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Spring 2011 | www.tmforum.org
Your guide to achieving a better bottom line
Service providers worldwide share their Frameworx success stories
CASE STUDYHANDBOOK
Sponsored
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CASE STUDY HANDBOOK
Your guide to achieving a better bottom line
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Page 4What can Frameworx do for you?
Page 7China UnicomTurning chaos into harmony generates a
billion dollars
Page 10Qtel GroupRevenue assurance program aims to
deliver $105 million annually to bottom linebenefit
Page14Saudi Telecom CompanyTaking a customer-centric approach to
strategic goals
Page 16MobitelSimpler IT speeds up new service
provision, drives take-up
Page 20Qwestcuts operational costs, getsproducts out there faster
Page 22Colt Technology Services, TelekomMalaysia, AircelCertified solutions speed up time to market
for service providers
Page 26Telekom SlovenijeCustomers first: an object lesson in
achieving multiple goals
Page 29
Vodafone D2, Telefnica and T-MobileAutomation affords big gains in efficiency,security and compliance
Page 32AXISIntegration combats fierce competitionin Indonesia
Page 35Magyar TelekomBetter service provisioning and activation
create foundation for growth
Page 38Pakistan Telecommunication CompanyLimited (PTCL/Ufone)Enabling consolidation and growth to go
hand in hand
Page 40GTEL Mobile
Fast deployment and differentiatedproducts bring rapid success in Vietnam
Page 42PT InovaoSimpler network changes bring major
benefits
Page 46European operatorConsolidated BSS produces magic number
Page 48Microsoft Business Online ServicesTransforming IT systems to support new
business models
Page 50Leading Indian service providerMeasuring success through an open
process architecture
Page53South East Asian operatorHow to save a million dollars a year
Page 53
Views from the topIndustry leaders highlight the businessbenefits of using TM Forum standards
Page 58Fall 2011 edition of TM Forum CaseStudy HandbookHow to submit entries to the next issue
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CASE STUDYHANDBOOK
CASE STUDY HANDBOOK
Welcome to the spring edition of the TMForumCase Study
Handbook 2011. Here you will find real-life case studies on how
service providers from very different markets around the world
have benefited from using the Forums comprehensive suite
of tools and standards, Frameworx, as well as best practices
developed by our members, plus collaboration initiatives and
our Business Benchmarking Program.
Read how China Unicom has reaped around $1 billion in
cost savings and new revenues so far, while a Frameworxdeployment helped AXIS to offer tailored bundles in the fiercely
competitive Indonesian market, resulting in it signing up 2
million more customers in three months.
Qtel Group, which has a presence in 17 countries, has
gained $50 million in bottom line benefits since it launched its
three-year revenue assurance program, based on the Forums
Revenue Assurance Maturity Model, in 2010. The plan is to
add $105 million in bottom line benefits each year from 2013 in
recovered and assured revenue.
In Europe, Frameworx helped Mobitel reduce the signing
up process for new services from up to 45 hours to minutes.
As Botjan Robenik, IT director, Mobitel, says, Adoptingthe industry standards means using the best practices from
around the globe, which help us run optimally. Also, [our parent
company] Telekom Slovenije owns other mobile operators
that can now easily adopt our solution because it is based
on industry standards. This means our knowledge can be
leveraged for additional benefits.
In the U.S., to reduce investment risk and prove the viability
of what it wanted to achieve, Qwest and its partners turned
to Frameworx and the Forums Catalyst program before
it embarked on the transformation. Within a year of the
deployment, Qwest saw a 4 percent increase in revenue, a
5 percent cost reduction, a 25 percent improvement in newproduct deployment cycle times, and a decrease in unique
provisioning and assurance job steps.
An Asian operator is saving $1 million in procurement alone
annually, while rolling out 3G. This is due to better visibility of
its network assets, and massive savings due to automation
replacing many manual tasks, both facilitated through deploying
Frameworx.
This Case Study Handbookshows, in the most pragmatic,
real terms, how and why Frameworx and the Forums best
practices are applicable to many sectors and situations as the
digital ecosystem develops.
We hope this edition whets your appetite and starts you
too wondering what Frameworx could do for your business.
Or if youve had some success of your own with Frameworx,
or through the Forums other activities, that it inspires you to
share your story with others in the next edition of the Case
Study Handbook. Please see the panel on page 58 for details of
how to submit entries and what we are looking for.
TM Forum: enabling changeSuccessful business transformation involves complex decisions
at every turn. To succeed, you need the right strategy, a clear
view of change needed in your business, and technology
solutions that deliver results. Whether you are introducing
a new service portfolio, rationalizing existing systems or
transforming business operations, TM Forum provides its
members with thought-leadership, best practices and the
Frameworx suite of standards proven to deliver success every
step of the way.
As the case studies in this handbook illustrate, Frameworx
offers the standards and tools to dramatically reduce costs
and risks associated with the business and IT design, andimplementation stages of change shown below.
What can Frameworx do for you?
Business strategy
& objectivesStrategic planning
Business planning
and design
Business & IT design
Operational
impact analysis
Organization
impact analysis
Information
support systems
Procurement
Implementation
Implementation
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Introducing Frameworx
Already adopted by 90 percent of the worlds largest service
providers, TM Forums Frameworx suite of standards provide
the blueprint for effective business operations. They enable you
to assess and improve performance using a proven, service-
oriented approach to operations and integration, which allows
you to focus on growing your business.
Frameworx components
Frameworx enables a service-oriented, highly automated and
efficient approach to running a service provider's business
through the following components:
The Business Process Framework Efficient, clear and
effective business processes are critical to delivering
innovative services quickly, at the least possible cost. This
Framework provides a comprehensive, industry agreed,
multi-layered view of the key business processes a service
provider needs to run their business. Aligned to ITIL, and
supported by off-the-shelf tools, the Business Process
Framework provides:
a comprehensive, multi-layered catalog of the business
processes required to run a service providers business
guidelines and standard process flows ensuring your
processes are efficient and effective across the enterprise
business-to-business processes giving you standardized
processes across a value chain of partners.
The Information Framework End-to-end service
management means the consistent use of data across
the enterprise. The Information Framework provides a
comprehensive, industry-agreed definition for information
that flows through the enterprise, and between service
providers and their business partners. Supported by off-the-
shelf tools, the Information Framework provides a common
information model, reducing complexity and allowing for the
definition of standardized integration points. The Framework
enables business agility through:
an agreed enterprise information model for end-to-end
service management, defined using business-oriented
Unified Modeling Language models
an extensible, proven and flexible information model
supporting federation, enabling rapid introduction and
management of new technologies and services
a clear, common language between buyer, supplier and
business partners.
The Application Framework Understanding how yourbusiness processes are implemented in your software
architecture is paramount to success. This Framework
provides a model for grouping processes and their associated
information into recognizable applications. It provides a
common language and identification system between buyer
and supplier for all application areas. It gives you:
a coordinated systems map showing how your business
processes are implemented across applications
support for enterprise architecture design through
understanding of your systems architecture versus a
standardized map support for procurement through a consistent definition
of an application, the functions it should perform and the
information it needs.
The Integration Framework Automation of business
processes enables you to reduce costs significantly and
deploy new services rapidly. But automation requires
interoperability between systems across the entire enterprise
and an extended value chain of partners. The Integration
Framework defines how the processes and information
behind these systems can be automated by defining
"Already adopted by 90 percent of the worlds
largest service providers, TM Forums Frameworx
suite of standards provide the blueprint
for effective business operations."
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CASE STUDYHANDBOOK
CASE STUDY HANDBOOK
standardized, service-oriented, architecture-based interfaces
called Business Services (NGOSS Contracts). The Integration
Framework includes:
a taxonomy for services and guidelines for the
development of Business Services
model-driven tooling for the machine assisted production
of standard interfaces
a repository for Business Services.
Business Metrics Understanding the performance of
your business is a critical aspect of managing transformation.
Knowing how you compare to the industry in key operational
areas will guide your transformation investment.
TM Forums Business Metrics, mapped to the Business
Process Framework, provide a way for you to measuresuccess based on a balanced scorecard that covers:
revenue and margin a view of fiscal performance
customer experience measures that impact the end-
customers reaction to the service offering
operational efficiency a view of cost and expense drivers.
Frameworx support
TM Forum provides a comprehensive set of supporting
services to make Frameworx adoption easy for our members.
Our Frameworx Conformance Certification and RFx
programs make it easy to assess and procure products andsolutions conformant with Frameworx, while Conformance
Implementation Certification allows service providers to verify
their internal business processes and data model against
the standard.
Other important supporting services include an extensive
library of Guidebooks and Best Practice Guides, an
online member support community of more than 50,000
professionals, a Help Desk, professional Training and
Certification and Benchmarking services.
You can learn more about Frameworx at tmforum.org/frameworx
Frameworxs benefits at a glance
Developed through industry collaboration, Frameworx
helps you:
Understand your customer
Frameworx drives customer satisfaction and loyalty by
providing a common model for your customer
management information
Innovate and reduce time to market
Frameworx allows you to identify and capture new
opportunities helping you to rapidly deploy services
through streamlined, end-to-end service management
Reduce operating costs
Frameworx reduces operating costs by enabling highly
efficient and automated operations with a proven suite ofindustry standards
Reduce integration costs
Frameworx reduces the cost, risk and complexity of
integration by providing standardized interfaces and a
common information model
Reduce transformation risk
Frameworx reduces the risks associated with
transformation and change programs by delivering a
proven blueprint for your business
Gain independence
Frameworx gives you greater independence and
confidence in your procurement choices throughprocurement guides and conformance certification
Gain clarity
Frameworx brings clarity to procurement and
implementation of complex systems by providing a
common, industry standardized language
Build essential partnerships
Frameworx enables you to build effective partnerships
quickly and easily, by providing a common language for
your business and integrated systems.
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Turning chaos into harmony
generates a billion dollarsSummary:China Unicom is the countrys second largest mobile network operator with more than 160 million
subscribers, as of August 2010. Before the Unified Voucher and Top-up Management Network Solution
project, China Unicom had 55 different interactive voice response lines, 120 accounts receivable systems, and
200 different kinds of vouchers for topping up service accounts across the mainland. In addition, operations
in each region were unique for different user types and services (wireless, wireline and broadband). To
streamline the service operations from end-to-end, the operator developed the Unified Recharging Service
Network, using TM Forums Frameworx, to integrate these disparate channels and provide a consistent user
experience. Using Frameworx cut two months off the design phase of the project, which spanned over 268
BSS/OSS systems. The service has achieved 99.9 percent service availability and gained around a billiondollars a year in new revenues and cost savings.
China Unicom needed to streamline its various service top-up
operations and offer a consistent, simple customer experience.
Before starting its Unified Recharging Service Network project,
there were 55 separate interactive voice response (IVR) service
numbers for customers to call, 120 accounts receivable (AR)
systems and 200 different types of recharging voucher cards in
use across the mainland.
The recharging processes themselves varied widely across
China Unicoms 31 provincial subsidiaries: Operations in each
region were unique for different user types and services(wireless, wireline and broadband).
This situation caused all sorts of problems for the service
provider and customers alike. For instance, there was no
single voucher that could be used by a customer to recharge
all the services on offer and customers who used services in
one province couldnt top up their accounts while in another.
Nor was there a unified portal for recharging through multiple
channels, such as SMS, online, and IVR.
As Haoyang Lu, Planning Division, Information Department,
China Unicom comments, The projects goal was to turn this
situation from chaos into harmony.
He notes, It was a very big challenge to provide a
consistent recharging service for customers and different
service accounts across the country, requiring the integration
of multiple, distributed, province-centric systems. With so
very many systems involved, it was a huge task to streamline
all operations from end-to-end, and in particular revenue
management was a difficult but crucial area.
First such support system in China
Indeed, such was the complexity and scale of the project, itsno surprise that the Unified Voucher and Top-Up Management
Network Solution is the first such service support system
implemented in China. It unified the management of customer
interfaces nationwide, across multiple access channels
including the web, WAP, SMS and IVR portals. It also
standardized the operators business processes across the
country to provide customers with a consistent recharging
experience.
China Unicom chose to use TM Forums Frameworx to make
the huge integration project easier and quicker, and to lay the
foundations for future developments. Processes from the
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Business Process Framework (eTOM) were used to define the
unified recharging processes and to resolve process design
issues, mainly in the domain of the fulfillment assurance and
billing (FAB) process blocks that is, customer interaction,
billing and revenue management.
The architecture design was based on the Information
Framework (SID), which was also used to resolve system data
model inconsistencies, especially for designing the core parts
of the recharging and account model. China Unicom took future
developments into account with its design, thinking ahead to
other possible transformational projects and trends.
The Application Framework (TAM) acted as a reference to
identify and define the scope of the technical solution; that
is the integration relationship and the system processes,
and interfaces between the customer interface, customer
relationship management (CRM), billing and AR system. The
Application Framework also defined system requirements and
corporate system specifications.
Service contractsChina Unicom used the concept of service contracts, derived
from the Forums Integration Framework, to define in detail
the services passing through the exposed interfaces and to
streamline process interactions and monitoring.
It also used Frameworxs methodology of service definition
and the service oriented architecture (SOA) governance to help
with the design of an holistic SOA-style architecture for the
integration of multi-system networking.
The use of the service contracts concepts and the
methodology derived from Frameworx and the Integration
Framework cut the design time by two months, resolving
holistic architectural issues and the processes and servicedefinition. From this, China Unicom developed a distinct
heart-beating mechanism that spans more than 268 BSS/
OSS systems that also draws on the Forums service level
agreement management and SOA governance. It is designed
to guarantee the end-to-end service quality an average of
99 percent service availability by defining and monitoring
distributed key performance indicators.
The heart-beating mechanism collects self-status information
from management module deployed in the recharging network
nodes in the 31 modules. It also collects status information
about the local BSS/OSS systems in each province by initiating
simple service transactions.
The central management system deployed collects
relevant information of each provincial node through periodic
management messages over HTTP protocol. Meanwhile, the
central system broadcasts the status information about the
provinces to each province. The communications within the
network of distributed BSS systems is organized as a set of
short connections, with a lot of built-in redundancy; that is
information is not lost if a single built-in link goes down.
China Unicom set up a star-like BSS network, linking multiple
distributed BSS/OSS application systems (such as portals,
CRM, business intelligence, settlements and intelligent
network elements) across the whole country.
This BSS-oriented networking infrastructure improves
the agility of ITs support capability greatly, acting as the
foundation for nationwide process orchestration and better
business support. The core part of this solution is a centralized
consolidation plane (centralized transaction switch) for service
and data switching, and routing. It is the primary application
infrastructure for the integration architecture in the future.Haoyang Lu says, With the help of TMF Frameworx
standards and best practices as references, we achieved
our project goal within a short time. Most importantly, all the
project team could refer to a common methodology and unify
thinking through the project lifecycle by referring to Integration
Framework model, which is more relevant to the BSS domain
of service providers rather than the general IT technical
domain.
The project was implemented successfully and by the end of
June 2009, the daily peak workload on the centralized switch
was 1.25 million transactions, with an average response delay
within the recharging network of 400 ms. At the time of ChinaUnicoms submission to the TM Forum Excellence Awards
2010, the operation had been up and running for over 7,000
hours without any faults.
Roaming rewards
Customers now have a consistent and convenient way to
recharge their own or others' service accounts and can pay as
they go while roaming in other provinces. The current monthly
recharge value passing through the system is around 1.2 billion
Yuan ($180 million).
In summer 2010, roaming recharge accounted for 35 percent
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of that total with around 45 million people using the roaming
recharging service. China Unicom expects this to rise to 420
million Yuan a month, making an annual total of 5.04 billion
Yuan ($758 million) revenue that it missed out on before due to
the lack of support for roaming.
Costs slashed
Previously, the level of voucher commission was diverse
and too high in some provinces, resulting in the average
commission being 3 percent of the value of the voucher. By
introducing the One Voucher card the average commission
is 2 percent. As sales of the cards run at some 25 million
per month, annual sales are around 300 million and so the
commission saved is 300 million Yuan ($45 million) annually.
Other savings have resulted from the One Voucher card too
the cost of producing the vouchers has fallen, due to the mass
manufacture of one type of card, and costs have also fallen due
to implementing a centralized operational model. China Unicom
is producing around 480 million cards annually with a direct cost
saving estimated at 1.8 billion Yuan ($270 million).The new, easy to use service was promoted by TV ads
starting in December 2008. From the start, customers were
keen to use it. The average number of recharging transactions
increased by 50 percent. For instance, in Hong Kong, the
service became the primary way of topping up accounts soon
after its commercial opening on April 1, 2009, with 40,524
transaction there that month, with a value amounting to 4.3
million Yuan. Within another month, this had risen to 170
million Yuan.
China Unicom is benefiting from being able to manage
its business more effectively as a result of the project as all
the data concerning the status of the recharging vouchers iscollectedly centrally, quickly and accurately. Now the operator
has up-to-date information about the cards, nationwide, as
needed, and also controls the overall commission rate of
voucher brokerage dynamically, which was unimaginable in
the past.
Plans for the future
China Unicom plans to track developments in TM Forums
Frameworx and other projects relevant to SOA to enhance
its overall BSS infrastructure. It also plans to improve its SOA
architecture and governance, partly to make it more flexible
and easier to add other BSS service processes to, and partly to
improve the operational stability of its IT infrastructure.
The most recent stage of the project has already brought
more features of SOA architecture into the network hub,
including more SOA functionalities, such as service publishing,
service proxying, service invoking, service management,
service assembling and orchestration. These new features
make the network more aligned with SOA principles and enable
the centralized management to carry out service lifecycle
management across the whole network. Also, more IT systems
services are being deployed on the distributed BSS network.
Perhaps most excitingly of all, China Unicoms plans to
integrate the recharging network with more service portals and
turn it into a centralized payment hub are progressing rapidly.
The unified recharging system has linked into China UnionPays
member banks network and the centrally-deployed Portal
of China Unicom. Haoyang Lu says, We will hook up later
with our mobile micropayment system and other value-added
service platforms to broaden the scope of its applications. TM
Forums Frameworx and best practices provide us with goodreferences on which to base technical decisions.
"Perhaps most excitingly of all, China Unicom's plans
to integrate the recharging network with more portals
and turn it into a centralized payment hub
are progressing rapidly."
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Revenue assurance program aimsto deliver $105 million annually to
the bottom lineSummary:The Qtel Group has grown rapidly from a single country operator with 500,000 customers in 2005
to a global player having presence in 17 markets in the Middle East, North Africa and Southeast Asia with
a customer base of 69 million today. Key markets include Qatar, Kuwait, Oman, Iraq, Algeria, Tunisia and
Indonesia, through companies operating GSM networks and WiMax infrastructures. The operations in the
different markets are very diverse in terms of maturity. For instance, Indosat in Indonesia is more than 40
years old while the operation in Palestine was launched in 2009. Qtel International is the centralized managed
services arm, charged with increasing shareholder value across the Qtel Group from driving synergies,
standardization, and the use of best practices. Lee Scargall, Group director of enterprise risk management,
Qtel International, turned to TM Forums Revenue Assurance Maturity Model as the basis for a three year
program, starting in 2010, to add $105 million annually to the bottom line by 2012.
Lee Scargall joined Qtel International, at the end of 2008, to
work at the head office in Qatar. His role is to drive and exploit
synergies across the diverse operations, an important part of
which is standardizing toolsets and processes. He says, I
went straightaway to TM Forums Revenue Assurance Maturity
Model, which is part of the Forums Business Benchmarking
program (see page 13). Scargall had taken part in benchmarking
studies before when working for a previous employer and
understood the benefits it can deliver.He explains, It is something we needed to do as a Group
because some companies were mature in terms of their revenue
assurance capabilities and some were not. In 2009 we started a
maturity assessment across the Group to help us identify gaps
and weaknesses to figure out what steps we needed to take in
terms of improving our people, tools, processes, organization
and influence (see Figure 1 on page 11).
It quickly became apparent there were no standard toolsets
across the Group, processes were inconsistent, and controls
inadequate. Scargall says, Some of our companies were very good
at revenue assurance and had toolsets and robust processes, while
others had no revenue assurance measures in place.
Having carried out the assessment, Scargall proposed a three
year program to move everyone up to Level 4 of the Maturity
Model, which, he explained, would deliver more than $105
million annually straight to earnings, before interest, taxes,
depreciation and amortization. The Qtel board agreed to the
proposal and provided the funding to roll out the program,
although it is completely self-sustaining.
Typically, Qtel International pays for a short term pilot for anoperating company to showcase the benefits of using specialist
toolsets, then the operating company decides whether to
enter into a commercial arrangement with the supplier. Scargall
explains, The whole thing is part funded centrally, and part
funded locally to ensure ownership remains at the operating
company going forwards after a trial.
We set each operating company a target to detect and
recover leakage that is linked to the TM Forums Maturity
Model assessment; so if a company is at Level 1, then we
expect a 1 percent detection rate, if at Level 2, then a 1.5
percent detection rate and so on.
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Every operating company submits a monthly report about
how much leakage was detected and recovered, and to which
leakage point, as described in the GB941-Annex D guidebook:
more than 100 leakage points have been identified by TM Forum,
so each incident is logged against one of the categories.
Scargall says, We look at all the incident information from all
the operating companies, we track it, check whether incidents
are open or closed, how much revenue is at risk, what the
recovery rate is, and so on. In other words, head office tracks
all the incidents relating to revenue leakage across the Group,
and can help the operating companies to manage them by
providing advice and assistance.
David Stuart, assistant director of revenue assurance and
fraud management, Qtel, adds, This holistic approach at the
head office allows us to identify those leakages that would
impact more than one operating company. For instance, if
one operating company reports a systemic leakage and we
have the same system in five other operating companies, we
will distribute the incident information to the others to ensureclosure across the Group.
Qtel International acts on each of the five aspects identified
by the Forums Revenue Assurance Maturity Model (for more
detailed information, see our Business Intelligence Quarterly
report on Revenue Assurance, published in November 2010,
which is free to members from our website.
Scargall says, On the tools side, we have a signed two
frame agreement to standardize the reconciliation software
suppliers across the entire Group. We like a dual supplier
approach to toolsets because it ensures there is always
competition on price, and the operating companies have a
choice of option A or option B which strengthens buy-in at thelocal level. They feel more part of the procurement process
rather than having a single supplier imposed upon them.
Concerning our people, we have established a training academy
in Doha, Qatar, that educates our staff in revenue assurance
using the TM Forums training program for which we receive Forum
accreditation. Our aim is to see all of our staff becomes accredited.
We also provide best practice guidance across the Group, and
weve implemented a wiki where staff can exchange information
and ideas. In addition, we have also enabled tweet alerts, and online
chat capability so we can share information across the Group in
real-time. This is particularly important when we are dealing with
Figure 1: Likelihood to impact the bottom line
RA people
RA organization
RA influence
RA process
RA tools
Overall
RA maturity
0 20 40 60 80 1
69%
69%
72%
81%
81%
81%
Source: TM Forum
"We have established a training academy in Doha,
Qatar, that educates our staff in revenue assurance
using the TM Forums training program for which we
receive Forum accreditation. Our aim is to see all of
our staff becomes accredited. We also provide best
practice guidance across the Group."
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fraud, so having the ability to share vital information quickly can
be critical in preventing leakage.
He continues, The more you know about fraudsters activities
across different territories, the stronger the position you are in to
counter them. Developing a Group mentality is very important,
people need to feel they are part of one team all moving in the
same direction, and we want to embed this in our culture.
Scargall is encouraging competition among the operating
companies by setting up a league table around revenue
assurance targets. At the same time, he fosters a sense of
community, in part by holding Group revenue assurance forums
for some 30 people in total, sharing information benefits
everyone around the Group, he states.
The heads of revenue assurance are the greatest influence and
we all meet twice a year in a different location. We discuss the hot
issues and how best to work together. Between the meetings,
we have regular phone calls and on-site, follow-up visits.
We also work to raise the profile of RA with the local
management teams to gain recognition and support for what
we do: we need the CFOs, CTOs, and CIOs to all work together
to realize the potential benefits of a successful RA program
across the Group.
The Qtel Group is making excellent progress towards its
goals. Scargall says, We are exceeding our targets in terms
of revenue recovery, with over $50 million being added to the
bottom line in the first year of our three year program.
There is no complacency however. Scargall acknowledges
there is much more hard work left to do. We are making
good progress and report back to the steering committee each
month. This is a big program and theres significant financial
benefit for the Group. The operating companies appreciate the
leadership and co-ordination from head-office, he says.
He continues, We are also trying to standardize our
processes, establish centres of excellence across the Group,
and take the experiences of what is being done well and apply
it elsewhere. We have a range of operating companies that are
at Level 1 and 2, and the only way were going to get everyone
to Level 4 is by being more proactive.
Since embarking on the program in 2010, there has been
a noticeable improvement to all five aspects of the Maturity
Model, with the operating companies beginning to rise to Level
3. As Scargall concludes, Reaching Level 4 across them all is
the goal for the next two years.
We are exceeding our targets in terms of revenue
recovery, with over $50 million being added to the
bottom line in the first year of our three year program."
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TM Forum Revenue Assurance Maturity Model
The Revenue Assurance Maturity Model is part of the Forums Revenue Assurance Solution Suite
(see http://www.tmforum.org/KnowledgeDownloadDetail/9285/home.html?artf=artf1442).
The Model (also known as GB941-B) offers a best practice approach. It provides a standardized way of
establishing how well developed the aspects of the revenue assurance (RA) are within an organization. It
enables service providers to identify weaknesses and standardize processes to maximize efficiency while
keeping costs down.
Five distinct aspects have been identified to help understand how RA matures (see Figure 2). How
advanced each aspect is determined using detailed questionnaires. The Forum conducts the Revenue
Assurance Performance study in addition to the Revenue Assurance Maturity Model for organizations
whose maturity is more advanced.
1. Ad-hoc, chaotic. Dependant on individual heroics.
2. Basic project/process management. Repeatable tasks.
3. Standardized approach developed. Designing-in control commences.
4. Leakage quantitatively understood and controlled.
5. Continuous improvement via feedback. Decentralized ownership, holistic control.
Figure 3: The phases of revenue assurance maturity
1. Initial
2. Repeatable
3. Defined
4. Managed
5. Optimizing
Organization People Influence Tools Process
The organization of
RA responsibilities
reflects how well
aligned the objectives
of individuals andthe business are
to the goals of RA.
Organizational fit
reflects the business
culture and how
well it is suited
to adopting RA
objectives.
The maturity of RA
can in part be gauged
from the human
resource dedicated
to it or providingsecondary support.
Instigating, managing
and delivering
change is a sign of
maturity. Influential
RA delivers financialrewards to the
business and is
a mechanism to
continuously improve
its performance.
The use of tools
is one of the most
tangible guides to RA
maturity, depending
on how well thetools are designed
and used, and the
synergy between
them. Their most
effective use meets
multiple business
objectives.
RA is a high level
process, containing
many detailed
processes, that
should be improvedconstantly.
In addition, the Model has five levels of RA maturity, as shown in Figure 3, to help a company establish
where it is and where it needs to go to improve constantly.
Figure 2: The five aspects of revenue assurance maturity
Source: TM Forum
Source: TM Forum
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Taking a customer-centricapproach to strategic goalsSummary:A conversation with the CTO of a large European service provider changed Mohammed
Al-Hakbanis approach to Saudi Telecoms back office systems, from viewing them as a cost center to
seeing them as the key to achieving strategic goals. By using TM Forum standards, benchmarking metrics
and best practices, his companys transformation project demonstrated their benefits in only 16 weeks.
As he says, One of the most impressive aspects of this project is that, with the support of TM Forum,we were able to determine which transformations were low hanging fruit projects whose benefits
would subsidize follow-on work so that early projects could become self-sustaining.
Leading the investigation into the value of TM Forums
Frameworx for his company Riyadh-based Saudi Telecom
Company (STC), the largest telecom company in the Middle
East Mohammed Al-Hakbani, Operation Support System
(OSS) Director within the Network Sector, recalls a particularly
important day. We had been introduced to the CTO of a large
European telecom provider, and he explained to us the strategic
importance of OSS/BSS systems to his company indeed OSS/
BSS transformation was central to his companys shift from atechnology-centric to a customer-centric organization. Now, I
had been thinking of OSS/BSS as a cost center, not so much
as a way to help us realize our strategic goals. So this meeting
became a turning point that has since guided the Company
towards significant benefit.
STC was privatized years earlier, in 1998, marking the
beginning of a period of significant company transformation
that has included organizational change, strategic investments
outside the Kingdom, and technology and infrastructure
investments in all aspects of the business. Like most telecoms
operators worldwide, the move to a customer-centric focus
required changes not only to technology, but also to software,culture, and processes. With the help of TM Forum, the
company is now able to adapt industry best practices to its
own unique needs; driving improvements in several customer-
experience related key performance indicators (KPIs), as well as
reducing implementation time for complex new initiatives.
Al-Hakbani, who was the program manager for the companys
OSS transition, relied heavily on TM Forum. The Forum gave
us access to the experience of hundreds of service providers,
providing best practices, benchmarking data, and specific
standards and data models that helped us to coordinate both
technical and process transitions.
For example, explains Al-Hakbani, STC chose to introduce
a new Fiber to the Home (FTTH) product line. As part of the
design of new systems to support FTTH, STC was faced with
an important choice regarding how to orchestrate the various
systems that needed to be coordinated when provisioning
new FTTH service. STCs options were to use orchestration
functionality inside its own inventory system as had been
done previously for its DSL service or to spend the time and
effort creating dedicated, centralized orchestration functionality
Reducing risk, making informed decisions
In retrospect, it is very clear that our choice to orchestrate our
process flows through a central information bus was the right
choice, recollects Al-Hakbani. But at the time, the benefit
was not so clear. The initial project was more expensive, and
required changes to systems that had worked for years.
He adds, TM Forum benchmarking data and Frameworx
best practices were critical in helping us make the right
decision. They helped us and our executive management to
understand the substantial downstream capital and operational
benefits that will be driven by this investment, as well as theless tangible benefits to STCs customers experience.
Another example is STCs trouble management process,
also enhanced through the companys membership of
TM Forum. Increasing customer satisfaction by resolving
trouble tickets ahead of time resulted in saving cost and
improving STCs brand perception. STC used the Frameworx
trouble management process to identify opportunities for
improvement, and then to demonstrate the potential benefits o
the improvements to managers responsible for implementing
trouble ticketing processes.
A final example is STCs performance assurance managemen
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process, which also gained through the companys membership
of TM Forum. With the introduction of a complex service such
as IPTV, where customer experience was essential in reaching
and maintaining the companys customer satisfaction goals,
STC used the TM Frameworx trouble and performance process.
Frameworx and best practices
Al-Hakbani explains that his company values hard numbers that
quantify business benefit: We are very pleased to have been
awarded the TM Forums prestigious Operational Excellence
Award in 2010 for a transformation project that demonstrated
benefit in only 16 weeks. In this project, STC worked with
IBM, and began with an assessment of current processes,
applications, and architecture against TM Forum Business
Process Framework (eTOM). One of the most impressive
aspects of this project is that, with the support of TM Forum,
we were able to determine which transformations were low
hanging fruit: projects whose benefits would subsidizefollow-on work, so that its early projects could become
self-sustaining.
STCs transformation team mapped al l OSS processes to the
eTOM model, in Level 3 as well as some in Level 4 and 5. As
part of this project, STC also used the Information Framework
(SID) for data integration. Internally, all vendor proprietary
interfaces are mapped to the Information Framework. In
addition, STC is pushing its vendor partners to be compliant
with the Information Framework. STC uses TM Forums
Integration Framework (MTOSI and OSS/J) for inter-working
between different vendors, technologies, and systems in its
service assurance implementation. STC is also collaboratingwith other vendors that comply with TM Forum Integration
Framework and its interface standards.
In addition to adopting Frameworx, STC is now involved
in the TM Forum Benchmarking Program. Our use of the
Forums benchmarking data is particularly important at STC,
explains Al-Hakbani, who now tracks several benchmarking
KPIs including: mean duration to fulfill service orders,
percentage of orders delivered by committed date, mean
duration to fix customer reported troubles, fulfillment process
cost as a percentage of operating expenditure (OpEx), and
assurance process cost as a percentage OpEx. By tracking
these numbers and using them in its decision-making, STC is
able to become a more rigorously managed organization.
Results Summary
In summary, STC has realized a number of benefits from
Frameworx and the companys TM Forum membership.
They are:
nsaving significant potential downstream costs through
understanding, and then implementing, TM Forum
Frameworx architectural best practices including Information
Framework (SID) and TM Forum interfaces (such as MTOSI,
and OSS/J);
ncultural and process change management support;
nsupport in identifying low-hanging fruit transformation;
projects, which produced the maximum value in the shortest
amount of time, thereby optimizing cash flow;nidentification of which KPIs, of the many thousands that it
could have tracked, were the most valuable in converting to a
customer-focused business.
Future
As the benefits of TM Forum-inspired initiatives continue to
be measured, STC will use them to justify further investments
that incorporate Frameworx best practices, standards, and
benchmarking information. Al-Hakbani explains that working
with the TM Forum is critical to our ability to cost-justify
ongoing investments in industry best practices. As our
thinking about the strategic nature of OSS/BSS investmentmatures, understanding other service providers experiences in
recouping the cost of these projects many times over is very
important to us, because it will make the benefits of this work
very clear to our executive sponsors.
Look to STC to leverage its excellent technical staff as well
as the passion of its OSS/BSS leadership to continue to push
new boundaries. Particular initiatives will include an increasing
use of software services, and continued development of its
business process management infrastructure.
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Simpler IT speedsup new service provision,drives take-up
Summary:Mobitel, Slovenias biggest wireless communications service provider, operates in challenging
conditions. It is facing increasing competition, is heavily regulated and must comply with complex
governmental processes before it can provide customers with new products and services. In addition,
Mobitels OSS/BSS applications were developed in silos and it relied heavily on manual processes.
Nevertheless, it has transformed itself, now delivering unique and customized products and services
to the market, and will do so even more as it merges with its parent company, the incumbent fixed
communications services provider, Telekom Slovenije (see page 26). For example, it will begin to offer
combined fixed and mobile bundles starting July 2011. Little wonder Mobitel decided to adopt a serviceoriented architecture along with TM Forums Frameworx and streamline its IT and application infrastructure.
It worked closely with IBM to gain greater operational flexibility, business agility, and the ability to respond
to customers more rapidly. Mobitel reaped benefits almost immediately.
Mobitel was established in 1991 and is the biggest provider of
mobile communications in Slovenia. Mobitel is part of Telekom
Slovenije, which has some 3 million subscribers across five
countries. Mobitel itself has about 1.5 million subscribers, but
what it lacks in size, it makes up for in innovation. Arguably, it
leads the worlds service providers in many application areas.The telecoms market in Slovenia started out as a heavily
regulated industry. Mobitel, under its parent company Telekom
Slovenije, was the original mobile service provider in Slovenia.
At the end of 2003, Mobitel had approximately a 73 percent
market share, and competed against three other providers.
As Mobitel faced increasing competition, the company
realized it must reduce costs and streamline its processes to
enable it to react to competitive threats quickly. It needed to be
able to launch new products and services in days, not weeks or
months. The executives at Mobitel decided the best approach
was to implement industry standards and service oriented
architecture (SOA) principles and TM Forums Frameworx is
an enabler of SOA.
Mobitel has now automated and manages its complex
processes, SOA-based integration to various systems, and
OSS/BSS applications after adopting a business process
management platform (IBMs Dynamic BPM), combinedwith IBM WebSphere Telecom Content Pack (WTCP).
WTCP provides prebuilt accelerators aligned to TM Forums
Frameworx, and an SOA-based approach to accelerate its
time to market and optimize the business costs involved in
generating new products.
Botjan Robenik, IT director, Mobitel, led the push to
implement an SOA. He says, I approached Mobitels
executives with the idea that SOA is a clear must for the
future. You have to have an SOA to enjoy a clean IT structure.
SOA enables us to orchestrate the entire IT landscape and all
its applications using a single business support system. It was
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only after we had obtained funding and implemented the SOA
technology that we began to realize the potential for business
optimization.
Mitja Stular, CTO, Mobitel, agrees with Robenik: SOA
increases our efficiency. It brings a kind of organized distributed
modularity into our network. Previously, we had many, many
modules which were programmed in Java and C++.
The new approaches are already proving beneficial, as
Mobitel is merging with its parent company Telekom Slovenije,
which provides fixed line services in Slovenia, and starting in
July 2011, will offer fixed and mobile service bundles. To do
that and offer new and innovative services and other bundles,
the merged entity will rely on the new products and concepts
enabled by the transformed order management process.
As Klavdij Godni, CEO, Mobitel states, We implement the
services of the future today, bringing the convergence of voice,
data, Internet, video, television, advertising, local services and
social networks. We achieve this by integrating with manyestablished technologies, products and service suppliers in the
industry.
Selection process
Mobitels primary reason for adopting a BPM and SOA approach
was to separate business processes from the business
applications so that business agility could be improved. TM
Forums Frameworx was adopted as the basis to provide a
standards-based implementation model based on SOA and
telecom industry standards, enabling Mobitel to reduce the risk
of a vendor-specific implementation model.
Mobitel then prioritized the business processes that neededto be transformed, focusing on the those that were most
important to meeting its core business objectives. SOA maps
IT services to business goals to help rationalize and optimize
business processes by identifying and minimizing redundant
or inefficient tasks. It also reduces operating costs, which in
tough economic times is very important. With the promise
of business optimization and the cost reductions it brings,
Robenik obtained buy-in from Mobitels business units.
One of the first aspects of its business that Mobitel chose to
transform was order management, specifically customer order
handling. Right from the start, Mobitel was committed to using
TM Forums Frameworx in its IT transformation program and
chose IBM as a partner to convert its existing infrastructure
using its Smart SOA approach.
Tangible benefits
The IBM WTCP provides prebuilt process models, business
services, messaging schemas and other content based on TM
Forums Frameworx, and supports the WebSphere Dynamic
BPM platform. By adopting this Frameworx-based approach,
Mobitel has enjoyed the following benefits:
n40 percent less expenditure on professional services;
n80 percent saved through the reuse of artifacts;
n45 percent shorter delivery cycle for the ongoing
maintenance and new releases of processes;
n40 percent reduced total cost of ownership.
Mobitel began work on the customer order managementfunction after a business value assessment was completed
in collaboration with a team of business and technical experts
from IBM.
Klemen Dragar, IBM client executive, says, We created this
assessment with staff from Mobitel working alongside our
telecom industry experts to draw up a transformation roadmap.
We needed to understand what Mobitel wanted to accomplish
as a business and how quickly they needed to achieve their
goals.
We helped them assess the costs and lead times
required for process transformation using their existing
systems and compared that cost to using a SOA approachusing IBMs Dynamic BPM capabilities and our accelerators
for implementing Frameworx process models, data models,
application maps and a technology neutral architecture. It was
clear SOA would create big financial benefits and we would be
able to measure the benefits to Mobitel.
Tackling the first process
Customer order management at Mobitel was a heavily manual
process, which took a long time to complete and was prone
to errors. In addition, Mobitel is obligated by law to provide
a contract with the consumer, verified by a signature, before
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provisioning or placing an order for any service.
In the past, this manual process meant that the store keeper
had to call the credit card company to verify that the person
was who they claimed to be, then the signature had to be
sent to Mobitels back office to be scanned and fed into the
document management system. From there the customer
information was manually entered into the order management
system.
In addition to verifying the signature, the would-be
customers physical address had to be already listed in the
governments database. Not surprisingly, on average, it took
up to 45 hours for a customer to register for and receive a new
service.
Electronic signatures
Now, after streamlining the order management process, the
customer signs their name electronically on the new point
of sale terminals (which have electronic forms built in thatare filled in on screen) and provides all the other necessary
information on the spot. This information is sent straight to
Mobitels back office with all the credit details.
IBMs WTCP helped accelerate implementing this new
process, by providing out-of-the-box SOA-based business
services that are mapped to the Forums Application
Framework (TAM) to abstract the functions exposed by the
OSS/BSS systems. It also provides the business service
interfaces from the Information Framework (SID) used by
business data objects, and the business processes based on
the Business Process Framework (eTOM).
The Information Framework was used to describe theprocess by which the electronic form and signature were sent
to the order management system. It was implemented by
integrating the existing order management system, Mobile
Mercury, with the WebSphere BPM platform, using the same
processes. Mercury allocated tasks to the back office staff,
and then measured how long the process took. Every task was
created in the business process management platform, and
monitored and measured.
The whole business process is driven by a series of screens
so that when all the manual steps are completed, the order
handling process then invokes various technical processes.
These are exposed as business services in the service
management and resource management layers, and had been
deployed previously.
The Information Framework-based order process still requires
some manual intervention for exceptions, but getting the right
tasks to the right people has reduced the cycle time, as proven
by the measuring and monitoring key performance indicators
that are used iteratively to refine the process using the BPM
platform.
Once Mobitel is comfortable with the initial deployment, the
system will move to a higher level of automation. Approaching
the project incrementally ensured continuity and helped staff
develop their skills on the new tools. It also helped the team
identify gaps in the process, enabling process re-engineering to
meet the demands of the local situation.
The screens used by the back office staff are all wizard-
based, making for a better customer buying experience in
terms of consistency, and ensuring that Mobitel complies withgovernment rules related to pricing and discounts.
Sustaining the change
Now, through a BPM and SOA competency center, Mobitel
develops new business services that encapsulate the
integration functions out of the OSS/BSS applications once and
reuses them many times as developers access the services
they need. The center has a big impact on the deployment
of new processes and their upgrades, on the initial phases
of modeling and service naming, and the use of appropriate
standards.
Robenik says, By using the IBM WebSphere BusinessModeler, the business people have a way of communicating
with IT, providing ideas about what the business processes
should look like. Our business people used the IBM
WebSphere Business Monitor to measure our human tasks
and our different key performance indicators. This bidirectional
communication between IT and the business units gives us
more agility in the market and helps us lower costs.
Migration of services to the WebSphere platform has
reduced the number of servers and operating costs. We also
can introduce new services faster such as a self-service
portal, and a new billing and CRM application, so were
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providing better support to our customers, who are happier as
a result.
Swami Chandrasekaran, Chief Architect, IBM Industry
Solutions Services, adds, The Frameworx standards
including the Application, Information and Business Process
Frameworks, and the WebSphere Telecom Content Pack were
key enablers for Mobitel. These elements combined helped
create the big picture, the vision, and allowed everyone to
visualize the consolidated OSS/BSS target architecture, where
we were going, to get their minds around it.
A lot of education was involved we built dedicated teams
to work on the enterprise business architecture, all using
standard interfaces and information models. WebSphere
Telecom Content Pack is aligned with the Information, Business
Process and Applications Frameworks, which enabled the
Mobitel team to accelerate the deployment of the automated
order management solution.
The future is exciting for Mobitel, as it prepares to mergewith parent company Telekom Slovenije, and offer combined
fixed and mobile bundles and yet-to-be-created product and
service offerings. To do this, staff will use the standards-based
processes and concepts that enabled it to transform the order
management system to improve customer service and speed
up order delivery times.
Robenik concludes, Adopting the industry standards means
using the best practices from around the globe, which help
us run optimally. Also, Telekom Slovenije owns other mobile
operators that can now easily adopt our solution because it is
based on industry standards. This means our knowledge can be
leveraged for additional benefits.
"Telekom Slovenije owns other mobile operators that
can now easily adopt our solution because it is based
on industry standards. This means our knowledge can
be leveraged for additional benefits.
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Advances in the communications industry such as innovative
business models, expanded value chains, converged services,
and complex new technologies constantly challenge a
service providers ability to offer a high level of customer
experience and efficient operations. Don Toland, director of
program operations for Qwest Communications, knows those
challenges well.
We see products not just converged from within the
telecom industry, but we also see them coming from outsidethe traditional telecom space, cloud services being a perfect
example. In years past, the cloud was viewed as an IT
service, however now its seen as an extension of our hosting
operations. To support new services such as cloud, Qwest
realized we needed a service delivery solution that would
consistently federate our network and software services into a
common platform and optimize service delivery.
To reduce investment risk by assuring business goals
were achievable prior to committing funds to a full-scale
implementation, Qwest turned to TM Forums industry-proven
Frameworx standard as it planned and implemented its new
service delivery platform. Qwest used the service layer ofthe Business Process Framework (eTOM) to model proposed
telecom and cloud services, and Information Framework (SID)
to rationalize product and service definitions. TM Forums
Service Delivery Framework was used to address service
lifecycle requirements.
In addition, Qwest and its business partners prototyped
and demonstrated their proposed solutions using the TM
Forum Catalyst Program a collaborative approach to solving
critical industry challenges. The Catalyst process not only
demonstrated feasibility, but also confirmed compatibility
across Qwests business partners.
Qwest cuts operational costs,gets products out there faster
Summary:Qwest wanted to transform its service delivery to shorten the time-to-market for new products,
including cloud services, reduce its operating costs, and have visibility and traceability from products to services
to resources. It was also determined to reduce individual service component redundancy and enforce Qwests
high standards for the overall customer experience. To reduce investment risk and prove the viability of what it
wanted to achieve, the operator and its partners turned to TM Forums Frameworx and Catalyst Program before
it embarked on the transformation. Within a year of the deployment Qwest saw a 4 percent increase in revenue,a 5 percent cost reduction, a 25 percent improvement in new product deployment cycle times, and a decrease
in unique provisioning and assurance job steps.
Reducing risk
To transform service lifecycle and service delivery
methodologies to meet rapidly changing industry and business
pressures, Qwest needed to:
nstreamline service delivery processes;
nspeed concept-to-cash cycle times;
ncreate visibility and traceability from products to services to
resources;nreduce individual service component redundancy;
ndeliver best-in-class service levels.
Following Frameworx best practices and standards, Qwest
implemented the following solutions to meet its service
delivery transformation goals:
norder management: automated sales order entry and order
status visibility; centralized service and product
specifications; configuration tools; consistent product and
service orders; accurate quotes;
nproduct information manager: product lifecycle managementand workflow; rationalized product and service definitions;
real-time product definition simulation and validation;
nactive service catalog: logical integration of product and
service layers; model resources and services; drive
provisioning workflow automation and inventory; rapid
update of product offerings.
Toland recounts the successful adoption of Frameworx,
saying, Qwest first needed to ensure our approach for
addressing operational and service challenges was headed
in the right direction. To start, we presented our concepts
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to the TM Forum Community via a Catalyst proposal. After
a critical review of TM Forum Frameworx standards and
extensive participation in the feedback forums with vendors,
we prototyped and demonstrated our solution Service Model
Catalyst: Enabling the Cloud Services Supply Chain at the
Management World event in Nice.
The Forum offers an unparalleled venue for establishing
standards, for testing proposals in a Catalyst, and for
demonstrating the real solution in a business environment.
Using this process, Qwest confidently justified its anticipated
return on investment, and was able to accurately break down
and verify the operational expenses of each anticipated service
deployment.
Toland stresses the critical importance of TM Forums role
in its service delivery transformation: The Forum helped us
establish a strong direction. We adopted Frameworx best
practices and standards, tested our proposal in a Catalyst,
demonstrated practicality, justified ROI, and moved forward
with an implementation. TM Forum was essential at every
step along the way.
As Toland notes, TM Forum excels at bringing the right
people together to actively debate and develop ideas, giving
you practical advice on your direction before you invest.
The resultsQwests approach to participate in and contribute to the TM
Forum Community led to a deployed service delivery platform
that exceeded expectations, with both quantifiable and
repeatable results.
Toland confirms, Frameworx absolutely enabled us to
shorten product definition, deployment, and assurance times,
improve our cycle times and operational environment, as well
as decrease provisioning time. The result was faster delivery
of consistent, reliable, and competitively priced services
the real measure of our success with excellent customer
experience.
Qwest believes TM Forum Frameworx Business ProcessFramework (eTOM), Information Framework (SID), and Service
Delivery Framework are exactly what it needs to achieve
practical application and fast return on investment.
Within the first year, Qwest used Frameworx in conjunction
with its own proprietary methods to realize a 4 percent
revenue increase, 5 percent cost reduction, 25 percent cycle
time improvement for new product deployment, and an overall
decrease in unique provisioning and assurance job steps.
Toland stresses the real value of TM Forum is when a
company participates in all aspects of the Forum, building
strategic partnerships through the TM Forum relationships.
One of the benefits of the Frameworx community is working
hand-in-hand with vendors.
Evaluating vendor technology and service provider ideas in
a Catalyst Project is extremely valuable as they work together
towards desired solution results. Not everything the company
does can be in the open light of the Forum, but Qwests
partnering success lies in focusing on vendors who adhere
to TM Forum Frameworx, and who can demonstrate reliable,
compliant interfaces with Qwests systems and applications.
Throughout this process, Qwest collaborated with a wide array
of vendors, including: BT, Cisco, Comptel, Verecloud, Progress
Software, Tribold, and Voss.
The vendor community has played a significant role in this
project. It embraces TM Forum for its standards which reduce
development costs and because it is a great marketing
opportunity for them, he points out. The communication
giants support of TM Forum Frameworx is absolute.
Toland asserts, We strongly encourage other members
to engage in the international Frameworx community. Not
one of us stands alone in this converged environment, so the
better we are at establishing common standards, the faster
we can make traditional geographic boundaries irrelevant. TM
Forum does a great job of looking at whats coming down the
road, implementing standards, and facilitating among all these
different roles and disciplines. When you can get an industryto agree on a baseline data model as TM Forum has done with
Information Framework, its just a Herculean task.
Core company divisions such as enterprise Business
Markets Group, IT Operations, Products, Network Engineering
Channel Operations, and Finance all worked together to
achieve Qwests service delivery platform success. The
company continues to strategize, innovate, and streamline
its service delivery methods with expert support from the
international TM Forum Community.
What the future holds
Now that Qwest has deployed its service delivery platform,it will look at the upfront sales process to improve sales
effectiveness, and at solution design to take in and fulfill
orders faster. Plans are also on the horizon to focus on real-
time events, on-demand customer configurations, and using
business analytics to explore cross-selling opportunities.
Toland understands the value the Forum offers to Qwests
future. He says, If you make the effort, theres a lot of depth
to what TM Forum puts together which can be leveraged for
the growth and success of your company.
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CASE STUDYHANDBOOK
CASE STUDY HANDBOOK
In March 2011, Oracle Communications Rapid Offer Design
and Order Delivery (RODOD) solution received TM Forum
Frameworx Solution Conformance Certification. More precisely,
the RODOD solution scope was assessed for compliance with
the Business Process Framework (eTOM) 8.0, Levels 1 through
3. It is the first solution to be certified by TM Forum.
The productization and certification of solutions should lead
to higher business value for customers, and facilitate and
accelerate the adoption of Frameworx.
Oracle choose to embark on this rigorous process becauseservice providers prefer to procure standards-based products
to reduce risk, increase speed of service deployment
particularly concerning the time and effort taken in integration
and lower costs. This also frees up service providers
resources so they can concentrate on areas of differentiation.
The scale and scope of the problems caused by legacy
systems, proprietary interfaces, and inconsistent processes
is demonstrated by the fact that, according to Yankee Group,
the average time it takes a service provider to launch new
services ranges from 90 days to a year, while the average time
taken to modify offers is highly manual and varies from 10 to
20 days. As service providers need to offer more services andpromotions quickly just to compete, the situation is only going
to get worse.
TM Forum's Business Benchmarking Program has found
that it takes the best-in-class about two hours to make new
pricing or tariff changes for small variations or bundle updates.
However, the average is four months.
For all types of orders (regular services and bundles), the
Program has found that the best in class has a 4.4 percent
rework rate, while the average score is 13 percent, up by more
than 50 percent on the previous year. This is a worrying trend.
KRC Research estimates 25 percent of data service orders
Certified solutions speed up timeto market for service providers
Summary:Three service providers Colt, Telekom Malaysia, and Aircel explain why they chose to use a
solution that has now received TM Forum Frameworx Solution Conformance Certification (Business Process
Framework Release 8.0 eTOM Levels 1 through 3). Advantages include faster time to market, less time andeffort spent on integration, reduced risk and lower costs.
are cancelled before they are fulfilled. Vanson Bourne says
77 percent of service providers acknowledge that delivering
bundled products and services has increased operational
complexity, while 86 percent report an increase in transaction
failures.
Many initiatives that are described as BSS/OSS
transformation programs are not strategic overhauls, but
tactical improvements. Operators continue to struggle with
slow offer design, high order fallout, poor order lifecycle
visibility, costly in-flight order changes, and high operationexpense.
To address these issues, the horizontal Level 1 processes
included in the Business Process Framework 8.0 Certification
cover marketing and offer management and customer
relationship management. The vertical Level 1 processes
include product lifecycle management, fulfillment and
assurance.
Level 2 processes that are involved in the Certification
process include product and offer development and retirement
customer interface management, selling, order handling, and
problem handling.
At Level 3, some 24 processes were involved in Oraclescertification process. For example, under product and offer
development and retirement, they include the development
of detailed product specifications, and the launch of new
products. Level 3 processes that fall under order handling
include determining customer order feasibi lity, authorizing
credit, issuing, tracking, managing, completing and closing
customer orders.
Here three service providers explain, in their own words, the
value of greatly reduced integration time and effort in BSS/OSS
transformations, including less risk, lower costs and faster
time to market.
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Colt operates in 13 countries, and runs a 25,000km network
that reaches 100 cities and includes metropolitan area
networks in 34 cities with direct fibre connections into 16,000
buildings and 19 data centres. The company offers IT managed
services, data and voice services to major organizations,
midsize businesses and wholesale customers.
The importance of speed to market is underlined by Greg
Branch, director of architecture, Colt Technology Services. Colt
was facing BSS/OSS challenges concerning order management
because, as Branch explains, As we move into providingcloud IT services to our customers, there is a demand for a
much greater degree of automation in the way we provision
those and we need to be able to combine the provisioning of
the cloud IT services with the network services as a single
integrated solution.
He adds, We have to be able to assemble those solutions
in a managed way and deliver them in a way that meets
our customers high demands. Colt chose to use Oracles
RODOD solution because it meets its requirements of
matching our need to offer assembled solutions made up
of technology components. Then, having placed an order,
it breaks it into those components, builds an orchestrationplan for the delivery of the solution, and invokes the delivery
workflows for each component in turn those delivery
workflows being integrated with our service platform to
automate the delivery of tasks.
The main thing is around speed to market. In our existing
systems it can sometimes take months to launch a new
product because of the changes that we have to make in
multiple disconnected systems. By being able to launch a
service on a single integrated platform, we expect that time to
reduce to weeks, or sometimes even days. The first service
we are launching on the platform was implemented from start
to finish in three to four months.
The main thing is around speed to market. In our
existing systems it can sometimes take months to
launch a new product because of the changes that we
have to make in multiple disconnected systems. By
being able to launch a service on a single integrated
platform, we expect that time to reduce to weeks, or
sometimes even days."
Colt greater speed to market
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CASE STUDYHANDBOOK
CASE STUDY HANDBOOK
Telekom Malaysia (TM) describes itself as Malaysias leading
provider in information communications technologies offering
fixed, Internet and mobile services. Its High-speed Broadband
Systems was rolled out to 750,000 premises during 2010.
Nizam Arshad, VP, IT, Telekom Malaysia Group, spoke at
Management Worldin 2010, to share the IT transformation
project we have at Telekom Malaysia, lessons learned, and
the challenges we faced in order to bring forward a new IT
platform for the company and its customers. The program is
an 18- to 24-month program. We are about midway done withit, weve rolled out one release and well have two or three
more releases this year [2010]. We started off with more
consumer [offers], moving forward into small and medium-
sized businesses, government, and enterprise services.
Today we have lots of systems supporting the services
we offer to the market. There are gaps in some of them and
certain solutions are quite old; they have been implemented
for many, many years. The challenge we have today is that
everything that comes out is a bundle of services and you have
certain platforms that are fairly easy to deploy, but you have
other platforms that are difficult, and it is challenging to deploy
these new bundled services.We need a more end-to-end capability that will allow us to
bundle all of our services, for our internal users, for the call
center and operations, as well as for our customers. This is
something we are deploying in Telekom Malaysia today.
The RODOD requires a lot of flow-through provisioning,
activation process and now we have been able to deliver that
in some of the services. But, for the most part, where there
are bundled services, it is fairly challenging. So what we are
doing, even for our first release, is a triple play service that
we offer to the market. In order to do that, we require a set of
tools that are fairly integrated, that we can build and use for
the current offer we have, and also in the future for the new
services that are coming onboard.
The customers demands are going to be more and more
challenging. This allows us to deliver something to the market
quickly and efficiently. To do that we require a different set
of tools what we have today doesnt allow us to do that.
By deploying the Oracle automated management, the EI
[Enterprise Integration] solutions and the SDP [service delivery
platform], this allows us to go to market much faster, deliver
the services, and be more competitive in the marketplace.Today, most of the offers that go out will be bundled
services, which generally require several weeks or maybe
months to deliver the more complex services. With the current
solutions from Oracle, those systems allow us to deploy
something fairly quickly it could be a week, or it could be two
or three weeks. If its a configuration thats required quickly, it
could be done within a day.
The customer imposes upon us more visibility and control
in the way we deliver the services to them and with Oracle
order management, we are able to decompose these complex
products and services, and each step of the way, the status
of that particular order is floated up to the CRM [customerrelationship management] layer. That gives a lot more comfort
and confidence to the customers, that we are delivering the
service in the time level we are committed to. It has given us
more visibility in the way we deliver all the services to them.
Telekom Malaysias IT transformation
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Aircel is a mobile services provider in India with over 35 million
mobile subscribers. It offers pre- and post-paid services.
Ravinder Jain, CIO, Aircel, explains about his use of
standards, The service relies on the entire Oracle [RODOD]]
communications suite, weve just gone live with it. It gives us
a lot of advantages in terms of service providers who come
on board and provide their services to us, so the boarding
of these content providers becomes seamless and much,
much faster because the SDP is pre-integrated with all these
southbound network elements and all the northbound classicOSS and BSS.
The role of order management becomes more vital, for
example, when we were launching