Amdocs enables new nationwide business at TIM Brasil

Amdocs enables new nationwide
business at TIM Brasil
TIM Brasil is one of the leading
telecommunications companies in Brazil
delivering a range of mobile, fixed-line
and data services to over 61 million
people and organizations. The company
has expanded through offering innovative
products and services and growing its
customer base. Growth has also been
achieved through strategic acquisition.
It gained consumer, business and
wholesale subscribers to fixed-line
telephone and data services through its
acquisition of Intelig in May 2010 and
added a 5,000 km fiber-optic network in
São Paulo, Rio de Janeiro and other major
Brazilian cities infrastructure through its
acquisition of AES Atimus in July 2011.
Although the original motivation for the
investment in AES Atimus was to support
its mobile operation by providing backhaul,
TIM Brasil quickly recognized it also
provided a huge opportunity in the fixed
residential broadband market and so the
TIM Fiber project was conceived in 2011.
A huge opportunity
The country lacks a national fiber
backbone and consequently 68% of
the population doesn’t have a fixed
broadband Internet connection, so there
is massive, pent-up demand. In addition,
90% of those who have an Internet
connection (who are generally in well-off
neighborhoods in cities) have less than a
10Mbps link (80% have ADSL and speeds
below 2Mbps) and are demanding faster,
more reliable service. This means there is
a great chance to attract the incumbents’
customers with a better offer at a highly
competitive price.
Overall the company expects 60% of
its new residential customers to be new
broadband users. Most of these first time
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subscribers will have less disposable
income than existing broadband users,
so keeping costs down and operational
efficiency are paramount to its success.
While the incumbent fixed broadband
service providers are deploying Fiber
to the Home (FTTH), TIM Brasil’s
strategy is to offer coverage to 80%
of the residential population based on
Fiber to the Curb (FTTC), with a fiber
termination point an average distance
of just 250 meters from customers’
premises. Connecting households this
way is cheaper, faster and less complex,
working out at between $200 and $300
per access line, as opposed to about
$1,500 for installing fiber in a home.
This strategy will enable TIM Brasil to
offer speeds up to 10 times faster at a
highly competitive price. Its target is to
go from 50,000 residential broadband
subscribers in 2012 to more than a million
in 2016 – a big task, particularly as return
on investment is forecast within five
years. Crucially TIM Brasil is expecting to
achieve payback within a year of providing
each new access and of course, this will
be helped by the service provider being
able to offer fixed-mobile bundles, which
will also increase the addressable market.
In addition to the infrastructure gained
by acquiring AES Atimus, TIM Brasil
already has fiber in 12 of the country’s
biggest cities linked to antenna and will
provide wireless broadband via 3G and in
future with 4G.
The need for speed
TIM Brasil had already embarked upon a
major business transformation initiative
to streamline and improve its business
operations and roll out advanced mobile,
telephony and data services, such as
“TIM Brasil’s target is to go from
50,000 residential broadband
subscribers in 2012 to more
than a million in 2016.”
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Amdocs enables new nationwide
business at TIM Brasil
multi-play offerings for its new TIM Fiber
residential broadband service. Now it
needed to leverage its acquisitions,
including through faster time-to-market
for TIM Fiber broadband services by
providing the business support systems
(BSS) and operational support systems
(OSS) required to deliver these services.
To exploit the advantages of its FTTC
strategy and acquisitions, the company
needed to act fast – it estimates it is
three years ahead of its competitors in
terms of infrastructure rollout – and faced
some tough challenges. They included:
■
■
■
Converging fix and mobile
business operations and network
infrastructure following merger with
telecommunications business Intelig
and AES Atimus in a very short
timeframe.
Avoiding an explosion in network
costs generated by heavier traffic
through making business processes
and operations more efficient and cost
effective, and by utilizing the acquired
fixed assets.
Meeting massive growth demand with
low-cost, innovative and flexible
products and services.
Luigi Longarini, CIO, TIM Brasil,
explains, “Following our acquisition of
Atimus’ fiber-optic network last year, we
knew that we needed to move quickly
to consolidate its network into TIM and
rapidly offer the broadband services our
customers are demanding. We selected
Amdocs for TIM Fiber based on the
results our two companies have already
achieved working together on the B/OSS
transformation project [we] announced
last year. In addition, we are using
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Amdocs’ consulting and implementation
services in order to ensure a seamless
rollout of this new broadband service.”
Gaining a crucial year
Flavio Lang, Chief Marketing Officer,
TIM Fiber, says, “Much of this project
was starting from scratch and we needed
to do it right first time. We used TM
Forum’s Business Process Framework
(eTOM) as our reference to design
the new processes for provisioning,
fulfillment, assurance, the entire sales
process and to manage the channel.
“By doing this, we probably gained
a year – the difference between being
in this business and not being in it.
With our FTTC strategy, we’re ahead
of the competition and to gain market
advantage, we need to stay ahead. If
we’d had one or two years’ delay, we’d
be out of the market.”
The Business Process Framework
was involved from day one, along with
a commitment from TIM Brasil’s IT
organization to adhere to the Framework
to avoid any misconceptions or
duplication.
As prime contractor, Amdocs served
as systems integrator for its own
solutions and those of up to 30 other
vendors, performing a wide range of
services including end-to-end program
management, systems integration testing
and user training to ensure the entire
system works seamlessly.
TIM Brasil is using products from
Amdocs’ Customer Experience System
(CES) 8 portfolio to provide the foundation
for its Business Support Systems (BSS)
and Operations Support Systems (OSS)
transformation initiative, supporting its
next-generation network. The integrated
BSS/OSS platform was deployed in just
five months, going live in May 2012. It is
now in a ‘soft launch’ phase with its first
customers. The full commercial launch
will go ahead in the third quarter of this
year, at which time the platform will be
run by Amdocs Global Strategic Sourcing
division.
Amdocs has long been an active
participant within TM Forum on the
continuing evolution of the Business
Process Framework. The company
has developed a complementary
methodology, Amdocs Scenario
Optimization Modeling (ASOM), which
uses TM Forum’s Business Process
Framework as the foundation in its
products.
ASOM was created by Amdocs
Consulting to define a set of standards,
methods and templates that would enable
us to: learn and capture current end-to-end
process flows; identify potential process
improvement areas (issues, limitations,
gaps); and design future processes via
process innovation workshops. The
methodology expands the Business
Process Framework to Layers 4 and 5,
beyond the Forum’s Level 3.
For the TIM Fiber project, Amdocs
used ASOM to bridge the gap between
the Business Process Framework, the
technology and TIM Brasil’s business
needs. It enabled Amdocs to establish
what was needed and the best practices
for getting there, adopting standard
processes wherever possible to minimize
change.
Amdocs has provided TIM Brasil with
a complete end-to-end solution from
consultancy and products to services
and testing. The Amdocs portfolio
includes Order Management, Service
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Management, Resource Manager and
Enterprise Product Catalog, as well as
Amdocs Managed Services and Amdocs
Testing Services.
The Amdocs solution bridges BSS
and OSS to unify customer ordering,
provisioning processes and activation
across multiple channels and lines of
business. Amdocs has enabled TIM Brasil
to consolidate a number of separate
operational into a single platform
supporting a complete order-to-activation
process and providing visibility across all
its services and network resources.
In addition, the Amdocs system
provides a centralized product information
repository across all TIM Brasil’s services
and network planning capabilities to
optimize capacity utilization on its
nationwide network.
Amdocs is also providing the strategic
business-process consulting that will
allow TIM Brasil to rapidly integrate the
Atimus network and begin delivering
broadband services less than 12 months
after the acquisition.
The results so far
The integrated Amdocs BSS and OSS
solution has enabled TIM Brasil to
improve customer experience, reduce
operational costs by reducing leased lines
usage, and make business operations
more efficient. The solution provides an
end-end view of all network resources
(physical, logical and services) and their
real-time utilization levels. A highly
accurate view of all network resources
reduces costs for interconnections and
leased lines, and makes it easier to
optimize the network.
TIM Brasil has been able to reduce
operational costs by making processes
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more efficient. For example, the Amdocs
solution makes it easier to maximize
network assets as additional resources
are only purchased when required. A
complete view of all network assets
also means it is much easier to identify
redundant network segments.
More specifically, the TIM Brasil has
reported:
16% leased-line OpEx reduction by
merging fixed-mobile network
resources;
■ new cost controls, through right time,
■
Company at a glance
Company: TIM Brasil
Headquarters: Rio de Janeiro, Brazil
Subscribers: 61 million (2011)
Employees: 9,000
Stock exchange: BOV :TIMP3;
NYSE:TSU
Services: mobile, fixed,
long-distance and data
transmission operator
Website: www.tim.com.br
right place capacity planning;
improved customer experience by
reducing order and provisioning fallout
through automation;
■ taking less time to deploy new
services; for example, it helps to
quickly introduce innovative new
services such as quad play, thereby
improving customers’ experience;
■ other improvements such as reducing
the provisioning order fall-out and time
to troubleshoot failures and network
problems also result in a better service
for customers.
■
About Amdocs
For 30 years, Amdocs has ensured
service providers’ success and embraced
their biggest challenges. To win in the
connected world, service providers rely
on Amdocs to simplify the customer
experience, harness the data explosion,
stay ahead with new services and
improve operational efficiency. The
global company uniquely combines a
market-leading BSS, OSS and network
control product portfolio with value-driven
professional services and managed
services operations. With revenue of
approximately $3.2 billion in fiscal 2011,
Amdocs and its over 19,000 employees
serve customers in more than 60
countries.
Amdocs: Embrace Challenge, Experience
Success.
For more information, visit Amdocs at
www.amdocs.com .
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