The TEM industry addresses communications-related IT and cloud-based cost management, along with full life cycle management.
Convergence operates in the TEM industry. TEM stands for Technology Expense Management and Telecom Expense Management. TEM can be considered as part of or overlapping ITFM - IT Financial Management. However ITFM rather focusses primarily on traditional accounting processes, rather than the more value added IT business management focus of TEM.
Enterprise IT spending was over $3 trillion in 2019 world-wide, with telecom spending representing 18% of the total. Against an increasingly complex background of legacy, on-premise and cloud-based spending, including owned and third-party IT, hardware, software and services, mobility and fixed telecom, machine to machine, and Unified Communications assets, enterprises struggle to achieve measurable and repeatable cost savings and strategic alignment with their broader digital business transformation objectives.
TEM services enable enterprises' IT, procurement and finance departments to order, provision ,support and manage costs of large-scale corporate communications, associated IT services and their inventories such as fixed and mobile telephony and data, cloud license tracking, and loT connectivity. TEM services also include business intelligence and reporting suitable for supporting C-Ievel strategic decision making. TEM today is mainly enabled by Saas-based applications/platforms, managed services and associated professional services.
TEM is a specific, but challenging function within IT and cost management. TEM in recent years evolved as enterprises' ranges of fixed (voice and data) and mobile devices grow and incorporate other services and communications-related asset tracking. These offerings include inventory tracking of cloud/consumption-based services; other IT-related services, such as unified communications and collaboration (UCC); voice over Internet Protocol (VoIP); and loT expense management as enterprises embrace digitalization.
Enterprises are seeking to better manage this complexity and its associated costs, and consider third-party TEM providers to be the most cost-effective way to secure needed program management capabilities.
Convergence offers Saas-based TEM applications/platform, managed services and associated professional services.
For more information and to find out how your organization can benefit from TEM, contact us.