Upload
rj-sharma
View
218
Download
0
Embed Size (px)
Citation preview
8/6/2019 It Implementation Stories
1/15
Eveprese
challeth
marshathe usuresourc
extreme
LessoLearned From
Vertical
By Balaj
gu
ra
(From left to right)
Vikram Chopra,
GM (passenger services application)
Centre for Railways Information SystemsSunil Rawlani,
head-information systems & technology
HDFC Standard Life Insurance
Unni Krishnan T.M., group CTO
(retail business),Shopper's Stop
Jay Menon, director (innovation)
& group CIO,Bharti Airtel
Pradeep Saha,head-IT,Max Healthcare
8/6/2019 It Implementation Stories
2/15
Retail is similar to the worlds fastest train, the
TGV. Its speed, availability and extraordinary
experience set it apart and has made it among the
most preferred modes of transport in France. The
same fundamentals separate the retail amateurs from the men.
A retail organizations
ability to scale up
swiftly on demand, keep
merchandize available,
and create a consistently
g re a t custome r
experience in the face
of surging volumes and
mushrooming customer
numbers will dictate its
success. This is where
technology assumes a
pivotal role.
Among the big
players in the organized
retail space in India,
Shoppers Stop has
always understood the criticality of scale, availability and
experience, and has been an eager adopter of advanced, cutting-
edge technology. We deployed JDA-MMS and JDA-WinDSS,
core merchandizing, store PoS application and ERP in 1998,
much before the other players, says Unni Krishnan T.M., the
group CTO of Shoppers Stop retail business that includes
Shoppers Stop, HyperCITY, Crossword, Mothercare, Desi
Caf, Brio and Home Stop. And Shoppers Stop has continued
to pump energy in this area. Today, says B.S.Nagesh, MD,
and vice chairman of Shoppers Stop, it has implemented
pioneering technologies like a self-checkout at HyperCITY,
a first in both the retail brotherhood in India and globally.
The Number CrunchersThe business and technological challenges that the retail
sector face are similar to those in other sectors. What sets retail
apart is the sheer volume of transactions it works with. Its
this volume thats responsible for the high-use of technology
in retail organizations. Other sectors focus largely on ERP
and CRM type of applications. We need those and much more
because the number of touch points between technology and
the consumer is a great deal larger in retail, says Krishnan.
The automobile industry, for instance, hardly has customers
interacting directly with enterprise technologies, apart from a
few dealer applications needed to help customers visualize the
car they plan to buy, says Krishnan.
But, retail creates a large number of customer-technology
touch-points, with its self-checkouts, barcode scanners, price-
checking solutions and anti-theft devices. And the number
of customers interacting with such technologies (like at the
checkout counter) can easily increase from a few hundred to
millions in a short period.
At HyperCITY, we've had over a million footfalls in the first
three months, says Krishnan. At an average of two custo mer-
technology contact points per customer and thats about
two million probable interactions between customers and
technology in three months. Add to that the large number of
items a customer buys per visit. (An average receipt has 30-50
items at a hypermarket.) Hypothetically, consider a 30 percent
sales-conversion of two million footfalls that translates to
anywhere between 9 to 15 [times customers trigger a play of
technology] in three months from a single store.
It goes without saying that technology deployed in a retail
environment needs to be robust. But not robust like a tractor
there is no place for the unsophisticated in a shopping mall.
Retail technology needs to be intuitive, user-friendly and has
to offer a consistent experience. This requires identifying
cutting-edge technologies and putting them to innovative uses.
There is a generation gap between us and other retailers in
the country, as far as technology adoption is concerned. Weve
brought new-age technologies to the Indian retail market, some
which others havent introduced, says Krishnan.
Shoppers Stop has one of the largest installed bases of
AutoCAD software, says Krishnan, because the chain uses
CAD technologies to craft, draw and plan its multiple stores
as they roll them out. At last count, the group had over 20
Shoppers Shop stores and 30 Crosswords outlets.
The enterprise is also at an early st age of deploying a solution
to optimization store-to-floor space ratio. Called Intactix, its
going to help the store managers visualize how to stock shelves
using optimal sales and margin expectations. The application
also helps analyze how much specific shelves are generating.
And it can even do a what-if analysis by removing certain
merchandize off shelves and watching its impact on revenue
and margins, adds Krishnan.
The group was also the first to deploy an IBM i550
performance server in the retail sector. This helps the
organization consolidate all of its business units on a single
box while running multiple applications, making it easier
to administer and lowering the cost of ownership. Today,
we run four different enterprise applications (primarily
merchandizing and loyalty applications) catering to six
different retail formats on the single box, and we can still take
many more. Soon we will be the first to use the i570 series of
servers running on the Power5+ chipsets, which will boost our
disaster recovery capabilities, says Krishnan.
Shoppers Stop was also the first in Indias organized r
space to use salesforce.com, a leader in delivering on-dem
CRM solutions via the Internet as software-as-a-servic
automate its sales team. The application was customized
implemented in-house and christened IB-Force (Instituti
Business). IB-Force helps us to monitor a large percentag
our gift voucher sales, which is about 10 percent (about R
crore) of Shopper's Stop's sales, says Krishnan.
Scale Up or Get OutThe TGV, even running at just 60 percent of its top spee
515 kmph, requires over eight kilometers to brake. Reta
dont have that luxury. IT's inability to scale up to mamm
volume transactions while ensuring the constant availab
of merchandize can bring a retailer to a grinding halt.
Krishnan says theyre the first to have rolled out among
most advanced replenishment applications for hypermark
Called E3, this sophisticated mathematical software h
HyperCITY analyze inventory trends, helping the enterp
Cover Story| Imp
REAL CIO WORLD | n o v e mVOL/2 | ISSUE/01VOL/2 | ISSUE/0138 n o v e m B e R 1 5 , 2 0 0 6 | REAL CIO WORLD
Either youre partof the problem or part of the solution or youre just part of the landscape.Uttered by Robert de Niro in a 1998 heist film, the writer of this memorable line is still a mystery
in filmdom. It doesnt matter because the words ring true, most of all in business today. WhenCIOs reporters explored the IT organizations of five business sectors retail, healthcare, BFSI, telecomand services their stories revealed how Indian majors are thriving on innovation to solve theirorganizations problems. Most interestingly, each vertical puts forth a series of learnings that are notunique to itself, helping you derive insights into their approaches to address your own IT challenges.The solutions are now out in the landscape. Find out, across the next five stories.
Cover Story| Implementation
KeepingpacewithvolumesGuaranteeingavailabilityofmerchandizeCreatingcustomerdelightandensuringconsistency
GreatestChallenges
By gunjan trivedi
Every month, one of Shoppers Stop 50 outlets clocks seven million instances ofcustomers using technology. Encouraged, the group is now building on its technologycapability to stay ahead in the volumes game.
creating shopp Pd
Unni Krisgrup CTo (ret
Sh
RETAIL
8/6/2019 It Implementation Stories
3/15
refill its shelves faster at lower costs, forecast better, and
address the critical element of product availability. In a
hypermarket, consumables like bread and juices fly off the
shelves, Krishnan explains. Replenishing them every
two days means were filling them about 180 times a year.
Managing different products that need replenishment at
different rates is tricky: should we buy 100 units of a productor 500? One hundred units means fresher products but also
more frequent replenishment. Five hundred units allows for
higher discounts, but pose a storage problem. E3 helps
us find the right balance at the right time.
HyperCITY is also home to one of
the groups most innovative use of
technology. Called iScan, this
handheld barcode scanning device
lets customers scan their merchandize as
they take them off shelves. When they're ready
for checkout, customers dont need to stand in a queue as
their merchandize is scanned and billed saving time and
improving customer experience.
The iScan represents a classic case where a piece of
hardware is put to multiple use by bundling it with different
apps. The same hardware doubles as stock-taking solution for
inventory. It is also used without the shopping cart as a
receiving solution at warehouses and helps managers within
a store do price-checks on merchandize.
Known as a platform concept, Shoppers Stop borrowed
the multiple-use approach from the auto industry and
experimented with it in retail for the first time in India, says
Krishnan. Car models like Tata Indica and Indigo share the
same [architectural] platform. When you create a platform, its
easier to build more models off it by incorporating tweaks. We
surprised our application provider by applying hardware and
applications in new environments, says Krishnan.
One ViewShoppers Stop primary objective as an early-mover technology
adaptor is not only to empower its businesses with the agility
to scale up and the power to ensure availability of merchandize,
but also to eventually bring all its retail formats on a common
platform and create a consolidated view of its business
and one view of the consumer.
Each retail set-up within Shoppers Stop drives its ow
business, but shareholders, management and the boa
want to have one view of the business. Five to six years ag
Shoppers Stops strategy was to grow quickly in differe
retail formats even if it meant sacrificing a single view of businesses. Later, it became hard to see growth from multip
verticals, business relationships and franchises. Instead
having a 20,000-foot view of all our businesse
what we had a view from a hill. And as w
grew, we were forced to jump fro
one business hill to another. Tw
years ago, we decided to get
consolidated view of all o
businesses, while it w
still early enough to crea
commonality acro
platforms, says Nagesh
He associates thr
objectives with this mov
One is transparency
view all his businesse
Another is that it provid
a benchmark in managin
technology as a part of th
business. Third is the eventu
strength in acquiring a sing
view of the consumer across all
businesses. We want to have a comm
view of one customer across our retail forma
whether hes buying coriander leaves at HyperCITY,T
Afghan at Crossword, a shirt at Shoppers Stop, a set of bab
diapers at Mothercare or a cappuccino at Brio, says Nagesh
Shoppers Stop is always trying to balance between comm
platforms and creative technological solutions. Wherever it
feasible, we try to create common applications across our ret
formats. We recently moved Crossword from legacy apps
JDA-MMS and JDA-WinDSS. As a result, we have achieved
common merchandizing and store application platform almo
across all our group companies, says Krishnan. Crossword
using four enterprise applications, down from 12.
However, when differentiation is required, specific solutio
are created unhesitatingly. HyperCITY's speed checko
solution using iScan is an example.
This approach and the daring to take on new technologi
is a characteristic feature of the group. And its being applie
to getting a single view of the business. I firmly believe th
investing in technology should be kept at par with investmen
in real estate, senior management, and building capacitie
Never hesitate in investing in technology, says Nagesh.
Seior correspodet Guja Trivedi ca be reached at [email protected]
Cover Story| Implementation
VOL/2 | ISSUE4 0 n o v e m B e R 1 5 , 2 0 0 6 | REAL CIO WORLD
SALE
SALE
SALEWith its price-checking
solutions, barcode
scanners and anti-theftdevices, retail creates alarge number of customer-technology touch-points.
ILLUSTRATIOnS
ByPCA
nOOP
8/6/2019 It Implementation Stories
4/15
VOL/2 | ISSUE4 2 n o v e m B e R 1 5 , 2 0 0 6 | REAL CIO WORLD
For a company that began with one mobile
service license in 1995, the Rs 8,156-crore Bharti
Airtel has taken rapid strides to become the
bellwether in the Indian telecom industry today.
Its country-wide presence and market capitalization
of Rs 101.9 crore reflect a fast-growing company at one
level. At another level, such expansion signals a huge
challenge, especially for a company whose growth has
come inorganically, through mergers and acquisitions
(M&As), as part of the industry consolidation. Ask Bharti
Airtels IT organization.
With each acquisition, the challenges grow by leaps and
bounds. Bharti Airtel has sought to consolidate disparate
IT systems of different entities and standardize platforms
across the co mpany. Says Jai Menon, directo r (innovation)
and group CIO of Bharti Airtel,
In 2002, while on an S-curve
of growth, we were just on time.
It has reflected well in the way
we adopted technology and the
way customers experienced
our offerings.
The journey, which started
then with basic integrations
internally, will culminate by 2010
as One Airtel a complete intra
and inter-SBU integration across
Bharti Airtels divisions. The
journey has posed three major
challenges: scaling up (vertically
and horizontally), capability
enhancement and integration.
Braving the Integration BluesThere was a dire need to integrate all the services th
Bharti Airtel provided as one brand. There was yet anoth
need to integrate the systems and processes across circle
and initiate the swift migration of all heterogeneo
processes to one platform across the 23 circles.
In 2002, when the carrier embarked on the integrati
process, it had few circles to operate and was runnin
legacy billing systems. Menon recalls the days wh
the company bought its first off the shelf, high-en
commercial billing system called Keanan in 200
The migration of just two circles from legacy to th
platform was extremely painful. Several business rul
and processes needed to be aligned with the IT system
Everything was missing. It took us several months
set it right. Imagine the task
repeating the similar exerci
after every acquisition
says Menon.
There was a strong beli
within that technology wasn
the problem. It was integratio
and its alignment with busine
thereafter, which was essenti
to keep growth steady on th
S-curve. The non-integrat
entities were also lying to
low on the capability fro
because of the over-customizatio
of information systems an
commercial software at differe
entities within the compan
Nothing is more frustrating than trying to get people to alter the waythey do things. New research reveals why its so hard and suggestsstrategies to make it easier.
Integrationinthecontextofinorganicgrowth
Gettingridoflegacysystems
Minimizingmigrationtime
GreatestChallenges
By rahul neel mani
Dial i.t.fo io
TELECO
How Bharti Airtel meets the challenges of integrating businesses and staying in line witgrowth fuelled by M&As.
8/6/2019 It Implementation Stories
5/15
8/6/2019 It Implementation Stories
6/15
Cover Story| Implementation
VOL/2 | ISSUE4 6 n o v e m B e R 1 5 , 2 0 0 6 | REAL CIO WORLD
of bringing billing onto a common engine known as
convergent billing platform.
We have also progressed sufficiently on the common
CRM platform across all 23 SBUs. This is a tremendous
success in inter-SBU integration. It has not only brought
business-IT alignment into play, but the capabilities of
IT systems have grown nearly 10 times between 2002and 2006. On the customer side of
IT, many areas like sales, order
management, billing, revenue
recognition, customer
care and business
intelligence have had
to be migrated from
their current platforms to one standard
platform to be 100 percent more agile, say Menon.
The entire IT infrastructure of Bharti Airtel now runs
on multi-protocol label switching WAN, which helps the
company support a host of applications, including the
ones that are leading-edge. Migrating to MPLS-based
services also cut costs for the company depending on
the degree of converged traffic that Bharti Airtel was
running on it. Says Menon: Using MPLS for all three
layers data, voice and video saved us as much as 25
percent on the network expenditure. CIOs might wonder
how difficult it is to make the transition. Surprisingly, its
less painful than anybody thinks. Technically, MPLS isnt
a service offering, but underlying infrastructure.
Through this exercise, Bharti Airtel has created an
IT ecosystem which now uses one piece of middleware
for 16 of its major application systems running on 1,500
odd servers. As a result of this massive integration drive,
Bharti Airtel executed three large utility computing
models between 2004-2006 after factoring in both
capital and operational expenditures.
For business and internal IT, IBM became the key
outsourcing partner with 15 more providers lined up
behind it. For all contact center technology, Bharti Airtel
picked Nortel and seven of its associated partners. On
the infrastructure front, IBM was again the strategic
outsourcing partner, with some others. All partners wo
on a revenue sharing basis, so that there is no immedia
capital expenditure; ROI doesnt come into play. Wi
this kind of integration, I, as a CIO, have been able
make capital expenditures, maintenance contracts an
other such micro things redundant.
All these functions are now offloaded to partnebecause of the utility computing model driven by th
premise that integration not only brings operation
efficiencies, but also gives cost efficiencies. In the ca
of Bharti, the utility computing model has worked ve
well. The company made sure from day one that th
model is directly related to business outcome becau
internally, in the company, most of the IT is related
revenue, which is the busine
outcome. As the revenue go
higher, the percentage of spent o
IT comes down, notes Menon.
The UltimateObjectiveMost of the intra-SBU and som
of the inter-SBU IT systems ha
already been stitched with on
thread and are working we
Some of the most ambitious projec
like integrated CRM, integrat
self care and order manageme
convergent billing are in advanced stages of completion.
We are targeting that by 2008, Bharti Airtel mobilit
fixed line and broadband will have one content gatewa
one messaging gateway and one application gatewa
across all platforms, that is, PC, mobile and TV. That w
make us a 100 percent integrated telecom carrier. We
be the first telecom company in the world to achieve thi
claims Menon.
Overall, the process has stemmed from the company
quest for integration, which started early on in 200
The company gathered the right ecosystem, got the rig
architecture in place, and did the migration and integratio
upfront. It has resulted in cost-effectiveness and the abili
to recognize customers better. On the S-curve of growt
we started very early. We wanted this whole strategy
ultimately translate into rich customer experience. An
its nothing but a result of integration and capabili
enhancement in the IT systems, asserts Menon.
Bureau head-orth Rahul neel mai ca be reached at [email protected]
The thrust is to firstachieve integration
of systems, businessintelligence systems, data
warehousing, so that there isone national picture to view.
8/6/2019 It Implementation Stories
7/15
VOL/2 | ISSUE4 8 n o v e m B e R 1 5 , 2 0 0 6 | REAL CIO WORLD
What does it take to follow a paper trail?
Ask an insurance company. Take an
insurance organization anywhere in
the world and it will look at paper as a
necessary evil. Thats because with so many entwined
business processes with cascading results, variables and
overlapping needs, insurers need to ensure well-defined
workflows, which for unprepared companies means an
avalanche snowballing of paper and plenty of it.
At one time, it got so bad that many insurers in the US
housed in multiple-storey buildings used conveyor
belts to carry files across hundreds of desks through
multiple departments. The mechanical solution, though
it successfully reduced the time it took to move paper files
around, didnt address the problem. Sunil Rawlani, head-
information systems and technology of HDFC Standard
Life Insurance Company (HDFCSL), was certain he wasnt
going to put his money into a conveyor belt.
Rawlani was determined
to drain away all the paper
that was clogging business
efficiency. He decided to
introduce digitized content,
automated workflow and
agile, re-engineered processes.
Insurance is a conventional,
paper-based business with
90-page files packed with
supporting documents hopping
across work-desks. These
obese files then travel in and
out of file cabinets, to agents, to
junior underwriters, to medical
institutes, to senior underwriters
and so on. Imagine the volumes
of paper racing around if a company handles about t
thousand policy files everyday. Now, imagine the impa
on the organizations turnaround time. Electron
content management and digitization of workflow w
imperative, points out Rawlani. In 2003, HDFCS
embarked on a mission to cut out the paper chase an
embrace Business Process Management (BPM).
The Mumbai-headquartered HDFCSL, a joint-ventu
between UKs mutual life assurance company Standa
Life and HDFC, was started in 2000 to tap the evolvin
life insurance market in India. As one of the first priva
life insurance companies in India, HDFCSLs operatio
were characterized by manual processes that were add
incrementally to keep up with business requiremen
In order to differentiate itself and tap the mark
more progressively, it adopted the customer-centr
approach and offered service as it's USP. As HDFCSL sa
unprecedented growth, their manual processes, layer
unsystematically over time, start
to crack under the pressure.
The number of Exc
worksheets, used to tra
p o l i c i e s , m u s h r o o m e
Increased communication f
new requirements began
choke the organization. Multip
systems to handle statu
queries or communicating ne
management decisions render
process control inconsiste
and inefficient, which hit th
organizations ability to measu
performance. All the while, th
volume of paper exploded makin
document-filing and handlin
Eliminatingtheproblemsof
apaper-intensiveworkflowwithelectroniccontentmanagementandBPMGivingbusinessbackitsUSPbyfocusingonserviceandnotpaperchasing.
GreatestChallenges
insuringa Pp-PhHDFC Standard Life Insurance has made a successful bid to get its people away fromthe clutches of paper files and back to the business of insurance.
By gunjan trivedi
BFS
8/6/2019 It Implementation Stories
8/15
8/6/2019 It Implementation Stories
9/15
Cover Story| Implementation
VOL/2 | ISSUE5 2 n o v e m B e R 1 5 , 2 0 0 6 | REAL CIO WORLD
screens were viewed in
landscape-mode, making
the underwriters jobs
very tedious. We tried
using larger monitors,
but that didnt work.
As for portrait-oriented
monitors, they were
available only in the
US at that time and
were astronomically
expensive, he recalls.
With true CIO-
resourcefulness, Rawlani
found a solution that
kept everyone happy:
he deployed graphics
cards that supported
multiple monitors. Each
underwriter workstation
was connected to two
15-inch monitors. One
monitor displayed the
document up-straight
and the other displayed
the scanned policy in
portrait-mode.
But, the document imaging solution isnt only a set
of clever ideas. Its benefits, like proper indexing, access
control, the ability to include annotations, secure storage,
fast retrieval and better disaster recovery are far-reaching.
Its also ensured better human resources allocation and
that paper is eliminated from the workflow.
The advanced capabilities of the BPM platform are also
used to break down and monitor an automated process
into steps as they are rolled out. Each step within a
process is monitored and inefficiencies identified. Each
steps time is noted and monitored against the duration
of the entire process. Irregularities are immediately
identified using key performance indicators built into
the platform.
Business procedural algorithms or rules are kept
loosely-coupled with the BPM using a separate business
rules engine, ensuring that in the wake of changing
business needs, the entire process is not altered. Tweaking
only the rules helps create a more agile process, which
can effectively adapt to changes. Insurance companies,for example, allocate policies to either junior or senior
underwriters, depending on the body weight of the
applicant. If, at some stage in the future, these parameters
change or say an applicant wants to customize his policy,
the entire process doesnt need to undergo an alteration.
The required changes are merely incorporated within the
business rule engine.
At first, we address
the business processes
breadth, to automate k
front-end features. Th
we started to scale t
depth of the process. Th
incremental approa
helps us to address issu
cropping up witho
disrupting the enti
process, and easily secu
management buy-in b
being able to show benef
early on, says Rawlani.
T h e a u t o m a t e
workflow has benefit
the organization. Apa
from the measurab
benefits of a 30
percent improveme
on policy turn-aroun
time. For instance, t
average time to issue
new policy today is 1
2.5 days, down from 5
days. The organizatio
is also able to off
improved customer service with consistent experienc
and enjoys improved efficiency in terms of immedia
access to documents, tracking policies online, a new ea
of administration, much better process manageabili
and control, better compliance, and overall reduction
the cost of ownership.
There has also been a 40 percent reduction in the tim
underwriters spend handling queries. This translat
into substantial ROI, especially since the number
policies issued in a year run in hundreds of thousand
(HDFCSL issued over just under 4 lakh policies in 200
06, covering more than 5.8 lakh lives.)
Moving ahead, Rawlani wants to bring all busine
processes that are not yet fully automated such
claims under BPM. He is working full time to bring
more third-party integration between the workflows
HDFCSL and external entities such as medical institut
or re-insurers. I am also figuring out how to furth
equip our sales-force and agents with sophisticate
mobile devices, which can integrate seamlessly with oworkflow and further reduce our tu rnaround time as w
deliver policies to the customers, right at their doorsteps
he says.
Seior correspodet Guja Trivedi ca be reached at [email protected]
The advanced capabilities
of the BPM platform arealso used to break down andmonitor an automated processinto steps as they are rolled out.
BANK
8/6/2019 It Implementation Stories
10/15
VOL/2 | ISSUE5 4 n o v e m B e R 1 5 , 2 0 0 6 | REAL CIO WORLD
As the second largest rail network in the world
and the largest in Asia, statistics concerning
Indian Railways are bound to impress. It boasts
of coverage that exceeds 60,000 kilometers,
has 300 railway yards and 700 repair shops. It runs more
than 11,000 trains on a daily basis, and directly or indirectly
touches the life of almost every person in India.
However, not all figures concerning the Indian Railways
are as impressive. For instance, almost 14 million of the 15
million people whom the Railways transports every day
travel on unreserved tickets. Handling them has been a
huge problem. As union railway minister Lalu Prasad
Yadav said in his maiden Railway Budget speech at the
Lok Sabha in 2004-05, About 92 percent of railway
passengers travel without reservation in unreserved
coaches in trains in the country.
This revelation is not something new, and the Indian
Railways had realized the need for an Unreserved Ticketing
System (UTS) a long time ago. In fact, Nitish Kumar, in
his Railway Budget
in 2002-03, had
announced the pilot
of the Unreserved
Ticketing System,
at a time when the
Indian Railways was
celebrating its 150th
year of operations.
As Vikram Chopra,
g r o u p g e n e r a l
manager (passenger
services applications),
Centre for Railway
Information Systems
(CRIS), points out, The
decision to introduce
UTS as a pilot project at 23 stations around Delhi was take
in January 2002, and the inauguration of the same was do
on August 15, 2002. Today, this project is showing a lot
benefits, and has been extended to 588 stations as of Mar
31, 2006. Further, the Indian Railways plans to cover 94
more stations in 2006-07, and ensure that a total of 6,00
stations have UTS as of March 31, 2009.
While UTS is delivering excellent payback, the road tak
was thorny. As a first step towards computerizing ticketin
the Indian Railways introduced Self Printing Ticketin
Machines (SPTMs), points out Chopra, adding that, The
were standalone microprocessor-based ticket machine
While they contributed towards reducing ticket invento
and provided automated accounting at the station level, th
had several limitations. The limitations included:
The system was a logistical nightmare because fa
changes had to be made on each and every machine.
Since these machines were standalone systems, ticke
could only be booked from the station of origin
journey. Cancellation could also be only done at t
same counter where the ticket was booked.
Since there was no network, there was no real-tim
generation of revenue. Additionally, these machin
were prone to tampering.
In order to overcome these limitations, CRIS designed th
UTS. The project was given to CRIS on a turn key basi
and the work involved designing the system, freezin
of hardware and software requirements, procuring th
hardware, development of software and testing it, an
finally, installation, recalls Chopra.
While implementing such a large system tends to be
complex undertaking, CRIS core competency in handli
such installations helped. Set up in 1986 to manage a
the computer activities of the Indian Railways, CR
had implemented large projects before, like the Freig
Operations Information Systems (FOIS) and Passeng
How the Indian Railways overcame a logistical nightmare in a mission to change the customeexperience of nearly 14 million people who travel with unreserved tickets everyday.
By Balaji narasimhan
O h rh
track
Designingthesystemfrom
theground-upFreezingontherighthardware/softwarecombinationCreatinganextensiblesystem
GreatestChallenges
SERVICE
8/6/2019 It Implementation Stories
11/15
Cover Story| Implementation
VOL/2 | ISSUE5 6 n o v e m B e R 1 5 , 2 0 0 6 | REAL CIO WORLD
Reservation System (PRS). But, while the PRS has been
widely hailed by e-governance experts as one of the most
successful e-governance projects, not only in India but across
the world because of the number of citizens it has impacted,
it handles only around 0.8 to 1 million reservations per day.
The unreserved ticketing system, on the other hand, had to
handle several million reservations a day, and be capable ofscaling way beyond 10 million reservations in the future.
The most important thing about the unreserved ticket
system was that, since it impacted so many people, it has
to be available on a 24x7x365 basis and this applied
to all aspects of the system. The system has therefore
been implemented in the high availability mode from all
hardware, software and telecommunication angles,
says Chopra. Therefore, CRIS decided to use diskless PCs
equipped with 144 MB flash ROMs. The ROM was to be
loaded with three components: Red Hat Linux, Adaptive
Server Anywhere Sybase RDBMS, and the ticketing
application itself. The problem that CRIS faced was that
all these things didnt fit into the 144 MB ROM, and
measures had to be taken to trim the RDBMS and the OS
Once this task was accomplished, CRIS faced anoth
problem: it was using proprietary terminal servers
connect dumb terminals with the backend server. Th
apart from being expensive, was also capable of tying th
Indian Railways to outdated legacy methods. In order combat this problem, the UTS team at CRIS started work o
a TCP/IP terminal server, which had the advantage of bein
extensible. Because security was an important consideratio
for the Indian Railways, CRIS developed special tools
centralize the management of these dumb terminals. As
result of these tools, the security administrator can mana
the ports from a central location, and even define th
transmission speeds for data flow. But the finest aspect
the terminal is that it is highly fault-tolerant. While it work
off the network, it can also function as a standalone syste
if the backend server or the telecommunications link brea
down. Once the server or the network failure is rectified, th
client reconnects to the backend server and automatical
synchronizes the data.
Another added bonus of these efforts was that the TCP
IP terminal server cost just one-fifth of the proprietar
terminal server that was in vogue earlier. Since TCP/IP
the lingua franca of the Internet, CRIS was also able to mak
the UTS easily accessible over the Web. As Chopra poin
out, The booking of unreserved season tickets can now b
done through the Internet with the physical ticket bein
delivered to the passengers address.
The usage of the Internet apart, the overall reach of th
UTS has been staggering, to say the least. Today the UT
network covers 682 stations with 2,152 users connected
eight data centers located in New Delhi, Kolkata, Chenna
Mumbai, Secunderabad, Patna and Gorakhpur. The syste
issues tickets to around 5 million passengers every da
generating revenues of over Rs 14 crore, avers Chopra.
While numbers are always striking, the other benefi
both to Indian Railways and to the common man a
even more stirring. Now, travelers can buy tickets from an
station and need not be restricted to the boarding statio
The new UTS system also allows the purchase of a
unreserved ticket three days prior to the date of journey,
the facility for booking unreserved return tickets exists.
The Indian Railways has also seen benefits from th
UTS. Since the burden on the ticket-issuing personn
was reduced, the same staff could be used for addition
ticketing counters. The productivity of the booking clerk
was also enhanced.
The Indian Railways enjoyed other benefits, such as:
Fares and business rules could be changed mo
easily, and this protected railway revenues an
reduced passenger complaints.
Passenger traffic is measurable on a real-time basis
Since more details of the usage of trains were availab
Vikram Chopra,Gm (passenger servicesapplicatin), CRIS
8/6/2019 It Implementation Stories
12/15
analytical reports with higher accuracy could be
produced for top management.
More counters could be opened for ticket sales without
requiring any addition in manpower.
The security features incorporated into the UTS
reduced the chances of fraud considerably.
Of course, all this comes at a cost. While Chopra was notable to provide the final cost of the UTS system because the
implementation of the system is still in progress, he says
that the Indian Railways has already spent Rs 80.71 crore
as of March 31, 2006. An additional amount of Rs 86 crore
has been sanctioned for 2006-07.
While Chopra didnt provide any direct figures bearin
upon the ROI of the project, he points out that, Whi
it is not possible to quantify direct savings or increas
revenues on account of UTS at present, as it is still in th
expansion stage, costs will come down on account of reduc
ticket stock inventories and reduction in investment f
increasing points of sale. Revenues will increase becausegreater productivity in ticket sales by booking clerks, bett
availability of tickets, and more efficient services throu
better planning made possible by better MIS.
A study of Lalu Prasad Yadavs Budget Speech f
2006-07 gives us some indicative figures of the ROI
UTS. Passenger earnings increased by 7 percent, and n
doubt, UTS would have contributed to that . Streamlinin
achieved by the UTS, among others, has also enabled th
Indian Railways to target an additional income of Rs 20
crore by adding additional coaches to some 190 popul
trains. For 2006-07, a growth target of 11 percent has bee
set for passenger revenues, which add up to Rs 16,800 cror
Since the UTS already touches 5 million people per day, t
averment that it is bound to add significantly towards th
target is not untenable.
Success apart, CRIS has no plans of resting on its laure
We are now planning to further enhance the UTS proje
with the introduction of touch screen based Automate
Ticketing Machine, both with prepaid smart card
debit/credit cards and currency in the ne
future, says Chopra.
Some of the innovations are al
coming from slightly out-of-the-w
locations. For example, the Indi
Railways launched its first satell
UTS at the Pampa Devaswo
complex in Thiruvananthapura
in November 2005, which
aiming at issuing unreserv
tickets from non-rail heads. Th
system is expected to help sever
lakh pilgrims visiting Sabarima
by enabling them to purcha
tickets three days in advance fro
any railway station.
Another first has been achieved b
the Danapur division of the east centr
railway, which has become the first divisio
of the Indian Railways in which all A B and
class stations have been provided with UTS facilitie
With UTS expected to proliferate across the country
the coming years, these numbers are only likely to go u
along with customer satisfaction, of course.
Special correspodet Balaji narasiha ca be reached at [email protected]
Cover Story| Implementation
VOL/2 | ISSUE5 8 n o v e m B e R 1 5 , 2 0 0 6 | REAL CIO WORLD
While RFID (radio frequency identification) is usually seen as
something that adds value to the supply chain, the Indian
Railways is also implementing this technology to make
traveling easier for the common man. This plan revolves around
smart cards, which are issued in denominations of Rs 100, Rs 200
and Rs 500. These cards are valid for one year, but the
unused amount can be transferred to a new card.
These smart cards are used with ATVMs
(Automatic Ticket Vending Machines),
which are equipped with a touch screen.
Using the touch screen, the smart
card holder can enter the details
of his journey and the amount is
automatically subtracted from his
smart card.
While this usage is bound to
enhance customer satisfaction,
RFID is capable of playing an
even higher role in the handling
of freight. The Indian Railways
is supposed to have 222 million
freight wagons, and RFID tags
embedded in the wagons will be
read by readers located in sheds.
Using this system, which is currently
in its pilot phase, the Indian Railways hopes
to streamline freight management across the
country. The impact upon the country itself is bound to
be huge because, as of 2004-05, the Indian Railways carried 1.65
million tonnes of freight on a daily basis. Since the network of the
Indian Railways covers around 63,465 km across the length and
breadth of the country, this system will make tracking of freight
much easier than it is today.
B.n.
Empowering Passengers
8/6/2019 It Implementation Stories
13/15
VOL/2 | ISSUE6 0 n o v e m B e R 1 5 , 2 0 0 6 | REAL CIO WORLD
That India is a vast and varied geography with a
burgeoning population is oft documented. Over
a billion people are spread across a landscape
from deserts to frozen mountain ranges, whose
temperatures soar to 50 degree Celsius and plummet to -30
degree Celsius. Delve deeper into the demographics, and one
will find more revealing facts: a very high infant mortality rate,
an unmanageable population per doctor nearly 70 percent
of the population lives in remote parts and an average life
expectancy of 63 years. In many ways, all pointers to a deeper
need for India to turn to telemedicine.
The modern applications of telemedicine do not
simply entail a better business logic for hospitals
and other healthcare service providers, but also promise
to contribute toward an national cause. India has been
a relatively late adopter, but is fast catching up in terms of
applying telemedicine
technologies.
Max Healthcare
Institute, the Rs 145-
crore super-specialty
hospital, has taken a
plunge in proliferating
treatment and medical
ser vices thr o ugh
telemed icine. Its
TeleMed connects
primary and specialty
healthcare services,
through images and
other data, to health
centers and tertiary
hospitals with their
highly specialized staff and technical equipment in remo
areas. Telemedicine is an emerging system of medicine
India, but can prove very effective in terms of deliverin
timely treatment for those deprived of good medic
facilities, says Pradeep Saha, head-IT for Max Healthcar
Information and telecommunication technologies ha
now reached a stage of maturity so that it doesnt tak
much time to set up a network for telemedicine faciliti
between two points.
Earlier, an example of telemedicine may have been
simple as a doctor receiving advice and consultation fro
another doctor over the telephone. Today, telemedicin
can bring a physician located hundreds of miles away in
an actual examination room, thanks to a live, interacti
system, notes Saha.
However, India is still far behind when it comes
attaining acceptable standards of health infrastructu
and services, says Saha. There is a shortage of compute
savvy healthcare personnel. Overall, it results in the po
use of telemedical infrastructure, and the people wh
suffer the most are those in the remote areas. Quite ear
on, Max Healthcare felt the lack of training facilities wi
regard to information and communication technolog
(ICT) in medicine. In rural India, medical terms lik
HIS (hospital information systems, RIS (radiolog
information systems), and PACS (picture archivin
and communication systems) are unheard of by th
medical community.
There is virtually no exposure to the applications of IC
in remote areas where most people of India reside, says Sah
We recognized this problem and thought of putting in pla
a solution to bridge this gap. Max Healthcare got active
involved in the practice of telemedicine with its variou
Enter a healthcare WAN that has succeeded in taking highly-differentiated and specialty medical services to remote areas.
By rahul neel mani
InfrastructuretoprovideservicetoremoteareasTrainingandenhancingmanpowercapabilitiestoprovideservicesCreatingcost-efficienciesthroughsuchasystem
GreatestChallenges
curesO l s
HEALTHCAR
8/6/2019 It Implementation Stories
14/15
Cover Story| Implementation
VOL/2 | ISSUE6 2 n o v e m B e R 1 5 , 2 0 0 6 | REAL CIO WORLD
specialty hospitals and clinics, as well as ongoing telemedicine
research and training projects, he explains.
The hospital prepared a blueprint to establish tertiary-
level service delivery facilities across rural and urban
locations that were integrated with Max Healthcare TeleMed.
This was to bring Max Healthcare services closer to the
people, regardless of the geography in question. The MaxHealthcare doctors were confident that telemedicine would
be a great tool to enhance the level of onsite care in small
nursing homes. It would virtually eliminate unnecessary
ambulance transportation and delay in providing critical
medical care whenever and wherever required.
The aim of Max Healthcare TeleMed was to empower
physicians in remote areas as well as healthcare personnel
to stay updated, vis--vis medical knowledge and the
skills to provide better healthcare.
Another major objective was to educate and train
doctors in remote areas who were otherwise unable
to access such training for both geographical an
monetary constraints. Doctors in remote areas seldo
get an opportunity to attend training sessions an
thus lack knowledge to handle critical medicinal case
Telemedicine is one of the greatest ways to provide a
online training program, in which doctors usin
communication links can actually indulge in trainingsays Saha.
Consultation with experts and taking seconda
opinions is a time-consuming job, especially if th
experts are unavailable. Telemedicine bridges this ga
easily. If a doctor has a heart patient but is not able
read an electrocardiogram, the images need to be sen
immediately for an experts interpretation. It can sav
a life and thats only possible if you have a telemedicin
facility with data and voice, asserts Saha.
Max Healthcare was confident that it could eve
monetize the rural centers through cost savings generat
by identifying diseases in the early stages.
Brick and Mortar ofTelemedicineTelemedicine technology is generally a function
communication infrastructure and the cost of informatio
technology hardware. There has to be a prop
communication link between the center from where th
telemedicine service and expert opinion are to be provid
and the place where the patient is actually located.
To be able to provide cost-effective services an
avoid unnecessary overheads of capital and operation
expenditure, Max India set up a 512-kbps primary ra
interface ISDN link between the telemedicine cente
and the tele-consultants. This was enough to work as
primary link between the two centers. These lines we
connected with modems at both ends to transmit the da
between the two places.
The pain area was not the technology, but i
implementation and maintenance at the remote en
because doctors and technicians needed initial trainin
for usage. Also, there were problems of downtime, whi
were natural. But with time, things have improved a lo
says Saha. The images of reports began to be scanned an
sent to teleconsultants who would monitor and sugge
approaches to treatment over the telephone.
Quite naturally, Max Healthcare thought of addin
video in the process. It was not only difficult, bu
impractical to narrate readings of the bedside monitor
There was always a threat of marginal error. The err
could turn fatal if the case was critical and immediate
needed intervention, explains Saha.
This was overcome by adding video to the setu
Max India decided to put polycom video conferencin
equipment, so that doctors could virtually collabora
in times of emergencies and critical diagnostics. Th
Pradeep Saha,head-IT, max Healthcare
IMAGInGB
yBInESHS
REEDHARAn
IPHOTOB
ynAVEEn
8/6/2019 It Implementation Stories
15/15
Cover Story| Implementation
VOL/2 | ISSUE6 4 n o v e m B e R 1 5 , 2 0 0 6 | REAL CIO WORLD
further helped in providing training and online learning
to the doctors, says Saha.
Healthy ProcessesA medical practitioner in a remote location now schedules
all his patients who require expert medical tertiary-level
specialists advice on a particular day and time of the week.The medical experts sitting at specialty
locations are made available
online during that schedule
for consultations on
the cases. Before
hand, the remote
p r a c t i t i o n e r
makes available
all the case
history and
investigations
of patients to the super-specialists. It saves time, money
and, most importantly, the lives of a large number of
people, says Saha.
Offsite nursing homes, diagnostic centers and hospitals
can now send images of diagnoses online to experts for
an opinion. This takes no time in comparison to sending
the images physically. The latter brings into play the
possibility of a patient losing time if he is at a critical
stage of treatment. TeleMed has proved to be a boon in
disguise for monitoring patients while they are admitted
in an intensive care unit (ICU) at a remote location.
The doctor in the local ICU connects the patient to the
ICU or CCU (critical care unit) of Max Healthcare, while
our expert cardiologists and other critical medicine experts
review the patients condition online and provide expertise to
a local ICU or CCU doctor in managing the patient
with the best clinical practice, which is otherwise
impossible, says Saha.
Further, patients with chronic ailments can have
follow-up consultations with their respective consultants
while sitting in their homes or workplaces. For a nominal
amount, the patient is given a device that needs to be
connected to an ordinary telephone line.
During the consultation, this device transmits the
ECG and other relevant clinical parameters to the
consultants monitor at Max Healthcare. We provide
similar facility at the doctors premise. So if there is
need for an emergency consultation, doctors in a remo
location dont have to wait for their counterparts to rea
the hospital, says Saha.
With telemedicine now in place, an offsi
catheterisation lab or cath lab (an examination room widiagnostic imaging equipment to support a catheterisatio
procedure) gets hooked with the intervention cardiologi
Also, the offsite cardiologist can send the cath lab imag
online to an expert cardiologist who can review th
images before the off-site cath lab gives a final opinio
on the study procedure.
Max Healthcare TeleMed has greatly helped doctor
nurses and paramedical personnel in remote location
providing them an opportunity to interact with supe
specialists and update their own k nowledge and skills.
ensures better patient management at a local level.
Max TeleMed empowe
patients to avail tertiary-lev
healthcare services of glob
standards from anywhere.
patient can contact the neare
Max TeleMed Center f
scheduling her second consu
or follow-up with the Ma
Specialty doctors, says Saha.
Currently, Max Healthca
doesnt offer telemedicine at a ve
large scale. People are slowly catching up with this new conce
in India. With rapid developments in IT, new capabilities a
being added to the core telemedicine infrastructure. Wi
decreasing bandwidth prices, we can now think of linkin
these centers with dedicated leased lines and perform virtu
surgeries, he says.
The processes established by Max Healthcare hav
been so effective and efficient that the initiative has g
the endorsement of International Technology Union
Telemedicine division. As Saha puts it, this endeav
ensures the delivery of right healthcare irrespective
spatial separation. CIO
Bureau head-orth Rahul neel mai ca be reached at [email protected]
Patients in remote areaswith chronic ailmentscan have follow-up
consultations while sitting intheir homes or workplaces.