Technology progress and changing government regulations give consumers more ﬂexibility in choosing their communications service provider. It is critical that telcos differentiate themselves by providing the best personalized experience for their most valuable customers - monitoring every interaction of their customer's experience to spot opportunities for improvement.
In the experience economy, the cycle time to sense, analyze, and respond to the customer experience is a big competitive differentiator. With SAP solutions, telcos intertwine their business systems operational performance data, or O-data (explains what is happening), with experience data, or X-data (explains why it is happening), which comes "in the moment" from customers.
Combining O-data and X-data helps ensure that every business decision is based on both facts and feelings. By connecting the front office and back office, telcos link all their internal processes with the customer experience - for example, optimizing their device supply chain with the goal of delivering the right devices through any channel and at any time customers want.
Telcos are expected to make massive investments in network infrastructures, which creates serious challenges in asset management. Telcos have faced high maintenance costs and low return on investment along the asset lifecycle due to broken processes and inconsistent, inaccurate data; the 5G requirement only adds fuel to the ﬁre.
The introduction of digital twin technology to the telecommunications industry clears the path toward the operation model for the next - generation networks that are evolving toward sharing and collaboration. With functionality enabled by SAP software for connected assets, telcos can streamline infrastructure operation through a collaborative working model. They can provide visibility and transparency of contingent workforces, equipment, network sites, spare parts, and cables to equipment providers, maintenance contractors, and tower owners.
At the same time, they can assure the consistency and integrity of the asset record by creating a digital representation of the network sites in the cloud with 100% visibility. By unifying the physical view of network assets with ﬁnancial and logical views, telcos will be equipped with the insights of granular financial performance data, such as profit per antenna and operational performance - including energy efficiency and equipment utilization per antenna – driving more granular optimization and ﬁne-tuning of investment returns.
- Inaccurate network planning and capacity planning
- Lack of visibility on what's deployed or in inventory
- Siloed communication with vendors
- Innaccurate asset data leading to faulty operation and incorrect book value
- No or siloed remote monitoring of asset or site
- Multiple site visits by field technicians
- Underused asset
- Nonexistent asset performance review
Revenue stream diversification
As telcos diversify from offering communication services to working with partners to provide digital services and solutions to consumers and enterprise customers, their legacy business support systems can’t keep up. The systems, which have been focused on the monetization of communication services, are unable to provide the agility and ﬂexibility required by the new approach. The power of an agile and ecosystem-friendly lead-to-cash platform becomes apparent.
SAP provides integrated, cloud-native applications for intelligent monetization, allowing telcos to transform their end-to-end lead-to-cash process. These applications enable telcos and all participants in their ecosystem to conﬁgure, price, and quote complex offerings together intelligently by combining connectivity, infrastructure, solutions, and services. They help ensure that incentive and commission plans are intelligently optimized and accurately executed for both telco-internal and partner and dealer sales forces.
They also provide cutting-edge mediation and charging capabilities, which are required to monetize new network capabilities from 5G, such as network slicing; and new business models, such as B2B2X, which telcos would charge and bill on behalf of their enterprise customers in serving end consumers. Last but not least, they enable ﬂexible pricing mechanisms and proper billing and revenue distribution along the ecosystem for complex bundling of new digital offerings.
Demand generation and conversion
Low visibility of leads
Slow routing and categorization
Contract creation and
Separated quote and order for connectivity and solution
Disconected dealer and partner system
Limited up-selling and cross-selling
Long time to market for new capabilities such as network slicing
Connectivity-focused legacy billing systems
Separated and misaligned partner settlement
Manual reconciliation with general ledger
The potential of 5G when combined with new technologies such as AI, machine learning, and edge computing will be signiﬁcant. And as we move from a 4G to a 5G world, the size and quantity of data streams will grow exponentially. As a result, there are signiﬁcant challenges for enterprises regarding data management and data strategy.
SAP’s data management platforms will be key components of how we enable 5G adoption for our customers across 25 industries. And with the growth of edge computing, telcos are well positioned to deliver data management as a service and platform as a service, so the value chain for SAP’s software stack and telco’s infrastructure capabilities will be closely tied together.
Intelligent connectivity services enable telcos to bundle SAP’s data management platform, including edge services, with next-generation connectivity, providing enterprises the technology foundation to scale from on premise and cloud to the edge of the network for data transmission optimization, latency-sensitive use cases, and deterministic performance of business processes. Enterprise customers can make their assets and employees at the edge operate more efficiently by processing business semantics from mission-critical applications such as SAP S/4HANA® at the edge for real-time action.
For example, a 5G network coupled with intelligent connectivity services from SAP can help ensure the level of connectivity, latency, and coverage that is required for scenarios from remote equipment diagnostics to novel retail experiences. And the telcos can wrap a new business model around this and charge it as a service.
Devices and sensors
Gain real-time insights into business performance
Provide localized payroll processes for 40+ countries
Enhance tax and legal reporting and compliance
Legacy data processing at the edge
Lack of business context
Lack of local intelligence
Disconnected enterprise backend
Delayed business process