Sify's IT Makeover

by Muntazir Abbas    Jan 21, 2009

About the Company

Sify Technologies is among the largest managed enterprise and consumer Internet services companies in India, offering end-to-end solutions with a comprehensive range of products delivered over a common telecom data network infrastructure reaching more than 500 cities and towns in India. A significant part of the company’s revenue is derived from corporate services, which include corporate connectivity, network and communications solutions, security, network management services, enterprise applications and hosting.

Sify holds licenses to operate NLD (National Long Distance) and ILD (International Long Distance) services and offers VoIP back haul to long distance subscriber telephony services. The company is India’s first enterprise managed services provider to launch a Security Operations Center (SOC) to deliver managed security services. A host of blue chip customers use Sify’s corporate service offerings.

Consumer services include broadband home access, dial up connectivity and the e-port cyber caf chain across 180 cities and towns. Sify.com, the consumer portal of Sify, has a number of sub portals. The company offers content in regional languages that include Hindi, Malayalam, Telugu, Kannada, and Tamil.

Business Challenges Prior to Implementation  

"We face the challenges of scale, stability, flexibility and transparency in our system like many growing organizations. After reviewing all options, we felt that the Oracle E-business suite would best address all these challenges. We believe we have made the right choice and that the Oracle E-business suite is also helping us adopt industry best practices effectively," said Bhaskar. S, CTO of Sify Technologies Limited.

The major challenges include:

* Lack of an end-to-end integrated enterprise-wide system to leverage cross-functional synergies for accelerating business growth. While Financials was running on Oracle E-Business Suite, the SCM and CRM applications were running on multiple systems with integration at various levels with Oracle E-Business suite.

* Lack of a standard system for Procurement and Inventory resulting in disparate data sources and data reconciliation challenges.
* De-linked order handling and billing needing data entry in multiple systems and manual data maintenance.
* Cumbersome billing process because of varying billing schedules and manual spreadsheet based contract renewal tracking.    
* Non availability of Customer Installation Base and Service Coverage history
* Absence of a real time analytics for the top management because of dispersed data across systems.  
    
Solution

Oracle E-Business Suite

Oracle (OFSS) replaced the legacy management, including order entry and procurement and inventory system at Sify. The replaced systems are to be integrated into the corporate support portal. The Oracle Solution includes:
* Oracle Financials
* Oracle SCM
* Oracle CRM
* Oracle Purchase
* Oracle Inventory
* Oracle Order Management
* Oracle Service Contracts
* Oracle Install Base

Benefits Derived

We selected the Oracle E-business suite based on the integration it offers for all business functions, modular approach for implementation, the manageability and availability features and the commitment from Oracle for product support," said Mugunthan. S, Head - Information Systems at Sify Technologies Limited. The implementation benefits include:

* Integration of the core business processes on a single transaction backbone by extending the solution footprint to Oracle SCM and CRM modules

* Streamlined data entry, transfer and reconciliation by implementing Oracle Purchase and Inventory modules for all divisions and integrating with the Financial Modules

* Clear link between orders booked, items dispatched and service contracts created by Implementing Oracle Order Management and Service Contracts, reducing the effort of multiple data entry and ensuring data sanity. High end integration between customer sales orders and vendor purchase order enabling Sify with an enhanced supply chain management system.

* Smooth billing schedules management and contracts tracking through Service Contracts implementation. Automatic invoice generation.

* Effective base for CRM through Oracle Install Base in conjunction with Order Management and Service Contracts ensuring automatic update of data on equipment and services at customer premises and clear transaction tracking.

* Effective analytics for top management decisions through real time reports from Oracle Daily Business Intelligence (DBI) in finance, procurement, order handling and billing functions.

Implementation Status

Oracle Financials (AP, AR, GL, FA and CM) have been implemented successfully where more than 100 users are currently working. In addition, the project currently underway includes:
 
* Procurement (PO)
* Inventory (INV)
* Order Management (OM)
* Service Contracts (SC)
* Installed Base (IB)

Roadmap for Future

Sify is planning to implement the complete solution footprint (end-to-end) of Oracle E-Business Suite over a period of 1-2 years. This includes implementation of advanced modules of Oracle E-Business such as the Balance Scorecard. Sify plans to implement Oracle CRM, Oracle HRMS and Oracle Project in the short term after completion of the on-going SCM implementation process.