BlogTelecom Budgeting Best Practices for Manufacturing Companies

Telecom Budgeting Best Practices for Manufacturing Companies

August 20, 2015, Expense Management

Manufacturing companies manage significant challenges in day-to-day operations, from finding the best location for new factories to adapting to the latest technology. The success or failure of a manufacturing company rests on its business agility, how adaptable it is to changes in the marketplace and its ability to consistently bring quality products to the market in its particular niche. Telecommunications plays a significant part in creating an environment where employees, teams and management can collaborate and coordinate on projects.

Budget Considerations

The biggest budget consideration is the amount allocated to telecom expenses. This figure may come from part of the IT budget or be considered its own budget category. Once the overall amount is determined, the company needs to break it down into several segments:

Phone systems: Phone systems cover VOIP or traditional PBX systems.

Mobile systems: Smartphones, tablets, mobile data expenses and other associated costs are included in this figure.

Communication platforms: Some companies opt for unified communications platforms, which consolidate conferencing, messaging and other telecommunications software into one package. This budget category also covers individual services with these functions.

Handling Telecommunications Expenses

Some manufacturing companies deal with an overwhelming amount of telecommunications companies, from phone service to messaging applications, for its headquarters. There’s not always room in the budget to have one person dedicated to handling the financial side of telecommunications, let alone an entire team or department. That’s where Telecom Expense Management (TEM) services come in. These services provide the talent and expertise a manufacturing company needs to stay on top of telecommunications expenses, including financial forecasting and billing. They are typically outsourced, so the manufacturing company doesn’t deal with developing on-site infrastructure to support these services, nor does it need to take employee time away from existing projects to go line by line through telecommunications expenses.

Telecom budgeting plays an important role for manufacturing companies who want to stay on the cutting edge of technology without drowning in an expense nightmare. Addressing key areas of the budget, as well as bringing in specialized expertise when needed, goes a long way toward establishing telecom budgeting best practices.