Automated IT Vending Machines Streamline Support

Introducing IT on the GO:
An Automated IT Vending Machine
October 2013
Catalin Baicu, Transformation Program Manager, Intel IT

2
Legal Notices
This presentation is for informational purposes only. INTEL MAKES NO WARRANTIES, EXPRESS OR IMPLIED, IN THIS SUMMARY.
Intel, the Intel logo, Intel Core, and Intel vPro are trademarks of Intel Corporation in the U.S. and/or other countries.
* Other names and brands may be claimed as the property of others.
Copyright © 2013 Intel Corporation. All rights reserved.

3
Introduction
Our employees can choose from a variety of IT
support methods, including web, phone,
videoconferencing, and staffed onsite IT
Service Centers. We continually look for new
ways to increase our support and enable
employees to be more productive and increase
their job satisfaction.
Our onsite IT Service Centers provide a variety
of PC peripherals, such as laptop batteries,
power cords, headsets, flash drives, keyboards,
docking stations, and video cable adapters.
We wanted to simplify the process and
transform the user experience of obtaining PC
peripherals using a more accessible and, ideally,
self-service method.
Intel is a large global company,
with over 90,000 employees
in 164 sites, spread across
63 countries.

4
Background
In the past, we used a traditional
method to store and maintain the
inventory of PC peripherals, such as
laptop batteries and power cords.
Most of the necessary communication
and procedures, such as ordering,
maintaining inventory records, and
billing, were done separately through
email, and data was maintained on
discrete software files. Also,
employees who needed an item after
the IT Service Center closed had to
wait until it opened the next day to
obtain it.
Buy a large quantity of
inventory and deliver it
to a warehouse.
Then transfer items to various
IT Service Centers for storage
until an Intel employee
requests and buys an item.
While this system worked, we felt
improvements could be made to both
the process and the user experience.

A Two-Fold Challenge
We wanted to better serve Intel
employees by improving the way
we provided PC peripherals.
We wanted to reduce the total cost of
ownership, including costs associated with
the budget that was allocated to buy IT
peripherals, inventory, storage, provisioning
(how we offer items to the customers),
inventory tracking, and time management.
6 Copyright © 2013 Intel Corporation. All rights reserved.

7
What We Did: IT on the GO
We used possibility thinking to focus on the
HOW instead of the WHY NOT.
We first focused on integrating and
synchronizing the entire supply chain that
supported PC peripherals.
• We examined every step and identified
solutions to increase efficiency and
mitigate risks.
• We analyzed specific requirements for
privacy and information security, branding,
inventory, supplier capabilities, and
hardware and software alternatives, as
well as the ability to refill, track, and
report use of PC peripherals.
We created IT on the GO, a vending
machine with consigned inventory that
enables employees to get a variety of
PC peripherals in less than a minute,
any time of the day.

9
The Pilot
We conducted a 6-month pilot with
2 vending machines: They were the
same type of machine but each offered
different products.
Results were positive. Next, we decided
to double the inventory we offered to
employees.
We then deployed 27 sets of machines
(one set consisted of 1 master machine and
1 storage machine) in a variety of locations.
Each set offers 40 products. We felt that
this amount would offer our employees
significant choice.

10
What We Deployed
The new model is a multi-dimensional
integration of a vending machine and a
next-generation digital signage solution:
• It effectively uses a high-performance
platform based on Intel® architecture
(genuine Intel® Desktop Board and
Intel® Core™ i5 vPro™ processor).
• It can be managed remotely using
Intel® Active Management Technology
(Intel® AMT), a feature of Intel® vPro™
technology.
• We use consigned inventory, where
the suppliers order, manage, store,
and carry the inventory until the PC
peripheral is sold to an Intel employee.
The new model is a multi-dimensional
vending machine that can be managed
remotely using Intel® AMT, using
consigned inventory from the supplier.

11
How Does It Work?
The system works by using a large LCD touch screen mounted on the front
panel of the vending machine. The screen displays a menu of the available
products along with advertising and other content using 2D or 3D images.
Advertisements or other information about the products are in the customer’s
direct line of sight. The ability of the LCD screen to display advertisements using
high-quality HD video or Flash*-powered rich media makes it a powerful draw for
the attention of passersby.
Employees can get the desired item by simply swiping their badge. Their
department is systematically charged, and their manager is promptly notified
through email of the purchase and the cost.

12
Improving the Communication Chain
Our solution uses consigned inventory, and we are able to share related information
with our extended supply chain at a revolutionary pace. We found
that the key is to eliminate the delays inherent in traditional electronic data
interchange (EDI). The traditional way to communicate information through a
supply chain involves the use of electronic data, coupled with a phone or fax, or
email communications.
For our model to be successful, we needed to eliminate those delays. We combined
EDI with web-based inventory visibility applications that gave our suppliers
100-percent electronic connectivity with their trading partners. This enabled
near real-time collaboration and communication within the supply chain.
Our new method makes inventory information available to
everyone in the supply chain simultaneously.

Benefits
Improved User Experience
Our employees can now get IT PC
peripherals, such as laptop batteries, in less
than a minute, any time of the day.
Convenient locations that are accessible
24/7/365, with no need for purchase orders
are driving higher employee satisfaction
and improved productivity. Based on
surveys and feedback, customers are
reporting over 95% satisfaction with this
service.
Avoid Out-of-Stock Situations
When inventory is running low, telemetry
is used to send an electronic alert to the
person or third-party responsible for
restocking the vending machine. This process
minimizes out-of-stock situations and reduces
the time needed to refill the machine. In
addition, telemetry enables the vending
machine that is out of an item to inform the
potential customer if a nearby machine has
stock on-hand.

Benefits
Reduce Support Costs
We have replaced traditional supervised
supply stations with ongoing inventory
carrying costs. By using the automated
vending machines with consigned
inventory, we saved approximately 12.9K
hours per year and reduced the number
of steps in the ordering process from 42
to 4.
Centralized Management
Multiple machines installed at locations around
the world can be managed from one central
location using WiMAX*, 3G, or other data
communications technology to connect them
to the Internet. This centralized management
covers a variety of areas including operation of
the products details, digital signage function,
and collecting audience data (when
appropriate) on those who view the
advertising or purchase products.

15
Technology
Our model also uses Intel® Active Management
Technology (Intel® AMT), a feature of Intel® vPro™
technology, to ensure that the various operations
performed from the control center work reliably.
Intel® AMT is an advanced technology for operation
and management that can perform operations such
as power management, console operations, and
solid-state drive access independently of the state
of the OS. Having the ability to diagnose issues
remotely minimizes the need to send repair teams
to the vending machines, reducing operational and
maintenance costs. This approach can be expected
to increase the use of the vending machines.

16
Future Plans
Based on the data from our 6-month
pilot and 27 machines deployed in the
United States, we are moving ahead
with our IT on the GO model.
Due to the benefits and streamlined
supply chain process, we plan to
implement the IT on the GO concept
across all major Intel campuses. Our
goal is to deploy 25-30 additional sets
worldwide.
Currently we have 27
IT on the GO machine sets
deployed. Our goal is to deploy
25 to 30 additional sets across
campuses worldwide.

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