Evolution of Corporate Communications Hosted UC Solution

The Evolution of Corporate Communications
Hosted Unified Communications Solution

Eve Aretakis
Executive Vice President Product & Development
Siemens Enterprise Communications

June, 2009

Copyright © Siemens Enterprise Communications GmbH & Co. KG 2008.Co. rights reserved.
Copyright © Siemens Enterprise Communications GmbH & All KG 2009. All rights reserved.
Page 1 Siemens Enterprise Communications GmbH & Co. KG is a& Co. KG is Licensee of Siemens AG Siemens AG
Siemens Enterprise Communications GmbH Trademark a Trademark Licensee of

Siemens Enterprise
Communications Group

Copyright © Siemens Enterprise Communications GmbH & Co. KG 2008. All rights reserved.
Page 2 Siemens Enterprise Communications GmbH & Co. KG is a Trademark Licensee of Siemens AG

Siemens Enterprise Communications –
Leading unified communications solutions company

Comprehensive portfolio:

Software, secure network components,
end-user devices
ICT consulting, system integration support,
services
2008, OpenScape UC

Performance data:

160 years of experience in telecommunications
State-of-the-art technology in UC
70% of all Global 500 companies use our solutions and services
2.5 million connections and workpoints within Managed Service contracts
42 million connections and workpoints overall

1846, Werner von Siemens


Market Positions
Leading global player in enterprise communications

6.2 Million
Voice Lines
Installed

North 77%
America 12%

# 1 in Europe
(17%)
Latin 3% Asia Pacific
America 8%
Europe / Middle East / Africa
# 1 in Latin # 1 in India (16%),
America (18%) Leading position in China (7%),
Indonesia (19%), Vietnam (23%)

% SEN Revenue split # Market Position / share 2007,
FY 2007 based on installations Lines >10

The Evolution of
Corporate
Communications


Gartner Group 2007:
Communication-Enabled Business Processes (CEBP)

The transition to communication-enabled business processes (CEBP) will entail an accordant change in the
IT organization.
Technology

Voice Voice
Organization

Voice
Apps Network Voice + Apps
Network Org. Network Org. Org. Org.
Data Org.

Data Data Data

• Separate data / voice • Unification of voice and • Primarily focused on • Business application and
networks data amalgamating tradition-al process integration
• Dedicated voice devices • Mainly a replacement with means of commun-ication • Significant process
limited feature / function (e.g., confer-encing, improvements anticipated
enhancements messaging)


The Technological Transformation in the
communications universe

TDM VoIP UC CEBP
(Hicom) (HiPath) (OpenScape) (OpenScape)
Service OpenScape
Provider Voice / UC
IP
IP SIP

IP IP

SMB LME

Proprietary hardware Proprietary hardware Open standards Integration into
& software & software hardware & software business processes
Telecommunications Converged IP SIP networks IT applications
networks networks SIP networks

Premises-based Data center-based
Hosted
Cloud
TCO


SEN drives Market Change and helps Customers
on their Transition into the World of UC
Market changes demand new solutions and service delivery

Data Equipment Vendors Service Providers

Line Units/licenses System
Integrators

100%
Pure IP PBX CEBP
“Traditional” Enterprise
Telephony Vendors UC Software
Vendors

OpenPath
TDM Converged
PBX PBX Open Source
Software

2005 2010 2015


Business Issues –
Recurring themes that drive investment decisions today

Improve operational
Acquire new customers utilization
Reduce
Retain and grow Grow Reduce direct
existing customers Operating operational costs
Revenue
Innovation Costs Reduce supplier
costs

Leverage existing Improve manage-
assets ment effectiveness
Consolidate or replace Asset Corporate Compliance /
assets Efficiency Excellence risk management
Improve capital Business process
utilization efficiency


Siemens Enterprise Communications –
Translating business issues into solutions

Voice

Reduce
Grow
Operating Unified Communications
Revenue
Costs

Contact Centers

Asset Corporate Networks
Efficiency Excellence

Services


Unified Communications solutions

OpenScape Unified Communications
Server and Suite:
Voice
OpenScape Voice
OpenScape UC Application:
Video Messaging
Unified
OpenScape Enterprise
Communications
OpenScape Xpressions
OpenScape Contact Center
Collabo- Mobility
ration OpenScape Mobility
OpenScape Video


OpenScape Unified Communications Server

Solution Description Solution Illustration
SIP-based software platform located in the
data center
Centrally delivers key management and control
functions of OpenScape UC Suite allowing new
deployment models OpenSOA

Enterprise premise based data center
Service provider hosted
Cloud computing proof-of-concept OpenScape
OpenScape OpenScape OpenScape OpenScape OpenScape Contact
Voice Video Messaging UC Application Mobility Center
Easy deployment and management of enterprise-
wide communications-related applications OpenScape UC Server

Lowers TCO through global licensing, centralized SIP Session
Control
Aggregated
Presence
QoS
Management
Session Detail
Reporting
Administration
& Licensing
Availability
Management

support staff and associated infrastructure
Protects investment through open interoperability
Any client, every IP, IT or telefony infrastructure
with any IT and telephony infrastructure
Deliver open unified communications
environment and CEBP applications


OpenScape UC Server White Paper - U.S.A.
Financial Results Audited by Mainstay Partners LLC

Table 2
Table 2
Phased installation from OpenScape UC Server Investment: End-User Services and
OpenScape UC Server Investment: End-User Services and
October 2007 through July 2008 Support Savings
Support Savings
Cost Category 5 Year Savings
19 commercial office sites served by Cost Category 5 Year Savings
Officevoice and data network charges
Office voice and data network charges US $7.5 million
US $7.5 million
one consolidated datacenter Teleconferencing
Teleconferencing US $2.7 million
US $2.7 million
> 2,500 licenses Facilities operations (More teleworkers)
Facilities operations (More teleworkers) US $2.5 million
US $2.5 million
> 325 teleworkers Teleworker voice charges
Teleworker voice charges US $2.0 million
US $2.0 million
SIP Move, Add, Change (MAC) management
Move, Add, Change (MAC) management US $1.3 million
$5.7M investment Phone costs ("soft")
Phone costs ("soft") US $0.1 million
Total
Total US $16.1 million
US $16.1 million

Table 3 Table 1
OpenScape UC Server Investment: Infrastructure OpenScape Financial Summary (5 Year Analysis)
Consolidation Savings
P&L Impact US$18.7 M
Cost Category 5 Year Savings
Avoided PBX upgrade and related facilities costs US$309,000 Productivity Impact US$16.8M
Lower IT costs related to software upgrades and US$40,000
Payback Period 24 Months
patches
Energy costs US$165,000 ROI 145%
System expansion costs US$2,088,000
IRR 57%
Total US$2,602,000


Strong business case for
software based voice communications

Software-based Voice Communications TCO
25,000 person enterprise
~ 200 locations

IP-PBX Data-Center Based
Communications

100% 95%
TCO 84% 79%
TCO
TCO TCO

Premise- Managed Premise- Managed
based Service based Service

BCR Magazine: “IP Telephony Migration and TCO”.


The Solution
Hosted Services – Communication as a Service

New enterprise communication
model
Service Provider
Software-based VoIP and UC
technology model
OpenScape
Voice / UC Premise, hosted and cloud
deployment options
Better acquisition choices
Data center solution with
maximum security
Full operation including
IP IP
updates and upgrades

SMB Customer Enterprise Customer


The Solution
Hosted Services – Benefits

Limit capital investments
Reduce complexity and expenses
SMB
Seamless growth
Advanced applications like UC

Massive scalability and extensibility
Limits capital investments
Reduced complexity and cost
LE
Advanced applications like UC
Enterprise data center based and new hosted and
cloud options

Siemens Enterprise Communications
Strategic Messaging Summary

Our We are a leading global provider of unified communications software, networks, devices
Company: and services, which we base on our Open Communications approach

Our Voice
Unified
Contact Centers Networks Services
Solutions: Communications

Solution
Open, Secure, Mobile and Green
Attributes:

Our
OpenPath
Promise:

Customer Grow Reduce Asset Corporate
Value: Revenue Operating Costs Efficiency Excellence


Key takeaways

Summary

Easiest, most affordable, flexible way
to introduce full UC into any existing
telephony or IT environment
Low TCO and hard savings
Voice
Easily integrates and leverages
investment on existing network
Video
Drives collaboration between a highly mobile Unified Messaging
and dispersed workforce through advanced UC Communications
and FMC capabilities
Deep integration into IBM Lotus/SameTime,
Collabo- Mobility
Microsoft and other desktop collaboration ration
environments
OpenSOA development platform for CEBP
(communication embedded business processes)


The proof

For whom have we done it?

What was the impact?
“We've successfully held 30-person video conference calls and we recovered our costs within a six
month period.”

Sergio Richettl, CIO for Pepsico de Argentina

“Using OpenScape to increase the speed of internal decision making will add enormous value to Newcastle Hospitals’
transplantation system. We run a specialist transplantation unit that requires us to react as quickly as possible when organs
become available. The ability for us to assemble teams containing the appropriate expertise is crucial in ensuring the
delivery of successful operations.”

Paul Brewis, Operational Services Manager, Newcastle upon Tyne Hospitals NHS Foundation Trust


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Evolution of Corporate Communications Hosted UC Solution

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