We’re only scratching the surface of AI’s potential: Thimaya Subaiya, Cisco

In a conversation with Dataquest, Thimaya Subaiya, Executive Vice President of Operations at Cisco, shares deep insights into the company's multi-pronged approach to operational transformation, AI integration, supply chain innovation, and networking advancements.

From the evolution of cloud and cybersecurity to India's growing role in Cisco’s global manufacturing footprint, Subaiya outlines how Cisco is adapting to the needs of a next-generation enterprise world.

Excerpts:

DQ: Cisco operates on a global scale. How are you leveraging AI to enhance operational efficiency?

Thimaya Subaiya: When considering AI in its current state, it represents an evolution of machine learning and data science. Until now, data has been collected from various sources and analyzed, but AI offers a distinct advantage. It enables not only the application of a language model (LLM) but also the integration of a Retrieval-Augmented Generation (RAG) model, which sources external data to enhance insights.

At Cisco, AI is being leveraged across multiple areas, which I categorize into four key aspects.

The first is improving sales productivity. This encompasses the overall seller experience, including Customer Relationship Management (CRM) and quota achievement. For instance, field sales representatives now have an AI agent that assists them in co-selling and ensures they meet their productivity targets.

The second focus area is customer and partner productivity. AI helps optimize the delivery of our best products to partners and customers while enhancing interactions with our Customer Experience (CX) organization. This includes improvements in support case management, case resolution times, and implementation processes.

The third area is engineering productivity. AI is being utilized to accelerate coding processes, enabling engineers to write more efficient code with fewer errors. Additionally, it enhances the integration of Cisco’s portfolio of software products, ensuring a seamless and optimized software ecosystem.

Finally, AI is enhancing enterprise-wide productivity within Cisco. This includes streamlining HR-related processes, such as IT asset management. Whether it is requesting a laptop, handling device refresh cycles, or resolving technical issues, AI is being applied to improve overall operational efficiency.

DQ: What does the future hold for AI adoption? How will it enhance efficiency and accessibility in next-generation enterprise operations?

Thimaya Subaiya: When discussing efficiency and accessibility, it is important to consider two perspectives. A common question I receive is whether AI implementation allows fewer people to accomplish more or if it provides the existing workforce with tools to enhance productivity significantly. In other words, does AI reduce the workforce, or does it enable the same workforce to achieve greater efficiency?

I believe it is the latter. AI enhances the productive output of an organization, enabling tasks to be completed faster and at a much greater scale. Instead of reducing jobs, it empowers employees with advanced tools to perform their work more efficiently.

DQ: You mentioned that AI increases productivity without reducing the existing workforce. However, there is an ongoing debate that AI may eventually replace human jobs. What is your perspective on this?

Thimaya Subaiya: I have been asked this question multiple times, particularly in light of our AI investments and numerous use cases. AI’s effectiveness is driven by these use cases, and I always assess the outcome of each one.

While AI contributes to productivity gains, it does not necessarily lead to workforce reductions. However, one notable impact is that the frequency of budget requests has significantly decreased. Previously, teams would frequently request additional budget allocations for various operational needs. With AI-driven efficiencies, these requests have become far less common, which in itself is a substantial change in how resources are managed within the organization.

DQ: Cloud technology is a growing priority for many businesses, with some adopting cloud-first strategies. How is Cisco evolving its networking solutions to meet the increasing demand for cloud-based networking services?

Thimaya Subaiya: When discussing cloud-based solutions, it is essential to recognize the evolution from entirely on-premises infrastructures to cloud-based systems. However, hybrid cloud strategies are also gaining significant traction. With AI and data management concerns, many organizations do not want to be entirely dependent on either cloud or on-premises solutions.

We are seeing a global shift towards hybrid cloud technologies, and this is an area where Cisco excels. Whether it is cloud integration into an organization’s internal network or enhancing security with solutions like SD-WAN, Cisco remains at the forefront. These innovations will be particularly transformative in the AI space, not just for AI-driven use cases, but for AI infrastructure itself.

DQ: In June last year, Cisco launched its Meraki India region to support data localization and cloud-first transformation. Can you provide an update on its progress? How many platforms have adopted it so far, and what new enhancements or expansions are planned for this year?

Thimaya Subaiya: While I do not have specific adoption numbers, Meraki’s primary value lies in its management platform. One of our major initiatives is to extend this platform across Cisco’s entire portfolio.

We have introduced a new series of switches, giving customers the flexibility to choose between a cloud-based approach, leveraging the Meraki management platform across the NX portfolio, or an on-premises deployment. Meraki has always been known for its ease of deployment and management. However, it did not previously offer all the features of the full Cisco stack.

Now, by integrating these capabilities, we are providing customers with a seamless experience, whether they prefer a cloud-based management platform across the entire Cisco ecosystem or a hybrid/on-premises approach. This positions us uniquely in the industry, as no other company offers such a comprehensive hybrid cloud networking solution.

DQ: Last year, Cisco inaugurated its manufacturing plant, initially producing only routers. Initially, you produced 540 routers. Are there any updates on facilities or product offerings?

Thimaya Subaiya: The progress has been highly positive, and we are very pleased with the developments. There is significant potential for expansion. Given the current economic landscape, India has a substantial opportunity to drive manufacturing growth, not just for Cisco but for other industries as well.

DQ: The manufacturing plant was inaugurated under the Make in India initiative. It was projected to generate $1.3 billion in throughput and create 1,200 jobs. What is the current status of these targets? 

Thimaya Subaiya: I cannot disclose specific revenue figures as they pertain to a subset of a single manufacturing plant. However, in terms of throughput and job creation, we are on track. Moreover, the quality of jobs created is high-end, reflecting the Indian market's potential.

Regarding the Make in India initiative, progress has been steady. I would like to see increased exports from India, contributing to the broader economy. Additionally, I believe India should focus on expanding its component manufacturing capabilities, not just producing PCBs but advancing into higher-value components. This is the true essence of Make in India, not just assembling products with imported raw materials but increasing the domestic production of key components. I hope to see further progress in this direction.