Telecom expense management (TEM) is an ongoing process. Invoice audits & optimization analyses can yield substantial one-time savings, but an ongoing proactive TEM program is necessary to stay ahead of the expense management curve.
Here are twelve questions that top TEM organizations continually ask themselves to make sure their TEM programs are always delivering maximum results:
- What precisely are our organization’s operational needs?
- Are we only procuring services we truly need for our company?
- Are our essential services priced competitively compared to current market rates?
- Are there cheaper service alternatives that could provide the same level of service?
- Do we know exactly which of our services are under contracted rates and which are receiving non-discounted or service guide (tariff) base rates?
- For non-contracted rates: Why have we not negotiated contract pricing with a vendor(s) for these services? Is the added flexibility needed to justify the non-contracted pricing?
- Without having to take more than a few minutes to obtain the answer, do we know how many contracts we have rolling up to each service provider?
- Do our contracts make sense as presently structured or could they potentially be renegotiated or consolidated?
- Do we know precisely when each of our contracts is expiring? A year from now? Two years from now? Three years from now?
- What will we do upon expiration of our upcoming contracts? Do we have a plan?
- We recently acquired XYZ Corp. What is the state of their services in terms of their pricing and contractual situation? How do we fold this into our existing group of services and properly manage until fully integrated?
- Given our present operational performance needs and assuming we he have the right services today, do we know where the technology is headed so we can properly evaluate our service alternatives down-the-road in one to three years?
Don’t be shortsighted in your approach to Telecom Expense Management. Keep at least one eye on your long-term goals at all times and make sure your team continually strives to proactively manage operational performance and network costs.
LEARN MORE – watch our on-demand webcast “Why Do Some Telecom Expense Management Programs Fail While Others Succeed?”