accelerating and optimizing returns on telecom network capital investments
Post on 14-Apr-2017
626 Views
Preview:
TRANSCRIPT
Accelerating and Optimizing Returns
on Telecom Network Capital Investments
Gaea Global TechnologiesJuly 2015
Gaea is a high-end consulting firm founded in 2007.
Founders are ex-Oracle with strong backgrounds in architecture, product development, and
system implementation.
Gaea is an OraclePlatinum Partner.
Fewer than 5% of all Oracle partners are Platinum.
OracleValue Chain Execution
Oracle Inventory, Warehouse Management
Oracle Primavera
Enterprise Portfolio Management,Project & Resource Management,Cost Controls
Oracle Value Chain Planning
Demand Management,Advanced Supply Chain Planning
Oracle Business Intelligence
Project Analytics,Supply Chain Analytics
We have over 100 implementations around the
world and our clients manage over $10B in capital projects using our solutions.
High TechIndustrial ManufacturingEnergy / Natural ResourcesPublic SectorHealthcare / Life SciencesInfrastructure
WSP
Google Bombardier
World Pay
UPMC Healthcare
Denver International Airport
YahooCisco
MTN Telecom
Dong Energy
Petrobras
Zebra Technologies
Tenega PowerGunung Sewu
Dragon Oil
NPCILL&T
World WideTechnology
BG
Florida Power & Light
MGM Grand
Huawei
ShutterflyVoltas
Integra Life Sciences
Partial Client List
Telekom Indonesia
Bharat Broadband Network Limited
What are the current trends in the
telecom industry?
2014
2015
Average enterprise bandwidth will increase
20% to 50%per YEAR
Source: Gartner
GROWTH DRIVER:Operators want to
improve coverage and add data capacity to
meet video and smartphone traffic.
New construction of 4G networks in:
LatinAmerica
Africa
EasternEurope
India
Carriers in India are expected to invest in voice and data networks after regulatory uncertainty on mobile licenses subsides.
5%growth
Source: Gartner
10
8
6
4
2
0
Source: EY
RO
IC (
%)
2006 2007
Europe Asia-Pacific
2008 2009 2010 2011 2012 2013
The revenue and growth opportunities are on the uptick, however there is increased downward pressure on profitability. Margins are thinner due to increased competition and larger capital investment in newer markets. Figure shows pressure on return on invested capital for telecom operators.
Revenue Potential and Growth Areas are excellent but profitability is still under pressure…
Telecoms that understand and manage operational, financial, and strategic risk have a greater chance of profitable growth.
Red = risk mitigation using EPPM
Top 10 Telecomm Risks
Source: EY
How do we mitigate risk on
large-scale capital projects?
Integrated enterprise project and portfolio
management is central to managing risks in the
telecom industry.
Capital –> Asset Flow Perspectives
Doc.Mgmt.
An EPPM-centric Solution Architecture Map for the Telco Industry
Demand Management Advanced forecasting, and demand modelingConfigure to order forecast, S&OP
Finance and AccountingFunding, portfolio cash flow, long-range forecasts
Project information managementEngineering items and BOM product workbench
Mobile Device Updates
Project Information ManagementEngineering items and BOM product workbench
Management DashboardsRevenue shaping, executive summary, project analytics
Risk AnalysisRisk registers, risk analytics
Advanced Planning and Command CenterException analysis, analytics, supply and demand
Purchasing and ProcurementPurchase orders, requisitions, invoices
Supply Chain and MDMSupply chain planning, inventory optimization, asset data repository
EPPM
CRMCustomer Relationship Management
Geospatial RepositoriesSpatial representation of network assets
Oracle Primavera P6
Oracle Primavera Unifier
AssetsCapital Expenditure
Revenue
MaintenanceRevenue
OperationalExpenditure
Portfolio Management• Business case• Investment analysis• Decision gates• Go / no
DEVELOPProject Execution• Schedule
management• Cost control• Change
management
CONSTRUCTPLAN• Work and cost
planning• Resource capacity
planning• Document exchange
and control• Vendor selection• Risk analysis
OPERATEOperationsNetwork Asset Lifecycle Management • Break fix• Asset manager• Routine
maintenance• Corrective
maintenance
Capital to Asset flow: an illustration…
• Select where your capital is going to be deployed, technology / growth drivers and establish program structures
• LRF capital planning and funding allocation to programs
• Identify regulatory, operational, financial risks
• Closed-loop / lessons learned on completed / in-process programs
Bu
sin
ess
Dri
vers
• Ideation, program alignment with strategic goals, portfolio management
• Capital planning, LRF with other organizational initiatives
• Market analysis, program-level capital spending approvals
• High-level resource / capacity – demand analysis, bidding / procurement framework
• Program and portfolio risk
Optimal Outcomes:
CONSTRUCTPLAN OPERATEDEVELOP
Case Study: ideation at the largest telecommunications provider in Indonesia
Disparate project tracking system silos
Business Challenges• Redundant information -> inconsistent and
unreliable information
• Difficulty reporting
• Weak executive visibility
• Lack of results accountability
• High TCO
• Difficulty driving and aligning projects with
corporate priorities
• Each department using disparate applications,
mostly Excel and manual processes
• Unable to effectively track projects
• Difficulty generating timely, accurate reports
• No dashboard capabilities
Operational Excellence
New Product Development
Business Transformation
Departmental Projects
IT PMO
Ideation -> Conceptualisation -> Strategic Business Objectives
Collaboration
Coordination Standardisation
Single view, multiple
departments
Common data repositoryLargest telecomm
provider in Indonesia deployed
Primavera
Implementation Objectives
• High operational efficiency through effective project planning and execution
• Better alignment of projects and
programs with strategic business objectives
• Standardization and consolidation of PPM governance
processes, reporting, and resource and financial management
• Deploy common tool accross the departments for program & project data
accuracy, cost savings, significant productivity gains, better control, improved project management, and service quality
• Promote collaboration across
departments to increase productivity
• Important stepping stone toward
integrated supply chain management (ISCM) implementation as
into one platform of EPPM
Bring value to client’s IT PPM and corporate business
CONSTRUCTPLAN OPERATEDEVELOP
• Establish program-project hierarchies
• Funding – budgeting by project, identification of funding sources and approvals
• Identify and model cost impact (risks)
• Master schedule, project templates for builds / build types
Bu
sin
ess
Dri
vers
• Demand-planning, forecasting, supply-demand matching, customer collaboration
• Sales and operational planning, NPD and EOL planning, spare parts planning, estimation, budgeting, contingency management, bidding, vendor management
• Quantitative risk models on project execution, what-ifs, and EPI / benchmarking metrics of projects
• Program-project linkages, schedule management, schedule optimization, collaboration
• BOM, BOQ structures / templates for build / construction
Optimal Outcomes:
Case Study: an integrated program schedule for a 22-country telecom rollout in Africa
Basic problems faced when project management, demand planning, and procurement teams don’t share single source of truth and work in a non-integrated environment:
Accurate consolidated
demand
100% accurate, organization-wide consolidated procurement plan
Demand fulfillment status and
recommendations to project team
100% information to equip procurement team to leverage
economies of scale
Demand revisions from project team
Demand source information
Projects Project demandReal-time revised project demand
Demand fulfillment status and recommendations
Negotiated price information to project team
Non sourced demand
Inaccurate demand
No real-timeupdates
Inaccurate, non-consolidated procurement plan
Lack of real-time information
No information to project team
Dem
and
P
lan
nin
gP
roje
ct
Man
agem
ent
Pro
cure
men
t
1
2
3
4
5
6
7
8
9
10
•Assess status of ongoing project in terms of schedule, cost, and profitability
•Total visibility and control of complete project lifecycle
•Nullify project delays
•Maximize savings
•Organization-wide consolidated demand from single source
•Reduce planning-cycle time
•Comprehensive distribution planning
•Increase planner productivity
•Reduce decision-making latency and manual errors
•Aggregate demand
•Leverage economies of scale
•Accurate information for negotiations
•Increase savings = increased revenue
•Reduce bottom-line cost to maximise profitability
Primavera EPPMDeriving organization-level, consolidated demand plan
Supply Chain and Procure to Pay Management Processing demands and execution
Benefits Project Management Demand Supply Procurement
DEMANDdetailed demand
PROCESSsupply recommended for demand
APPROVALsupply recommendations review/approval by planner
PROCUREexecution by procurement team
recommendations
consolidated demand
revised demand as per recommendations
procurement status
procurement status updates to projects
project-level
demandBU/country
-level demand
organization-level
demand
Parent Org
Continent 1
Country 1
Region 1
BU 1
Project 1 Project 2 Project …
BU ..
Region 2
BU .. BU ..
Region …
BU .. BU ..
Region …
BU ..
Country 2
Continent 2
Country …
Continent 3
Hierarchical Representation of project structures
1. Resource management by country.2. Resource rates maintained by country, for better control on
country based rates and revisions.3. Resource categorization.4. Master attribute management makes life of PMs much easier to
identify / search respective resources for a country and type.5. Easier to manage and maintain.6. Easier to restrict, maintain data accessibility to different users.
CategoryRegionCountryOrg
OrgUSA
NYCT-Comm
InfraOthers
India
Resource management in Primavera EPPM
Primavera: consolidated demand verification and download
DEMAND VERIFICATION- Project demand will be prepared in P6.- The demand will be synced as and when a
project is baselined in P6.- Demand will be synced with following filters
1. Demand only for Active Projects2. Demand only for not started Activities3. Demand only for remaining quantity
Consolidated Demand
Project-level Demand
DEMAND FILE DOWNLOAD- Demand file will be of CSV or Excel format only
Dem
and
P
lan
nin
gP
roje
ct
Man
agem
ent
Pro
cure
men
t
Consolidated demand
100% accurate organization-wide consolidated demand
Demand fulfillment status and
recommendations to project team
100% information to equip procurement team to leverage
economies of scale
Demand revisions from project team
Demand source information
Projects Project demandReal-time revised project demand
Demand fulfillment status and recommendations
Negotiated price information to project team
Source-based demand
100% accurate consolidated demand
Real-timeupdates
100% consolidateddemand
Real-time consolidated information
Updates to project team
End-to-end project lifecycle after enabling project management. Advantages of sharing single source of truth and integrated project management, demand planning, and procurement.
Key benefits delivered for first of 21 rollouts• Implemented foundational project management practices• Consolidated demand extracted from Primavera EPPM
• Fixed unutilized inventory over $1.5B• Minimized overstocking & reduction in inventory-carrying cost• Increased project lifecycle transparency to all stakeholders • Improved project demand accuracy• Achieved on-time project milestones• Implemented portfolio reporting and dashboards
• Centralized project and portfolio management repository
• Integrated planning, procurement, and supply chain views
• Program which will result in on-time delivery
• Transform project execution to realize revenue goals faster
• Objective view of projects in a complex construction landscape
• Centralized project management encompassing all projects showing inter and cross-dependency between BU, functions, and third parties
• Critical path management and constraint-based scheduling for key events, milestones, and activities
• Vendor/owner schedule collaboration and exchanges • Online collaboration and knowledge sharing between
control, build teams with extended collaboration to suppliers/contractors for online project status update in close to real time
• Track actual costs vs budget against project progress for full visibility of project performance
• Monitor production capacity vs. consumption on a regular basis to validate progress
• Validate progress against schedule, consumption, and cost• Objective view of project/program performance• Capture and understand risk items, mitigation steps, and
impact
Optimal Outcomes
CONSTRUCTPLAN OPERATEDEVELOP
Bu
sin
ess
Dri
vers
Case Study: rolling out Primavera to manage the largest fiber-to-home deployment in the world
• The operational aspect of this capital-asset transformation is where Primavera plays a vital role.
• The ability to conceptualize business plans, ideas and convert them into programs and projects across BUs and truly provide an enterprise view of how your capital investment is going to be deployed.
• The collaborative aspect of a unified solution that addresses the most efficient use of converting capital into managing projects/programs with strong cost control is going to produce assets fastest to-market in the most efficient way that will impact top-line revenue and bottom-line profit.
Consumers expect a high-quality, end-to-end service experience from their provider.
and are key.
Thank you.
Gaea Global, Inc.275 Moffett Blvd Suite A
Mountain View, CA 94043+1 844 987 4232
gaeaglobal.com
top related