Volkswagen case study

Volkswagen.

Co-creating VW’s cloud cost control solution

  • Shaped a cloud cost control solution 
  • Balanced performance & waste-reduction 
  • Built-in rightsizing and savings suggestions 

The client.

Volkswagen (VW), part of the VW Group, is a German automotive manufacturer.

The Volkswagen Group designs, manufactures and distributes vehicles through many leading brands such as Audi and Porsche.

It is one of the largest players in the industry, both in Europe and globally.

Volkswagen Logo

The need.

A primary driver of change at Volkswagen was the need to achieve cloud cost control. Knowing the what, where and who of their cloud spend would give them the ability to understand where cloud expenditure was taking place, and where it could be reduced.

As well as cost allocation, Volkswagen’s solution needed to accommodate RedHat OpenShift, alongside all of the three existing cloud providers in place. The solution therefore needed to be multi-cloud and flexible enough to accommodate multiple inputs.

In addition, cloud native guidance on how to sustainably reduce cloud waste was a major priority, seen alongside Volkswagen’s higher-level sustainability goals.

Enter Nordcloud Klarity.

Challenges.

  • Volkswagen’s multi-cloud journey was already underway with Microsoft, AWS and Google. On top of this, there was a new product platform on the horizon, as they had begun distributing services using Red Hat OpenShift. 
  • However, there was a challenge involved in adopting the new product platform, as it was proving difficult for Volkswagen to allocate costs from the new platform to individual departments. 
  • This meant that cloud costs were only seen at levels either too macro or micro to be useful.

Nordcloud’s FinOps tooling creates meaningful and context-oriented cost report that take the chaotic complexity of cloud usage structures and create a universal, single source of truth.

Jakub Holak

Head of Software Solutions, Nordcloud

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Our Approach.

Klarity’s developers worked closely with VW’s teams to tailor-make a Klarity solution that helps maximise cloud value, aligning VW’s cloud cost practices with their upcoming projects, needs and goals.

Using an agile, cloud-native approach, Volkswagen and Klarity’s teams have shaped a sustainable cost control solution together. Some suggested features from the process have even been added to the Klarity product roadmap, because for the Klarity teams, being agile means integrating valuable learnings into our customer solutions.

“Klarity customer support in onboarding is outstanding. It is a role model.”

HECTOR VALVERDE

SOLUTION ARCHITECT Volkswagen Data:Lab

Nordcloud Klarity’s Solution.

Nordcloud Klarity automates cloud cost management and allocation, making continuous cloud cost savings a reality. Nordcloud Klarity teams worked together with VW developers to co-create a cost control solution, using the fundamental features of Klarity but tailored to meet the specific requirements that Volkswagen had.

Cost allocation

With their custom Nordcloud Klarity solution, Volkswagen has a cloud cost management tool that consolidates information about cloud spend for cost allocation.

This gives Volkswagen the ability to assign responsibility for specific costs to the relevant business context and identify areas where costs could be reduced.

GreenOps

From a sustainability perspective, developers are incentivised to balance performance with waste-reduction through Klarity’s GreenOps feature. This feature shows the carbon footprint of resources, which adds a sustainability dimension – both environmental and economic – to their cloud management activities.

Savings suggestions

On top of Klarity providing the data for internal chargebacks, the process is further aided by Klarity’s built-in rightsizing and savings suggestions, which enable waste reduction.

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Results.

Managed

Visibility

Volkswagen were able to highlight their spending across departments, and expose waste.

Focus

Volkswagen were able to reallocate their resources from areas of high waste.

Value

The teams were more confident because they were providing value from their cloud spend.

Speed

Automated cost allocation gave Volkswagen rapid access to vital data.

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Ilja Summala
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Ilja’s passion and tech knowledge help customers transform how they manage infrastructure and develop apps in cloud.