1. Customer Challenges

In recent years, Chinese securities firms that managed to survive the A-share market stagnancy have been competing for brokerages. Many objective factors, such as the involvement of non-Chinese securities firms, brokerage reform, and diversified banking services, further intensify the fight. Since 2009, many securities firms have started downsizing their outlets to relieve some of pressure on operational costs, for example, by removing the outlets.

An increasing number of securities firms are realizing that traditional outlets fall behind the informatization development of the securities industry and the diversified operation mode of financial products. The construction of lightweight branches is ever more urgent. At present, securities firms face the following challenges:

• Outlets are critical for survival and development. However, developing new methods for constructing outlets is hindered by its inherent defects:

High construction cost




Long ROI period




Too centralized location




Securities firms are seriously concerned about how to optimize business hall resources and dig more development opportunities.



• As the China Securities Regulatory Commission (CSRC) gradually softens strict policies regarding outlet construction, securities firms have more control over the construction of lightweight branches and are authorized to open outlets in less competitive areas. As a result, lightweight branches will be scattered around the country, and securities firms will have to figure out how to uniformly manage and maintain these branches and how to ensure that the operation of every branch is strictly aligned with security and operation regulations.
• Once CSRC policies are issued, securities firms must urgently stake their claims in new markets and quickly and efficiently finalize outlet construction at numerous locations without expanding their current maintenance teams.

With these challenges in mind, Huawei has launched a lightweight branch solution for the securities industry to assist securities firms who are changing the offerings of their lightweight branches from traditional securities services to financial service and product retailing. Developed based on international and national standards, Huawei's solution is simple/easy to deploy and offers unified management and maintenance, which help securities firms to gain the upper hand in the market and optimize strategic presence and operations.

2. Huawei Solution

2.1 Solution Overview

Based on the challenges facing securities firms, Huawei uses a simplified, secure, and modular design to comprehensively accommodate the diverse requirements of our customers, such as network access and operation & maintenance (O&M), information security and auditing, and video surveillance. Huawei's professional service teams deliver professional and timely services to securities firms nationwide and help them quickly construct their outlets.

Huawei's lightweight branch solution for the securities industry

As shown in Figure 2-1, Huawei's solution consists of two parts: integrated cabinet and desktop cloud. The integrated cabinet provides network infrastructure and ensures network security while the desktop cloud enables desktop service operation. Huawei's solution also provides unified management and maintenance, which facilitates the fast deployment and follow-up O&M of lightweight branches.

Integrated Cabinet

Cabinets deployed in lightweight branches provide basic network access and ensure network security. Cabinets integrate multiple operation-critical modules, including network, security, voice, video surveillance, and uninterruptible power system (UPS) modules.

• Scenario analysis

Compared with traditional branches, lightweight branches do not require space for onsite transactions or independent IT systems but use headquarters IT resources or the IT resources of regional centers. Major functions of the lightweight branches include opening and closing accounts, promoting financial products, and popularizing investment knowledge. Securities firms have the following network and security requirements:




Connection to headquarters: Upstream links must use a secure, reliable, redundant, and fault-tolerant design.




Wired access: Sensitive data, such as account information and customer information, cannot be sent over wireless networks. Therefore, wired access must be set up at lightweight branches.




Wireless access: Portable terminals in the office and customer zones, including laptops and handheld terminals, must be able to flexibly access the office network through WLAN.




Branch security: Different service zones must be isolated from each other, and a special system is required to monitor employee Internet use and behaviors.




Video surveillance: Service handling processes must be recorded and stored for future tracing.



• Solution overview

Integrated cabinets provide both wired and wireless access. Embedded 3G and Wi-Fi modules in the cabinet provide flexible WLAN access and reliable 3G link backup and enable wireless coverage for all branch areas, except the counters that use wired access. Better still, these cabinets divide areas based on service types and use the Internet behavior management module for refined network control. In addition, secure channels, based on SSL VPN technology, are set up between headquarters and lightweight branches to ensure data transmission security.

VDI： Virtual Desktop Infrastructure

Desktop Cloud

• Scenario analysis

Lightweight branches handle services on PCs, which prevents high information leakage risks, makes service deployment and management more difficult, and increases deployment costs. To address these issues, Huawei offers a desktop cloud solution, which features lightweight terminals, customized security measures, and unified resource management. Huawei's solution can fully address the following customer requirements:




Peripherals




Customers must be able to use an array of peripherals, including high-speed document scanner, ID card reader, and tablet, to conduct business.




Software




Software must be compatible with mainstream brokerage business systems. Plug-ins and drivers necessary for service handling must be provided.




Data security




The security of business-critical information, including customer information and contracts, must be ensured.



• Solution overview

Tellers use thin clients (TCs) to process counter services. All TCs are connected to the integrated cabinets deployed in lightweight branches. The cabinets connect the TCs to the virtualized desktop in the data center at headquarters via the WAN. The TC is compatible with a variety of peripherals (such as high-speed document scanners and ID card readers) and employs USB redirection technology to ensure that one TC can only access a specific device (such as a dumb terminal) to prevent unauthorized data copying. Another highlight worth mentioning is that with the help of the desktop cloud, all data is stored and runs on the virtual platform instead of TCs, which minimizes the risk of data leakage.

Background O&M

• Scenario analysis

Lightweight branches use platform resources from headquarters or regional centers to operate. In addition, they are scattered around the country and not equipped with dedicated maintenance personnel. Headquarters and the regional centers must be able to uniformly and remotely operate, maintain, and monitor lightweight branches. Specifically, the new O&M platform must address the following detailed requirements:




Network device




The O&M platform must be able to manage devices, including their configuration files, alarm logs, and traffic in visual GUIs.




Internet behavior




The O&M platform must be able to centrally monitor and audit employee Internet behaviors and support batch configuration of security policies.




Video surveillance




The O&M platform must be able to record the handling process of opening and closing an account and save the recordings.




Headquarters must be able to watch real-time video.




IT device




The O&M platform must be able to uniformly release applications and upgrade TCs, and manage data and application changes.



• Solution overview

Huawei's solution provides unified O&M for a variety of devices, including computing, network, security, and UPS devices, by deploying management software that supports status detection, active alarming, and web configuration at headquarters or local centers.

2.2 Verification Test

Huawei has teamed up with multiple noteworthy integrators and securities firms to create innovation laboratories and verify the lightweight branch solution for the securities industry. Many of the tests conducted proved Huawei's lightweight branch solution capable of meeting the customer's general requirements. For specific test reports, see the appendix.

2.3 Customer Benefits

Huawei's solution provides the following customer benefits:

• Integrated cabinets improve deployment efficiency by up to 70%.
• Devices are fully functional once configured.
• Scenario-based configurations help securities firms open lightweight branches quickly.
• Centralized video surveillance and remote maintenance make zero maintenance personnel possible.
• The background software uniformly manages network, network security, and UPS devices.
• The web-based NMS offers an intelligent, easy-to-use GUI.
• Comprehensive security protection mechanism ensures the operational security of lightweight branches.
• Huawei's solution provides all-around protection (terminal access, data transmission, and service regulation) for the operation of lightweight branches. The integrated cabinet, access control, and video surveillance system are interconnected to enhance the warning capability and to reduce maintenance workload.