IT Next Magazine is published by 9.9 Media and is basically targeted to the senior IT professional community.

1. DEC 2009-JAN 2010 / RS. 150
VOLUME 01 / ISSUE 01
Taxation: Is your IT
infrastructure ready
30 Virtualisation: Has34
the fizz settled or is
Tech for Logistics:
How IT can help save every
38 THE BIG Q
How to track IP theft
for GST roll out? it another passing fad? paisa you earn? and prevent it? Pg.53
ARE
YOU
THE NEXT
CIO?
7
S Ilango,
Senior Manager
Sushil Aggarwal,
STEPS
Aditya Birla Group
Leader-IT
Marathon Electric India
Rakesh Mohan
Project Manager
TO THE
Dhiraj Sinha,
Tech Lead
Dell Perot Systems
Flytxt
TOP SEAT
PAGE 16
15 MINUTE
Jojo Jose
GM (Systems)
GTN Group
MANAGER
Easy if you are willing
to change your mindset
A 9.9 Media Publication PAGE 47

2. EDITORIAL
It’s time for
the Maybach
The $825 Model T launched in 1908 by
Henry Ford was not just the first ‘affordable’
car. It also introduced the concept of “IT Next is more like a
assembly line in the automobile sector. This opened custom-built Maybach
a floodgate for others to follow. The concept of “one size fits that has been designed
all” became universal, spreading quickly across all sectors, including to suit your needs and
mainline media, which adopted it for reaching the masses. More recently,
requirements”
niche magazines have also gone the assembly line way, becoming all things S H U B H E N D U PA R T H
to all people.
So, when we decided to launch a new publication targeted to IT
Managers, one thing was clear—ours would be no assembly line. We
decided to take a tailor-made approach like the top-of-the-line custom-
built German car, the Maybach. The result is a thoughtfully crafted IT Next
that is customised to your needs.
We began with a survey of the IT Managers in India to confirm our
hypothesis that this is a community that wields considerable influence and
is far more extensive than the CXO fraternity, which several magazines
and portals focus on.
Indeed, the survey revealed that there is a yawning gap in the way
existing magazines, including majority of B2B IT publications, cater to
the specific needs of the IT Manager.
Not surprising then, that you overwhelmed us with your views, ideas
and concerns through your responses to our survey.
In fact, several stories in this launch issue are based on the suggestions
you gave us. We hope to further build on your inputs in launching our
online version, www.itnext.in, in the coming days.
Blogs To Watch!
I sincerely hope that you like IT Next not only in terms of the content and
http://www.timferriss.com
P HOTOG RA P H Y: DR LOH I A
design but also for its theme and philosophy. Believe me, we have toiled http://andrewmcafee.org/blog
over every aspect of this eclectic product. Unlike Ford’s Model T, IT Next
Your views and opinion matter
is more like a custom-built Maybach that has been designed to suit your to us. Send your feedback
particular needs and requirements. on stories and the magazine
at shubhendu.parth@9dot9.
So, do let us know your reactions and join us in the journey to facilitate in or SMS us at 567678 (type
and celebrate your growth as a technocrat. ITNEXT<space>your feedback)
D E C 2 0 0 9 – J A N 2 0 1 0 | IT NEXT 1

4. CONTENT
Fa c e b o o k:
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7
FOR THE L ATEST TECHNOLOGY UPDATES GO TO ITNEXT.IN DEC ’09-JAN ’10 V O L U M E 0 1 | I S S U E 0 1 u g r p _ ov r
09
SURVEY
STEPS
TO THE TOP
Page
SEAT
BASED ON AN EXTENSIVE SURVEY OF IT
MANAGERS, IT Next presents a handy guide for
technology managers who have their hearts set on
16 becoming a CIO
INSIGHTS BOSS TALK INTERVIEW
23 Clicking it big
Communication as a Service (CaaS) is set to change the way an enter-
prise communicates and collaborates today C OV E R P H OTO G RA P H Y: DR LOH I A , M EX Y X AV IE R & SA N TOS H BH AS K A R
26 No mishaps for this mail
e-Mail security needs to guarantee perimeter safety, confidentiality
and non-repudiation
28 Top 5 mobile applications
C OV E R DES I G N : JAYA N K N A RAYA N A N
Technologies that can help enterprises go mobile
30 Ready steady GST
The forthcoming GST regime will compel IT managers to execute a 05 Innovate to add value | 44 “There was no recession
complete realignment of the IT infrastructure. Are you prepared? Birlasoft CEO, Arup Gupta on in India” | SAP’s Asia-Pacific
importance of innovation and Senior V-P, Simon Dale, discusses
34 Has the fizz settled? how it can help IT managers the global slowdown and the
Is it time to assess the benefits of server virtualisation? succeed professionally company’s changing strategy
2 IT NEXT | D E C 2 0 0 9 – J A N 2 0 1 0

5. ITNEXT.IN
MANAGEMENT
Managing Director: Dr Pramath Raj Sinha
Printer & Publisher: Vikas Gupta
EDITORIAL
Group Editor: R Giridhar
Editor: Shubhendu Parth
Consulting Editor: Pravin Prashant
Page
LONG WAY TO GO | How ICT intervention in Associate Editor: Shashwat DC
Sr Correspondent: Jatinder Singh
38 the logistics sector can make a huge difference
DESIGN
Sr Creative Director: Jayan K Narayanan
OPINION 52 Manage IT | 5 simple steps Art Director: Binesh Sreedharan
12 Tech Talk: On cloud nine! to greening your enterprises Associate Art Director: Anil VK
| by Dr Manoj Saxena, CEO, Net- Manager Design: Chander Shekhar
Edge Computing Solutions OFF THE SHELF Sr Visualisers: Anoop PC, Santosh Kushwaha
60 HP shrinks your world | A Sr Designers: Prasanth TR & Anil T
14 Money wise: The Penny sneak preview of enterprise prod-
SALES & MARKETING
route to Pounds by Ratnakar ucts, solutions and services VP Sales & Marketing: Naveen Chand Singh
Nemani, CIO & Head—IT Projects (09971794688)
Wing, VST Brand Manager: Siddhant Raizada (09990388390)
National Manager-Events & Special Projects:
15-MINUTE Mahantesh Godi (09880436623)
MANAGER National Manager Online: Nitin Walia
47 Predicting IT right | (09811772466)
Strategic IT forecasting is a GM South: Vinodh Kaliappan(09740714817)
challenging task, but can make a THE BIG Q GM North: Pranav Saran(09312685289)
GM West: Sachin N Mhashilkar(09920348755)
difference to your business 53 Who stole my washing
Assistant Brand Manager: Arpita Ganguli
machine? | How to track IP
Co-ordinator Ad Sales, MIS, Scheduling:
48 Office Yoga | Asanas for a theft and prevent it Deepak Sharma
busy manager
CUBE CHAT PRODUCTION & LOGISTICS
50 Get back to the class- 58 Pining to be a TV star | Yes, Sr. GM Operations: Shivshankar M Hiremath
room! | Choosing the right skills professional achievers too can Production Executive: Vilas Mhatre
to upgrade is key to beating the nurture off-beat aspirations and Logistics: MP Singh, Mohamed Ansari,
recession blues Rajesh Aggarwal, IT Manager, Shashi Shekhar Singh
D P Jindal Group is one of them
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M E D I AWO R X P V T LT D I S P R O H I BI T E D.
D E C 2 0 0 9 – J A N 2 0 1 0 | IT NEXT 3

7. BOSS TALK | ARUP GUPTA
PROJECT MANAGEMENT
Innovate to
add value
oday, IT managers, I think, have
T become very inward-focused
in terms of adhering to process,
cost and scope. These are all good
things from the Capability Matu-
rity Model (CMM) perspective, but are they
really meeting the expectations of the customer?
Though we may follow all CMM processes faith-
fully, the customer is really looking for value-
add beyond their specifications. Real successful
IT managers are able to add value, enabling “The need of the hour is to find the best
customers to become more competitive in their
business spheres.
solution for a particular problem, rather
IT managers, in addition to knowing the than treat it just as a routine affair”
software delivery process, need to be aware
of technologies and domains so that they can choosing the more fruitful career path—
deliver the best possible solution to a particular managerial or purely technological. Some
problem. This is what we call an innovative Indian companies offer a clear growth path in
solution. That is the transformation that I would pure technology and pure domain, but still
like to see in the mind set of all IT managers. most professionals opt for the faster managerial
IT managers abroad would possibly be less route. Most Indian companies try to hire project
stringent about processes, giving more attention managers or senior practice managers with some
to adding value in terms of domain, new SUGGESTION BOX knowledge of the latest domain technologies,
technology and architecture. So how does one but as I said earlier, some of the deficiencies in
change the mind set of an Indian IT manager? managers in regard to technology and domain
One needs to start thinking out of the box and can be compensated by bringing all stakeholders
bringing together various stakeholders in the together. I have seen some of the best-of-the-
problem like domain expertise, technology breed IT companies in India do so.
expertise and possibly the architecture group for Yes, a pure technocrat too can become
a brainstorming session. That is exactly what the a CEO. I myself hold a master’s degree in
people abroad do. computer science and have grown through the
If the problem is too complex, outside ranks. However, more boards and promoters
consultants and talent can be involved, rather The book talks are inclined to hire CEOs who can showcase
than opting for the solution that exists in house about how to add diversity in terms of technology and domain,
and somehow make it fit the particular problem. value and make cli- and now, also an MBA degree. This ensures that
P HOTOG RA P H Y: D R LO H IA
I am not laying undue emphasis on routine ents more competi- with overall grooming, the individual can solve
things like operational efficiency and delivery. tive. It also has tips the complex sets of problems being faced by
The need of the hour is to find the best solution on how to build the companies today.
for a particular problem, rather than treat it just winning team.
The author is CEO of Birlasoft. He has more than 30 years
as a routine affair. WRITER: JIM COLLINS
experience in the IT industry and has previously worked
P UBL I S H E R : H A R P E R BUS I N ES S
IT managers are often in a dilemma about PRICE: INR 626.00 with Polaris and TCS
D E C 2 0 0 9 – J A N 2 0 1 0 | IT NEXT 5

8. UPDATE
I N D U S T R Y
TRENDS
UPDATE DEALS
PRODUCTS
SERVICES
PEOPLE
promises to provide an online
platform for software developers
to create their own programs,
and space for customers to store
data.
The service had been in
testing phase for about a year
and will go fully live at the
beginning of next year, according
to Microsoft’s chief software
architect Ray Ozzie.
Big Blue (IBM) also raised
the stakes by launching a
new cloud computing service,
similar to that from Amazon
and Salesforce.com. Dubbed as
the ‘Smart Analytics Cloud’, it is
IBM’s biggest cloud computing
service yet and will be at first
The cloud gets MS and IBM
enhanced
their cloud
adopted internally by the
company.
Meanwhile, on the domestic
more pervasive commit-
ments, by
front, companies like Reliance
and Airtel have already
TECH TRENDS | There was much reason to cheer for the cloud comput- launching launched cloud service. Also,
ing front as bigger players made cloud announcements. While, it is services Zenith Infotech has entered the
still early days for the cloud industry, which Gartner Research esti- based on the space through its private cloud
mates will ring up sales of about $3.4 billion this year, the momentum model computing platform PROUD,
has started building up with two biggest software giants, Microsoft which it is positioning as a single
and IBM, announcing their plans. centralised computing system
Microsoft, which seemed to have missed the cloud bus, announced that can replace the need for
that it will roll out the long-awaited Azure system on January 1, 2010. customers to buy computing
Azure is Microsoft’s foray into the cloud computing system and it and network hardware as
separate and difficult-to-manage
components.
More recently, NIIT and
TELEC
OM Global end user spending on telecom is all set for a positive Hitachi have announced their
SPEND growth in 2010, after 12 months of negative growth cloud offering for the enterprise
(NUMBERS IN US$ BILLIONS) space. To begin with, Hitachi
Spending on 2000 Information Systems will
WAN optimisa-
leverage NIIT Technologies’ data
tion and SSL 1950
centre in Bangkok and create its
P HOTOG RA P H Y: P HOTOS .C OM
virtual private -4
.0
network 6 % 1958 % % first hub outside Japan. This will
1900 5. 3.2 1940
is less likely to be networked to their existing
be influenced
1850 1879 infrastructure. The services,
2007
2009
2008
2010
1854 according to the road map,
1800 should be available from the first
quarter of the next fiscal.
SO U R CE: GART NER , S E PTE M B E R 2 0 0 9
6 IT NEXT | D E C 2 0 0 9 – J A N 2 0 1 0

9. YOUR PRIMARY DEFENCE LAYER EXPRESS YOUR CREATIVITY COOL YOUR DATA UPDATE
Norton’s NIS 2010 claims to enhance user Genius has introduced new range of Extreme Networks has introduced a 10
experience with new fea- Graphic Tablets—the EasyPen i405 and Gigabit Ethernet switch, that promises
tures like Quorum and safe the MousePen i608. It features 30% power sav-
web protection. The product two buttons and 1024 ings, for the next
is Windows 7 compatible level pressure sen- generation data
and available at Rs 1,450 sitivity for control over centre, cloud com-
for a single PC license. drawing or writing. puting and hosted environments.
LinkedIn opens up APIs were evaluated on a case-
by-case basis, where priority was
given to “integrations that provide
the most value to the greatest
TECH TIDINGS | Popular net- number of LinkedIn users,”
working and professional site according to its former policy. The
LinkedIn seems to be opening up LinkedIn Platform now allows
to the developer community. It that access to everyone.
has launched a platform for the However, there is some
developer community. With this doubt on whether the move
move, third party developers will is too little and a tad late, as
be able use LinkedIn’s profile other networking giants like
content in their business appli- Facebook and MySpace have
cations and Websites. The move successfully engaged the
follows the company’s decision developer community in the last
to join hands with technology couple of years. There is a lot
companies—IBM, Microsoft, of speculation on the pending
Research In Motion (Blackberry), interface redesign, but no official
and Twitter—for integrations Announces across different networks. word on it.
with their respective products platform for Developers can now register at Nevertheless, by opening
and solutions. While these third party developer.linkedin.com to receive up its API the company has
partnerships created additional developers a unique key that allows access to insured that developers can add
channels for LinkedIn’s plat- discussion boards, sample code, to LinkedIn’s value by building
form, the latest move would provisioning code and more. In a whole new set of standalone
make LinkedIn ubiquitous the past, requests to use LinkedIn products.
AROUND THE WORLD QUICK BYTE
Unified communication:
to touch $4.2 Bn by 2014
While the world rued the economic slowdown, there
was a silver lining for the Unified Communications
(UC) industry. Enterprises took to UC solutions to cut
GOOGLE CO-FOUNDER SERGEY BRIN
down on costs. According an ABI Research report, ON CHROME OS VS MS WINDOWS...
the segment is set to jump from $302 million in 2008 “CALL US DUMB
to $4.2 billion by 2014. The growth confirms the BUSINESSMEN, BUT
WE REALLY FOCUS ON
perception of UC as a productive and cost-cutting USER NEEDS RATHER
technology rather than a fancy collaborative tool, THAN ON STRATEGIES
particularly for MNCs with offices across multiple RELATED TO OTHER
BUSINESSES”
geographies.
D E C 2 0 0 9 – J A N 2 0 1 0 | IT NEXT 7

10. UPDATE
Salesforce unveils
office networking tool
WEB 2.0 | Understanding the
significance of social network-
ing and the opportunity it can
bring for corporates, Salesforce.
com, has introduced an in-house
social networking model called
Salesforce Chatter. INTERVIEW
The service is intended to PAUL KAELEY
provide a platform where all Director—Global Storage (Data Man-
agement) Consulting Practice, Dell
employees can collaborate and
connect with their co-workers
using the intranet. The new itself with Twitter and IT NEXT: What is your outlook of the
The service, an in-house social tool will be Facebook that users are IT consulting business in India?
networking and collaboration included in all already comfortable with.
PAUL: There is a great opportunity
tool aims at improving interaction paid editions While employees at
within the India market in the IT consult-
within the organisation. It enables of Salesforce Salesforce have already
ing space. Our consulting approach is
employees to create their profile, CRM and started using the
designed to help customers of all sizes
update their status, and inform Force.com chatterbox, the company
to rapidly identify ways to drive more
peers about “what they are doing,” is looking at making it
efficiency within their data centres. Using
right away. available to the corporate
our Measurable Rapid Insight (MRI)
The move comes on the in early 2010.
approach we can quickly identify what
expected line of the changing The new chatter edition
customers are spending on storage and
working environmemt, with will be sold for $50 per
then show a path to how they can reduce
enterprises swiftly evaluating user per month and will
cost and complexity.
how cloud and social networking include salesforce chatter,
can help them reach business salesforce content and How are you addressing the needs of
goals in a smoother way. Force.com, the company IT managers?
The service also integrates informed.
Our whole strategy is focused on quickly
addressing key pain points of IT manag-
ers. Our storage services directly map
Enterprise software market to key issues faced by our customers
today—from data growth to data protec-
tion and optimising storage.
to grow 10% in 2009 How is Dell applying its consulting
services for improved storage ef-
TECH TRENDS | The enterprise software been mitigated by the large untapped ficiency?
market in India continues to post a market that is adopting IT on a
The need to address enterprise data
healthy growth and is expected to regis- continuous scale, the report states.
management issues continues to be high
ter an overall 10.1% growth this year. The main driving force behind the
on the agenda of CIOs and IT Managers.
The recent Gartner report enterprise software market
P HOTOG RA P H Y: JAYA N K N A RAYA NA N
Most companies are spending a large
predicts that the market will still continues to ERP,
continue to improve and
touch 11.8% growth in 2010.
India is the fourth-largest
market in the Asia-Pacific
(APAC) region, and while
.3
ENTERPRISE S/W
GLOBAL
GROWTH IN
%
driven by SAP and Oracle.
India, China and Vietnam
are the biggest drivers for
the enterprise market in the
$20 billion APAC market,
percentage of their budget on storage and
Dell’s consulting services capabilities can
help quickly identify how organisations
can maximise their spend and ensure that
storage is matched to business needs.
the impact of the slowdown 2009 which will grow by 10.2%
Source: Gartner
cannot be discounted it has in 2009. By Jatinder Singh
8 IT NEXT | D E C 2 0 0 9 – J A N 2 0 1 0

11. UPDATE
SOCIAL NETWORKING
Fujitsu, NetApp join NSE starts
hands for storage to Tweet
The Twitter club got a major
The two boost as the National Stock
companies Exchange (NSE) begun sending
will jointly out live quotes of its benchmark
develop inte- index Nifty on the micro-blogging
grated data website. The Indian bourse cur-
management rently sends out an update of the
and storage Nifty index as well as the highs
products and and lows every 10 minutes during
solutions the trading hours. With this move,
NSE has become the first Indian
bourse to join
the Twitter club,
beating its rival
Bombay Stock
Exchange (BSE).
Internationally,
TECH ALLIANCE | In what can be termed as a single console management major bourses
major realignment in the data management space, of the entire infrastructure, like NASDAQ
Fujitsu, a player in software management joined and increases productivity from the US and
hands with storage system vendor NetApp to pro- and operational efficiency FTSE from the
vide tightly integrated and automated storage and through ease of use. With UK have already
data management solutions. the combination of products established their
According to the announcement made by the and solutions from both presence on Twit-
two companies, they will jointly develop integrated companies, customers can ter. Meanwhile,
products and services in the areas of virtualisation, reduce their capex and NSE plans to provide more infor-
storage and data management, and storage services leverage IT infrastructure. mation over Twitter in the coming
and solutions. The two companies further days. The NSE Tweets have been
The two companies will also work towards plan to implement a global well received by the users. Within
integrating NetApp’s storage management joint go-to-market strategy a week of its launch, the NSE has
software into Fujitsu’s resource management for all complementary already registered about 1,600
framework, that dynamically orchestrates servers, products. The tie-up also followers.The exchange aims to
networks, storage and software to run applications envisages full integration of add some more indices and tools
on demand. NetApp V-series products on the social networking site in
The framework also enables easier with Fujitsu’s Eternus the coming days, besides enabling
administration of data centre environments, allows storage systems. investors to reach NSE through
NEWS @ WHAT IS COOKING AT MICROSOFT?
BLOG PERHAPS THE WHOLE, “end-of-the-world” thing in 2012 really has something to do with Microsoft, which is
likely to release Windows 8 in that year | Nicholas Kolakowski <uxevangelist@gmail.com> in Microsoft Kitchen
The blog posted two slides suggesting that the next Windows Server and
P HOTOG RA P H Y: P HOTOS .C OM
Windows 8 would be released in 2012. Earlier in October, the LinkedIn page
for Robert Morgan, a senior member of Microsoft’s Research & Development
team, stated his current projects included 128 bit architecture compatibility
with the Windows 8 kernel and Windows 9 project plan.
D E C 2 0 0 9 – J A N 2 0 1 0 | IT NEXT 9

13. SMS itnext samsung

14. TECH TALK
OPINION DR. MANOJ SAXENA
CEO, NetEdge Computing Solutions
Key attraction
Cloud computing has a tremendous
On cloud nine!
enterprise pull because it conceals the
complexity of the infrastructure from
end-users. They do not know, or need
to know, what is there in the cloud.
Yes, that is where cloud computing is set to This has become possible due to one
of the key architectural attributes and
take enterprises--both big and small underlying technologies of the cloud
computing model—virtualisation.
This refers to the abstraction of physi-
cal IT resources from the people and
loud computing, as a ser- applications using them.
C vice offering, has been
gaining momentum in
India in the last couple of
years. While big players
such as Sun Microsystems, Google,
IBM, Amazon and Microsoft are in the
lead, many small private companies are
Virtualisation allows servers,
storage devices and other hardware to
be treated as a pool of resources rather
than discrete systems so that these
resources can be allocated on-demand.
Cloud computing brings a new level
of efficiency and economy to delivering
beginning to grab market share. IT resources on demand, and in the
The evolution of cloud computing process, it opens up new business
will create not only a dynamic IT models and market opportunities.
environment, but will also bolster user-
empowerment through the concept of Cost efficiency
IT as a Service. A wide range of cloud As organisations cope with a dynami-
computing platforms and applications cally changing business environment,
are emerging in the market, offering IT managers can look to cloud comput-
businesses an entirely new way to ing as a way to maintain a flexible and
deploy technology. scalable IT infrastructure that enables
business agility. The IT managers are
The architecture showing keen interest in investing time
Before delving deeper into the criteria “Cloud computing and understanding how the cloud will
for adoption of the cloud computing impact access control, network security
model by enterprises, it is important
brings in a new level of and other core network components.
to understand its architectural frame- efficiency and economy IT managers of many organisations are
work. While the majority of contempo- also eyeing the cloud computing ser-
rary Internet applications use three-tier
to delivering IT vices model to save money.
model as generic architecture, the use resources on demand” The principal findings of a research
of virtualisation in clouds has created a conducted recently among IT managers
new set of abstraction at higher levels— of SMEs to study the acceptance of cloud
applications, platforms and infrastruc- of the software runs on a provider’s computing by businesses has revealed
ture. These layers not only encapsulate infrastructure and serves multiple that IT managers are aggressively
on-demand resources but also define a clients. The middle layer, Platform as a deploying cloud computing initiatives
new application development model. Service or PaaS, offerings can provide to accomplish business objectives.
Within each layer of abstraction, there for every phase of software development As budgets for cloud computing
P HOTOG RA P H Y: AJAY C H AW L A
are myriad business opportunities for and testing, or they can be specialised increase, IT managers are examining
defining services that can be offered on around a particular area such as critical technologies for building the
a pay-per-use basis. content management. Infrastructure as infrastructure behind the cloud.
Software as a Service or SaaS a Service or IaaS lies at the lowest rung. So how does an individual, a business
occupies the highest layer and features This layer can deliver basic storage and or an IT manager take advantage of
a complete application offered as a computing capabilities as standardised the cloud computing trend? Cloud
service on-demand. Single instance services over the network. computing is not just about proliferation
12 IT NEXT | D E C 2 0 0 9 – J A N 2 0 1 0

15. OPINION
Companies have realised that by clinging to the
cloud they can access profitable business
applications and can drastically boost their
infrastructure resources, all at a negligible cost.
of IT stacks on a restricted handful clinging to the cloud they can access
of infrastructure providers. It is profitable business applications
also about an emerging ecosystem and can drastically boost their
of complementary services that infrastructure resources, all at a
provide computing resources such as negligible cost. This is forcing IT
applications on demand, distributed managers and CEOs of companies to
databases and virtual private data deploy the cloud computing model in
centres for the entire range of IT their organisations.
consumers. These services span the Keeping in view the array of
range of customer requirements advantages that cloud computing
from individual developers and has to offer, the number and quality
small startups to large enterprises. of public and commercially available
Not only the larger firms but cloud-based service offerings has
also small and medium enterprises been growing fast. Using the cloud
can leverage cloud computing to is often the best option for start-
save costs. ups, research projects, Web 2.0
developers, or niche players who
Boon for SMEs want a simple and low-cost way to
Cloud computing provides an alter- load and go.
native to investing in one’s own A recent finding by global financial
infrastructure and software. There- services firm Merrill Lynch suggests
fore, the ability to cloud-source an that cloud computing will expand
application instead of buying self- into a global market of $95 billion
hosted applications has seen a sig- over the next four years. Gartner has
nificant rise amongst SMEs. Cloud also named cloud computing, green
computing presents a powerful IT and social-computing platforms
opportunity to SMEs to use latest among technologies that are poised
technologies and services from to achieve broad enterprise adoption
the cloud which also helps them in the next two to five years.
save costs, as it is a pay-per-license This cloud is not one to be blown
model. It helps them to avoid buy- away in a hurry.
ing the entire hardware or the soft-
ware library. Besides heading NetEdge, the author is also
Companies have realised that by a registered Computer Consultant with ADB
D E C 2 0 0 9 – J A N 2 0 1 0 | IT NEXT

16. MONEY WISE
OPINION RATNAKAR NEMANI
CIO & Head—IT Projects Wing, VST
step would be to avoid use of multiple
packages with similar functionality.
Besides, as an IT manager you can also
explore options like e-learning to cut
The Penny route travel and accommodation costs for
the HR department. Web conferences
also benefit geographically distributed
to Pounds functional departments.
Pennies can also be saved by delaying
investment in new IT infrastructure,
like new PCs, by a year or more. The
n times like these, when the IT manager can think of alternatives
I world economy is struggling to
recover from a long economic
downturn and top line growth is
either marginal or just not pos-
sible, cost reduction becomes a favoured
means for a company to stay afloat. It
is in these times that every function
instead of going in for basic technology
upgrades. A simple example can be
virtualisation of desktops or adoption
of thin clients. This will not only offer
benefits in capital expenses (Capex)but
also reduce the operational expensees
(Opex) by ensuring less power
within the company needs to be an consumption and lower manpower
active participant in financial matters, requirement. Not to talk about enhanced
and the CIO needs to also look at things security levels and the satisfaction of
from the perspective of a ‘Cheap Innova- creating a greener IT environment.
tion Officer’.
One might wonder how the IT Benchmark yourself
function, which seldom accounts for Finally, all this exercise will be in vain,
more than single digit of the overall if you do not really benchmark your-
expenditure, really helps reduce costs.
But in these times, a penny saved is
“The CIO needs to self. What is the percentage of IT spend
vis-à-vis net turnover? Ensure that you
indeed a penny earned. In fact, the look at things from check this ratio every year, benchmarking
IT function can play the catalyst in
enterprise-wide productivity measures.
a Cheap Innovation with the best companies. I would advise
IT managers to look at ways and means
Let me share with you how I have Officer perspective” to turn the IT function into a profit cen-
done this at VST, one of the leading tre from a conventional cost centre. For
companies in the tobacco space. return on investment (ROI) that they instance, in case you have excess man-
fetched. Such evaluation always helps power, think of utilising their skills for
Be clear on ROI, TCO a firm plug any leakage in the process. outside projects instead of rendering
One of the primary functions of the IT For instance, on detailed examination them redundant. This will not only gener-
team is to work out the planned invest- we found out that Total Outsourcing ate revenue but also enhance employees’
ment for upcoming projects and keep of Services (TOS) well suited to VST trust in the company. Externally too, the
Total Cost of Operation (TCO) within needs since it offered twin benefits— firm can gain prestige and credibility.
reasonable limits. To accomplish this, contemporary technology and better The list can be endless. But
you need to align your IT needs with technical expertise. In fact, VST was earning better profits through cost
the company plan, as lack of business among the pioneers in the country to go in reduction should remain the eternal
can spell failure for projects. for long-term outsourcing in April 2004. mantra for IT professionals within
P HOTOG RA P H Y: S U RES H VA NGA PAL LY
Initiatives causing time inefficiency This pulled down our costs significantly. the organisation as they can lead the
and impacting strategic business should charge towards raising productivity
be identified and scrapped, even if they Re-examine current systems levels even as costs are cut. After all,
are already part of the projects portfolio. One of the important things that an IT pennies make pounds!
The first thing that I did after taking manager can do in these trying times
over as IT function head at VST was to is to re-valuate the existing infra- The author is a cost accountant by qualification
and an IT professional by choice. He is, cur-
identify the kind of investments that structure and try to pinch a penny rently, focussed on turning VST’s IT division into
were being made in IT and the precise here and a penny there. A simple first a profit centre
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18. COVER STORY | XXXXXXXXXXX
09 SURVEY
P HOTOG RA P H Y: JAYA N K N A RAYA NA N
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19. 09
7
XXXXXXXXXXXXX | COVER STORY
SURVEY
STEPS
TO THE TOP
SEAT
BASED ON AN EXTENSIVE SURVEY OF
IT MANAGERS, IT Next presents a handy
guide for technology managers who have
their hearts set on becoming a CIO
BY SHASHWAT DC / IMAGING ANIL T
P HOTOG RA P H Y: JAYA N K N A RAYA NA N
Peep into an anthill and you will realise what seamless order and perfection mean.
Our tiny insect cousins have engineered a complex organisational structure which,
though hierarchal, is highly efficient. At the very apex, sits the queen, the head of all
the domicile ants, and does little than preen and procreate. Below the empress, there
are scores and scores of worker ants which toil endlessly to ensure that her majesty
remains unperturbed and at ease.
D E C 2 0 0 9 – J A N 2 0 1 0 | IT NEXT 17

20. COVER STORY | 09 SURVEY
Were we to project this organisational case of Mr O who is the CIO of a large cabin, and moves in hallowed circles
structure on to a standard enterprise, pharmaceutical company and whose receiving awards and recognition with
more so on to the IT function of a typical lifestyle is the envy of many. More often amazing regularity.
enterprise, it will be fairly evident that than not, he is touring the country, or the So when does Mr O work? Well
the CIO is the queen of the IT-hill, globe, for work and conferences. He is honestly, he does not; he merely gets
waited upon by the rest of the managers courted by vendors, analysts, journalists the work done. Over the years, he has
and professionals. The IT head often has and others who are all ears for every word outsourced much of the infrastructure
little to do with IT these days; he frets that escapes his mouth. Even the CEO of management to external vendors. Now
and fumes over things like RoI, people the company pays attention whenever all he has is a small and well-knit team
management, business issues, et al. Mr O comes up with a new proposal or of managers and IT professionals who
For the sake of illustration, take the strategy. Mr O operates out of a spacious handle the day-to-day functioning of the
IT infrastructure and the data centre.
The anthill is not much different from
the IT-hill, is it?
“IT managers IT Next survey
While one cannot be sure if the worker
need to take ant within the anthill aspires to be the
up bigger queen, but IT managers certainly desire
challenges and “For an IT to become CIOs. This was evident when
we conducted a survey to ascertain
get out of their manager to what it takes to be a CIO. Our survey
comfort zone to succeed, it drew responses from nearly 250 IT
succeed” is essential managers around the country—repre-
senting a wide array of verticals, cities
—Dhiraj Sinha that he looks and profiles. To say that the response
Leader (Tech),
at bridging was overwhelming will be an under-
Dell Perot Systems
business statement. Nearly 200 IT managers
had completed the survey within two
versus IT gap” days, with more responses trickling in
—Jojo Jose
over the next few days. The dozen odd
GM (Systems),
questions in the survey were designed
GTN Group
to capture the ‘essentials’ of what it
P HOTO G RA P H Y: ( RI G H T ) SA N TO S H B H AS K A R
takes to be a CIO. Once, the verdict was
received from the IT managers’ end, the
same questions were posed to CIOs and
external consultants, and they were
asked to share their views.
Based on the findings from the two
surveys, we present the 7-step guide
to becoming a CIO. Though much
of this may seem fairly obvious and
commonsensical, do remember that it is
BE BUSINESS ‘DE-TECHNI- BE THE
SAVVY CALISE’ GAUNTLET GUY
7
You are already a tech Non-IT issues Be the first to
1 2 3
whiz kid, but so are need to be stake a claim to
the other IT manag- befriended. Get challenging as-
ers eyeing the CIO’s out of the techie signments. Even
slot. Better bone up mould and you if the project fails,
THE on the company’s business;
understand its nuances. Get
will discover a new world.
Learn more about HR, mar-
you will end up learning.
And, of course, the powers
STEPS
familiar with business con- keting, sales, production that be will learn about you
cepts like RoI, EBITDA and and issues that interest if the project succeeds. You
PAT to gain an edge over the other people. will be that much closer to
competition. the coveted cabin.
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21. COVER STORY
the small things that go to make a CIO.
And it is these traits and specialities
track of its financial standing, market
share, market scenario, competitors
09
SURVEY
that need to be imbibed and displayed and their strategies. Considering that
to earn the CIO cap. While the steps IT plays a very critical role, the CIO is
may seem fairly easy they demand a expected to don a business hat at all
complete change of mind set. junctures. And the IT manager, who
desires to take on the CIO role, needs to
Be business be at home wearing the business hat as
1ST savvy well. So, start practicing it right away.
STEP Over the past few years, “The CIO is an interface between
75%
the role of the CIO has business and technology. He is expected
undergone a 180 degree change. While, to have knowledge of both the worlds.
the CIO continues to remain the king It is very obvious that he can map the
(or the queen) of all things technical, technology to business processes and
his role has expanded to encompass all requirements easily because of his
functions in an organisation. Thus, a understanding of both,” says Ketan
CIO is no more chained to the data cen- Shah, Associate Director, Angel Broking. say Jack of All IT
tre or the IT department but is expected According to him, if a manager is Manager is most suited
to take on a bigger and more strategic aiming to become a CIO, then he has to become a CIO
role within the organisation. This is also to bring about a major change in his
because with rapid digitisation, IT and thought process. “An IT manager looks
technology are not just backend, but at the business from the technology
42%
front-end tools. perspective, while a CIO takes a
What this implies is that while a business view of technologies. This
CIO at a retail organisation may be change is possible only when an IT
concerned about implementing the best manager starts understanding the
inventory and warehousing system in business. Once an IT manager develops
his organisation, he also needs to look a better understanding of the business
at the Web and mobile as additional he can start mapping technology to want CEOs to mentor
fronts to reach the customer. Here, IT business, since technology is any way potential CIOs
can provide the organisation with a his forte,” Shah adds.
completely new revenue stream that did
not exist before. The CIO, in this case, ‘De-technicalise’
needs to be the change agent who ushers 2ND Read a Dilbert comic
in such a transformation—in a proactive
and not reactive manner.
STEP strip and you will
realise what the IT guys
47
S OU RC E: IT N EX T S UR VE Y 2 0 0 9
The IT manager too needs to think about the world, and in return,
inculcate this kind of business-
conscious approach. The first step is
to familiarise oneself with all business
concepts like RoI, EBITDA and PAT. It
what the world thinks about them.
Even today, despite the ubiquity of
computing lingo, it is hard for a layman
to have a conversation with a technical
%
feel 13+ years of ex-
is not enough to know just what your expert. It is not surprising, considering perience is neces-
company does, you also need to keep that techies are often considered geeks sary to become a CIO
BECOME BE A PEOPLE GET TURN INTO A
INNOVATIVE PERSON NETWORKED BE-ALL PERSON
Focus on the Managing people Increase your The CIO needs
4 5 6 7
needs and ways is infinitely more circle. Join to be a jack-of-all
of doing busi- difficult than man- online sites like trades. He has to
ness. Think out aging computers. LinkedIn, Face- manage different
of the box. Add Learn to inspire book, Orkut and tasks, different
value. Delight the cus- peers. Let them come to special community groups. people and different situ-
tomer and the boss. The you with their problems. Share experiences and ations, all the time. So, if
CIO’s seat will not seem Empathise and resolve their knowledge. The network your eyes are set on the
so distant. problems. They will love to will sustain you as you plum CIO assignment, get
follow you. work towards your goal. ready for all this and more.
D E C 2 0 0 9 – J A N 2 0 1 0 | IT NEXT 19