How to manage your cloud management overspend

82% of businesses are overspending on public cloud. The answer is simple – outsource to experts who can manage one for you.

It goes without saying that the pandemic, working from home, and everything else you’ve heard one too many times has supercharged the transition to the cloud. Digital transformation is a massive boost to businesses, so this transformation is undoubtedly positive for the UK’s economy, but as they say, you can have too much of a good thing.


A survey of 350 cloud decision-makers by Arlington Research on behalf of cloud optimization firm Virtanen found that the majority (82%) of companies using cloud are spending far more than they need to. Limited visibility seems to be a key factor – with 86% unable to get a global view of cost in minutes, and 70% of companies saying that limited visibility wastes time and creates cost inefficiencies.


Why is this? Well, whether through over forecasting data use in a turbulent international economy or through poor management of IT resources, many businesses have rushed to the cloud without being able to measure its growing cost precisely. A recent survey of 1,900 IT and security professionals by The Cloud Security Alliance and AlgoSec found that 47% lacked cloud expertise, and 32% had insufficient staff to manage cloud environments.


The public cloud is the easiest choice for many businesses as they first undertake a digital transformation, as so many have done. However, costs can skyrocket. Instead, outsource to experts who can manage a secure, cost-effective, off-site private cloud.


Amir Hashmi, CEO and founder of zsah managed IT services, discusses why managing your cloud risks overspending:


“The rush to the cloud, particularly the public cloud as that has been the main workhorse of most businesses’ digital transformation, has been dramatic and sudden. It has been the key to business continuity for many, so not many will be regretting their digital transformation. However, it is pretty clear that many businesses have bitten off more than they need to chew in their haste.


Costs can quickly escalate in the public cloud, especially when you are not keeping a close eye on how much data your operations are using. This is worsened tenfold by the economic landscape of the next few years – from lockdowns and recessions to sudden spurts of economic growth, most businesses will have thought that it is better to have too much than too little.


There are two solutions to this. Businesses can either devote time and resources to FinOps or consider calculating current and forecasted data usage, which is particularly difficult for smaller companies that don’t have a dedicated IT department. Alternatively, you can outsource cloud management to a managed IT service – who can do all this for you.”

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