United Spirits Limited (USL), a part of UB Group, is the largest spirits company in the world by volume, selling 122.75 million cases for the fiscal ending March 21, 2011. The company has 22 millionaire brands (selling more than a million cases a year) in its portfolio and enjoys a strong 59% market share for its first line brands in India. The Company is known to be an innovator in the industry and has several firsts to its credit like the first pre-mixed gin, the first Tetra pack in the spirits industry in India, first single malt manufactured in Asia and the first diet versions of whisky and vodka in India.
United Spirits maximizes IT infrastructure utilization with Netmagic Solutions
A highly volatile market environment and a sudden escalation in value of dollar against the Indian Rupee led to tight economic conditions, calling for critical monitoring and evaluation of existing IT infrastructure at United Spirits and UB Global Corporation, another UB Group company. With the objective of maximizing their asset utilization, United Spirits and UB Global decided to look for a managed IT hosting service provider who could help them realize high value from their existing IT assets and optimize their performance in this changing market. Were they able to achieve this objective?
United Spirits (a part of the UB Group) wanted to maximize its IT infrastructure utilization in the wake of the prevailing tough economic and market conditions. Responding to the changing market environment and staying competitive required United Spirits to have a scalable, dynamic, on-demand and a highly available IT infrastructure. To achieve this, they decided to partner with a managed IT hosting service provider.
- DC & Managed Hosting – Bandwidth, Dedicated Server, Load Balancer, Firewall, Backup,Colocation Service, Leased Line, Power
- Infrastructure Management Services (IMS) – InfraManage
- PetaVault - Advanced data backup and recovery service
- Cloud Computing – SimpliCloud
"We found a willingness and an inclination to meet our specific requirements in Netmagic’s team. We are very impressed with the technical support that has been provided to us. It is a win-win situation for both stakeholders," T. K. Subramaniam, CIO & IT Advisor, United Spirits
United Spirits Division realized the following key benefits:
- A dynamic, on-demand, scalable, and a highly available IT enabled United Spirits to maximize its IT infrastructure utilization, reduce associated costs and increase efficiency
- 99.99% uptime SLA guaranteed uninterrupted access to applications and respond to market changes much faster
- Round the clock support, maintenance and technical expertise ensures faster turnaround times (TAT) and improved performance levels
- Scalable and flexible IT infrastructure supports future growth and expansion plans and respond to market changes faster
Having established itself as India’s leading market shareholder in the beverage alcohol industry, United Spirits division wanted to further enhance its presence in the changing market scenario. Partnering with the expert team at Netmagic Solutions, the United Spirits division worked on strategically reassessing its asset management practices, especially with respect to costs incurred and output achieved.
T. K. Subramaniam, CIO & IT Advisor, United Spirits, "The connectivity of a knowledge worker has increased substantially with the prevalent concept of BYOD. A depreciating rupee vis-à-vis dollar brought with it a set of complications. Liquidity became tight, interest rates escalated. In the wake of such tight economic conditions, our immediate priority was to increase our asset utilization. In our business there is a constant demand for development of new applications and scalability of existing ones. Some applications become redundant after a short while, and the investment in the supporting hardware becomes a negative asset. Alternatively, there are many applications that are required intermittently and investing in hardware for them is not always feasible."
"Moreover, in a rapidly changing business environment, we need to respond to market changes much faster to stay competitive. In order to achieve this, we needed certain applications to go up immediately. Scalability is a factor. There are some applications that need to be scaled up on-demand in order to respond to market demands. Hence, we needed a flexible and dynamic IT infrastructure that could help us reach the market much faster and differentiate us from competition."
To cope with the demands of a highly dynamic market, it was essential for United Spirits to be able to roll out applications on-demand. Though, United Spirits was able to develop these applications when required but they had to wait for several weeks for the supporting hardware that could host these applications. They needed an agile managed IT hosting service provider like Netmagic who could meet their requirements for a scalable, dynamic and a highly available IT infrastructure and provision it on-demand.
Mr. T. K. Subramaniam, "In Netmagic, we found a reliable hosting service provider who could provide us with an on-demand scalable IT infrastructure for enabling timely launch of our applications to support our growth. For United Spirits (USL), we have hosted our three servers running on Windows primarily for our secondary sales for western and eastern regions and some niche marketing applications with Netmagic. We have 2 Linux applications, 3 Windows applications. In addition, for UB Global, we run the entire operations on SAP B1 on servers hosted with Netmagic."
He further adds, "One of the critical marketing applications for USL was earlier hosted through a third party with a leading global managed hosting service provider. Since, we already had a relationship with Netmagic we decided to shift the same to Netmagic as well. We were very impressed and satisfied with the flexibility Netmagic provided, be it configuring our IT environment or support. This flexibility is a key differentiator that sets them apart from other service providers. We also found in them, a strong technical team with a thorough understanding of the various Operating Systems (OS) be it Citrix, Linux or PHP. Moreover, the 99.99% uptime SLA and the guarantee that our data will be restored in 2 hours in case of any unexpected incident made us choose Netmagic."
The collaborative approach of the Netmagic team and an inclination to exceed the customer’s expectations is a key trait that Mr. Subramanian found in Netmagic’s approach. "We found a positive attitude and an inclination to meet our specific requirements in Netmagic’s team. We are very impressed with the technical support that has been provided to us. It is a win-win situation for both stakeholders."
United Spirits and UB Global (Both UB Group companies) have been able to maximize their asset utilization by partnering with Netmagic Solutions. Netmagic’s ability to deliver a scalable and a highly available IT infrastructure to support USL and UBG growth plans has been a great advantage.
The company is also availing Netmagic’s Disaster Recovery (DR) services for data backup and replication for its distribution and supply chain management division.
T. K. Subramaniam, CIO & IT Advisor, United Spirits, "We are able to respond to market changes much faster. If I have to provision a server for a certain business application to go up immediately, I can do so within an hour. Similarly, I am able to scale down my infrastructure when required. I do not have to worry about buying additional hardware/infrastructure for supporting my business requirements. Netmagic is able to do all this for us besides providing us round the clock technical support. Our experience with Netmagic has been very encouraging and we see a passion in them to help the customer and that is what matters."