The FinOps Framework is a structured approach developed by the FinOps Foundation to implement FinOps practices within organizations.
It includes a set of principles, best practices, and processes designed to help organizations manage and optimize their cloud spending.
To collaboratively make data-driven spending decisions in the cloud
Teams must collaborate, business value should drive technology decisions, everyone takes ownership of costs, data should be timely and accurate, FinOps is enabled centrally, and organizations should leverage the variable cost model of cloud.
The framework organizes cost management into domains such as understanding usage, quantifying business value, and optimizing costs through activities like allocation, budgeting, forecasting, workload optimization, and reporting.
FinOps sits between two strategies
Business Strategy ↔ FinOps ↔ Technology Strategy
Business goals (revenue, cost targets, product outcomes)
Technology goals (cloud architecture, scaling, engineering choices)
FinOps connects business goals with technical cloud usage.
FinOps Practice
- Policy & governance
- FinOps operations
- Education & enablement
- Tools & services
- FinOps assessment
- Invoicing & chargeback
- Onboarding workloads
- Intersecting disciplines
FinOps is the bridge that aligns business strategy with technology execution
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