OCI Cost and Consumption Management for the Public Sector

The cloud continues to revolutionize how organizations operate, offering unparalleled scalability, flexibility, and cost-effectiveness.  However, as public sector entities increasingly migrate to the cloud, they face unique challenges in managing their cloud consumption effectively.  In this blog post, we'll explore the vital importance of cloud consumption management, especially in the public sector, and delve into the concept of Cloud Brokerage, a strategy gaining traction among state and government agencies.

Cloud Brokerage in the Public Sector

State and Local governments have long relied on shared IT services departments to centralize and govern their IT functions.  However, with the proliferation of cloud computing and off-premise service providers, managing the complexity has become a daunting task. Issues like cloud sprawl, varying procurement processes, and selecting the best option for workloads have necessitated the adoption of multi-cloud service provider programs, sometimes known as "cloud brokerage" programs. These initiatives managed at the shared IT agency level encompass various shared service aspects, including state-level cloud contract vehicles, cost management frameworks, and service catalogs.

Oracle OCI Organizations and Cloud Broker Management

Oracle Cloud Infrastructure (OCI) offers OCI Organization Management. With OCI Organization Management, public sector organizations can centrally manage multiple tenancies, streamline subscriptions, and effectively enforce governance rules.  By consolidating tenancies under a parent organization, agencies can optimize cloud utilization, simplify administration, and maximize cost savings.

Two types of tenancies are involved when mapping and using a subscription in Organization Management:​

• The parent tenancy is associated with the primary funded subscription.
• Child tenancies consume resources from a subscription that is not their own. Child tenancies can be created as entirely new tenancies, or existing tenancies can be invited to join with the parent tenancy to become part of the same organization.​

Benefits of OCI Organization for Cloud Shared Services

OCI Organization offers many benefits for shared services.  By sharing a single Universal Credit Commitment (UCC), agencies can avoid cost overages and benefit from increased rate card discounts. The parent tenancy can analyze and report across each tenancy through Cost Analysis and Cost and Usage Reports.  Budgets also allow customers to set alerts on costs by tenancies and subscriptions.​ Moreover, OCI Organization allows for strict data isolation, enabling agencies to meet compliance requirements while promoting resource efficiency and security. The use of governance rules can enforce and govern resources for specific child tenancies or the entire organization.  At the same time, consistent security policies can be used across tenancies to enforce security compliance requirements.​

OCI Organizations Setup 

Setting up OCI Organizations is a streamlined process involving automatic provisioning, activation, and onboarding tasks. Agencies can ensure smooth operations and optimal resource allocation by establishing clear roles and responsibilities and creating child tenancies as needed.

The process of adding child tenancies is straightforward, whether provisioning new tenancies or inviting existing ones. This seamless integration fosters collaboration and allows for the efficient sharing of resources and subscriptions within the organization.

Managing costs with OCI Organizations

Centralized cost management is a hallmark feature of OCI Organizations, offering granular insights into cost and usage metrics across the organization. By leveraging cost management products like Cost Analysis and Budgets, agencies can monitor expenditures, enforce governance rules, and optimize resource utilization effectively.

As public sector organizations navigate the complexities of cloud adoption, OCI Organization Management is a powerful solution for cost and consumption management.  We at Mythics understand the unique challenges facing public sector customers and are committed to supporting their cloud brokerage initiatives. Our Cloud FinOps and Cloud Broker Support Services for OCI offer a comprehensive suite of solutions, from tenancy instantiation to financial billing and monitoring, empowering agencies to unlock efficiency and maximize the value of their cloud investments.

OCI Organization Management represents a paradigm shift in how public sector entities approach cloud consumption management, paving the way for greater agility, transparency, and cost-effectiveness in the digital era. Embrace the power of OCI Organizations today and embark on a journey towards cloud optimization and innovation.