SCENARIO
Telecom operators face increasingly tough times as digitization revamps the industry landscape. In fact, digitization is challenging almost every aspect of the telecom value chain: omnichannel, e-health, digital industrial processes and customer experience. Operators use data analytics to reduce customer churn, make better marketing decisions, improve sales, and optimize network design. Competitive dynamics are changing as traditional fixed lines, and voice and messaging services continue to shrink due to regulatory policies and the social media paradigm. Yet many operators, mainly incumbent firms, are struggling to deal with the new customer expectations, often blaming rigid IT systems, structural fragmentation, cash pressures and bureaucratic decision-making processes.
CHALLENGE
A global telecom titan needed to digitalize its business model, thereby strengthening its leadership and internal competences, bundling its highly complex products and services, and relaxing its rigid structures. The challenge was to increase efficiency and cut costs, mitigate the impacts of government regulation, foster strategic partnerships, improve market access and build organizational capabilities to support new digital strategies. The top management team also required new ground rules to adjust its organizational strengths to new megatrends and the uncertain outlook pervading the value chain.
SOLUTION
BMI applied its proprietary VASE© and JOTA© methodologies to support the company´s extensive transformation roadmap based on a comprehensive business model integrating corporate purpose, strategic directions, cultural attributes, operational pillars and core organizational competences. We also implemented our globally recognized ELOS© methodology to develop leaders from the group´s different companies and regions. In parallel, we provided CEO advisory activities and team building for the executive committee. We also coached leadership teams from the network support and residential customer segments.
IMPACT
The C-Suite embraced a collaborative culture and challenged barriers that were preventing greater cooperation and integration between the corporate functions. The company is therefore now better prepared to design effective organization models, build new capabilities and refine processes that create and sustain value. Corporate leaders are more focused on developing promising adjacent technologies, as well as integrated platform-based solutions. The company was also able to revamp its fixed line business unit, focusing on bundled offerings and minimized service costs. The senior management started leveraging the core infrastructure to develop new growth areas, such as TV and media, cloud services and mobile applications.
