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Using Outside Sources to Assist Using Outside Sources to Assist with Telecom Cost Reductionwith Telecom Cost Reduction

Jerry Pollio, Managing PartnerJerry Pollio, Managing PartnerSchooley Mitchell Telecom ConsultantsSchooley Mitchell Telecom Consultants

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AgendaAgendaIndustry Turmoil and Confusion

Budgets and Challenges

What can a Third Party Do to Help?

Third Party Value Proposition

Choices in Third Party Business Models

The Schooley Mitchell Way

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Telecom ConfusionTelecom Confusion Multiple Rates, Tariffs,

Contracts, Plans Constant Technology Changes Mergers, Acquisitions,

Bankruptcies Constant Change among

Vendors Thousands of Disparate Billing

Platforms Extensive Billing Errors Differences – State By State

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Multiple ServicesMultiple Services Local ServiceLocal Service VoIPVoIP WirelessWireless Long DistanceLong Distance Data (WAN)Data (WAN) Remote AccessRemote Access InternetInternet Calling CardsCalling Cards Audio, Video, Web ConferencingAudio, Video, Web Conferencing PagingPaging Web Hosting / Co-locationWeb Hosting / Co-location Network Security, Data Backup, Network Security, Data Backup,

Disaster RecoveryDisaster Recovery

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Budget ProcessBudget Process Manage & Fund Important InitiativesManage & Fund Important Initiatives

Understanding the Issues – Prioritize Understanding the Issues – Prioritize Projects Projects

Limited Internal ResourcesLimited Internal Resources

Phone by Phone, Line by Line, Phone by Phone, Line by Line, Feature by Feature Analysis to Create Feature by Feature Analysis to Create Found MoneyFound Money

Optimization is a Challenging Process Optimization is a Challenging Process

Maintaining VigilanceMaintaining Vigilance

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Why Get Third Party Why Get Third Party Assistance?Assistance?

Independent & Objective Independent & Objective ReviewReview

Free up Internal Resources for Free up Internal Resources for More Strategic and Critical More Strategic and Critical InitiativesInitiatives

Hire Experts Who Will Do the Hire Experts Who Will Do the Work For YouWork For You

Focus on Core CompetenciesFocus on Core Competencies

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What Can a Third Party What Can a Third Party Do?Do?

Identification of Billing ErrorsIdentification of Billing Errors Conduct Price NegotiationsConduct Price Negotiations Help With Technology Platform and Help With Technology Platform and

Vendor SelectionsVendor Selections Implementation/Project ManagementImplementation/Project Management Continuing OptimizationContinuing Optimization Ongoing Support (Single Point of Ongoing Support (Single Point of

Contact)Contact) Resource for All Telecom- Related Resource for All Telecom- Related

Subject MattersSubject Matters

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Billing ErrorsBilling Errors

81% of Surveyed Organizations Incurred Billing Errors

Looks the Same, Weighs the Same – Pay It

Elimination of Redundant Services

Are you Provisioned for Are you Provisioned for What You Need?What You Need?

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Price NegotiationsPrice Negotiations Tools to Understand Best-in-Tools to Understand Best-in-

Class Price Points by Vendor Class Price Points by Vendor and Service Categoryand Service Category

Understanding a Carrier’s Understanding a Carrier’s Financial Approval ProcessesFinancial Approval Processes

Bundling of Services vs. Best Bundling of Services vs. Best In BreedIn Breed

Does your Rep Really Know Does your Rep Really Know the Best Price?the Best Price?

Fishing versus KnowingFishing versus Knowing

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Ongoing VigilanceOngoing Vigilance Once Your Environment Gets

Optimized Keep It That Way

Know the Agenda of Who You Hire

Keep Apprised of New Technologies / Trends

Bill Review for Accuracy

1111

Customer SupportCustomer Support Coordination of Implementation / Project

Management One Point of Contact to Deal with All Carriers

and Service Issues Subject Matter Expertise Across a Wide Range

of Services Understanding of the Client’s Entire Telecom

Environment Validate Savings/Bill Accuracy on a Monthly or Validate Savings/Bill Accuracy on a Monthly or

Quarterly BasisQuarterly Basis Stay on Top of Industry Trends, FTC Rulings, Stay on Top of Industry Trends, FTC Rulings,

Vendor Shake-UpsVendor Shake-Ups

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Unbiased ExpertiseUnbiased Expertise

Industry Knowledge Without Industry Knowledge Without Being SoldBeing Sold

Right Product, Right Supplier, Right Product, Right Supplier, Right PriceRight Price

Apples-to-Apples Apples-to-Apples ComparisonsComparisons

Objective AdviceObjective Advice

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Choices in a Third Party ModelChoices in a Third Party ModelTelecom Agent/BrokerTelecom Agent/Broker Can Explore a Variety of Can Explore a Variety of

SuppliersSuppliers One Point of Contact for One Point of Contact for

SupportSupport Thorough Industry Thorough Industry

Knowledge Knowledge Paid by Suppliers as a Paid by Suppliers as a

Percentage of Current Percentage of Current Spend / Partial Spend / Partial Contingency or Retainer Contingency or Retainer FeesFees

Independent ConsultantIndependent Consultant Can Review Any Supplier

– No Ties to Carriers One Point of Contact for One Point of Contact for

SupportSupport Thorough Industry Thorough Industry

Knowledge Knowledge Contingency Based Fees

– Only Paid if Costs Go Down

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Who Is Schooley Mitchell?Who Is Schooley Mitchell? Largest Independent Telecom

Consulting Firm in North America

60+ Locations Across United States, Canada & Caribbean

Established in 1980

Millions of Dollars of Client Telecom Expenditures Under Management

Average Savings of 23-28%

Independent & Objective

Price Benchmarking Tools

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Key AdvantagesKey Advantages Vendor IndependenceVendor Independence True ObjectivityTrue Objectivity 60+ Consultant Offices – Wide 60+ Consultant Offices – Wide

Range of Subject Matter Range of Subject Matter ExpertiseExpertise

Specialized Tools – Price Specialized Tools – Price Benchmarks From Thousands of Benchmarks From Thousands of ClientsClients

No Risk, Results Oriented No Risk, Results Oriented Business ModelBusiness Model

Congruent Agenda With ClientCongruent Agenda With Client

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Thank You!