When I think back on my own journey in technology, one consideration for all businesses that always comes up too late in the day is that of cost optimisation. You’re so hell bent on delivering against the world, it’s just not forefront to your mind at all times. For me though, rather than facing into the challenge post implementation, It’s as much about mindset throughout the process as it is about tech.
For most, it doesn’t come from reading best practices. It comes from being in the trenches… grappling with budgets, making tough calls, and yes, occasionally being burned by costly mistakes. Not everyone needs to or should go on that journey though. So, for my fellow engineers, here are a few hard-earned lessons that might save you some pain and money down the road.
- Architect with Intent
The first rule of cloud cost efficiency? Build with intention. It’s tempting to just “lift and shift” services to the cloud, but this often leaves you with bloated costs and underutilised resources. Moving to the cloud isn’t just a relocation project; it’s an opportunity to rethink how you architect. Embracing cloud-native concepts like microservices and serverless computing makes a big difference to not only cost but your ability to use the cloud’s natural benefits and drive innovation and new products to market.
- The Right Tool, Streamlined and Simplified
When it comes to cloud costs, it’s not always about cutting back—it’s about cutting complexity. One of the most effective ways to reduce expenses and simplify management is by thoughtfully leveraging the right tools for the right job. Whether you’re using open-source libraries, native cloud services, or even third-party tools, choosing purposefully can save significant resources. A lot of companies struggle here, often tangled up in legacy systems bolted on over time, each one slowly adding friction and overheads that slow their teams down in delivering new features.
Equally important is consolidation. Over the years, as teams accumulate tools and services, it’s all too easy to lose track of where costs are hidden (and let’s not even get started on inconsistent tagging!). By intentionally consolidating services—like decommissioning bespoke solutions in favour of off-the-shelf integrations or leveraging cloud-native options with overlapping functionalities—you can streamline your stack, cut down on redundancies, and make management smoother. In short, careful tool selection and smart consolidation go hand in hand in driving both savings and simplicity.
- Performance Tuning: Small Gains, Big Wins
One area that often goes overlooked is performance tuning. Not everyone always makes this connection, but the impact it can have on costs at scale is significant. I’ve seen numerous times in my career where a concerted effort has at times halved the compute required to operate the equivalent customer traffic. The cost savings from improved efficiency stack up, and when your application is operating at scale, those tweaks can translate to significant budget relief.
- Automate for Efficiency
Automation is your best friend when it comes to maintaining cost efficiency, not just for cloud resources but also for human ones. Set up alerts for usage spikes, automate scaling, and create scripts for periodic cleanup of unused resources—these actions remove the need for someone to manually “keep an eye on things.” By letting automation handle routine tasks and monitor for anomalies, you free up your team to focus on higher-value work rather than firefighting and maintenance. This approach doesn’t just reduce surprise expenses; it also cuts down on the human costs of time, oversight, and potential errors.
- Revisit Regularly
Last but not least, treat cost optimisation as a continuous practice. Cloud providers are constantly evolving their offerings, and new pricing structures can open up opportunities for further savings. Make it a habit to revisit your architecture and expenditures regularly. I’m a big fan of teams getting together monthly to take a step back and review the platform and its performance/cost. Small adjustments, when done consistently, lead to a leaner, more efficient operation.
Closing Thoughts
The journey to cost efficiency is just that—a journey. It requires the right mix of architectural decisions, tool selection, and ongoing maintenance. As engineering leaders, it’s on us to navigate the balance between innovation and efficiency, ensuring that we’re not only driving value for our organisations but also doing so in a sustainable way.
At the end of the day, cost optimisation is less about being frugal and more about being smart with every investment. With the right mindset, it becomes a strategic advantage—one that makes your organisation leaner, faster, and better prepared for the challenges of tomorrow.