Auctioneer Bonhams opts for Linux

Owned and run by British auctioneers since 1793, London-based Bonhams (www.bonhams.com) is the fastest-growing fine art auction house in the world.

Dealing in items including automobiles, antiques and collectables, Bonhams offers sales worldwide through its salesrooms in London and other UK locations, San Francisco, Los Angeles and Sydney, and regular venues in Switzerland, Monaco, Germany, Australia and the U.S. Bonhams is renowned for its specialists--in 14 countries--who appraise and value clients' property and ensure that it achieves its full sale potential.

After an acquisition by Brooks, an automobile and motorcycle auction specialist, the merger with the UK division of Phillips, a competitor, and the purchase of the U.S.-based auction house Butterfields, Bonhams was dealing with four different business management systems. To operate and serve clients effectively, Bonhams needed to consolidate to one system.

Sold to the lowest bidder

"We knew that current off-the-shelf auction management software and enterprise resource planning [ERP] systems would need a lot of customization and significant monetary investment to handle our operational size and global distribution," explains Roland Whitehead, Global Director of Technology for Bonhams.

"So we chose the in-house development route based around best-of-breed financial and human resource packages, and the Progress [Software Corporation] OpenEdge environment." The auction house also needed a reliable, scalable solution that would enable it to offer Web-based transactions and services.

Once its in-house solution was developed, Bonhams started searching for a new platform on which it could run. "The obvious solution for Progress was the Sun Solaris operating environment, but when we looked at the cost of an adequate Solaris solution, we choked at the huge expense," says Whitehead.

Moreover, Bonhams was interested in the scalability and stability of Linux. Based on a positive previous experience with IBM Intel®-processor-based servers and the deep IBM commitment to Linux, Bonhams selected an IBM xSeries solution running Linux.

"We chose IBM because of the cost-effectiveness, quality and scalability of the xSeries products," explains Whitehead. "We also knew IBM had done extensive testing to ensure the xSeries servers could efficiently run Linux."

A customized solution built from the ground up
Working with IBM Business Partner Repton, Bonhams acquired ten x360 servers and eight x232 servers. Eight of the x360 servers are running Linux and two are running Microsoft Windows 2000. All of the x232 machines run Windows 2000 and function as file, print and exchange servers.

The core of Bonhams' auction management system runs on the x360 servers--three for Web serving, two for application and database functions, two for images, one for Web-delivered reports, one for disaster recovery and one for development. The x232 machines operate as local servers in each of Bonhams' UK regional sales locations. The company went live with its xSeries and Linux solution in January 2003.

World-class reputation

By consolidating to the reliable and scalable xSeries architecture and Linux platform, Bonhams anticipates reduced maintenance and administrative activities.

"We have reduced our server count by two," explains Whitehead. "And we're saving money by eliminating the maintenance and licensing costs on both." The xSeries servers deliver exceptional cost-for-performance benefits, and can scale as Bonhams' needs evolve. Linux provides a flexible, open architecture and helps simplify integration of multiple processes and applications.

The IBM and Linux solution provides a robust foundation and helps position Bonhams to become what IBM calls an e-business on demand enterprise--one whose business processes, integrated end to end across the company and with key partners, suppliers and customers, enable it to respond quickly to customer needs, economic conditions and external threats.

Bonhams feels that its new, cost-effective server solution has put it ahead of its competitors. "The cost of our new system is approximately one-fortieth of what competing auction houses have invested in theirs," emphasizes Whitehead. "And since they have tweaked off-the-shelf ERP solutions, their systems won't provide nearly the same benefits."

Additionally, Bonhams' field staff and specialists will have anytime, anywhere access to information. "Because everything is being done dynamically over the Web from one source, our clients get exactly the same information as we do, and we don't have to rework everything for our public site," explains Whitehead. Finally, offering new services and enhancing customer relationships will help Bonhams further augment its reputation.