Cees de Jong is responsible for international Telecom business development, providing direction for Atos Origin’s global strategy for the Telecom sector.
He oversees Atos Origin’s global Telecom sales and marketing operations.
Out with the old
Youth and dynamism are some of the characteristics many telecom operators look to associate with their products and services. Unfortunately the same cannot be said about some of their IT systems. In today’s ‘must-have’ world, the ability to get new, innovative products and imaginative solutions to the market quickly defines the operator. Wait too long and you miss the boat. Whilst the marketing department has the creativity to develop these solutions, the company’s IT infrastructure and multiple networks often cannot keep up.
Although they are aware of the need to update and modernize IT systems, operators are struggling with the best way to go about this potentially arduous and expensive task. Atos Origin is advising many on the route that best suits their specific needs.
Fixed-line operators now find that they have too many old systems. They are looking at application rationalization to reduce volume as well as cost and complexity. But their efforts must be worth the investment. Fundamental changes to IT tend to have long payback periods. Today, most telcos are looking for short value-add projects that optimize their IT system, with payback of up to a year. They also expect companies, like Atos Origin, to guarantee lower cost operations from the solutions we provide.
Access and ease-of-use, anytime and anywhere
One of the principal solutions operators require is the convergence of different network types. This is vital in their efforts to offer transparency to the end customer. As consumers increasingly demand access to information anywhere, anytime and over any network, IT systems must be updated to enable operators to provide flexibility of access and ease-of-use.
Access to data, from both mobile and fixed-line operators, must also be secure. And therein lies the paradox. The replacement of traditional switches with IP core networks forces new security issues. Already standards and applications are being developed to help improve security but at the same time, operators must ensure transparency of information to their subscribers. Given the increased exchange of information happening over different networks and with more providers entering into the equation, this is a huge challenge. At Atos Origin, we have already seen some demand for integrated security around a number of networks. However, these requests are generally based around a single product. Over the next couple of years, we are likely to see a growing awareness of the need for end-to-end security and, as result, more demand for our solutions that meet this challenge.
Similarly, the more content-based services operators want to offer, the more important CRM (Customer Relationship Management) becomes. Carriers must have a CRM system that can work across the entire organization. This is one of today’s main issues and main areas of investment. Standard solution packages do exist, however they are not adequate by themselves. That’s why we work with operators to customize these packages for optimum fit with their business and marketing strategies. Through customization, the operator has much more control over information, target groups of users can be more easily identified, etc. For the customer, information becomes much more accessible and easier to use.
The best way to bill
The introduction of new content providers has a serious affect on telcos’ billing systems. Struggling with how to build new content services into their systems, operators must consider the amount of investment required against the potential gain. For some telcos replacing the entire billing system to build a new, agile architecture is the best solution. For others, applications can be integrated and another layer added. The latter does add to greater complexity of the system. However, it allows for small incremental investments rather than requiring a large chunk of money. Another alternative is to build in new stove pipes. Whilst investment is again lower, the resulting IT infrastructure is limited in its flexibility to offer new services quickly. As with all IT enhancements, the right solution depends on the company’s strategy for the future. Atos Origin is working with many telcos to ensure they have the right billing systems for their current and future needs.
Add to this the penchant for convergence and the challenge to enhance IT systems becomes even bigger. And it’s not just about IT convergence. For most telcos, it’s about converging two areas of competence, adding a cultural challenge to the technological one. Network and IT specialists must work together to agree one solution that allows, for example, prepaid and postpaid services to be accounted for and billed.
The more complex the system, the more likely the potential for revenue leakage. In a good IT architecture, all components are connected automatically guaranteeing limited leakage. However in older systems, where applications are being added as new products and services are created, potential for leakage increases. Today, there are many solutions for revenue assurance. At Atos Origin, we advise our customers on the solution that fits their business best and allows the greatest flexibility to add on new services and get those services quickly into the marketplace. We help our customers define the business case and identify and implement the solution that offers the very best value for money.