managed services in ict askordaras ericsson - · pdf fileericsson as the ict managed services...

Ericsson as the ICT Managed Services

Provider of choice

Alexandros SkordarasEngagement Manager, Ericsson Managed Services

the Networked society is

happening

9 billion6,2 billionmobile

subscriptions

5 billion1 billionmobile broadband

subscriptions

3 billion700 millionsmart phone

subscriptions

800 petabytes 8,000 petabytesmonthly mobile traffic

globally

45% 85%WCDMA/HSPA

coverage

5% 50%LTE coverage

Operators are facing challenges

Business

is changing

End-user focus

Financial

pressure

Technology

evolutionCore

Business

Declining ARPU (voice)

Increased cost

Financial downturn

Shareholder expectations

Increased complexity:

› Layered Architecture

› All IP

› LTE

› M2M

› Increased competition (Traditional, Vertical, Virtual)

› Survival of the Fittest (M&A, alliances)

› How/what to Share ?

› Evolved customer demands

› Increased need for fast time to market

Creates a need for operators to find a sustainable business differentiation

the Managed Services

challenge

Quality

Competence

Financial value

Handle complexity

Track customer behavior

Manage several players

Create financial value

Optimize networks

Shorten time-to-market

Customer centric

Managed services

Digging deeper…

It’s a methodology based on a partnership model…

Our approach

is not a tool

Our approach is

not a theory

Our approach is

not a technology

Our approach is

not a software

Necessary components but real value comes

when all are connected within a full methodology

…that is linked to your business objectives

Status report 2012-07-30

ARPU increase

ARMU increase

Churn decrease

Cost efficiency measurements

Customer acquisition cost decrease

Customer uptake increase

Key services performance

Key services availability

Services margin

Our approach not only helps you to

lower your cost.

It is squarely aimed at supporting you

to reach your objectives

The managed services value blocks

Evolve the businessIncreased Customer

Experience

Improved Business innovation

Manage quality &

complexityFaster Time to Market

Improved Network Quality

Network Optimization

Cost efficiency3rd Party Negotiations

Work Automation

Staff Optimization

Off Shoring

Consolidation of Operations

Structural

efficiencies

Smart

Assets

Strategies

Capacity models

Customer centric

managed services

ICT managed services

Our five levers of cost optimisation

Staff optimization Staff optimization Staff optimization Staff optimization

› Multi-skilled staff serving multiple technologies, increasing utilization

› Combining maintenance with roll-out activities

Work automationWork automationWork automationWork automation

› Optimized planning reduces travel-time, idle time and increases service performance

› Automatic dispatching reduces no of dispatchers and shortens response-times

OffOffOffOff----shoringshoringshoringshoring

› Lower labor-cost

› Quality and efficiency gains compared to emerging markets

Consolidation of operationsConsolidation of operationsConsolidation of operationsConsolidation of operations

› Reducing resource need through managing fluctuation in work-load

› Economies of scale and scope increase competence and efficiency in operations

3rd party renegotiations3rd party renegotiations3rd party renegotiations3rd party renegotiations

› Leveraging large buying power

› Global pool of sourcing professionals

+ 1.6 p.p. EBITDA

11.1%0.6%

0.5%0.6%

0.5%0.7%14.0%

-21%

Other/G&A

Marketing and sales

Term. & roaming

Terminals

Customer mgmt

Site Costs

Service dev/BSS

Network O&M

Network development

Staff

optimizationOff-shoring

Work

automation

3rd Party

negotiations

Consolidation of

operations

Partly

addressed

With outsourcingOwn operations

OPEX1

financial impact of outsourcing



Experience


Manage quality &





Work Automation

Staff Optimization

Off Shoring


Structural

efficiencies

Smart

Assets

Strategies

Capacity models

Customer centric

managed services


Data explosion drives need for quality

Ericsson ensuring quality during network

launch

Ericsson ensuring quality when taking over

network

Time-to-MarketEricsson supports faster results

Revenue – cost (operation)

Time

Establishment phase

Network roll-out Commercial launch

Time-to-market

With Ericsson support

Provider without support

Shorter time-to-profit when Ericsson assist network launch



Experience


Manage quality &





Work Automation

Staff Optimization

Off Shoring


Structural

efficiencies

Smart

Assets

Strategies

Capacity models

Customer centric

managed services


End-Customer experience

Measurement pyramid

20%

30%

50%

95%

TODAY

10%

20%

70%

TOMORROW FUTURE

Measurements’ evolution Monitoring tools

Customer experience

measures

Service measures

Technology measures

Customer experience measures

Service measures

Technology measures

e.g. NW availability

e.g. service availability

e.g. time for service activation

Measurement creation

Why ericsson

We invented the first phase of Managed servicesIndustry

maturity

2000 2002 2006 2010 2014 201620122004 2008

Pioneering

Building

momentum

Expanding &

Industrializing

› First operator

outsourcing contracts

› Ericsson starts shaping

the MS market

› Mega deals

› Global NOCs

› Highly industrialized

processes

› Truly global delivery model

› Expand in IT and

Broadcast

World’s largest network operations provider

Optimized for cost and quality, scalable

to allow for growth

Pioneer and leader in Managed Services

Optimized global and local delivery

• More than 15 years of experience

• Supporting operators in 100

countries

• Managing networks with >950m

subs

• Delivering on >300 managed

services’ commitments

• We defined the telecom Managed

Services business

• Multi-vendor and multi-technology

• Industrialized Managed Services

Delivery Platform - utilized by

more than 20,000 users

IT EXPERIENCE, ASSETS AND SKILLS TO SUPPORT YOU

1 billion users charged

and billed by our solutions

12,000+ consulting and

Systems integration professionals

1 billion users served by our

provisioning solutions

400+ million users on IT

platforms managed by Ericsson

1,200+ OSS/BSS

software developers

600+ operators with

OSS solutions from EricssonIT Managed Operation

Application Development & Maintenance

Application Test asa Service (TaaS)

Hosting/Cloud Services

Continuous investments in OSS/BSS Capabilities

Pride groupPride groupgroup

global delivery and local relationships

CHINAGlobal Service CenterMEXICO

Global Service Center

Global Network

Operations Center

ROMANIAGlobal Service Center

Global Network

Operations Center

INDIAGlobal Service Center

Global Network

Operations Center

Global Service Center

Regional Delivery

Global delivery

Regional

Local

Optimized delivery mix

4 Global Service Centers, 10 Regional Centers, 180 countries

We invest so that our customers don’t have to

1 billion USD invested in processes,

methods and tools

N

Optimizing

costs

Industrialized

Knowledge

Manages

risk

Improves

agility

Improves

quality

Shortens

lead times

People and Culture

Transition and Transformation

High motivation

Innovation

Business ethic

Processes and Tools

Managed Services Delivery Platform

Best in class tools

Scale and Strength

180 countries

Financial stability

100,000+ employees

a unique combination

Skills and Capabilities

Network and IT

Multi-vendor

Technology & Services leadership

A partner to trust

We have strong financial stability which

is key in long term engagements as

managed services

We are a reliable and ethical partner

which have been proven over and

over in our engagements

We are committed to long term

partnerships and industry innovation

Join Ericsson’s Managed Service Club

managed services in ict askordaras ericsson - · pdf fileericsson as the ict managed services...

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