Increase Revenue and Subscribers with Geospatial Business Intelligence
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1 2014 White Paper Increase Revenue and Subscribers with Geospatial Business Intelligence How telecom players are harnessing a BI integrated GIS system for effective sales and distribution management
2 Contents Current BI Challenges in the Telecom Industry Limitations of Data Analytics at the Operational Level Making Analytics Work as an Effective Decision Support Tool Introducing i-sba Platform: A Web Based BI tool for Better Business Results Standard Reporting Functions: Reports Pertaining to Activations and Churns Dealer Support Conclusion Footnotes Authors About Cyient
3 Current BI Challenges in the Telecom Industry Profitability in the telecom industry is largely linked to an organization s subscriber base which in turn is dependent on number of active customers, available services, service quality, price relative to competition, as well as customer satisfaction. Sales departments in service provider organizations are under constant pressure to improve sales and Average Revenue Per User (ARPU). They are also challenged to stay competitive in the marketplace by providing targeted products and services at a competitive price. Retaining existing customers and winning new subscribers is not possible without monitoring overall customer satisfaction and ensuring proactive feedback. Tracking and reporting of key indicators, analytics, combined with Business Intelligence (BI) for predictive network modeling, play a key role in proactively maintaining and growing the subscriber base and revenues. With the marketplace becoming more competitive, telecom players are becoming aware of the advantages of better utilization of data and information available within their organizations. Service providers are also looking to further integrate large volumes of subscriber usage statistics into business intelligence tools for insights that will help improve the quality of decision-making, thus enabling them to retain a competitive edge in the market place. However, service providers face some common challenges in implementing and leveraging BI systems including: Handling large volumes of data pouring in every day Business decisions are only as good as the insights identified. Telecommunications databases are considered to be amongst the largest commercial databases in the world and could contain several billions of records 1.The telecom industry generates such large amounts of data, including call detail data, network data and customer data that traditional analytical methods are not equipped to handle the large throughput. New data is constantly pouring into the system even before analysis of existing data is completed. Business analysts need sophisticated BI tools to make sense of these massive amounts of data relating to - customer usage, activations, churns, usage, revenue, Average Margin Per User (AMPU), ARPU, site utilization, level of stocks with dealers - as well as to understand several other important indicators and trends. Lack of visualization capability for easy adoption and usage While the existing BI tools in the telecom industry do a good job of analyzing and presenting the what, how, who and when questions, they do not provide adequate support in visualizing and addressing the where question to better understand customer distribution, identify potential opportunities improve customer service by geography. Need for skilled resources Traditional BI tools require the on-going support of business analysts and financial experts who can perform cause and effect analysis, what-if scenario analysis and develop business process models for decision support, thereby adding to the cost overheads of an organization. 01
4 Limitations of Data Analytics at the Operational Level Very often, BI is handled at the operational level within an organization making it difficult for the management to answer ad-hoc questions on day-to-day business problems. It also operates in silos resulting in the lack of capability to look across multiple lines of business. Telecom service providers are now looking to enhance their BI capabilities through the provision of enhanced analytical tools and through the introduction of newly available datasets. The shortcomings in traditional data mining or analytical tools have proved that BI is a key tool that enables service providers to leverage insights that are important to retain subscribers and enhance the overall customer experience. With the availability of Geographic Information System (GIS) and spatial enabled data, service providers now have access to more powerful analytical tools and increasingly sophisticated ways of presenting data to ensure that business critical decisions are made based on the best available data and intelligence. 02
5 Making Analytics Work as an Effective Decision Support Tool Telecom service providers need a BI data analysis tool that is fast, leverages the spatial context to provide advanced analysis and intuitive visualization of the problem, while allowing for better data mining, and assists in drilling down to relevant information. The expectations and demands of the growing BI and analytics user community are changing. They are no longer satisfied with IT-driven application development, restricted access to historical data, or standard business reports. Businesses need a greater degree of control and customization, better visualization and analysis capabilities, and a faster time to market. Also, the end users of analytics today are people whose job is not directly related to BI or analytics. They are typically executives and decision makers who need to use analytical tools in their decision making process to improve business processes and outcomes. Therefore a good BI decision support tool should satisfy the following criteria: - Simple and intuitive to use by anyone in the organization - Provide quick/instant insights and answers to business critical problems - Enable identification of trends, opportunities and business options - Provide intuitive, interactive visualizations to add relevance and meaning to the data Making information available to a wider community Today, data mining and BI systems deploy analytics to broader audiences within an organization who in turn take advantage of business analytics for supporting everyday decision making and improving business outcomes. Analytical reports enable quick and accurate decisions when they are presented in an easily readable and understandable format and allow quick drill down for further analysis. Analytics as a corporate resource As the reliability of BI or data analytics increases, potential uses and users within any service provider organization are also likely to increase. With this increased use, there is also an understanding that the more high quality data that can be added, the more sophisticated the questions that can be asked and answered. At some point in time, the use of analytics within an organization becomes a standard practice and as such a true corporate resource. However, to enable this wide-spread acceptance it is critical that all the related data is of the highest available quality, and that processes and procedures are applied to measure and maintain the quality of such information. Given all of these factors, telecom service providers need a BI data analysis tool that is fast, leverages the spatial context to provide advanced analysis and intuitive visualization of the problem, allows for more data mining within a shorter period of time, and assists in drilling down to relevant information. 03
6 Introducing i-sba Platform: A Web Based BI tool for Better Business Results The i-sba is a web-based user interface and has intelligent dashboard for analyzing complex data quickly. It offers 100% analysis coverage across the distribution network by providing analytics down to the individual dealer level. 04 Our i-sba (Integrated-Spatial Business Analysis) integrates spatial data and enhances existing data with a spatial context enabling advanced analytical functions and intuitive visualization for ease of use and enhanced decision support. It uses GIS and sales data as two of its key components and lends itself to multiple layers of data mining and analysis (country, region, state, and district), in order to generate decision supporting reports quickly and accurately. Decision makers can visually identify the opportunities and risks on GIS Maps, reports and charts to take proactive decisions that improve competitiveness and increase sales. Integration with GIS provides the location context for analyzing the data. Functional highlights - Simple web-based user interface and intelligent dashboard for analyzing complex data quickly - Users can drill up or down to any level they wish to analyze with data mining capabilities at the national, dealer, and product levels - Offers 100% analysis coverage across the entire distribution network by providing analytics down to the individual dealer level, unlike other tools that are restricted to providing analysis at the market area level - Quick analysis with the click of a button that requires a smaller team of analysts resulting in reduced Operation Expenditure (OPEX) costs, by about 50% 2 - Built on the pillar of GIS mapping for intuitive visualization and better decision making - Capability to analyze revenue, risks, customer usage and business opportunities quickly and accurately. Faster access to data allows for more data to be analyzed within the same amount of time. With i-sba report generation time can be cut by up to 90%, which helps reduce the turnaround time from weeks down to a matter of minutes and seconds. Platform Overview The i-sba platform comes with an intuitive and user friendly interface that allows anyone with access to a web application to generate reports on his/her first interaction with the application. The system hides all technical complexity from users and does not need expertise or special training in business intelligence or other data analytics tools. A simple and friendly interface enables thousands of unique reports to be generated using numerous combinations of report filters. Since i-sba is a web based application, users can interrupt report generation at any point in time and go on to work with other features. (Refer Fig. 1) Fig. 1 i-sba
7 While many BI tools are based on propriety data formats and complex analytical functions, the i-sba platform leverages the sophistication of commercial Relational Database Management System (RDBMS) platforms coupled with our deep knowledge of data management and analysis, specifically in the context of spatial enabled data. The core RDBMS solution is further supported through the provision of generic spatial layers and standard analytical reports. The data can be indexed into the core RDBMS platform, as a range of data types, through a sophisticated meta data concept, which allows any number of additional datasets to be integrated into the platform while maintaining enhanced analytical capabilities. No additional development is required. One of the unique concepts of the i-sba Platform, which has been developed specifically for the mobile telecommunication market, is the concept of a Temporal Locational Data (TLD) which supports efficient modeling of the characteristics of any mobile device, where time and location are of critical importance. Using this data concept, service providers can model the time, location and services of the individual device for detailed analysis. Once the data has been registered in the i-sba database, the user is able to produce any number of reports, and the results can be presented in varied formats, including maps (in the case of spatially enabled datasets). The tight integration of Google Maps into the i-sba platforms, ensures that all maps are presented in a user friendly manner. Any registered spatial data can also be presented through Google maps, including network coverage, cell site locations or other competitive data. Architecture i-sba is based on a standard RDBMS platform supported by a number of integrated components, which are delivered to the user over a web interface. The scalable architecture is designed to enable fast deployment and ease of integration into the service provider s existing IT infrastructure to meet the increasing demands for business analytics. (Refer Fig. 2) System Components Data Definition/Meta Data Definition As data is added into to the database it undergoes a registration process, which enables users to define the specific meta data required. There are a range of data types which can be added or associated with the i-sba database, these include: - Standard Attribute Data: Used to define data, which may be related to other data in the database through a defined relationship, e.g. customer service or billing data - Geospatial Data (Geospatial Enabled Data): This could be demographic data or data associated with political, regional, or operational boundaries - Related Geospatial Data: Data which has a direct relationship with a known geospatial data type, for instance, network performance data, or cell utilization - Temporal location data (for mobile data) - Network Data (Cell Site, Access Points): This is spatial network data, depicting the location of Point of Presence (POPs), services point and cell site towers; also holds details of the individual cell site coverable or drive test results 05
8 Fig. 2 i-sba Solution Architecture - Address data (customer, business etc.) - Events (outages, faults etc.) - Reference Data: This is either spatial or non-spatial data what is required within the system for lookup or other reference purposes, but is not considered part of the operational data Once the meta data is added in, i-sba application understands the data types and how to interact with the stored data. The meta data also supports all the other applications in terms of how reports are generated and how any mapping based results would be displayed. Map Layers Reference Data The landing page of the application displays the Google map background with the administrative boundaries and business layers overlay to bring in the location context. Users can use the background satellite map for identifying the on ground areas for analyzing network coverage and dealer outlets coverage, in the context of the populated areas on the ground. The business layers section contains dealers, market area boundaries, Base Transceiver Station (BTS) locations, distributor office locations, distributor boundaries, and tradeshow event locations. These layers 06
9 can be extended further based on individual business requirements. Network Data The coverage layers section includes coverage layers such as 3G and Broadband. Part of the system with coverage layers can be published to the public with network coverage layers and dealer outlets. It helps users identify the nearest dealer location and assess the signal coverage in their area. Demographic Information When business users plan for a new product launch, demographic information is a key input in the business decision making process. This application is powered with demographical information display and an import module that procures customer demographic data for effectively supporting such decision making. Query Manager Query manager is a key module which provides a simple user friendly interface to the users to define reports with various filtering parameters. It allows users to define reports in a single instance and save the definition as bookmarks. Users can also recall the saved reports any time in the future and change the date parameters to regenerate regularly used reports. The query manager module provides seven categories of reports and can be easily extended to any number of categories. Each category has a number of parameters which allows the users to generate a wide range of reports for data mining and analysis. - Standard reports - Regulatory reports - Ad-hoc reports Geo-Coding/Geo Spatial Augmentation The geo-coding tool helps identify the latitudinal/longitudinal positions of the dealer outlets from any given address. It is a handy tool to identify locations on the map. GIS Viewer We recognizes that organizations may already support a GIS viewing platform, and therefore i-sba can be used as a standalone web application based on open source technologies or as a suite of web services for integration with client s existing web GIS platform. This strategy enables the service provider to leverage their existing GIS deployments and data sources, thus adding to their existing GIS capabilities, or it can be used to provide support as a business specific interface. 07
10 Standard Reporting Functions: Reports Pertaining to Activations and Churns The i-sba tool allows you to generate unique reports from the combinations of drop down list filters available in the system e.g. prepaid, postpaid, product level, voice, SMS etc. In the telecom wireless services business, subscriber base is the key indicator of the strength of the business. Daily activations represent number of new subscribers added into the operator s network. While adding new customers is important to the business, retaining existing customer is also equally important. Regularly monitoring churn and formulating plans to reduce churn helps maintain a strong subscriber base. i-sba provides reporting tools to monitor churn and net activations, and helps in identifying opportunities for growth and risk areas that need to be monitored and mitigated. (Refer Fig. 3) Usage and Revenue Report Module Usage and revenue report modules enable users to generate reports based on geographic areas, distributors, dealer headquarters and dealer level subscribers network usage. Reports can be generated by applying filters such as prepaid, post-paid, product level, voice, SMS, MMS, and data usage. These reports can be generated based on dealer as well as BTS data. Below are a few sample reports selected from a universe of thousands of unique reports that can be generated using various combinations of drop down list filters available in the system: - Prepaid minutes of usage break down for all states/regions/district/market areas in a country - Prepaid specific product minutes of usage break down for all or selected distributors/ dealers - Incoming minutes of usage from other networks in a specific geographic area Fig. 3 i-sba Reporting Functions 08
11 - Minutes of usage trends for a selected time period, such as 6 weeks, 2 months or 2 quarters - States/districts not meeting targets - Report with percentage of usage drop in market areas in last two months with Red Amber Green (RAG) status - Drill down on a state/district/market area with corresponding percentage of usage drop to identify the root of the problem - Revenue RAG (Red Amber Green) status of states/districts/distributors - Revenue for selected BTS on selected day/ week/month BTS Load Analyzer Subscriber concentration patterns change every hour of the day and identifying such patterns is essential for proactive network planning, ultimately leading to higher customer satisfaction. BTS load analyzer helps in plotting BTS subscriber load on the location map. It displays bar charts against an animated timeline of hourly intervals, in order to enable each BTS subscriber load to be analyzed at different times of the day. Cumulative Subscribers Module Cumulative subscribers module is used for monitoring the subscriber base from the entire operations level down to the smallest administrative territory, market area, dealer, and BTS. Subscriber base can be analyzed and further drilled down from national level down to the market areas, and further down to the individual dealer level. Reload Module Reload module helps in analyzing prepaid top up reloads data from the nation level down to the individual dealers. This module helps in assessing the reload target achievement statistics and identifying the gaps in achievements. Sample report queries: - Market areas that failed to reach reload targets - Dealers with low reload sales - Products with low/high reloads 09
12 Dealer Support Our Solution helped a leading Southeast Asian mobile communications company acquire 100% analysis coverage across its distribution network, reduce OPEX by 50%, and improve turnaround time by 90%. Stocks Module This module helps in analyzing stock levels at each individual dealer level, down to the state and regional levels. Low stock balances can be easily and proactively identified, and integrated with existing inventory management system. Key market area stock levels can be monitored to ensure they are replenished on time, to avoid stock-outs. Some samples of queries that can be run using i-sba include: - Which of the market areas are not meeting cumulative subscriber targets? - Who are the dealers with low cumulative subscribers? - What are the weekly/monthly trends in the subscriber base? Case Study A leading Southeast Asian mobile communications company adopted the i-sba solution for sales and distribution management analysis, and planning future offerings. The telco acquired 100% analysis coverage across its distribution network, reduced OPEX by 50%, and improved turnaround time by 90%. We implemented a web based open source solution architecture based on the GeoServer that runs in a Java enterprise edition (formerly J2EE) environment. The solution is scalable, extensible, fault tolerant, interoperable and secure, with a well-defined exception management component. Benefits of the i-sba Solution i-sba helps the client generate accurate and complex reports in less time, and achieve intuitive understanding through visualization. It provides single view of reports for quicker response to queries by channels. The tool also also enables a high level of granularity of data. The open source architecture allows free and easy software updates with no additional costs or expensive COTS product licenses or customization. The solution eliminates the need to track copies/products in the systems, reducing the company s administrative overheads. It also helps avoid lock-in with a single product vendor. 10
13 Conclusion Profitability is the key to survival in today s competitive markets. This is more so in the growing, innovation driven Telecom industry. Industry players are constantly challenged to increase sales and ARPU. In this context, it is imperative that telecom service providers proactively track, monitor, and analyze subscriber data to improve the quality of decision-making, thereby enabling targeted offerings for a competitive advantage in the market place. However, analyzing huge volumes of data, lack of BI tools with easy visualization capabilities, and the need for skilled analytical resources to process data, act as barriers to implementing analytics at an operational level. Leveraging our i-sba (Integrated-Spatial Business Analysis) allows telecom service providers to enhance organizational data with a spatial context for advanced analytical functions and intuitive visualization. By integrating GIS and sales data, it supports accurate decision support and strategic planning for sustained growth and competitive advantage. 11
14 Footnotes 1 publication/ _data_mining_in_ Telecommunications 2 By implementing the ISIS solution, we reduced OPEX by more 12
15 Authors Author Sridhar Rao Boini is working as an IT Consultant and Senior Project Manager at Cyient. He has over 15 years of rich experience in GIS system conceptualizing, design, and implementation of enterprise projects for numerous sectors, primarily for telecom wireline and wireless. His tehcnical consulting skills and vast experience on latest products in telecom inventory management have helped CSPs worldwide. Co-author Thirumal Rao Akkinepally is working as a Consultant and Pre-sales Head at Cyient. His area of expertise lies in wireline & wireless technologies in the telecom space. He has over 18 years of experience in telecom operations, building longterm relationships with telco customers and proposing value added solutions to partner with CSPs. He has led large telecom infrastructure deal management through the entire journey from vision to realization phase. 13
16 About Cyient We create and deliver services that enhance your business agility. Our leading-edge solutions enable major organizations worldwide to achieve measurable and substantial benefits. We are experts in the aerospace, consumer, energy, medical, oil and gas, mining, heavy equipment, semiconductor, transportation, communications and utilities industries. Our communication business unit provides specialized services to help CSPs improve quality, time and cost of designing and rolling out new networks. We offer the following solutions for telecom players: - Operations and services management solutions: helps service providers achieve optimized and efficient service delivery, service assurance, fulfillment and customer experience management - Network infrastructure solutions: covers network planning, design & field engineering, network inventory management & IT Consulting NAM Headquarters Cyient, Inc. 330 Roberts Street, Suite 102 East Hartford, CT USA T: F: EMEA Headquarters Cyient GmbH Mollenbachstr Leonberg Germany T: F: APAC Headquarters Cyient Limited Level 1, 350 Collins Street Melbourne, Victoria, 3000 Australia T: F: Global Headquarters Cyient Limited Plot No. 11 Software Units Layout Infocity, Madhapur Hyderabad India T: F: insights@cyient.com 2014 Cyient. Cyient believes the information in this publication is accurate as of its publication date; such information is subject to change without notice. Cyient acknowledges the proprietary rights of the trademarks and product names of other companies mentioned in this document. 14
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