3 ways to better use Effective Savings Rate (ESR)
In the realm of FinOps, new concepts emerge all the time. One pivotal metric recently introduced by the FinOps Foundation is the Effective Savings Rate (ESR). ESR measures the savings achieved through various cloud commitment deals, like Reserved Instances (RIs) and Savings Plans (SPs). This blog discusses how organizations can use the ESR metric while understanding its limitations and how to overcome them.