Opens in a new tab
Talk to us
Siluette Of A Women On A Projected Screen Of Other Faces

AI Cost Management

Your provider invoice tells you what you paid. It does not tell you which team, project or workload created the spend, whether the work succeeded, or whether a different model would have done the same job for less. We connect consumption to teams, projects, quality and outcomes, so that a growing AI bill becomes a decision you can make rather than a number you have to explain.

Tell us where AI usage is growing and which costs are difficult to explain. We will help you define the data, allocation and outcome measures needed for a useful management view.

Map your AI spend and value
Af9e42e6e75df3ccafd1d1b7cfb105b5c2ff78af

The Client’s Situation

A growing line item nobody owns

AI adoption rarely starts as a programme. It starts as experiments. Teams buy seats, a few applications begin calling model APIs directly, somebody adds embeddings and a vector service, and then an agentic workflow appears that makes a dozen model and tool calls to complete one business task. Every one of those decisions was reasonable on its own.

What arrives at the end of the month is consumption data with no organisational context attached. The provider dashboard knows which key was used. Unless the keys were organised with that in mind, it does not know which project that key belongs to, which client the work was for, or whether anybody accepted the output. Finance sees a category growing faster than most of what it manages. Technology leaders are asked to forecast it. Engineering teams know that model choice, prompt length and workflow design all move the cost, and have no shared view in which to make the trade-off.

So the executive question, how much are we spending on AI, turns out to be the straightforward one. The harder question is what the spend produced, and answering it needs instrumentation, a tagging standard, agreement on what counts as a successful outcome, and somebody accountable for the answer. It is a management problem before it is a technical one, which is why buying a dashboard on its own rarely settles it.

Koios10 0926

What changes when consumption has context

Talk to us

One view across providers and workloads.

Consumption from several providers, models, applications and teams in a single picture, at a level of detail that supports a decision rather than requiring three exports and a spreadsheet.

Spend that can be allocated.

Usage data enriched with project, product, client and business-process context, so showback or chargeback becomes possible and the conversation moves from the total to the parts.

Model choices made on evidence.

Quality, latency and cost compared for the same workload, so a team can route work to an appropriate model instead of defaulting to the one they started with.

Spikes found in days, not on the invoice.

Anomaly alerts on loops, retries, malformed prompts and unexpected demand, which is where most of the unpleasant surprises in this category come from.

Cost per outcome, not per token.

Unit economics expressed in terms the business recognises: cost per resolved request, accepted document, completed analysis or software change.

Confidence to spend more where it works.

The point of this is rarely to reduce the number. It is to know which workloads deserve more investment, which need reworking, and which experiments should be stopped.

Five steps, beginning with what is worth measuring

1

We map the estate and the decisions.

An inventory of providers, applications, workloads, owners and billing sources, and then the more useful half: which management questions and business outcomes you actually need to see. Measuring everything is expensive and produces a report nobody reads.

2

We instrument and attribute usage.

Collecting billing, usage and trace data, then attaching consistent tags for team, project, environment, user and workflow instance. Allocation quality is set here. Where the instrumentation is thin, we will tell you what can and cannot be attributed rather than estimating quietly.

3

We build the management view.

Dashboards and unit metrics that combine spend, volume, latency, quality, success rate and business context at the level each audience needs. A finance view and an engineering view are different views of the same data, not the same screen.

4

We optimise the workloads.

Routing, prompt, caching, batching, retry, model and architecture changes, each tested against quality and risk thresholds rather than cost alone. The cheapest configuration that fails more often is not a saving.

5

We establish continuous governance.

Budgets, alerts, ownership, forecasting, decision rights and a review cadence, so optimisation becomes part of how the organisation operates rather than a project that produced a dashboard and stopped.

Turn your data into a competitive advantage.

Whether you’re trying to prove marketing performance, modernise enterprise reporting, or build a stronger data strategy, we’ll help you create analytics that deliver measurable business value.

Talk to us

What the work covers

Koios36 0926

Discovery and measurement design.

Vendor, application and billing-source inventory; stakeholder and ownership mapping across finance, engineering, product and procurement; a cost taxonomy and tagging standard; definition of business outcomes, quality metrics and unit economics; baseline analysis and a reporting-gap assessment.

Instrumentation and reporting.

Usage, billing, trace and application-data connectors; AI gateway design or integration where applications call model providers directly; an attribution and enrichment pipeline; cost allocation with showback or chargeback logic; dashboards, drill-downs, budgets and anomaly alerts; a forecasting model with scenario views.

Optimisation.

Model and workload benchmarking; prompt, caching, routing, batching and retry optimisation; pricing-model and commitment choices — pay-as-you-go, provisioned or reserved capacity, batch pricing — where volume justifies them; agent-loop and failure-cost analysis, which is where agentic workflows tend to hide their real economics.

Governance and handover.

Policy thresholds and approval rules; a monthly or quarterly value and cost review process; documentation, an ownership model and an improvement backlog for whoever runs it afterwards.

The measures fall into six families: consumption, financial, performance, quality, unit economics and business value. Which of them are material depends on your estate, and deciding which are worth the cost of measuring is part of the first engagement rather than an assumption we bring to it.

Why organisations bring us in

1

This is a reporting problem wearing an AI hat.

Connecting several source systems, agreeing a taxonomy, allocating spend to the right cost centre and building a management view that somebody actually acts on: that is what we have been doing for two decades, for organisations whose numbers have to be right. The data source here is new. The discipline is not, and the discipline is the difficult part.

2

We have built reporting that had to survive an auditor.

A chargeback model is a finance-grade reporting problem. It needs defined allocation rules, data quality controls, provenance and an answer when somebody disputes their share. We build regulatory reporting systems for organisations where a rejected submission has consequences, and that standard is considerably higher than the one a usage dashboard is usually built to.

3

We will tell you when the spend is justified.

High AI cost is not automatically waste. An expensive workload can be entirely justified by the quality it delivers, the risk it removes or the revenue it supports, and we have no interest in a report that makes useful work look extravagant. Our job is to make the trade-off visible so you can defend it, or change it.

What do our clients say?

Want to hear more from us?

For insights and updates straight your inbox. No spam, unsubscribe at any time.

Questions we are asked

No. Tokens are an important consumption unit and a useful entry point, but they are one part of the picture. A useful management view also covers per-request and per-image charges, copilot seat licences, model hosting and inference infrastructure, embedding and vector services, and the engineering effort needed to keep a workload running. It then connects all of that to who used it, what it produced and whether the result was accepted. The discipline is closer to FinOps, the cloud cost-management practice, applied to AI than to reading a provider dashboard.

In principle yes, and in practice it depends on what each provider exposes. Where billing and usage data is available in a suitable form, we design a common reporting and attribution layer above it so the differences between providers stop mattering to the person reading the report. Which specific integrations are feasible is something we confirm during discovery rather than assume, because the quality of provider data in this category varies considerably.

Through tags, separate API keys, application metadata, workflow identifiers and enrichment from your own systems, such as the project or client a piece of work belonged to. The honest constraint is that allocation quality depends on the instrumentation available. Where a key is shared across four teams, no amount of reporting will separate them, and part of the first engagement is establishing where the instrumentation needs improving before the numbers can be trusted.

Where applications call several providers directly, the most reliable fix is an AI gateway: a proxy between your applications and the model providers that stamps every call with its attribution, enforces budgets and rate limits per team or workflow, and produces one consistent usage record regardless of provider. It is frequently the first engineering recommendation out of discovery, because it turns attribution from a reporting problem into a routing decision.

With workload-specific outcomes rather than one formula. For a service desk that might be successful resolutions; for a document process, accepted outputs; for engineering work, cycle-time change. We agree the measure with you before building anything, and where a direct measure is unavailable we use an agreed proxy and label it as one. Anybody offering a universal return-on-investment calculation for AI is selling you a number rather than an answer.

Not if it is managed properly, and quality is exactly what we measure alongside cost so that the question can be answered rather than argued about. The cheapest model is not automatically the right one: a smaller model that fails more often creates rework, latency and correction effort that rarely appears in the saving. Optimisation decisions get tested against evaluation scores, latency and risk thresholds before they are adopted.

Usually, through a combination of usage and trace monitoring, budget thresholds, rate limits and anomaly alerts on volume and pattern changes. The exact controls available depend on the platform and on what the provider exposes, so this is scoped during discovery. Agent loops are worth singling out: a workflow that retries silently can produce a substantial bill from a small number of failing tasks, and it is the failure mode we look for first.

It starts as a project and only pays off as a capability. The first phase is a baseline, a measurement design and an implementation where the data supports it. After that it needs an operating cadence: someone owning the numbers, a regular review of cost against value, forecasting as adoption grows, and optimisation as an ongoing habit. We can run that with you or hand it over, and we would rather discuss which at the start than assume.

Start with what you cannot currently explain

The first engagement is an assessment and a measurement design. You get an inventory of where AI spend is actually coming from, a view of what can and cannot be attributed with your current instrumentation, an agreed cost taxonomy and tagging standard, a definition of the outcomes worth measuring for your workloads, and a baseline. What follows is an implementation where the data supports one, and an honest answer where it does not yet.

London Office

51 Lime Street
c/o HCR Law LLP
London EC3M 7DQ
United Kingdom

Zagreb Office

Centar 2000
Radnicka cesta 37a
10000 Zagreb
Croatia

Tell us where AI usage is growing and which costs are difficult to explain. We will help you define the data, allocation and outcome measures needed for a useful management view.

"*" indicates required fields

Name*
Confirmations