Are You Paying For Unused Telecom Services?

Leo Berz

In my recent blog “Evaluate Your Telecom Contracts and Terms for Optimal Savings,” I discussed the importance of addressing service relevancy as one determining factor to evaluate during the telecom contract review process. In this blog post, I’ll cover this process in more detail.

Before you renew a telecom contract, it is important to determine whether the particular telecom service is still relevant to the needs of the business. Great examples of services that may no longer be relevant are business lines used to support analog modems or fax machines. Today, many companies are utilizing fax servers and/or migrated devices to connect to their Local Area Network (LAN) – eliminating the need for these additional lines. Another example of services to evaluate against business needs is Integrated Services Digital Network (ISDN) lines. ISDN lines have traditionally been used for video conferencing, and many companies can find cost savings by eliminating these lines and transitioning to IP-based services that are more cost efficient and simpler to support.

How can you ensure you are not paying for unused telecom services?

The answer is two-fold. The best way to determine the need for your telecom lines and services is to maintain a complete inventory, identify the purpose for each item and repeat this review process at least once a year. But relevancy is more than just the need for a particular telecom service. It is also evaluating the critical nature of the service and the anticipated need for service reliability.

It wasn’t that long ago that our office telephone was the only way for clients, vendors and colleagues to communicate with us; today we are all available via a host of solutions which may include email, instant message, text, presence and mobile devices. Between these options and the growth of the mobile workforce, many companies find themselves paying for more local trunks then they need, wasting thousands of dollars in the process each month. A traffic study is the best way to determine how many lines are needed to support your desired grade of service during the busiest hours of the day. Even 10 years ago, companies needed to install additional analog lines to allow for emergency communications in the event of a network, equipment or power failure. Today, unless your industry involves human life and death, you may be willing to risk a potential outage, relying on employees to use their mobile devices.

Pending any new hot topics popping over the next week or two I will be covering  the second question asked in my “Evaluate Your Telecom Contracts and Terms for Optimal Savings” blog, “Are There Alternative Telecom Services or Technologies to Meet Our Business Needs?”

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