Apr 2025
Cloud Cost Optimisation: 10 best practices
A cloud environment can offer flexibility and scalability, but without regular tuning, performance can dip, and costs can creep up. Cloud optimisation is about keeping your setup efficient, aligned with actual needs, and responsive to changes over time.
Cloud Solutions Architect
Here are 10 practical ways to optimise your cloud environment:
1. Rightsizing your resources
Avoid the pitfalls of over- or under-provisioning by aligning resource allocation with actual usage. Use monitoring tools to understand performance trends and adjust instance sizes or services accordingly.
2. Use reservations and savings plans strategically
For predictable workloads, Reserved Instances or Savings Plans can offer significant cost savings. The key is understanding which workloads are stable enough to commit to and which benefit from on-demand flexibility.
3. Embrace cloud-native, scalable services
Where possible, shift away from fixed infrastructure in favour of services that scale with demand. Many cloud-native tools automatically adjust based on usage or can be configured to shut down when not needed, saving both money and effort.
4. Power-down unused environments
Non-production environments like development or testing often don’t need to run continuously. Automating shutdown schedules outside of working hours can reduce unnecessary consumption.
5. Clean up unused or idle resources
Old snapshots, unattached storage volumes, and idle services can accumulate and inflate your bill. Regular cleanups and implementing storage tiering based on usage patterns can help manage costs effectively.
6. Optimise for network efficiency
Designing systems so services and users operate within the same region helps reduce latency and data egress costs. While CDNs can help, building your architecture with proximity in mind often yields better long-term results.
7. Continuously monitor and refine
Cloud optimisation isn’t a one-time task. Regular reviews and monitoring ensure your setup evolves alongside your needs, keeping performance strong and costs manageable.
8. Integrate security into your optimisation efforts
Good security practices - like encryption, access controls, and using platform-native security features - support compliance and protect systems without introducing significant overhead.
9. Tag resources for better visibility
Using cost allocation tags makes it easier to track spending by team, project, or department. This transparency supports better planning and helps identify optimisation opportunities.
10. Keep up with changes and innovations
Cloud platforms evolve quickly. Staying informed about new features and services allows you to test alternatives, modernise your architecture, and avoid falling behind.
If you need support with any of these actions, get in touch with our experts at info@waterstons.com
For more insights into how technology can boost efficiency and reduce costs, explore our 'Tackling Cost Pressure Through Technology' page here, for regular updates, insights and events including:
Streamline your security - Developing robust cyber strategies that don’t cost the earth
Board briefing - Building lean businesses with digital technology