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Fujitsu EST

Innovative cloud software company strips 20% off IT costs by empowering staff with cloud cost management.

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Fujitsu EST

Background

Fujitsu EST is an innovation subsidiary of the global Fujitsu IT group, focusing on the creation and commercialization of cutting edge software technologies for topics such as cloud management, digital transformation and AI.

Problem

With their long experience in the development and use of cloud-based software solutions, Fujitsu EST were confident they were using their IT infrastructure in the most efficient way. But when they ran an analysis they found that their actual development costs were not in line with their expectations, causing them to take a closer look.

After a careful investigation Fujitsu EST discovered a number of problems caused by their advanced use of cloud services. Firstly, employees from different departments were consuming a range of cloud services from several different providers – causing a series of distributed costs that were not centrally visible or easy to understand. Secondly, usage data from each platform only arrived in the monthly invoices, making it too late to seek efficiencies or control spend effectively. Thirdly the information from each cloud provider was presented in different formats, making it difficult to consolidate a true view of the overall spend incurred. And finally the lack of cost traceability made it very difficult to charge costs back to each department – undermining the organization’s ability to effectively track and control the costs and benefits of different development programs.

Together these issues were not just creating confusion and wasting money, however. By creating uncertainty about the financial situation of the organization they were also creating a direct barrier to innovation, making it hard to forecast effectively and thereby slowing down investment decisions.

For all of these reasons, Fujitsu EST decided they needed to implement stronger control over their cloud-related costs.

Solution

RunMyProcess offers easy to use tools for integrating and visualizing data from multiple cloud services – helping to create a unified view of an organization’s overall cloud spend. Using these tools, Fujitsu EST began to get their cloud costs under control.

Fujitsu EST first connected the cloud cost management capabilities of RunMyProcess to the APIs of their cloud providers. This started the data collection process and enabled a common and clearly arranged view of the different providers’ billing information. Equally importantly this data collection included costs from internal services – ensuring that VMWare and Openstack based resources were also visible in the analysis.
Secondly Fujitsu EST modelled the organization of their business so they could allocate incoming costs to different projects, departments or users. As the costs became more visible many of the budget owners were surprised at the level of spend they were incurring – and how quickly the financial benefits of deactivating unused resources accumulated.

Finally the management team at Fujitsu EST were keen to ensure that people took more responsibility for the costs they were incurring. To support this aim they used the tool to delegate cost reporting, forecasting and management to individual teams, enabling employees to directly check and manage their own costs. In support of this empowerment they set customizable budget limits and alarms that were triggered when certain usage thresholds or limits were reached.

Together these changes enabled Fujitsu EST to increase the efficiency and cost effectiveness of their product development processes – without losing speed or agility.

Benefits

“RunMyProcess has helped to spread a stronger culture of cloud cost management throughout the organization.” says Wolfgang Ries, CMO of Fujitsu EST.

Thanks to the digitization and automation provided by the RunMyProcess solution, costs incurred by Fujitsu EST are now directly attributable to the product teams that cause them.
At the same time consolidated information is available in real time to the management and finance teams, enabling them to track costs, understand their breakdown by team and monitor the overall capacity of the organization to invest further.

After implementing the solution the Fujitsu EST management team were also surprised by the level of transparency they could achieve. In addition to saving almost 20% of their cloud spend without any impact on performance they also found that they could plan and budget future activities with more confidence – improving the velocity of the company.

Equally importantly Fujitsu EST’s talented employees – developers, operators, and administrators – appreciate the fact that they are trusted to make responsible decisions on behalf of the company, allowing them to spend more time on development and less time on justifying infrastructure costs to their management.

  • Ability to better forecast and optimize spend.
  • Real time visibility of costs.
  • Savings via identification of unused resources.
  • Accelerated decision making.
  • 20% reduction in cloud costs.

“With the newly gained financial clarity we know exactly where our money goes. People pay more attention when it comes to using cloud services.”

-Christian Menk, Chief Executive Officer, Fujitsu EST.

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