We have a client that is a technical services company, that has 120 locations globally, about 100 locations in U.S. and Canada. They had had several relationships with other telecom consultants in the past where, what they were told and what the consultants did were different stories. The initial conversations with them were very lengthy and obviously structured around make sure there was a clear understanding of expectations and how the prior relationships failed.
They decided to engage DenMark Business Solutions telecom audit services initially, in reality, we started by securing broadband services at about 20 of their U.S. locations
- Telecom costs were unmanaged as the company has many offices and management of the overall telecommunications infrastructure was decentralized.
- There were many different providers for every type of service with no accountability
- There was little knowledge of current contractual obligations so exploring alternate solutions was deemed to be premature.
- The client had a solid understanding of their primary services, but there were numerous costs that could not be confirmed as valid.
- Overall, our client received several hundred telephone bills across all their locations and the payment process was excessive.
- This lead to late fees being assessed on bills.
- The lack of response from their incumbent carriers was delaying their budget process.
DenMark Business Solutions collected one months of billing from the client for all their locations. These bills were carefully reviewed and the following deliverables were provided.
- A complete inventory of services for each clinic including circuit IDs, telephone numbers, features and contractual obligations.
- A secondary document was provided detailing the current monthly costs for each of the bills.
- DenMark worked with the respective carriers and generated capacity and bandwidth utilization results for the current network.
- Recommendations were made by DenMark to adjust monthly costs and provide on-going savings.
With these deliverables in hand, DenMark was able to work with our client to achieve the following results:
- Many of the services were out of contract resulting in much higher monthly costs.
- Although the majority of the long distance and toll free was billing accurately, there were some services that had reverted to casual rate billing at a much higher rate.
- After carefully reviewing the inventory of services and working with the customer, it was determined many of the analog telephone lines at their locations were no longer required.
- Many of the telephone lines such as security and elevator lines included charges for features not needed and were removed.
- Overall, the customer was able to reduce their monthly telecom costs from $7,200 to $5,800 (19.5%). In addition, DenMark obtained a $150,219 one time credit for lines that were supposed to be disconnected in prior years.
- DenMark obtained bandwidth utilization reports on the data network finding a range of 30 to 60% utilization. This was deemed adequate for potential changes.
- DenMark also received capacity reports on their voice services and the customer was significantly over trunked. Although the customer wanted to maintain the available capacity, changes to service were implemented which increased Internet capacity by 300% AND reduced monthly costs by 10%.
- Invoices were eliminated or aggregated to reduce the bill quantities each month from 325 to about 20.
- The updated inventory of services provided a change management tool for future consideration.
- DenMark continues to provide consultative services for the customer in regards to their telecom services across their enterprise.
The final results exceeded our clients’ expectations. The deliverables provided by DenMark also set them up to better manage their telecom services into the future