Telecom carriers offer little ability to customize the data structure of their telecom invoices. For the most part, invoice reports are architected from the carrier’s perspective (i.e., with emphasis on what needs to be paid). This structure is primarily due to regulatory and compliance standards around USOC (Universal Service Ordering Code), tariffs, rates, service types and products and automated Electronic Data Interchange (EDI). As a result, organizations must create workarounds that programmatically correlate the only customer-defined field in the invoice (i.e., the subaccount) with the appropriate cost center owner. They must also augment other information in the invoice feed to ensure the costs are properly allocated in accordance to the current cost center assignments.
However, when it comes to the highly competitive and non-regulated world of cloud services, cloud service providers (CSPs), offer an abundance of flexible customer-definable metadata options through the use of “Tags” that can support the following four dimensions of business insight:
Tags provide contextual information to enable timely and accurate decisions. Intuitive near-time self-service visibility across the entire organization is paramount to effective and efficient service-based expense management. This is especially true considering that almost all of the activations and changes to cloud services are completed independent of any type of coordination with a central IT service unit. A summary of the most substantial values an organization can derive from architecting an effective global tag framework include:
The diagram below illustrates how an expense management platform can enable multi-dimensional RBAC analysis of costs and operations by unifying corporate data with enriched data across all suppliers, including traditional telecommunication providers and CSPs. The key to architecting an effective framework includes institutionalizing:
An effective enterprise CMDB architecture that encompasses (1) a universal Tagging framework across all CSPs and (2) a global hierarchical taxonomy of the six pillars of IT services defined by the TBM framework will become a strategic gold mine to enable automated actionable insight. Some best practice recommendations include:
Marco Meinardi’s article outlines the following common reasons why tagging initiatives fail:
The CCoE must collaborate with the cost centers to implement a framework that addresses these fundamental challenges. Some recommendations to overcome these challenges include:
In the next publication of this blog series, we will outline recommendations and guidelines to help you implement an effective cloud expense management program. In case you missed our previous blog, about “How Stakeholders Derive Value from an Effective Cloud Expense Management Program,” you can still check it out here.
Cloud Can Provide Much Greater Insights Telecom carriers offer little ability to customize the data structure of their telecom invoices. For the most part, invoice...
Cloud Can Provide Much Greater Insights Telecom carriers offer little ability to customize the data structure of their telecom invoices. For the most part, invoice...
Cloud Can Provide Much Greater Insights Telecom carriers offer little ability to customize the data structure of their telecom invoices. For the most part, invoice...
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