The goal of Telecom Expense Management’s (TEM) is to ensure that you are getting the best value for your telecom solution and your billing is accurate. A good TEM starts by building an accurate real time IT inventory, gathering all of your telecom bills and looking for overcharges through a telecom audit. The audit includes searching for contract violations, optimizing your telecom environment to save money, and negotiating with your telecom vendors to get a better deal.
Here are three different takes on how to estimate the ROI on TEM ROI:
- The AOTMP group is a global leader in providing telecom management best practices and industry standards for organizations and the vendors who support them. Their research shows on average, fixed TEM programs generate 7.7% in annual savings and mobile programs achieve 9.4%.
- Blue Hill Research is an independent research and advisory services group specializing in the enterprise technology market. They state that “Successful Telecom Lifecycle Managers can reduce direct communications costs by 15% or more while simultaneously reducing in-house labor to process invoices.”
- The Technology Expense Management Industry Association (TEMIA) reports that initial hard-dollar savings can be as high as 15%, while cost avoidance against future spend can drive that number upwards of 30%.
Telecom Expense Management ROI
According to TEMIA, companies wanting to track ROI and build a business case for a TEM program should address changes across four main categories:
- Telecom Savings – resulting from fixing billing errors, reducing spend
- Labor Efficiencies – reallocating resources to higher IT functions in light of automation, consolidation and help desk resources
- Indirect Savings – comes from improved policies, workflows, and decision making
- Security Compliance – enhancements and increased adherence to mobile policies resulting in decreased risks and costs associated with security breach
All the evidence points to that by implementing a Telecom Expense Management process. You are most likely spending more than they should on your Communication Expenses.
Teledata Select offers a whole range of services that will help you meet your business goals. Starting with a complimentary review of your current telecommunication bills to identify errors and find opportunities for savings, better service and more functionality. We also offer project management for new service implementation and infrastructure installs, including fiber and low voltage cabling. Call us at 404-257-1502 to discuss your current Telecom Service Solution and what you would like to get out of it. Or send us a note via Contact us to start a no obligation discussion of your specific business technology needs.
Don Miller is a PMP certified Project Manager located in Greenville, SC. He has come to Teledata Select via Seattle, New York and Washington DC. His experience running small to multi-million dollar projects in the Banking, Software, Telecommunications and Insurance Industries across the US has given him a wide range of business experience.