CloudZero released
survey findings revealing how organizations are addressing cloud spend. The
report, named "The State Of Cloud Cost Intelligence 2022,"
collates data from over 1,000 survey respondents asked about various
dimensions of their cloud cost strategies. Comprising a 50/50 split between
engineering and finance professionals, the report assesses
organizations through a FinOps lens; specifically, the extent to which they are
turning cloud cost data into fuel for better business decisions.
Findings demonstrate that most organizations are challenged with cloud cost
visibility, a trend which worsens as companies grow, mature, and go
public. Cloud cost is more of a priority than the previous year - and both
engineering and finance are sharing the responsibility to manage it. The report
also reveals a single factor correlated with better visibility and fewer
disruptions: an engineering culture that owns cost.
Key survey findings include:
- Only
13% of organizations have allocated more than 75% of their cloud costs
- 73%
of respondents said cloud cost was a C-suite or board-level issue
- 65%
of respondents said cloud cost is a shared responsibility between
engineering and finance
- Organizations
with engineering cultures of cloud cost ownership have improved visibility
and cost attribution, higher confidence in financial reporting, and better
adherence to budgets
"The report reflects the reality I've witnessed during my tenure in the
cloud cost management industry. The good news is that organizations are taking
meaningful steps to address this issue," said Phil Pergola, CEO of
CloudZero. "The survey responses show that more than half of companies are
devoting significant resources to FinOps, whether that's one full-time FinOps
manager or a multi-person team. People clearly want to make the change."
The cloud cost intelligence paradigm, pioneered by
CloudZero, describes a state at which organizations know not only how much
they're spending on cloud services, but how much they're spending on specific
business dimensions: customers, products, features, departments, etc. Cloud
cost intelligence puts raw expense numbers in context, allowing businesses to
turn cloud spend data from a mystery into a point of leverage for improved
decision-making.
The findings are available now. Visit cloudzero.com to read the full report.