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Tata Communications’ Transformation Services business has teamed up with Ovum to develop a new roadmap to help communications service providers (CSPs) have a successful journey towards becoming digital service providers.
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The plan lays out priorities for various “types” of CSP working in different market segments, and is designed to be a jumping-off point for these businesses to build their own programmes to accomplish goals such as increasing revenue, streamlining service delivery and improving the customer experience.
“We are in the midst of digital revolution,” said Madhusudhan Mysore, chairman of the Tata Communications Transformation Services (TCTS) unit. “Operators will have to quickly rethink their approach to transformation to drive web-scale efficiencies, co-innovate or collaborate with technology innovators to rapidly identify new sources of revenue.
“The change will not only entail processes, people, technology and operating models, but will also permeate across departmental boundaries within the telco organisation as well as the associated ecosystem of partners, suppliers and, eventually, the customers.”
Ovum and TCTS have identified six specific types of CSP with differing transformation priorities that span areas as diverse as network technology and management, digital support systems, business processes and functions. In this way, they hope CSPs will be able to prioritise what they need to do and derisk the transformation process.
These archetypes were arrived at through primary research conducted by Ovum analysts at 60 global service providers, and are as follows:
- CSPs with both large home markets and international businesses, which are leading adoption of network functions virtualisation (NFV), business process systems such as big data analytics, and agile and automated operations. These businesses, which would include many large “incumbent” telcos, generally have plenty of resources available.
- CSPs with large national but smaller international investments, which are less radical in their attitude to change, but are investing in operational efficiency, legacy network transformation, and customer and revenue retention.
- CSPs with smaller home markets and limited international focus, which are heavily focused on new network technology and improving operational efficiency, and see IT transformation as more of a long-term project.
- Mobile-first CSPs, which place more emphasis on network technology and management, and less on business process systems, with considerations such as customer satisfaction scores and revenue contributions from new products.
- Internet and cloud CSPs, which also invest in their network but are more focused on business process systems and change, and put customer satisfaction at the heart of their business.
- Small national, niche and virtualised CSPs, unburdened by legacy network issues and keen to focus on business process systems to drive customer satisfaction and new services.
The reports that accompany these differing roadmaps summarise what activities need to be carried out at what point, and explain what tasks need to be prioritised at different stages of the digitisation process.
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“With the digital transformation roadmap for communication service providers, we plan to meet telco CxOs and their teams globally in our Telco Transformation workshops,” said TCTS CEO Sandeep Bhatnagar. “During these events, we will discuss and detail-out transformation priorities for individual telcos to build custom transformation roadmaps and deliberate on larger partnership in areas where TCTS can help.
“We believe that while individual transformation priorities for each service provider will be unique, an indicative framework for transformation can help operators with more efficient execution and derisk their transformation projects.”