An indecent obsession?

The trend in India, as far as the enterprise wide computing (EWC) goes, is networking.

Enterprises with standalone computers are going for LANs, the LAN are going the WAN-way, and in some cases the WANs are going on-line.

Companies, that do not have an IS formal set are fast realizing the necessity to have a management information systems department, headed by an IS manager in place.  Said Mukesh Kumar, general manager-MIS, Reeobok India Company: “Having an MIS set up is must today.  In fact, the new cpmpanies that are being set up are looing into the idea of a data processing center right at the point of conception itself.  For enterprises, having an IS department is a value addition.”

Reebok India Company is not networked across locations but hardware is integrated within the corporate office in the New Delhi.  “We use IT in all functions to enhance the productivity and give information for decision making for competitive advantage,” Said Mukesh Kumar.

Most vendors today are also of the opinion that enterprise wide computing is becoming a necessity for the corporate sector.

According to Biswajit Parashar, marketing manager, 3Com Asia Ltd..-India: In the enterprise business model, IT has certainly become the center of planning and the way of doing business now.”

Networking is the key
Yes, networking is the key trend today.  According to users as well as vendors, networking is the key component of an enterprise-wide computing strategy.

While users are busy working out how to get properly networked in order to convert many departments into one organization, vendors are busy gearing themselves up to offer integrated solutions to users.  For vendors who have been selling just boxes, it’s a do or die situation.  It is no wonder then that such vendors are going in for multiple tie-ups, to take on some semblance of “one-stop solutions providers.”
 “Networking expertise used to be an appendage.  Today, companies are less likely to sell machines if they are not good at integrating networks.  Today most of the companies boast  tie-ups with global  networking giants in order that they can offer a total solution from a single window,” said Biswajit Parashar of 3Com.

“Today customers are simply not interested in a box seller who has not networking expertise.  This networking trend is going to continue for another three years.”

According to the users surveyed, generically the trend is towards a networked environment, where data is being exchanged across locations.  Opiend Manoj Bhatia, associate vice president systems, Escorts Financial Services Limited (EFCL): “The enterprise wide trend in India is towards high speed networks and the Pentium range for both desktops and servers.  VSAT’s have cut across geographical barriers though limited bandwidth remains a bottleneck for on-line computing.  Software tools like Lotus Notes are being popular in the enterprise.”

New Delhi based EFCL has a LAN at the corporate office with five servers, 120 nodes spread across two buildings and smaller LANs at three regional offices alongside standalone PA AT-compatibles at 13 branch offices.  “The wide range of activities automated include hire purchase/leasing, fixed deposits, bills discounting, consumer finance, mutual funds, intercorporate deposits, etc.,”  informed Bhatia.

Add K.Ganesh, chief executive officer, IT&T Enterprises Pvt. Ltd., a leading systems integration company specializing on the Digital plantform: “ the trend in EWC in India ranges from loxalized networds to national-level branch link ups across such diverse functions as marketing finance, production, personnel and so on.  Interestingly, international brands are cutting across national brands due to fast technological changes and ever-growing customer demands.”

In addition to a focus on networking, users are gong all out for more powerful hardware.  As Sanjeev Nokore, associate vice president HCL Comnet observed: “There is the emergance of comparatively more power ful madines  and users seem to be opting for these.  Also, client/server technology is seen to be extend across different sites.”

For users companies the future deals with nothing else but networking.  For companies that are currently on LANs, the answer is wide area networking, coupled with connections to the Internet.  Said Mukesh Kumar: “We are soon going to network our different locations.  The information will be transferred through telecom links on a batch basis, where the business cycle will be weekly.”

Usha International Limited, which presently operates by data transfer on floppies through couriers from all its 15 divisional offices in India, has earmarked a budget of two crore rupees to put into operation what it believes is a “good example of enterprise wide computing in the sales and distribution application, within a time frame of two years.”  According to Mike Rana, general manager-IS, Usha International, the company plans to construct and operate an Internet with 15 divisions operating from state capitals connected to the head office at New Delhi.

“Each city in turn will have a network linking together divisional offices, godowns, customer service centers, etc.  The media will be progressively upgraded from hot-lies to leased lines and radio links.  For inter-city connection, the media upgradation would be from E-mail to a 2-tier leased network.  The Internet connection is presently planned for a BBS to be utilized for sales promotion and marketing.  When the Internet services become established in the county, we will use them for direct selling, thereby reducing the middle men as much as possible,” Rana is currently leading the company’s IT implementation strategy.

Similarly, Indian Farmers Fertilizer Cooperative Limited (IFFCO), a Government-owned enterprise that has already invested four crore rupees in IT infrastructure, is all set to spend yet another one crore rupees in linking up sites through a VSAT network.

Much ahead in the networking ladder, Escorts Financial Services Limited is going for an upgrade of its LAN at the corporate-from 10 Mbps to 100Mbps-and linking its regional and branch offices through VSATs.

“A test urn is already being executed between Delhi and Bombay where the VSATs have been installed,”  said Bhatia.

Internet vis-à-vis EWN
When a user company plans its enterprise wide computing strategy, an organizational network is obviously the first preference.  However, Internet hype has compelled many organizations to go the other way.  It has been observed for instance, that may organizations are planning to connect themselves to the Internet without connecting their branch offices or plants across region.  Plans however, seem vague and long term.  And the reason is that the counry is yet to have an adequate infrastructure for smooth Internet connectivity.  Ironically, now of the organization contacted by Computerworld showed any interest in implementing Internet technology for inraorganizational communication. Said K. Ganesh: “Internet technology for the corporate sector is yet to make an impact. Few companies are thinking in terms of putting up product information on the Web.  The first impact of Internet as observed abroad, was E-mail, which is likely to be the case in India too.”

Restricted EWC
For some users, enterprise wide computing is highly restricted in the country, on account of various reasons including the non availability of on-line network access through a service provider.  “All E-mail services are operating in store and forward mode, which is not conducive to on-line connectivity.  On-line connectivity at present can only be achieved by an owned network, which is unaffordable,”  said Mike Rana. Also, “enterprise wide computing essentially requires a well disciplined work force which believes in documenting correctly their takes and operation.”   

The other reason for restricted EWC is “non-availability of integrated applications which operate currently and reliably.”

According to K.Ganesh, for success in enterprise wide computing, users need to ensure smooth ownership and operations of the network; standardization of technology; consistent infrastructural wiring, a strong backbone, hubs, routers, etc.; standardization of the user interface, the operating system and the same look, feel and function of each application. “Unless there is standardization, the overall process of maintaining and managing technology, setting up connections and configuring can take up a lot of cost,” Ganesh warned.