Rate optimization systems work by electronically collecting (from the carrier) all of the invoices that are under the contract, and then calculating the effective per-minute cost. The rate optimizer then compares this information against its database of available plans, including all the overage charges, night and weekend rates and other incentives. The system then presents a recommended pool or plan, usually based on a three-month average. Some systems will notify users via SMS or email if they are close to their maximum number of plan minutes. Some wireless TEM providers offer managed services that will make the changes with the carriers, based on the system’s recommendations and customer approval.
According to Rivermine’s John Shea, the acquisition of BBR brings these capabilities to Rivermine. “We get electronic feeds from the carriers,” he said. “Rate plan management and optimization form the cornerstone of return on investment for the customer.”
No such feature exists in wireline TEM, because you cannot and would not want to change your contract every few months. Nor are the wireless carriers very interested in helping you find less expensive plans. Some carriers offer optimization tools, but these are a poor substitute for the TEM vendors’ independent products and services. Customers who want to achieve the best possible wireless rates will need a combination of well-managed plans that include pooled minutes, individual plans for specific users and flat rates.
Device Management Is Challenging
In addition to rate optimization, device management is a key reason why wireless TEM is different from wireline TEM. Wireless devices are constantly being updated and improved with more features and functions, while the packaging grows ever slimmer and more attractive.
The cost of these devices is often included in large-volume, corporate-liable wireless deals, just as the cell phone is included in a consumer’s wireless contract. For a large enterprise, this can be a huge benefit, but only if it is actually used. The closest comparison with wireline equipment would be to a premises equipment vendor who includes free periodic hardware upgrades with a maintenance contract. In both cases, the cost is factored somewhere into the monthly bill and if you don’t use it you are paying good money for nothing.
Consider that the cost of a wireless device (when not defrayed by the carrier) is usually anywhere from $150 to $400, and multiply that by the number of devices a business uses. If the end users actually upgrade when they should, the organization is getting good value, but a new problem is created: Someone must take on the job of assisting the customer with setting up the new device, synchronizing data and training.
Many wireless TEM systems can track upgrade eligibility for every device, and include a provisioning tool to help users select and order the appropriate device. Some, including MobilSense, also offer a help-desk capability on an outsourced basis. “Many companies find that there are enough moving parts to a cell phone that they need a help desk or call center to support it,” said MobilSense’s Doug Stevens.
Managed help desk services were among the features that appealed to Rivermine in adding BBR Wireless to its product portfolio. Rivermine’s John Shea told me, “When the customer wants us to run a help desk and take over end-to-end management, in addition to the wireless expense management, BBR helps us do that.”
“BBR also provides an awesome catalog of new wireless devices updated by the carriers,” he added. “It shows all the different latest and greatest wireless devices, and the carriers run electronic links to get those orders in.”
Why Some Organizations Prefer To Reimburse Their Employees
If you think this sounds like too much to manage, you are not alone. Only in the past few years have the wireless carriers begun to offer corporate discounts of any significant value, and many IT managers are used to their end-users telling them how much less they can pay on their own consumer wireless plans. And there’s always someone in the office who has enough clout to demand a different device, regardless of corporate policy, and who also wants IT to help him or her integrate it with the corporate email system.
