enterprise it at cisco

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4/15/12

Enterprise IT at Cisco

Rohit M***Katerina M***Bo ***



4/15/12

History & BackgroundIT at Cisco (1993 - 2001)IT at Cisco 2001

Discussion on IT at Cisco after 2001Discussion on Proposed Call Center Network.

Agenda



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Ø Founded in 1984 by two Stanford computer scientists

Ø Rapidly growing through acquisitions; ability to make quick decisions

and seize new market opportunities

Ø Largest developer of networking and communication products for

transporting data, voice and video

Ø Global company, 40% of its sales are outside Americas marketplaces

History & Background



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Ø Cisco designs and develops its products but does not manufacture

them

Ø Sells directly (larger customers) and indirectly (distributors and

VARs)Ø Cisco relies on its IT network – transmit orders, have time and

accurate data for manufacturing timelines, order status and customer

inquires

Ø Cisco was organized in 9 business functions, 7 technology groups and

4

History & Background



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CIO – Peter Solvik

◦ Changed reporting relationship of the department.

◦ Reallocation of the IT budget - Client Funded Project (CFP).

◦ Disbanded central IT steering committee.

◦ Implementation of Oracle ERP system in 1994, primarily for inventory and

manufacturing processes.

◦ Changed reporting relationship of the department.

◦ Intranet for employees & Website for customer.

IT at Cisco (1993 - 2001)



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Ø Highs◦ Change of perception of IT as ‘overhead’◦ ERP provided a strong foundation for Cisco to

build out its Internet Capabilities.◦

Doubled revenues between 1999 and 2001.Ø Lows

◦ Multiple databases and tools leading toredundancies.

◦ No centralized group to check for conflicts.◦ Series of extensions, additions and interfaces

made the up gradation of ERP difficult.

Highs & Lows of IT (1993 -2001)


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The end of 2001 – turning point, sales growthslowed dramatically

CIO – Brad BostonAnalysis Conclusion–Conflicts &

RedundanciesCentralized IT governance

◦ Stop new projects◦

Threes initiatives◦ Rebuild steering committee - BPOC

IT at Cisco after 2001



Pros:

◦ Improve whole company management

◦ Solve the problems of conflicts and redundancies

◦ Reduce the costs

Cons:

◦ Change the company’s culture

◦ Reform Cost

Centralized IT Strategy orNot?



Oracle ES up gradation

◦ Why? - Original ERP did not meet the specialized needs

of all the business functions.

◦

Expected Benefits - Standardization of all the businessfunctions.

Enterprise Reporting & BusinessIntelligence

◦ Why? - Different tools are used that are not linked.

◦

Expected Benefits - Consistent application to get

Three initiatives



Single Comprehensive Database

◦ Why? - Disparate data spread all over the globe.

◦ Expected Benefit – Rationalize all existing data.

Ø Cons

◦ Not necessary, no cross-functional

◦ Not affordable, Can not do everything, leave space for

reseller

Three Initiatives



Centralize all incoming calls.

Expected Benefits:◦ Improving the customer experience

◦ Reducing expenses

◦ Wide-scale impact

Proposed Customer InteractionNetwork



Ø Why Yes:

◦ Costly, inefficient call handling

◦ Inconsistent service

◦

Limited operational flexibility

◦ Lack of standards

◦ Migration to Cisco products

Why No:◦ High Cost with no real need for it.

◦ Not necessary for cross functional and cross borders.

◦

Aggravation the current complicated organization.

Approve or Disapprove?



Thank You

Questions??

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