloud, using lessons learned from DevOps. FinOps is dynamic and scalable by nature, removing barriers for cloud adoption and experimentations while setting up governance and clarity to keep costs under control. FinOps does not slow things down; it builds on top of other agile methodologies, like cloud, DevOps, agile programming and others.
5. Cloud FinOps is just “Infrastructure as Code” or automation
Cloud FinOps is not about technology, it’s about Finance. FinOps has very little to do with technical implementation. This disconnect allows the tech to change often (and it does) while keeping the money management stable and predictable.
Using Infrastructure as Code (IaC) or automation are sensible tech approaches that will improve your capabilities. But only having a FinOps framework will prove the impact of the changes to business value.
6. Cloud FinOps is the responsibility of finance only
It is the opposite. Cloud FinOps is about creating a channel of shared understanding between IT, business and finance.
7. Cloud FinOps is a buzzword for the IT budget
The IT budget is a pot of money for IT. Cloud FinOps is about how best to use the cloud part of that money in an evidence-based way that helps get a bigger pot next time.
8. Cloud FinOps is for engineers only
Cloud FinOps is about money, and money is of interest to many stakeholders. However, engineers are usually the least interested in money. Engineers are a vital part of the FinOps model, but there are many more stakeholders.
9. Cloud FinOps is only for Startups
Big companies benefit more from cloud FinOps than small ones. Implementing and running FinOps has some costs that need to be covered by the impact of the FinOps work. The bigger the cloud spend, the more FinOps activities will drive financial benefit. At Strategic Blue, we help $1B+ companies to understand the needs, the means and the opportunities of FinOps.
10. Cloud FinOps is about implementing FinOps tools
Cloud FinOps is becoming a buzzword, so expect to see tools that will make it look like they provide the “single pane of glass of FinOps” or the “FinOps run books for IT”.
FinOps is a governance framework that requires a change of culture, processes, mindset, and tooling (last). So no, FinOps is not about choosing the right tool(s), but using some tools to make the FinOps processes more efficient.
I hope you feel better equipped to be victorious when going into cloud FinOps related meetings that look like a “fight club”. Let me know how it goes and if Strategic Blue can help your business.