Bi in telcom sector
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The document discusses the need for business intelligence (BI) in the telecommunications sector. It notes that the Indian telecom sector is the third largest in the world with over 621 million connections. It outlines several key uses of BI in telecom companies including customer profitability analysis, cross-selling opportunities, customer attrition reduction, and campaign effectiveness evaluation. The document also summarizes some BI implementations at Vodafone, Reliance Communications, and Airtel and describes how they were able to improve processes, reduce data loading times, and enable predictive decision making.
Bi in telcom sector
- 1. BI in TelecommunicationSectorPresented by:SushantKumar (09BM8052)Amey Kolhatkar (09BM8008)
- 2. Indian Telecom SectorThe Indian Telecommunications network with 621 million connections (as on March 2010) is the third largest in the world. The sector is growing at a speed of 45% during the recent years.Expected mobile subscriber base will touch around 771 million by the year 2013.
- 3. Trend in Telecom SectorSource: TRAI
- 5. Need for BI in TelecomCustomer Profitability: It is imperative they acquire new, profitable customers as well as increase the profitability of existing onesCross selling: This can be a major source of selling for a telecom company. For effective cross-selling, existing data can be leveraged using business intelligence solutions to quickly zero in on new products that may be required by existing customers.Customer Attrition: Acquiring new customers is much more costly than retaining existing ones. Customer attrition analysis is an essential step in customer retention.Customer Segmentation: Segmentation is used to segregate customers who exhibit common characteristics in different segments.
- 6. Need for BI in TelecomCampaign Analysis: Campaign analysis is used to analyze the effectiveness of a marketing or promotion campaign. The effects of a particular campaign on sales of the promoted product can be tracked using business intelligence solutionsForecasting: To plan their networks, telecommunications service providers perform forecasting that helps operators to make key investment decisionsBudgeting: Data warehousing facilitates analysis of budgeted versus actual expenditure for various cost heads like promotion campaigns, product development, infrastructure maintenance, investments, commissions, etc.Source: Ingres Insights website
- 7. BI at VodafoneVodafone were able to describe various benefits since implementing their BI solutions:Automated import of measurement data from a wide variety of sources, allowing the automatic creation of up-to-the-minute reports.Constant access to the reports from anywhere and at any time via the intranet or Internet using a Web browser.Standard presentation media; standard layout following corporate identity guidelines.Dynamic selection of the level of detail in the reports.Dynamic creation of trend reports.
- 8. BI atRelianceCommReliance Communications’ performance improvement. Data loading took almost 2 - 3 hours.Greenplum Solution selected the S1004 model of the Sun Data Warehouse Appliance.The time required to turn around a request for detailed call records shrank by over 80%, from multiple days to a few hours.Reduced the average time to load a day’s worth of data by over 90%, from 2 hours to under 10 minutes.
- 9. BI atAirtelThe company wanted to :Identify the usage patterns at an individual level andOffer each customer customized plans based on his/her usageThe company started using BI tools from 1997-98.A key insight that Airtel obtained was that critical business and marketing decisions were being based on daily revenues that were around 15% – 16% less than the actual amountAirtel could possibly leverage its data management expertise in the Value Added Services (VAS) based on consumer usage patternsThe decision-making process has effectively moved from an observation to a prediction model
- 10. DW Architecture
- 11. Data Warehouse (DW) lifecycle
- 13. The Bus Matrix
- 14. Sales and Marketing
- 15. AnalysisWhich product generated max Revenue in the year 2005 in Mumbai? (Time Year: 2005, Location: Mumbai, Revenue )2) Which year showcased the highest no. of newly added customers? (Group by year in Time, max of count Customers based on DOJ)
- 16. AnalysisWhich promotions has been the most popular and can be used in near future?Which Location has minimum number of mobile connections? Comparative analysis of the performance of sales executives based on factors such as gender, age group, region.
- 17. Billing
- 18. AnalysisWhich customers are of the greatest value to the company?How many customers have delayed bill payments in a particular year?Maximum call usage (in minutes) is highest for which region in a particular state?
- 19. SCM
- 20. AnalysisWhich product has the highest demand with Retailers in Kharagpur location?Performance of Retailers by location or in a particular period or both.
- 22. AnalysisWhich area witnesses the maximum call traffic?What day of week witnesses maximum call traffic?On which day of the year were maximum SMS sent?
- 23. BI ReportingToolsMajor players:1. SAP - Business Objects2. SAS3. IBM- COGNOS4. MICROSOFT SQL SERVER5. Oracle- Hyperion
- 24. SAP Reporting and AnalysisSAP Crystal Reports – Connect to virtually any data source, design and format interactive reports, and share them internally or externally.SAP BusinessObjectsAnalysis– Perform analysis of multi-dimensional data sets using the tool designed for financial and business analysts.SAP BusinessObjects Web Intelligence – Perform ad hoc queries and intuitive analysis across heterogeneous data sources online or offline.SAP BusinessObjects Predictive Workbench – Mine your information assets to predict future trends.
- 25. ConclusionThe Telecommunications industry is extremely varied in its adoption of BI solutions. Quite a few companies are in the advanced stages of their BI initiatives; yet there are many that are oblivious of the benefits of BI.With the growth that the telecom sector is witnessing, it won’t be too long before small players also adopt BI as a critical part odd their systems.