Controlling the costs of mobile

19 October 2020

Mobility is a top of mind issue for most local enterprises, but not just for the convenience it offers. “Local customers are all talking mobility, but their focus is on the spiking costs associated with enterprise mobility,” says Shamit Makan, Head of Business Solutions at Adapt IT.

“The bulk of corporate telecommunications is fast moving from fixed line to mobile, and thanks to a broad range of smartphone features and the rise in cloud services, spend on mobile – particularly mobile data – is surging. Compounding this problem is the fact that many organisations have basically lost control of their mobile environments. It has either been ill-managed or there has been a lack of management insight into mobility,” he says.

Makan says companies have moved to mobile informally, often with little strategic direction. “Where the fixed line environment has generally been well managed and controlled, the mobile environment has exploded. Many companies are confronted with a multitude of SIMs and mobile devices in an environment where they do not know who is consuming a business owned msisdn, or how to allocate costs into different cost centres. In this environment, asset management becomes a challenge.”

The more mobile oriented enterprises become, the greater their risk of losing control of mobile spend

 

“Only when companies take back control of the mobile environment by putting Enterprise Mobility Management (EMM) and Technology Expense Management (TEM) tools in place can they start understanding the environment and controlling costs,” he says. With no data on hand, companies typically end up paying the consumer retail rate for mobile services. “With transparency, the company gains the power to negotiate better buying rates, improve procurement and cut costs,” he says.

“Virtually all of our clients uncover significant overspending and misallocation of resources once they have transparency into their mobile environment,” says Makan. “Clients have found that costly services, contracts and APN’s were never used, or that certain employees always exceeded their data allocations while others did not use theirs.”

Typically, visibility into mobile usage and costs leads our clients to immediately change their operations or innovate within the enterprise, he says. “For example, one major local enterprise discovered a lot of their mobile usage was by their own sales people calling in to place orders. This initiated the development of a mobile app through which they could place orders instead. This innovation had a number of positive impacts: it reduced mobile call costs, cut the number of resources needed to assist in placing orders, and improved the speed of order processing – so improving distribution and customer experience. So through gaining control and insight into the mobile environment, the customer was able to innovate and improve operations across a number of areas.”