revenue impact of optimized networks egbert clarke vice president international business
TRANSCRIPT
REVENUE IMPACT OF OPTIMIZED NETWORKS
Egbert ClarkeVice President International Business
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INVESTING IN THE CARIBBEAN’S FUTURE
Demand for real-time voice, data and video
Revenue shift from fixed to mobile, and from voice to data
Next-generation super-fast 4G technologies
Convergence of services will expand market reach to low-income groups
The telecom industry is one of the significant contributors of the world economy with an estimated 3% of the global GDP
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NETWORK GROWTH IN THE CARIBBEAN
Mobile penetration is approaching 70% in the Caribbean
Pre-paid users dominate the market
Intense competition between operators
Always on data plans requiring investments in infrastructure
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INVESTING IN YOUR NETWORK’S FUTURE
Increased competition
Shorter product life-cycle
Shorter upgrade-cycle
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INVESTING IN YOUR NETWORK’S FUTURE
Did you know…
27-32% of annual revenue is spent on CAPEX and OPEX for your network?
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OPTIMIZATION: THE KEY TO GROWTH
Assurance of network performance and quality of service
Development of new services through network evolution
Increased use of high-value data applications
An optimized network is reliable and cost efficient
Higher Customer Satisfaction = Increased Revenue
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OPTIMIZATION: THE KEY TO GROWTH
Improved efficiency through optimal use of network resources
Reduced number of network elements
Service quality assured through repair of network equipment
Effective inventory management of assets network wide
An optimized network is reliable and cost efficient
Total cost reductions average 40%
YOUR NETWORK AND REVENUE STREAM
HOW TO
OPTIMIZE
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OPTIMIZATION OF YOUR NETWORK
Multi-vendor repair of wireline, optical and data equipment
Inventory management through spare parts management programs
Turning surplus assets into cash to reinvest into your networks
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MULTI-VENDOR NETWORK EQUIPMENT REPAIR
Did you know…
5-10% of total assetswill need to be repaired?
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MULTI-VENDOR NETWORK EQUIPMENT REPAIR
Extend the life of your network
Extend your product life-cycle
Manage out-of-warranty repairs
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MULTI-VENDOR SPARE PARTS MANAGEMENT
In-House Operations Outsourced Spare Parts Management
SAVINGS
OPEX
OPEX
CAPEX
1Y 1Y
Total Cost of Ownership Total Cost of Ownership
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MULTI-VENDOR SPARE PARTS MANAGEMENT
OPEX reduction by low-cost hardware support
OPEX reduction by cost-effective management of embedded legacy equipment
CAPEX minimization by inventory control and sell-off
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MULTI-VENDOR SPARE PARTS MANAGEMENT
Service Provider Central Warehouse
Outsourced Warehouse
Faulty UnitsTested Good Units
Service ProviderContract Manager
OutsourcedAccount Manager
Field Staff
Periodic Shipments
Periodic Shipments
Screening & Testing
International Surplus Market
Defective Recycling
Defective Req.
Tested Good Inventory
Repair & Testing
Defective Quarantined
Inventory
No Actio
n
Enough Tested Good
Equipment
Yes Yes
No
No
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ASSET DISPOSITION: FREE UP WORKING CAPITAL
Did you know…
Cumulative e-waste worldwide is estimated to be over 50,000 tons
…from 2010 until 2019??
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ASSET DISPOSITION: FREE UP WORKING CAPITAL
End-of-life platforms have been retired
Reduce inventory management costs
Invest in new technology even during the global downturn
Turn excess assets into working capital!
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EXCESS ASSET VALUATION MODEL
Resale Value > Scrap Value?
Resale Value > Decommissioning Cost?
Equipment Recycling
Equipment Decommissioning
Equipment Refurbishment
Equipment Remarketing
Revenue Share / Direct Buy (Sales Revenue)
Revenue Share / Direct Buy (Recycling Revenue)
YES
YES
NO
NO
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REVENUE IMPACT OF OPTIMIZED NETWORKS
An optimized network is reliable and cost efficient
Higher Customer Satisfaction = Increased Revenue
Repair Total cost reductions average 40%
OPEX reduction by low-cost hardware support
OPEX reduction by cost-effective management of embedded legacy equipment
CAPEX minimization by inventory control and sell-off
Turn excess assets into working capital
QUESTIONS?Are there any
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