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The missing piece: Embracing a digital enablement layer in telecommunications

Telecom operators, MSOs, broadcasters, and digital-native companies are deeply entangled with the limitations of their legacy billing and customer management systems.

Paolo CuttorelliPaolo Cuttorelli
29 May 2024
The missing piece: Embracing a digital enablement layer in telecommunications

The missing piece: Embracing a digital enablement layer in telecommunications

These outdated systems, many of which have been in place for decades, present significant challenges, from operational inefficiencies to missed revenue opportunities. To remain competitive in an increasingly digital world, these organizations must embrace a new lifeline for a BSS transformation: a modern digital enablement layer to enhance existing infrastructure without necessitating a complete system overhaul.

The limitations of legacy systems

Operators often overlook the profound limitations and opportunity costs associated with relying on systems of a decidedly older regime. Such a lack of awareness can foster a complacency that stifles innovation and impedes growth. Simply put, legacy systems are inflexible, slow, and costly to maintain, hindering an organization’s ability to scale efficiently and respond swiftly to market demands. Their rigidity makes implementing new features or updates a time-consuming and financially burdensome process.

These outmoded apparatuses restrict the ability to adopt modern digital sales tactics, impacting both revenue generation and customer satisfaction. In a world chock full of consumers expecting seamless, self-service digital experiences, reliance on these ineffective institutions can lead to subpar customer interactions and diminished brand loyalty. For companies looking to adopt new technologies, the sales cycle for implementing modern solutions can be excessively long. This protracted process delays the realization of benefits and allows competitors to intervene, complicating the decision-making process.

And, not to be overly dramatic but the clock is already ticking.

The time required for customers to see the benefits of new platforms is a significant barrier to quick adoption. Immediate, visible improvements are crucial for gaining stakeholder buy-in and driving further investment in modern solutions.

The case for a digital enablement layer

A digital enablement layer, which we can also refer to as a digital monetization layer, can serve as a transformative solution for telcos and other digital service providers. This layer is a complementary addition to existing systems, providing a modern interface and capabilities with as little internal disruption as possible. The ultimate goal for incorporating this missing piece is to supercharge the digital transformation of a BSS system without the time, resources, and money it would otherwise take, not to mention the huge risk associated with making changes to an existing BSS stack.

Consider just a few of the ways this new incorporation addresses the challenges outlined:

● Cloud-based efficiency

A digital enablement layer leverages the agility, scalability, and cost-efficiency of cloud-based solutions. Unlike traditional OSS/BSS systems, which are often monolithic and hard to scale, cloud-based solutions can dynamically adjust to varying workloads and demand patterns, ensuring optimal performance and cost management.

● Iterative implementation

Implementing a digital enablement layer doesn’t require a revolutionary approach. Instead, it offers an evolutionary path to modernization. Organizations can gradually integrate new functionalities, minimizing disruption to ongoing business activities and reducing the risk associated with large-scale IT projects.

● Enhanced customer experience

Modern consumers expect digital onboarding, self-service options, and seamless interactions. A digital enablement layer can provide these capabilities, improving customer satisfaction and engagement. This shift from back-office-centric operations to customer-centric experiences can significantly enhance the entire customer journey.

● Faster time to market

The agility provided by this new layer would allow for telcos to bring new services and features to market more rapidly. Speed, of course, is crucial in such a competitive landscape, where delays can result in lost market share and revenue opportunities.

● Lower operational costs

By modernizing legacy systems with a digital enablement layer, organizations can significantly reduce their operational expenses. The need for maintaining and troubleshooting outdated technology diminishes, freeing up resources for innovation and strategic initiatives.

Conclusion

The telecommunications industry is at a crossroads. While legacy systems were reliable in the past, they now pose significant barriers to growth and innovation. To stay competitive, telcos must adopt a digital enablement layer that enhances their existing infrastructure, supports modern customer expectations, and facilitates rapid, cost-effective innovation. Drive that digital transformation minus the time, resources, money and risk associated with significant changes to an in-place BSS system. This approach not only addresses current operational inefficiencies, but also positions organizations to seize new opportunities in a rapidly evolving digital landscape.

Adopting a digital enablement layer is not just a technological upgrade; it’s a strategic imperative. It allows telcos to transition smoothly into the future, ensuring they remain relevant and competitive in an increasingly digital world.