LoopyLuci FinOps and Cloud Cost Optimization
Implementing FinOps practices — from cost allocation and tagging through resource optimization, reserved/compute savings, spot instances, and organizational accountability.
When to Use
- Reducing cloud infrastructure costs
- Implementing cost allocation by team/project
- Optimizing compute, storage, and networking spend
- Building FinOps culture (engineering + finance + ops)
FinOps Framework
FINOPS_PHASES = {
'inform': 'Tagging strategy, cost allocation, dashboards, budget alerts',
'optimize': 'Right-sizing, reserved instances, spot, auto-scaling, storage tiering',
'operate': 'Continuous monitoring, governance policies, engineering accountability',
}
class CostOptimizer:
"""Identify cloud cost optimization opportunities."""
RECOMMENDATIONS = {
'right_size': 'Identify over-provisioned instances (CPU < 20%, memory < 30%)',
'reserved': 'Steady-state workloads → 1yr/3yr RI/Savings Plans (30-60% savings)',
'spot': 'Fault-tolerant, stateless workloads → spot instances (60-90% savings)',
'storage': 'Old data → colder tiers (S3 IA → Glacier → Deep Archive)',
'cleanup': 'Orphaned resources (EBS, EIP, load balancers, snapshots)',
}
def estimate_savings(self, current: Dict) -> Dict:
estimated = {}
if current.get('on_demand_compute', 0) > 0:
estimated['reserved'] = round(current['on_demand_compute'] * 0.4, 2)
if current.get('storage_standard', 0) > 0:
estimated['storage_tiering'] = round(min(current['storage_standard'], 5000) * 0.5, 2)
return estimated
Verification Checklist
- Resource tagging strategy implemented and enforced
- Cost allocation by team/project/environment
- Budgets and alerts configured (50%, 80%, 100%)
- Reserved instances/savings plans purchased for steady-state
- Spot instances used for fault-tolerant workloads
- Right-sizing analysis completed (over-provisioned resources)
- Storage lifecycle policies configured
- Orphaned resources cleaned up regularly
- FinOps dashboard with unit economics (cost per customer, per transaction)