TEM services can run the gamut of the technology service life cycle management processes (from proposal and ordering, through full service management and disconnection/disbursement), but the bulk of the hard savings come from validation, competitive service prices and the visibility provided by the TEM applications. Increased visibility into technology and telecom inventory, telecom usage patterns and opportunities to benchmark prices and evaluate services across the entire company will yield considerable cost savings.
MidMarket companies cannot leverage their purchasing power in technology and telecom service volume, hence have to use smarter ways to contain their expenses. Volume purchasing power however is largely a myth. With the proper competitive and benchmarking information, pricing across technology service categories and service types can be brought to very competitive levels by our specialists. Add to that the increased visibility and usage management brought in by a TEM solution and it becomes clear that introducing TEM in MidMarket companies produces higher savings levels than with their larger peers.
These savings go directly to the bottom line of the MidMarket company and become very visible for top management, that is closely watching in the companies’ performance and often owns part or all of the company. Which means that the increased shareholder value derived from bottom line savings from the TEM initiative will help to improve the balance sheet.
In Midmarket companies the finance department takes responsibility for managing technology and telecom expenses as opposed to larger organizations where it is a shared responsibility between finance and ICT departments.
In a majority of mid market enterprises the CFO and finance team owns the technology and telecom expense management outright and in a minority of cases the telecom/IT staff may have sole or partial ownership.
While finance may own the responsibility, the finance accounting systems typically do not keep an up to date inventory of assets, telecom and mobile services. New services and MACD’s (moves, adds, changes and disconnects) for employees and locations are not communicated to finance in real time.
There is a lack of tools to charge back services to departments beyond basic percentage cost allocation and little or no visibility into total employee expenses or expenses for locations based upon all suppliers and services and the invoices are not being validated to verify contract compliance.
When ICT owns the problem, invoices may be reviewed for discrepancies and may be cross checked against new orders and MACD’s and then submitted to finance for payment. Inventory may be extracted from the invoices by manually inputting into it into spreadsheets. The spreadsheets then act as a repository for MACD’s and gives a way to provide reporting and track billing discrepancies.
Read more/lessTo complete the validation and manually extract the data from invoices without late fees kicking in the invoice must be processed within 15-20 days. Invoices may be directed to individual ICT personnel via e-mail, CD and web download eliminating visibility of the expense across the work group. In most cases the invoices are not being validated to verify contract compliance.
Communication between finance and ICT is a key requirement to achieve the best results when implementing a TEM software solution. A solution that addresses the finance departments concern of staffing expertise, and visibility of expenses and gives ICT the inventory information they need through automation and/or business process outsourcing is likely to get the best results.
Convergence provides the software and services to address these concerns. All paper, web, CD-ROM and EDI invoices are loaded and mapped into the Technology Management Platform (TMP) to automate the processing of invoices. The software then examines all invoices, compares them against existing contracts and tariffs, and systematically identifies errors. It also inventories all of an enterprises technology and telecom assets and ties them to site locations or employees and then identifies usage patterns for internal cost allocation.
Both the CFO and CIO will benefit from a dedicated centralized application that will reduce operational costs for managing technology and telecom and wireless expenses. This will free resources to focus on higher value projects such as upgrading to newer technologies, refining procurement processes, sourcing and other areas of the technology environment.
Contact us to learn more about an expense management solution to help improve the bottom line of your company.
Recent economic trends are forcing enterprises to re-examine their top expenses, to reduce overhead and to increase corporate profitability, and one of the ways they're coping is via technology and telecom expense management (TEM). Enterprises are seeking more than just one-off audits of supplier bills. Instead, they want to develop a long-term plan to track services and close leakage loopholes.
To track an enterprise's physical and virtual inventory, technology expense management matches it against a company's contracts, using an automated process to make sure that what the company is being charged matches the contracted rate for equipment and services. This automated process also automates moves, adds and changes.
Technology Expense Management and Telecom Expense Management (TEM) has become a best practice among the Fortune 500 and Global 2000, and is gaining ground among MidMarket companies as an effective means of reducing technology and telecom costs.
Technology and Telecom Expense Management allows Global Companies to obtain global insight in and control of their telecom assets and expenses resulting in dramatic cost savings.
For most enterprises, technology and telecom expenses have become a top five expense as digital transformation rages. Unfortunately with increasingly widespread deployment of cloud, IoT, mobile, wired, and data networks, comes a fundamental lack of visibility and control.
Large National companies can benefit from TEM to better manage their national and international technology and telecom expenses and the specific challenges that come with multi-site management of their technology and telecom inventory.
TEM isa key way for organizations, concerned with minimizing expenses, to keep down their ICT expenses without sacrificing the ability to serve customers.
MidMarket companies cannot leverage their purchasing power in technology and telecom service volume, hence have to use smarter ways to contain their expenses. Volume purchasing power however is largely a myth. With TEM, MidMarket companies will find out that savings on technology and telecom expenses may have a substantial impact on their balance sheet and bring a healthy contribution to shareholder value.
In most organizations, finance, IT, and Telecom support teams simply do not have the time, resources or the necessary experience and tools to effectively manage monthly technology expenses on an ongoing basis.
"CIOs and other technology managers face turbulent times where both economic and accounting challenges will drive the need to control costs, either as part of a sustained cost-reduction effort or to act as responsible financial stewards for digitally-drive businesses."
Convergence Analytics has over 15 years of experience in Telecom Expense Management. We executed over 250 projects with over 100 customers and achived a 99% success rate. From a strong IT background, we use proprietary and third party software to consistently provide efficiencies and savings with Managed Services and Professional Services. We are serving large national and global customers and work with US, South American and Asian partners to support their global customers with our international experience across EMEA countries.
We love to use technology to create value for our customers and bring simplicity where complexity reigns. We bring clarity, control, compliance, and cost savings across our customer’s global technology expenditures. We leverage decades of experience in Data Management and Business Intelligence to provide data integration and expense reporting and even shadow billing solutions to help our customers get a grip on technology expenses. But we go the extra mile and provide technology enabled solutions that produce actionable savings. In our Business Consulting solutions we often work on a contingency basis, which assures our customers of guaranteed exceptional ROI results from their TEM initiatives. Through best practices, spend visibility and automation, we keep the digital footprint under control and cost-effective.
Telecom Expense Management Solutions enable companies to better plan telecommunications spend, source optimum contracts, ensure that they buy services against those contracts. In addition Telecom Expense Management monitors user and vendor compliance, provide telecom bill audit and accuracy, and analyze overall spend for ongoing improvements.
We take care of your Mobile Services Management. Our services dramatically reduce the amount of time your organization spends managing mobile services and devices. In addition to lowering your mobile expenses this service also lowers your operational expenses in managing the mobility lifecycle from sourcing to procurrement to device management to helpdesk.
Identify and recover billing errors and overcharges for your technology and telecom services as well as unnecessary services and excess rates. The scope of an audit engagement depends upon customer requirements. At a minimum, it consists of a detailed validation through shadow billing of both fixed and mobile services, equipment charges, taxes and surcharges.
The Convergence Advisory Services Consulting solution helps organizations to achieve substantial savings from Technology Expense Management solutions and processes. Convergence experts help your team to optimize expenses incurred from communications services, cloud infrastructure and subscription-based technology services. Sourcing is a key part of the service portfolio..
Cloud Expense Management has become the next frontier in managing Technology Expenses. Shadow IT and decentralized, self-service cloud services easuliy get out of control. Teams are setting up their own cloud services, bypassing the IT department and organizational budget controls, while putting sensitive data at risk of breach, causing compliance risks and already lead to huge cost inefficiencies in most organisations.
Organizations are under pressure to keep track of actual IT costs and the business value of IT investments. Visibility into the cost of services is challenging and control difficult as financial data is scattered across the organization. IT Asset and Cost Management keeps track of the financial costs. It provides insight into what is being spent, and where and why costs are being incurred through analytics and reporting.
IoT represents a new challenge in Technology Expense Management. It helps in process optimization, better production planning and control, supply chain restructuring, efficient asset utilization, product quality improvement, faster service delivery and customer service satisfaction. While it brings cost efficiencies, organizations need to track these costs and their impact through integration in TEM programs.
Convergence offers a comprehensive portfolio of resources for development. Whether you want to augment your in house IT staff with experienced developers, assign a development project or outsource to our outsourcing service in SouthEastern Europe, we provide a solution. Our experts will work with you to gather requirements and help to plan, design, develop and implement a custom application that fits your needs.