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Managed services are set to see more action in India, thanks to an unprecedented subscriber growth and growing enthusiasm among operators
Baburajan K
Monday, November 02, 2009
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Most of the greenfield operators are looking at managed services. Since cost-effective rollouts are in focus, greenfield players want to focus on core business such as commercial strategy, branding and subscriber base expansion, thus achieving a sustained and high network performance with fewer resources. With this, operators can provide end users with more satisfying services, enhancing customer loyalty.

Aircel, which is expanding rapidly, and Unitech Telenor have given their managed services business to Huawei. Most of the managed services players provide end-to-end solutions, including network design and build, network operation and maintenance, and network transfer back to carriers, as per the needs. This helps carriers to easily provide services to end-users with less operation cost.

More Action
Huawei Technologies and ZTE, two leading Chinese technology vendors, are flexing their muscles to grab maximum attention. Prominent vendors such as Nokia Siemens Networks, Alcatel-Lucent, Ericsson, among others, are also not lagging behind.

Managed services, according to Huawei, is an important step in meeting customer requirements, and it provides operators with all or part of the outsourcing services for their network operation and maintenance.

According to Rajeev Weimin Yao, senior corporate VP and executive director, corporate affairs, India operations, Huawei, the company's managed services realize their commitment towards network performance through application of service level agreement, and key performance indices. "Huawei's global experience has enabled the company to deliver over forty managed services projects for international operators like Vodafone, China Mobile, MTN, Etisalat, Warid, and other famous multinational operators with excellent services," he adds.

"We have a rich experience in global managed services, including multi-vendor network management, human resource transfer, assets transfer, etc. Additionally, Huawei has a mature work-flow for network operation and maintenance; and an IT system that is based on eTOM," he says.

In India, Huawei has managed services engagement with operators like Aircel, Bharti-Airtel (for its Sri Lanka network), Tata Teleservices, Unitech-Telenor, to name a few. Huawei, which has a network operations center (NOC) in Gurgaon, with structured circle level services and delivery local presence, combined with a three level PMO organization, is able to provide seamless managed services to its customers. The company also has robust network swap capabilities, which is a value addition to some of the established operators who are looking for technology upgrades in a smooth migration and evolution path.

Benefits To Greenfield Operators
Focusing on core business: The operators, outsourcing the complex and comprehensive daily work of network O&M, optimization, network expansion, etc, can put more resources into commercial strategies, branding, subscriber base development and other such core businesses. Therefore, operators can gain a competitive advantage in the long run.

Operators who are eager to enter new markets quickly, but lack local experience, can expand their market share and increase their profits with the help of vendors, whose professional experience in network building, operation & maintenance can assist operators achieve their market goal.

Reducing operation and maintenance cost: Through the transfer of human resource, sharing of platforms and resources of multiple projects, an 'economies of scale' can be realized, and by optimizing the organizational structure and work flow, operators can avoid running complex and high cost networks. Instead, they can focus on their core business. Managed services transfer the cost of enterprise human resource, network operation & maintenance, and partial enterprise management to professional service providers with proven advantages in cost and professional skills. By doing this, operators effectively reduce the cost of operations, and raise their return on investment.

Ensuring the network quality: Based upon the SLA and network KPI, operators can monitor and maintain a high quality network performance, and improve satisfaction levels of their end users.

Coping with the technology innovation: No matter in which way the communication technology evolves, 2G, 3G or 4G, operators can cope with the evolution easily with the help of managed services. With the latest technology, operators can provide the earliest, unique and wonderful communication services to their end users.

ZTE is also expanding in India. It has recently established its first managed service center in India. According to the company, it is the largest national network operator center outside China to deliver a unified management platform for Indian telecom operators.

It was set up with an initial investment of $4 mn. The NOC will showcase ZTE's engineering capabilities to telecom operators in India and is in line with the company's strategy for achieving leadership in the Indian telecom market. Located in Gurgaon, the NOC employs over 200 people, 80% of whom are localities.

The Gurgaon NOC is integrated with ZTE's global customer support center (GCSC) in China and local customer support center (LCSC) in Bengaluru, India in order to support, collaborate, and provide back-up to each other. Geared with latest equipments and technology from ZTE, the NOC will provide a unified management platform that will help in lowering the TCO for Indian telecom operators. While Tata Teleservices being the first operator to utilize the services of NOC, the Chinese technology vendor will eventually connect all its customers in India to the center.

"India is the key focus market for us, and establishment of the NOC showcases our commitment to the development of the telecom market in the country. Not only will it enable reduction in the total cost of ownership for existing customers by providing them with a unified management platform, but will also help showcase our world-class engineering capabilities to new prospective customers. The NOC platform will be the gateway to next generation managed services for our customers and help us consolidate our leadership position," says DK Ghosh, chairman and managing director, ZTE Telecom India.

The NOC will provide multiple services to telecom operators in India, with the aim of reducing their total cost of operations and maintenance costs by eliminating unwanted operations. Some of the key services provided by NOC will include utility network management system (UNMS), that provides different service management as per the needs of different operators; resource management system (RMS) that enables efficient management of network and business resources, and electricity maintaining system (EMS) for effective duty management, etc.

The NOC will play a pivotal role in showcasing its ability to enable integration from multiple carriers, and provide real-time monitoring of the entire network infrastructure for an operator. It will provide an analysis of the network capacity from both business and a customer's viewpoint, and establish service level management to meet customer requirements by establishing processes and service support models. The NOC will also enable faster and efficient rollout of networks, thus making it possible for new operators to start commercial services quickly.

Baburajan K
The author was hosted in China by Huawei Technologies
baburajank@cybermedia.co.in

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