This report is devoted to exploring the planning process devoted to telecommunications business transformation. The report will also forecast the likely results of those processes, taken collectively, in the development of a Next Generation Network. In general, business transformation planning has many outputs, and influences many (maybe all) processes in a business, but in telecommunications, business transformation planning must also involve, as one of its outputs, the development of a Next Generation Network, since the nature of the future network must reflect the new business plan.
The history of the networking business is largely based on network evolution steps that were determined by the geniuses at Bell Labs. Another group of geniuses at the same institution determined end-user (station apparatus) capabilities. It has been said that there have been three network designs: the telegraph network, the telephone network, and the Internet network. Each had its particular end-user apparatus: the telegraph, the telephone, and the computer. As we have changed from each of these paradigms to the next, we have seen massive business transformations by the major players. Some made the transformation; they survived and prospered. Some did not and died. This report is about how to make those transformations and what network will be coming next — the Next Generation Network!
Unlike in the past, the development of these future networks is based on customers’ needs and business vision, as opposed to technological possibilities and cost efficiencies. Now there are competitive networks to the business and the residence, and there are hundreds, maybe thousands, of companies devoted to the development of station apparatus to meet customers’ needs as they see them. Most of this station apparatus is not even called that; rather, it is called computers, DVRs, Wii, routers, over-the-top video, etc. Network evolution, now, is driven by the competitive desire of the multiple network providers to have networks that are capable of interfacing with this station apparatus. For telcos and all companies involved in the telecommunications business, this drastically changed environment requires that they change their businesses if they are to survive and prosper..
These two ingredients (customers’ needs and business vision), along with an understanding of competitors’ positions, are the basis of planning for future networks today. The idea that “Customer Is King” will run throughout this report. It is also strongly reflected in the interviews.
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