TEM, WEM, EMM, MMS Justification

An effective business case or justification helps ensure the TEM or MMS program has ongoing support and secure funding. The justification falls into four main categories:

  1. Reduction of Technology and Telecom Service Expense
  2. Labor Efficiencies
  3. Risk Reduction/Security
  4. Indirect Savings

* Categories interact! Savings in one category may reduce savings in other categories.



1. Reduction of Technology & Telecom Service Expense
A. Refunds and credits for billing errors
1. Audit and recover for billing overcharges
2. MACD reconciliation and recovery for billing errors
B. Cost avoidance reduction of future spending
1. Sourcing: better contracts and rates
2. Inventory management
a. Grooming to higher capacity lower cost services
b. Elimination of unused services and devices
3. Optimization
a. Wireless service optimization match usage to service plans; voice and or data; pooling
b. Identification of services with no contracts, better rates through quote requests and negotiation
c. Minimum Annual Revenue Commitment (MARC) penalty avoidance
4. Accountability chargeback visibility, reporting on usage
5. Elimination of late payment penalties and service disruption for late, non-payment or lost bills
2% – 15% of expenses
5% – 25%
5% – 15% of expenses
Depends on MARC
1% – 20% of expenses
0.5% – 2% of expenses subject to penalties
2. Labor Efficiencies: automating manual processes or outsourcing
A. Automation of manual procurement processes
B. Automation of inventory management
C. Consolidation of invoices to reduce the volume of payments
D. Automation of invoice management and validation
E. Automation of usage chargeback and reporting
F. Help desk support
FTE reallocation or FTE cost – BPO cost
FTE reallocation
FTE reallocation
FTE reallocation
FTE reallocation or FTE cost – BPO cost
3. Risk Reduction
A. Operational: use TEM to insure redundancy of carriers for critical sites
B. Security: ensure adherence to mobile policy; verify data on mobile devices is secure; wipe for lost devices
C. Legal: Compliance to each country/region’s regulations
D. Cost: avoid bill shock; unplanned budget expenses
4. Indirect savings
A. Consistent application of procurement policies; lock or limit contacts ensure only authorized personnel able to procure carrier services
B. Better information for improved decisions
C. Free working capital
D. Redirect staff to focus on areas where they add more value
* Notes below highlight considerations for cost savings on TEM and EMM/MMS.
1% – 5% of expenses
Benefits from better decisions
cost of funds x savings
income or value from new activities or staff costs