With the industry at the cusp of 5G, IoT, AI and cloud, telcos must look to technology to truly create a great customer experience. The success of new age tech companies such as Amazon, Google and Netflix are testament to this fact, as they are designed for the customer, from the ground up.
It goes without saying that revamping legacy infrastructure is an imperative for CSPs for innovation and business growth,
There has been a lot of studies on the digital telco, but very few on how to make the most of digital and to optimize it for business growth.
We believe a winning digital strategy should help accelerate innovation and reach products to market faster, help achieve a high net promoter score and ultimately increase revenue growth.
To make this possible, we recommend an approach called Digital Reinvention, with the customer at the centre. An essential prerequisite for this is that telcos must make their systems ‘customer–nomous’, supported by truly modern IT software. Based on our strong delivery experience working with global CSPs and DSPs, we recommend the following:
- Customer First– It is critical that Customer Engagement Systems are given higher priority as they control Customer Journeys. With the increasing focus on digitising Customer Engagement, it is not recommended to take up both CE and BSS transformation at one go as Customer Engagement Systems cycles and BSS/OSS cycles are radically different.
- Modular systems – The truly new age modern platform with next-generation architecture with microservices enables CSPs to move away from vendor lock-in, thus CSPs can keep customer engagement systems and business support systems separate. Modern software has to be plug and play and customers must take advantage of ‘best of breed’ for them to excel on experience, revenue growth and cost efficiency. Not only does this avoid the ‘single vendor trap’ but allows software to free the telco from artificial constraints.
- Devops-based, web scale operations and development – The right operating model for digital reinvention. Using a devops-based, agile approach for digital transformation with CICD (continuous integration, continuous deployment) is much more flexible and optimal rather than one time, big bang transformation. The legacy delivery model has one RFP capturing all possible business needs over the next 3-5 years. Post which the solution would be implemented over a year. The problem with this approach is that it results in a wastage of 40-50%, due to changing market dynamics and lack of foresight to know what the business requirements will be after a year.
Hence, the best approach is to start with what the business needs in next 6 months to 1 year and then gradually build systems as the market dynamics change. The outcome of this journey for telcos is that idea to production will take mere days to execute as compared to weeks it takes with legacy infrastructure.
Globally, telcos are moving to digital operating models for greater operational flexibility. The larger question is whether we continue to implement legacy systems with a lipstick or truly modernize into a ‘Customer-nomous Digital Telco’ who is prepared to define the future rather than constantly being on the back foot, reactive.
What are your thoughts on enabling digital reinvention for business growth? We would love to hear back from you. Let’s discuss how we can partner with you in your digital transformation journey.