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Network roll-out and management: why buy the cow? Print E-mail
Monday, 22 September 2008
With the race to deploy next-gen infrastructure in lean times, how do you control network deployment and management costs?
Mark Orchart, managing director of  HTT and Redbridge.
 

No matter how significant the changes in the telecoms sector, some things will always remain the same. The technology marches onward, but the promised benefits are constant: higher speeds, better reliability, flexible usage and lower costs.

And right now, the race to deploy new telecoms infrastructure is more intense than at any point in the last 15 years. In the UK BT’s 21CN will see over 4,500 exchanges swapped out. Large-scale metro fibre networks are being deployed by leading players, such as Viatel. WiMax spectrum auctions will lead to big roll-outs in Europe , competing with expanding 3G networks.

Then there’s the home market, as domestic demand for HDTV with online gaming and Web access grows. Sky has already deployed part of its 10 Gbits/s triple-play service, while GPON fibre and Ethernet in the first mile are taking a bigger role as telcos look to converge services onto a single high-bandwidth digital home pipe, to go beyond the restrictions of conventional DSL.

As this major remodelling of business and home network infrastructure continues, picking the technology winners or losers is best left to the telecoms analysts. But there is one key question that faces all telcos and operators.  How do they go about deploying, maintaining and managing their networks?

Resource matters
This particular issue does mark a key change in telecoms. The trend through the 90s and into the early part of this decade was for telcos to prune their engineering resources. While this was appropriate at the time – the bursting of the dot.com bubble in 2000 put companies under pressure, making slimmer payrolls attractive – it also meant that big infrastructure projects would test and stretch engineering capacity, risking delays and network downtime.

And with the spectre of lean times looming once again, just as the telecoms market is entering a major growth phase, telcos want to be prudent and not over-reach themselves with large overheads in terms of manpower, or running costly network operations centres.

So how do operators and telcos square the circle of delivering on their commitments to building, rolling-out and maintaining new infrastructure, while staying lean?

Don’t buy the cow
There is a way to benefit from engineering and support expertise without having to own it. In the same way that Software as a Service (SaaS) makes it possible for companies to reap the benefit from software, without the costs and distractions of owning and maintaining it internally, telcos should look to outsource the expertise they need.

After all, if you need milk, you don’t need to buy or own a cow. You can simply go to the shops. Similarly, if you need engineers to build your network, or expertise in managing infrastructure, do you need the staff on your payroll, or need to invest in running an ops centre?  In the current climate, a mantra for companies that want to succeed should be ‘why buy the cow?’ whenever they are faced with this kind of decision.

But even if you don’t buy the cow, you need to ensure the milk is good quality. You have to vet your outsourcing partner to find one that delivers ongoing value at all points in the relationship, not just manpower to get you out of a tight spot.

Here are the points to consider when selecting a potential partner for your business.

Problem solving
First, can the partner solve your specific problems comprehensively? Obvious stuff, perhaps, but can they provide the specific engineering skills you need for deployment, or have the knowledge manage your infrastructure effectively? Also, can they scale up to cover your future plans?
This is where credentials matter. If the partner has a track record of success with projects in different sectors with high-profile customers, they’re likely to succeed for you too.

Your network, your choice
Is the partner fully conversant with the technology and products you have deployed? And can they support future changes and upgrades going forward in accordance with your needs and wants? Some outsourcing partners are more comfortable with specific vendors’ solutions or approaches.  Look for wide-range experience across the widest possible range of technologies.

(Network) centre of excellence?
If you’re seeking a partner to manage network operations, what is their operations centre like? Can you visit it and get a feel for how it’s run, and its efficiency? Can the partner demonstrate comprehensive reporting capabilities to support its services? Remember that the service is supporting your network, so you need to be able to see how it can address your needs – and if any changes to service or operations are indicated.

Set in stone
The contract you have with the partner should contain multiple SLAs, regarding performance, uptime, availability and more. The points outlined above will help you ensure that the targets offered by the potential partner are realistic:  then you can formalise the procedures so that the SLAs can be met and exceeded in practice. By fully describing these procedures and enshrining them in an agreement, you’ve got the basis for an unambiguous, fruitful relationship that will help you deliver on your business commitments.

So with the growing pressure on telcos and operators to run a lean business, it doesn’t make sense to own all your own maintenance, support and deployment assets when they can be outsourced to a trusted partner. When you have a reliable source of high-quality milk, you don’t need to own the cow. 
 
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