Telecom Cost Management

Telecom Cost Management - is a comprehensive solution to minimize costs in your telecom company. “No risk service” is offered to your company by most of telecom cost management solutions since the charge for the telecom cost management is a margin of savings achieved. This charging method is used by most of TEM companies in the market.

Telecom cost management can be categorized as below,

Internal telecom cost management

This approach is used by most of small telecom companies. In this method one or more employees are allocated to monitor telecommunication costs. Specialized officers in your company should look in to budgeting, accounting and solutions to minimize telecom costs.

Outsourced telecom cost management

Telecom cost management is outsourced to telecom cost management firm to minimize costs. As I explained before most of telecom cost management companies offer a NO-RISK service which means the firm charge you a margin of your total savings after the telecom cost saving project.

In addition to telecom cost management, these companies provide some other services which mentioned below.

• · Invoice processing / auditing
• · Payment and reporting
• · Invoice auditing for contracts
• · Validation of approved inventories
• · Reconciliation of orders to invoice charges
• · Ordering (provisioning and escalation)
• · Negotiation of contracts
• · Help desk

The method of telecom cost management

Telecom cost management is totally based on activities related to cost audit which finally determine the possible savings. Cost auditing can be categorized in to two according to TEM (Telecom Expense Management) auditing methods used in the industry.

· Manual auditing – The auditor performs all the activities related to research and comparisons to identify possible savings.

· Software auditing – This is the widely used method in the telecom cost management industry at the moment. Specialized software tool is used to analyze all the cost related activities to identify possible savings in telecom costs.

· Automated auditing – this method is becoming popular in the telecom cost management filed.