$6.4 Billion Dollar Global Automotive And Telecom Carrier Saves 24% and $2,800,000.00 / Year And Recovers $1.2M/ Year In Billing Errors

Like all companies in this economy, our client needed to reduce their network costs.  Given the complexities of a global company with network costs exceeding $120M/ year, over 300 vendors and services in over 50 countries, they turned to the pros at Optelcon.   With such a complex and geographically dispersed international network, creating an accurate inventory was our first objective.  Optelcon was able to use its proven I.T.E.M.S.tm system to load invoices from all of their vendors and quickly establish an inventory of all services billed to our client.   Through a process of matching our client's invoiced inventory vs. their own internal inventory database, we were able to immediately identify un-needed services.  By analyzing the geography of our client’s network, our network engineers were able to consolidate services, improve management and reduce costs.  These combined efforts resulting over $500,000.00/year in un-needed network savings.

After an accurate inventory was established, Optelcon immediately began auditing our client’s invoices against their contracts.  Through this process, Optelcon identified billing errors, which exceed $1,200,000.00 / year.  Optelcon documented the errors, filed the appropriate disputes with each carrier and implemented the savings.

Optelcon then applied its proven Rapid RFPtm process against our client’s costs.  Using our international experience, industry veterans, and market data, we were quickly able to identify several areas where our client could reduce their overall network costs.  By creating and managing mini-bids from over 100 suppliers globally, we were able to re-negotiate and reduce our client's costs by over $2.4M/year and 24% without switching any vendors.

Although our client is a telecom giant and has a significant and highly skilled procurement department, Optelcon enabled our client to not only see what their costs were, but what the rest of the market looked like.  Given the challenges of the day-to-day internal business demands, Optelcon was also able to remove a significant burden on their procurement team.

In summary, if we can reduce a global telecom company’s wholesale network and telecom costs by 24%, think of what we can do for your company.