In today’s highly competitive communications market, belt tightening has become the order of the day. In every organization there are numerous team members that provide input into decisions surrounding extending the life of legacy equipment, usually defined as any equipment that is outside of the OEM’s original warranty. Critical to that decision-making process is a closed loop methodology from the beginning to the end of the life cycle of each piece of legacy equipment.

There are a number of considerations that need to be explored to fully understand where there can be cost reductions, the ability to preserve legacy infrastructure, or, if necessary, a responsible method to dispose of equipment that truly has reached the end of its life cycle and needs to be retired. Some of these include, but are not limited to:

1. Extend the life of your legacy equipment after the OEM warranty has expired.
2. Explore options to extend the warranty.
3. Have a system that details asset management and reporting.
4. Implement a sparing program that meets region/logistical requirements.
5. Manage critical spares that meets region/logistical requirements.
6. Service Level Agreements.
7. Program for end of life products.

Extending Its Life
Legacy equipment can be maintained, and the life extended, for a number of years, as long as there is the ability to obtain components. This is usually the case for at least 3 to 5 or more years after the equipment manufacturer has discontinued production. A technically astute repair facility, working in conjunction with the manufacturer and the network provider can almost always determine a path to keep the equipment in use well beyond the end of its OEM production.

Working in partnership with the OEM is the first step, of course. The OEM can provide engineering specifications, help to locate components specific to their product, offer advice on procurement options, and provide technical support. That said, if the legacy equipment manufacturer is no longer a viable source, the ability to reverse engineer components becomes a critical element.

For most manufacturers extending the warranty of a product that is no longer manufactured is cost-prohibitive and resource-draining. Valuable engineering resources are limited in their ability to contribute time and effort to products that are no longer under warranty. Savvy companies will seek out a repair facility that has the ability to extend warranty coverage. These third party warranties can range from 1 year up to multi-year arrangements depending on negotiated contracts.

A Master Services Agreement (MSA) is oftentimes an effective way to control costs and extend the warranty on OEM discontinued equipment. The pricing is generally significantly lower than handling repairs on an individual, per incident, basis. The identified equipment can be covered for a fixed length of time at a set price, thereby protecting the assets in the network while controlling expenses.

Management and Reporting
All carriers have some type of inventory management system in place. The critical element is how accurately that system is managed. A clear understanding of the network can only be achieved when the database is current and correct. Many times decommissioned equipment isn’t reported at all or is reported inaccurately. Most management systems track currently deployed equipment but not decommissioned legacy equipment.

You can extend the life of your network by considering options that are available for the management and reporting of decommissioned equipment. Choosing the right partner to help extend the life of your network is critical and can save a considerable amount of valuable CapEx funds.

Service Level Table

Software programs are available that can effectively deal with decommissioned equipment which can be repaired, re-deployed, used as spares, or mined for valuable components. Access to this software is critical to both the network administrators, and the responsible technicians, and must be available to any user of the equipment. The reporting needs to be detailed down to the individual items location, the current status of that equipment, and the availability of any rare, hard to find, components. These factors allow the carrier and their partner repair company to utilize all their available assets to protect the operational status of the network.

It’s also important to understand the difference between sparing and critical spares:

Sparing: Understanding deployment patterns allows the network provider to develop a program that logically allocates spares to the region where they are most prevalently used. Legacy equipment, even after it’s been manufactured and discontinued, still plays a valuable role. Decommissioned legacy equipment can be tested, repaired, and, even if not reusable, mined for component replacement.

Critical Spares: Each and every network has identified critical equipment, that is, core equipment that has to be 100% functional on a 24/7 basis. This critical equipment falls into its own special category and must be supported with on-site sparing, or at the very least, regional sparing, with the ability to be transported to the required location in a very short period of time, usually not more than 2 hours, in the event of a failure. The knowledge that the replacement components are in working order and readily available can mitigate the concerns of a network provider regarding the health and operational functionality of its network.

Operating under a SLA or MSA is usually significantly less expensive than handling spares, or repairs, on a per-incident basis. Companies can enjoy the peace of mind that comes with knowing that any potential repair is fully certified, expedited, and warranted for the life of the agreement, thus allowing the network operator to set an identified business model for equipment on the down side of its life cycle.

Convergence Impact/Life Cycle

One of the critical components in selecting a repair facility to partner with is the level to which the testing is conducted. Some companies offer only a basic board level “Go/No-Go” test, while others perform extensive tests capable of examining equipment down to the individual component level.

End-of-Life Program
With all electronic equipment there comes a point when network elements have to be retired from service. If that point has been reached and the equipment can’t be re-used, sold, traded, or donated, it needs to be dealt with responsibly. Gone are the days when equipment could be decommissioned and trashed.

In today’s world companies must partner with a recycler for downstream processing of sensitive wastes. In many instances, data has to be sanitized and hard drives scrubbed or shredded. The recycler should subsequently be able to provide a certificate of destruction.

In summary, having a legacy network doesn’t mean that it has to be immediately replaced. The capital expenditure can, in most cases, be extended out several years by partnering with an accredited repair facility and taking advantage of SLAs/MSAs. The associated Cost/Benefit ratio and ROI improvement can positively impact the bottom line, and let’s face it, that’s what we’re all after.

Josh Orender is the COO of Fortress Solutions. He has worked with Enterprise, Utilities, Manufacturers, and Service Providers, on a wide range of technologies including Voice, ATM, Frame Relay, DS1, DS3, SONET, Fiber Optics, Ethernet, and VoIP. You can contact Josh directly at jorender@fortresssolutions.com.

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