---
title: "Cloud Custodian for Policies Management: A Comprehensive Guide "
description: Manage public cloud resources securely and cost-effectively with Cloud Custodian for Policies Management using YAML-based policies for AWS, Azure, and GCP
image: https://www.xenonstack.com/hubfs/cloud-custodian-policies-management.png
---

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# Cloud Custodian for Policies Management: A Comprehensive Guide 

[Navdeep Singh Gill](https://www.xenonstack.com/blog/author/navdeep-singh-gill) | 22 October 2024

Cloud Custodian for Policies Management: A Comprehensive Guide 

11:12

There is increasing complexity in the cloud environment today which calls for the need for effective management of its cloud resources and realization of compliance to policies. Cloud Custodian provides an open-source tool that has a framework and allows one to formulate and implement available solutions to the problem. Further in this article, we will describe how **Cloud Custodian facilitates rather remarkably the management of policies,** its features and use case, and the policies that should be followed when using it. 

## **What is Cloud Custodian?** 

A cloud resource policy management tool named Cloud Custodian was created by Capital One’s employees and offers its users the ability to manage cloud resource policies in different **cloud vendors, including AWS, Azure**, **and GCP.** The main objective of Cloud Custodian is to facilitate the use of these policies in managing cloud resources determined by security, compliance, cost management, and resource management policies.

 

 Cloud Custodian is an open-source cloud management tool hosted on GitHub, designed to facilitate governance and compliance across multi-cloud environments, including cloud custodian aws, cloud custodian azure, cloud custodian gcp, and cloud custodian kubernetes. It operates on a modular architecture, referred to as cloud custodian architecture, where users define resource management policies in YAML, allowing for automated tasks such as identifying non-compliant resources, optimizing costs by managing unused instances, and enforcing security best practices.

 

 Additionally, cloud custodian terraform integrates with Terraform to enhance Infrastructure as Code (IaC) practices, ensuring governance from the provisioning stage. With a vibrant community contributing to its development and extensive cloud custodian training resources available, Cloud Custodian empowers organizations to maintain visibility and control over their cloud infrastructures effectively while enhancing security and compliance.

## **Key Features of Cloud Custodian**

![gear](https://www.xenonstack.com/hs-fs/hubfs/gear.png?width=512&height=512&name=gear.png)

### Policy as Code

With Cloud Custodian, one can write policies in a single easy to read and navigate YAML configuration file. This allows for easy versioning and distribution of policies amongst team members.

![gear](https://www.xenonstack.com/hs-fs/hubfs/gear.png?width=512&height=512&name=gear.png)

### Multi-Cloud Support

No matter whether you are in the AWS or GCP territory, all the cloud resources management can be done under the umbrella of Cloud Custodian.

![gear](https://www.xenonstack.com/hs-fs/hubfs/gear.png?width=512&height=512&name=gear.png)

### Automation

Cloud Custodian can also automate some mundane operational tasks, such as resource clean-ups, compliance tagging, and security control enforcement.

![gear](https://www.xenonstack.com/hs-fs/hubfs/gear.png?width=512&height=512&name=gear.png)

### Advanced Filters and Actions

Users can enhance their selection criteria & actions regarding a specific resource for improved performance and effectiveness

### **Advanced Features of Cloud Custodian** 

1. **Custom Actions**

Cloud custodian allows extending events by creating actions, and these are conditional with the use of certain triggers. For e.g. a company may choose to implement an action that posts messages on the slack channel after some certain limitations in resources have been exhausted. 

1. **Event-Driven Automation**

The cloud custodian solution can be configured and integrated with AWS Lambda or Azure functions for the purpose of cloud event management. This event-based strategy allows the implementation of policies in real-time whenever a change occurs within the cloud. 

1. **Multi-Account Management**

In an instance where an organization has several cloud account structures cloud custodian implements management across several accounts. For e.g. it is possible to define policies that enable multiple accounts to host cloud resources and provide a view of all the accounts in a single location. 

1. **Resource Metrics**

The cloud custodian employs resource metrics for policies that focus on cost optimization. Many other policies can also be implemented to reduce the number of underutilized overprovisioned instances over time. 

## **Why Use Cloud Custodian for Policy Management?** 

1. **Protection Elevated to New Heights:** Implementing [security policies](https://www.ey.com/content/dam/ey-unified-site/ey-com/en-mt/services/technology/documents/ey-malta-cloudsecurityframework-digitalbrochure.pdf) with Cloud Custodian enables organizations to identify and mitigate the risks of wrongly configured elements.
2. **Reducing expenditure on cloud resources:** Organizations can minimize wasteful expenditure on cloud services because they can streamline the process of identifying which resources are not being used and even switching them off.
3. **Regulatory Compliance:** By functioning as a controlled checking device among the cloud resources, Cloud Custodian helps to eliminate the risk of chance regulatory violations on cloud-based systems.
4. **Efficiency:** Automating such practices through an application eases the workload on the IT departments, allowing them to focus on more important issues that are aimed at growing the business.
   
   ![Multi-Account Security Governance as Code with Cloud Custodian on AWS.](https://www.xenonstack.com/hs-fs/hubfs/multi-account-security-governance-a-%20code-with-Cloud-Custodian-on-aws.jpg?width=1121&height=1395&name=multi-account-security-governance-a-%20code-with-Cloud-Custodian-on-aws.jpg)

**Fig 2: Multi-Account Security Governance as Code with Cloud Custodian on AWS**

### **Getting Started with Cloud Custodian** 

### **Prerequisites** 

Before getting into details of Cloud Custodian, ascertain that the following are available:

- **Basic Knowledge of Cloud Services:** In-depth understanding of the cloud service provider in use and its offerings.  

- **Python:** Since Cloud Custodian is purely a [Python application](https://www.gartner.com/peer-community/post/python-frameworks-use-use), one must install Python on the system.  

- **Cloud Resources:** A person must possess the required credentials and permissions to use cloud account resources. 

### **Installation** 

To install Cloud Custodian, you can use pip, the Python package manager. Open your terminal and run: 

 

***pip install c7n*** 

 

This command will install the Cloud Custodian package along with its dependencies. 

 

### **Configuration** 

1. **Set Up Credentials**: For AWS, configure your AWS credentials using the [AWS CLI](https://aws.amazon.com/cli/): 

***aws configure*** 

For Azure and GCP, refer to the respective cloud provider's documentation to set up credentials. 

 

**2. Create a Policy File**: Define your first policy in a YAML file. Here’s an example that identifies EC2 instances that are not tagged: 

![](https://www.xenonstack.com/hs-fs/hubfs/undefined-Oct-09-2024-05-48-32-4985-AM.png?width=658&height=133&name=undefined-Oct-09-2024-05-48-32-4985-AM.png)

**3. Run the Policy**: Execute the policy using the following command: 

***custodian run -s . untagged-ec2-instances.yml*** 

This command runs the policy and stores the results in the specified directory. 

## **Common Use Cases for Cloud Custodian** 

1. **Resource Cleanup:** On-demand destruction of resources that are no longer in use permanently, such as EC2 instances or load balancers and mower costs. 
2. **Security Auditing: **Locate and fix risks in security configurations, e.g., open security groups or overly permissive [IAM policies](https://www.xenonstack.com/insights/what-is-iam/). 
3. **Compliance Monitoring** refers to the periodic evaluation of the available resources for the measures that are in place within the organization or any other applicable legislation, such as GDPR or HIPAA. 
4. **Tagging Enforcement:** Ensure that every cloud asset is properly tagged for the appropriate cost management and control measures. 
5. **Resource Modification:** Change current resources by given conditions e.g. when usage of instance types changes, they may differ. 

## **Case Studies** on Cloud Custodian for Policies Management

### Case Study 1 - A Financial Services Provider 

This is a case where a financial services provider needed to better manage its cloud resources and remain compliant with the very stringent existing regulations. They decided to apply the Cloud Custodian to manage issues related to resource tagging, configuring security groups, and controlling costs. 

Results: 

- Increased Compliance: The first three months saw the firm decrease the instances of misconfigured resources by 60%. 

- Cost Efficiency: The firm reduced its monthly costs by approximately 25% by using the system to automatically shut down dead resources.  

### Case Study 2 - E-Commerce Business 

As the popularity of an online shopping site skyrocketed, the use of cloud resources increased correspondingly and very rapidly. They also used Cloud Custodian to track policies for untagged resources and to configure S3 buckets. 

Results:  

![solution (1)](https://www.xenonstack.com/hs-fs/hubfs/solution%20(1).png?width=512&height=512&name=solution%20(1).png)

### Improved Resource Awareness

The firm’s resource tagging compliance improved from 30% to 85% in language months

![solution (1)](https://www.xenonstack.com/hs-fs/hubfs/solution%20(1).png?width=512&height=512&name=solution%20(1).png)

### Improved Security Posture

Reduced security concern was realized after putting in place policies to oversee S3 buckets

### Case Study 3 - A Health Care Service Provider 

A health service provider was under regulatory pressure, such as HIPAA, and was not supposed to expose any sensitive data on the cloud. Cloud Custodian implemented a system responsible for geographic access control, Eliminating orbital storage locations without encryption available for product storage. 

Results: 

- Policy Adherence: The user could comply 100% with the HIPAA data protection policies on encryption. 

- Instead of relying on human labor to report compliance proportions, Cloud Custodian allowed these proportions to be reported almost automatically. 

## **Future Scope of Cloud Custodian** 

1. **Leveraging AI and ML:** As more businesses embrace the benefits of AI and ML, Cloud Custodian's resource optimization capabilities can be improved by incorporating predictive resource usage trends. 
2. **Increased Multi/Hybrid Cloud Adoption:** Improvements in future releases may encompass additional cloud providers and/or other cloud services global policy management, providing users with better policy management. 
3. **Improved User Experience:** Considering the fact that Cloud Custodian is mostly a CLI, there are chances that users may want to have a policy management GUI for more convenient interaction with the application. 
4. **Continuous Development from the Community:** The future improvement prospects of Cloud Custodian bear in mind that this is an open-source project meaning there will be continuous enhancements. 
5. **Automation of Security Checks:** More integration with CI/CD tools and DevOps practices will enable organizations to practice security and compliance even earlier in the development life cycle.

## **Best Practices for Using Cloud Custodian** 

1. **Define Clear Policies**

When developing policies, try to be direct and precise where possible. Do not use overly general filters that could accidentally affect resources. Instead, narrow down each policy using appropriate criteria. 

1. **Test Policies in a Safe Environment**

As much as policies want to go into production, they should first undergo testing in a staging environment. Doing so prevents surprises and ensures optimal performance. 

1. **Use Version Control**

Ensure that you properly manage and store your policy files using some version control system (e.g., Git), which would be of assistance to the entire team in the surveying process. This practice also helps with audit trail and rollback capabilities. 

1. **Monitor and Review Policies Regularly**

Consider performing another review of policy adoption and improvement every six months when there are changes in cloud usage and security in the organization. Additionally, monitoring policy performance should be instituted to determine policy effectiveness and make changes. 

1. **Integrate with CI/CD Pipelines**

In yourself using policies by inferring the cloud, understand the structure and components of the cloud integration deployment to Davidson process on the implementation of the mechanisms of compliance policies to state policies while in production. This is preventing compliance and security issues from being out of scope till too late in the development phase. 

![xenonstack-hybrid-cloud-management-services](https://www.xenonstack.com/hubfs/xenonstack-hybrid-cloud-management-services.svg)

[Migrate to AWS with confidence for a seamless cloud transition experience](https://hubs.ly/Q01B0gkg0)

## **Sample Policy Guidelines for Some Incidents** 

### **Policy 1: Non-active EBS Volumes should be removed** 

### **Policy 2: Alerts notifying unencrypted S3 buckets** 

![](https://www.xenonstack.com/hs-fs/hubfs/undefined-Oct-09-2024-06-03-14-8128-AM.png?width=658&height=209&name=undefined-Oct-09-2024-06-03-14-8128-AM.png)

## **Conclusion** Cloud Custodian for Policies Management

Cloud Custodian is a policy enforcement engine that has a great utility for the effective management of cloud resources. Therefore, its adoption leads to enhanced security, lower expenses, and adherence to various regulations in the use of cloud infrastructures. Cloud Custodian is simple and rich, whether as a beginner or someone looking forward to bettering cloud management activities. 

> - Explore Further [Managed Hybrid Multi-Cloud Service](https://www.xenonstack.com/insights/managed-hybrid-multi-cloud/)
> - Know more about [Cloud Monitoring and Management Tools](https://www.xenonstack.com/insights/cloud-monitoring-tools)

 

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## Navdeep Singh Gill

Global CEO and Founder of XenonStack

Navdeep Singh Gill is serving as Chief Executive Officer and Product Architect at XenonStack. He holds expertise in building SaaS Platform for Decentralised Big Data management and Governance, AI Marketplace for Operationalising and Scaling. His incredible experience in AI Technologies and Big Data Engineering thrills him to write about different use cases and its approach to solutions.

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Global Presence :

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USA

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Dubai

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India

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UK

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Australia

✕

## Agent SRE for Reliability and Observability Solutions

 AI continuously monitors systems for risks before they escalate. It correlates signals across logs, metrics, and traces. This ensures faster detection, fewer incidents, and stronger reliability

- ![Performance Icon](https://www.xenonstack.com/hubfs/performance.svg)Proactive detection of performance and availability issues
- ![Root Cause Icon](https://www.xenonstack.com/hubfs/root-cause.svg)Root-cause analysis across microservices and environments
- ![Remediation Icon](https://www.xenonstack.com/hubfs/remediation.svg)Automated remediation playbooks to reduce MTTR

[Explore Agent SRE](https://agentsre.ai/)

![akira-ai-banner-illustration](https://www.xenonstack.com/hubfs/akira-ai-banner-illustration.svg)

✕

## Physical Surveillance with Vision AI Agent Technology

 AI converts camera feeds into instant situational awareness. It detects unusual motion and unsafe behavior in real time. Long hours of video become searchable and summarized instantly

- ![Motion Icon](https://www.xenonstack.com/hubfs/motion.svg)Real-time detection of suspicious motion or intrusion
- ![Video Search Icon](https://www.xenonstack.com/hubfs/video-search.svg)Natural language video search and instant playback
- ![Summary Icon](https://www.xenonstack.com/hubfs/summary.svg)Smart summaries for audits, investigations, and compliance

[See Vision AI in Action](https://www.xenonstack.ai/)

![physical-surveillance](https://www.xenonstack.com/hubfs/xai-banner-image.svg)

✕

## Agentic Data Intelligence Across Your Full Data Stack

 Your data stack becomes intelligent and conversational. Agents surface insights, detect anomalies, and explain trends. Move from dashboards to autonomous, always-on analytics

- ![Connects warehouses](https://www.xenonstack.com/hubfs/data-icon.svg)Connects to warehouses, lakes, and streaming sources
- ![Question Answering](https://www.xenonstack.com/hubfs/answers.svg)Question-answering in natural language
- ![Continuous monitoring](https://www.xenonstack.com/hubfs/monitoring-2.svg)Continuous monitoring for anomalies and KPI deviations

[See in Action](https://elixirdata.co/)

![agentic-data-intelligence](https://www.xenonstack.com/hubfs/empowerment-of-analysts.svg)

✕

## Intelligent Diagnostic for Self-Healing System Automation

 Agents identify recurring failures and performance issues. They trigger workflows that resolve common problems automatically. Your infrastructure evolves into a self-healing environment

- ![Diagnostics Icon](https://www.xenonstack.com/hubfs/diagnostic.svg)Automated diagnostics for recurring errors
- ![Playbook Icon](https://www.xenonstack.com/hubfs/playbook.svg)Playbook execution: restart services, scale pods, clear queues
- ![Feedback Icon](https://www.xenonstack.com/hubfs/feedback.svg)Feedback loop for improving remediation strategies

[See in Action](https://agentanalyst.ai/)

![intelligent-diagnostic](https://www.xenonstack.com/hubfs/dataops-reimagined-banner-image.svg)

✕

## Agentic GRC - Monitoring Risk and Compliance Controls

 AI continuously checks controls and compliance posture. It detects misconfigurations and risks before they escalate. Evidence collection becomes automatic and audit-ready

- ![Controls Icon](https://www.xenonstack.com/hubfs/controls.svg)Continuous control checks across infrastructure and SaaS
- ![Audit Icon](https://www.xenonstack.com/hubfs/audit.svg)Automated evidence collection for audits
- ![Risk Icon](https://www.xenonstack.com/hubfs/risk.svg)Risk scoring and prioritized remediation recommendations

[Explore Agent GRC](https://agentgrc.ai/)

![monitoring-risk-and-compliance](https://www.xenonstack.com/hubfs/enhanced-security-measures.svg)

✕

## Agentic Finance and Procurement Intelligent Agents

 Financial and procurement workflows become proactive and insight-driven. Agents monitor spend, vendors, and contracts in real time. Approvals and sourcing decisions become faster and smarter

- ![Visibility Icon](https://www.xenonstack.com/hubfs/visibility.svg)Real-time visibility into spend and commitments
- ![Anomaly Icon](https://www.xenonstack.com/hubfs/anomaly.svg)Anomaly detection on invoices and vendor performance
- ![Workflow Icon](https://www.xenonstack.com/hubfs/workflow.svg)Intelligent workflows for approvals and sourcing decisions

[Optimize Finance & Procurement](https://www.xenonify.ai/)

![agentic-finance-and-procurement](https://www.xenonstack.com/hubfs/responsible-ai-aviators-banner-illustration.svg)

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