August 18, 2020

Top Transformation Challenges for the Telecom Industry

The telecom industry around the globe is trying its best to adapt to new digital transformation strategies. If the telecommunication companies want to remain competitive and relevant in the niche, they must identify and execute a reliable digital solution successfully.

We live in a face-paced world driven by digitalization and innovation, which presents its own set of challenges for the businesses. These may vary, such as software implementation for internal operations or developing valuable solutions for the clients.

If you are a business belonging to the telecom sector, it is crucial to understand and identify the digital transformation challenges you are facing or may face in the future. It will help you streamline your operations and increase your productivity.

5 Top Digital Transformation Challenges

So you may wonder what you should do to stay ahead in the competition. You are in the right place, as we discuss how you can conceptualize, design, and execute new technology efficiently and rapidly. One way to analyze, monitor, control, and manage your telecom services is by using Operation Support System (OSS).

1. Decentralize Your Existing Digital Structure

The telecom industry has been relying on traditional digital systems that are typically centralized using a single point of interaction to operate. Thanks to the evolution of technology and the advent of agile implementation and methodology of cloud computing, that enables decentralization.

Therefore, to lead an effective digital transformation, telecommunication companies must strive to decentralize their internal and external systems pertaining to procurement and decision making.

2. Introduction of OTT and Ancillary Services

OTT stands for “Over the Top” services. It encompasses all telecommunication services offered nowadays. OTT services are critical to achieving impactful digitization in the current circumstances.

 However, to develop OTT and ancillary services, you must incorporate the following into your existing infrastructure.

· Flexible Business Model
· New Operators
· Allocation of revenues to new alliances
· Changes in existing alliances

That said – it is easier said than done as seamless integration of the above features can pose a real challenge to your digital transformation. So proceed with caution.

3. Addressing New Operational Complexity

The new-age networks in the telecommunication industry, such as 5G, aim to provide a broad range of services to the end-consumers.

BSS or Business Support Systems allow telecom companies to run their business operations towards consumers. BSS works in conjunction with OSS to support several end-to-end communications such as telephone services etc.

Therefore, the rise of new services, hike in new subscriptions, and bundled customized solutions for communication will certainly increase the complexity of your operations.

You update your services to tackle such complexities and focus on areas such as:

· Customer support
· Initial configuration
· Billing
· Ticket resolution etc.

Not only does it increase your installation and operational cost of the new systems, but it also requires additional resources and training for the staff.

4. Integration of Internet of Things and Cloud

Cloud computing and the Internet of Things (IoT) have revolutionized the telecom industry. They have allowed the sector to rise to new heights. However, the proper integration of both remains a challenge to-date.

There is no set formula that fits all; therefore, businesses must figure out where and how these technologies can fit into their infrastructure. It is vital to enhance your system’s performance and improve your existing processes.

5. Upgrading Legacy Systems

Last but probably the most difficult of the transformation challenges is how to upgrade your legacy systems. It is the most common obstacle and can prove to be a headache for telecommunication companies.

For complete digital transformation, you must replace older systems and software with a new piece of technology. It can be time-consuming as well as an expensive activity. Thus, you must approach it strategically and allocate resources and budget before you begin the transformation process.

Be Proactive

The digital technological landscape is dynamic and fast-evolving; therefore, you, as a telecommunication company, must evolve rapidly, matching its pace. That will require you to stay up-to-date by integrating several or all features of digital transformation into your business operations.

Although the digitalization challenges are demanding, you can overcome these roadblocks via strategic planning and expert foresight.

Have a
Question?

We will be glad to answer all your questions about our products and provide all necessary commercial and technical information.

Live Chat