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 11/1/2002 Reality Check: 2002: Our Annus Horribulus
 6/1/2002 Make Way for Optimization
 5/1/2002 Reliability, flexibility and ROI rule in the network-based services world
 4/1/2002 Olympic Class Speech Recognition
 4/9/2001 E-Business' 12 Step Program
 3/15/2001 Walking In A Wireless Wonderland
 2/14/2001 Getting the Mojo Working-Workforce Management Gears Up
 1/15/2001 Learning Comes of (Internet) Age
 12/29/2000 Bid E-Farewell to Dot Com Mania



Reliability, flexibility and ROI rule in the network-based services world

Paul Stockford
Customer Interface

Back in 1996, following the passage of the Telecom Reform Act, I made the bold statement that network services would dominate telecommunications throughout the remainder of the '90s. I also made a similar statement about the future market domination of ISDN in '90 and intelligent networks in '92. O.K., so I missed a few.

Regardless of the apparent cloudiness in my '96 crystal ball, and the relative demise of the Competitive Local Exchange Carriers (CLECs) that were going to revolutionize the way in which network services allowed us to communicate with each other, there is still some merit to my belief that network services offer considerable value. This is especially true in the contact center world.

Here's basic truth number one about network services regardless of the application: the painful process of purchasing equipment is eliminated. The service provider, usually the telephone company, has already committed the capital outlay required to get the equipment installed and, on top of that, is also responsible for making sure the equipment is working. Remember; this is the telecommunications world, so downtime is not only unusual, it is almost always unacceptable. Basic truth number two is that network services offer a degree of reliability that is difficult to duplicate in the premise-based equipment world.

On the topic of reliability, network service basic truth number three is disaster recovery in the network is more robust than in a premise equipment scenario. First of all, network equipment is built to a set of standards, called Network Equipment Building Specification (NEBS), that requires redundancy and mirroring at all system levels. If something goes wrong at one location, another location within the network will pick up the slack and make sure service continues. Duplicating this type of disaster recovery in the premise would cost an arm-and-a-leg, which points back to basic truth number one.

For those call centers with an eye toward becoming a multimedia, multi-channel contact center, the network also offers a number of advantages, including the fact that the technologies necessary to support multimedia communications are already in place. On top of that, the worry of purchasing equipment today that may be obsolete tomorrow is also removed. Network service basic truth number four: you'll never be stuck with equipment that won't do the job. If your multimedia support requirements change, just go back to the provider to get the changes you need.

If one provider can't supply what you need, you always have the option of finding another service provider who can. That's basic truth number five: network services offer flexibility that is unmatched in the premise equipment world. This is particularly important for those contact centers that already have equipment in place, or prefer to have particular equipment on premise for whatever reason. Most network service providers will work with you to integrate your premises equipment with network services, offering the best of both worlds.

Network service basic truth number six is that network-based contact centers offer an impressive ROI, often showing savings to the subscriber in less than six months. According to AG Communication Systems' calculations, which can be found on their Web site, network-based contact center services can offer savings of up to 50 percent on routing costs as well as maintenance and administrative costs, which makes sense given the fact that the public telephone network is being leveraged in these areas. Savings for distributed and virtual contact centers centers also contribute to a relatively speedy ROI. This is a refreshing change from the money pit that has characterized most CRM implementations.

Despite the fact that the Telecom Reform Act failed to live up to its promise of revolutionary communications services, the public telephone network and network-based services continues to deliver nearly flawless performance to subscribers. Although network-based services may not be the right answer for everyone, the basic truth about contact center network services is that the reliability, flexibility and ROI that these services offer should not be ignored. You can take that to the bank.

 

© 2002 Saddletree Research