TECHNOLOGICAL INNOVATION AS INVESTMENT FOR THE FUTURE In Association with
TELEFÓNICA CENTRAL AMERICA
FOREFRONT TECHNOLOGY
at the of
Telefónica Central América´s CIO, José Jesús Hijón, talks about digital transformation and innovation at the company
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t is a proven fact that the future of communications will be closely linked to the development of technologies and digitalisation. Telefónica, leader in the telecommunications sector in Spain, Europe and Latin America, is performing an intense digital transformation process that will lead the company to offer better services to its customers and collaborators in a completely new way.
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“We live a new revolution – companies have to adapt to this new digital transformation of services and process automation” – José Jesus Hijón, Chief Information Officer, Telefónica Central America
TELEFÓNICA INAUGURATED ITS FIRST BIG DATA BUSINESS UNIT IN CENTRAL AMERICA IN APRIL 2018 LOCATED IN GUATEMALA
Business Chief Latin America had the pleasure of talking with José Jesus Hijón, current Chief Information Officer (CIO) for Telefónica Central America, about this transformational process and the challenges that await around the corner. Hijón, with more than 10 years of work for Telefónica in European and Latin American locations, has developed his professional career in various departments within the company. His work has reported great achievements to Telefónica such as the company’s technological implementation in Costa Rica in 2011 (where it operates under the name of Movistar). Currently, Hijón carries out his role as CIO from Guatemala, managing and leading Telefónica Central América’s immersion in the digital disruption. “Technology is the main axis of Telefónica, which revolves around the business. In the end, at Telefónica what you are trying to do is to be at the forefront of technology and almost all the products and services we sell are based or born of that technology,” begins Hijón.
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Customer Case Study
Telefonica Business Solutions Accelerates Multi-VNF Services by Deploying MANO in 12 weeks with NEC/Netcracker NaaS
Customer Profile
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Tier 1 global service provider. Headquartered in EMEA. Delivers managed communications services to 3,000 multinational enterprises worldwide.
Business Goals Drive a multiyear strategic transformation program to:
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Improve operational KPIs, including cost to serve, average service delivery times and service availability.
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Become a one-stop-shop for enterprises to drive new revenue growth.
The Services Virtual Network Firewall
Web Filtering
Threat Protection
App Control
In the highly competitive B2B market, enterprise customers want faster deployment times and on-demand services that are customizable. Telefonica Business Solutions began a multiyear strategic transformation program starting with cloud security services to meet these goals. It selected NEC/Netcracker’s Network-as-a-Service (NaaS) solution to drive its virtualization initiative in the business market.
Featured Benefits Deployed MANO solution in just 12 weeks through the use of DevOps and Agile methodologies, allowing the service provider to enter new markets and offer new services beyond security extremely quickly with best-of-breed VNFs. Reduced service management costs and improved customer experience by automating hybrid (physical and virtual) operations as well as using a digital marketplace for end customers and managing requests in near real time. Deployed a new industry solution for centralized, automated license management for VNFs and third-party services to reduce costs and simplify operations.
Project Requirements The service provider needed a virtualized solution that could quickly get its cloud security offering off the ground without disrupting its existing customer premises equipment or legacy BSS/OSS, while also enabling it to continuously add new value-added services. It needed the ability to manage and secure both physical and virtualized elements all the way to a self-service portal that enables customers to activate services in just a few clicks. The business case for this project was based on a long-term plan encompassing many network and value-added services. As such, it was important for the service provider to choose a VNF-agnostic vendor with a strong ecosystem of partners. The service provider also needed a practical solution to help manage multiple VNF licenses from different vendors, enabling best-of-breed options without the risk of vendor lock-in.
The Solution Telefonica Business solutions selected NEC/Netcracker’s NaaS solution, which offers a full-stack solution with pre-integrated VNFs, enabling the company to deploy virtualized services quickly. The full stack included NEC/Netcracker’s Network and Service Orchestration, Hybrid Resource Management, Service Management, VNF License Management, as well as Next-Gen BSS components, such as Self-Service Portal and Customer & Partner Management offerings, to enable automated order fulfillment. Two vendors were selected to provide security VNFs, both targeting different markets. Because NEC/Netcracker’s NaaS solution includes many pre-integrated VNFs from its Ecosystem 2.0 program, including those from the two security vendors, the VNF and service onboarding process was expedited. Service artifacts (e.g., VNF descriptors and network service descriptors) are stored in a reusable library, which enables the customer to rapidly activate new services in the future by leveraging existing software assets.
Customer Channel Management Technical Self-Service Portal
Customer & Partner Management Hybrid Service Management Service Catalog
Service Inventory
Service Orchestration
NFV Management & Orchestration
Hybrid Resource Management
VNF License Management
Configuration Management
Network Orchestration
VNF Management
Data Center & NFVI VIM OpenStack
VMware
Security VNFs
Value Added VNFs
The solution successfully automates the provisioning and activation of both virtualized and traditional networks to establish on-demand virtualized security services. It allows enterprise customers to access VNF settings directly from a self-service portal and quickly make operational changes such as provisioning new remote VPN users on an SSL gateway and establishing or modifying firewall and web-filtering policies. NEC/Netcracker also provided a new centralized license management tool to manage the distribution and usage of different licensing schemes.
Moving to Agile/DevOps Netcracker helped the service provider redesign its organizational processes in order to foster collaboration between its network and IT environments. Agile (Scrum) methodologies were implemented to meet aggressive timelines and ensure collaboration between cross-functional customer and Netcracker teams.
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100%
Weeks
User Stories
Tasks
Closed
About NEC/Netcracker NEC/Netcracker SDN/NFV Solutions is the joint initiative between NEC Corporation and Netcracker Technology to address the opportunities associated with software-defined networking (SDN) and network functions virtualization (NFV) for service providers of all sizes around the world. The combined NEC/Netcracker entity brings together the best of NEC’s network innovation with Netcracker’s IT leadership and telecom expertise to deliver comprehensive, end-to-end cloud and virtualization solutions in multidomain environments. www.netcracker.com © 2018 NetCracker Technology Corp. 95 Sawyer Road, Waltham, MA 02453 USA Tel. +1-781-419-3300 www.netcracker.com © 2018 NEC Corp. 7-1 Shiba 5-chome, Minato-ku, Tokyo 108-8001 JAPAN www.nec.com
IT IS A 100% LISTED COMPANY AND IN 2017 IT GENERATED €52BN IN REVENUEW
The company is building its digitisation process on four fundamental pillars: the virtualisation of technologies in the cloud, the Telefonica collaborator’s team, the digital experience of customers and the automation of internal work. The virtualisation of technologies in the Cloud The company created the UNIQUE Project in order to carry out a virtualisation of all its system and
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network platforms in its own hybrid cloud installation, integrated with Amazon Web Services and Azure. This allows greater availability and better use of infrastructure, important to meet online growth needs and incur lower costs As explained by Hijón: “Telefonica has chosen two of the big public cloud providers, Amazon Web Services and Microsoft Azure; they are strategic allies.” The two firms, together with
Telefónica integrará Netflix en sus plataformas / Telefónica meets Netflix
Telefonica’s WAN2CLOUD, accommodate the virtualised front and back end solutions for customers and internal users.
in constant motivation for attainment of goals and results”, says Hijón about the team of professionals that makes that carry out the changes.
Telefonica Central America’s team “It is the main resource to be able to address the digital transformation for our customers and company. “It is necessary to have the best, to train them at the highest level in the latest technologies and to have them
The digital experience of the client The goal of Telefónica Central America is that all its clients have a fully digital and self-managed experience in which they can manage their services without the need to go to a store or call a customer service centre.
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s
acc
tes
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t you free data from legacy systems to create new digital processes and experiences. Choosing the right solution for building, orchestrating, and managing them can make or break your digital transformation.
www.axway.com me . axway@grupocesa.com www.grupocesa.com
This goal is accompanied by many projects where the cornerstone is Fullstack, a system that allows to unify all the variety and complexities of current systems and operations in one, with different modules, generating the following improvements:
• Omnichannel, which allows the finalisation of the contracting of a service, even if it starts and ends through different channels. • Smartphones as sales and service channels. • Online customer self-management. • Ability to manage complex client hierarchies. • Exploitation and distribution of data between clients. • 360º customer view which allows comprehensive services. • Grouping with digital services (own or third parties). • Predictive marketing
Offering more insight, Hijón points out: “Around Fullstack, a strategy and a digital plan are generated with parameters that help us to measure what is the interaction of our clients towards us, by what channel and how they do it. “Surrounding Fullstack, a system map is implemented with big data, artificial intelligence (Novum), activation systems, social networks, ecommerce, etc.” The digitisation of internal work In order to optimise its performance and improve its services, Telefónica Central America not only focuses on its customers, but also on the management of its own workload as the fourth pillar of its digitalisation. In this sense, the process is similar to the digitalisation of the client’s experience but special attention is paid to how the internal work processes are carried out in order to be more efficient, friendlier to the environment and with safer and autonomous processes. Hijón notes: “We aim at zero paper use, a mobility plan and reordering of offices with open and collaborative
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THE COMPANY OPERATES IN 17 COUNTRIES AND HAS A PRESENCE IN 24, EMPLOYING 127,000 PROFESSIONALS spaces. For the security of our own and our client’s information, we are taking to our cloud the VDI (virtual desktop infrastructure) of our employees, in order to have control against computer attacks.” Harnessing big data technology, Telefónica has opened a new line of business in Central America analysing data for the management, process improvement and decision making of other companies.
The Luca and Aura projects Telefónica launched the Fourth Platform this year, a system that gives cognitive intelligence to its other three operating platforms (network, systems and products and services). Through big data, the platform unifies the data obtained in previous processes and exploits them using predictive models and artificial intelligence. The LUCA and AURA Projects,
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“Technology is the main axis of Telefónica, which revolves around the business” – José Jesus Hijón, Chief Information Officer, Telefónica Central America
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Telefonica IT Team
“It is necessary to have the best, to train them at the highest level in the latest technologies and to have them in constant motivation for attainment of goals and results” – José Jesus Hijón, Chief Information Officer, Telefónica Central America
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managed by Chema Alonso (Chief Data Officer of Telefónica), were born so that the data drawn in the fourth platform are useful and accessible to customers. Through AURA, customers will use the NOVUM application to meet their needs for services such as television, roaming packages and incident reporting. In the same way, LUCA empowers customers to manage their personal information in relation with platforms such as Google, WhatsApp or Telefónica itself, putting the company at the forefront in terms of data protection.
Challenges and opportunities in the future On the future of the industry, Hijón is blunt: “We live a new revolution – companies have to adapt to this new digital transformation of services and process automation. Within 10 years, three out of 10 jobs will be automated, so companies that are not involved in the transformation process will no longer be attractive to customers and will incur high production and management costs, ceasing to be competitive.” It is clear that Telefónica Central America is investing its passion and resources in taking advantage
‘TELEFONICA STARTED ITS OPERATIONS IN MADRID IN 1924 AS THE ONLY SPANISH STATE TELEPHONE COMPANY AT THAT TIME’ of the technological revolution to become more optimised and efficient, while offering the best service to its customers.
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