Frequently Asked Questions
About FinOps, Software Asset Management & Microsoft Negotiations
FinOps FAQ
What exactly is FinOps, and how does it differ from traditional cost management?
While traditional cost management is a reactive look at a monthly bill, FinOps is a proactive, cross-functional discipline. It brings together finance, engineering, and procurement to continuously optimize your cloud consumption. It moves the conversation from “How much did we spend?” to “Are we getting the maximum business value for every dollar consumed?”
Why do I need SAM expertise if I’m focused on FinOps?
The goals of software asset management are to reduce software license and cloud costs, minimize the time spent managing software and reduce the security and compliance risks to the organization.Few organizations are purely cloud, and FinOps tools often miss the “hidden” contractual layer. Without Software Asset Management (SAM) insights, you may inadvertently pay for licenses in the cloud that you already own on-premise (such as through Azure Hybrid Benefit). We bridge this gap by ensuring your cloud architecture aligns with your existing license entitlements, preventing duplicate spend that standard FinOps tools can’t detect. Additionally, your SAM team already knows your organization. Leveraging them to develop your FinOps team helps you retain key talent, springboard adoption, and leverage existing relationships to foster team cohesiveness.
Is FinOps just about “turning off” unused servers?
No. While “right-sizing” is a component, our approach goes much deeper. We look for structural and technical opportunities—such as modifying how third-party software interacts with your infrastructure or identifying more favorable entity-level agreement structures—to eliminate the requirement for spend entirely rather than just discounting it.
How is your approach different from automated FinOps tools?
Tools are excellent at identifying “low-hanging fruit” like idle instances, but they cannot read your custom contract language or understand your corporate roadmap. We provide the strategic overlay that tools lack. We don’t just give you a dashboard; we provide the architectural and contractual pivots that move the needle on your bottom line.
Who should be involved in the FinOps process?
FinOps is a “team sport.” For it to be successful, it requires a “Cloud Center of Excellence” (CCoE) consisting of:
Engineering.
To optimize technical architecture.
Finance
To manage budgeting and forecasting.
FinOps/SAM
To ensure contractual compliance and leverage existing assets.
Procurement
To drive the contract negotiating phases.
Leadership
To drive a culture of accountability.
Software Asset Management FAQ
What is software asset management (SAM)?
Software asset management (SAM) is a strategic initiative that enables organizations to achieve maximum value from their cloud and software investments.
What are the goals of software asset management?
The goals of software asset management are to reduce software license and cloud costs, minimize the time spent managing software and reduce the security and compliance risks to the organization.
How do you manage software licenses effectively?
An effective SAM program requires a combination of the proper people, processes, tools and knowledge to be successful.
What are the challenges of software asset management?
Management buy-in.
SAM requires cross-functional processes and support, and has both upfront and ongoing costs. Being able to tie your savings back to those costs is important.
Comprehensive.
You can only manage what you know. If your SAM tool and processes do not encompass the entire real estate you are basically ignoring or guessing at the remainder. Either way, make sure you have processes that, at a minimum, encompass your entire environment.
Must be flexible.
SAM is supposed to support the business, not stand in its way. To ensure controls are met while supporting business needs you need a cross-functional team and a SAM Manager who is able to successfully manage the moving parts.
Microsoft Agreement Negotiation FAQ
How do I determine the appropriate licensing for my organization’s needs?
Start first with understanding what you need.
What are your primary applications and who needs to access them? Is all access requirements the same or can some be web only, etc.?
Then understand your organization’s ability to track and manage consumption.
Do you need to buy as you go, or can you accurately manage an annual true-up?
Figure out your upgrade path and frequency.
Is this a one time need or will you use the software and future?
That will then lend itself to the best agreement type (or types, because you do not have to only stick with one).
What happens if a negotiation for a Microsoft Enterprise Agreement is unsuccessful?
There are many ways to purchase Microsoft software. If a negotiation is not garnering the results your business’s needs, we simply pivot to look at what is the best alternative. A Microsoft Enterprise Agreement is not always the best solution for an organization, sometimes it is a good fit for part of the organizations needs but not for others.
We don’t just negotiate Microsoft Enterprise Agreements; we help align the Microsoft offerings to what will best suit your needs.
We're here to help!
Ensure your software investment is managed appropriately
to curtail costs and manage risk.