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|Diamond Group is one of the frontmost providers for branded F&Bs in Indonesia. It produces and distributes over 4 thousand stock-keeping units (SKUs) from well-loved brands in a variety of product categories and offers B2B services to over 190 thousand customers, solidified by 23 self-operated delivery points and over 900 fleets.|
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|Construct a new network supported by a more flexible technology capable of integrating with the entire system to better understand on-site challenges, quickly respond to market demand, and accelerate business processes, capable of supporting company vision of becoming a world-class FMCG company|
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|“We are very satisfied with the reliability of Aruba networking technology as the backbone for our IT infrastructure and it is proven to contribute to Diamond Group’s revenue growth. As a publicly traded company, to our stakeholders, this is a responsible investment we can answer for. This has a significant impact on the company’s overall performance and reputation.”
Norman Chen, President Director of PT Diamond Food Indonesia
Full Case Study Story
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Aruba Accelerates Diamond Group’s New Journey of Becoming a World-Class Digital FMCG Company
PT Diamond Food Indonesia, also known as Diamond Group, began its business as an ice cream manufacturer back in 1974. Diamond Group is one of the frontmost providers for branded F&Bs in Indonesia. It produces and distributes over 4 thousand stock-keeping units (SKUs) from well-loved brands in a variety of product categories and offers B2B services to over 190 thousand customers, solidified by 23 self-operated delivery points and over 900 fleets supplying to all of Indonesia’s 34 provinces.
The company’s customer portfolio comprises businesses of various scales. However, Diamond Group mainly focuses on the premium market, including hotels, restaurants, and upscale cafes as its primary clientele.
Digital transformation: The key to business growth in all conditions
One inspiring story from Diamond Group is how it manages to maintain a positive momentum in the midst of challenges and changing conditions, including a lingering worldwide economic downturn for the past few years and the COVID-19 pandemic, which has hit all sectors equivocally.
“We are very grateful that even with a global pandemic, Diamond Group continues to record growth in the double digits. Our sales and revenue have seen an uptick compared to the previous years. In fact, in 2020, we even embarked on a new journey as a publicly traded company on the stock exchange,” said Norman Chen, President Director of PT Diamond Food Indonesia.
“We can confidently say that the key to our continuous growth even in these difficult times is digital transformation. Digital transformation has been part of our strategy since 2019, with Aruba and its capable network solutions as the enabler,” he affirmed. “As our trusted partner in providing the network solutions we need, Aruba will support our vision moving forward as a world-class Digital Company in the consumer goods industry.”
Digital Transformation Journey in Diamond Group
The more strategic approach to digital transformation is actually a continuation of the company’s commitment beginning 2015. However, from 2015-2018, the digitalization process did not take the scalability challenges that could arise from rapid business growth into account. The applications used then were still very much bare bones. Consequently, the company infrastructure – and the network infrastructure – could not accommodate the newly created challenges and demands.
In the end, the old, rigid infrastructure that did not respond well to contemporary dynamics was unable to manage throughput; capacity management was not well-maintained; user experience was overall subpar and uneven across the board; and the poorly managed network traffic ultimately caused frequent downtimes.
All these were detrimental to Diamond Group’s business, which had to achieve 30 thousand orders and 40 thousand invoices in just a single day; in other words, even one hour of downtime would be catastrophic. Administration, distribution, production, quality control, and customer service were only some of the processes disrupted.
“Diamond Group made the decision to completely overhaul its old IT infrastructure and build a new infrastructure that is easy to manage, reliable, and supportive of business continuity. This included constructing a new network supported by Aruba’s flexible technology and capable of integrating with the entire system. It also supported advanced applications and software such as SAP HANA, Oracle, collaboration hubs, and the robotics we implemented. Using this, we are able to better understand on-site challenges, quickly respond to market demand, and accelerate our business processes as a whole,” said Norman Chen.
Diamond Group Entrusts Aruba’s Network Technology as Integrated Component of New Infrastructure
According to CIO of Diamond Group, Joanito Iwan, selecting Aruba as Diamond Group’s network solutions provider is a critical decision. Aruba’s network technology allows the company to build an infrastructure landscape capable of answering challenges faced by applications in all ecosystems – customer, management, employee, and supplier – and supporting management of business processes. Another purpose is backing up master data, which acts as the system’s DNA and determines the success or failure of the system.
Aruba’s network solutions, comprised of Network Switches, and ClearPass Security, are also capable of simplifying the communications traffic between Diamond Group’s ecosystem in a secure, orderly manner. They have had a positive towards performance and productivity. Aruba offers product differentiation that excels among the competition, providing Diamond Group’s IT infrastructure with enhanced visibility, control, and automated network enforcement. In addition, Aruba ClearPass Security enables control over legacy infrastructure in Diamond Group.
With a capable network, management was able to access on-site data connected through Internet of Things (IoT), such as team performance, operations, activities in branch offices, and the state of Diamond Group’s equipment in customer locations. Communications between management and employees become seamless, business-related analyses are now more accurate, and the right decisions can be made even more quickly.
“The infrastructure we built has a long-term purpose in mind. The technology provider we entrust as our partner should be companies whose credibility and reputation are already proven, and Aruba fulfils these criteria as we considered our business continuity,” revealed Joanito Iwan.
Joanito explained that another foundational reason is the reliability of its technology. With an integrated system, network has become one of the cores and backbones. Aruba’s reliability is proven as the company constantly achieves its KPI for downtime tolerance in a year, which stands at 18 hours maximum, including planned downtime for maintenance and other needs.
The implementation of Aruba’s network technology spreads User Experience more evenly, whether at headquarters or in branch offices. The support for robotics enablement also optimizes human resources’ competence at Diamond Group. For example, the 100 employees who used to be in telesales – with robotics being applied – they can now work in more prospective and growth-focused areas that benefit both the workers themselves and Diamond Group’s business.
Satisfaction towards Aruba’s products and their performance
“We are very satisfied with the reliability of Aruba’s network technology as the backbone for IT infrastructure and it is proven to contribute to Diamond Group’s revenue growth. As a publicly traded company, to our stakeholders, this is a responsible investment we can answer for. This has a significant impact on the company’s performance and reputation,” revealed Norman.
In the future, Diamond Group expects to utilize even more Aruba-developed solutions to support its larger vision: becoming a frontmost digital company with the best services.
“In a smart era of ubiquitous connectivity, only the companies that are able to grasp digital technologies for market analysis, product and service innovation, and fast and accurate business decisions will be the winners of this hypercompetitive landscape. We are committed to continue adopting the most advanced technologies and partner with reputable brands like Aruba to consolidate our position as a winner in the market,” concluded Norman.