Keeping up with the sheer volume of telecommunications bills — not to mention trying to make sense of all the charges — can be an enormous task. Learn how to reduce telecom expense without losing sleep or your sanity.
For larger enterprises, one of the biggest impacts you can make to your operating budget is to get your telecommunications expenses under control. Telecommunications bills are some of the most confusing bills to read and interpret and even more difficult to get consistent and predictable. Here are strategies you can use to reduce the chaos.
Use VARs to help reduce billing errors. Value Added Resellers (VARs) and agents in the telecom space add a lot of value; one of the biggest benefits has to do with customized billing solutions and telecom expense management tools. Did you know that 7% -12% of all carrier invoices are in error but a majority of them go undetected because companies do not have the resources to review invoices for accuracy. Some of these telecom bills can be hundreds of pages long and taking the time to go through every line item sometimes requires several full-time resources. Even alerts set up for bill increases in your accounts payable system can miss these errors because they don’t trigger the threshold for investigation. Before you know it, you can be spending thousands of dollars on services that you did not ask for or want. Some VARs, such as Wholesale Carrier Services, offer telecom expense management solutions that are guaranteed to increase your bottom line.
Seek out a reputable telecom advisor. Consider telecommunications advisors, such as Spiritel Solutions, as a partner that operates much like a valued employee. These advisors have tremendous expertise in the telecom marketplace and add value by looking at everything you spend on telecommunications. They take this information and compare your spend to rates in the marketplace. Because agents deal with almost all of the carriers and VARs, they can be a bit more unbiased in their recommendation. They can also coordinate implementation tasks to take them off of your department’s plate, freeing up internal resources for more value-added tasks. In addition, all telecom advisors should have Web portal applications that give you a dashboard-like view into all of your telecom spend so you can easily do some “what if” simulations. It is always best to work with proven advisors with a track record for outstanding customer service and support.
Avoid program chasing. Sometimes a carrier will create a discount program to try to lure you back; these savings are only temporary and will come back to bite you later. Also, beware of agents or other telecom service providers suggesting that you move to new services and be sure you know what savings they are talking about.
Look for found money among vendors. Several companies work off of found money. Basically, the company will go through your telecommunications bills and find lines that are no longer used, unnecessary services, and services you were being overcharged for and suggest changes to make to save that money. If you implement the changes, the vendor takes a percentage of the saved money for up to 12 months. It should also tell you something that, if there are companies that perform these services, these overbilling practices happen very frequently.
Consolidate your bills. It can be very helpful and save you money to have all the bills go to headquarters instead of individual business units, stores, facilities, etc. One practice carriers employ in retail or with regional healthcare clinics is to send salespeople to these locations even though you may have enterprise agreements in place. The salesperson goes to the facility manager and says, “Your contract is about to expire; let’s look at what we can do for you.” Then they wow the facility manager with new services, and they end up signing a new contract without knowing that there is an enterprise agreement in place.
Telecom carriers can bury you in paperwork — so much so that it is easy to get lost in the sheer volume of bills you have to go through. By working with a solid telecom advisor like Spiritel, you will be assured of wholesale pricing, top rated expense management tools, and exceptional customer service. If you follow these steps, then your company will be saving a ton of money on telecom services going forward.
Spiritel Solutions is dedicated to helping our clients reduce telecom expenses. Our team of experts reduce annual telecom spend by an average of 30% or more for voice, data and Internet service. For a free consultation, please contact us here or give us a call at 866-770-0300.
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