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Tata Communications Transformation Services launch Digital Transformation Roadmap to derisk CSPs transformation journey at Mobile World Congress 2017

Barcelona and Mumbai, 28 February 2017 – Tata Communications Transformation Services Limited (TCTSL), a leading Telco transformation and managed services provider and wholly owned subsidiary of Tata Communications, launches the digital transformation roadmap to enable CSPs to derisk their transformation journey at Mobile World Congress (MWC) 2017. The roadmap prepared in partnership and consultation with OVUM Consulting, systematically lists out impending priorities for CSP types belonging to various market segments and is a starting point for CSP leaders, managers and evangelists to build their unique transformation roadmap.

The digital transformation roadmap will help CSPs identify and prioritise their transformation programs and derisk their transformation journey. In this roadmap, OVUM with TCTSL has identified transformation priorities which span across network technologies and network management systems, digital support systems (OSS/BSS), business process systems and functions and business-led tasks. The nature and the size of the transformation priorities depend on the maturity and the nature of the CSP.

The digital transformation undertaken by CSPs will vary because every service provider has a different starting point with regards to existing platforms, processes, and organisational structures. However, there are considerations and steps that are common to CSPs of a similar type. These common considerations make it possible to create a framework or roadmap to guide particular categories of CSPs through their journey. Ovum has identified indicative roadmaps for six key service provider segments, outlining the steps that typically need to be taken by these CSPs across a number of different domains if they want to deliver a successful transformation. The findings to these roadmaps for different CSPs market segments was primary research conducted with 60 global service providers, which has helped identify the key short-term, mid-term and longer term priorities for each segment.

Key service provider segments identified in the report include,

1. Players with a large home market that are also present in multiple geographies – Large international players are leading the way with radical network technology change (e.g. virtualisation), investment in business process systems (e.g. big data analytics), and agile/automated operations. Their lead is partly due to their size and the resources they have at their disposal.
2. Large national players with some international investments – Large national players place a lot of emphasis on network technology change but tend to be less radical than the large international players in Segment 1. Among Segment 2 players, there is more focus on improving operational efficiency, migrating legacy networks, retaining customers, and maintaining revenue. These players typically do not invest as much as Segment 1 players in innovative areas such as business process systems.
3. Smaller national players with limited international investments – Smaller national players place a lot of emphasis on network technology change and improving operational efficiency. They tend to see IT transformation as a longer term project, but prioritise improving customer experience and digital relationships with clients.
4. Mobile-first players – Mobile-first players place a lot of emphasis on network technology and network management system change. Compared to players in other segments, they appear to have less focus on business process systems. Their key considerations include customer satisfaction scores and the revenue contribution of new products and services.
5. Internet cloud players – Internet cloud players also have network investment at the heart of their concerns. However, they are also more focused on investment in business process systems and business process change than other players in other segments. Because of their strong customer experience focus, internet cloud players put customer satisfaction at the center of their KPIs.
6. Smaller national, niche, and virtualized players – Smaller niche players are fairly similar to smaller national players in their emphasis on network technology change. However, they are less burdened by legacy network issues, and focus more on business process systems and OSS. Their key considerations include customer satisfaction and retention and revenue contribution from new services.

This report accompanies and supports these six transformation roadmaps and summarise the key activities that need to be carried out over a short-term (0–6 months), medium-term (7–24 months), and longer term (over 24 months) timescale. The report also explains why certain CSP segments should prioritise particular tasks at different stages of their development.

Speaking at the launch, TCTSL Chairman Madhusudhan Mysore noted: “We are in the midst of digital revolution. Operators will have to quickly rethink their approach to transformation to drive web-scale efficiencies, co-innovate or collaborate with technology innovators to rapidly identify new sources of revenue. The change will not only entail processes, people, technology and operating models but would also permeate across the department boundaries within the Telco organisation as well as the associated ecosystem of partners, vendors and eventually the customers.”

These roadmaps will act as a starting point for CSPs community to not just in implementing specific platform, process, organisational, and cultural changes, but in also providing guidance on their overall journey. Such guidance can take various forms, but at its heart there needs a transformation.

“With the digital transformation roadmap for communication service providers we plan to meet Telco CxOs and their teams globally in our Telco Transformation workshops. During these events, we will discuss and detail-out transformation priorities for individual Telcos to build custom transformation roadmaps and deliberate on larger partnership in areas where TCTS can help,” mentioned TCTSL, Chief Executive Officer, Sandeep Bhatnagar. “We believe that while individual transformation priorities for each service provider will be unique, an indicative framework for transformation can help operators with more efficient execution and de-risk their transformation projects.”

To schedule a digital transformation workshop and receive your copy of the report, write to us at tcts.contactus@tatacommunications.com.

This report is prepared by OVUM consulting, in partnership with Tata Communications Transformation Services (TCTSL), based on a combination of primary and secondary research, including briefings, interviews, surveys, and industry events. It also utilises Ovum’s ongoing research into service provider networks, operations and IT.

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