Controlling Cloud Costs with Independent Cloud Contract Audits

Cloud cost control is a challenge for small and medium sized businesses (SMBs). Critical to controlling cloud costs is understanding your cloud contract and assessing your cloud service needs. However, having a clear picture of your cloud service contract can save business owners a lot of money.

Yet, the majority of SMBs get lost in their cloud services contract. According to TechRepublic, “nearly 60% of organizations overspend their budget on cloud resources”. Without expertise in cloud contract assessment, the sheer amount of information is overwhelming. The result is runaway cloud costs.

If a business is looking to control their cloud costs, the question is when to start, where to start and how does it work?

1. Start by Reviewing Your Cloud Contract Now.

Any business looking to save money and control their costs should start now. Some businesses prefer to review their cloud contracts when it comes up for renewal. Others prefer to review their cloud contract needs when they start a new project. That fact is you can review your cloud contract at any time. To really reduce your IT spend, a business must review their cloud contracts on an ongoing basis.

2. Begin by Getting an Independent Cloud Contract Audit.

When people hear the word audit, it doesn’t spark joy. But when it comes to cloud contract audits it should. An independent cloud contract audit can result in significant savings.

Businesses can reduce IT costs and control cloud costs with an independent cloud contract review. Making an independent cloud contract audit part of their procurement services’ best practices results in savings.

What is an independent cloud contract audit?

An independent cloud contract audit is a comprehensive cloud contract review. This review looks at the nature of IT services under your cloud contract. But it’s more than that.

Following a review of your existing cloud contract, your independent cloud contact auditor assesses your business’s actual cloud needs. They also do a competitive analysis of the different cloud providers. They assess the licensing requirements.

As well, they look at your business’s IT needs in relation to your business strategy to identify your needs for future deployments. After they complete their cloud contract audit, they make recommendations and outline cost optimization strategies.

3. Work with a Platform Independent Technology Service Provider

A solid independent cloud contract audit requires working with a truly platform independent technology services provider. One of the hurdles businesses have difficulty overcoming is finding a platform independent technology service provider to perform contract audits.

What is a platform independent technology service provider?

A platform independent technology service provider is not tied to a single cloud or single tech vendor. They work with a variety of cloud providers and tech vendors. Many data center service providers and cloud service providers are tied to a single platform. Limiting the types of contract audits they can perform. Narrowing down the cost savings potential they can offer. As well as running the risk of latent bias in their recommendations.

The key benefit of working with a truly platform independent technology service provider, is their independence. They aren’t tied to one cloud service provider. They have the knowledge and experience across platforms. Most importantly, their concern is finding cost savings and technology solutions for your business. Because they can bring you a full picture and understanding of the cloud services industry

4. How Working with a Platform Independent Cloud Contract Auditor works.

Clarity is a platform independent technology solutions company. We provide our clients with the full spectrum of tech solutions. Our platform independence is why businesses looking to control cloud costs and their IT spend work with us. They know our unbiased approach results in them getting the full picture. Allowing them to reduce their IT spend. Controlling cloud costs and finding the right technology solutions.

Here’s an example of how working with a Clarity Cloud Contract Auditor works.

A Clarity client, we’ll call “Company XYZ” for privacy purposes, needed to reduce their IT spend. They found their cloud costs were exceeding their budget. Given their business pressures, they needed to reduce their overall costs.

Since we work closely with our clients, we recommended they conduct a cloud contract audit. This included a cloud contract review and assessment. Including this as part of their procurement savings best practices.

1. Clarity’s cloud specialists worked with Company XYZ’s IT managers and team. They assessed their existing contracts, which includes looking at their licensing expenditures and reviewed their IT needs for future deployment and budget. With the specific focus on locating efficiencies and cost savings.

2. We undertook a competitive analysis of all cloud technology solutions. Clarity compared contracts against a database of cost optimization options. We also did a competitive analysis between cloud providers.

3. Clarity identified key areas to reduce their IT spend. We provided Company XYZ with custom cost optimization strategies.

4. Clarity made recommendations based on their business needs, their IT requirements which took into consideration their licensing and future deployments.

In the end, Company XYZ reduced their IT spend, controlled their cloud costs and streamlined their procurement practices.

This is just an example of how Clarity’s platform independent approach helps businesses. With some small business clients, Clarity can negotiate contracts for them. Resulting in lower IT costs.

If your business is looking to control cloud costs, then consider an independent cloud contract audit. Connect with Clarity to learn more about our platform independent full spectrum approach and how we can help you save money.