What are the advantages of telecom expense management? This question has likely arisen within your enterprise, causing you to embark on a search or answers. There are many advantages of telecom expense management, including the reduction of unnecessary costs, improvement of inefficient processes and optimization of telecom spending. Each of these benefits is described in more detail below.
Top 3 TEM Benefits
When most enterprises consider telecom expense management (TEM), the first benefit that comes to mind is cost savings. While that certainly is a major advantage to having a TEM solution in place, it is by far not the only benefit that enterprises realize. We’ll first take a look at how costs can be reduced, but then we will get into some of the other great outcomes from utilizing TEM.
1. Reduction of Unnecessary Costs
TEM solutions, whether in the form of software or consulting, are designed to reduce wasteful costs and spending. Enterprises have been able to save thousands of dollars due to the fact that TEM can capture all of the costs associated with processing telecom expenses and even optimize the spend itself. This is accomplished through a series of activities, ranging from verification of charges, billing disputes and cost center allocation. By catching unnecessary expenses and validating charges, there are incremental improvements in telecom costs. These small improvements can translate to improved profits and oftentimes the numbers are substantial.
2. Improvement of Inefficient Processes
Aberdeen Group reported that telecom costs are one of the top three expenses for most enterprises. Unnecessary telecom costs are definitely part of the problem, but so are inefficient processes. Many organizations do not have a streamlined process to handle telecom invoices. Therefore, each month, large stacks of invoices arrive in the mail that must be validated by one department and processed for payment by another department. Time constraint often becomes an issue, which leads to poor validation of the charges. To compound the problem, many accounts payable departments still manually enter the invoices, which is a system prone to errors. Telecom expense management, such as a software solution, improves this process.
3. Optimization of Telecom Spending
TEM provides an additional benefit to improving processes, which is shedding light on data. With a TEM solution, it is easy to see where money is spent, as well as usage information. Enterprises can take this insight and apply it towards improving the management of users and suppliers. For example, a company can leverage its buying power to obtain better pricing from a supplier or optimize rate plans to match usage patterns. In addition, knowledge of telecom spending can be used to make better budget planning decisions.
Softeligent is a SaaS Solution Flexible to Your Needs
All of the benefits mentioned above are available in our SaaS solution, known as Softeligent. Through Softeligent, you can increase process efficiencies, manage assets and reduce costs. Because our hosted solution is flexible, you can customize it to match your enterprise’s needs. The interface is intuitive and we provide training and support to help you. For more information or a demo, contact us today.