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Introducing TTEMA well defined concept with a growing functional footprint

The practice of TEM encompasses the business processes conducted by IT and finance departments to acquire provision and support corporate telecommunications assets. Stated otherwise, telecom expense management is the build-out of services, or the acquisitions of third-party services, to manage the supply chain for telecommunications.  

At the heart of any TEM solution is an automated software platform used by the business or by an external service provider managing a company's telecom invoices and assets. This platform ties into relevant business applications and software (for example, enterprise resource planning - ERP, customer relationship management - CRM, supply chain management - SCM, HR and call accounting) to facilitate the management and payment of carrier invoices. Gartner describes the component services of TEM as:

  • Sourcing — What users buy and at what price.
  • Ordering, provisioning, support — Ensuring the use of structured workflows and authorizations for the commissioning and deployment of telecom assets. This may include help desk operations for ordering, provisioning and break/fix depot repair.
  • Inventory — Scalable, flexible data repository of telecom assets and asset management of mobile devices.
  • Invoice management — Invoice reconciliation (that is, invoice, inventory and contract). This includes the receipt of invoices and treasury services for payment.
  • Usage — The ability to optimize service contracts, track consumption of telecom assets and allocate them to, for example, business units, departments and individuals.
  • Dispute — Ensuring the recovery of credits and managing short-pay and no-pay decisions.
  • Business intelligence — The ability of departments, such as IT and finance, and of business units to generate data that can be acted on. This is achieved by maximizing the value of information from the supporting TEM service components, and drawing on complementary business applications (for example, ERP, HR and SCM).

Additionally, Gartner defines TEM solutions in 3 categories, which are tracked in the MarketScope published on a regular base:

  1. TEM application — The customer acquires applications to improve self-management (applications may be vendor-hosted).
  2. TEM managed service — The customer is primarily self-managed; however, customers gain access to SaaS, and invoice data entry is managed by the vendor.
  3. BPO — This is vendor-managed. The minimal service to be considered BPO includes vendor invoice management, inventory management and dispute management. For mobile environments, this includes ordering and provisioning and generally the most-predominant outsourced function.

Telecom Lifecycle Management Subject Area's

TEM  Subject Area's (Source Gartner)

The assets managed include local and long-distance services, mobile circuits and transport for all corporate facilities, offices and remote workers to enable communications between employees, customers and partners. These assets may include cellular and desktop phones, as well as calling cards.

While Gartner does not include in TEM solutions element management for telecommunications infrastructure such as PBXs and key telephone systems, Internet Protocol telephony equipment, and other voice communications infrastructure and states that element management is covered in a typical network IT engagement, Convergence does include infrastructure expenses in its TTEM offerings.

In the most recent MarketScope it was stated that the future for TEM is to build on its cost-savings legacy and move toward a more value-added service model. Business intelligence will be key to TEM's future, to provide analytics to improve forecasts on spending for technology migrations, support sourcing strategies and negotiations with providers, price benchmarking, and plan usage scenarios for enterprise telecom services.Thanks to its origins in Data Warehousing and Business Intelligence, Convergence’s TEMExpert Business Intelligence solution already provides in the most powerful analytics in the TEM market.

TEM in a Nutshell

Convergence TEM services in a nutshell
TEM or Telecom Expense Management is now on the agenda of many Finance, IT and Purchasing departments. They want to reduce telecom costs through telecom audit, improved telecom bill management,  better telecom contract management, telecom inventory management, timely telecom reports, tariff and usage optimization. Convergence is a telecom consulting organization offering both Managed Service and Business Process Outsourcing services, focusing on telecom expense and inventory management. Our full communications management lifecycle portfolio of services for telecom cost management includes telecom strategic sourcing services through telecom cost analysis, telecom contract negotiation, telecom RFx Development  and RFx Evaluation, telecom auction and telecom contract procurement services. Telecom optimization services to reduce telecom expenses include telecom invoice audit, tariff optimization, telecom network optimization, inventory optimization and technology upgrade assessments allowing for telecom cost reduction. Managed services reduce telecom cost through technology fueled management, allowing for ongoing telecom bill audit, telecom call accounting, telecom reporting, telecom invoice control and automated telecommunications audit. Business Process Outsourcing services provide you with TEM technology and telecom consultant  expert service for outsourced telecom cost control and telecom spend management logistics services, leading to  telecom expense reduction as well as reduction in operational telecom management costs.

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    Accessible through the TEMPOR and TEMPOR Enterprise TEM Portals, Convergence's BillIntelligence and TEMExpert software, integrated with Rivermine's leading TEM software result in true Global TEM capabilities.

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