Azure Cost Optimization Initiative

Azure Cost Optimization Initiative

Project Overview

One of the most impactful projects I led at The Answer Company was a comprehensive Azure Cost Optimization initiative. This project delivered immense value by bringing financial transparency and operational intelligence to our growing cloud footprint.

Details

As Azure usage scaled, following multiple client migrations and hybrid cloud rollouts, costs began to spiral. What started as a $12,000/month spend had grown to over $19,000 in just six months. I spearheaded a cross-functional effort to reduce spending without compromising performance, availability, or security.

The first step was visibility. I deployed Azure Cost Management, Azure Advisor, and integrated Log Analytics and Application Insights for deeper usage insights. To visualize the data, I built an internal Power BI dashboard that mapped cost trends across clients, resource groups, and project workloads and transformed raw billing data into actionable intelligence.

I managed the optimization in three key areas:

  • I identified underutilized VMs and scaled them down based on 30-day performance patterns. Using Azure Metrics and custom scripts, we reconfigured VM sizes, downgraded storage tiers, and scheduled idle resources to auto-shutdown using Azure Automation.

  • For always-on workloads, I implemented 1- and 3-year Reserved Instances, reducing compute costs by up to 57%. A Python script I developed parsed VM uptime patterns to recommend the best RI terms per client and subscription.

Cleanup & Automation: We removed over 60 unattached disks, stale IPs, and orphaned backups. I built PowerShell cleanup scripts triggered via Azure Automation, ensuring these cost leaks were automatically flagged and addressed on a recurring basis.

The results were immediate:

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Per month saved (27% reduction)
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Fewer orphaned cloud assets
Improved cost forecasting and client trust

I also implemented Azure Policy rules to prevent cost drift, enforced tag-based billing for accountability, and published an internal Azure Optimization Playbook that became a living guide for our engineering team. Clients saw the impact too, one CFO told me they could finally forecast cloud spending with confidence.

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