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Case Studies

A telecommunications giant improves productivity by 35% through Management Control System

November 27, 2023 | Operational Excellence

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At a Glance

  • A multinational telecommunications company sought Renoir’s expertise to improve productivity in service delivery, client support, managed services and key account management.
  • A Management Control System was implemented, and other tools such as master schedules and performance reporting systems were designed and implemented over a 33-week period.
  • By the end of the project, the company had achieved a 10% increase in service delivery productivity, and a 25% increase in managed services productivity.

Background

The telecommunications industry comprises the companies and regulatory bodies responsible for providing the services and infrastructure needed to transmit signals, messages, and data.

The global telecommunications industry is expanding significantly due to increased spending on the deployment of 5G infrastructure, driven by a shift in customer preferences towards next-generation technologies and smartphones.

Other contributing factors include a growing number of mobile subscribers, increased demand for high-speed data connectivity, and an increased need for value-added managed services.

Our client is part of a multinational network and telecommunications company. They provide information and communications technology (ICT) to operators, enterprises, and other industries worldwide. The company has a strong track record of working with local operators to deploy cutting-edge technologies, including 5G and IoT (Internet of Things).

Analysis

The client engaged Renoir Consulting to work with their staff to design a Management Control System (MCS) and identify productivity improvement opportunities in the following areas:

Service delivery

Client Support

Managed Services

Key Account Management

Project Approach

Our consultants worked with eight dedicated task force members from the client’s office. These members allocated between 30% and 50% of their time with the Renoir team. In addition, we established a Management Action Team (MAT) in each area to collaborate on the design of the Management Control System (MCS) and to identify opportunities for improvement.

Our initial interactions with the MCSs during brown paper analyses, workflow observations, and Management Tool design were met with scepticism. Our client initially questioned the value we could bring.

By establishing a close partnership with the client’s team and collaborating on the design of MCS tools such as master schedules and performance reporting systems, as well as introducing additional Key Performance Indicators (KPIs), we successfully gained their trust and support.

Our efforts effectively overcame their initial scepticism, and client subsequently recognised our role in helping them to identify and implement improved, more effective working practices.

Implementation

During this 33-week project, we implemented an MCS. The implementation resulted in a 10% increase in service delivery productivity and a 25% increase in managed services productivity. We also went beyond the scope of our work by designing a comprehensive RACI (Responsible, Accountable, Consulted, Informed) matrix to clarify roles and responsibilities across the organisation.

We streamlined their costing model, developed a contract management process, and introduced cross-departmental meetings to improve communication. In the early stages of the project, we were also asked to explore an offshoring model. This exercise proved beneficial and brought additional benefits to the organisation.

Results

“Renoir helped me to improve my operations and reduce costs throughout our service areas. I particularly liked the way they worked directly with my management team and staff to uncover the issues and directly involve them in designing the Management Control System.

Their approach was systematic, and they communicated on a frequent basis so that I always knew where we were in the project.”

– President

10% increase in service delivery productivity

Cost savings on escalation requests

Reduced travel costs through offshoring

25% increase in managed services productivity

Reduced backlog communication matrix

*We have intentionally omitted client-specific details to maintain strict confidentiality.  

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