"B C Jindal Group streamlines operations and cuts costs with SAP and IBM"
B C Jindal Group streamlines Overviewoperations and cuts costs with ChallengeSAP and IBM B C Jindal Group wanted to be able to control operations, cutThe B C Jindal Group of companies out the same core applications for each costs and start new venturesis one of the leading business new business activity. to seize business opportunitiesconglomerates in India. Founded as in the growing Indian economy.a manufacturer of steel pipes and Mr. R D Malav, Vice President of The company looked for afittings, the group has diversified into Information Technology, explains, commercially cost-effective waythe manufacture of cold rolled strips “During preparation for the Year 2000 to roll out business solutionsand galvanized sheet steel, with new cutover, we looked at our ERP solution rapidly and easily.businesses in polyester, metalized and choices and the infrastructure options.biaxial films, and photographic goods. SAP and IBM both offered a clear Solution roadmap for a stable landscape. To meet these objectives,The newest corporate venture is B C Jindal standardized its SAPJindal India Thermal Power Limited “Standardizing our environment would application infrastructure on(JITPL), serving the huge demand for enable us to handle diversification as IBM technologies, including IBMelectricity in the rapidly expanding we added new business activities, and Power Systems, IBM SystemIndian economy. JITPL is already in the roll out new SAP solutions for ventures Storage, IBM Tivoli and IBMprocess of setting up 1,800 MW from like JITPL quickly and cost-effectively.” Systems Director.its first plant, and this new companyemploys some 4,000 people. Moving to the latest IBM Key benefits technologies Virtualization and consolidationB C Jindal Group has been running Starting with POWER3 processor- techniques help B C JindalSAP applications for some years, based servers, B C Jindal has run a to save around 50 percent ofwith IBM Power servers selected as continuous upgrade and migration predicted capital expenditure, andits strategic platform. To make new program for several years. The most automation and standardizationventures such as JITPL commercially recent change was deployment of a help save the cost of two full-timepossible, the group chose to POWER7 processor-based IBM Power employee equivalents.standardize its SAP landscape and roll 750 Express server.Case study
“We have been able to upgrade the B C Jindal infrastructure in exact step with the business demands,” says Mr. Malav. “The beauty of the IBM Power infrastructure “We still have some standalone is that it has theBusiness Challenge applications on the original servers scalability to grow where there is no reason to change, with us.” and for other systems we deployB C Jindal Group wanted to be able the latest processors and full Mr. R D Malavto control operations, cut costs and virtualization. The beauty of the IBM Vice President of Informationstart new business ventures to meet Power infrastructure is that it has the Technology, B C Jindal Indiathe needs of the rapidly growing scalability to grow with us.”Indian economy. B C Jindal Group deployed SAP ERP,With a mix of SAP ERP, SAP SAP NetWeaver Business WarehouseNetWeaver Business Warehouse, and SAP BusinessObjects applications, SAP solutions on IBM Power SystemsSAP BusinessObjects, Lotus its own customer relationship servers running AIX is very low. ForDomino and self-developed CRM management solution, Lotus Domino example, operating system updatesand document management and a document management do not require system downtime,applications, the company needed application on the Power 750 Express and we do not need to manage anti-to find a commercially cost- server. virus upgrades and restarts. Sinceeffective way to roll out business standardizing on the POWER platform,solutions across a diverse group of The server is divided into seven we have only one administrator for thecompanies. logical partitions (LPARs) to provide entire enterprise, and we have saved separate virtual servers for each main one full-time employee equivalent. solution area, accessing shared Oracle databases hosted on IBM System “Additionally, by using LPARs to Storage DS4700, DS3950 and DS4300 provide virtual servers for our key SAP disk arrays. production and other applications, we have avoided the cost of new “By consolidating to the Power 750 standalone servers. By our estimates, Express server, B C Jindal is achieving when compared with a non-virtualized near-100 percent uptime for its core environment, we have saved around business applications,” says Mr. Malav. 50 percent of our predicted capital “The management cost of running expenditure.” 2
JINDALSupporting key business “This data can be examined using SAPprocesses BusinessObjects for critical customerWith the core SAP solution suite and business management information.deployed on a single Power 750 For example, we look at the marginserver, B C Jindal Group is able to take per roll, and the cost impact of shorterimmediate advantage of integrated data and longer production runs. We can Solutionand analysis both centrally and for all balance the manufacture of differentthe operating divisions. film specifications, which means uninterrupted production, against the B C Jindal standardized its SAP“We use SAP ERP to control our customer order book and delivery solution infrastructure on the IBMactivities and capture our transactions, commitments. Power platform.and this data is also transferredand stored in the SAP NetWeaver “It is like fitting together an immensely The most recent deployment is anBusiness Warehouse” says Mr. Malav complex jigsaw, where we aim to IBM Power 750 Express server with“Using SAP BusinessObjects, we can maximize profitability and minimize POWER7 processors, supportinginterrogate SAP NetWeaver BW for wastage. Using SAP BusinessObjects seven virtual servers to run multiplesales, production and inventory data to to deliver accurate data, the IBM Power core business applications.provide accurate business forecasting platform provides the stable, high-and planning. performance infrastructure to make it The company switched from manual possible.” backup processes to IBM Tivoli“For example, the B C Jindal Group’s Storage Manager, with IBM Systemflagship company Jindal Poly Films Managing systems and data Storage DS4700, DS3950 andis one of the world’s largest single effectively DS4300 disk arrays and IBM Systemlocation producers of flexible polyester More than a terabyte of production data Storage TS3494 tape library.packaging. We have presence in 95 is stored on the DS4700 storage device,percent of world markets through our which has a total potential capacity of B C Jindal deployed IBM Systemsdistribution network in 40 countries. 7 TB. Annual production data growth Director to manage both IBM andEvery day we manufacture more than is some 100 GB, multiplied by replicas non-IBM servers.4,000 film rolls, of varying thicknesses, for development, test and qualitylength, roll width and transparency. assurance.Each roll has some 20 differenttechnical specifications, captured by B C Jindal uses IBM Tivoli StorageSAP applications during the production Manager to run automated backupprocess. In total, we create half a million routines during periods of lownew records a day. workload, transferring data direct to 3
an IBM System Storage TS3494 tape library. “By our estimates, “In the past, manual data backup when compared with occupied four people, who would start, a non-virtualized monitor and check the success of environment, weKey Solution Components each backup. Tivoli Storage Manager have saved around manages automated data backup for 50 percent of ourIndustry around 30 servers of various kinds, and predicted capitalManufacturing, Energy we have saved at least one full-time expenditure.””Applications employee equivalent,” says Mr. Malav. Mr. R D MalavSAP ERP including financials, ® Vice President of Informationcontrolling, materials management, “Tivoli makes data backup part of Technology, B C Jindal Indiawarehouse management, sales business-as-usual, and we achieveand distribution; SAP NetWeaver® data compression ratios of better thanBusiness Warehouse; SAP 3:1, saving us more than 66 percent ofBusinessObjects; IBM® Lotus® tape capacity. the administrator simply logs in to aDomino . ® control panel and considers if manual “With Tivoli, backup speed has action is needed. These are bothHardware improved too, requiring a shorter offline excellent pieces of system automationIBM Power® 750 Express with window. In the past, a full backup would software that help us reduce costs andPOWER7 processors, IBM System ® take around five hours, which with increase efficiency.”Storage® DS4700 and DS3400 Tivoli we have reduced to less than two-and-a-half hours. This allows us to Supporting efficient operationsSoftware keep production systems running for and business growthIBM AIX , IBM Tivoli Storage ® ® longer, and avoids the need to invest in By standardizing its infrastructure toManager, IBM Systems Director, additional processing capacity.” SAP solutions on IBM Power servers,Oracle IBM storage and Tivoli software, B C B C Jindal uses IBM Systems Director Jindal Group has made deep business to manage both the IBM and other analysis commercially effective for all its vendors’ systems, with automated operating companies with the minimum alerts delivered directly to IBM for of administrative effort. potential hardware or software faults. “By selecting a single application suite “For both Tivoli and Systems Director, and technology platform, the central IT 4
“SAP solutions and IBM infrastructure contributes to direct business cost savings, and enables B C Business Benefits Jindal to expand into new markets rapidly • Near 100 percent uptime for core and cost-effectively.” business applications on the IBM Power 750 server Mr. R D Malav • Reduced administration workload Vice President of Information Technology, B C Jindal India that saves one full-time employee equivalent • Saved around 50 percent of predicted capital expenditureteam is able to service all the business thanks to virtualized servers forunits,” says Mr. Malav. “For example, key SAP production and otherfor JITPL we have been able to create applicationsa standardized SAP landscape on thePower 750 Express server, and provide • Increased user productivity througha complete business management automated data backup acrosssolution for an energy business that around 30 serversaims for an installed capacity of 4,440MW within just three years. • Savings of more than 60 percent of tape capacity thanks to advancedMr. Malav concludes, “SAP solutions data compressionand IBM infrastructure contribute todirect business cost savings, andenables B C Jindal to expand into newmarkets rapidly and cost-effectively.” 5