NETWORK MANAGEMENT: The ‘R’ Word

Many would agree that the task of effective network monitoring, alerting,
and reporting is not just about tools but also processes and policies. The
tendency of corporates, currently suffering from low performance, is to
frequently increase their bandwidth requirements. They scarcely realize that
performance is not just a factor of bandwidth, but also gives higher visibility
to their infrastructure, and the capability to optimize performance accordingly
is the only solution to ensure significant improvement in performance. For
instance, a tool, which could allow a configuration that an alert should be
raised when the network gets ‘choked’, could be a great boon.

Till
recently, in-house technology teams managed the complex networks used by the
companies as no other alternative existed. A skilled technical team had to be in
place at the company’s premises to ensure that the networks work at optimal
capacity. It meant deployment of highly-skilled engineers, skilled in the
equipment used, system integration, security, intelligence, and Internet
connectivity, all under one roof, thus creating a sizable burden on operating
costs.

Also, with the IT industry growing, availability and uptime began to be taken
for granted, and the focus shifted to improved performance of applications over
the network. This became the single-most important challenge for IT departments.
Quality, cost, talent and the time required for effective network management
have acted as big deterrents for the companies managing their network
infrastructure in-house. Enterprises find it difficult to keep pace with the
challenge of constant change in the IT sector. The cost factor is associated
with the time factor, as the time spent in implementing the system directly
translates into increased costs. Also, the cost of poor network availability due
to delayed implementation could be even higher, hence accruing higher costs.

Thus, came into being the concept of out tasking IT services. Outsourcing of
business processes has been tried and tested, and has gained acceptance. But
trusting an alien organization with the hi-tech functions of mission-critical
and complex networks, has been plagued with the fallacies of lack of control and
compromise on security. This has called for breaking the mould.

There is no denying the fact that remote management for effective management
of network, much like BPO, accrues multi-fold benefits. It enables the
organization to focus on its core business, provides round-the-clock vigilance
without maintaining three shifts of technical staff, access to the latest
technology developments and processes at shared costs, advantage of knowledge
attributes of a specialist team, etc, all without investing a significant amount
of money in infrastructure, constant upkeep and upgradation.

Research has proved that a typical company of about 5,000 employees can earn
a cost-benefit in the range of $9.7 million — $18.4 million per annum, by
outsourcing management of its IT infrastructure. Savings vary from 35.8 to 50.7
percent of the total IT infrastructure management cost of $170 million over five
years. This saving accrues due to reduced in-house IT infrastructure management
staff, and on account of better SLA deliverables.

Globally, remote management is the new age mantra for organizations.
Organizations have recognized the great opportunity of outsourcing IT services
and are already reaping its benefits. In India, this is moving ahead where some
visionary companies in the banking and financial services sector have already
grabbed the benefits of remote management, but the majority of the industry must
leapfrog fast to avail the benefits of this ‘new’ concept.

The complete IT infrastructure is managed by intelligent network operation
centers set up by the organizations. These centers are equipped to offer
services, such as SLAs, security, applications, operating systems, networks,
databases, and Web services. The network operation centers provide a
comprehensive remote outsourcing solution for multi-vendor, multi-technology
environment, guaranteeing high uptime and significantly improved performance
through best-of-breed tool integration, efficient processes, and latest
technologies.

To overcome the inhibitions of companies on account of a perceived threat of
loss of control, there are suitable software available to mirror the images of
network performance at real-time by a click of a button, in the premises of the
company. Analytical tools that help evaluation of performance on almost every
conceivable parameter, further enhance the confidence in this ‘new’concept.
For instance, ‘trouble ticket’ offers useful reports to analyze the
stability of the network and the various events occurring on the network on a
real-time basis and those occurred in the past.

Companies worldwide are seeking cost optimization, even the US firms are in a
belt-tightening mode when it comes to spending on IT. According to a Goldman
Sachs Global Equity Research Survey, remote management offers the necessary cost
arbitrage. India, with its recognized technical competence, is naturally
positioned to leverage the untapped potential of remote out tasking.

R Srikrishna, general
manager, HCL Comnet