Telecom Business Review

Open Access Open Access  Restricted Access Subscription Access
Open Access Open Access Open Access  Restricted Access Restricted Access Subscription Access

Challenges in Outsourcing of Telecom Tower Management-system Integrators (SI) Perspective


Affiliations
1 Symbiosis Institute of Telecom Management, Pune., India
2 Tech Mahindra Ltd., Pune., India
     

   Subscribe/Renew Journal


The phenomenal growth in mobile subscribers over the last few years has created huge opportunities for the telecom infrastructure industry. The operators in developed markets have already moved on to advanced active infrastructure outsourcing, operators in developing markets are beginning to realize the potential of passive infrastructure outsourcing. The intense competition in the telecom industry forced all the operators to look for opportunities to reduce the cost of operations by outsourcing tower infrastructure management related activities which demand huge capital expenditure and operating expenditure. Thus the telecom tower industry is growing continuously to cut down cost and reducing the time-to-market. There are number of challenges and risks for incumbents and greenfield telecom operators in this working model. Today a telecom operator has outsourced various core and non-core functions and processes to multiple vendors which pose a major challenge for all the SI's to work together in a harmony to deliver end to end SLAs and quality service to the client. Though outsourcing tower component of the network to an SI seems to be a beneficial aspect for the operators, the tower outsourcing is a comparatively new concept in the telecommunication industry in India. The research presented in this paper primarily explores the tower management outsourcing challenges faced by system integrators (SI's) and actionable recommendations. Paper presents an extensive literature survey based on which select critical factors have been identified for creating a framework that could be used by telecom operators and SI's for successful implementation.

Keywords

System Integrators, Tower Management, Outsourcing, Framework
Subscription Login to verify subscription
User
Notifications
Font Size


  • Jennings, D. (1997). Strategic guidelines for outsourcing decisions. Strategic Change, 6(2), 85-96.

  • Mclvor, M. (2000). Strategic outsourcing: Lessons from a system integrator. Business Strategy Review, 11(3), 41-50.

  • Fjermestad, J., & Saitta, J. (2005). A strategic management framework for IT Outsourcing: A review of theliterature and the development of a success factor model, JITCAR, 7(3), 42-60.

  • Aron, R., & Singh, J. V. (2005). Getting Off shoring Right. Harvard Business Review.

  • Kumar, S., Aquino, E. C., & Anderson, E. (2007) Application of a process methodology and a strategic decision model for business process outsourcing. Information Systems Knowledge Management, 6(4), 323-342.

  • Brege, S., Brehmer, P. O., & Lindskog, H. (2010). Sourcing, insourcing and two times outsourcing. Strategic Outsourcing: An International Journal, 3(2), 144-162. Emerald.

  • Lacity, M. C., & Willcocks, L. P. (1998). An empirical investigation of information technology sourcing practices: Lessons from experience. MIS Quarterly, 22(3), 363-408.

  • Tinselboer, K. (2005). The Present and Future of Outsourcing: Theory Meets Practice, Research Paper, University of Twente.

  • Kirkegaard, J. F. (2005). Offshore Outsourcing: Much ado about what?, CESifo Forum, Ifo Institute for economic research at the University of Munich, 5(2), 22-29.

  • Zhu, Z., Hsu, K., & Lillie, J. (2001). Outsourcing A strategic move: the process and the ingredients for success, Research Paper. Management Decision, 39(5).

  • Currie, W. L., & Willcocks, L. P. (1998). Analyzing four types of IT Outsourcing decisions in the context of scale, client/supplier interdependency and risk mitigation. Journal of information Systems, 8(2), 119-143.

  • Hillman (2008). Outsourcing network operations’ Centers. A Managed Service Report.

  • Weeks, M., & Feeny, D. F. (2008). Outsourcing: From cost management to innovation and nusiness value, California Review Management.

  • Gonzalez, R., Gasco, J., and Llopis, J. (2009). Information Systems Outsourcing: A Literature Analysis, Science Direct.

  • Bahli, B., & Rivard, S. (2003). The information technology outsourcing risk: A transaction cost and agency theory-based perspective. Journal of Information Technology, 18, 211-221.

  • Cheon, M. J., Grover, V., & Teng, J. T. C. (1995). Theoretical perspectives on the outsourcing of information systems. Journal of Information Technology, 10(4), 209-219.

  • Cronk, J., & Sharp, J. (1995). A framework for deciding what to outsource in Information Technology. Journal of Information Technology, 10(4), 259-268.

  • Domberger, S., Fernandez, P., & Fiebig, D. G. (2000). Modeling the price performance and contract characteristics of IT outsourcing. Journal of Information Technology, 15, 107-118.

  • Jurison, J. (2005). The role of risk and returns in information technology outsourcing decisions. Journal of Information Technology.

  • Lacity, M. C., Willcocks, L. P., & Feeny, D. F. (1996). The value of selective IT sourcing, MIT Sloan Management Review.

  • Lee, J. N., Miranda, S. M., & Kim, Y. M. (2004). IT Outsourcing Strategies: Universalistic, Contingency and Confi gurational Explanations of Success. Information Systems Research, 15(2), 110-131.

  • Deringer (2010). A Network shared. Economist Intelligence Unit.

  • Idachaba, F. (2010). Telecommunication cost reduction in Nigeria through infrastructure sharing between operators.The Pacifi c Journal of Science and Technology, 11(1), 272-276.

  • Wyman, O. (2008). Delivering on the Promise of Telecom Network Sharing, MMC.

  • Jaruzelski, B., Katz, R., & Ribeiro, F. (2004). Outsourcing Trends in The North American Telecommunications Market, Booz & Company.

  • Hasbani, G., Darwiche, B., Mourad, M., & Chanab, L.A. (2007). Telecom Infrastructure Sharing Regulatory Enablers And Economic Benefi ts, Booz & Company.


Abstract Views: 942

PDF Views: 6




  • Challenges in Outsourcing of Telecom Tower Management-system Integrators (SI) Perspective

Abstract Views: 942  |  PDF Views: 6

Authors

Sunil Patil
Symbiosis Institute of Telecom Management, Pune., India
Ankur Agarwal
Tech Mahindra Ltd., Pune., India

Abstract


The phenomenal growth in mobile subscribers over the last few years has created huge opportunities for the telecom infrastructure industry. The operators in developed markets have already moved on to advanced active infrastructure outsourcing, operators in developing markets are beginning to realize the potential of passive infrastructure outsourcing. The intense competition in the telecom industry forced all the operators to look for opportunities to reduce the cost of operations by outsourcing tower infrastructure management related activities which demand huge capital expenditure and operating expenditure. Thus the telecom tower industry is growing continuously to cut down cost and reducing the time-to-market. There are number of challenges and risks for incumbents and greenfield telecom operators in this working model. Today a telecom operator has outsourced various core and non-core functions and processes to multiple vendors which pose a major challenge for all the SI's to work together in a harmony to deliver end to end SLAs and quality service to the client. Though outsourcing tower component of the network to an SI seems to be a beneficial aspect for the operators, the tower outsourcing is a comparatively new concept in the telecommunication industry in India. The research presented in this paper primarily explores the tower management outsourcing challenges faced by system integrators (SI's) and actionable recommendations. Paper presents an extensive literature survey based on which select critical factors have been identified for creating a framework that could be used by telecom operators and SI's for successful implementation.

Keywords


System Integrators, Tower Management, Outsourcing, Framework

References