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The Enterprise Cloud
book

The Enterprise Cloud

by James Bond
May 2015
Beginner to intermediate content levelBeginner to intermediate
396 pages
10h 38m
English
O'Reilly Media, Inc.
Content preview from The Enterprise Cloud

Chapter 5. Billing and Procurement

Key topics in this chapter:

  • Capital versus operational expenses

  • Concerns with the “build it and they will come” model

  • Ordering cloud services, procurement challenges in an automated service catalog

  • Fixed price XaaS versus variable scaling and pricing

  • Metering versus allocated pricing models

  • Cloud billing versus accounting and invoicing systems

  • Usage forecasting

  • Legal and contract agreements

  • Top cloud providers

  • Billing and procurement best practices

Cloud services represent not only a new style of delivering IT services, but also a change in the way they are procured, resource usage is measured, billing is carried out, and the way organizations maintain budgets. In this chapter, I focus on lessons learned and best practices relating to the resource tracking, billing, contract terms, and public cloud vendor guidance. This chapter covers topics relating to both a private enterprise cloud and also procuring public cloud services as many organizations consider or end up with a combination of both cloud models.

Because some large organizations serve as a central IT for other departments or peer agencies, this would put central IT into a cloud service brokering role—making these other departments or agencies essentially “customers,” which is a term that will sometimes be used in this chapter. You can read a full description of cloud brokering in Chapter 8.

Capital Versus Operational Expenses

We begin this chapter with a brief ...

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Publisher Resources

ISBN: 9781491907832Errata Page