Finops.World
2R1

Visualization of TCO per application

Objectives

Provide a clear view of the direct and indirect costs of the application

Benefits

Facilitate the calculation of the unit price of the application and the investigation of expenses

In order to go further in the level of granularity of the re-invoicing of application costs to the Business Units, but also to be able to act in depth, it is necessary to move towards transparency of application costs and more precisely to have a clear vision of the direct and indirect costs that applications generate.

For each component, it is therefore necessary to be able to break down the costs that make it up in terms of services (PaaS, SaaS or others), compute, storage, etc. And to add up the cost of each component in order to have a view of the costs of the application as a whole.

Illustration of the direct costs of an application
Illustration of the direct costs of an application

Nor should we forget the indirect costs of shared infrastructure: the components used by several applications, for example, or the part of the infrastructure that is not, for the moment, clearly chargebacked to the applications.

Illustration of the indirect costs of an application
Illustration of the indirect costs of an application

Thus the cost of the application is a skilful calculation of component costs and the share of infra costs allocated to it.

Example of a tool for the calculation of direct costs : A DevOps framework like Cycloid allows to easily create an application infrastructure and to follow the cost of this infrastructure on the fly.

Example of cost visualization with Cycloid
Example of cost visualization with Cycloid
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SaaS / PaaS / IaaS eligibility process

ID 2B4

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Consumption measurements by application, typology and component

ID 2R2

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