Telecommunications Business Plan


Telecommunications Business Plan


The telecommunications revolution is here: Personal communications and unified message systems are at forefront of this technological phenomenon. Since the 1984 deregulation in long distance and local phone service, there has been intense competition for telecom products and services. This is true for both consumers as well as businesses. From that day only 15 years ago, when consumers were tied to a fixed phone with its fixed phone number, mobile and cellular phones have proliferated to meet the demand for communication anytime, anywhere in the world. Companies that haven’t kept up with the times or adapted to change quickly become obsolete. Iridium is one such example. Quality, depth and speed of execution have replaced financial muscle as the ultimate arbiter of the market. AT&T realized this, and hired a technology-savvy CEO. Iridium was unable to pull the trigger and paid the price.

TeleSpace has the potential to become the market leader on personal communications and unified messaging. Both the business and consumer now have mobile telecommunications with multiple phone and fax numbers, email addresses, pagers and email. They want simplicity and speed. One identifier that can be found anytime, anywhere and deliver their communications. They are looking for MyLine.

MyLine has been operating for over five years. The company has a loyal but small core of customers. The technology is elegant, simple and easily maintained. The system features a wide range of features, many of which are crucial and some that are not. MyLine was not marketed as a pocket knife in the early TV ads. Instead of the sleek cutting tool consumers wanted, MyLine had a corkscrew with screwdrivers and an awl. It was twice as heavy as it needed to be and came with instructions. Instructions for a pocket knife! Before the product was even opened, customers knew that they were in trouble.

MyLine has the answer! Our internal market research shows what the customer wants. There are five primary markets. We will discuss three of them below. MyLine will find you wherever your customer is. There’s also the Soccer/Sports Mom. She is mobile, but often impossible to reach–except via 800 MyLine, which is free and available 24/7. And the military market, for both professional and personal use, is inviting. They demand mobile, reliable, and confidential communications–MyLine is ready and able to enlist.

The overall telecommunications market is huge, well over $200 billion. At this point, it is difficult to quantify the sub-industry of personal communications and unified messaging with its hundreds of million actual/potential customers. Management estimates that projected sales of about $40 million in the third year, with sales running at the rate of $5 million per month by the end of that year, would still be only approximately a one percent market share. A five to tenth market share is required in order to be the market leader. The management plans to reach this goal in five years.

1.1 Objectives

TeleSpace’s main corporate objectives are:

  • To be the market leader within five years in personal communications, unified messaging products, and services.
  • To be the lowest-cost provider in the industry and to drive aggressive pricing.
  • To provide the best and fastest customer service year-end 1.

1.2 Mission

MyLine is already the most technologically-superior personal communications system in the world. TeleSpace management plans to capitalize on MyLine’s brand, technical reputation, and become the market leader within personal and business communication systems and unified message systems within five year.

1.3 Keys to Success

TeleSpace can achieve success with three key keys:

  1. Marketing must generate sufficient sales volume to drive an aggressive pricing model while still achieving planned profitability projections.
  2. Private label MyLine must be promoted through their distribution channels by strategic partners.
  3. Equity capital should be secured at a reasonable price.


Telecommunications Products Business Plan


Telecommunications Products Business Plan


OSS Telecom Technology in Bend, Oregon is a branch of OSS Telecom Technology Taiwan which is a $300 Million steel conglomerate. To explore opportunities in the telecom industry’s operations support systems (OSS), the main company was created. They have 24 telecom operators that use their software.

OSS Telecom Technology intends to pursue several objectives which will allow them rapid market penetration. The first objective is the creation of a high quality, high value product for telecom companies. It is crucial that internal operations can develop top-quality human assets by offering training and other incentives. Lastly, OSS Telecom Technology will pursue a customer intimacy model. This particular business model will ensure that customers are satisfied.


The products

OSS Telecom Technology is a provider of OSS-based products for the support of the telecom industry. CARIBOU, which is a subscriber billing solution, was their first product. Within the CARIBOU package, traffic processing, bill generation, accounts payable, system administration, packaging, and customer care and administration are addressed. Each module within CARIBOU consists of its own robust application.

OSS Telecom Technology also offers the MEDUSA product. The MEDUSA product is a network support solution that allows for configuration, control, as well as management of network components.


The Market

The potential market for OSS Telecom Technology’s products is enormous. This is evident by the seemingly unstoppable growth in the telecom industry. The telecom industry is the largest growth industry at the moment and has contributed huge capital market gains. As a subset of the telecom sector, cell phones are growing at rates that were once unimaginable. One example is that the industry predicts that within two years, cell phones will be used by 65% of all children between the ages 10-15. Broadband Internet service is also expected to see record penetration. In three years, it is projected that 85% percent of the population will have broadband access with 60% of them subscribing.

OSS Telecom Technology aims at two market segments. The first segment is Tier 2 telecom operators. This segment has an 8% annual growth rate and 481 potential customer. Tier 3 telecom providers will be the next targeted market segment. While the annual growth rate of this segment is less at 6%, there are more potential customers, 2,011.


Management Team

OSS Telecom Technology has put together an experienced management team to lead the organization through this dynamic industry. The industry experience of the assembled team played a major role in their selection. Because the telecom industry is highly technical, it is crucial to have detailed information and insight into this niche sector. Victor Smith has been appointed CEO. Victor has 25 years’ telecom experience. The last 12 years Victor has severed as COO of Atlas Telecom, a major player. Kenneth Jones is another Atlas Telecom executive. Kenneth Jones, who is the Executive vice president, has previously served as an executive at Harris Corp and NCR Corporation. Kenneth was involved in a variety of projects and brings a unique skill set to OSS Telecom Technology. James Jackson is an Executive Vice president with experience from IBM and Atlas as well as Mosaics, Lotus Development Corporation, and Mosaics. Ken Smith, a subject matter expert from MIDCOM Communications or US Intelio Networks, completes the management group.

OSS Telecom Technology will achieve the Break-even point by leveraging its strong management team and superior product offerings. After a Net Loss in year one, Net Profit will become positive at the end of year two, but will leap up in year three. The forecast for OSS Telecom Technology sales is moderate in year 1, but will see a large increase in year 3.

1.1 Objectives

OSS Telecom Technology’s operating system is designed to meet our objectives, which include:

  1. Developing OSS Solutions for Telecom Operations.
  2. Bringing high value, high quality products to market.
  3. Through training and competitive incentives, we aim to develop human capital.
  4. Implementing a customer intimacy model.

1.2 Mission

Our mission is to provide high-quality, convergent OSS solutions for telecom operators around the world. These scalable solutions will provide unparalleled support to allow for flexibility and meet&#8211s needs.

Meet or exceed customer expectations

Success keys 1.3


Strategic Imperatives

OSS Telecom Technology makes clear strategic choices to fulfill its mission. These choices are based on two key elements:

  • The OSS market
  • The capabilities of the company

These choices are key strategic imperatives, which OSS Telecom Technology will pursue to become a leader within the OSS market. The telecom market has three levels. Tier 1 are operators with a subscriber base above one million, Tier 2 are operators with a subscriber base between 100,000 and one million, and Tier 3 operators are those with less than 100,000 subscribers.

  • Value-focus OSS Telecom Technology will target Tier 3 operators by providing fully featured, scalable, and reliable service and products at affordable prices. OSS Telecom Technology’s software products will have a lifecycle cost that is 20-40% lower than Tier 1 competitors like Kenan and LHS, but still offer all the services and features offered by these companies. OSS Telecom Technology’s features and services will outshine any Tier 3 competitor, Moscom.
  • Wireline & Product Portfolio OSS Telecom Technology’s product range will change from Global Systems for Mobile Communications. It will now include other wireless, fixed and Internet-based billing solutions. OSS Telecom Technology has already expanded its product offerings to include local loop billing, convergent billing, and other key customer needs.
  • Engineering Center of Excellence: OSS Telecom Technology will continue to develop its low cost, high quality software development and programming center in Taiwan, which provides significant cost advantages over U.S. and Europe-based competitors.
  • Consulting Services: OSS Telecom Technology will combine consulting services with products to develop strong customer relationships and advance its product offerings. The provision of consulting will allow us to be more specific and relationship-driven with our customers. OSS Telecom Technology will pursue those projects which can be made into products and marketed to other potential customers. OSS Telecom Technology uses strict criteria when deciding on which consulting service projects it will undertake. The project will be canceled if it is not possible to “productize” or replicate the solution that has been developed.
  • Selling Channels – A multi-national team of marketing and sales will establish both direct and indirect sales channels. OSS Telecom Technology established a network with experienced and incentivized marketing and sales personnel in order to maximize the opportunities in each area. These teams will create both direct customer relationships (through systems integrators and switch manufacturers, for example) as well indirect channels. OSS Telecom Technology will gain significant leverage through the indirect channel partners. OSS Telecom Technology will dedicate resources to developing its indirect sales channel partnerships. Partners such as Compaq will allow OSS Telecom Technology to gain geographic reach, credibility, and customers which would not otherwise be possible. Specific partner support programs will be put into place to ensure cultivation of these partnerships.