Why NMA for a Telecom Audit and total Telecom Management?

Companies that switch from internal telecom billing and contract management to NMA can expect to permanently save at least 10%-40% annually. This represents savings that are on average 3 times better than using internal staffing or engaging a typical auditing firm for similar functions.

Outsourcing this function to NMA also brings additional advantages:

• Enhance the accuracy of equipment, service and billing records, which will reduce the time and potential errors going forward.
• Improve visibility into billing, contracts and customer service records through TeleMap.
  Reduce the complexity of the network by creating a single point of control from which to more easily manage a top 3 cost center.
• Internal staff focuses on its core competency and is used more efficiently in other activities related to improving the revenue side of the business.

Many companies have tried to control their multi-million dollar telecommunications costs in a number of ways that, ultimately, have limited success:

Typical bill auditors: Often they are telephone bill auditors who use telecom audit software programs to locate billing errors or low hanging fruit. They will usually keep a portion of the amount recuperated (Refunds/Credits) for the client as a service fee. This short-term and limited approach could only be helpful in the case of carrier related errors that create a refund or credit which only constitutes approx. 15% of what may be available to the client.

Strategic Consultants: They offer the service of reviewing the business environment and design networking options, which may or may not bring reduction in costs. They write RFP’s/RFQ’s, they manage the implementation, then leave and eventually begin the process again at the next contract renewal, never really addressing the core problem.

Outsourced telecom department or function: The entire function of managing the telecom expenditures is outsourced to a specialized company. This represents a major shift in the company’s culture and requires strategic corporate planning and decision from the top level yet it may still never accomplish total telecom cost optimization.

Another reason the Telecom Consulting industry is growing is because according to industry research, the cost of managing telecom expenses averages between 3% and 5% of total telecom expenditures, often requiring one or more a full-time employees if the total annual expenditures exceed $2 million. For most small and mid-sized companies, the cost of managing telecom expenses range from a few hours to a few days or weeks a month. Telecom billing audits, contract negotiations and management are generally not core business functions and the internal staff responsible for telecom contract management is usually understaffed and quite inexperienced when it comes to managing those contracts as well as today’s very complex billing statements which can be nearly impossible to decipher.

Outsourcing the management of telecom expenditures to a reputable and unbiased consulting firm can help companies to better understand the financial foundation of their current provider/s as well as the level of customer service that can be expected. It also takes a great burden away from the in house team who can now spend more time & effort on their core competencies.

One reason the Telecom Consulting industry is growing is because in medium and large companies, telecom agreements need constant attention to avoid billing errors, creeping overpayments for unused services, penalty for contract default, interest charges for late payment, etc. Many studies have confirmed year-after-year that 80% to 90% of businesses spend up to 35% more than they need to on telecommunications services.According to a recent study done by Rand Associates, 4 out of 5 providers’ invoices are billed erroneously. Billing errors usually favor the carriers, and the task of detecting these errors and recovering the overpayments is a challenge in itself. To make it even more difficult, most carriers have now limited the timeframe in which a customer can get restitution for a past overcharge down to 1, 3 or 6 months when up until recently that timeframe was as high as 6 years.

Adding to the complexity and time consuming nature of telecom contract management is the risk of service disruptions. The turmoil over the last few years in the telecom industry has clearly demonstrated that engaging even the largest tier one carriers is still not a safe bet. Buying from top tier providers does not guarantee performance or financial stability. These carriers often promise that consolidating under one roof will simplify billing and would be more cost efficient, however there is no safe haven when these top tier providers file for bankruptcy as we’ve seen in the recent past where the client is left out in the cold with little to no recourse.

If you believe you are spending more than is necessary on telecom related expenses, join the club …

Costs associated with telecommunications are often mismanaged & or overlooked. Users that fail to adequately resource this function will always overpay for their telecommunications services. Telecommunications expenses as a percentage of revenue range from 2% to 10% and are a significant cost line item affecting any organizations bottom line. Telecom spending on local & long distance, cell phones, data services and web hosting range from $100 to $10,000 per employee per year. On average, across industry, medium and large companies spend over $2,000 per employee per year in communications charges. Thus a company with approximately 500 employees is expected to spend approximately $1,000,000 per year in telecommunications of which, anywhere from 10-40% of that Top 3 cost center may be wasted every year unnecessarily.

For a large number of IT and telecom managers, the task of controlling telecom costs is overwhelming because of billing complexities, varying usage patterns, constantly changing market prices, proliferation of new services, introduction of new technologies and constant push by vendors and carriers to sell you the latest services. It is to say the least, a daunting task even for the most seasoned telecom professionals.

You might be thinking that the detailed approach behind TeleMap could seem intrusive and time consuming. It’s NOT.  Our Telecom Consulting firm completes all of this work at our facilities, and within 15 business days from receipt of billing we will present the initial TeleMap evaluation.

The overall timeframe to complete this comprehensive telecom audit is dependant upon the total amount of locations. For example, a business with 10 locations can be completed within 10-20 days; however, an organization with 500 locations could take between 2-4 months. In this case it is not only the quantity, but also how quickly NMA can receive certain information from the Telco provider.

Our analysts and project managers do nothing without approval from our customers. Once granted, we will perform all work including verifying each invoice to ensure all reductions and recoveries are posted.

Once the entire TeleMap Process has been completed, we will provide TeleMap for Free! Now there is peace of mind knowing all possible rate errors and wasteful spending has been recovered in addition to acquiring the toll that can easily manage your environment forever!

Describing our TeleMap Process as simply a telecom audit is like describing a brand new laptop as simply a calculator.  Technically the description is correct, but it leaves out exponentially more than it describes.  Our TeleMap process is a diagram that illustrates the function, flow, cost, and term of each and every communication service within a network. This revolutionary two-dimensional blueprint for any size network is created using the comprehensive line-by-line bill review, known as the Network Proficiency Evaluation.  Network Mapping Associates not only reviews bills and contracts to identify erroneous and/or incorrect billing but we take the next step by scrutinizing each charge and service to determine what the charge or service is and how the services are being used. NMA illustrates this information in TeleMap in addition to providing a separate report to include ways to recover funds and prevent waste without switching carriers.

Network Mapping Associates is the quintessential, unbiased telecom consulting firm. Our TeleMap Process uniquely uncovers a myriad of opportunities that provides true and “Total Telecom Cost Optimization” (TTCO) for our clients. Not only that, but we assume 100%of the risk involved. There is no up front cost for our clients. Our TeleMap Process is contingency based.

Even if you have recently performed a telecom audit, you owe it to your bottom line to allow us to double check. We routinely uncover things that a prior telecom audit missed. We welcome, and look forward to having the opportunity to follow any, and all, of the most respected auditors in this world.

How can we be that confident?!?! Well……………..