How can fiber operators achieve their fiberization goals efficiently with a lean and scalable operating model?

The opinions expressed within this article are solely the author’s and do not necessarily reflect the views of TM Forum.

Deep fiberization remains a strategic objective for global fiber operators to meet their data consumption demands. As per the EY report, global fiber deployment will double during CY2018-2026, majorly led by 5G. The global fiber optic cable market is expected to reach USD 20.8B by 2026 at a projected CAGR of 14.5% during 2020-2026.

Today’s fiberization era calls for agility and efficiency, driving fiber operators to rethink their business strategies. They need to transform their business operations to overcome challenges like massive coverage targets, reworks, long cycle time, etc.

Fiber operators must follow a four-step approach to transform their business capabilities and build a lean, scalable Target Operating Model.

Step 1: Perform due diligence and discovery of as-is fiber journeys

•  Deduce: Understand your organization’s objectives and strategies, and use them as a baseline to define the lean and scalable operating model

• Define: Identify and define relevant customer and network value streams and their associated process flows

Recommendations:

• Use value streams and process flows as enablers to foster the collaborative and comprehensive discovery of the as-is state
• Leverage TM Forum’s ODA process framework (eTOM) to reduce the duration of the discovery phase of transformation programs by >70%

Deep-dive: Discover and document challenges in the as-is journeys

Step 2: Benchmark capabilities using Capability Maturity Assessment

Identify your core capabilities: Leverage TM Forum’s business capability architecture and the identified value streams and process flows to outline the core capabilities relevant to fiber operators. It will help in articulating and communicating capabilities that get impacted by the project and the extent of impact

Benchmark the core capabilities: Fiber Domain Experts must perform a maturity assessment of every identified core capability, like event management, demand planning, etc., across multiple dimensions. Use a defined matrix of maturity levels to articulate the as-is, to-be positions, industry best, and best-in-class positions

Recommendations:

• Overcome the typical tendency to focus only on tech-driven transformations by performing a comprehensive assessment across all dimensions
• Use a common canvas for assessment, TM Forum’s ODA Business Capability Architecture recognized by 100+ leading service providers in the Connectedness industry and 80+ technology vendors

Step 3: Collaborate and identify change initiatives

• Map capabilities across customer journeys: Map the business capabilities to their respective customer journeys and define “what good means” for those journeys based on customer experience and competition. Further, map the target state of capabilities into envisioned customer journeys

Identify and prioritize the change initiatives: Identify and define the key drivers (E.g., customer, competition, and efficiency) which are a priority/relevant to a fiber operator. Use this to drive and prioritize change initiatives

Stack initiatives into building blocks: List the technology, people, and process changes required for each change initiative and logically group similar initiatives into unique building blocks. Further, categorize the building blocks into foundational, developmental, and differentiational, and leverage the categorization for roadmap articulation

Recommendations:

Step 4: Plan implementation and define a roadmap

• Value articulation of the change initiatives: Employ different lenses that can radically transform both business and operating models. Perform an integrated business technology assessment (investment, time, and sizing) using an industry-standard technology framework from TM Forum to derive the blueprint and roadmap for strategic change initiatives

• Finalize a blueprint: Perform benefit analysis (ROI) of change initiatives and provide initiative-level details on investments, OpEx savings, CX improvement, and market competitiveness. Leverage it to create a business and technology blueprint with quantified progressive benefits to define a change roadmap

Recommendations:

• The key lenses to consider a holistic transformation are: o Digital-native, scale customer experience
  o Zero-touch service and assurance model
  o Analytics-driven business intelligence
  
• Utilize TM Forum’s framework for Business Technology Assessment. Its “market pull” approach attempts to provide products with the market demands
  
• Ensure the business blueprint is up-to-date as events unfold to maximize its value

In conclusion:
Leveraging the steps detailed above, fiber operators can reduce their operational costs by 53%, overcome fiber rollout challenges and improve customer experience.

I appreciate the efforts of my colleagues Sriram Balasubramanian, Sriinivaasan Vaasudevan, and Deesha Chaware for their contributions and continuous support in compiling this article.

Mandeep is a consulting partner at Prodapt with a specialization in strategic advisory and transformations. He has over 30 years of experience in the Telecom, Media, and Consultancy domain. He is active in industry forum events like TMForum, IEEE, CII, etc. He also has a patent on “Method and System for Implementing a Collaborative Customer Service Model”.

Prodapt builds, integrates, and operates solutions enabling next-generation technologies and innovations. Prodapt services global leaders including Google, Facebook, Amazon, Microsoft, AT&T, Verizon, CenturyLink, Adtran, Vodafone, Liberty Global, Windstream, Virgin Media, Rogers, Deutsche Telekom, among many others.