The challenges of Telecom expense management by P. Verhoeff

The Challenges of Telecom Expense Management by Peter Verhoeff

The costs vary with time of day, distance and other factors. In addition there is always a shift towards new technology. According to a study by the Aberdeen Group, 83% of companies surveyed report that their top pressure is in migrating to new technologies.

More and more enterprises are moving to Voice over Internet Protocol (VoIP) and Multi-Protocol Label Switching (MPLS), which are methods of transmitting voice via computers. The Aberdeen Group reports that all but 29% of the corporations surveyed have implemented these new technologies, are in the process of implementing them, or plan to do so within the next two years.

These new technologies require new methods of monitoring calls and controlling costs. In selecting a telecom expense management (TEM) software system, it is important to choose a system that is capable of dealing with these new technologies, as well as continuing to process legacy voice connections. Recent developments in telecom include not only VoIP, but also cell phones, IP gateway devices and calling cards.

In switching to VoIP, it is very important to discontinue the old voice channels and to make sure that the company is no longer billed for them. In the VoIP testing phase, management often leaves the legacy voice channels in place and then forgets to get rid of them after VoIP has proved itself. That way, of course, any potential savings from the new technology are lost.

Making a VoIP network secure represents a challenge, but because of shared Internet technology many of the security issues are the same as those for e-mail, including spam and virus protection. Both hardware and software considerations enter into this. Given the right amount of diligence, VoIP communications can be made even more secure than the traditional PSTN (public switched telephone network).

With cell phones and calling cards, it is advisable to liaise with Human Resources, to make sure that the company stops paying for the phone bills of ex-employees.

As far as computing the costs of calls, quality call accounting software can compute these easily from call detail records (CDRs), as well as project future expenses. Moreover, modern telecom expense management software can also perform many other functions, such as issue alerts on potential telecom fraud or abuse, provide needed reports, and maintain an accurate telecom inventory.

For more information on Telecom Expense Management (TEM), visit Telsoft Solutions. Author, Peter Verhoeff, writes articles on the business benefits of call accounting and call detail record technology. More information can be found at http://www.telsoft-solutions.com.