Can simple mean savings? Restaurant chain proves the answer is yes

Can simple mean savings? Restaurant chain proves the answer is yes

Business Challenge

Consumers have choices, especially when it comes to fast-casual dining. When people are considering restaurant options, they are looking for fast service, convenience and tasty food delivered with quality and excellence at an affordable price. And they won’t settle for less. Restaurant executives understand this. As a result, they continually strive to deliver high quality, innovative service to their customers, to stay ahead of the competition.

In today’s connected world, consumers increasingly browse menus online and place orders remotely. Restaurants need a high-performing voice and data network to accommodate these demands.

In 2015, Lightstream began working with an international fast casual restaurant chain to address several network challenges. At the time, the company had over 2,000 restaurants and was struggling with an expensive, complex telecommunications network. They were experiencing connectivity issues at the stores, and it was costing tens of thousands of dollars every month in wireless cost overruns.

Solution

When Lightstream first engaged, the team began with a thorough review of the company’s existing network infrastructure and service providers. Each store was configured with a primary connection for voice and data with a wireless 4G connection for backup, and the company used hundreds of different providers across the country.

At the restaurant level, the company’s network was designed for uninterrupted service. If the primary connection went down, service immediately switched over to the 4G network. The change happened seamlessly—users were oblivious to the failover, and service continued as usual. The network, however, was not monitored closely. The company often was unaware when a switchover occurred, and stores could operate on the 4G network for a long time, causing wireless costs to skyrocket.

Because the company had hundreds of different telecom providers, the finance organization was overwhelmed with invoices flowing in from across the organization from the various vendors. Consequently, sorting through invoices every month was time-consuming and inefficient, requiring painstaking research to ensure the billing was accurate.

To resolve these challenges, Lightstream consolidated the company’s entire telephony infrastructure, replacing them with lower cost, higher bandwidth connectivity options, and streamlined the number of providers. In addition, Lightstream added network monitoring and event management services, so that any network outages or anomalies and would be identified and resolved without any added burden on the company’s IT organization.

Since that initial engagement in 2015, the company has grown to 3,000 restaurants, and the organization’s infrastructure has evolved. Today, SD-WAN is deployed across the infrastructure, and the company has invested heavily in moving workloads to the cloud.

As the company has grown over the years and its needs have changed, Lightstream has expanded its relationship providing network monitoring, event management, telephony, field services (installation, cabling, and wiring) and cloud infrastructure optimization.

Business Outcomes

Reduced Costs / Increased Bandwidth

Working with Lightstream’s technical experts, the company consolidated its voice and data network, reducing the number of circuits and carriers and increasing bandwidth to the stores at the same time. This substantially simplified billing—reducing the number of monthly invoices from well over 100 down to one.  All of this has generated millions of dollars in cost savings.

Reduced Connectivity Problems / Improved Service Availability

In 2015, the company was struggling with excessive wireless overage charges. Lightstream’s Network Managed Services for network monitoring and event management helped solve those problems, improving service availability and reducing wireless overage costs by a factor of ten. Network Managed Services includes proactive monitoring and carrier management, managed services through the support of our 24/7 network operations center, dedicated customer service managers and optional field services.

Cloud Infrastructure Optimization

The company has invested heavily in the cloud.  Currently nearly half of its revenue comes through digital sales which depend on the cloud infrastructure.

In 2017, cloud costs accounted for about $150,000 annually. Today, due to the growth of digital sales, cloud costs have increased by a factor of more than 100.  To keep costs in check and to optimize cloud investments, the company utilizes Lightstream’s Cloud Managed Services to help them gauge monthly trends and capture billing anomalies within their environment. This helps them avoid wasteful spending accounting for nearly one million dollars annually in savings. Cloud Managed services helps clients manage the day-to-day administration and management of their cloud infrastructures with a flexible mix of consulting, integration and managed services.

Digital sales are expected to grow as consumers are demanding more digital access than ever before. As a result, the company continues to invest heavily in cloud and rely on services from Lightstream to help optimize cloud infrastructure costs, while delivering better user experiences for their customers.

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