• July 07, 2010
• Articles
• Joy Milkowski

Low latency is the key for financial services organizations.  With literally billions of dollars moving through the system at any given moment, losing a single microsecond could be devastating.  Still, other factors, including multi-point connectivity, colocation facilities, and the choices of both routes and preferred carriers, cannot be ignored in the telecom and data center network selection process.  By thoroughly identifying and exploring each technical requirement, deploying the optimal telecom network can become a reality.

Beginning the Network Selection Process
The foundation for this effort begins with a thorough analysis of both the existing network services and a needs assessment of desired requirements.  Though you’ll begin with the desired latency goals, several other items should be included in this analysis.  Each category includes a number of specific requirements which must be taken into consideration to ensure proper selection.  Points to consider include:

•    Latency requirements
•    Multiple Connectivity Locations
•    Preferred Carriers
•    Preferred Routes
•    Colocation Facilities
•    Backup Center/Disaster Recovery (BC/DR) Plans
•    High Availability
•    Security
•    Price

One of the most efficient and productive ways to complete this process is by hiring an outside firm to undertake the analysis and perform a feasibility study.  As part of the process, consultants can help financial services organizations thoroughly examine each aspect of the requirements, bridging the gap between theoretical and practical availabilities.  Companies such as NEF bring a wealth of experience to the table, gleaned from guiding latency driven organizations through the same steps.  As a result, they are acutely aware of the considerations and the necessary steps to avoid the pitfalls inherent in each requirement.

From Plan to Execution
Once all of the requirements have been identified and prioritized, the search begins for the proper telecommunications network including connectivity and data centers.

Most companies explore commercially available network options first.  Available data center space and network assets may often be found through traditional carrier channels.  Normally each carrier and data center has a staff prepared to answer all inquiries concerning their capabilities, costs, availability, design flexibility, etc.   It is important to note, however, that some facilities and carriers choose to not publicize everything in their inventory; still other providers prefer to work primarily with companies which aggregate an informational database, thus reducing the need for an on-site sales staff.

If the choices among the commercially available networks are still not sufficient, consider opting for a private network specifically designed to fit your needs.  The cost-benefit can be surprisingly positive, but more importantly, choosing a private network virtually guarantees that each of the goals from latency to disaster recovery has been adequately addressed.  With so many dollars, euros, pounds, and pesos transversing the system at any moment, these types of assurances are vital to every financial services firm looking to gain even a millisecond edge.

Takeaway
When NEF reviews network providers’ proposals to create a private network on behalf of their clients, they make sure the winning bid addresses execution for all of the components involved.  For example, an acceptable plan would include a thorough analysis of the various routes available between all connectivity points, including the strengths and weaknesses of each, especially where latency is concerned.  NEF’s relationships within the industry should be a major consideration because their longstanding ties with carriers enable them to secure special deals and favorable terms for the facilities you need at the price you want.  By choosing a financial services network expert such as NEF to create a custom high capacity network, you can be confident that the final result will meet your needs both today and scale as your company grows in the future.