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Home > THE DQCI SILVER CLUB 2006
 

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Godrej Case Study

Ramco Systems: Building its services business
 

 

 
Saturday, September 23, 2006

 

Last year, the company invested significantly on building infrastructures such as NOC, SOC and CSC

It was a year of investments for Ramco Systems' Secure Converged Networking (SCN) division. In 2005-06, the company invested significantly on building infrastructures such as Network Operating Center (NOC), Security Operating Center (SOC) and Customer Service Center (CSC), to strengthen its services business. It wants to increase its service pie in the total revenue, to have better margins, good mindshare and retention of customers. However, the company registered only a very modest growth of seven percent in the last fiscal, to reach a turnover of Rs 73 crore. In the previous year, the company's overall revenue stood at Rs 68 crore.

Though it grew only by single-digit, the company claims growth came from all departments like networking, info-security and services. Storage is the other area worth mentioning here as the company saw some traction in the last year. It tried to leverage on its relationship with Intransa for IP SAN solutions, as the market for IP-based storage solution is booming. But, overall, the major investment and focus was on security and services in business.

20

 

CEO: S Parameswar
Highlights

Highlights

  • Registered only a modest growth because of significant investments in services

  • Strengthened its security products portfolio with a host of tie-ups

  • Betting big on services to protect its margins in business

In services, the company focuses mainly on three broad areas such as life-cycle services (includes turnkey projects/implementation and maintenance support), managed services (such as IMS) and professional services like facility management services.

On the security front, the company graduated into an end-to-end solution provider covering from basic perimeter security to high-end application-level security. With mobility coming into business, the distant users and extended enterprises are becoming a possibility now, Ramco wanted to play high on the security space by tying up with a host of brands. It signed Utimaco to provide security solutions for mobile environment and Big Fix for real-time visibility and control of servers, desktops and laptops. AirMagnet is also a new association to cater to the wireless security space and eIQ is for centralized management of enterprise security.

As usual, Nortel was the biggest contributor (with over 65 percent) in company's turnover over the last year and few other brands figured in the list include CheckPoint, ISS, Fortinet, RSA Security and Nokia, among others.

This year, the company wants to grow its managed services business both in domestic and international markets. Overall, it is targeting a growth of 30 percent in business.

The company will expand its reach mainly to provide services through remote management.

l CEO: S parameswar l start-up year: 1989 l EMPLOYEES: 230 l BRANDS: Nortel, Juniper, CheckPoint, ISS, Fortinet, RSA, Nokia l ADDRESS: # 96, Prince Kushal Towers, Third Floor, Anna Salai, Chennai – 600002 l TEL: 044-42273900-04 l Website: www.ramco.com

SILVER CLUB RANK (2004-05): 14

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