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IBM Smarter Commerce Order Management for Communications

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These are some of the questions a CSP should ask itself when determining whether or not they have the truly intelligent multi-channel order management capabilities they are going to need to accommodate the new demands of the empowered consumer.

Can your customers order in one channel and pick up or return through a different channel?
Do you have visibility into your entire inventory of handsets, accessories or consumer premises equipment, regardless of it’s location?
Does your organization have the ability to rapidly adopt new solutions regardless of where or by whom they are fulfilled?
Can you easily provide a single source for all order status updates and fulfillment progress across all components sold in a customer order, even if they are fulfilled from different solutions?
Can your order management system dynamically change it’s processing behavior based upon real-time learning of it’s surrounding environment?
Do you have the ability to take insight from the ordering system to better understand in real-time how your solution is performing?

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IBM Smarter Commerce Order Management for Communications

  1. 1. Smarter CommerceOrder Management for Communications1 © 2012 IBM Corporation
  2. 2. Delivering greater customer experience means overcoming traditional challenges to order management in communications Customer Advantages to Cross-Channel Order Management Cross-Channel Catalog and Simplified advocate Seamless Customer Fulfillment For the Analytics Management of And Service Order Empowered Driven Processing New Fulfillment Management Customer Behavior Solutions In the age of theCustomer Attitude Collapsing customer The ability to The empowered empowered and service order incorporate catalog customer today customer it’s management into a definitions as well as expects to be able to imperative that CSPs apathetic single platform real-time analytical perform any action in have the ability to enables the CSP to insight into the OM any channel without rapidly add to their reduce operational processing behavior being expected to offerings through cost while is critical to reacting provide redundant fulfillment decreasing time to to dynamic market data partnerships via 3rd market changes parties antagonistic Channel Specific Divergent and Manual OM Long Lead Times Services and Redundant OM Solutions Requiring for Offering New Insight Solutions Multiple Changes Services Requiring Fulfillment Traditional Telecom Order Management 2 © 2012 IBM Corporation
  3. 3. The empowered customer is demanding and elusive but can be rewarding for CSPs  84% want to order online – return to store  62% research via social networks  They trust customer reviews 12x more than vendor statements  A Facebook ‘like’ is worth 100 positive reviews by a stranger---------------------------------------------------- Customer advocacy in the retail industry is twice what it is in the the telecommunications industry.---------------------------------------------------- 12% ----------- ----------- Globally fewer than one Antagonist fifth of customers were Apathetic Additional spend of advocates over identified as advocates for Advocate antagonists their CSP.3 © 2012 IBM Corporation
  4. 4. Time-to-market demands place further pressures on today’s order management systems and processes Getting new products, services, and offers to market quickly and accurately across all channels is critical objective for CSPs 70% of CSPs say it is a key differentiator 59% 95% of CSPs say up from it has a positive in 2008 impact on revenue 91% of CSPs say it achieves customer loyalty However, from 2008 to 2011 the number of service providers who could bring a new product to market in six months or less FELL by 2%...4 http://www.osstransformation.com/Time-to-Market © 2012 IBM Corporation
  5. 5. CSPs are expanding their service offerings to digital home and life services to compete with traditional and OTT providers Apr NTT DoCoMo launches financial credit ------ ------ ------ ------ ------ ------ 2005 service… now has over 10 million subscribers… Jan Verizon announces Home Energy and 2011 Monitoring Control Feb AT&T introduces Digital Life Services… 2012 The de-coupling of voice and data traffic and revenue is forcing CSPs to look to outside partnerships and alliances to continue to create additional value for their customers with near-neighbor services How is your organization diversifying and growing it’s solutions for the empowered customer?5 © 2012 IBM Corporation
  6. 6. Smarter Commerce approach to order management Cross-Channel Order Management True Cross-Channel Product and Service Fulfillment: – Can your customers order in one channel and pick up or return through a different channel? – Do you have visibility into your entire inventory of handsets, accessories or consumer premises equipment, regardless of it’s location? Managed Fulfillment Inside and Outside The Organization: – Does your organization have the ability to rapidly adopt new solutions regardless of where or by whom they are fulfilled? – Can you easily provide a single source for all order status updates and fulfillment progress across all components sold in a customer order, even if they are fulfilled from different solutions? Catalog and Analytics-Based Order Processing: – Can your order management system dynamically change it’s processing behavior based upon real-time learning of it’s surrounding environment? – Do you have the ability to take insight from the ordering system to better understand in real-time how your solution is performing?6 © 2012 IBM Corporation
  7. 7. IBM Smarter Commerce helps CSPs to better serve the empoweredcustomer through cross-channel order management solutions Sourcing, Targeted and controlling and personalized Cross-Channel Order Management procurement of marketing across goods and services. all customer Enables the coordination of order fulfillment interactions processes across a dynamic business network of customers, suppliers, and partners with extensive Buy Market catalog and analytical driven processing behavior. Service IBM Sterling Order Management Sell Servicing customer Selling and fulfillment needs across all of products and IBM Telecom Pack Interaction services across channels all channels Smarter Commerce Lifecycle7 © 2012 IBM Corporation
  8. 8. Order management choreographs the activities between capturingthe order and fulfilling the order Opportunity to Order CaptureAn order hub is a customer and service order Pricing Bundling management platform capable of handling: Catalog Offers Guided Any Demand Any Offering Bundle ORDER HUB Any Process/Channel Any Supply DecompWhile leveraging existing investments in core Orchestration systems. Fallout Promising Order Capture to Fulfillment Order Management8 © 2012 IBM Corporation
  9. 9. Using an order hub to deliver a seamless cross-channel experience Historical Approach to Smarter Approach to CSP Order Management CSP Order Management Web Channel Mobile Call Center Reseller Channel Partner products/bundles to be offered products/bundles to be offered products/bundles to be offered products/bundles to be offered Wireline Product Catalog/OM Mobility Product Catalog/OM IPTV Product Catalog/OM Consists of the broadband DSL Product Catalog/OM Consists of the wireless Consists of the wireline Consists of the IPTV Master Multi-Enterprise Order Capture Any Demand Product Consists of ALL the ‘products, services, pricing Catalogs Any Offer and models’ which are singular or bundled components that make up the ‘offer’ to the customer. Transformation of Bundle BPM or Point2Point Layer Transformation Cross-Channel Order Management Any Process Decomposes and choreographs of ALL the IPTV Technical Service Fulfillment Ware-house Wireline Technical Mobility Technical Service Fulfillment CPE Fulfillment Service Fulfillment customer and resource facing services’ which Any Supply have been converted (transformed or decomposed) from the accepted ‘offer’ and Third Party manages global inventory visibility and sourcing. Fulfillment Telecom Pack – TMForum Orchestration Services Factory Service Factory Factory Service Service house Ware-9 © 2012 IBM Corporation
  10. 10. Communications providers who are able to combine customer andservice ordering platforms are at a distinct advantage Single product catalog reference/interface containing both customer and resource CPE facing services in addition to all physical Order products and work/installation requests Customer Support for fulfillment of bundled Order Management customer products across disparate and separate fulfillment systems, even those Customer outside the four walls of the CSP ----------> and Service Order Lower cost of ownership/operations and Management faster time to market due to the reduced complexity and redundant systems Service Order Management Single source of real-time overall and component order status throughout the Install / Work order lifecycle. Order Reverse logistics capabilities from any channel regardless of the ordering channel10 © 2012 IBM Corporation
  11. 11. Smarter Commerce enables catalog-driven customer and service order management  A combination of workflow pipelines and Triple Play Offer Bundle XML catalog constraint logic provides the best CUSTOMER ORDER Catalog Hub combination of flexibility Rule Decom p and downstream Triple Play 1.0 3rd ORDER LEVEL 2nd ORDER LEVEL 1st ORDER LEVEL FACING SERVICES FACING SERVICES FACING SERVICES propagation of master CUSTOMER catalog changes Catalog Catalog Catalog Decom Decom Decom p p p  Support for n-levels of Broadband 1.1 IPTV 1.2 VoIP 1.3 --- recursive decomposition SUB- CUSTOMER and choreography Catalog Catalog Catalog Decom Decom Decom through customer and p p p Broadband 1.1.1 Broadband 1.1.2 Broadband 1.1.3 resource facing services --- RESOURCE  Allows for TM Forum SID Network Network Network data model standard Factory Factory Factory DSLAM 1.1.1.1 IP 1.1.1.2 PORT 1.1.1.3 compliance of network and billing orchestration activity11 © 2012 IBM Corporation
  12. 12. Improving the customer experience requires a smarter approach toaddressing order management in the cross-channel environment Multiple orders of any type can be created that maintain a lasting Supple- X-Channel X-Channel relationship and, if mental Demand Status necessary, dependency on the Orders parent order. Orders can be nested to any level desired. Orders can be Event management Delivery + captured in any and alerting Reverse Service channel - inside or frameworks allow Logistics Scheduling outside the CSP for notification directly to customers in real time regardless of channel. The ability to accept and Ensures the CSPs delivery and disposition returns to any work-related commitments channel is critical for the match inventory and resource customer experience. All availability in real-time returns are connected enabling the selection of an back to the original order individual service provider or for full lifecycle visibility. allocation of an entire crew to ensure that all the customers’ expectations are met.12 © 2012 IBM Corporation
  13. 13. CSPs need a flexible and extensible order management solution toallow rapid ingestion of new selling and fulfillment sources Scalable and flexible integration with TM Forum Native support for multiple compliant service enterprises within a single calls for platform segmented by fast, flexible and re- Multi- region, role, organization, etc. useable integration Enterprise providing a personalized and capabilities. definable view of the global supply chain by partners, resellers and suppliers Supply Rapid Partner Intelligent Chain Ingress Insight Insight Real-time inventory Analytics and the resulting and capacity intelligence on key performance levels, advanced indicators for CSPs and their sourcing are partners via dashboards and available and dynamic order process changes managed inside or allows real-time outside the four monitoring, analysis and walls of the CSP. correction of the entire order13 lifecycle. © 2012 IBM Corporation
  14. 14. Analytics-led intelligent applications will help CSPs to evolve beyondcatalog-driven order management User Interface Intelligence “ON” the process Business process screens – Enable users to respond to trends served to users through dashboards and key UI mash-ups Web Server performance indicators with application screens Intelligence “IN” the process Enterprise – Embed analytics directly in the Application Server Rule workflow to enable users access to Existing Workflow recommendations based on OLTP Workflow process queries metrics Database calculated by analytics in execution performance trends to make better of the business process decisions SOA Reports AdHoc Intelligence “DRIVING” the process – Evolving to leverage business Reporting Server intelligence analytics along with ETL automated decision-making Process capability Data Mart14 © 2012 IBM Corporation
  15. 15. Applying the IBM Telecom Pack helped Mobitel – Telekom Sloveniadrastically reduce their time to market and operational costs Key Capabilities:  Dynamic business processes with Telecom Pack provides extensive assets based on TMF Frameworx in a vendor neutral environment IBM BPM with  Standards based integration of “best of breed” components Telecom Pack into a flexible, scalable solution reduces time to market and Services based upon the overall costs TMForum standards Solution in Action: Dynamic endpoint IBM Quickstart for standards-based telecom solutions helped selection capabilities significantly reduce the costs for project startup and cut down Hundreds of pre-built on following delivery cycle times services to leading telecom software  IBM solution resulted in: packages  40% less expenditure on professional services  45% shorter delivery cycle for the ongoing maintenance and new releases of processes  40% reduction in total cost of ownership15 © 2012 IBM Corporation
  16. 16. Applying cross-channel order management helped one of theworld’s largest providers to improve business performance Key Capabilities:  Combined management of all physical CPE product order- lines as well as all network service orders  Scalability to handle very high transaction volumes Cross-Channel Order Management  Maximizes re-use of legacy factory activation systems through flexible and adaptable integration platform True Cross-Channel Product and Service Solution in Action: Fulfillment  Provides a one-stop “promising” engine across all customer Managed Fulfillment channels (call-center, web, reseller) Inside and Outside The  IBM solution resulted in: Organization  The most stable ordering solution in production in the Catalog and Analytics- group Based Order Processing  Reduction in the size of the staff required to manage the solution operations  The ability to handle over 90,000 orders per day at peak16 © 2012 IBM Corporation
  17. 17. Smarter Commerce: Key ComponentsFunctional Solution Architecture: Order Management Mobile/Web Retail Reseller Call Center Sales & Service Channels Channel Specific Integration Order Information Visibility Automated Fulfillment Execution and Optimization Order Process Integration Order Placement Catalog-Driven 3 1 Inventory and Capacity 2 Decomposition Process Managment X-Channel Order Creation Orchestration, Fallout Integration Services Order Status Reverse Logistics Analytics Smarter Commerce Order Management Fulfillment Inventory + Warehouse Network Network Integration Dispatching Partners Billing Capacity Management Inventory Factories 1 IBM Sterling Order Management 3 IBM BPM w/ Telecom Pack 217 © 2012 IBM Corporation
  18. 18. The Smarter Commerce approach to order management createsdifferentiating benefits Enhancing the Empowered Customer Experience – The IBM Smarter Commerce approach to order management allows the customer to have a seamless experience regardless of which channel they interact with for fulfillment activity. Streamlining Customer and Service Order Management – The IBM Smarter Commerce solutions provide the foundation for blending customer order management and service order management through extensive use of a transactional product catalog. Analytics-Infused Order Management – The IBM Smarter Commerce approach provides a world class datamart embedded directly into the platform to allow activity monitoring and real-time presentation of what’s really happening within the CSP’s extended fulfillment activities. Ease of Management for 3rd-Party Fulfillment Partners – The IBM Smarter Commerce philosophy to application structure provides the CSP a simplified and more cost effective approach to bringing on board and managing the fulfillment activities and inventory provided by outside partners.18 © 2012 IBM Corporation
  19. 19. The advantages of an IBM Smarter Commerce approach to insight-driven marketing Best of Breed vs. Single Source is no longer an issue –IBM brings industry-leading modular, loosely coupled but tightly integrated solutions to enterprise marketing management –IBM is routinely a “Leader” in Forrester’s Order Hub report and other major ordering technology analyst reports. –IBM is the world’s largest software and services company and has thousands of resources and invests billions of dollars each year in telecommunications solutions Legacy investments can be extended –Because of the modular, white-space mentality of the IBM solution, it is no longer necessary to ‘rip-and-replace’ expensive legacy systems –Instead IBM encourages providers to take advantage of sunk cost when those systems still have capability beneficial to the new offerings needed19 © 2012 IBM Corporation
  20. 20. Getting Started with Smarter Commerce -Customer value strategy and engagement assessments Customer Value Strategy • The Smarter Commerce Customer Value Accelerator – helps clients rethink the business model by: – Understanding the new set of possibilities created by customer experience transformation – Prioritizing the value propositions to focus on those with the greatest potential – Characterizing the possibilities into a set of customer journeys/experiences – Defining the business capabilities needed to operationalize the new value proposition Services & Partner Engagement • The Smarter Commerce Cross-Channel Experience Assessment – helps clients optimize channel strategy to maximize value by: – Developing a cross-channel strategy that reflects current consumer trends & priorities – Identifying, analyzing and prioritizing cross-channel operation model innovations – Creating journey maps of key events to characterize the future-state of the customer experience20 © 2012 IBM Corporation
  21. 21. IBM is the right partner for Smarter Commerce software, servicesand consultative guidanceLeading communications industry capabilities: Analytics and Catalog-Driven Customer and Service Order Management, Global Inventory Visibility, Integration of Dispatch/Work Order, Reverse LogisticsLeader in research and development:$2.5 billion invested since 2010 to create a truly smarter approach to commerce and a newservices practice with more than a thousand dedicated expertsExpertise in the communications industry:Over 1,000 service providers have selected IBM solutions and all top 20 providers worldwidehave chosen IBMLeader in Smarter Computing:Over 50,000 hardware and software developers optimizing systems to manage needs driven bycommerce applications21 © 2012 IBM Corporation

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