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Tips for Azure Cost Management | Arxus
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4 tips to improve your Azure Cost Management

Many companies struggle with it: managing your expenses efficiently. Especially when it comes to your Azure costs. But it doesn't have to be complicated at all. Because with a few simple tips and tricks, you can optimize your Azure consumption like a professional. And we can teach you that. Ronald Verdult, our Cloud Solutions Architect, will dive into it with you.

Mon, 25 March 2024

Ronald Verdult | Arxus

Ronald Verdult

Cloud Solutions Architect, Arxus

1. Establish clear governance guidelines

Before you start the entire optimization process, it's important to know exactly where your costs are coming from. Then it can be very useful to establish concrete governance guidelines before you start the cost management process. This way, you are always aware of unforeseen changes, which makes it easier to prevent unexpected costs.

But how do you start with that? First, you write out the procedure. It doesn't have to be extensive. Just make short but clear agreements with your colleagues. And ask yourself these questions:

  • Who monitors the consumption costs?

    What system will you use for that? Do you have an understanding of your current AND expected costs? Who do you need to inform if your costs start to increase? Is there a procedure established?

  • How much does your Azure service cost?

    What were the expected costs of your infrastructure prior to implementation? How do they compare to your current costs? Does your organization still need this solution?

  • Is there room for optimization?

    Are you utilizing the flexible scaling features of the public cloud? Are your resources only active and available when needed? What is your strategy to fully benefit from discounts based on your commitment?

Have all questions been answered? Write everything down in your governance document. Make sure to keep it regularly updated. As your company grows and evolves, your guidelines will naturally change as well. And to maintain as much control as possible over your consumption costs, we recommend staying as engaged as possible with it. This way, you'll always be informed about the most important changes in your Azure cloud environment.

Get a complete overview of your Azure costs | Arxus

2. Get a complete overview of your expenses

Microsoft has an extensive toolset to give you better insight into your Azure usage. And because we are an Expert Microsoft Partner, we are more than happy to help you get started. For CSP-, MCA-, and EA-customers, the Cost Management-service in Azure itself is the recommended tool to manage the consumption of your resources. It not only provides you with a clear overview of your current costs, but also offers the ability to set budgets and alerts. And to gain valuable insights into any deviations.

Do you want to dive into the numbers right away? Then be sure to first take a look at the Cost Analysis tab. There, you can quickly check your current consumption costs at various scoping levels. Didn't find what you were looking for? It's possible that you're not authorized to view certain costs. That depends on your user permissions.

Are you an EA customer? Then, you can analyze your Azure costs even more extensively. Because with Microsoft’s Cost Management App you can generate detailed Power BI reports in no time. Although the customization options are very limited, this tool can help you get a better view of your costs. Would you prefer to create your own filters, views, and visualizations? Then definitely check out the Cost Management connector in Power BI Desktop. This feature is also available for direct MCA customers.

3. Optimize your Azure resources and consumption

We want to help you get the most out of your Azure subscriptions and make sure you're not overpaying. So, to manage your consumption effectively, we use manual and automated tools provided by Microsoft. Curious about how we approach this?

  • Automation

    Met behulp van automatisatie kan je je resources uitschakelen of afschalen wanneer je ze niet actief gebruikt. Zoals tijdens de weekends of na de werkuren, bijvoorbeeld.

    Additionally, you can also automate certain repetitive tasks, which saves you a lot of time and effort.

  • Budgets & alerts

    This is one of the most important steps in Azure cost management. Budgets and alerts notify you, via email or by using webhooks, when your current or projected costs reach a predetermined limit.

    Not sure where to draw the line? Look back at the predicted costs in your governance guidelines. And set that as the limit.

  • Tagging

    Adding logical and transparent tags and values to your resources has several advantages: Managing owners is very simple. And determining business criticality is much easier (important applications: high / departmental applications: medium / archived applications: low). You can also group your costs based on your own criteria, such as Business Owner, Department, … With an overview of all tagged resources, you can more easily allocate your costs.

  • Waste management

    Looking for a quick win? The easiest – and fastest – way to reduce your Azure costs is to remove your orphaned resources, such as disks without an owner, for example.

    Not sure which way to go? Simply gather all the disconnected subscriptions or resources in a decommissioning environment. There you can easily see which ones you no longer use.

  • Right sizing

    Door de juiste SKU-grootte te gebruiken voor je Azure-resource(s) kan je kosten besparen en/of betere prestaties garanderen voor je Azure-resource(s), afhankelijk van de SKU’s.

    Additionally, with right sizing, you can also reduce the costs of your overprovisioned resources.

  • Reservations

    Are you focusing on a one- or three-year plan for your Azure resources? Then you should definitely consider using reservations. This way, you can save up to 62%, depending on the SKU and term.

    Looking for discounts based on your commitment in exchange for some extra flexibility? Azure Savings Plans are the ideal solution for dynamic workloads with variable usage criteria.

Ask us for advice

Do you also want to gain more insight into your Azure usage costs? Or do you need help analyzing them? With our Advisory service, you no longer have to worry about your cloud environment. We take care of the entire optimization and management processes. And provide you with answers to all your questions. Ready to get the most out of Azure?

Our experts help you manage your Azure costs | Arxus

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