WiMax and 3G will provide robust connectivity and seamless communication channels: LG Electronics India

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Intro: LG Electronics India is one of the leading technology innovators in the IT and mobile communications business. LG is acknowledged as a trendsetter in the Indian consumer durables industry. Daya Prakash, head, IT, LG Electronics India, talks to VOICE&DATA about the company's investments in technology infrastructure and green initiatives. Excerpts

What are the investment plans to improve your telecom infrastructure?

LGEIL's operations are spread across the country with operations at two manufacturing plants, thirty-nine branch offices, forty-six stock points, and over fifty-four offices. LGEIL's sales channel includes around 4,000 direct dealers and distributors and approximately 12,000 sub-dealers. LGEIL provides services to its customers with the help of third party service providers called authorized service centers (ASC). It has 470 service centers for consumer electronics and home appliance and 600 service centers for the mobile division. There are over 5,000 service engineers working across service centers.

We are using diverse technologies to leverage growth, and support the LGEIL business & operations, including-MPLS used for WAN connectivity across all LGEIL locations; IPSec VPN Internet connectivity ensuring secure Internet usage; hosting of websites in DMZ using dual Internet leased lines having border gateway protocol (BGP) with load balancing to ensure connectivity at all times; multiple DS3 connectivity for disaster recovery of ERP database between Noida and Pune factory using Hitachi Universal replicator.

We are planning to consolidate and upgrade our servers, and at the same time, we're looking forward to optimize our bandwidth. We are also positive about storage upgradation, implementation of QoS on WAN connectivity, and Cisco NAC implementation planned for network access control and security.

Are technologies like 3G and WiMax helping your business needs?

We are very much excited about the new upcoming technologies like 3G and WiMax, which will revolutionize the bandwidth penetration in remote areas where connectivity options are not available. WiMax and 3G will provide robust connectivity options and smooth communication channels.

At our end, we have WAN MPLS infrastructure connecting manufacturing plants at Noida and Pune with branches, warehouses and remote area offices. Currently, there are remote offices where connectivity infrastructure is not up to the mark, because we had to rely on traditional radio/VSATs for backhaul connectivity.

WiMax architecture would be a viable option resulting in lower network costs-both capex and opex-and with efficiency resulting in more throughput and higher speeds than radio/VSAT options. WiMax is scalable providing flexibility to optimize bandwidth usage as per the needs of the business.

3G is a cellular technology which would help us streamline and strengthen communication between dealers, distributors, services centers, and consumers across countrywide locations. However, we are yet to witness and harness the upcoming 3G technology, which can deliver expected outcomes.

What are the green initiatives taken by LG Electronics India?

LG has taken several initiatives in the past that minimize impact on the environment by reducing waste and emissions, and creating awareness among employees through energy conservation programs at regular intervals.

The organization's increased attention to green initiatives have resulted from a number of factors including-our strong commitment towards corporate social responsibility, rising energy costs, and increased legislation. Our green initiatives include minimizing IT waste; scraping & disposing IT equipments by reselling components, server consolidation; and virtualization, hence minimizing the number of servers used and electrical consumption; efficient data center design concepts. We use RoHS compliant hardware in data center. LGEIL is also engaged with our peers to advance smarter energy practices.

How do you cope with connectivity challenges in your branches/centers in remote area?

Our communication infrastructure network comprises MPLS connectivity to all branches, warehouse and remote area offices with central connectivity at corporate office at Greater Noida from multiple service providers to ensure high up-time and redundancy. The MPLS network is spread across the length and breadth of the country, and presently integrates over 150 locations of the company.

Connectivity challenges in branches, warehouses and remote areas are being currently tackled by having dual connectivity from multiple service providers with different last mile options.

What is the ICT spend as a percentage of your turnover? How was it affected during the downturn?

IT spend is 0.5% of the total turnover. During the downturn, the impact was negligible at our end. Currently, the team consists of over 100 skilled resources as per business requirements at LGEIL.