Major Indonesian retailer reduces operating costs after implementing SD-WAN

Singapore – Dimension Data, a USD 8 billion global technology integrator and managed services provider, announced that it had been chosen by a major Indonesian retailer to implement a cloud-based SD-WAN solution to operate over 450 stores across Indonesia efficiently. 

The retailer faced hindrances in seamlessly implementing its aggressive expansion plans across Indonesia, including increased costs and impacts on customer experience. Previously, the retailer needed several months to open a new store, as the leased line provider requires that amount of time to set up the fibre optic link. Each of the stores also utilised different devices, prompting further challenges in performance monitoring. To address these concerns, the retailer needed a solution that can provide high connectivity across its stores and enable real-time inventory updates, as well as a seamless single dashboard management for all its stores.

To achieve the retailer’s business expansion plans, the time required to open a new store had to be drastically reduced. Dimension Data was appointed as the IT partner of choice, and was involved in the project management, design and implementation of the end-to-end SD-WAN solution.

With the SD-WAN solution, the retailer would need merely two days to open a new store and can access real-time data from its stores from a centralised data hub, while enjoying high-speed internet over a secured network. The SD-WAN offering (utilising a fully redundant internet link) uses broadband internet, along with a 4G LTE solution where both connectivity links serve as an active-active solution, to ensure zero downtime.

The retailer’s IT department no longer needs to spend extensive time and resources on facilitating IT roll-out at new stores. The new implementation also results in approximately 97 per cent improvement in go-to-market support and strategy for the retailer, in terms of opening new stores in new geographical areas quickly and efficiently. 

“In a competitive industry like retail, businesses can no longer undermine the importance of maximising operational and cost efficiencies to keep up with consumer demands for a high-quality experience. We are thrilled to be able to work with a giant in Indonesia’s retail industry, as well as our long-term partner, Cisco, on this deployment. We believe that this implementation will continue to deliver positive outcomes for the business, aiding their expansion plans,” said Hendra Lesmana, Country General Manager, Dimension Data Indonesia.

Dimension Data was selected for its deep understanding of the client’s business needs, achieved through dedicated proof-of-concept and joint requirement gathering and solution workshops. The retailer will now be able to reduce its operational expenditure (OPEX) by 60 per cent, leading to more predictable savings.

With this implementation, along with increased store network availability, the SD-WAN’s application-based Quality of Service (QoS) policy settings ensure accurate real-time sales and stock inventory data transfer, allowing the retailer to make improved business decisions dynamically. Besides doubling the internet bandwidth, the infrastructure also accounts for secure connectivity from the store to the data centre, with an automatic and scalable VPN solution that connects remote sites with ease, supported by AES encryption that ensures data privacy.