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Sanjeewa Ravi
www.linkedin.com/in/pothmulla
Driving the Telecom Digital Transformation
through
Open Digital Architecture
(The ‘Open Digital Architecture’ is a blueprint developed by TM Forum. Copyright © 2022 TM Forum)
#DigitalTransformation #Telecom #OpenDigitalArchitecture #TMForumODA #TelcoDigitalTransformation
- Telco Digital Transformation
- Open Digital Architecture
- Legacy  ODA migration
- Components
- Framework
- Key Benefits
- Concepts & Principles
- Use Cases (Few Examples)
- Open API
- Open Digital Architecture – Business Case
- Digital Efficiency
- Digital Transformation Maturity
- Success Stories
- ODA IA and RM Considerations
Content
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Digital Transformation: Three Steps
1. Define the business problem
2. Align people and culture
3. Map out the technology
1. Align senior stakeholders and junior staff with your
vision
2. Have clear milestones in place to measure progress
3. Choose the right technologies for your business
needs
4. Check the right digital skills are in place and build
teams capable of driving the transformation
forward.
We are transforming Vodafone’s global operating
model by being Digital ‘First’ – delivering a
fundamentally improved customer experience,
powered by new technologies, while structurally
lowering our cost base.
Success relies on a strong foundation of four key pillars:
1. Best Digital Experts
2. Agile Service Models
3. Advanced Digital Platforms
4. Innovative Ecosystems
1. Process/Agility
2. Technology
3. Skills / Culture
Digital Transformation for Telco
• Digital Transformation has different meaning for different industry
and organizations. Because the transformation journey for each
organization would a be unique experience. The journey depends
on the organizations transformation aspirations linked with its
objectives and strategy.
• The transformation journey for telcos would also
be dependent on their existing architecture,
regulatory landscape, and investment capability.
• Nevertheless, TM Forum has defined 10 Digital
Transformation journeys that a telco can take
part in achieving their transformation
objectives.
• Telecom operators around the world have
publically expressed their transformation goals.
By comparing their transformation journeys, we
can understand that, Process, Agility,
Technology, Skills and Culture have become the
cornerstones of their journey.
• The objective of this document is to provide an overview of the
Technology aspect of the Digital Transformation and to explore how
‘Open Digital Architecture’ (by TM Forum) would assist Telcos to
achive their transformation goals.
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Digital transformation is a continuous
process of multi-modal adoption of
digital technologies that
fundamentally change the way
government and private sector
services are ideated, planned,
designed, deployed and operated
such that they are personalized,
paperless, cashless, presenceless,
frictionless, and consent-based. - ITU
What is ‘Digital Transformation’ ?
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The 10 digital transformation journeys of the telco
Journey 1: From discrete network elements to an autonomously managed, virtualized communications and cloud infrastructure
Journey 2: From reactive product-specific security to uniformly orchestrated security
Journey 3: From limited data exploitation to a uniformly orchestrated data-centric enterprise
Journey 4: From closed management systems to an Open API platform architecture
Journey 5: From a limited portfolio of traditional services, to a diverse portfolio of digital services
Journey 6: From managing a limited set of suppliers, to existing in a vibrant ecosystem of partners
Journey 8: From a traditional telco organization and culture, to a digital organization and culture
Journey 9: From focusing on traditional channels, to adopting multiple channels to market
Journey 10: From one dimensional management of customer relationships, to 360-degree omnichannel management of the customer experience
Source : TM Forum (Copyright © 2022 TM Forum)
Designed to support our industry into the cloud native era, ODA sets the framework required for CSPs to invest in IT,
transforming business agility and operations by creating simpler IT and network solutions that are easier and
cheaper to deploy, integrate and upgrade. Enabling growth, profitability and a cutting-edge customer experience.
Source : TM Forum (Copyright © 2022 TM Forum)
Source : TM Forum (Copyright © 2022 TM Forum)
Legacy /
Traditional
Telco
Architecture
Open Digital
Architecture for
Techos
TM Forum launched the Open
Digital Architecture (ODA) in
February 2018 as an architectural
vision for the future of zero-touch,
software-defined telecom
operations. It aims to be a de facto
standard for open digital platforms
and was created using decades of
evolutionary best practices in the
effort to make communications
service providers’ (CSPs’) networks,
operations and businesses more
agile.
Open
Digital
Architecture

Legacy
Architecture
Previously OSS and BSS were more
clearly separate entities but the
term OSS/BSS (or occasionally
BSS/OSS) has been in use since at
least 2000.
Source : TM Forum (Copyright © 2022 TM Forum)
Source : TM Forum (Copyright © 2022 TM Forum)
Engagement
Management
Event
Party Management
Party Customer Bill Customer Privacy
Communication Payment Users Role & Permission Payment method
Party Role Partnership Type Document Account
Party Interaction Federated Identity
Process Flow
Core Commerce Management
Agreement Quote Product Catalog Product Inventory
Product Ordering
Product Offering
Qualification
SLA Loyalty
Trouble Ticket* Shopping Cart
Promotion
Sales
Process Flow
Production
Service Qualification
Service
Activation & Configuration
Service Ordering
Service Test
Service Quality
Resource Ordering Prepaid Balance
Geographic Site Appointment
Alarm
Geographic Address
Resource Inventory
Service Catalog
Service Inventory
Service Problem
Usage
Resource Catalog
Usage Consumption
Resource Function Activation &
Configuration
Geographic Location
Shipment Tracking Resource Pool Change Management Stock
Shipping Order (to be
published)
Work Order (to be published)
Process Flow
Intelligence
Management
Recommendation
Performance
Process Flow
JAD Test Shipment Tracking
Risk Assessment
ODA Components
People
Organizations
Things
Source
:
TM
Forum
(Copyright
©
2022
TM
Forum)
ODA Components
Source : TM Forum (Copyright © 2022 TM Forum)
ODA Components – Decomposition
Core Function
Notifications /
Reporting
Process 1 Process 2
Event
Environment
Dependence &
Requirements
Management
& Operations Security
Core Function
Process 3 Process 2
Event
Management
& Operations Security
{ }
Open API
ODA Component 1 ODA Component 2
Following is a containerized view of the ODA Components.
1. Core function: Handles the specific processes and events related to the component.
2. Process : A process as defined by TM Forum e-TOM Business Process Framework
3. Event: The activity that follows the link 2 or more processes.
4. Management & Operations: The O&M function of the ODA Component (Which is
generally handled by a privileged role)
5. Security: Security configurations associated with ODA component. The security
configuration is different for each component and will be depended on the Security risk
assessment.
6. Notifications / Reporting: ODA component need to have a notification and
Reporting function built-in the component.
7. Environment Dependence & Requirements: ODA components may have
certain external inputs that they depend on. These inputs would
trigger/suspend/alter the functionality of the processes and events within the
Core function. For example, the dependency can be an external data source.
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ODA Use case – Managed Services Quoting Process
Stock Component
CPE Management Component
Enterprise Customer
Appointment
Component
Quote
Product Ordering
Agreement
1. Notify CPE EoL to Customer in advance
2. Request to generate the Quotation, based on
agreement
3. Promotions applied based on
Recommendations
4. Obtain customer approval for the quotation
and confirmation for the Order
5. Stock release request to Stores
6. Appointment request for Appointment center
7. Agree an appointment with the customer
(Change Management, Billing and payment components
are not illustrated in this usecase)
Promotion
Recommendation





Managed device upgrading takes a longer time due
to negotiations taken place between the Telco and
the Enterprise customer. The negotiations would
involve different levels of approvers at both Telco
and customer side. The ‘Quote’ component along
with ‘promotions’ and ‘Recommendation’
component would be able to automate the quoting
process. In addition to the reduction in Human
resources required, it will also reduce the fraud risk,
associated with any traditional quotation process.
Following are the automated steps followed in the
Business Process.:
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http://www.casewise.tmforum.org/evolve/statics/tmfmodel/index.html#/cwtype=index&cwview=home&lang=en
It defines standardized, interoperable software components organized into loosely coupled domains. These components expose business services through
Open APIs built on a common data model. And what’s really exciting is ODA provides machine-readable assets and software code, including a reference
implementation and testing lab.
ODA Framework
Source : TM Forum (Copyright © 2022 TM Forum)
ODA Agile Lifecycle
Source : TM Forum (Copyright © 2022 TM Forum)
Source : TM Forum (Copyright © 2022 TM Forum)
ODA Ambitions
Accelerate Time-to-Market:
Telco product launch cycle time is traditionally higher than launch time of a software development companies. On-premises implementation (compared to
cloud), complex systems and internal processes, lack of IT-Business synergy, extensive regulatory compliance (in some markets), etc. are key challenges in
improving the time-to-market.
ODA, through modular and reusable software components, cloud-native deployment, etc. provides the agility required in product experimentation and
deployment. One of the ODA principles is that, Technology function should work as a Business function in product development.
Monetize 5G:
5G unlike its predecessors does not follow a fixed architecture, but provides a service based architecture that can be customized based on Telco’s strategy. On
the other hand, apart from the superfast data speed provided to customers, 5G will not directly increase telco revenue unless a monetization strategy is
implemented. ODA support 5G Monetization use cases through breaking the barrier between Business and Technology teams, catalog based products, and
Open API based integration with partners (e.g. Ports, large manufacturing firms, and private 5G network support).
Optimize Capex/Opex:
Capital and Operating expenditure have never become more important for Telcos, with the reducing margins YoY due to reduced chargeable rate per MB (for
data) and per minute (for voice) with the introduction of competitive Buffet styled bundled products. The situation has caused a ‘returns to scale’ issue in
Telcos, as the extra production in the bandwidth has not yielded proportionate returns.
ODA provides Telcos the opportunity for standardizing software components, open standards/APIs to minimize customization and integration costs, cloud-
native deployment, zero-touch automation, etc., which in turn would significantly reduce the capital and operating expenditure.
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Customer Experience:
Customer experience is the backbone of the success of telco. Telcos do not enjoy lock-in benefits advantage anymore, due to hassle free number portability
process implemented. Customer experience also has both negative and positive ripple effect on NPS.
ODA supports Omni channel interaction providing uninterrupted 3600 customer view, personalized product and promotion recommendations (through AI),
abundant choices of channels/partners/platforms, etc.
Enterprise Digital Transformation – Myths !
1. It is automating your manual processes
2. It is End-to-End Automation
3. It is conducting all your activities through computers (i.e. IT Systems)
4. It is selling Products digitally
5. Digital Transformation and Digitization are same
6. Digital transformation means updating the website and creating an app
7. It is about using new Technologies (AI, ML, NN, RPA, BC, SDN, 5G, Big-Data, etc.)
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Digital Services
Data-Centric
Operations
Micro service-
based
Real time
Platform
Business models
AI capable and
Autonomous
Knowledge-
defined Network
(KDN)
A network operating system that
uses control loops to provide
automation, recommendation,
optimization, validation and
estimation. Conceptually, KDN as a
paradigm borrows many ideas from
other areas, notably from:
- Autonomic Self-* architectures
- Neural network in feedback
control systems
- Black-Box Optimization
This concept extends automation
knowledge-defined artificial
intelligence.
This concept in ODA allows for
digital service providers capabilities
to be exposed by business
platforms. The concept highlights
some key characteristics that
include:
- Supports integration with
partner networks
- Allows for exposure/resale of
partner capabilities
The concept promotes a business
environment where all layers of the
operating model work in real time; this
is true for the customer / ecosystem-
facing and resource-facing layers. It
expects that most customer
interactions with the operating model
will be web-based, and all customer
information such as usage, billing and
partner / ecosystem settlement are
conducted in real time.
This concept is applied to ODA by
leveraging TM Forum-compliant assets
that are defined based on microservice
principles. The concept explores
enabled by TM Forum and other
industry-agreed open API definitions,
which enables containerization and
supports the extension of capabilities
across organizational boundaries within
ecosystems.
The concept of data-centric
operations enables dynamic end-to-
end processes that are intent-based,
policy-driven and use common data
repository for all layers.
The concept of a digital service
applies to the electronic delivery of
information including data and
content across multiple platforms
and devices like web or mobile to
end users.
ODA
Underlying
Concepts
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Source : TM Forum (Copyright © 2022 TM Forum)
ODA principles are a set of principles that relate to the digital architecture work. They reflect a level of consensus across service
providers and vendors and embody the spirit and thinking of advancing existing architecture principles. The ODA principles
govern the architecture life-cycle process, affecting the development, maintenance, and use of the enterprise architecture.
Understandable
The underlying tenets can be quickly grasped and understood by individuals
throughout the organization. The intention of the principle is clear and
unambiguous, so that violations, whether intentional or not, are minimized.
Robust
Enable good quality decisions about architectures and plans to be made, and
enforceable policies and standards to be created. Each principle should be
sufficiently definitive and precise to support consistent decision-making in
complex, potentially controversial situations.
Complete
Every potentially important principle governing the management of
information and technology for the organization is defined. The principles
cover every situation perceived.
Consistent
Strict adherence to one principle may require a loose interpretation of another
principle. The set of principles must be expressed in a way that allows a
balance of interpretations. Principles should not be contradictory to the point
where adhering to one principle would violate the spirit of another. Every word
in a principle statement should be carefully chosen to allow consistent yet
flexible interpretation.
Stable
Principles should be enduring, yet able to accommodate changes. An
amendment process should be established for adding, removing, or altering
principles after they are ratified initially.
Overarching
Principles
Overarching but general principles that are common for all architecture types.
Business Principles
Principles that guide alignment with organizational units. These principles
embody the health and success of the organization as a whole.
Information & Data
Principles
Provides guidance on information and data use and the management of both
structured and unstructured data by drawing on local and regional strategies,
best practices and regulatory regimes.
Application
Principles
Non-technology based principles to free the organization of vendor-specific
limitations or proprietary approach to solutions.
Technology
Principles
Ensures that components developed in different or for different execution
functional blocks or environments are interoperable across functional blocks.
ODA
Principles
Qualities of Principles Types of Principles
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Source : TM Forum (Copyright © 2022 TM Forum)
Open Digital
Architecture
Principles
1.Overarching
Principles
2.Business
3.Information
(Data)
4.Application
5.Technology
ODA
Principles
1. Different stakeholders, different viewpoints [ODA Communication]
2. Technology functions must operate as businesses [No more cost centers]
3. Think out of the box (not just a replacement of existing system)
4. Stepwise evolution to target (Walk, Crawl, Run)
5. Governance is integrated (Process, Data, AI, API)
1. Business architecture is iterative
2. Business architecture is reusable
1. Information is a shared asset
2. Information is accessible
3. Information must be secure
4. Information must be analyzable
5. Information is quickly available
1. Ease of use
2. Technology Agnostic
3. Modular and reusable
4. Decoupled
5. Capability Exposure (exposing to data,
technology and other applications)
6. Convergence with the Enterprise
Architecture
Cross-Function
1. Catalog-based
2. API-based architecture
3. LEGO Blocks Architecture
4. Stepwise evolution to target
Interoperability
5. Interoperability
Manage Diversity
6. Control Technical Diversity
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Source : TM Forum (Copyright © 2022 TM Forum)
What is an API ?
Application programming interfaces, or APIs, simplify software development and innovation by enabling applications to exchange
data and functionality easily and securely. An API, enables companies to open up their applications’ data and functionality to
external third-party developers, business partners, and internal departments within their companies. This allows services and
products to communicate with each other and leverage each other’s data and functionality through a documented interface.
Developers don't need to know how an API is implemented; they simply use the interface to communicate with other products and
services. API use has surged over the past decade, to the degree that many of the most popular web applications today would not be
possible without APIs.
What is an Open API ?
Open APIs are open source application programming interfaces you can access with the HTTP protocol. Also known as public APIs,
they have defined API endpoints and request and response formats.
Source : IBM
Image Source: https://databricks.com/blog/2021/10/28/moneyball-2-0-real-time-decision-making-with-mlbs-statcast-data.html
API Analogy
TMF
Open
APIs
Source
:
TM
Forum
(Copyright
©
2022
TM
Forum)
To date, 125 of the world’s leading communications service providers (CSPs) and technology ecosystem participants have signed the Open
API Manifesto publicly demonstrating their endorsement of TM Forum’s suite of Open APIs. 60+ REST-based Open APIs have been tried,
tested and de-risked.
AT&T
APIs
BT
APIs
DHL
APIs
ODA Use case – Customer Ordering a Device
Customer
Supplier Partner
Party
Customer
Payment method
Document
Federated Identity
Agreement
Product Ordering
Product Offering
Qualification
Loyalty
Shopping Cart
Promotion
Sales
Shipment Tracking
Stock
1. Customer Bank
2. Customer Employer
3. 3rd Party Loyalty provider
4. Crypto Currency
5. Digital Wallets
6. Payment through courier
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• Telco customer product and service
ordering process would not be much
different to similar services offered by
leading digital platforms such as Amazon,
Google Play store, Apple Store, etc.
[Opportunity]
• Telco services are usually regulated and
have to comply with certain requirements
providers (e.g. Customer Authentication),
which are not applicable for standard
ecommerce service providers. [Challenge]
• The use case depicted here involves
numerous partners. The end-to-end process
is automated and Zero-touch.
Distribution
Partner
External
Authentication
Agency
Open Digital Architecture – Business Case
Factors Driving Telco Digital Transformations
1. Declining traditional connectivity based revenue streams
2. Increasing direct cost (Hardware, License, Total cost of
ownership, etc.)
3. Time to market delays
4. Sourcing delays
5. Friction in the processes, and integrating
systems/applications
6. Limited business models and partnerships
7. Security risk exposure
8. Data governance and Privacy concerns
9. Product experimenting difficulties
10. Competition from OTT (Over the Top) players
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Digital Transformation Framework -
In 2019, research by Accenture found that tech
leaders, representing the top 10% of organizations
(ranked by adoption of key technologies,
penetration of technologies adopted and
organizational culture) were increasing revenues at
twice the speed of tech laggards (that is, the bottom
25% by the same measures).
Updated research conducted in 2021 found that
over the course of the pandemic the gap has
widened, with tech leaders increasing revenues five
times faster than laggards.
Revenue growth rate for tech leaders (top 10%) vs
tech laggards (bottom 25%)
Interesting fact:
Source : ITU
Source : TM Forum (Copyright © 2022 TM Forum)
Digital Transformation in Two Dimensions
Source : TM Forum (Copyright © 2022 TM Forum)
CHANGING TRAJECTORY For CSPs to become tech leaders,
many need to adjust their current trajectory because they
are on course to become digital telcos, not techcos. A
digital telco digitizes its systems, processes and
experiences to realize the cost benefits of automation and
taking a cloudnative approach, but they are not digital
solution providers and their core revenues are still from
connectivity.
A digital solution provider is a CSP that has gone beyond
only offering connectivity and evolved to provide end
users and customers (both B2C and B2B2x) with products
and services built on a platform-based business model.
Examples include delivering content to the consumer
market or analytics and visual recognition systems to
enterprises.
• TM Forum developed a model to illustrate this,
indicating that correcting course means a shift to
cloudnative IT and network functions, an Agile
operating model and a change of mindset.
• It also means making core capabilities easily accessible
to others, so third parties can consume them, and
having the desire and ability to experiment.
Digital Transformation in Two Dimensions
Source : TM Forum (Copyright © 2022 TM Forum)
Tier One: Operational efficiencies. Ford adopts new automated vision-based
inspection of paint jobs in its plants through augmented and virtual reality, the
Internet of Things (IoT), and AI. Using these technologies, the company improves
blemish detection and reduces defects in its cars. In this case, data is generated by
new technologies from factory assets, and AI uses this data to detect and prevent
manufacturing defects in real time.
Tier Two: Advanced operational efficiencies. Caterpillar installs sensors on its
construction equipment products to track how each of them is used at a construction
site. It finds, for instance, that customers use their motor graders to level lighter
gravel more often than to level heavier dirt. Utilizing this insight, the company
introduces a cost-efficient motor grader primarily designed to level gravel rather
than dirt.
Like Ford in the previous example, Caterpillar here benefits from operational
efficiency gains by improving product-development productivity. The difference,
however, is that the company’s sensor data comes from customers using their
products, not from manufacturing plant assets. That customer dimension, of course,
poses additional challenges. The efficiency gains in this tier also extend beyond asset
utilization.
Tier Three: Data-driven services from value chains. GE tracks product-sensor data
from their jet engines, analyzes it using AI, and offers real-time guidance for pilots to
fly in ways that optimize fuel efficiencies. GE then appropriates a part of their
customers’ cost savings through new annuities from “outcome-based” revenues.
Their customers, in other words, pay GE a part of what they save from fuel
efficiencies, in addition to what they pay for the product.
Here the initiative entails changing the prevailing business model from one that’s
designed to produce and sell products to one that provides data-driven services to
digital customers. GE’s R&D, product development, sales, and after-sales service
units are all digitally connected to receive, analyze, generate, share, and react to
sensor and IoT data from thousands of discrete products in real time. Because this
drives new revenue streams, it does more than just enhance operational efficiency.
Tier Four: Data-driven services from digital platforms. Peloton uses product-sensor data from its
exercise equipment to create a community of users and to match individual users with suitable
trainers. Peloton’s products generate user-interaction data, which the company then uses to facilitate
exchanges between its digital customers and various third-party entities outside the realm of its value
chains. AI algorithms match specific users to suitable trainers analyzing product-user interaction data,
very much like how Uber matches riders with drivers using data from their apps.
Like GE in the previous example, Peloton here is generating new revenues from its data-driven
services — but by extending its products into digital platforms. This tier of digital transformation is
the most challenging for industrial-era legacy firms, and for firms operating with value-chain-driven
business models and little experience with digital platforms.
Digital
Efficiency
Source : HBR
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The digital revolution brings significant opportunities and threats, impacting every industry. Communication Service Providers (CSPs) can embrace significant
growth opportunities by looking beyond connectivity. At the same time, commoditization and digitalization of connectivity services have created an urgency
to dramatically simplify and transform the efficiency of existing business.
Digital Transformation Maturity Model
Source
:
TM
Forum
(Copyright
©
2022
TM
Forum)
Strategic KPIs of Telco Digital Transformation
Customer
Customer
Lifetime Value
Net Promoter
Score
Churn Rate
Customer
Acquisition Cost
First Response
Time
Strategy
Return on
Investment
Revenue
Generated from
Digital
Investments
Brand Affinity
Score
Revenue
Generated with
Eco System
Partners
Customer Self-
Service Success
Technology
Digital User
Journey
(Interaction)
App Market
Performance
Adoption of
DevOps
Process
Automation Rate
Net Carbon
Footprint
Operations
Time to Market
Average
response time
Average usage
rate
Cost to serve
Culture
Internal Net
Promoter Score
Digital match of
Skills Needed
Employee Effort
Score
Workforce
involved in Digital
initiatives
Training Budget
for Digital
initiatives
Data
Economic Value
of Data Assets
Data
Democratization
Index
Data Integrity (Fit
for Purpose)
Revenue from
Data
Key Data Assets
Covered by Meta
Data
Compliance to
Data Regulations
and Policies
Source : TM Forum (Copyright © 2022 TM Forum)
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Inline with the Digital Transformation
Maturity Model, TM Forum has also
defined 30 key strategic KPIs.
These KPIs measure various
quantitative and qualitative aspects of
Digital Transformation journey.
Combined with the maturity model,
Telcos can effectively use these KPIs to
assess the performance of their
transformation.
TM Forum has detailed enough these
KPIs for members so that it would
include:
- Definition of the KPI
- Rationale and objective behind the
KPI
- Scope covered by the KPI
- Computational formula
- Typical owner of the KPI in the
Telco organization (i.e. the CXO)
– Digital Transformation with ODA
Who: Vodafone UK & Infosys
What: A customer experience transformation to implement a
new digital experience layer and launch new offers faster,
increase digital sales and end-to-end automation, reduce costs,
implement a culture of innovation and a complete NPS (Net
promoter score) turnaround.
How: By replacing aging and redundant IT stacks; retiring an
outdated content management system; adopting CI/CD/CT
[Continuous integration (CI), continuous delivery/deployment
(CD), and continuous testing (CT)] and DevOps methodology;
leveraging TM Forum Open APIs; implementing a new
microservices-based digital experience layer; and launching
intelligent, omnichannel customer experiences including a new
app, web store and chatbot
Results:
•Digital sales increased by more than 50%
•End-to-end automation for more than half of all customer
interactions
•30% increase in sales conversions
•Launch of VOXI youth brand to counter competitors
•3x improvement in NPS (Net promoter score)
•Introduced Chatbot TOBi. 68% improvement in customer
satisfaction
Source : TM Forum (Copyright © 2022 TM Forum)
A complete digital transformation of the wholesale business unit to expand offerings, accelerate launches, increase sales,
integrate channels, automate key processes and deliver a more responsive customer experience.
A new microservices-based digital experience layer leveraging TM Forum’s Open Digital Architecture (ODA) and Open APIs, as
well as Agile, DevOps, a design thinking approach, and continuous integration, continuous delivery and continuous testing,
helped the growth.
– Wholesale Digital Transformation with ODA
Source : TM Forum (Copyright © 2022 TM Forum)
TYPE OF PROJECT COMPANY BUSINESS FUNCTION CASE STUDY
Process Improvement
and innovation
AT&T
Customer Services
• AI and Machine Learning applications
• Efficient customer assistance
• Optimized schedules for technicians
• ML-based incident management program managed 15
million alarms per day
Innovation
Globe Telecom
Product and customer
experience
• Implemented ML and cloud to enhance omnichannel
customer experience
• Better business decision
• Improved customer experience
• Boosted product optimization
Process Improvement
and innovation
Deutsche
Telekom
Customer Service
• Processes about 80% of the queries and reduces the load
on employees.
Source: https://research.aimultiple.com/telco-digital-transformation/
Digital Transformation Success Stories / Use cases
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• New technologies including 5G, cloud, and edge offer CSPs the chance to step beyond being a delivery system into the role of enabler. 5G is
an inflection point for all industries and a gateway to new markets for CSPs. At the same time, cloud is changing business models and lowering
barriers to entry while edge enables the quick delivery of contextual services, with a personal touch.
• Accenture says CSPs can realize a 40% saving in CapEx by moving to virtualized, cloud-based architectures. Transformation will
require more than technological advancements to be successful. How CSPs use and experiment with the new technologies and capabilities is
critical as they migrate from telco to techco.
• CEO, TM Forum comments, “Telcos need to learn to experiment and roll out new features to their customers and have the ability to quickly
scale up releases. Facebook can try out new applications with 1% of its customer base and then scale up or down as necessary. If telcos are to truly
become techcos, they urgently need to achieve this level of agility and flexibility.” CSPs will need to invest much more in building product
management functions and R&D, which is chronically underfunded at present, equating to just 1.7% of CSPs’ revenues in 2019 versus 12.9% for
software and cloud companies.
Telco to Techo Journey with ODA
Source : TM Forum (Copyright © 2022 TM Forum)
www.linkedin.com/in/pothmulla
Final Remarks – ODA Assurance Provider’s Take
1. Ensure Digital Transformation drives are built on underlying 7 ODA Concepts and 5 ODA Principles
2. Are we on track, on the 10 Digital Transformation Journeys ?
3. Measure the Digital Enablement and Digital Efficiency level
4. Assess the maturity over 6 Digital Transformation Maturity areas
5. Assess the reporting over 30 Strategic KPIs for Digital Transformation
6. Digital Transformation Governance Review (Concepts, Principles, Design, AI Governance, API Governance, Data
Governance, Security Governance)
7. Periodic / Continuous reviews based on inputs from Intelligence Management Domain (Risk Assessment,
Performance Management, Recommendation, Process Flow, etc.)
8. Review Biasedness of Training Data, and Data Modeling.
www.linkedin.com/in/pothmulla
Disclaimer : This document contains information related ‘Open Digital Architecture’, a concept developed by the TM Forum (Copyright © 2022 TM Forum)

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Driving the Telecom Digital Transformation through Open Digital Architecture

  • 1. Sanjeewa Ravi www.linkedin.com/in/pothmulla Driving the Telecom Digital Transformation through Open Digital Architecture (The ‘Open Digital Architecture’ is a blueprint developed by TM Forum. Copyright © 2022 TM Forum) #DigitalTransformation #Telecom #OpenDigitalArchitecture #TMForumODA #TelcoDigitalTransformation
  • 2. - Telco Digital Transformation - Open Digital Architecture - Legacy  ODA migration - Components - Framework - Key Benefits - Concepts & Principles - Use Cases (Few Examples) - Open API - Open Digital Architecture – Business Case - Digital Efficiency - Digital Transformation Maturity - Success Stories - ODA IA and RM Considerations Content www.linkedin.com/in/pothmulla
  • 3. Digital Transformation: Three Steps 1. Define the business problem 2. Align people and culture 3. Map out the technology 1. Align senior stakeholders and junior staff with your vision 2. Have clear milestones in place to measure progress 3. Choose the right technologies for your business needs 4. Check the right digital skills are in place and build teams capable of driving the transformation forward. We are transforming Vodafone’s global operating model by being Digital ‘First’ – delivering a fundamentally improved customer experience, powered by new technologies, while structurally lowering our cost base. Success relies on a strong foundation of four key pillars: 1. Best Digital Experts 2. Agile Service Models 3. Advanced Digital Platforms 4. Innovative Ecosystems 1. Process/Agility 2. Technology 3. Skills / Culture Digital Transformation for Telco • Digital Transformation has different meaning for different industry and organizations. Because the transformation journey for each organization would a be unique experience. The journey depends on the organizations transformation aspirations linked with its objectives and strategy. • The transformation journey for telcos would also be dependent on their existing architecture, regulatory landscape, and investment capability. • Nevertheless, TM Forum has defined 10 Digital Transformation journeys that a telco can take part in achieving their transformation objectives. • Telecom operators around the world have publically expressed their transformation goals. By comparing their transformation journeys, we can understand that, Process, Agility, Technology, Skills and Culture have become the cornerstones of their journey. • The objective of this document is to provide an overview of the Technology aspect of the Digital Transformation and to explore how ‘Open Digital Architecture’ (by TM Forum) would assist Telcos to achive their transformation goals. www.linkedin.com/in/pothmulla
  • 4. Digital transformation is a continuous process of multi-modal adoption of digital technologies that fundamentally change the way government and private sector services are ideated, planned, designed, deployed and operated such that they are personalized, paperless, cashless, presenceless, frictionless, and consent-based. - ITU What is ‘Digital Transformation’ ? www.linkedin.com/in/pothmulla
  • 5. The 10 digital transformation journeys of the telco Journey 1: From discrete network elements to an autonomously managed, virtualized communications and cloud infrastructure Journey 2: From reactive product-specific security to uniformly orchestrated security Journey 3: From limited data exploitation to a uniformly orchestrated data-centric enterprise Journey 4: From closed management systems to an Open API platform architecture Journey 5: From a limited portfolio of traditional services, to a diverse portfolio of digital services Journey 6: From managing a limited set of suppliers, to existing in a vibrant ecosystem of partners Journey 8: From a traditional telco organization and culture, to a digital organization and culture Journey 9: From focusing on traditional channels, to adopting multiple channels to market Journey 10: From one dimensional management of customer relationships, to 360-degree omnichannel management of the customer experience Source : TM Forum (Copyright © 2022 TM Forum)
  • 6. Designed to support our industry into the cloud native era, ODA sets the framework required for CSPs to invest in IT, transforming business agility and operations by creating simpler IT and network solutions that are easier and cheaper to deploy, integrate and upgrade. Enabling growth, profitability and a cutting-edge customer experience. Source : TM Forum (Copyright © 2022 TM Forum)
  • 7. Source : TM Forum (Copyright © 2022 TM Forum)
  • 8. Legacy / Traditional Telco Architecture Open Digital Architecture for Techos TM Forum launched the Open Digital Architecture (ODA) in February 2018 as an architectural vision for the future of zero-touch, software-defined telecom operations. It aims to be a de facto standard for open digital platforms and was created using decades of evolutionary best practices in the effort to make communications service providers’ (CSPs’) networks, operations and businesses more agile. Open Digital Architecture  Legacy Architecture Previously OSS and BSS were more clearly separate entities but the term OSS/BSS (or occasionally BSS/OSS) has been in use since at least 2000. Source : TM Forum (Copyright © 2022 TM Forum)
  • 9. Source : TM Forum (Copyright © 2022 TM Forum)
  • 10. Engagement Management Event Party Management Party Customer Bill Customer Privacy Communication Payment Users Role & Permission Payment method Party Role Partnership Type Document Account Party Interaction Federated Identity Process Flow Core Commerce Management Agreement Quote Product Catalog Product Inventory Product Ordering Product Offering Qualification SLA Loyalty Trouble Ticket* Shopping Cart Promotion Sales Process Flow Production Service Qualification Service Activation & Configuration Service Ordering Service Test Service Quality Resource Ordering Prepaid Balance Geographic Site Appointment Alarm Geographic Address Resource Inventory Service Catalog Service Inventory Service Problem Usage Resource Catalog Usage Consumption Resource Function Activation & Configuration Geographic Location Shipment Tracking Resource Pool Change Management Stock Shipping Order (to be published) Work Order (to be published) Process Flow Intelligence Management Recommendation Performance Process Flow JAD Test Shipment Tracking Risk Assessment ODA Components People Organizations Things Source : TM Forum (Copyright © 2022 TM Forum)
  • 11. ODA Components Source : TM Forum (Copyright © 2022 TM Forum)
  • 12. ODA Components – Decomposition Core Function Notifications / Reporting Process 1 Process 2 Event Environment Dependence & Requirements Management & Operations Security Core Function Process 3 Process 2 Event Management & Operations Security { } Open API ODA Component 1 ODA Component 2 Following is a containerized view of the ODA Components. 1. Core function: Handles the specific processes and events related to the component. 2. Process : A process as defined by TM Forum e-TOM Business Process Framework 3. Event: The activity that follows the link 2 or more processes. 4. Management & Operations: The O&M function of the ODA Component (Which is generally handled by a privileged role) 5. Security: Security configurations associated with ODA component. The security configuration is different for each component and will be depended on the Security risk assessment. 6. Notifications / Reporting: ODA component need to have a notification and Reporting function built-in the component. 7. Environment Dependence & Requirements: ODA components may have certain external inputs that they depend on. These inputs would trigger/suspend/alter the functionality of the processes and events within the Core function. For example, the dependency can be an external data source. www.linkedin.com/in/pothmulla
  • 13. ODA Use case – Managed Services Quoting Process Stock Component CPE Management Component Enterprise Customer Appointment Component Quote Product Ordering Agreement 1. Notify CPE EoL to Customer in advance 2. Request to generate the Quotation, based on agreement 3. Promotions applied based on Recommendations 4. Obtain customer approval for the quotation and confirmation for the Order 5. Stock release request to Stores 6. Appointment request for Appointment center 7. Agree an appointment with the customer (Change Management, Billing and payment components are not illustrated in this usecase) Promotion Recommendation      Managed device upgrading takes a longer time due to negotiations taken place between the Telco and the Enterprise customer. The negotiations would involve different levels of approvers at both Telco and customer side. The ‘Quote’ component along with ‘promotions’ and ‘Recommendation’ component would be able to automate the quoting process. In addition to the reduction in Human resources required, it will also reduce the fraud risk, associated with any traditional quotation process. Following are the automated steps followed in the Business Process.: www.linkedin.com/in/pothmulla
  • 14. http://www.casewise.tmforum.org/evolve/statics/tmfmodel/index.html#/cwtype=index&cwview=home&lang=en It defines standardized, interoperable software components organized into loosely coupled domains. These components expose business services through Open APIs built on a common data model. And what’s really exciting is ODA provides machine-readable assets and software code, including a reference implementation and testing lab. ODA Framework Source : TM Forum (Copyright © 2022 TM Forum)
  • 15. ODA Agile Lifecycle Source : TM Forum (Copyright © 2022 TM Forum)
  • 16. Source : TM Forum (Copyright © 2022 TM Forum)
  • 17. ODA Ambitions Accelerate Time-to-Market: Telco product launch cycle time is traditionally higher than launch time of a software development companies. On-premises implementation (compared to cloud), complex systems and internal processes, lack of IT-Business synergy, extensive regulatory compliance (in some markets), etc. are key challenges in improving the time-to-market. ODA, through modular and reusable software components, cloud-native deployment, etc. provides the agility required in product experimentation and deployment. One of the ODA principles is that, Technology function should work as a Business function in product development. Monetize 5G: 5G unlike its predecessors does not follow a fixed architecture, but provides a service based architecture that can be customized based on Telco’s strategy. On the other hand, apart from the superfast data speed provided to customers, 5G will not directly increase telco revenue unless a monetization strategy is implemented. ODA support 5G Monetization use cases through breaking the barrier between Business and Technology teams, catalog based products, and Open API based integration with partners (e.g. Ports, large manufacturing firms, and private 5G network support). Optimize Capex/Opex: Capital and Operating expenditure have never become more important for Telcos, with the reducing margins YoY due to reduced chargeable rate per MB (for data) and per minute (for voice) with the introduction of competitive Buffet styled bundled products. The situation has caused a ‘returns to scale’ issue in Telcos, as the extra production in the bandwidth has not yielded proportionate returns. ODA provides Telcos the opportunity for standardizing software components, open standards/APIs to minimize customization and integration costs, cloud- native deployment, zero-touch automation, etc., which in turn would significantly reduce the capital and operating expenditure. www.linkedin.com/in/pothmulla Customer Experience: Customer experience is the backbone of the success of telco. Telcos do not enjoy lock-in benefits advantage anymore, due to hassle free number portability process implemented. Customer experience also has both negative and positive ripple effect on NPS. ODA supports Omni channel interaction providing uninterrupted 3600 customer view, personalized product and promotion recommendations (through AI), abundant choices of channels/partners/platforms, etc.
  • 18. Enterprise Digital Transformation – Myths ! 1. It is automating your manual processes 2. It is End-to-End Automation 3. It is conducting all your activities through computers (i.e. IT Systems) 4. It is selling Products digitally 5. Digital Transformation and Digitization are same 6. Digital transformation means updating the website and creating an app 7. It is about using new Technologies (AI, ML, NN, RPA, BC, SDN, 5G, Big-Data, etc.) www.linkedin.com/in/pothmulla
  • 19. Digital Services Data-Centric Operations Micro service- based Real time Platform Business models AI capable and Autonomous Knowledge- defined Network (KDN) A network operating system that uses control loops to provide automation, recommendation, optimization, validation and estimation. Conceptually, KDN as a paradigm borrows many ideas from other areas, notably from: - Autonomic Self-* architectures - Neural network in feedback control systems - Black-Box Optimization This concept extends automation knowledge-defined artificial intelligence. This concept in ODA allows for digital service providers capabilities to be exposed by business platforms. The concept highlights some key characteristics that include: - Supports integration with partner networks - Allows for exposure/resale of partner capabilities The concept promotes a business environment where all layers of the operating model work in real time; this is true for the customer / ecosystem- facing and resource-facing layers. It expects that most customer interactions with the operating model will be web-based, and all customer information such as usage, billing and partner / ecosystem settlement are conducted in real time. This concept is applied to ODA by leveraging TM Forum-compliant assets that are defined based on microservice principles. The concept explores enabled by TM Forum and other industry-agreed open API definitions, which enables containerization and supports the extension of capabilities across organizational boundaries within ecosystems. The concept of data-centric operations enables dynamic end-to- end processes that are intent-based, policy-driven and use common data repository for all layers. The concept of a digital service applies to the electronic delivery of information including data and content across multiple platforms and devices like web or mobile to end users. ODA Underlying Concepts www.linkedin.com/in/pothmulla Source : TM Forum (Copyright © 2022 TM Forum)
  • 20. ODA principles are a set of principles that relate to the digital architecture work. They reflect a level of consensus across service providers and vendors and embody the spirit and thinking of advancing existing architecture principles. The ODA principles govern the architecture life-cycle process, affecting the development, maintenance, and use of the enterprise architecture. Understandable The underlying tenets can be quickly grasped and understood by individuals throughout the organization. The intention of the principle is clear and unambiguous, so that violations, whether intentional or not, are minimized. Robust Enable good quality decisions about architectures and plans to be made, and enforceable policies and standards to be created. Each principle should be sufficiently definitive and precise to support consistent decision-making in complex, potentially controversial situations. Complete Every potentially important principle governing the management of information and technology for the organization is defined. The principles cover every situation perceived. Consistent Strict adherence to one principle may require a loose interpretation of another principle. The set of principles must be expressed in a way that allows a balance of interpretations. Principles should not be contradictory to the point where adhering to one principle would violate the spirit of another. Every word in a principle statement should be carefully chosen to allow consistent yet flexible interpretation. Stable Principles should be enduring, yet able to accommodate changes. An amendment process should be established for adding, removing, or altering principles after they are ratified initially. Overarching Principles Overarching but general principles that are common for all architecture types. Business Principles Principles that guide alignment with organizational units. These principles embody the health and success of the organization as a whole. Information & Data Principles Provides guidance on information and data use and the management of both structured and unstructured data by drawing on local and regional strategies, best practices and regulatory regimes. Application Principles Non-technology based principles to free the organization of vendor-specific limitations or proprietary approach to solutions. Technology Principles Ensures that components developed in different or for different execution functional blocks or environments are interoperable across functional blocks. ODA Principles Qualities of Principles Types of Principles www.linkedin.com/in/pothmulla Source : TM Forum (Copyright © 2022 TM Forum)
  • 21. Open Digital Architecture Principles 1.Overarching Principles 2.Business 3.Information (Data) 4.Application 5.Technology ODA Principles 1. Different stakeholders, different viewpoints [ODA Communication] 2. Technology functions must operate as businesses [No more cost centers] 3. Think out of the box (not just a replacement of existing system) 4. Stepwise evolution to target (Walk, Crawl, Run) 5. Governance is integrated (Process, Data, AI, API) 1. Business architecture is iterative 2. Business architecture is reusable 1. Information is a shared asset 2. Information is accessible 3. Information must be secure 4. Information must be analyzable 5. Information is quickly available 1. Ease of use 2. Technology Agnostic 3. Modular and reusable 4. Decoupled 5. Capability Exposure (exposing to data, technology and other applications) 6. Convergence with the Enterprise Architecture Cross-Function 1. Catalog-based 2. API-based architecture 3. LEGO Blocks Architecture 4. Stepwise evolution to target Interoperability 5. Interoperability Manage Diversity 6. Control Technical Diversity www.linkedin.com/in/pothmulla Source : TM Forum (Copyright © 2022 TM Forum)
  • 22.
  • 23. What is an API ? Application programming interfaces, or APIs, simplify software development and innovation by enabling applications to exchange data and functionality easily and securely. An API, enables companies to open up their applications’ data and functionality to external third-party developers, business partners, and internal departments within their companies. This allows services and products to communicate with each other and leverage each other’s data and functionality through a documented interface. Developers don't need to know how an API is implemented; they simply use the interface to communicate with other products and services. API use has surged over the past decade, to the degree that many of the most popular web applications today would not be possible without APIs. What is an Open API ? Open APIs are open source application programming interfaces you can access with the HTTP protocol. Also known as public APIs, they have defined API endpoints and request and response formats. Source : IBM
  • 25. TMF Open APIs Source : TM Forum (Copyright © 2022 TM Forum) To date, 125 of the world’s leading communications service providers (CSPs) and technology ecosystem participants have signed the Open API Manifesto publicly demonstrating their endorsement of TM Forum’s suite of Open APIs. 60+ REST-based Open APIs have been tried, tested and de-risked.
  • 29. ODA Use case – Customer Ordering a Device Customer Supplier Partner Party Customer Payment method Document Federated Identity Agreement Product Ordering Product Offering Qualification Loyalty Shopping Cart Promotion Sales Shipment Tracking Stock 1. Customer Bank 2. Customer Employer 3. 3rd Party Loyalty provider 4. Crypto Currency 5. Digital Wallets 6. Payment through courier www.linkedin.com/in/pothmulla • Telco customer product and service ordering process would not be much different to similar services offered by leading digital platforms such as Amazon, Google Play store, Apple Store, etc. [Opportunity] • Telco services are usually regulated and have to comply with certain requirements providers (e.g. Customer Authentication), which are not applicable for standard ecommerce service providers. [Challenge] • The use case depicted here involves numerous partners. The end-to-end process is automated and Zero-touch. Distribution Partner External Authentication Agency
  • 30. Open Digital Architecture – Business Case
  • 31. Factors Driving Telco Digital Transformations 1. Declining traditional connectivity based revenue streams 2. Increasing direct cost (Hardware, License, Total cost of ownership, etc.) 3. Time to market delays 4. Sourcing delays 5. Friction in the processes, and integrating systems/applications 6. Limited business models and partnerships 7. Security risk exposure 8. Data governance and Privacy concerns 9. Product experimenting difficulties 10. Competition from OTT (Over the Top) players www.linkedin.com/in/pothmulla
  • 32. Digital Transformation Framework - In 2019, research by Accenture found that tech leaders, representing the top 10% of organizations (ranked by adoption of key technologies, penetration of technologies adopted and organizational culture) were increasing revenues at twice the speed of tech laggards (that is, the bottom 25% by the same measures). Updated research conducted in 2021 found that over the course of the pandemic the gap has widened, with tech leaders increasing revenues five times faster than laggards. Revenue growth rate for tech leaders (top 10%) vs tech laggards (bottom 25%) Interesting fact: Source : ITU Source : TM Forum (Copyright © 2022 TM Forum)
  • 33. Digital Transformation in Two Dimensions Source : TM Forum (Copyright © 2022 TM Forum)
  • 34. CHANGING TRAJECTORY For CSPs to become tech leaders, many need to adjust their current trajectory because they are on course to become digital telcos, not techcos. A digital telco digitizes its systems, processes and experiences to realize the cost benefits of automation and taking a cloudnative approach, but they are not digital solution providers and their core revenues are still from connectivity. A digital solution provider is a CSP that has gone beyond only offering connectivity and evolved to provide end users and customers (both B2C and B2B2x) with products and services built on a platform-based business model. Examples include delivering content to the consumer market or analytics and visual recognition systems to enterprises. • TM Forum developed a model to illustrate this, indicating that correcting course means a shift to cloudnative IT and network functions, an Agile operating model and a change of mindset. • It also means making core capabilities easily accessible to others, so third parties can consume them, and having the desire and ability to experiment. Digital Transformation in Two Dimensions Source : TM Forum (Copyright © 2022 TM Forum)
  • 35. Tier One: Operational efficiencies. Ford adopts new automated vision-based inspection of paint jobs in its plants through augmented and virtual reality, the Internet of Things (IoT), and AI. Using these technologies, the company improves blemish detection and reduces defects in its cars. In this case, data is generated by new technologies from factory assets, and AI uses this data to detect and prevent manufacturing defects in real time. Tier Two: Advanced operational efficiencies. Caterpillar installs sensors on its construction equipment products to track how each of them is used at a construction site. It finds, for instance, that customers use their motor graders to level lighter gravel more often than to level heavier dirt. Utilizing this insight, the company introduces a cost-efficient motor grader primarily designed to level gravel rather than dirt. Like Ford in the previous example, Caterpillar here benefits from operational efficiency gains by improving product-development productivity. The difference, however, is that the company’s sensor data comes from customers using their products, not from manufacturing plant assets. That customer dimension, of course, poses additional challenges. The efficiency gains in this tier also extend beyond asset utilization. Tier Three: Data-driven services from value chains. GE tracks product-sensor data from their jet engines, analyzes it using AI, and offers real-time guidance for pilots to fly in ways that optimize fuel efficiencies. GE then appropriates a part of their customers’ cost savings through new annuities from “outcome-based” revenues. Their customers, in other words, pay GE a part of what they save from fuel efficiencies, in addition to what they pay for the product. Here the initiative entails changing the prevailing business model from one that’s designed to produce and sell products to one that provides data-driven services to digital customers. GE’s R&D, product development, sales, and after-sales service units are all digitally connected to receive, analyze, generate, share, and react to sensor and IoT data from thousands of discrete products in real time. Because this drives new revenue streams, it does more than just enhance operational efficiency. Tier Four: Data-driven services from digital platforms. Peloton uses product-sensor data from its exercise equipment to create a community of users and to match individual users with suitable trainers. Peloton’s products generate user-interaction data, which the company then uses to facilitate exchanges between its digital customers and various third-party entities outside the realm of its value chains. AI algorithms match specific users to suitable trainers analyzing product-user interaction data, very much like how Uber matches riders with drivers using data from their apps. Like GE in the previous example, Peloton here is generating new revenues from its data-driven services — but by extending its products into digital platforms. This tier of digital transformation is the most challenging for industrial-era legacy firms, and for firms operating with value-chain-driven business models and little experience with digital platforms. Digital Efficiency Source : HBR www.linkedin.com/in/pothmulla
  • 36. The digital revolution brings significant opportunities and threats, impacting every industry. Communication Service Providers (CSPs) can embrace significant growth opportunities by looking beyond connectivity. At the same time, commoditization and digitalization of connectivity services have created an urgency to dramatically simplify and transform the efficiency of existing business. Digital Transformation Maturity Model Source : TM Forum (Copyright © 2022 TM Forum)
  • 37. Strategic KPIs of Telco Digital Transformation Customer Customer Lifetime Value Net Promoter Score Churn Rate Customer Acquisition Cost First Response Time Strategy Return on Investment Revenue Generated from Digital Investments Brand Affinity Score Revenue Generated with Eco System Partners Customer Self- Service Success Technology Digital User Journey (Interaction) App Market Performance Adoption of DevOps Process Automation Rate Net Carbon Footprint Operations Time to Market Average response time Average usage rate Cost to serve Culture Internal Net Promoter Score Digital match of Skills Needed Employee Effort Score Workforce involved in Digital initiatives Training Budget for Digital initiatives Data Economic Value of Data Assets Data Democratization Index Data Integrity (Fit for Purpose) Revenue from Data Key Data Assets Covered by Meta Data Compliance to Data Regulations and Policies Source : TM Forum (Copyright © 2022 TM Forum) www.linkedin.com/in/pothmulla Inline with the Digital Transformation Maturity Model, TM Forum has also defined 30 key strategic KPIs. These KPIs measure various quantitative and qualitative aspects of Digital Transformation journey. Combined with the maturity model, Telcos can effectively use these KPIs to assess the performance of their transformation. TM Forum has detailed enough these KPIs for members so that it would include: - Definition of the KPI - Rationale and objective behind the KPI - Scope covered by the KPI - Computational formula - Typical owner of the KPI in the Telco organization (i.e. the CXO)
  • 38. – Digital Transformation with ODA Who: Vodafone UK & Infosys What: A customer experience transformation to implement a new digital experience layer and launch new offers faster, increase digital sales and end-to-end automation, reduce costs, implement a culture of innovation and a complete NPS (Net promoter score) turnaround. How: By replacing aging and redundant IT stacks; retiring an outdated content management system; adopting CI/CD/CT [Continuous integration (CI), continuous delivery/deployment (CD), and continuous testing (CT)] and DevOps methodology; leveraging TM Forum Open APIs; implementing a new microservices-based digital experience layer; and launching intelligent, omnichannel customer experiences including a new app, web store and chatbot Results: •Digital sales increased by more than 50% •End-to-end automation for more than half of all customer interactions •30% increase in sales conversions •Launch of VOXI youth brand to counter competitors •3x improvement in NPS (Net promoter score) •Introduced Chatbot TOBi. 68% improvement in customer satisfaction Source : TM Forum (Copyright © 2022 TM Forum)
  • 39. A complete digital transformation of the wholesale business unit to expand offerings, accelerate launches, increase sales, integrate channels, automate key processes and deliver a more responsive customer experience. A new microservices-based digital experience layer leveraging TM Forum’s Open Digital Architecture (ODA) and Open APIs, as well as Agile, DevOps, a design thinking approach, and continuous integration, continuous delivery and continuous testing, helped the growth. – Wholesale Digital Transformation with ODA Source : TM Forum (Copyright © 2022 TM Forum)
  • 40. TYPE OF PROJECT COMPANY BUSINESS FUNCTION CASE STUDY Process Improvement and innovation AT&T Customer Services • AI and Machine Learning applications • Efficient customer assistance • Optimized schedules for technicians • ML-based incident management program managed 15 million alarms per day Innovation Globe Telecom Product and customer experience • Implemented ML and cloud to enhance omnichannel customer experience • Better business decision • Improved customer experience • Boosted product optimization Process Improvement and innovation Deutsche Telekom Customer Service • Processes about 80% of the queries and reduces the load on employees. Source: https://research.aimultiple.com/telco-digital-transformation/ Digital Transformation Success Stories / Use cases www.linkedin.com/in/pothmulla
  • 41. • New technologies including 5G, cloud, and edge offer CSPs the chance to step beyond being a delivery system into the role of enabler. 5G is an inflection point for all industries and a gateway to new markets for CSPs. At the same time, cloud is changing business models and lowering barriers to entry while edge enables the quick delivery of contextual services, with a personal touch. • Accenture says CSPs can realize a 40% saving in CapEx by moving to virtualized, cloud-based architectures. Transformation will require more than technological advancements to be successful. How CSPs use and experiment with the new technologies and capabilities is critical as they migrate from telco to techco. • CEO, TM Forum comments, “Telcos need to learn to experiment and roll out new features to their customers and have the ability to quickly scale up releases. Facebook can try out new applications with 1% of its customer base and then scale up or down as necessary. If telcos are to truly become techcos, they urgently need to achieve this level of agility and flexibility.” CSPs will need to invest much more in building product management functions and R&D, which is chronically underfunded at present, equating to just 1.7% of CSPs’ revenues in 2019 versus 12.9% for software and cloud companies. Telco to Techo Journey with ODA Source : TM Forum (Copyright © 2022 TM Forum) www.linkedin.com/in/pothmulla
  • 42. Final Remarks – ODA Assurance Provider’s Take 1. Ensure Digital Transformation drives are built on underlying 7 ODA Concepts and 5 ODA Principles 2. Are we on track, on the 10 Digital Transformation Journeys ? 3. Measure the Digital Enablement and Digital Efficiency level 4. Assess the maturity over 6 Digital Transformation Maturity areas 5. Assess the reporting over 30 Strategic KPIs for Digital Transformation 6. Digital Transformation Governance Review (Concepts, Principles, Design, AI Governance, API Governance, Data Governance, Security Governance) 7. Periodic / Continuous reviews based on inputs from Intelligence Management Domain (Risk Assessment, Performance Management, Recommendation, Process Flow, etc.) 8. Review Biasedness of Training Data, and Data Modeling. www.linkedin.com/in/pothmulla
  • 43. Disclaimer : This document contains information related ‘Open Digital Architecture’, a concept developed by the TM Forum (Copyright © 2022 TM Forum)