As the economy fluctuates and businesses are looking to do more with less, evaluating and implementing services that maximize your company’s output and minimize expenses is critical. IT departments specifically have their hands full managing complex technology and communications infrastructures and the numerous invoices they result in.
But with a technology expense management (TEM) audit, you can gain visibility into your telecom and technology expenses and informative oversight of your providers, systems, and expenses to control costs and gain efficiencies. Without proper processes in place to analyze your tech service landscape, how these services are being used, and the costs associated with each, you could be losing valuable revenue unnecessarily.
We’ll help you understand what technology expense management means for your business and three ways a TEM provider helps bring money back to your business.
Not too long ago, TEM simply stood for Telecom Expense Management. As the telecommunications network landscape has evolved to include voice, data, internet, cloud services, and mobility, TEM now commonly refers to Technology Expense Management — and has become an increasingly important service allowing IT, procurement, and finance teams to manage costs across their communications and IT services inventories.
With every industry managing new costs in the tech era, many enterprises turn to TEM services to better handle their assets and services. In fact, Gartner predicts by 2025, organizations will increase their reliance on external consultants for guidance, as the greater urgency and accelerated pace of change widens the gap between their digital business ambitions and internal resources and capabilities.
For businesses, TEM can improve visibility into tech inventories and reduces inefficiencies for cost savings. With a big-picture TEM audit, mobile expenses, fixed telecom and cloud management expenses, and enterprise support are reviewed to show how each is working independently and holistically in your infrastructure and your budget.
IT departments face the challenge of knowing and understanding their technology landscape and tracking their maintenance and expenses while monitoring for redundancies in their technology environment. But many don’t have the time or staff to thoroughly and consistently review the full picture of tech costs.
A TEM audit consolidates and examines all of these services to clarify where an organization’s tech budget stands. An audit help businesses, and most importantly, your IT department, have visibility of the entire lifecycle for anything in its technological infrastructure — from deployment, to management, to contracts and invoicing.
Benefits from TEM includes saving your team time, increasing savings data metrics available for analysis, improving inventory tracking, and most importantly, saving your business money. Having technology expense clarity without manual processes and roadblocks also gives your leadership reassurance that teams are being cost-effective and maximizing business performance.
Additional TEM Audit Benefits
- Identify network device contracts, services, and plans in use or no longer needed
- Automate processes to invoice audits with configurable audit rules
- Provide quantifiable data that can be analyzed to manage and drive business decisions
Not only does a TEM audit help your business run smoothly, it also results in cost savings and helps you identify unnecessary spending. Here are the top three ways a TEM audit brings money back to your business.
1. Provides big-picture infrastructure tech spending waste and creates organizational efficiencies
In 2022, telecommunication services spending is expected to amount to 1.46 trillion U.S. dollars, a growth of around 0.4 percent from the previous year. With no end in tech spending in sight, a TEM audit helps your business get an up-to-date view of technology and telecom assets — and their associated costs — company-wide.
While some organizations intend on completing consistent and timely reviews of technology and communication services invoices, the reality is that this task often becomes a forgotten chore. Managing these costs also creates enormous amounts of wasted time that your IT department could use to focus on more productive and time-sensitive matters.
By undergoing a TEM audit, businesses gain invaluable insight into errors, overcharges, and inefficiencies in bills, contracts, usage reports, and customer service records. A TEM audit solution that pairs sophisticated software with hands-on analysis provides solutions that improve your team’s efficiency and effectiveness and decreases room for human error.
For IT leaders looking to prove their value to the organization, sustaining an accurate view of asset inventory and contracts is critical. But if your technology services aren’t reviewed on a regular basis, the overlooked details can create unexpected, long-term costs.
A TEM audit calls out issues that can help streamline and clarify reporting across all of your technology services to make it easy to find, understand, and take action—quickly. Additional benefits are gained through an audit that provides recommendations via access to real-time comparative data. By presenting industry-specific spending trend data, IT departments can make informed decisions to improve strategic planning and future spending.
Thorough TEM audits also eliminate billing and service disputes. Invoices, receipts, and supporting documents are combed through to make certain an organization is actually getting what they pay for. A well-tuned audit can optimize the telecom environment for savings and negotiate with technology service vendors for improved contracts by searching for technology contract violations.
3. Helps forecast your technology expense future
Managing the costs of evolving technology—from networking and storage to added devices and cloud services—is necessary for companies in the digital era. But planning ways to capitalize on technology and communication services only works if you know what you currently have and how it’s being used to calculate future expenses. Without a TEM audit, building a proactive strategy is often beyond an organization’s time and resources.
Utilizing a TEM audit captures the inventory of all network technologies to help your business find redundancies and underutilization. It also helps resolve invoicing discrepancies and contract errors with less effort.
This access to your assets gives you better spending analysis by relying on the data to drive decisions. With constant visibility, you can forecast with confidence knowing you can easily eliminate wasteful spending or recover inaccurate billing errors through the help of automated processes.
TEM brings immense value by giving your IT teams automated processes to gain control over telecom and tech expenses across the business. As organizations across all industries initiate forward-looking strategies to improve efficiencies, it has become vital to put a TEM audit on the calendar to manage tech service costs for today — and tomorrow.
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