SHARE



ABOUT THE AUTHOR


Art Yonemoto
Art Yonemoto is President of Yonemoto & Associates. He has been conducting Telecom (Landline and Wireless) audits for 21 years...
Read Full Bio >>
SHARE



Art Yonemoto | February 24, 2016 |

 
   

Saving Money on Mobility

Saving Money on Mobility Why companies do not change wireless vendors to cut costs.

Why companies do not change wireless vendors to cut costs.

portable

Recently, I was asked about how companies could reduce their ongoing mobility expenses. In particular, can companies save money by switching wireless vendors? People see current wireless ads, showing one vendor touting its less expensive pricing compared to others, and they are curious how often companies change wireless vendors to save money.

My response surprised them. Companies rarely change vendors to save money, even if they can save tens or hundreds of thousands of dollars. The next question is, why not? The answer is that, while theoretically this is a simple change and should be done, in the real word, there are a several obstacles that make such a change impractical.

The first reason is inertia, the state of inactivity. HQ IT/Telecom departments are often understaffed and have a hard enough time just trying to maintain current services (i.e. dealing with day-to-day issues). The thought of breaking out of this status quo and initiating a brand new project is unrealistic and almost laughable; it is akin to a drowning man, barely keeping his head above water, requesting an anvil.

The second reason is the amount of work and hassle involved in changing vendors. The project requires a lot of planning and resources. From communicating the change to your users, working out the logistics of exchanging phones and/or cards, chasing down users who are reluctant to the change, coordinating the cutover with wireless vendors, maintaining existing phone numbers, etc. - it is a major project, fraught with landmines.

The third, and perhaps most important reason to not go forward, is internal/organizational politics. There is simply too much risk in changing wireless vendors.

Unlike any other company provided product or benefit, mobile devices are unique. Your employees "personalize" their mobility service, and making any changes opens you (HQ) up to unwanted attention and scrutiny. Your employees do not care who provides your long distance, or who you use for your data network. However, they do care who is providing their wireless service. There is a perceived "qualitative" difference among wireless vendors, and you are "messing around" with their ability to conduct their work.

The closest example is changing company cars. If you replace your Lexus executive company cars with Chevrolets, you are playing with fire. Even though both vehicles "do the job," try convincing your end user executives of this.

Let's assume you changed from Verizon to Sprint. At the first dropped call or poor quality call, your users will complain that the new service is poorer. Never mind that they may have experienced the same rate of issues with the previous vendor. The important factor is they became used to this with the previous vendor and didn't complain. However, now with a new vendor, they have a heightened awareness of problems and will complain. Now multiply this by the majority of your users and you can become swamped with complaints in a short period of time.

Eventually your users will become accustomed to the new service. However your group will leave a "bad taste" with some of the most important people within the company. People will blame you for a decrease in productivity (i.e. missing sales goals) due to poor quality calls, dropped calls, inability to obtain coverage, etc. It doesn't take much for the IT/Telecom group to develop a poor reputation (i.e. ill-conceived projects, poor customer service, long response times, out of touch image, etc.).

Finally, there is historical perspective. Years ago, when wireless services were relatively new, a HQ group would have changed vendors. However, once going through the massive headaches and blowback of such a change, they swore off ever doing this again. Once burned, twice shy.

Thus, in our auditing practice, we will not analyze savings by changing wireless vendors. Regardless of the amount of savings, it simply will not be done.

By the way, your wireless vendor(s) know this "secret" (i.e. after all the huffing and puffing, you will remain with them) and are reluctant to make any serious deals/concessions. As in any negotiations, you lose a lot of leverage when the other side knows you will not walk away.

All is not lost, however, and there are ways to understand and obtain better wireless pricing.

To learn more about mobility pricing, be sure to attend the Enterprise Connect session, "Capitalizing on the New Mobile Pricing Plans."

Learn more about mobility trends and technologies at Enterprise Connect 2016, March 7 to 10, in Orlando, Fla. View the Mobility track sessions; register now using the code NJPOST to receive $200 off the current conference price.

"SCTC Perspectives" is written by members of the Society of Communications Technology Consultants, an international organization of independent information and communications technology professionals serving clients in all business sectors and government worldwide.





COMMENTS



August 16, 2017

Contact centers have long been at the leading edge of innovation in communications technology, given their promise of measurable ROI and the continual need to optimize customer interactions and sta

July 12, 2017

Enterprises have been migrating Unified Communications & Collaboration applications to datacenters - private clouds - for the past few years. With this move comes the opportunity to leverage da

May 31, 2017

In the days of old, people in suits used to meet at a boardroom table to update each other on their work. Including a remote colleague meant setting a conference phone on the table for in-person pa

August 16, 2017
World Vision U.S. is finding lots of goodness in RingCentral's cloud communications service, but as Randy Boyd, infrastructure architect at the global humanitarian nonprofit, tells us, he and his team....
August 11, 2017
Alicia Gee, director of unified communications at Sutter Physician Services, oversees the technical team supporting a 1,000-agent contact center running on Genesys PureConnect. She catches us up on th....
August 4, 2017
Andrew Prokop, communications evangelist with Arrow Systems Integration, has lately been working on integrating enterprise communications into Internet of Things ecosystems. He shares examples and off....
July 27, 2017
Industry watcher Elka Popova, a Frost & Sullivan program director, shares her perspective on this acquisition, discussing Mitel's market positioning, why the move makes sense, and more.
July 14, 2017
Lantre Barr, founder and CEO of Blacc Spot Media, urges any enterprise that's been on the fence about integrating real-time communications into business workflows to jump off and get started. Tune and....
June 28, 2017
Communications expert Tsahi Levent-Levi, author of the popular BlogGeek.me blog, keeps a running tally and comprehensive overview of communications platform-as-a-service offerings in his "Choosing a W....
June 9, 2017
If you think telecom expense management applies to nothing more than business phone lines, think again. Hyoun Park, founder and principal investigator with technology advisory Amalgam Insights, tells ....
June 2, 2017
Enterprises strategizing on mobility today, including for internal collaboration, don't have the luxury of learning as they go. Tony Rizzo, enterprise mobility specialist with Blue Hill Research, expl....
May 24, 2017
Mark Winther, head of IDC's global telecom consulting practice, gives us his take on how CPaaS providers evolve beyond the basic building blocks and address maturing enterprise needs.
May 18, 2017
Diane Myers, senior research director at IHS Markit, walks us through her 2017 UC-as-a-service report... and shares what might be to come in 2018.
April 28, 2017
Change isn't easy, but it is necessary. Tune in for advice and perspective from Zeus Kerravala, co-author of a "Digital Transformation for Dummies" special edition.
April 20, 2017
Robin Gareiss, president of Nemertes Research, shares insight gleaned from the firm's 12th annual UCC Total Cost of Operations study.
March 23, 2017
Tim Banting, of Current Analysis, gives us a peek into what the next three years will bring in advance of his Enterprise Connect session exploring the question: Will there be a new model for enterpris....
March 15, 2017
Andrew Prokop, communications evangelist with Arrow Systems Integration, discusses the evolving role of the all-important session border controller.
March 9, 2017
Organizer Alan Quayle gives us the lowdown on programmable communications and all you need to know about participating in this pre-Enterprise Connect hackathon.
March 3, 2017
From protecting against new vulnerabilities to keeping security assessments up to date, security consultant Mark Collier shares tips on how best to protect your UC systems.
February 24, 2017
UC analyst Blair Pleasant sorts through the myriad cloud architectural models underlying UCaaS and CCaaS offerings, and explains why knowing the differences matter.
February 17, 2017
From the most basics of basics to the hidden gotchas, UC consultant Melissa Swartz helps demystify the complex world of SIP trunking.
February 7, 2017
UC&C consultant Kevin Kieller, a partner at enableUC, shares pointers for making the right architectural choices for your Skype for Business deployment.
February 1, 2017
Elka Popova, a Frost & Sullivan program director, shares a status report on the UCaaS market today and offers her perspective on what large enterprises need before committing to UC in the cloud.
January 26, 2017
Andrew Davis, co-founder of Wainhouse Research and chair of the Video track at Enterprise Connect 2017, sorts through the myriad cloud video service options and shares how to tell if your choice is en....
January 23, 2017
Sheila McGee-Smith, Contact Center/Customer Experience track chair for Enterprise Connect 2017, tells us what we need to know about the role cloud software is playing in contact centers today.