Alcatel-Lucent Managed Services
The telecommunication industry is undergoing a massive re-orientation, driven by the challenges faced by
telecom operators and changes in business environment. Increased end-user expectations in the service
quality, breadth of services, time to market, declining revenue and competition are driving operators to
transform their network infrastructure and operations to ensure optimized costs (CapEx & OpEx), flexible
and scalable operations, ease of new services introduction and cope with frequent technology change. In
parallel operators must maximize the monetization of their legacy networks and optimize the associated
operations costs.
Customer objectives:
• Reduce the cost of operations (TCO and OpEx) • Improve the quality of services and end-customer
experience
• End-to-end visibility and accountability of the
services performance
• Significant decrease in time to market
• Consolidate network and systems
• De-complexification of networks, processes and
systems
• Future proofing of the customer services
operations
Challenges customers face today
Key objectives and customer evolution
UBB penetration % 3rd party content Service agility Lifetime value % IP revenue Operating cost per gigabyte Measuring • Demand for IP based products and services • Demand for instant innovation and increased personalization • Data growth • Ultra broadband access • Software Defined Networking (SDN), Network Functions Virtualization (NFV) and the evolution of the Cloud • Network convergence • Need to claim the value of the network • Need to capitalize on customer proximityMarket demand Technology is maturing Competition
Service experience Revenue growth TCO reduction Defensive Position Resond to revenue decline by TCO reduction Wrong place to be Right place to be Revenue growth and reduced OPEX Offensive position
Alcatel-Lucent has the optimal blend of solution, competence and experience to support Customers in business innovation and transformation planning and execution. Alcatel-Lucent Managed Transformation solution includes helping Customers find the best transformation scenario from a technology, operations and financial aspect; transform network and operations and deliver measurable business results and improved customer experience. Operational advantages of this solution include mid-term optimization, services quality and operational efficiencies. This may also be coupled with a Service Management initiative, which focuses on end-user customer satisfaction and services improvement. Managed Transformation is a modular solution with network and operations transformation as key components.
Alcatel-Lucent offers The Managed Transformation solution in the following three flavors:
Driving the need to transform
business and operations
Well-defined transformation packages minimize transformation risk and ensure clarity of responsibilities split definition
Managed Transformation Solution options End to end network
operations outsourcing
1
Operations responsibility - ALU Operations responsibility - customer Integrated with Network Transformation
TCO based Network outsourcing
2
Transformation program management3
Operations transformation +3 years 3-6 M Ops transfer Reverse transfer Operate and manage (Continues improvement) Operations transformation +3 years 3-6 M Ops transfer Reverse transfer Operate and manage (Continues improvement) Network transformation Operations transformation assistance 1+ years Operate and manage by customer Network transformation • No network transformation • Operations transfer • Operations transformation • Single/multi technology network transformation • Operations transfer • Operations transformation • Overall transformation program management • Single/multi technology network transformation • No operations transfer • Operations transformation assistance • Overall transformation program managementManaged transformation
solution attributes
Close cooperation and partnership during the entire engagement process is the key to success Oper ations T rans formation TRANSFER TRANSFORMATION ASSISTANCE Ne tw ork Tr ans formation Process Processes transferred and aligned to the Alcatel-Lucent Blueprint Processes transformation assistance with the Alcatel-Lucent Expert TeamOrganization Organizations is transferred to Alcatel-Lucent
and transformed towards the blueprint
Organization transformation assistance with the expert team
Tools
Network
Implementation of MS blueprint standard toolset (NETCOOL, REMEDY) Customer tools enhancements (Automation)
Fixed Broadband access transformation ATM-to-IP transformation
Rapid tool deployment
Legacy SDH migration to nextgen SDH Customer experience transformation
Tools as a service (FDM, Proactive care,...)
PSTN/ISDN consolidation
Legacy Ethernet/IP to future IP/MPLS/Ethernet transformation OSS Transformation
Integrated network transformation management PSTN voice migration to IMS
IDENTIFY AND ENGAGE MS PRODUCT ALIGNMENT BENEFIT DEMONSTRATION EXECUTION
• Customers with challenge profile for Transformation
• Key business objectives (KBO) consulting, assessment and priority
• Product mapping and selection • The correct transformation product / solution for the customer requirements • Commercial business case, opEx / capEx / cashflow modelling • Operational VP, more
specific opEx, quality, speed and revenue
• MS Transformation Process • Scoping • Due Diligence • Solution • Negotiations
Alcatel-Lucent Managed Services - Managed Transformation 6
Well defined execution process
Alcatel-Lucent Managed Services Managed Transformation Solution provides value to the customer in line
with their KBOs. Following is the linkage of Customer KBOs with the Delivery Model Enablers
Create new revenue Streams Increase ARPU Decrease Operating Cost
Optimize Traffic / Spectrum Optimize Asset Deployment
Reduction in Customer
Controlled Network Change Management Alarm Filtering, Correlation and Auto-Ticketing
Higher NOC Resolution Rate, Pro-Active Communication
End-to-End Ticket Management & Follow-up
Productivity, Efficiency and Performance Reporting
Critical Trigger Analysis, Capacity, NW Utilization
Proactive Problem and Knowledge Management
Capacity Forecasting on the Actual Usage Trends
Reduction of Incidents Reduction of Problem Tickets
Service Impacting Events Restored Quicker Elimination of Repeat Issues Reduction in Time to View and
Analyze Mgmt Report
Just In Time [JIT] Deployment &
1stTime Right
Effective Capacity Planning
New Business & Asset Monetization
Network Simplification & Resource Optimization
Customer Base & ARPU Growth Time to Market & Quality of Experience EXPECTED CUSTOMER
BUSINESS BENEFITS CUSTOMER FINANCIAL /OPERATIONAL BENEFITS
DELIVERY MODEL IMPACT DELIVERY MODEL ENABLERS Scoping (1-2 months) Due Diligence (DD) (1-2 months) Solution Design (1-2 months) Delivery: Kick Off Contract Negotiations (1-3 months) Understanding of challenges and KBO that stand behind the transformation initiative Definition of candidate transformation targets Framing the contractual scope
Cost model understanding and costs quantification Processes, organization, tools & network inventory Operational & Network Performance assessment
Selected domains analysis (HR, security, IT services, BC/DR, EH&S…) Transformation model definition Domain transformation solutions
definition (processes, organization, tools, network) Performance measurement proposal
Time for Customer and Alcatel-Lucent to prepare for DD
Solution is being defined progressively as the Due Diligence data are made available
Solution finetuning thanks to the feedback from
Negotiations Engagement commitment
Dedicated organization Template-based Escalation management/governance Contract Award EXPECTED CUSTOMER BUSINESS BENEFITS CUSTOMER FINANCIAL/ OPERATIONAL BENEFITS DELIVERY MODEL IMPACT DELIVERY MODEL ENABLERS
Organization
Transformation
Standard Measurements
KPIs/SLAs/OLAs
FMO target:
• Standard Delivery Model
(SDM)
1 2
3
4
Standard tools architecture
T2R/L2C process map
Job and skills
Harmonization
CMO starting point:
• Organization silos
• Geographical proliferation
Managed Services
Services,
Network Elements Customer
Service Desk Maintenance Services Customer NOC Customer Regional Logistics Center Cu st om ers A lc at el-L uce nt
Global Welcome Center
• Service Request Mgmt.
Repair & Exchange Services ORGANIZATION
• Adv. Exchange & Repair • Customer Inventory
Management
Field Operations
• Field Force Management • Corrective and Preventive maintenance • Network Provisioning • EHS
Technical Assistance centers, Technical Engineering Center, R&D for all Alcatel-Lucent technologies
• Incident Restoration • Problem Resolution
Global Service Delivery
• Network Monitoring and Surveillance • Incident Restoration & Problem Resolution • Network Change
Management • Network Access and
Security • Network Engineering • Network Optimization • Network Provisioning • Network Capacity Mgmt.. • Incident Restoration • Problem Resolution • Preventive Maintenance. Customer Assurance Leader • Customer interface • Overall delivery coordination • Continuous Improvement RBC/CAL GWC GSD/DC RESO TEC/ R&D FSO Operations transformation journey
MANAGED SERVICES TRANSFORMATION
Job and skills
Harmonization Standard tools architectureT2R/L2C process map
Standard Measurements KPIs/SLAs/OLAs Organization Transformation Current Mode of Operations starting point: • Organization silos • Geographical proliferation Future Mode of Operations target: • Standard Delivery Model (SDM)
Alcatel-Lucent is engaged with multiple customers covering multi-technology and multi-vendor environments. This experience adds significant value in the delivery of operational and business processes
Current
Mode of
Operations
ALU Mode of
Operations
Cap the OPEX
OPEX ($)
Reduce the standard
delivery time
Time
Managed Services operating model reduces the cost and the risk
