Saturday, October 1, 2011

Double Your Profits from VoIP Network Operations

To run large VoIP Ops, you need switches; routers; SBC’s and App Servers to switch or route calls, billing systems, of course – these are the basic building blocks. But why should we spend money on tools & monitoring systems when some tools are free?

Assume for a minute, as a VoIP service provider you allocate expenses as follows:
  • 25% Admin & Regulation
  • 25% Sales & marketing
  • 25% Engineering expenses & 1 yrs. Depreciation of CAPEX
  • 25% cost of Network Operations
  • Say for sake of argument your EBITDA is 10% of revenue
If you were to reduce cost of Network Operations by 37%, you would double your profits from VoIP Network Operations:

37% x 25% = 9.25% x 100% of total costs
37% of Net Ops is 9.25% of total costs
9.25% + 10% (current EBITDA)
You just ~ doubled your profits

As a VoIP Ops Director or Engineer, Which one of these is you?
1.            You wish you could clone yourself. There is enough work for two of you to do.
2.            You are constantly distracted with operational problems. You are not able to complete the many engineering projects you need to?
3.            You would like to double your company’s profits
4.            you would like to solve problems in the network and make sure they never happen again
5.            you would like to solve your customer problems proactively, without them needing to call to complain

If you are using one of the following methods to troubleshoot VoIP Network problems:
•             syslogs and on board server or switch diagnostics
•             Wireshark
•             Old legacy network monitoring systems
•             A tool that only provides a Ladder Diagram

Then you have the opportunity to automate Voice Network Operations, eliminating huge amounts of time and saving costs. Automation is key to maximizing profits from VoIP Net Ops. VoIP signaling is complicated and every equipment vendor implements differently. You need specialists to make it work but everyone has finite bandwidth. So give them the tools to succeed. Get VoIP Net Ops under control and their skills will go further. Streamline VoIP Net Ops and your bottom line will benefit. If there is a solution out there for the taking, then take it.

Some network operations teams have quantitatively measured the improvements and efficiencies that VoIP Service Assurance has delivered to them. Do the calculation. Apply these cost improvements to your business. Those operations teams have:
  • Reduced operations support costs by 37%
  • Reduced the number of Trouble Tickets by 60%
  • Resolved Trouble Tickets in 14% of the time previously taken
  • Empowered Tier 1 staff & CSR to solve issues independently, freeing up their time
Apply these calculations to your VoIP Network Operation. You could at a minimum double your net profit

All you need is the visibility to immediately see:
  •  when a problem has occurred or is about to
  • which of your customers are involved
  • which parts of your network are affected (network devices; VoIP phones; trunks; SBC’s etc)
  • the root cause 
If you can solve in 1-2 minutes what currently takes you 1-2 hours. If it currently takes you 60 minutes to find the bad call but you were to reduce that to 3 minutes, you are on the way to a competitive advantage from VoIP operations. 

Root Cause Analysis is key to VoIP Net Ops efficiency. If your competitors solve 100 Trouble Tickets in 5 man x hrs. and you take 80 man x hrs., who will survive? You or your competitor?

If you can integrate the remedial action with your service infrastructure and OSS/BSS, then you can really move ahead of the pack.