2. WWW.XSNET.COM | EXPERTLY SIMPLIFIED IT MAINTENANCETM
TABLE OF CONTENTS
WWW.XSNET.COM | EXPERTLY SIMPLIFIED IT MAINTENANCETM
Introduction: 2
The Problem – Overview: 2
Asset Database Review and Identified Issues: 2
Excessive Support Costs: 3
Need or Asset and Contract Procedures: 3
The Solution: 4
Asset Database / CMDB Cleanup: 4
Recommendation for Contract Consolidation and Clean-Up Services – Ongoing: 4
XSi’s Holistic Model: 5
The Results: 6
Cost Savings, Accuracy and Reduced Downtime: 5
Additional Savings at First Contract Renewal Period: 5
Infrastructure Technology Asset Disposition (ITAD) Services: 5
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INTRODUCTION:
XSi is a “Maintenance Lifecycle
Support and Methodology
Provider” which involves all facets
of managing assets from the
point of acquisition until they
are decommissioned from your
environment. The full lifecycle
of services entails the following
components and is referenced in
this case study:
THE PROBLEM – OVERVIEW:
The client is a large Federal agency that is highly reliant on their IT infrastructure (network, server and storage) to deliver
services to the citizens it supports. The agency’s primary goal was to significantly reduce annual maintenance costs,
while maintaining or increasing the level of support provided for their mission critical Cisco infrastructure. In particular,
this agency contracted XSi to provide annual support services for a large percentage of their Cisco asset base (Cisco is
the primary vendor comprising the client’s infrastructure). XSi’s support services include XSiAdvancedTAC™ services for
configuration and troubleshooting support, service level agreement (SLA) hardware support, and field engineering services
for repair of failed equipment. XSi’s services exceed OEM SLA levels within all aspects of the provided service with faster
response times on support calls (including Tier III support), on-site spares, and staffed by highly trained professionals within
the United States.
Asset Database Review and Identification of Issues:
The client initially provided XSi with a list of assets for annual maintenance renewal. The list was a report from the Cisco’s
contracts database and XSi determined this list had the following issues:
» The list only showed devices Cisco currently had under contract and as such may not be an accurate representation of
the equipment actively comprising the client’s infrastructure
» It was a listing of equipment sold to the client and as such may be showing assets for contract renewal that have been
de-commissioned from the environment
» Asset locations are often not accurate within these reports as they typically reflect the location an asset was shipped to,
but not the actual install location.
» Multiple contracts have different start and end dates for items with the same SLA. This results from new contracts being
issued each time equipment is purchased which creates the problem of multiple contracts with multiple start and end
dates. Cisco Customer Online ID’s (CCO-IDs) are aligned to contracts and in order to open an incident with Cisco, a
user’s CCO-ID must be aligned to the contract the device is covered under. This situation overburdens record keeping
on the client’s technical and operations personnel.
» The problem stated above is further exacerbated by the fact that the OEM won’t provide coverage for assets that are
unsupported without a purchase order (PO) being issued to add the unsupported asset to a support contract, resulting
in frustration and potentially lengthy downtimes.
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EXCESSIVE SUPPORT COSTS:
The large Federal agency recognized that
they had increasingly higher annual support
costs with the same equipment and sought
XSi’s expertise. By utilizing XSi’s holistic
support model, the client was able to
dramatically reduce costs, increase services
levels, and create a simplified and accurate
support coverage model across their
infrastructure. How the holistic model works
will be discussed further in the Solution and
Benefits sections of this case study. You are
entitled to IOS patches and updates within
your existing feature-set under the OEM
warranty agreement.
NEED FOR ASSET AND
CONTRACT PROCEDURES:
XSi visited with the agency at their data
center location and performed a review of
their asset data / CMDB. It is more likely that
a client’s asset data (IT contracts associated
with those said assets) are highly inaccurate
for the reasons previously identified. While
a network audit to bring these assets into a
clean and accurate state is a good idea, the
reason the asset data and contracts became
inaccurate over time is due to a lack of
procedures around the components listed to
the right:
PROVISIONING OF ASSETS:
Add new equipment to the
infrastructure, ensure proper
support contracts, and update
asset management and network
monitoring systems
DECOMMISSIONING OF
ASSETS:
Remove equipment from the
infrastructure, ensure support
contracts are credited, and
remove the equipment from
asset management and network
monitoring systems
RETURN MATERIALS
AUTHORIZATION (RMA):
When an asset fails, this set of
procedures is required to update
the asset management and
network monitoring systems with
the device’s new attributes (serial
numbers, MAC addresses, etc.)
DEVICE RELOCATIONS OR
CHANGES (MACD):
When an asset has an update
(new IOS, new card, etc.) or is
relocated, these set of procedures
governs the update of the asset
management system and
network monitoring system
to reflect these changes
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The Solution:
XSi went onsite to assess the
situation prior to the client’s
support renewal date. During
this assessment visit, XSi worked
with the client’s manager
to discuss the state of their
infrastructure and data centers,
persons or entities responsible
for infrastructure support
contracts, and to identify the
following solutions for the
environment:
XSi and the client were able to clean up a substantial amount
of the CMDB in the initial audit / visit. It takes a significant
amount of effort and teamwork to clean up a large agency or
organization’s CMDB. XSi and the agency agreed that the
ongoing effort to fully clean up and maintain the integrity
of the assets and contracts would entail the following
components:
Tools: XSi utilized custom scripts, discovery tools, topology
maps, SSH, Telnet, and collaborated with agency technical
and operations teams
Analysis:
» XSi discovered Cisco’s quotes (based only on sales history)
were very inaccurate compared to the installed base
» Client did not perform intermittent and annual auditing of
the installed base in order to prevent overpayment
» The client did not have a process in place to work
with its Cisco VAR or distributor to obtain credits for
decommissioned assets
» The client had been paying support for assets that were
decommissioned
» The client needs to implement new processes and
procedures to track new asset deployment, de-commission
assets, RMAs, and asset location movement
» XSi identified assets that did not require Cisco
SMARTnet™ maintenance. These assets either fell within
XSi’s Hybrid Model (equipment that only requires updates
fixes for case resolution) or items that fell within XSi’s
Third Party Maintenance Service (equipment that does not
require a contract with Cisco to download IOS updates
and fixes or equipment that has reached End-of-Life, End-
of-Support and/or End-of-Software Support)
OEM Contract Cleanup Services: XSi identified how to
dramatically reduce number of client’s contracts. Cisco at a
minimum requires one contract per SLA. VARs tend to start
a new contract each time assets are purchased versus taking
newly acquired assets and making them coterminous to the
current contract. XSi can assist clients in aligning technical
and operations personnel CCO-IDs to OEM contracts for
incident creation.
ASSET DATABASE / CMDB CLEANUP:
Two XSi engineers spent two days on site to perform an initial review of the asset database. They worked with agency’s
network engineer who wrote scripts that ran against their network management platform to confirm devices that were
present on the network and to provide internal information on numerous critical chassis based systems that would allow XSi
to optimize the clients support environment based on XSi’s holistic support model. XSi utilized custom scripts to parse the
data provided from the agency into both their quote and asset template, which can be easily loaded via Excel / .csv into
the asset center of XSi’s AdvancedTRACK™ portal.
RECOMMENDATION FOR CONTRACT CONSOLIDATION AND CLEAN-UP SERVICES – ONGOING:
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XSI’S HOLISTIC MODEL:
XSi’s Holistic support model categorizes
products based upon a number of criteria.
The table and diagram below indicated the
three “buckets” of support and how assets
are categorized into each of these buckets.
– Current Models that
Require OS Updates to
Fix Issues
– Current Models that may
Require OEM Escalation
– Emerging Technologies
– Requires Frequent
Software Updates
Hardware Best Maintained by Third
Party Maintenance (TPM) Provider:
Hardware Maintained by
OEM or TPM Provider:
Hardware Best
Maintained by OEM:
– Models Reaching
or Have Reached
EOL, EoSW or EOS
– Current Models
Where Free Software
and Firmware is Available
– Other Criteria
0-20%
Discount
40-60%
SAVINGS
Holistic Maintenance Model Categories
No Risk
NoReward
Low Risk
HighReward
No Risk
HighestReward
60-75%
SAVINGS
TPM
EOS
OEM EOL
Third Party
Maintenance
Provider
End of Software
Updates = Last Date
the Manufacturer will
Provide Bug Fixes
or Updates
End of Support =
Last Date the
Manufacturer
will Provide
Product Support
End of Life = Last
Date of Hardware
Resale of Product
Original Equipment
Manufacturer
Acronym Decoder
EoSW
OEM SUPPORT
» Emerging Technologies
» Requires Frequent Software Updates
» Requires Frequent OEM Configuration Support
HYBRID MODEL
» Current and Stable Models Requiring Access to OS
Updates for Bug Fixes
» Current and Stable Models Requiring Occasional
Escalation to OEM Tier IV TAC
THIRD PARTY MAINTENANCE (TPM)
» Devices that have Reached “End of Support”, “End
of SW Updates” and other Milestones
» Free IOS Updates – Available on Catalyst 4500
Models and Below with Base Images
» Devices that Receive their Updates from a Master
Device (IP Phones, Light-Weight Access Points
(LWAPS))
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COST SAVINGS, ACCURACY AND REDUCED DOWNTIME:
XSi’s Holistic Maintenance Model – XSi divided the client’s
assets into three categories:
1. Assets best maintained by OEM support
2. Hybrid Support
3. Third Party Maintenance (TPM) support.
In addition, XSi educated the client on how it combines
engineering, furnish and install services (EFI services) that
deliver a level of service not available through OEMs, OEM
channel partners or other TPMs. The result is outstanding
cost savings while receiving a level of service thought to be
previously unobtainable.
Contract Consolidation and Clean-Up Services – The
following benefits were realized through this suite of services:
» An accurate CMDB / asset inventory – This will prevent
the client from paying for maintenance on assets that are
decommissioned and ensure critical assets are covered.
Also, XSi’s on-boarding and ongoing contract moves,
additions, changes, deletes (MACD) services will ensure
the client’s operations and technical employees OEM IDs
are aligned to the appropriate OEM contacts such that
incidents can be opened without delay.
Asset Additions, Decommissions, RMAs and Moves
Procedures: These procedures ensure the following:
» Additions – new devices added to infrastructure are
now placed under the appropriate support model (OEM,
Hybrid, or TPM) and loaded into the XSiAdvancedTrack™
“Asset Center” module as well as the clients Network
Management System (NMS) such that accuracy of
these assets is maintained from a support and visibility
perspective.
» Decommissions – as devices are removed from the
network, XSi will delete these assets from the contract,
notify the NMS system’s point of contact (POC) to remove
the asset, and provide and track the appropriate credits
as either cash / check rebates or as available credit to add
future assets to the support contracts.
» RMA’s – When devices are replaced due to hardware
failures, this procedural component will ensure that the
asset record in the XSiAdvancedTrack™ portal is updated,
and the NMS system’s POC is notified to update the
records as appropriate.
» Moves – If an asset is relocated this procedural component
will ensure that the asset record in the XSiAdvancedTrack™
portal is updated and the POC for the client’s NMS system
is notified to update the records as appropriate.
THE RESULTS: DUE TO THIS LARGE FEDERAL AGENCY CONTRACTING WITH XSI, THEY HAVE REALIZED
THE FOLLOWING IMMEDIATE AND LONG TERM BENEFITS:
8. WWW.XSNET.COM | EXPERTLY SIMPLIFIED IT MAINTENANCETM
» 25% Reduction in Annual Costs – During this audit, XSi
found that Cisco’s quotes (based on sales history) were
25% inaccurate compared to the installed base. The
client is no longer paying maintenance on assets that are
decommissioned.
» 50% of installed based moved to XSi’s Third Party
Maintenance – XSi performed a detailed analysis on these
assets including devices that Cisco provides free IOS
updates, devices that were End-of-Life, End-of-Support
and/or End-of-Software Support where updates were no
longer being provided by Cisco. XSi’s TPM Support was
able to allow the client up to 60% savings annually on these
devices.
» 25% of installed base identified as XSi’s Hybrid Model
(equipment that only requires updates fixes for case
resolution) – Since these items had recently been installed,
XSi made recommendations to wait a year before moving
these items to XSi’s Hybrid Maintenance Model which will
achieve additional savings for the client in year two of the
contract.
» 50% of the contract items consolidated into one
coterminous contract – This will save significant overhead
internally at client’s site. XSi will update this document with
the estimated administrative savings obtained by the client
after year one.
DRAMATIC SAVINGS ACHIEVED
The clients implemented XSi’s Holistic Maintenance Model and took advantage of significant annual
maintenance savings:
ADDITIONAL SAVINGS AT FIRST CONTRACT RENEWAL PERIOD:
Cisco and most other OEMs increase annual hardware maintenance prices by 15% per year for the first 5 years, and from 25%
to 100% annually afterwards. XSi never increases annual maintenance prices, so the more equipment that is transferred to XSi
support vs. Cisco will increase the annual cost savings.
INFRASTRUCTURE TECHNOLOGY ASSET DISPOSITION (ITAD) SERVICES:
XSi is a true maintenance lifecycle support and methodology provider. When the client decommissions assets, XSi will provide
a professional analyst to present an asset valuation, and a quotation for erasure services, packing, removal and destruction
or resale of de-commissioned assets if required. XSi can provide a credit on maintenance services for Government Agencies
making it easier for the agency to receive value for decommissioned assets.
9. XS International, Inc. | info@xsnet.com
Call XSi Today for Expertly Simplified IT Maintenance
1.800.256.6133 (US) | 1.770.740.0040 (INT’L)
Or Visit Us Online at XSnet.com
