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Communication Network Challenges. Start small. .Think big. Scale fast

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(1)

Communication Network Challenges

Start small….

……….Think big….

(2)

Most Enterprise Communications Users Dissatisfied

ƒ 69 percent of respondents were dissatisfied with their ability to

access their messages speech, fax, email, SMS… at any location with any preferred end-device

ƒ 63 percent agreed that their communications end-devices don’t always use the most suitable and most reasonably priced

infrastructure

ƒ 76 percent reported that the communications end devices that they currently use do not enrich their daily working life with regard to features and functionality

ƒ 62 percent said that the communications infrastructure deployed in the company is not always reliable and had suffered a breakdown in the past six months that negatively affected the business

ƒ 69 percent disagreed wholly or in part that their companies’ communications infrastructure embraces open standards and

supports the collaboration of various providers and the integration of IT processes

ƒ 75 percent consider support and response by their company’s

communications service provider to be inadequate when adjusting to changes within the organization

(3)

Communication cost bench marking

ƒ

The monies that enterprises spend on telecom services, such

as local and long distance, mobile phone plans, calling cards,

conferencing, and data networks, have long been considered a

cost of doing business.

However, in today's cost-conscious

market, no category of spend is sacred, and

telecommunications spending continues growing in

complexity and volume.

ƒ

A key component of the telecommunications cost management

challenge is the variety of services being used by many

different roles in the company.

Enterprises have insufficient

insight into actual usage and contract terms and compliance,

with few organizations having a closed-loop process for

sourcing, managing, and optimizing all telecommunications

costs on an ongoing basis.

(4)

Communication cost bench marking

ƒ

Those companies that leveraged technology to manage

telecom costs realized average savings of 26.1%, whereas

those companies that did not leverage technology reported

18.6% in average savings

ƒ

Not leveraging technology to support telecom cost

management is causing the typical large organization to leave

$8.7 million on the table. Midsize companies are forsaking

(5)

Its all about communication & information

Information size

Data Source: UC Berkeley, School of Information Management and Systems

T I M E

Fixed

Content

Shared

Access

Database

2002 40,000 BC

2002

12B

2003

24B

G I G A

(6)

Communication @ Hospital

A&E admission

Retrieve patient history

Surgery Diagnostic

tests

Post-op monitoring

Post-acute care unit

Discharge

Follow-up consultation

Archive patient record Intensive

care unit

Time

(7)

Communication types

ƒ

The amount of information

is growing every year

ƒ

Includes structured,

semi-structured, and

unstructured data

ƒ

Over 80% of enterprise

information is unstructured

Source: Fulcrum Research

Structured

Unstructured

E-mail and Attachments

PDFs Checks X-rays Paper Documents Rich Media Web Pages Audio and Video

Records Invoices Manuals Claims Contracts Instant Messages Forms Images XML Rows and Columns

(8)

Ensuring your company’s information

is in the

right place

, at the

right time

,

for the

right price

Effective communication system?

Lower

total

cost

Increased

capability and

(9)

Convergence-Traditional Approach to Business Challenges

Video

Video

V

o

ic

e

V

o

ic

e

Data

Data

CONVERGENCE

CONVERGENCE

(10)

Communication Convergence for SMBs

ƒ AMI predicts that VoIP will begin a long transition from a market-driven attraction of all-in-one VoIP appliances that supports

voice/unified messaging/security/mobility with provisions for remote management and desktop/server collaboration application integration. ƒ AMI forecasts that IP PBX penetration amongst SMBs will grow by

67% in 2007 while penetration in hosted VoIP-based systems will grow by 75%.

ƒ Everything rides the pipe, video, data, voice ƒ Enterprise Application Integration

ƒ Harnessing Wireless as part of the pipe ƒ Continued reduction in cost of gear

(11)

ƒ

Massive Growth

ƒ

Virtualization

ƒ

Consolidation

Convergence of Three Technologies

ƒ

Information Management

ƒ

Information Access and Delivery

ƒ

Information Storage

Technologies:

Base

Infrastructure:

Computing Networks Storage

On top of which

runs:

Data Management Information Management

Business Applications

(12)

Convergence-Growth Factors

ƒ Reduced administration and hard communications costs

ƒ No moves, adds, changes

ƒ Management of common infrastructure

ƒ Single Point of User Management

ƒ Dramatic reduction in overhead costs

ƒ Reduce cabling required under converged network ƒ Common support team

ƒ Reduced long team upgrades

ƒ Telco line access, usage, and management savings ƒ Reduced System expansion costs

ƒ Reduced costs for extending applications to additional/remote sites ƒ Improved Security by reducing com to one interface

(13)
(14)

Convergence--

Strategic Applications

ƒ IP Telephony

ƒ Unified Messaging ƒ Personal Assistant

ƒ CRM Interfacing & Integration ƒ Centralized Call Processing ƒ Identity Management

(15)

Convergence-

Means Increased Productivity to End User

ƒ Increased Employee productivity.

ƒ Message access anywhere, any way, anytime. ƒ One-stop message management.

ƒ Fax, Email, Voicemail, Contact, schedule and Task Information in one User Interface.

ƒ Customer satisfaction.

ƒ Increases speed and quality of responses to all types of communication.

ƒ Allows for flexible communication flow.

ƒ Cost reductions.

ƒ Moves/adds/changes are simpler and faster.

ƒ Single infrastructure to manage and maintain.

ƒ Single transport infrastructure for all media: Data/voice/video.

(16)

Customer centric communication process

Product & Catalog

Product & Catalog

Management Management Product Selection Product Configuration Define Offerings Deploy Catalogs

Order Lifecycle Management

Order Lifecycle Management

Quotes Orders Customer Assets Contracts Pricing Pricing Management Management Price Administration Price Planning Price Execution Price Enforcement Customer Information Customer Information

Account Opportunity Contact

Mobile Call Center Web Partners Retail POS Pricing Analytics Customer Surveys Industry Analysis Contract Systems Billing Systems

(17)

IP Convergence – Promise & Problems

The promise is clear….

The promise is clear….

ƒ Dramatically lower costs

ƒ Ubiquitous network reach & interoperability

ƒ New applications

ƒ Mainstream VoIP today

ƒ Call center, rich-media, integrated desktop, etc…)

ƒ Dramatically lower costs

ƒ Ubiquitous network reach & interoperability

ƒ New applications

ƒ Mainstream VoIP today

ƒ Call center, rich-media, integrated desktop, etc…)

… But so are the challenges.

… But so are the challenges.

ƒ VoIP quality isn’t good enough for widespread business use

ƒ Latency-sensitive applications (Citrix, video, VoIP…) need protection from FTP and audio/video streaming

ƒ Many business applications are converging onto the IP WAN –each with specific performance needs

ƒ IP convergence applications require an integrated suite

ƒ New applications, growth must not compromise performance, add cost

ƒ VoIP quality isn’t good enough for widespread business use

ƒ Latency-sensitive applications (Citrix, video, VoIP…) need protection from FTP and audio/video streaming

ƒ Many business applications are converging onto the IP WAN –each with specific performance needs

ƒ IP convergence applications require an integrated suite

ƒ New applications, growth must not compromise performance, add cost

(18)

An Integrated, Cognitive IP Network Solution

An Integrated, Cognitive IP Network Solution

ƒ

Optimize IP Application Performance

ƒ Per user, per session application guarantees

ƒ Toll-quality VoIP, jitter free video

ƒ Business application acceleration

ƒ

Minimize Total Cost of Ownership

ƒ WAN optimized bandwidth efficiency

ƒ Seamless integration with existing network

ƒ Ease of deployment and operation

ƒ Rapid ROI for SMB

ƒ

Enable IP Convergence

ƒ Per flow converged IP applications

ƒ Secure, assured converged access

ƒ

Optimize IP Application Performance

ƒ Per user, per session application guarantees ƒ Toll-quality VoIP, jitter free video

ƒ Business application acceleration

ƒ

Minimize Total Cost of Ownership

ƒ WAN optimized bandwidth efficiency

ƒ Seamless integration with existing network

ƒ Ease of deployment and operation

ƒ Rapid ROI for SMB

ƒ

Enable IP Convergence

ƒ Per flow converged IP applications

(19)

Integrated application

ƒ

Visibility

ƒ

Performance

ƒ

Accuracy

ƒ

Scalability

ƒ

Manageability

ƒ

Visibility

ƒ

Performance

ƒ

Accuracy

ƒ

Scalability

ƒ

Manageability

ƒ Deepest IP application discovery

ƒ Real-time traffic stats, reporting, policy adjustment

ƒ Single high-performance classification engine

ƒ Comprehensive, integrated IP technology

ƒ Multiple polices per flow

ƒ good flow granularity (1kbps.), high bandwidth accuracy

ƒ High bandwidth efficiency

ƒ Solution scalable

ƒ Easily adjusts to new applications, new policies, growth

ƒ Auto-discovery, adaptive policy management, central policy management

ƒ Deepest IP application discovery

ƒ Real-time traffic stats, reporting, policy adjustment

ƒ Single high-performance classification engine

ƒ Comprehensive, integrated IP technology

ƒ Multiple polices per flow

ƒ good flow granularity (1kbps.), high bandwidth accuracy

ƒ High bandwidth efficiency

ƒ Solution scalable

ƒ Easily adjusts to new applications, new policies, growth

ƒ Auto-discovery, adaptive policy management, central policy management

(20)

VoIP requires tightly controlled delay, jitter, packet loss and

admission control for each call

End To End Delay Should be minimised

Packetization Input Buffer

Jitter Buffer Network Delay should be minimised

WAN

Factor Reason Impact

Delay Excessive Queuing Voice degenerates to half duplex Jitter Mix of Small and Voice sounds like

Large packets a bad cell phone Improper scheduling call

(21)

What does SMB need

ƒ

Scalable from small branch to large enterprise data centers

ƒ

Best-in-class compression efficiency (“real world” scenario: 240%)

ƒ

Real-time discovery, monitoring and performance reporting

ƒ

Deployable in less than thirty minutes

ƒ

ROI typically in less than six months

ƒ

Deliver granular and accurate per user, per session guarantees

ƒ

Optimize WAN bandwidth with >95% efficiency

ƒ

Scale from SMB/remote office to large enterprise locations

ƒ

Enable mainstream VoIP deployment today

(22)

An Integrated Traffic Management Architecture

ƒ Layered classification and policy enforcement engine

ƒ Capability to integrate Multiple policies and enforce per flow

ƒ Accurate per session, per user Quality of Service/Quality of Experience: ƒ Precise throughput, priority, latency, jitter, MOS, etc.

ƒ Performance as defined by the end-user/customer

ƒ Layered classification and policy enforcement engine

ƒ Capability to integrate Multiple policies and enforce per flow

ƒ Accurate per session, per user Quality of Service/Quality of Experience:

ƒ Precise throughput, priority, latency, jitter, MOS, etc.

ƒ Performance as defined by the end-user/customer

KEY: High PriorityMedium Priority

Low Priority

TCP Rate Shaping

Intuitive Policy Management Real-time Monitoring

Class Based Queuing Advanced RTP (VoIP) Support Policy Based Compression

Transparent Web Caching

Advanced Network Diagnostics

Uncompressed Data

Wire-Speed-Classification

(23)

Communication tech adoption Pricing Drivers

Pricing primarily has to be:

ƒ Scalable

ƒ Flexible

ƒ Enforceable

Pricing then has to:

ƒ Reflect Value (Communications, perspectives, end to end solutions)

ƒ Incorporate feedback from Analysis ƒ Include services bundling

Reflect industry trends:

ƒ Driving recurring revenue streams: subscription, maintenance

ƒ Utility based: How many times system is accessed or used vs number of users

Serve different segments:

ƒ Small and Medium Businesses

ƒ Support Services & Custom Solutions Development

(24)

Convergence

A Real-World Business Case Study

Financial Impact

Video Conferencing

Outsource Audio

$15,000

Monthly Phone Bill Savings

Long Distance

Collapsed Trunks

$245,000

$50,000

Payback Period

14 months

$ 50,000

Area of Savings

(25)

Results

ƒ

Operational Efficiencies

ƒ Lower order costs by reducing quote and order errors by 35%

ƒ Reduce order cycle time up to 37%

ƒ Reduce customer inquiries & collections by 50-80%

ƒ Created a consistent repeatable set of business processes ƒ Deployed a low touch, fully integrated set of applications ƒ Increased accuracy & completeness of order data by 90% ƒ Improved visibility into customer asset base & deployments.

Identification of up-sell & cross sell opportunities

ƒ Increase orders processed per employee by 15%

(26)

Your Next Steps to Achieve the Benefits of convergence

Step 1

Discover What You Have

ƒ Make informed decisions, reclaim what you’re not using

Step 2

Consolidate with Network Convergence

ƒ Lower cost through better utilization

Step 3

ƒ Watch your ROI

(27)

WHAT T O LOOK FOR I N A SUPPLI E R ?

ƒ Experience — proven solutions and customer case studies

ƒ Legacy and future PBX knowledge — the ability to take you from where you are to where you want to be

ƒ Industry focus — understanding of your business

ƒ Growth — the supplier must be able to grow along with your business ƒ Financial viability — no risk for downtime service or unsupported

technology

given the long-term nature of these contracts

ƒ Contract type — should reflect the critical nature of the communication solutions

ƒ Support — guaranteed levels of service and security

ƒ Relationship management — a dedicated person at the specialized organization to interact with your business

ƒ Customer service — one point of contact, one bill

ƒ Wide range of solutions and geographic coverage — supporting choice, change and growth

References

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