Determine Effective Savings Rate

FOCUS Versions

v1.3 v1.4

Context

The Effective Savings Rate (ESR) is a KPI to track the efficiency of using commitment discounts.

The KPI calculation is (Contracted Cost – Effective Cost) / Contracted Cost.

Outcome: FinOps Practitioners are able to compute the ESR, which is (Contracted Cost – Effective Cost) / Contracted Cost.

FOCUS SQL Query

SELECT
  SUM(ContractedCost) AS ContractedCost,
  SUM(EffectiveCost) AS EffectiveCost,
  (SUM(ContractedCost) - SUM(EffectiveCost)) / NULLIF(SUM(ContractedCost), 0) AS EffectiveSavingsRate
FROM focus_data_table
WHERE ChargePeriodStart >= ? AND ChargePeriodEnd < ?

FOCUS Datasets

Cost and Usage

FOCUS Columns

Contracted Cost Effective Cost Charge Period Start Charge Period End

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