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How do you manage and control cloud costs on Azure?

This is asked constantly, because uncontrolled cloud spend is a real and common failure.

Visibility first:

  • Tag everything by environment, owner, and cost centre, and enforce tagging with Azure Policy. Without tags you cannot attribute a bill, and attribution is what changes behaviour.
  • Cost Management budgets and alerts so overspend is caught in week one rather than on the invoice.
  • Azure Advisor for concrete rightsizing recommendations.

Then the levers, roughly in order of payoff:

  • Turn things off. Non-production environments running overnight and at weekends are the most common waste. Auto-shutdown schedules pay for themselves immediately.
  • Rightsize. Instances are usually provisioned for a peak that never arrives.
  • Reserved Instances or Savings Plans for predictable baseline workloads — substantial savings for a one or three year commitment.
  • Storage lifecycle policies moving cold data to Cool and Archive tiers.
  • Watch egress charges, which surprise people because ingress is free.

Note: Framing cost as an engineering responsibility rather than a finance problem is the answer interviewers want.

All Microsoft azure interview questions

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