FOCUS: Mobile Phone Costs
Mobile phone costs in the Systems Business were determined to be excessive in terms of both equipment and calling charges. Minimal management or control was in place. Additionally, the service provider was delivering poor support and value.
An improvement team was assembled to analyze the problem and implement required improvements. The team applied appropriate process analysis,statistical six sigma tools and measurement processes. Several opportunities to reduce cost and enhance services were implemented. This resulted in the following improvements:
– Switched service providers.
– Established company-wide policies for mobile phone usage.
– Applied corporate-wide purchasing power in service negotiations.
– Improved the reporting methods from the new provider with better measurement of usage and costs.
This project significantly reduced annual costs for mobile phone usage by more than a 20%, while increasing the number of phones available to employees. Additionally, it established tighter management and control over phone usage and increased employee awareness and productivity.
* Due to nondisclosure agreements, the organization referenced in this example cannot be disclosed.