MTNL Mumbai

Introduction
• • Overview Company Profile

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MTNL Mumbai

Overview
MTNL was established in 1986 by the Government of India, which holds a 56.25 per cent stake in the company. MTNL is a major Cellular network services provider with its presence in New Delhi and Mumbai. The operator started its operations Delhi and Mumbai. MTNL offers a complete range of telecommunication services including dial-up, broadband, home and mobile telephony, ISDN and leased line services. It is one of the various leading public sector units of the country providing telecommunication services to ground line as well as GSM mobile users. MTNL has restructured Millennium Telecom Ltd. (MTL) as a Joint Venture company of MTNL and BSNL with 51% and 49% equity participation respectively.MTNL along with BSNL has provided the basic telecommunication structure to the country and provides the widest coverage area which covers almost every region of the country. MTNL serves a capacity of over 100,000 strong subscribers in each of the two metro cities of Delhi and Mumbai under the brand name dolphin. It has also launched its prepaid service under the brand name “TRUMP’ simultaneously in Mumbai and Delhi on 14.1.2002 and has already achieved a landmark of more than 14, 00,000 GSM mobile connections in the two metropolis. The service was launched on Feb. 7, 2001 in Delhi and on Feb. 27, 2001 in Mumbai.

Company Profile
MTNL is one of the various leading public sector units of the country providing telecommunication services to ground line as well as GSM mobile users. The MTNL’s cellular network supports Intelligent Network Services such as prepaid, auto roaming including national as well as international, free phone, premium rate service etc. to meet growing demand. It provides various services such as VPN, multicasting, video conferencing, VOD and broadcast applications. MTNL has been licensed to operate cellular services in the National Capital Region (NCR) of Delhi including its four satellite towns of Ghaziabad, NOIDA, Faridabad & Gurgaon. MTNL aims at being the market leader in providing world class Telecommunication and IT related services at affordable prices with its state-of-the-art cellular network at a very low cost. It has brought the world class cellular mobile with new services / phone plus facilities connectivity within everybody’s reach. Moreover to keep pace with technological developments & ever growing demand, MTNL has initiated process for procurement of network infrastructure for 4 million 2G/3G GSM / WCDMA lines. It has made well planned efforts for venturing into different other areas like providing digital signatures in India and abroad on the strength of our core competency.

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MTNL Mumbai

Nowadays it has become the necessity for every organization to be equipped with good IT support for the implementation of any effective business strategies. A business has to coordinate on entire supply chain process and corresponding information flow which are the key role players that helps in giving a competitive edge to the organizations over its competitors by means of achieving greater efficiencies in terms of proper resource management. MTNL being a service organization is reaching out to its customers with a customer-focused strategy for better information about customer profiles in order to understand the needs of its customers and designing solutions accordingly.
Two challenges to managing telecom expenses are lack of automation and inventory accuracy. Inventory accuracy as one of their top challenges with other issues that were identified (lack of resources, decentralized receipt of billing, lack of expertise, and decentralized procurement) all relate to the challenges in managing assets. Telecom expense management can take many

forms and encompass many departments. In essence, it is the act of combining the technical knowledge of various telecommunications services with finance or accounting background to maintain control over a company’s inventory and costs. It includes any measure that seeks to either reduce costs or increase efficiency for telecom services. MTNL has recognized that IT is the key to future business success and has implemented IT as the backbone for running customer friendly services. The various different IT systems implemented by MTNL for the sake of providing and managing its telecommunication and IT services in a better fashion are as follows: 1. 2. 3. 4. 5. 6. 7. 8. IMS (Inventory Management System) CSMS (Customer Services Management System) FRS (Fault Repair Service) DQ (Directory Enquiry) FMS (Financial Management System) IVRS (Interactive Voice Response System) and Accounting and billing systems MTNL is also a Digital Signature Certification Authority.

The projects for Data warehousing, call centers, m-commerce, e-procurement, billing mediation, telecom software development, consultancy projects are also in the pipeline for implementation in near future. After the Indian Information Technology Act provides legal recognition for transactions carried out by means of electronic data interchange and other means of electronic communication or e-commerce which requires alternative ways of filling forms and documents on paper, this requires a means to ensure non-repudiation of data and senders identity and for this purpose digital signatures are being used.

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MTNL Mumbai

Objective
• Overview of IMS • Purpose of migration

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MTNL Mumbai

Overview of IMS
In the MTNL Purchasing, Project Managing, Accounting, Finance, and Warehouse groups are all segregated both departmentally and geographically. The Non-Recurring Bill Process is decentralized and there are many people who can be involved for each individual invoice. Contract Rates, contractual discounts, the ordering and disconnecting of service and a variety of other components of an invoice can sometimes take days to dig through and weeks to research in order to ensure that the charges are accurate. Since the centralized system is required which include following solutions? • Invoice processing - Invoices with valid purchase orders are processed. • Vendor management - follow-up with vendors for missing invoices, payment questions, credit issues, etc • Payables management – involved in the full cycle of the process, from the time a request is made until the time a check is sent. Checks are cut, stopped and re-issued as needed. All vendor-aging is managed and expenses are minimized. • Auditing and Exception resolution - all receiving is done in a timely manner, all purchase orders have sufficient funds, all charges are appropriate, and all vouchers directly reflect invoices. • Order generation: System generated order no is created by project estimate (PE) department for each work. • Work order: For each order no. item-wise estimate is prepared by detailed estimate (DE) department by giving work order no. • Store management: Stores department links with PE & installation unit as system generated get-pass created for each drawing • Reporting – The completion report contain detail of project executed which gives to PE & Finance department. Since IMS integrate various function of organization viz. unique order no, purchase order of material, material drawing, budgetary control, placing purchase order, payment of vendor, Standardized program for all the units developed to fulfill the needs of MTNL’s various financial functions. Unique order no. generation for a project work by IMS as project estimate (PE) prepared against order no formed by the system. This PE is forwarded to installation unit for further processing as detailed estimate (DE) is prepared for given order no. The main difference between DE & PE is PE provide lum-sum cost of a work & all the main head in the project whereas DE is detailed item-wise list prepared. Given work order is issued to installation unit this leads to drawing the material from stores with system generated get pass having unique id no. As given order is executed

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MTNL Mumbai

followed by report generation & it forwarded to finance department along with project planning department to check the status of a project. The following diagram depicts the concept of IMS.

P.E. (Order generation)

Purchase order

Finance Department

D.E. (Work Order)

Payment to Vendor Requisition

Stores

Material drawn

Get pass
Installation unit

Work

execution

Completion report

Finance Department

P.E. Department

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MTNL Mumbai

Purpose of Migration
The purpose of this project is to make profitability scenario by studying the migration of the IMS (Inventory Management System) Server from current Oracle 9i server ( hardware and software ) to Oracle 10g and Cost analysis of this migration, thus saving the hosting fees and improving reliability and response time to technical problems. Oracle Database 10g is the latest release of Oracle database software which contains a number of new features and functionalities designed to make businesses more productive. As the manageability improvement from Oracle9i to Oracle 10g and will attempt to establish a quantitative measure for the manageability differential between the two releases. Oracle Database 10g, released in 2003 and the current release, enables grid (the g in 10g) computing. A grid is simply a pool of computers that provides needed resources for applications on an as-needed basis. The goal is to provide computing resources that transparently scale to the user community, much as an electrical utility company can deliver power to meet peak demand by accessing energy from other power providers' plants via a power grid. Oracle Database 10g further reduces the time, cost, and complexity of database management through the introduction of self-managing features such as the Automated Database Diagnostic Monitor, Automated Shared Memory Tuning, Automated Storage Management, and Automated Disk Based Backup and Recovery. One important key to Oracle Database 10g's usefulness in grid computing is the ability to provision CPUs and data. Oracle 10g represents a giant step forward from Oracle9i in making the database easier to use and manage. The key factors behind Oracle 10g’s superior manageability are its new intelligent self-managing infrastructure that provides proactive, selfmonitoring and diagnostic capabilities, and the increased automation of many manual but vital DBA tasks such as SQL and memory tuning, space management, and performance diagnostics. Oracle 10g is the first truly self-managing database that is intelligent, automatic, adaptive, and proactive. The study clearly demonstrates and quantifies the manageability advances made by Oracle Database 10g. Oracle Database 10g reduces the DBA management workload by more than half and the management complexity by the same factor relative to Oracle9i. This translates into more productive DBA’s, more reliable systems, and significant cost savings for businesses
Oracle Database 10 g is the first designed for grid computing, reducing IT costs by automating management and clustering servers to dynamically allocate resources. It is

proposed to study the migration of database from Oracle 9i to 10g or above version, as it is found that 10g is superior by 9i by way of various factors.

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MTNL Mumbai

Here are some key features how organization can benefit from upgrading to Oracle Database 10g Grid Economies of Scale: Oracle Database 10g and Real Application Clusters enable virtualization of servers and storage on fast, reliable, low cost computing grids. It can easily consolidate database applications into fully redundant grids that deliver a higher service quality for your users, at a lower cost of ownership. Efficient Storage Utilization: Oracle Advanced Compression can reduce disk storage requirements by at least a factor of 2-4xs. You don't have to change your applications, and you can continue to store more and more data, keep it online longer, and query that data faster using your existing storage environment. Maximize Availability: Reduce your cost of downtime with Oracle Database 10g's maximum availability architecture. It addresses all common causes of unforeseen failures and unplanned downtime using core components of your database; eliminating dependency on idle redundancy and 3rd party products. Self-Managing Database: Oracle Database 10g, along with Oracle Enterprise Manager Grid Control has the built in automation and advisors that eliminate complexity from day to day operations in the data center; and help you sustain mission-critical service levels, while reducing IT costs.

The various study showed that Oracle 10g made tremendous gains in manageability. The main findings of those studies are summarized below: 1) Oracle 10g database administrators require 50% less time than Oracle9i to perform the basic management tasks included in this study. 2) Oracle 10g needed 57% fewer administrative steps than Oracle9i to complete the same DBA workload. As the results show, compared to Oracle9i, Oracle Database 10g reduces management complexity by half and therefore, makes the administrators twice as productive. This has huge cost savings implications for businesses, not only due to greater DBA productivity, but also due to the fact that increased automation in Oracle Database 10g reduces the chances of human errors leading to higher system availability and lower training and management costs. The study clearly demonstrates the huge leap taken by Oracle 10g over Oracle9i in the area of manageability. DBA’s can significantly lower their workload and improve the availability and reliability of their system by simply adopting Oracle 10g. With Oracle 10g, businesses can expect to lower the cost of management and improve quality of service for their users. .

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MTNL Mumbai

Design Specification
• • • • System overview System architecture Schematic diagram S/W , H/W

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MTNL Mumbai

System Overview
The total network of the consumer services management system which now came under the inventory management system (IMS) can be seemed as two separate levels, the first level comprising of all the connections between the terminals of the network and the routers and the second level comprise of the connection between different routers and the servers. The first level has a point to point configuration while the second level has a multipoint configuration, basically the unit does not have either to support internet connectivity so as to consider the aspect of bandwidth division on using a common physical connection nor the data levels are that high that the transmission speed could get effected and hence there are no issues with using a multipoint configuration in second level. There are no bridges as routers do the function of bridging the network as well. The infrastructure has two centralized IMS servers located at City centre which are dedicated to the unit which are permanently assigned to the terminals, the servers are IBM P-series servers at its core to which are all the terminals connected through there respective routers. There are two centralized routers directly connected to the centralized servers which are CISCO 7200 series. In addition to this in all there are thirteen area routers of make CISCO 3600 series which are placed at different major access points.

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MTNL Mumbai

System Architecture
Schematic diagram of IMS system:

The basic network architecture of IMS comprises of o The Layer - 1 Core network constitutes the high speed Backbone (STM-16). The Layer - 1 node consists of high end fully redundant Core routers, and shall be interfaced to Edge routers through Gigabit Ethernet interfaces. o The Layer - 2 Edge network is the second layer of the IP backbone network and primarily supports MPLS edge functionality. The function of this layer shall enforce QoS and other administrative policies. This layer provides user access through following three mechanisms, i. Dialup ii. Dedicated Access iii. Broadband access. The LAN comprises of the terminals connected through an unshielded twisted pair wire supporting a 100base-T type of Ethernet with maximum speed of 100Mbps through use of CAT 5 cables which were installed a few years back and have not been changed since then. The speeds obtained are said to be appropriate for the proper functioning of the unit and hence any change in the existing cabling to shift to CAT 5e has been ruled out.

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MTNL Mumbai

The unit uses a SAN (Serial Access Network) storage which is supported by the IBM servers used in the network. It consists of data storage facility using data tapes which also provides backup facility and the data storage frequency is on weekly basis. Interface converters are also used for making the interfaces between central router and area router compatible to each other. This interface is useful in integrate four department with IMS system (Material Management, Project Estimate, Finance & Account, Installation Unit) converters used in MTNL were Paton K modem and Paton C modem are for proper interface of area routers with central router.

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MTNL Mumbai

H/W & S/W
Hardware Used:
Components 2 centralized servers Storage server 2 Centralized routers Area routers Interface converters Type IBM P-570 series IBM Fiber based FASt T700 CISCO 7200 series CISCO 3600 series Paton K modem Paton C modem Switches ( 2 nos) Cables Connector Protocol converter Others IBM SAN F08 CAT 5 RJ 45 Dlink modem IBM Fiber based FASt T700 Expansion unit (8 HDD) Source: Mr. Siddhartha Gautam

Interface used:
Component Cisco 7200 series router Cisco 3600 series router OFC media Source: Mr. Siddhartha Gautam Interface G.307 interface V.35 interface G.703 interface

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MTNL Mumbai

Data Storage:
Various Applications servers placed at different messaging storage locations like LDAP, messaging, UMS & Billing etc. would require data storage capacities for storing user’s mailboxes, billing data etc. Such huge storage requirements need to be met with the fast, reliable & scalable storage devices that would be deployed as end to end high performance switched architecture fiber channel SAN (Storage Area Networks) providing no single point of failure. SAN storage used is compatible to the IBM P series servers used as centralized servers.

Software used:
1. O.S AIX5.3 2. HACMP5.2 for clustering 3. Oracle 9i version 2 4. Storage Manager Runtime software 5. Storage manager Client software 6. C Compiler 7. Cobol

The unit has two web based applications built on J2EE technology and is run over LAN. The software’s used also comprise of Oracle 10g database which is used for data storage and querying while the unit uses a Oracle 9i application server which is in the conversion process to use an Oracle 10g application server. MTNL has also approved the development of ERP software to enhance the operations and the process of development of Oracle Financial which is an ERP package has already started.

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MTNL Mumbai

Requirement Analysis
• Purpose • Scope • Specific requirement

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MTNL Mumbai

Purpose
As database of IMS is migrate from its current version Oracle 9.2.0.8 to the latest release oracle 10g. This document gives the software & Hardware requirement specifications for the completion of migration process. An Oracle database upgrade is often considered as a risky task by database IT people. Upgrade tests have to be run, all applications have to be verified and validated in the new database environment and performance at the same level or better has to be ensured and achieved. Such a specification is necessary because it represents the requirements of the software & hardware in a manner that leads to successful implementation of the same. These specifications are useful for the software engineers during the migration plan and testing phases of the system. The overall results were truly amazing. Besides achieving faster performance with Oracle Database 11g compared to Oracle 9i, there were no application changes necessary – and the whole upgrade project required far fewer working hours and resources compared to previous database upgrades Oracle Database 10g, released in 2003 and the current release, enables grid (the g in 10g) computing. A grid is simply a pool of computers that provides needed resources for applications on an as-needed basis. The goal is to provide computing resources that transparently scale to the user community, much as an electrical utility company can deliver power to meet peak demand by accessing energy from other power providers' plants via a power grid. Oracle Database 10g further reduces the time, cost, and complexity of database management through the introduction of self-managing features such as the Automated Database Diagnostic Monitor, Automated Shared Memory Tuning, Automated Storage Management, and Automated Disk Based Backup and Recovery. One important key to Oracle Database 10g's usefulness in grid computing is the ability to provision CPUs and data.

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MTNL Mumbai

Scope
The Inventory Management System is intended to be multipurpose standalone and/or client-server application so that it can be used for various applications according to requirements of user. The system can be used by various user so limited access given to each user as per the work. The project is to implement Oracle10g on the database servers of Inventory Management System. The exact version of Oracle10g will be determined as part of the project. It will be the latest version supported by our Oracle applications. It is possible that some of the Oracle applications will need to be upgraded or patched to versions certified with Oracle10g. The exact versions or patch levels of these applications will be determined as part of the project. It is also possible that some of the software such as SQR, BRIO, and COBOL will have to be upgraded or patched. If necessary, the exact versions or patch levels of these will be determined by the project. At present there is no requirement to upgrade the operating system on any of the database servers to maintain compliancy with Oracle10g. Depending on whether the software and application upgrades are point release or version upgrades, user or staff training for the affected applications or software may be required. Furthermore, there may be a need to change the vendor provided forms and reports that have been modified by using newly developed system.

Project Scope:
The project will include: • Version compatibility checking which will determine, - Exact version of Oracle10g. - Exact version or point release of all Oracle applications compatible with Oracle10g. - Customization to locally modified forms and reports as well as inhouse developed programs. - User desktop requirements. - Communication of any required Oracle application upgrades and customization, as well as any required changes to PC configuration, to users. • Installation of Oracle10g, and all required upgrades into the test environment. • Testing of the upgraded environment including end user testing. • Finalization of the upgrade path, timing, and dependencies. • Compilation of project documentation.

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MTNL Mumbai

Specific Requirement
The project had been divided into 3 phases: 1. Setup of the reference system and creation of a repeatable production workload 2. Upgrade to Oracle Database 10g and comparison of performance figures without any optimizations 3. Performance optimization leveraging the Oracle Database 11g features i. Initialization parameter tuning ii. Detection of changing execution plans with SQL Performance Analyzer iii. Load simulation with Real Application Testing: capture a complete workload and replay it against an upgraded database iv. Preserving Oracle 9i-like execution plans with SQL Plan Management v. Improving overall PL/SQL performance with PL/SQL Native Compilation vi. SQL query and workload optimization with SQL Tuning and Access Advisors vii. Switch off any tuning enhancements in Oracle Database 11g and compare the results to Oracle 9i

Upgrading to Oracle Database 10g Upgrading directly to Oracle Database 10g is supported for Oracle 9.2.0.4 and all later releases. It can be done either with the methods generally used are 1) Database upgrade assistance(DBUA) 2) Manual upgrade 3) Export import utilities 4) Copy data Database Upgrade Assistant (DBUA), a graphical user interface tool, or manually using the upgrade scripts. Upgrade with the DBUA is the Oracle-recommended method because it performs all necessary checks and changes. In this case MTNL have to choose the manual upgrade method instead of the DBUA. The DBUA would have been able to complete the whole upgrade process unattended in silent mode except for running operating system checks as well as controlling the backup with RMAN and applying required database patches. Therefore a complex shell script from previous upgrade projects had been customized to accommodate the Oracle Database 10g requirements. During the upgrade from Oracle 9i to Oracle Database 10g/11g all synonyms will be recompiled during the upgrade process. For each synonym this will take approximately 0.1 seconds. If a large number of synonyms have been created in the database then the time needed to recompile all synonyms must be added to the upgrade time.

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MTNL Mumbai

• A complete online backup of the source database must be taken prior to starting the upgrade. Oracle Recovery Manager (RMAN) is the recommended tool to backup the database. This backup can be restored and recovered to the desired point in time before proceed. Testing and verifying the restore and recovery operation as a fallback scenario is vital to the upgrade process

Setup of the reference system One IBM P570 system with 16 CPUs and 32 GB of RAM has been provided for test purposes. This system is identical to the production systems. The operating system is AIX 5.3 TL8, and the storage subsystem is an EMC DMX2000. In production each server runs 3 databases in parallel, each of them hosting 1 department. The current production database release is Oracle Database 9.2.0.8. One ORACLE_HOME containing 9.2.0.8 and another home containing Oracle Database 11.1.0.6 were installed on the reference system. To leverage the new Real Application Testing pack according to Metalink -Note: 560977.1, the following patches were applied: • Oracle Database 10.1.0.6: Patch 6865809: SQL Performance Analyzer – 11g can extract 9i trace information • Oracle Database 9.2.0.8: Patch 6973309: Capture will be available in 9.2.0.8 Three different 9.2.0.8 production databases were copied and restored to the reference system using RMAN. A repeatable nightly batch run was also provided. This batch run is an accumulated OLTP run of several hours and is representative of a real world scenario.

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MTNL Mumbai

Cost of database migration
• Labour • S/W • H/W

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Project Cost Estimates: The project cost estimate can be calculated by applying four category include Cost Category 1) 2) 3) 4) Labour – cost: Hardware: Software: Miscellaneous (backups, system software, etc):

Labour Cost
Project Effort Estimate The estimate can be calculated by Level of effort with no. of days, the accuracy will improve over the duration of the project. The first revision of estimated effort is planned after the completion of the application and software version compliancy check.

The labour cost derived from person required to complete the migration process. Roles and Responsibilities of persons are: Analyst O Application server installation (development) O Data migration Production DBA O Application server installation (development and production) O Migration of database from Oracle 8.1.7 to Oracle 10g Networks and Systems O Hardware acquisition and installation O O/S installation O Apache configuration Application DBA O Data migration

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MTNL Mumbai Level of Effort (person/days)

Sr. Work Package No. Project 1 management 2 Requirements Definition Supporting Infra. Red (e.g. security, promotions, etc) H/W & S/W Acquisition, Configuration Detailed Design & Reviews Implementation & Reviews * Documentation

Analyst Prog. PDBA ADBA Prod. Other Total Supp N&S 1 1

1

1

3

1

1

1

3

6

4

5

5

10

5

3

1

4

6

5

1

2

8

7 8 9

1 Quality Assurance Integration and Acceptance Training Final Acceptance Total Effort 2 1 1 1 22 1 1 3

1 3 4 2 1 41

10 11

6

3

1

9

*Note: conversion of IMS database from Oracle 9.0.2 to Oracle 10g may potentially require significant development time. The above estimate assumes a near-best-case scenario involving only minimal coding changes for this conversion. An additional 10-20 days could be involved if significant problems are encountered during conversion.

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MTNL Mumbai

H/W & S/W Cost
Hardware Cost: MTNL has a completely managed IP network that builds a converged platform to run all enterprise solutions. The entire backbone is built on trusted names like Cisco and Juniper to provide data capacity in terabytes and high routing/switching speed. Multi tier network architecture is designed to avoid single point of failure and offer highest network availability. So there is no need to hardware changes as existing hardware is compatible with the oracle 10g. Software Cost: For database migration MTNL require licensed copy of oracle software. As MTNL is already using oracle 9i version and it is member of OTN (oracle T Network) it provide upgraded version of oracle in free of cost. So there is no need on additional software as existing software is compatible with the oracle 10g.

Project Cost Estimates: The estimate can be calculated by Level of effort with no. of days, the accuracy will improve over the duration of the project. The first revision of estimated effort is planned after the completion of the application and software version compliancy check

Cost Category Analyst @Rs.1500/day Programmer @ Rs.1100/day Production DBA @ Rs.1050/day Application DBA @Rs.1050/day Prod. Support @Rs.1000/day Networks and Systems @Rs.800/day

Labour

Estimate (Rs) 33,000 0 6,300 3,150 1,000 7,200

Hardware and software acquisition (Application Server Packs, Partitioning,) Miscellaneous (backups, system software, Testing cost etc) Total

1,184,000

11,000

1,245,650

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MTNL Mumbai

Performance Measurement
• Literature Review • Qualitative measure • Quantitative measure

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MTNL Mumbai

Literature Review
The Balanced Scorecard Approach The balanced scorecard is a conceptual framework for translating an organization’s strategic Objectives into a set of performance indicators distributed among four perspectives: Financial, Customer, Internal Business Processes, and Learning and Growth. Some indicators are maintained to measure an organization’s progress toward achieving its vision; other indicators are maintained to measure the long term drivers of success. Through the balanced scorecard, an organization monitors both its current performance (finance, customer satisfaction, and business process results) and its efforts to improve processes, motivate and educate employees, and enhance information systems—its ability to learn and improve. Performance Measure Use in Subjective Performance Evaluation Kaplan and Norton (1996, 10) argue that balanced scorecards should reflect four types of measures: (1) financial and nonfinancial; (2) external (financial and customer) and internal (critical business processes, innovation, and learning and growth); (3) inputs/drivers and outcomes/results; and (4) objective, easily quantifiable measures and more subjective, judgmental measures. Although Kaplan and Norton (1996, 2001) provide little guidance on how to combine or "balance" these disparate measures when evaluating managerial performance, Drawing upon economic and psychological studies on the choice of performance measures for performance evaluation and compensation purposes, we develop exploratory hypotheses regarding the weights placed on different types of performance measures (e.g., financial versus nonfinancial, quantitative versus qualitative, and input versus outcome) in subjective bonus computations. When developing measures, it is important to include a mix of quantitative and qualitative measures. Quantitative measures provide more objectivity than qualitative measures. They may help to justify critical management decisions on resource allocation (e.g., budget and staffing) or systems improvement. An agency should first identify any available quantitative data and consider how it can support the objectives and measures incorporated in the BSC. Qualitative measures involve matters of perception, and therefore of subjectivity. Nevertheless, they are an integral part of the BSC methodology. Judgments based on the experience of customers, employees, managers and contractors offer important insights into acquisition performance and results 1. Basic Principles Whether data are quantitative or qualitative, applying the two basic data collection principles identified below will help an agency to obtain reliable data in the most efficient manner. Using these principles, an agency may find synergies between existing, separate systems. a) Use existing data sources to the extent feasible Many agency management information systems already collect reliable quantitative data, which are useful for acquisition performance measures; and agencies likely have large investments in these systems. These systems

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include financial, personnel, and administrative systems, as well as contractual information systems. b) automate data collection where possible While many agencies have management information systems that are partially automated, we encourage the expanded use of automation to compile important quantitative data, where efficient and cost-effective. Moreover, as technology evolves, we expect more and more surveys to be administered electronically (e.g., using e-mail hyper-linked to the Web) with automated qualitative survey results going directly into applications that gauge performance. Automation will tend to save time, reduce error rates, and obviate the need for separate data entry and verification. Moreover, qualitative data from existing acquisition surveys may be used to support BSC efforts. Some agencies have designed and already use acquisition-specific surveys. Much of the data collected by those surveys will be useful for the BSC with little or no change. In some cases, other agency survey instruments collect acquisition-related data. The following represent some of the ways that leading organizations, both public and private, use performance information to improve performance, manage risk, and support decision making: Gap Management: Performance results can be used to determine gaps between specific strategic objectives and/or annual goals and actual achievement. The root causes of these gaps are analyzed, and countermeasures developed and implemented. Whenever there is a gap between current results and an organization’s objectives, it is an opportunity for process improvement. Benchmarking. An organization can use the BSC to benchmark its performance against other organizations. Benchmarking helps to get a picture of how the agency acquisition function performs compared to others. It also serves as one input for developing target goals. Enhancing strategic feedback and learning. Kaplan and Norton recommend that, in addition to tracking progress on past results, managers can use the BSC to learn about the future. Managers should discuss not only how they achieved past results, but also whether their expectations for the future remain on track. This focus serves as a foundation for effective process improvement and risk management. It also completes a feedback loop that supports decision-making at all levels of the organization.

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Qualitative Measure
Business Issue: The company planned to migrate to a new technology platform, Oracle 10g, in order to improve technology support in the areas of Finance, Supply Chain, Project estimate etc. This endeavor required a complete understanding of the legacy business processes and technical architecture as well as the global impact this new technology platform would have on the organization. Prior to planning and implementing this new database system, oracle 10g from current oracle 9i, the enterprise needed a comprehensive view of all systems that would or possibly be affected by this migration. Additionally all data integration/reporting considerations within each of those application systems needed to be identified and presented. A graphical representation of the entire existing corporate application system landscape, delineating every connected system and data component was constructed. Once the view of the current environment was approved, a graphical representation of proposed environment, which replaced several systems and affected numerous others, assisted the organization to better plan and execute this major system migration By exposing every data integration point that existed in the legacy environment, and how data integration would change in the new environment, greatly benefitted the organizations’ ability to plan and execute the system migration and ensure that data will not be compromised or corrupted in the process.

Performance: 1) Business process performance: Operational efficiency of specific business processes, measures of which include customer service, flexibility, information sharing, and inventory management. 2) Organizational performance: Overall firm performance, including productivity, efficiency, profitability, market value, competitive advantage, etc. Several quantitative measures related to business processes can be discerned. Examples are temporal measures, reliability measures, and cost measures. Also combinations are possible, e.g. performability measures (Trivedi et al. 1993), which combine temporal measures with reliability measures, and derived measures such as the performance to- cost ratio. User/customer perspective: response time, the time between issuing a request and receiving the result; the response time is the sum of the processing time and waiting times (synchronization losses). Also in the supporting IT-applications the response time plays an important role; Process perspective: completion time, the time required to complete one instance of a process (possibly involving multiple customers, orders, products etc., as opposed to the response time, which is defined as the time to complete one request).

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Vendor Product perspective: processing time, the amount of time that actual work is performed on the realization of a certain product or result, i.e. the response time without waiting times. The processing time can be orders of magnitude lower than the response time. In System perspective: throughput, the number of transactions or requests that a system completes per time unit (for example, the average number of customers that is served per hour). Resource perspective: utilisation, the percentage of the operational time that a resource is busy. On the one hand, the utilisation is a measure for the effectiveness with which a resource is used. On the other hand, a high utilization can be an indication of the fact that the resource is a potential bottleneck, and that increasing that resource’s. Scalability improvements for large user populations It is traditional to measure database performance in terms of transactions per second or query response time. An equally useful measurement is the number of simultaneous user sessions supported. This is a particularly important measurement for OLTP (Online Transactional Processing) databases. One of the benefits of migrating to the EM64T architecture is impr Software Reliability is defined as the probability of failure-free operation of a computer program in a specified environment for a specified time. A failure is a departure of program operation from program requirements. A software reliability model provides a general form, in terms of a random process describing failures, for characterizing software reliability or a related quantity as a function of failures experienced or time. Improvement in the ability to support large user counts for Oracle databases.

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Quantitative Measure
As there no exists standard method of measuring or comparing ease-of-use or manageability, we have used the approach employed by a similar study conducted by Rauch Associates comparing Oracle9i Database with IBM DB21. We performed a set of basic and common administrative tasks that reasonably represent a typical DBA’s workload on both Oracle9i and Oracle10g, and measured them on a common set of metrics to gauge their relative manageability. The metrics used were: i. ii. Time: Total time that a DBA spends in carrying out the task. Steps: Number of steps required to complete the task.

The time metric is used to ascertain the relative management efficiency of the two products. The quicker a DBA can complete a task, the more efficient and productive he/she will be. Oracle Database 10g reduces the DBA management workload by more than half and the management complexity by the same factor relative to Oracle9i. This translates into more productive DBA’s, more reliable systems, and significant cost savings for businesses. A general, commonsense definition of performance is presented in (Ferrari, 1978) wherein he defines performance as an indication of how well a system, already assumed to be correct, works. In general, the performance metric for distributed systems must reflect the program, the architecture, and the implementation strategies for it depend on each one of them. However, while the parallel execution time, speedup, and efficiency serve as well known performance metrics, the key issue is the identification of the distributing processing overheads which sets a limit on the speedup for a given architecture, problem size, and algorithm. The other significant improvement in the performance diagnostics and tuning category in Oracle 10g was due to the new SQL Tuning Advisor feature. This feature automates all the steps required for tuning SQL statements and gives comprehensive tuning advice, along with the exact commands for implementing the advice. A user only needs to run the advisor and then accept its recommendations to comprehensively tune SQL statements in Oracle 10g. In addition, Oracle 10g provides infrastructure for tuning multiple SQL statements together in one step using SQL Tuning Sets. Table 1 shows the time comparison between Oracle9i and Oracle 10g. The time taken to complete the tasks has been aggregated by task category in order to show the advantage one product has over the other for the different categories. The timings shown are the actual timings measured in the study and have not been weighted to reflect DBA workload savings.

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Oracle 9i Oracle 10g Oracle 10g Time Savings Remarks Oracle 10g took 36% less to complete install and simple “out-ofbox” setup

Installation & “Out-ofBox” Setup 45 29 36%

Day-to-Day Database Administration 35 13 63%

Backup & Recovery

Performance Diagnostics & Tuning 19 5 74%

Total

46 17 63%

147 64 56%

Oracle 10g took 63% less time to ongoing dayto-day administration tasks

Oracle 10g took 63% less time to complete backup and recovery tasks

Oracle 10g took 74% less time to complete performance diagnostics & tuning & tasks

Oracle 10g overall took 56% less time to complete all the tasks

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Profitability Analysis
• Benefit Factors • Benefit Distribution

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Benefit Factors
As the main objective of project is to check cost impact by the migration of database on oracle 10g. Where, the two major aspects can be considered in measuring performance after implementation. The following section gives the financial and productivity benefits of the Oracle 10g product for the IMS. Each benefit contained within this section is listed by Benefit Type. Benefit Value List - The listing includes the calculated benefit values as well as the Benefit Type and the area of the financial statements these benefits will impact. 1) Expense (Operating) Savings - Benefits which reduce operating costs of an organization. a) Reduced Server and Storage Hardware Cost b) Reduced Server Annual Maintenance Cost c) Reduced Third-Party Management Software Cost d) Increased Availability - Reduced Downtime Costs Labor Productivity Savings - Reduced Administration and Support Costs Revenue Improvement - Increased Availability - Increase Revenue Intangible - Reduced Cost of Increased Scaling

2) 3) 4)

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1) Expense (Operating) Savings:
a) Reduced Server and Storage Hardware Cost :
Migrating from the existing technology architecture to new oracle 10g version or commodity servers and storage yields a potential five-year hardware cost savings Rs.1132555 (as calculated by followed table). Server hardware cost refers to the cost of acquiring and replacing server hardware. Oracle's Real Application Cluster (RAC) technology enables clustering of multiple low cost (so-called "commodity') servers. A cluster of low-cost servers provides the computing power of more expensive hardware at a lower cost and with higher availability. Commodity storage is similarly low-cost disk storage assembled into arrays that can easily be managed through the Grid Automatic Storage Management (ASM) administration console. Business Importance: Reducing hardware costs by using less expensive server equipment reduces operational costs and directly impacts the organization's bottom line. Benefit Realization: This benefit can be achieved by deploying applications and databases on low cost, commodity hardware. Existing hardware can then be redeployed, retired or sold on secondary market. For hardware that is going to be retired or sold, the maintenance contracts can also be terminated (this benefit is reflected on the Hardware Maintenance benefit card). As capacity needs change in the future, additional hardware can be added to the cluster without significant capital expense (this benefit reflected on the Scalability Benefit card). Similar savings are also possible with storage, replacing expensive disk arrays with low-cost commodity disk arrays managed through ASM.

Benefit Drivers A. B. C. Number of servers Average cost per server Average annual cost per gigabyte (GB) of storage

Current 6 166,667 25

% Change 33% 91% 96%

Target 4 15,000 1

Input Variables (from Questionnaire) D. E. F. G. H. Average life (in years) for one server Cluster networking hardware cost Average life (in years) for cluster networking hardware Total gigabytes (GB) storage required for all applications Growth rate for servers? (applied to years 2-5)

Current 3.4 0 0 2,000 3%

% Change

Target 3.0 25000 3 2000

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Intermediate Calculations I. J. K. L Annual server hardware cost (A*B)/D Annual clustering hardware cost E/F Annual disk storage cost C*G Annual hardware cost I+J+K

Current 291,667 0 50,000 341,667

% Change

Target 20,000 8,333 2,000 30,333

Average Estimated Annual Financial Benefit Potential Benefit if Fully Realized M. Current L - Target L including growth N. Benefit Adoption Rate Estimated Benefits (Increased O. Customer Retention) M*N Undiscounted pre-tax five year benefit:

2010 311,333 20% 62,267

2011 320,67 3 36% 115,44 2

2012 330,294 80% 264,235

2013 340,202 100% 340,202

2014 350,408 100% 350,408

1,132,555

SOLUTION ENABLERS, SUPPORTING EVIDENCE AND REFERENCES:
Family Module Oracle Database 10g Feature Impact % Impact Rationale Source

Commodity Grid Computing

90%

Oracle Database Products Oracle Database Products

Low-cost, high volume Intel or AMD processors provide the benefits of proprietary processors at a fraction of the cost Expensive SMP servers can be replaced by clusters of inexpensive commodity servers in a high-availability configuration Customers gained on average a 20% improvement in storage utilization.

Internal Oracle

Oracle RAC

Highavailability clustering

90%

Internal Oracle

Oracle Database Products

Oracle Database 10g

ASM (Automatic Storage Management) ASM (Automatic Storage Management)

20%

Oracle Database Products

Oracle Database 10g

25%

"Most of the enterprises claimed cost savings of 25% or more through a DBMS platform standardization initiative, as a result of lowering administration, licensing, and infrastructure costs."

Mainstay Partners Aggregate ROI Study, 2004 Forrester White Paper, "DBMS Platform Standardiz ation Can Lower Costs And Improve Efficiency," Noel Yuhanna, May 27, 2005

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b) Reduced Server Annual Maintenance Cost:
Migrating to IMS Grid servers has the potential to realize a five-year savings in hardware maintenance costs of Rs. 709362 (as calculated by followed table). Maintenance costs include costs paid to hardware vendors for ongoing support & maintenance of the server hardware and operating systems. Operational cost savings for clusters of low-cost servers can be significant because an organization does not need to pay for expensive hardware maintenance contracts. If a computer in the cluster fails it can be quickly and inexpensively replaced with no system downtime. Business Importance: Reducing hardware maintenance cost, reduces operational costs and directly impacts the bottom line. Benefit Realization: This benefit can be achieved by deploying applications and databases on low cost, commodity hardware. For hardware that is going to be retired or sold, the maintenance contracts can be terminated. Commodity hardware does not require any maintenance contract - if hardware fails and needs to be replaced the IT organization can repair it, or .replace it with another inexpensive "blade" server with no service disruption.

Benefit Drivers A. B. Average annual maintenance cost (per server) Number of servers

Current 33,333 6

% Change 100% 33%

Target 0 4

Input Variables (from Questionnaire) C. D. E. Cluster networking hardware cost % Annual maintenance cost for cluster networking hardware % Annual growth rate for servers? (applied to years 2-5)

Current 0 0 3.0%

% Change

Target 25,000 20%

Intermediate Calculations F. F. G. Annual Server Hardware Maintenance Cost A*B Annual Cluster Networking Hardware Maintenance Cost C*D Annual Hardware Maintenance Cost E+F

Current 200,000 0 200,000

% Change

Target 0 5,000 5,000

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Average Estimated Annual Financial Benefit Potential Benefit if Fully Realized H. Current g - Target G including growth I. Benefit Adoption Rate Estimated Benefits (Reduced HW J. Maintenance) H*I Undiscounted pre-tax five year benefit:

2010 195,000 20% 39,000

2011 200,850 36% 72,306

2012 206,876 80% 165,500

2013 213,082 100% 213,082

2014 219,474 100% 219,474

709,362

SOLUTION ENABLERS, SUPPORTING EVIDENCE AND REFERENCES:
Family Module Oracle Database 10g Oracle Database Products Oracle Database Products Oracle RAC Feature Ability to use low-cost commodity hardware for highavailability cluster Highavailability clustering Impact % Impact Rationale Source

100%

Commodity hardware can be purchased cheaply, and no maintenance contract is required. If a component fails, it can be replaced or repaired--which ever is least expensive Expensive SMP servers can be replaced by clusters of inexpensive commodity servers in a highavailability configuration

Internal Oracle

100%

Internal Oracle

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c) Reduced Third-Party Management Software Cost:
Reducing third party management software has the potential to realize a five-year savings of Rs. 191,350 (as calculated by followed table). Third-party management software includes software typically required for managing enterprise infrastructure. These normally include cluster management software, logical volume manager, file system manager, database software, ETL (extract/transform/load) tools and backup/recovery software. Also included in this card is the cost of operating system software. Business Importance: There are direct and indirect benefits to reducing 3rd party software. Indirect benefits are derived from simplification of technology. Direct benefits are derived from reduced spending on 3rd party software. Next generation of IT infrastructure will require organizations to reduce the complexity of their technology infrastructure by reducing the number of different software packages required to provide service to the business. Reducing or eliminating the need for third-party management software directly impacts the organization's bottom line. Benefit Realization: Reducing third-party management software costs requires tools and processes. Hardware platforms and operating systems that require the third-party management software must be retired or repurposed in a way that does not require the use of the software. In addition, features of the new management software must be implemented to eliminate the need for the 3rd party software.

Benefit Drivers A. B. C. D. E. F.

Cluster server software Volume manager software Third party database software ETL tools Other Tools OS software (e.g., Linux)

Current 0 12,000 40,000 0 0 0

% Change 0.0% 100.0% 100.0% 0.0% 0.0% 0.0%

Target 0 0 0 0 0 2,080

Input Variables (from Questionnaire) G. Anticipated growth rate (applied to years 2-5)

Current 5.0%

% Change

Target

Intermediate Calculations Annual Third-Party Software Cost H. A+B+C+D+E+F

Current 52,000

% Change

Target 2,080

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Average Estimated Annual Financial Benefit Potential Benefit if Fully Realized I. Current F - Target F including growth J Benefit Adoption Rate Estimated Benefits (Reduced 3rd Party SW Cost) K I*J Undiscounted pre-tax five year benefit:

2010 49,920 20% 9,984

2011 52,416 36% 18,870 191,350

2012 55,037 80% 44,029

2013 57,789 100% 57,789

2014 60,678 100% 60,678

SOLUTION ENABLERS, SUPPORTING EVIDENCE AND REFERENCES:
Family Module Oracle Database 10g Oracle Database Products Oracle Database Products Feature Oracle Clusterware Impact % Impact Rationale Source

100%

Use of clusterware replaces third-party cluster management products

Internal Oracle

Oracle RAC

Integrated Database Management Capability

100%

Homogenous Oracle environment eliminates the need for third-party databases, volume managers and ETL (extract, transform, load) products, as well as any other 3rd party software needed to support nonOracle environments

Internal Oracle

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d) Increased Availability - Reduced Downtime Costs:
Reducing downtime costs has the potential to realize a five-year savings in costs of Rs.216419. (as calculated by followed table ) Increased availability includes both direct and indirect benefits. Direct benefits are those related to reduction of the workload associated with system recovery as well as the reduction of lost business associated w/ system downtime. Indirect benefits are driven by improvements in employee productivity due to increased system availability. Business Importance: Business applications, especially those that are externally focused, must be available during the times that those parties expect to do business with your organization. Any unplanned downtime that is visible to customers or suppliers can have a significant impact on business performance and the perceived value of the organization. Benefit Realization: Any technology system with a single point of failure presents a risk to availability and business continuity. Implementing a cluster based technology infrastructure for business critical systems eliminates single points of failure. Any single server can either be taken out of the cluster for maintenance (planned outage) or can fail (unplanned outage) and the other servers will pickup the workload with no visible interruption of service.

Benefit Driver A. Annual hours of downtime for critical applications

Current 34

% Change 71.5%

Target 9.7

Input Variables (from Questionnaire) B. C. D. Number of critical applications Average hours of downtime for critical applications Expected growth in revenue or users (applied to years 2-5)

Current 2 34.0 5%

% Change 71.5%

Target 24.3

Potential Savings - Lost Employee Productivity due to Downtime: E. F. G. H. Average Annual Salary of Application Users Average number of employees using critical applications during business hours Average number of hours in one work year Estimated user productivity if system is down

Current 3,10,000 15.0 2,000 28.7%

% Change

Target

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Potential Savings - Service Level Agreements: I. Average SLA cost per hour of downtime

Current 1,250

% Change

Target

Intermediate Calculations Average hourly salary cost of critical applications user base J. (E*F)/G Average hourly productivity loss if critical applications are K. down J*(1-H) Average annual downtime cost for critical applications L. (J+K)*C*B

Current 2,325 1,659 197,778

% Change

Target

71.5%

141,318

Average Estimated Annual Financial Benefit Potential Benefit if Fully Realized M. Current L - Target L including growth N. Benefit Adoption Rate Estimated Benefits (Decreased Downtime O Costs) M*N Undiscounted pre-tax five year benefit:

2010 56,460 20% 11,292

2011 59,283 36% 21,342 216,419

2012 62,247 80% 49,798

2013 65,360 100% 65,360

2014 68,628 100% 68,628

SOLUTION ENABLERS, SUPPORTING EVIDENCE AND REFERENCES:
Family Module Oracle Database 10g , Oracle RAC Oracle Database Products Oracle Database Products Enterprise Managers Oracle Enterprise Manager 10g has automated the day-to-day maintenance required for an enterprise grid, and provides a centralized management console called Oracle Grid Control. Feature High-availability clustering Impact % Impact Rationale Source

20%

With Oracle Application Server clusters and with the Oracle Real Application Clusters option for the Oracle Database you can increase reliability and reduce management costs by as much as 20%. Software installation, patching, upgrading, workload balancing, security, and much more are all handled centrally from Oracle Grid Control. This means the entire infrastructure can be managed as one large computing system. One or a few administrators can maintain even the largest grid data center.

Internal Oracle

20%

Internal Oracle

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2. Labor Productivity Savings - Reduced Administration and Support Costs : Reduced administration and support costs results in a potential five-year savings of Rs.8776992 (as calculated by followed table). Administration and support includes database administration, system administration and storage administration. Database administration includes tasks such as user management, patch application / upgrades, backup & recovery and tuning. System administration includes security management, performance management, OS patch management and hardware maintenance. Storage administration includes logical volume management, disk layout management and hardware maintenance. Business Importance: Reducing administration labor reduces operational costs. Using technology to execute the most common administration tasks can free up valuable resources to focus on higher value activities. Using a common set of management tools across the enterprise reduces the number of skill sets that your organization must maintain and makes management of systems more efficient by smaller teams. Benefit Realization: In order to achieve these benefits you will standardize on a common management framework for your technology infrastructure based on Oracle Enterprise Manager (EM). By implementing your application on Oracle Database 10g, many common operational tasks will be automated by the system. For example, the automatic storage management (ASM) module will allow your DBA and SA teams to stop managing the layout of data on their disk farms. In addition, backup / recovery can be automated without the use of 3rd party software.

Benefit Driver A. B. C.

Current 7 5 25

% Change 28.6% 20.0% 12.0%

Target 5 4 22

Number of full-time equivalent (FTE) DBA's
Number of full-time equivalent (FTE) systems administrators

Number of full-time equivalent (FTE) developers

Input Variables (from Questionnaire) D. E. F. G. H. Average annual fully-burdened salary for one DBA? Average annual fully-burdened salary for one systems administrator Average annual fully-burdened salary for one developer Average training cost for one DBA Anticipated annual customer base growth rate (applied to year 2-5)

Current 420,000 420,000 350,000 50,000 3.0%

% Change

Target 420,000 420,000 350,000 50,000

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Intermediate Calculations I. J. Annual Salary Cost A*D+B*E+C*F Annual DBA Training Costs A*G

Current 13,790,000 350,000

% Change

Target 11,480,0 0 250,000

Average Estimated Annual Financial Benefit K. Potential Benefit if Fully Realized Current (I+J) - Target (I+J) including growth Benefit Adoption Rate Estimated Benefits (Reduced Admin Costs) K*L

2010

2011

2012

2013

2014

2,410,000

2482,300

2556,769

2633,472

2712,476

L.

20%

36%

80%

100%

100%

M.

482,000

893,628

2045,415

2633,472

2712,476

Undiscounted pre-tax five year benefit:

8,766,992

SOLUTION ENABLERS, SUPPORTING EVIDENCE AND REFERENCES:
Family Module Feature Impact % Impact Rationale Source

Oracle Database 10g Oracle Database Products

Automatic Storage Management

10%

ASM helps DBAs manage a dynamic database environment by allowing them to grow the database size without having to shutdown the database to adjusts storage allocation. It eliminates the need for manual I/O performance tuning. Software installation, patching, upgrading, workload balancing, security, and much more are all handled centrally from Oracle Grid Control. This means the entire infrastructure can be managed as one large computing system. One or a few administrators can maintain even the largest grid data center.

Internal Oracle

Oracle Database Products

Enterprise Managers

Oracle Enterprise Manager 10g has automated the day-to-day maintenance required for an enterprise grid, and provides a centralized management console called Oracle Grid Control.

20%

Internal Oracle

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2.

Revenue Improvement - Increased Availability - Increase Revenue:

Increased availability has the potential to realize a five-year increase in revenue of Rs.161,833(as calculated by followed table). Increased availability includes both direct and indirect benefits. Direct benefits are those related to reduction of the workload associated with system recovery as well as the reduction of lost business associated with system downtime. Indirect benefits are driven by improvements in employee productivity due to increased system availability. Business Importance: Business applications, especially those that are externally focused, must be available during the times that those parties expect to do business with your organization. Any unplanned downtime that is visible to customers or suppliers can have a significant impact on business performance and the perceived value of the organization. Downtime in a sales environment can mean lost revenue. Benefit Realization: Any technology system with a single point of failure, presents a risk to availability and business continuity. Implementing a cluster based technology infrastructure for business critical systems eliminates single points of failure. Any single server can either be taken out of the cluster for maintenance (planned outage) or can fail (unplanned outage) and the other servers will pickup the workload with no visible interruption of service.

Benefit Driver A. Annual hours of downtime for critical applications

Current 34.0

% Change 71.5%

Target 9.7

Input Variables (from Questionnaire) B. C. D. Number of critical applications Average hours of downtime for critical applications Expected growth in revenue or users (applied to years 25)

Current 2 34.0 5%

% Change 71.5%

Target 24.3

Lost Revenue due to Downtime: E. Average revenue processed per hour by critical applications F. Estimate percentage lost if system down during business hours:

Current 34,341 6.3%

% Change

Target

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Intermediate Calculations G. Average hourly lost revenue due to application downtime E*F H. Average annual downtime cost for critical applications G*C*B

Current 2,175 147,894

% Change 71.5%

Target 105,674

P . Q . R .

Average Estimated Annual Financial Benefit Potential Benefit if Fully Realized Current N Target N including growth Benefit Adoption Rate Estimated Benefits (Increased Revenue) P*Q

2010 42,220 20% 8,444

2011 44,331 36% 15,959 161,833

2012 46,547 80% 37,238

2013 48,874 100% 48,874

2014 51,318 100% 51,318

Undiscounted pre-tax five year benefit:

SOLUTION ENABLERS, SUPPORTING EVIDENCE AND REFERENCES:
Family Module Oracle Database 10g, Oracle RAC Feature High-availability clustering Impact % Impact Rationale Source

20%

Oracle Database Products

With Oracle Application Server clusters and with the Oracle Real Application Clusters option for the Oracle Database you can increase reliability and reduce management costs by as much as 20%. Software installation, patching, upgrading, workload balancing, security, and much more are all handled centrally from Enterprise Manager Grid Control. This means the entire infrastructure can be managed as one large computing system. One or a few administrators can maintain even the largest grid data center. .

Internal Oracle

Oracle System Management Products

Enterprise Managers

Oracle Enterprise Manager 10g has automated the day-to-day maintenance required for an enterprise grid, and provides a centralized management console called Grid Control.

20%

Internal Oracle

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3.

Intangible - Reduced Cost of Increased Scaling

Reduced Cost of Increased scaling has the potential to reduce spending on unnecessary server headroom. Enterprise IT systems are not static. System usage grows and shrinks driven by business need over time. In a traditional SMP environment when the system reaches its capacity organizations must decide how to add capacity. They may either buy a similar size machine and cluster or both together or they may buy a much larger machine and/ or re-purpose the original machine. The benefit with RAC are driven by the ability to flexibility provision IT capacity in clusters by either sourcing new "commodity" machines or by moving under-utilized machines from a low activity cluster to a high activity cluster. Business Importance: Better align computing capacity with actual business need (smaller amount of utilized capacity). Ability to grow quickly as business demand dictates without significant capital expense. Benefit Realization: To achieve the benefit your application must move to a cluster of low cost, commodity hardware. The SMP box that was hosting the application must be retired. To maximize benefit, a single "commodity" standard should be selected across the organization so that computing resources can be quickly repurposed from areas of low demand to areas of high demand.

Capacity Headroom

Growth

C puting Power om

SMP2 SMP1

Time

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In a traditional SMP environment, when growth reaches the capacity of the server, it must be replaced by a server with a higher capacity (or coupled in a cluster with a server of similar capacity). In either cast, the shaded area represents the headroom present in the server configuration (overhead being unutilized capacity).

Capacity Savings

Growth

C puting Power om

Time

In a RAC environment, clusters of commodity servers are used to create capacity. As growth requires, capacity can be added in small increments. Thus, the unused capacity (or headroom) is much smaller than in the SMP model and therefore the cost is lower.

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Projected Business Benefit

Total projected Business Benefits: The following table summarize all the benefit factor described above for database migration to oracle 10g of inventory management system at MTNL Mumbai. Also cost analysis fo such migration can be shown in following pie chart & bar chart.

2010 Annual Potential Business Benefits
Reduced Administration and Support Costs Reduced Server and Storage Hardware Cost Reduced Server Annual Maintenance Cost Reduced Third-Party Management Software Cost Increased Availability Reduced Downtime Costs Increased Availability Increase Revenue

2011 Year 2
893,628 115,442 72,306 21,342 18,870 15,959 1,137,54 7

2012 Year 3
2,045,41 5 264,235 165,500 49,798 44,029 37,238 2,606,21 5

2013 Year 4
2,633,47 2 340,202 213,082 65,360 57,789 48,874 3,358,77 9

2014 Year 5
2,712,47 6 350,408 219,474 68,628 60,678 51,318 3,462,98 3

Year 1
482,000 62,267 39,000 11,292 9,984 8,444 612,987

Total
8,766,992 1,132,555 709,362 216,419 191,350 161,833 11,178,51 1

Total Projected Business Benefits

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Conclusion

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Conclusion
Modern enterprises are aggressively adopting new technology solutions to enhance their competitiveness and profitability. The system management costs, however, have been steadily rising leading to eroded profit margins. By undertaking a simplified management of database systems, which truly differentiate a business from its competitors and an increased focus on company’s business goals, database administrators in the future will play an increasingly crucial role in success of the enterprise. So as IMS which is in development stage, by migrating it to 10g from current 9i, have following limitations and benefit that we foresee. Limitations: 1) Human factor : adaptability, inertia to new system, mind set problem 2) Change Management 3) Cost barrier : hardware cost, 4) technology obsolesce : all software and hardware migration projects are bounded by technology obsolesce, which also can be case with IMS migration Benefits: 1) High cost saving over labour, Administrative cost, H/W, S/W, Maintenance cost, etc. 2) Flexible on schedule migration 3) Reduced Server and Storage Hardware Cost 4) Reduced Server Annual Maintenance Cost 5) Reduced Third-Party Management Software Cost 6) Increased Availability - Reduced Downtime Costs 7) Labor Productivity Savings - Reduced Administration and Support Costs 8) Revenue Improvement - Increased Availability - Increase Revenue 9) Intangible - Reduced Cost of Increased Scaling

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Appendix

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Bibliography

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Bibliography
URLs:
Why Upgrade to Oracle Database 10g? http://www.oracle.com/technology/ Oracle Database 11g Upgrade Companion https://metalink.oracle.com/metalink/plsql/ml2_documents.showDocument?p_databas e_id=NOT&p_id=601807.1 Upgrade Discussion Forum on OTN: http://forums.oracle.com/forums/forum.jspa?forumID=583 Upgrading from Oracle Database 9i to 10g – What to Expect from the Optimizer? http://www.oracle.com/technology/products/bi/db/10g/pdf/twp_bidw_optimizer_10gr 2_0208.pdf http://mpra.ub.uni-muenchen.de/12158/ http://www.google.com

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