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Managed Network Services Can Simplify Telecom Expense Management

Author: Sally Fowkes, Director, Service Delivery/Thursday, December 13, 2018/Categories: Managed Network


Organizations with multiple locations have complex WAN requirements. Telecom services are regionalized, so it’s impossible to contract with a single carrier for all WAN connectivity unless the locations are concentrated in a small geographic area. Even then, the organization may need a mix of traditional telco, broadband Internet, 4G/LTE wireless and even satellite services to optimize cost, performance and reliability.

That means dozens, even hundreds of bills for telecom services arrive in the organization’s mailbox every month. Simply paying all of these bills is a major headache. Nobody in the accounting department has the time or expertise to scrutinize those bills for accuracy.

Trouble is, Gartner estimates that up to 14 percent of telecom bills are in error, usually in the carrier’s favor. Organizations that do review these bills will typically find unauthorized charges, excessive rates and fees for services that aren’t being used. However, finding these errors is like looking for a needle in a haystack. Telecom invoices tend to be confusing and convoluted, and must be compared to equally confusing contract terms, service guidelines, tariffs and taxes.

Billing errors are only the tip of the iceberg. The larger issue is whether your organization has the right mix of telecom services to meet your business needs. After all, telecom costs account for more than 20 percent of the typical IT budget, an enormous line item that should be scrutinized regularly. Organizations that go through this exercise may find costly overlaps and redundancies, and services that are no longer needed but were never turned off.

Ad-hoc procurement practices can contribute to telecom complexity and cost overruns. Organizations often provision carrier services to meet immediate department-level needs with little consideration for future growth or changing demands. And because of the challenges associated with provisioning, those services tend to remain in place long after their useful life has ended. At the same time, new technologies and services have dramatically increased the number of options, leaving organizations to puzzle over the best mix of price, performance and availability.

Partnering with a managed network services provider can help relieve these headaches. Best-in-class providers will develop a solution that precisely meets your business requirements while providing opportunities to reduce costs and increase efficiency. You’ll be able to eliminate unneeded or overlapping services, and ensure that your circuits are sized correctly for current and anticipated traffic volumes.

SageNet takes this a step further with easy-to-understand billing. We have built a private broadband network that interconnects services from leading carriers through our co-location facilities. We can support all of your locations with our high-performance, highly reliable and secure WAN, and present you with one consolidated bill for all of these services. You are freed from the hassle of poring over numerous bills from multiple providers.

Odds are high that you’re paying more for telecom services than you need to be. SageNet’s managed network services can provide you with more flexible and cost-effective connectivity backed by the skills we have developed over more than 30 years and across more than 160,000 customer locations.


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