Saving Money On Business Telecom Services
May 14, 2010
Finding cost effective business telecoom service is a challenge that your business may not be able to undertake because it is not your core business. However, most business owner’s can save money with a little research into which business telecom services are best for their situation.
A competent and informed business telecommunications consultant is vital to assist your business make the right decision every time. Whether you are an existing business, a franchise, or a new business you need to ensure that your telecommunication needs are not only met, but met at a cost effective rate. There are many business telecommunications sales representatives out there who will only try to sell you the plan that gives them the highest commission. A wrong decision will see your business locked into expensive contracts for mobile, fixed line and data services that do not meet your needs.
Many businesses purchase telecommunications on the phone from an unknown sales person and are pressured to sign by way of a recorded verbal contract. Not surprisingly when this decision is pressured the end result is often less than ideal, it could be expensive, and it could cripple your business. The quality of the service provided and the quality of the telecommunications management team is imperative to your success.
Whilst many business decisions need to be made quickly, your telecommunications need to be right, they need to be suitable for your business now and throughout the consequential contracted period. You need to find a telecommunications consultant you can trust and ask them the following questions to ensure that they have the best interests of your organization at heart and are capable of supporting your telecommunications needs.
1. Can the business telecommunications consultant provide you with an independent analysis of your current bills against the plan they recommend, and other comparable plans in the marketplace?
Many times the customer has been “sold” a service which has not been quantified in an analytical manner. We know that communication costs are an ever increasing cost to doing business and we respect that it is difficult for any organisation to employ or train a staff member to work though this minefield.
The key to having complete understanding of your telephone bills and your telephone spending patterns is in the professional telephone bill analysis
2. Can the business telecommunications consultant provide you with testimonials from companies that are of comparable size to your organisation?
Testimonials are vital. You need to be sure that the business telecommunications consultant you are dealing with is from a reputable company with many happy clients.
3. Can the business telecommunications consultant arrange for the seamless transfer of your services should you need to change carriers?
Once your business telecommunications consultant has identified the business telecommunication rates and services that are best for you and these are accepted by your business can they arrange for the transfer of your telecommunication services to the contract selected by yourselves? Professional business telecommunications consultants should ensure that you are not inconvenienced.
4. What kind of ongoing support does your business telecommunications consultant provide?
A good business telecommunications consultant will not only sign you up to a long term contract, but will keep you advised of better deals available in the market place, and proactively and constantly negotiate better deals for you, the customer.
Finding cost effective business telecommunications services is a challenge that your business may not be able to undertake because it is not your core business. However, most business owner’s can save money with a little research into what business telecommunication services are on offer.
Our Perspective:
Hutchinson Business Solutions (HBS) is an independent voice and data consultant. We have strategic partnerships with over 50 of the major voice and data providers serving the commercial market. Our clients are finding savings from 10% to 50% by shopping their account.
We allow our clients to continue their core competancy of running their daily business. Our expertise is found in our ability to validate the existing configuration and define which providers will not only bring savings but also enhance the capabilities of the system thru servicing the account.
Should you like to know more about opportunities to save money on your business voice and data accounts, email george@hbsadvantage.com or call 856-857-1230.
Three Ways to Save on Telecom
March 15, 2010
A telecom management system is first and foremost a money saver. If the telecom system cannot provide a clear reason for you to invest your time and money (but, you may not need to pay for the system, more on that later), then why would you pursue it as a strategy? The return on investment, both hard dollar costs and time and energy invested, needs to be clear before the investment is made.
So, where do telecom management systems generate their payback? Telecom systems certainly create efficiencies in terms of automating manual processes within the IT and finance organizations, but our focus is on the hard dollar savings telecom management systems are renown for delivering. These hard dollar savings are in the “indisputable” elements of the telecom program. The hard dollar savings create a solid business case that managers can take to their executives for concurrence to move forward. If the investment element of the telecom system is low or free, then the only expenses that need to be covered before generating a clear return to the company is the set-up effort.
Where do these returns come from? Hard dollar savings can only be generated buy lowering the telecom bills of the user. This lowering can occur one of 3 ways: 1) by reducing the rates that the existing carrier is bill, 2) by changing the services the user is paying for so service is maintain or even enhanced while costs go down, and 3) by introducing new carriers with superior value propositions. A comprehensive telecom management operation will accomplish these three things and more.
Reducing rates charged by an existing carrier can be challenging. After all, you are typically bound by a contract or tariff, reducing the flexibility that the carrier has in changing what is being charged. Getting rates changed is possible, but it requires work on your part and may also force a contract extension. If you are happy with your carrier, a contract extension may be tolerable. The telecom expense reductions seen in this scenario typically range less than 10%, Telecom carriers in a re-negotiation proceeding do not have a significant incentive to reduce rates, so some sort of loyalty discount is typically rolled out. The two remaining methods of reducing your telecom expenses, however, are preferred.
Changing carrier’s services is a very effective means of lowering current spending without interrupting or interfering with an existing telecommunications carrier contract. Evaluating the specific services at each of your locations, determining whether you can simply disconnect a service, consolidating service to more efficient facilities, or up-grading to a newer technology can yield savings of 10% to 20% if the network has not been optimized for quite some time.
The best savings are usually obtained by actually using new telecom service providers to replace existing services with much more competitively priced services. There are many quality service providers that supply similar quality to the larger carriers at rates in excess of 30% below what the larger telecom carriers charge. Strategies are available for every comfort level, so using an alternative carrier to lower your cost can be extremely beneficial.
Consider using a telecom management platform to tie these three strategies together. Platforms that detail telecom inventory, analyze billing trends, as well as provide flexible analytics are best suited to support cost containment and reduction initiatives.
Our perspective:
If left unchecked, voice and data cost can become a major business expense. As the industry continues to evole, the cost of voice and data have become more competitive while the increase efficiencies will take your business to a new level. For too long business has settled for the mediocresy of service provided by the major carriers. Significant savings can be found by shopping your account.
Hutchinson Business Solutions provides corporate financial solutions. We are an independent broker who represent over 50 of the major voice and data providers.
Each business is unique. We will work with you to find the right provider that will allow you to increase your efficiencies and address your needs.
To learn more contact george@hbsadvantage.com