BEYOND MAINSTREAM

# DIGI TAL
IMPACT

MARKETING,
SALES & SERVICE

NETWORK & IT

SUPPORT FUNCTIONS

LEAN TELCO
Redefining the telecom business –
from cost-cutting to smart efficiency

JUNE 2014
 THINK ACT
LEAN TELCO

THE BIG 3
1
tran·si·tion
The telco business in Europe has seen many cost-cutting rounds without
fundamentally rethinking business models and organizational principles.
To become fit for the future, telcos should combine growth and efficiency
strategically in a "new lean" blueprint.
p. 3

2
in·no·va·tion
Lean means powerful, flexible and adjustable to current and future market
needs. It's not just cutting costs but delayering operations and pushing
innovation.
p. 6

3
de·lay·er·ing
Defining three key layers with a clear focus on strategy and steering.
Every single function has to be identified as core or non-core for the
company. Core functions remain the key priority while non-core functions
can be outsourced or carried out in partnerships.
p. 11

The
lean telco
matrix
p. 7

2 ROLAND BERGER STRATEGY CONSULTANTS

 THINK ACT
LEAN TELCO

The journey to lean telco. How

telecom players manage the transition
from cost-cutting to smart efficiency
by reducing complexity and leveraging
new partnership models.

Telecom players in Europe are facing an unprecedented
challenge. The need for transformation and change is not
news in an industry that has been driven by accelerating
innovation for decades but has suffered enormous pres-
sure and stagnation in the last few years. A
But the up-coming transition can't be solved like
the last ones. It's not just about cost-cutting anymore,
since that potential has often been exhausted. It's
about a new mindset and strategically combining
growth and efficiency.
We at Roland Berger are known as experts for
­restructuring and successfully leveraging previously
unexploited savings potential. This is precisely why we
are intervening with an alternative approach now:
­Together with our clients and industry experts, we
­recognize that times require more drastic action.
Something beyond merely cutting costs.
As we developed this "smart efficiency" approach, 1
we focused on two key questions:
> What BUSINESS MODEL allows for value creation in
a scenario of profitability pressure and a continuously
changing environment?
> Which ORG ANIZ ATION AL PRINCIPLES can
support an efficient, customer-oriented and flexible
organization that is capable of handling increasing
complexity?

MILESTONES OF THE EUROPEAN TELECOM INDUSTRY

Rollout of
UMTS
networks
Auction of
3G ADLS2+
Launch of GSM Cable licenses for HDTV via First iPhone Cable internet
in Europe internet in UK internet sold in Europe via Docsis 3.1
1992 1997 2000 2003 2007 2013

1987 1996 1999 2002 2006 2009 2016

European Deutsche Launch of Fiber era is Launch of Launch of 90% of all
Union Telekom goes DSL taking off, due broadband LTE Europeans
recommends public to FTTX VDSL own a smart­-
deregulation systems phone
First smartphone
Nokia Communicator

ROLAND BERGER STRATEGY CONSULTANTS 3

 THINK ACT
LEAN TELCO

FROM GROWTH TO COST-CUTTING

REVENUES OF EUROPEAN TELCOS HAVE BEEN
IN DECLINE SINCE 2007

Fixed line and mobile telecom revenues [USD bn]

-2%
467
+7% 450 448 442
432 428
421
413 409
404 406 403 398

368

338

310

287

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014e 2015e 2016e

4 ROLAND BERGER STRATEGY CONSULTANTS

 THINK ACT
LEAN TELCO

The result is the lean telco blueprint, conceptualized by Comparisons with other industries show that this is a
Roland Berger experts and assessed in close collabora- common development. The automotive industry's
tion with international CXOs and strategy departments. ­answer to stagnating growth was to shift value creation
Implementing this approach requires courage and risk to its suppliers, for example. Today, major technical in-
tolerance. It will force some telecom players to turn every- novations in cars, such as next-generation assistance
thing upside-down and require rethinking deeply en- or safety systems, are developed by suppliers, while
trenched old habits, processes and structures. It will be large automotive manufacturers focus on car design
tough, but – for many players, at least – the only way to and technology integration. This concentration on core
become fit for the future. competencies enables them to reduce the complexity
of their own organization.
Fundamental shift of value creation
toward vendors and partners
To understand the current market needs even better,
we interviewed CXOs from fixed line operators, mobile
and integrated players in Western and Eastern Europe.
The results were incorporated into a modularized blue-
print to support telecoms' long-term transformation
process. It provides guidance to a vision that optimizes
operations, reevaluates delivery models and improves
efficiency.
More than 90% of the interviewees think that such
a modularization might be a promising way to tackle
upcoming operational issues. Our interviews clearly "I believe that
­revealed that the times of pure cost-cutting are over
and priorities are shifting more and more toward smart efficiency will gain
efficiency. 65% of the managers interviewed agree
that both growth and efficiency are relevant, and 30% relevance and
even believe that efficiency is the only priority.
Many operators have started implementing and become the main
testing new models already, especially for ongoing
and CAPEX-intensive LTE rollouts and foreseeable objective along
5G investments. Examples of joint operations
­(Everything Everywhere in the UK or T-Mobile/­ with growth, if not
Orange in Poland) as well as outsourcing approach-
es (e.g. Hutchison 3G Austria with its network part- replace growth,
ner Huawei) illustrate this development. These
examples correspond with another result of our sur- in the medium
vey: that more than 50% of the respondents see a
strong need for partnering. "The core elements of
our future operations are to increase efficiency and
to long term."
to foster partnering as well as outsourcing," one EXECUTIVE OF A EUROPEAN TELECOM
manager stated. ATTACKER

ROLAND BERGER STRATEGY CONSULTANTS 5

 THINK ACT
LEAN TELCO
2
The new paradigm. Lean means power-
ful, flexible and adjustable to current
and future market needs. It's not just
cutting costs but delayering operations
and pushing innovation.
Before telecom players define their future operating
model, it is absolutely crucial for them to clarify their
strategy first. Which functions will be categorized as
"core"? Which will be "non-core" and thus up to negoti-
ation? Every business segment should be tested regard-
ing market position as well as current and future finan-
cial contribution. The same holds true for product lines.
When growth was driven by new services and products,
managing the increasing complexity was given lower pri-
ority. As a result, telecoms started to run several ser-
vices, often with additional systems not fully integrated
into the IT landscape, leading to a tangled mess.
Our survey revealed three key questions for clarify-
ing the strategy and – in the second step – reducing
complexity in products and services:
> Which markets do we want to be active on?
> Which services/products do we want to offer?
> How do we get from here to there?
The general guideline should be: Eliminate as many
services and offers as reasonably possible and reduce
process complexity from a value perspective. Scrutinize
every function in your company: "We have analyzed ev-
ery single function from two points of view: Do we need
it on a local or on a global level?" a manager at a UK
telecom player told us. "And do we have to control it
completely or could it be managed by an external part-
ner?" Proximity and ownership – those are the two
parameters that have to be analyzed on the way to be-
coming lean. They are easy to visualize in a matrix. B
6 ROLAND BERGER STRATEGY CONSULTANTS
Each element of the matrix determines what strategies
or approaches to smart reorganization are appropriate.
Functions that have to be owned but do not need to be
available on a local level will become part of the head-
quarters, for instance. The guiding principle is how to
invest available resources in the most efficient way.
Financial resources of course need to be considered,
but IT capacity, workload and management attention
have to be kept in mind as well to achieve the best
possible return on investment and to remain flexible.
Here's an example: An operator cuts off its very
specialized B2B large accounts business and focuses
on standardized products instead. It no longer needs
to consider the complexity of individual projects. Thus,
it can significantly reduce the number of client-tailored
solutions and shift resources to apply comparable pro-
cesses in its residential and small to medium-sized
enterprise (SME) business.
This assessment involves three general steps. The
company has to provide transparency coping with the
difficulty of allocating costs to their originator. While
analyzing the possibility to discontinue certain seg-
ments in the second step, the contribution margin of
each segment to cover fixed (network) cost must be
considered. And once it has been decided which seg-
ments to split, management has to find the easiest way
to do so. This is often determined by the technologies
applied. For example, it is much easier to break up an
operator into fixed and mobile than to separate SME
 THINK ACT
LEAN TELCO
from small office/home office (SoHo) business, be-
cause the latter use the same network infrastructure.
Becoming "lean" is about more than just downsiz-
ing an operator. Our lean telco approach aims at
strengthening its core. The overarching principle is to
minimize complexity on a strategic level. That's what
we call "lean". Lean does not mean small. Lean means
powerful, flexible and adjustable to current and future
market needs. With this clarified strategy of smart re-
organization, the operator can focus on growth again.
This growth is not achieved with endless product varia-
tions realized through complex IT solutions, but rather
with a flexible core that allows the integration of addi-
tional modules via clear interfaces.
This opportunity to refocus on growth is particularly
important in an industry accustomed to growth. First,
the capital markets want a story with elements of growth
as a major value driver. An ongoing, multi-year focus on
B
THE LEAN TELCO MATRIX
Functional decision criteria
High
Global partnership/
outsourcing
PROXIMIT Y
Local partnership/
outsourcing
Low
Low OWNERSHIP
ROLAND BERGER STRATEGY CONSULTANTS
efficiency can't be a story in itself. Second, the transfor-
mation toward lean requires various structural changes
with considerable impact on the employees, as signifi-
cant portions of the workforce could be transferred to
partner companies or joint ventures. This might lead to
relocations for employees and a modified financial
structure, for instance. Therefore, growth elements
should be interwoven with messages purely focused on
higher efficiency and better operating models.
Once the redefined strategy and its growth story
are in place, the blueprint has to be tailored to the
telco's specific situation.
Our interviews revealed four essential components
for doing so:
1. Defining core and non-core functions
2. Partnering for non-core activities
3. Delayering the operator
4. Pushing innovation
Global core/
headquarter function
Local core function
High
7
 THINK ACT
LEAN TELCO

"Defining clear 1. Defining core and non-core

functions
interfaces helped What should the operator look like in the future? First,

us to identify the management has to look at every single function to

identify it as core or non-core. The core functions will

core processes. focus on strategic tasks and the steering of non-core

functions, such as shared and customer services, pro-

This additional curement or mass delivery processes. In the non-core

functions, the focus will be on improving efficiency and

transparency creating synergies.

This separation implies that only a minor part of

itself increased today's headcount will form part of the future core.
­Depending on the legal structure of the non-core

efficiency." ­elements, significant transfers of employees have to

be managed, as mentioned above. Additionally, the
P&L will change significantly, if various former internal
EXECUTIVE OF A EUROPEAN TELECOM operation costs are externalized.
INCUMBENT
2. Partnering for non-core activities
Alternative partner models are a recommended way to
improve efficiencies within the non-core activities. The
majority of the interviewed experts agree that there is
a strong need for partnership. "It is a core element for
us," said an executive of a provider in CEE.
The overall idea of these alternative models is to
increase synergies and share them among the part-
ners. In our interviews, network, IT and call centers
were mentioned most often as areas where partnering
is already very relevant today. When asked about areas
where partnering may be relevant in the future, the ex-
perts most often named cross-industry functions such
as accounting and payroll.
The approaches to partnering vary widely and
strongly depend on the structure of the operator and
the local partners available. For example: A multina-
tional operator group can centralize its core network
operations, making local centers redundant, and save
on headcount and equipment. The group is partnering
internally across its subsidiaries. In contrast, a stand-
alone operator cannot apply this approach and has
to look for external partners. It can partner with its

8 ROLAND BERGER STRATEGY CONSULTANTS

 THINK ACT
LEAN TELCO

network equipment vendor by transferring responsibili-
ty for network operations to the vendor, for instance.
The latter can create synergies by integrating the unit
into its global operations center.
Other partnership models include working with
competitors and specialized service providers. If
carve-out models are relevant and the carved-out
units have a reasonable size, financial investors can be
partners, too. Even IPOs for carved-out units can be
considered with a high number of shareholders as
financial partners.
To foster innovation, the incentive system should incor-
porate it as a central element. Industries such as the
semiconductor business, with its consistently defined
research career paths and awards for inventions and
technological breakthroughs, can be role models in
this regard. The incentive system might include idea
contests for all employees, innovation training and
workshops and publicly announced rewards for the
best inventions.

3. Delayering the operator

Delayering, or removing organizational layers, aims to
simplify steering and define clear interfaces. For his-
torical reasons, operators are very monolithic in terms
of organizational structure and especially IT. Redefin-
ing functional responsibilities with clear interaction
and relevant steering methodologies improves trans-
parency and therefore efficiency. Moreover, it increas-
es the flexibility for future structural modifications of
core and non-core activities. As the definition of core
and non-core as well as the market environment might
change over time, the operator may need a partner for
additional functions. Establishing such a partnership
will be much easier if the functions are clearly separat-
ed from each other via standardized interfaces.

4. Pushing innovation
For both core and non-core activities, it will be
increasingly important to focus on innovation. In the
past, operators innovated mainly on the product
level, either through large-scale introductions of
completely new service lines such as DSL and mobile
broadband or, more often, by offering new tariffs. In
the future, process innovation will be the major driver
to generate an advantage in customer perception,
automate processes and provide services cost-effi-
ciently. A look at other industries can help provide
know-how in production systems (e.g. aviation) or
automation (automotive industry).

ROLAND BERGER STRATEGY CONSULTANTS 9

 THINK ACT
LEAN TELCO

THE LEAN TELCO BLUEPRINT

REDUCING COMPLEXIT Y BY DELAYERING

BY DISTINGUISHING THE KEY SEGMENTS OF MARKETING, SALES & SERVICE,

NETWORK & IT AND SUPPORT FUNCTIONS, THE LEAN TELCO BLUEPRINT MAKES
IT POSSIBLE TO LEVERAGE SYNERGIES IN BRAND MANAGEMENT, NETWORK
INTEGRATION AND STREAMLINED HEADQUARTER FUNCTIONS

Shop partnerships
STRONG BRAND

1
MARKETING, Marketing
Call center partnerships
SALES & Sales & channel steering
Field service joint ventures
SERVICE Customer service E-sales joint ventures
Wholesale centers

Network partnerships
> e.g. 2G/3G/LTE sharing,
FTTx
INTEGRATED NETWORK

2
Fixed network planning Billing partnerships
NETWORK & management
> e.g. with another telco
& IT Mobile network planning Outsourcing
> Fixed network
Lean IT architecture construction
> Unbundled local loop
platform
> I T

Shared services
STREAMLINED HQ > Accounting
> Payroll

3 SUPPORT
FUNCTIONS
Strategy
Procurement
Finance & Controlling
> Procurement joint
ventures: network,
devices, IT, content

Outsourcing
Talent Management > Facility Management
> Fleet Services

10 ROLAND
ROLAND
BERGER
BERGER
STRATEGY
STRATEGY
CONSULTANTS
CONSULTANTS
 THINK ACT
LEAN TELCO
3
The lean telco blueprint. Defining three
key layers with a clear focus on strategy
and steering.
Based on the four components, we envisioned the
blueprint of a future lean telco player as shown in the
illustration. C
A lean telco core, therefore, consists of three key
layers:
> Marketing, Sales & Service
> Network & IT
> Support Functions
For Marketing, Sales & Service, the focus lies on the
future brand, which today is usually the responsibility of
the marketing department. The unit defines the overall
brand, channel and service strategy as well as product
and service development. It selects and steers retail
partners and negotiates contracts (especially legal
terms and conditions) as well as service level agree-
ments. Performance of mass processes is tracked and
new models are continuously tested with partners.
If performance is poor, then processes or partners are
changed. For example, cooperating with several shop-
cultur partners makes it possible to test slightly different
shop designs and agents as well as performance and
incentive systems. Additionally, the unit provides the
partner with advertising material, handsets and training.
The key responsibilities of Network & IT are
planning the fixed line and mobile network, selecting
vendors, steering partnerships and designing the IT
architecture. Regional rollout planning, especially for
fiber and LTE, is performed in alignment with marketing
and sales requirements. Vendor and technology part-
ners are managed based on the service level agree-
ments and agreed KPIs.
New partnership models for the mobile and fixed
segments are assessed organizationally as well as
ROLAND BERGER STRATEGY CONSULTANTS
financially. This can range from passive or active
sharing approaches in the mobile network to local
loop unbundling platform partnering models with
competitors. Regarding mass processes in network
maintenance, an outsourcing model can be consid-
ered. More sophisticated partnering models bundle
the maintenance operations teams of various players
in one market, providing the service for all partners in
a joint venture.
The core IT team focuses on defining the IT land-
scape architecture and selecting appropriate provid-
ers. In keeping with the delayering aspect, the land-
scape is modularized with clear interfaces so that IT
partners can be changed for selected systems. The
architecture must also define interfaces for major sys-
tems such as CRM, billing and network management,
so that any one of these can be changed or updated
without affecting the others.
The role of the Support Functions unit is also in
line with a focus on strategy and steering. Therefore,
key tasks will be the definition of the overall operator
strategy, Talent Management, Strategic Procurement
and Finance & Controlling. Additionally, legally re-
quired tasks have to remain in this core, especially
teams for regulatory as well as compliance and audit
management. Again, mass processes for Payroll,
Accounting and Facility Management will be steered
and controlled here.
Lean means leveraging synergies
Once an operator has defined its lean core, mass
processes will become non-core. These are not
11
 THINK ACT
LEAN TELCO
sufficient to provide significant differentiation on the
market; however, a certain standard of quality has
to be assured at the highest possible efficiency.
For Marketing, Sales & Service processes, this can
be done by tapping synergies through various part-
nering models. For example, operators can partner
with different retail chains to set up shop-in-shop
models. The e-channel can be transferred to a
specialized partner that manages the online shop
together with the logistics.
For several customer services, outsourcing models
or carve-outs can be an option. Sharing or relocating
call centers alone results in total OPEX savings of
0.5-1.0% on average. Outsourced field services could
be bundled with the services delivered by utilities or
consumer electronic players, for instance.
Within Network & IT, the major driver for synergies
is partnering on infrastructure. Sharing mobile infra-
structure is already a proven standard approach. Mod-
els such as the carve-out of towers into separate legal
entities have been tested in some countries, too
(examples: American Towers, Albertis, Millicom).
Partnerships with providers for network equipment and
services as well as for IT operation should be evaluated
regarding their savings potential. Our analyses for
European players indicate that such partnerships can
realistically cut total CAPEX by 13-14%.
Regarding Support Functions in headquarters, the
majority can be transferred to specialized partners.
Payroll Management, Procurement, Fleet and Facility
Management can be purchased in a standardized way.
Just the lean organization of procurement processes
alone can help reduce total OPEX by up to 5%. For
operator groups, shared models are an alternative:
resources of various subsidiaries are pooled in one
country, therefore saving on headcount.
In all models, preparing and structuring the part-
nership is key. A thorough definition of the legal frame-
work is time and effort well spent. Issues that seem
insignificant in the preparation phase can snowball as
the partnership progresses, developing into major
challenges if no standard approach to dealing with
them has been defined.
12 ROLAND BERGER STRATEGY CONSULTANTS
From a loose collection of tools to a
truly coherent vision
Our interviews revealed that many telecoms already
apply frameworks and continuous improvement ap-
proaches like Lean, Six Sigma or Kaizen. Nevertheless,
complexity, ownership and silo-thinking seem to be the
reasons why a centralized simplification of processes
is still out of reach. "We still have inconsistencies in
the long-term view within our own company," a Swiss
manager explained in our survey. These inconsisten-
cies might become a roadblock on the way to an even
leaner operating model. And the strategist of a CEE
telecom player conceded that there are "some parts
remaining of the old silo structure".
Overall, there's overwhelming commitment to leaner
structures: Around 60% of the interviewees in our survey
"strongly agree" with the lean telco blueprint, another
25% "partly agree". Despite such high acceptance, half
of the respondents say that their corporation has no
need for action. More than 40% of the interviewees be-
lieve that their company is already on track: "We operate
in a lean way and our product development is similar to
a lean factory," one executive stressed.
This analysis might hold true when measured by
former telecom standards. However, compared to oth-
er industries, and considering that most executives
recognize that efficiency will become a top priority, it
sounds absurd. Telecoms are in denial: Their mindset
is often still growth-oriented and hence has no room
for the required move to smart efficiency, even as they
acknowledge that markets are shrinking.
Obviously, changing such a mindset takes time. It
may take even more time than a "regular" change due
to the new and challenging approach. Don't underesti-
mate the difficulty: It is anything but easy to anchor
lean thinking (or to release "change capacity", as one
of the interviewed experts called it) among managers
used to investing millions or billions of euros in growth
scenarios or developing fancy new products. Employ-
ees have to be convinced that lean means smart. That
it's worth focusing on the core business, to invest ener-
gy in optimizing and refining internal interfaces and
 THINK ACT
LEAN TELCO

processes. That the result will not only be lower costs sphere should be instilled as the transformation is
but a more transparent, more flexible and more inno- complex and depends on external partners. Addition-
vative company. ally, innovations normally have a certain failure rate.
To account for that fact, an ongoing communication
How to set up a step-by-step and compliance with these guidelines is key during the
master plan implementation. Trial and error and the acceptance of
failure are crucial if companies want to foster a culture
Transformation will take several years. Therefore, the of innovation and dare to promote bold managers.
process should be started sooner rather than later. On
the one hand, communication technologies, customer
demands and competition are developing faster than
ever. On the other hand, it's a question of cashflow:
If revenues begin to erode faster than costs can be
reduced, it may already be too late. Every change costs
money. So it's much easier to become lean as long as
there is sufficient financial leeway.
Based on a clarified strategy with a leaner product
and service portfolio, a step-by-step master plan with
emphasis on the various partnering approaches needs
to be devised. The blueprint, or its elements identified
as key for an operator, can be implemented in a mod-
ular approach, understanding that there is no golden
rule for which functions to begin with. This depends on
the status of the preparation, the available partners "The process to a
and an assessment of management regarding the
highest need for action. However, each year clear lean telco provider
transformation targets should be defined and a review,
including an update of the strategy with regard to will be a very slow
changes in the market environment, needs to be con-
ducted. At the same time, as argued above, a growth one. Many still
focus has to be included.
The key is to generate commitment for the master think in their old
plan within top management, including the supervisory
board. This is a challenge for international players in structures and
particular, as one interviewee reported, because "we
need a global as well as a local alignment". A second lean thinking is
source spoke about the problem of internal turf bat-
tles: "We have to fight hard to overcome regional king- not anchored in
doms." We see two kinds of potential risks that have to
be assessed: organizational ones (if employees rebel
against the new approach, for instance) and operation-
their minds."
al ones (securing delivery). Hence, mitigation strate- STRATEGIST OF A EUROPEAN TELECOM
gies should be in place and a failure-tolerant atmo- ATTACKER

ROLAND BERGER STRATEGY CONSULTANTS 13

 THINK ACT
LEAN TELCO

D Key success factors and why it's

A LEAN TELCO APPROACH OFFERS HUGE worth becoming lean
SAVINGS POTENTIAL
As our interviews revealed, the transformation
OPEX [arb. units] toward a lean telco is a key topic on European CXOs'
agendas in saturated markets. Some elements of the
lean approach have been tested, but this radical ap-
100 proach requires a new organizational setup, an
up to open-minded attitude as well as operational and
financial backing from stakeholders.
-20% Based on the definition of the core, partnering ap-
proaches, delayering and innovation, future telecoms
will look and act completely different. The strategic
80-88
lean core will steer selected partners that carry out
mass processes for the operator. The speed of imple-
mentation and the scope of the transformation will
vary widely, but the blueprint will provide guidance for
the overall direction. D
To summarize the necessary steps, telcos will need:
> Top management sponsorship to communicate and
support the idea
> A central "lean team" with sufficient experience to
coordinate and support all projects
> A change in corporate culture to embrace the idea of
continuous improvement and manage the expecta-
tions of all stakeholders accordingly
> End-to-end optimization of operational, administra-
tive and management processes
> Lean initiatives initiated bottom-up and integration
of the employees in the process to foster a motivated
and innovative culture.
The path to becoming lean might be bumpy, but it's
worth the effort: In total, a successful implementation
will enable annual OPEX reductions of up to 20%. Thus,
EBITDA margins will increase significantly.
These figures and the ability to create a flexible and
modern telecom player with a clear focus are the ingre-
dients for promising prospects, which are appreciated
by shareholders and financial markets alike. Thus,
even in times of shrinking margins, a lean player can
plausibly tell a new growth story.
before after
LEAN TELCO APPROACH

14 ROLAND BERGER STRATEGY CONSULTANTS

 THINK ACT
LEAN TELCO

ABOUT US
Roland Berger Strategy Consultants

Roland Berger Strategy Consultants, founded in 1967, is one of the world's leading strategy consultancies.
With around 2,700 employees working in 51 offices in 36 countries worldwide, we have successful operations
in all major international markets. Roland Berger advises major international industry and service companies
as well as public institutions. Our services cover all issues of strategic management – from strategy alignment
and new business models, processes and organizational structures, to technology strategies. Roland Berger is
an independent partnership owned by around 250 Partners. Its global Competence Centers specialize in
specific industries or functional issues. At Roland Berger, we develop customized, creative strategies together
with our clients. Our approach is based on the entrepreneurial character and individuality of our consultants –
"It's character that creates impact!" www.rolandberger.com

Tablet version Further reading Links & likes

DOWNLOAD OUR ORDER AND

KIOSK APP DOWNLOAD
www.think-act.com
To read our latest editions
on your tablet, search for STAY TUNED
"Roland Berger" in the iTunes www.twitter.com/
App Store or at Google Play. RolandBerger
Download the Kiosk App
for free. LIKE AND SHARE
www.facebook.com/
TELCO 2020: How DELIVERY MODEL CONNECTED RolandBergerStrategy
Telcos transform for 2.0: Vision for the MOBILIT Y 2025 Consultants
the "Smartphone future business
Society" model The answer to how to
get a grip on the
While usage and Merely reacting to problem of increasing
associated data new competitors, to passenger transpor-
volumes continue to growing complexity, tation lies with net-
grow exponentially, and to increasingly worked mobility.
telecom operators detailed customer Integrated offers and
are under the price requirements does a comprehensive
pressure that not answer the management function
inevitably accompa- fundamental question will play a central role
nies commoditizati- for telcos, which is at linking transporta-
on. So what can they where and how they tion data and modes
do to fight their aim to earn money in of transportation
battle against the future. A reorien-
Internet giants like tation of the entire
Apple, Facebook or company is required.
Google?

WWW.THINK- ACT.COM

ROLAND BERGER STRATEGY CONSULTANTS 15

 THINK ACT
LEAN TELCO

Publisher Our experts welcome

your questions, comments
ROLAND BERGER and suggestions
STRATEGY CONSULTANTS GMBH
CARSTEN ROSSBACH
Mies-van-der-Rohe-Str. 6 Partner
80807 Munich +49 69 29924-6318
Germany carsten.rossbach@rolandberger.com
+49 89 9230-0
www.rolandberger.com PHILIPP LEUTIGER
Partner
+49 89 9230-8904
philipp.leutiger@rolandberger.com

TIM BOTTKE
Partner
+49 89 9230-8790
tim.bottke@rolandberger.com

MICHAEL TRENKWALDER
Project Manager
Special thanks go to Dr. Marcus Steiner and +49 89 9230-8250
Philipp Schaefer for their valuable contributions. michael.trenkwalder@rolandberger.com

This publication has been prepared for general guidance only. The reader should not act according to any information
provided in this publication without receiving specific professional advice. Roland Berger Strategy Consultants GmbH
shall not be liable for any damages resulting from any use of the information contained in the publication.

© 2014 ROL AND BERGER STRATEGY CONSULTANTS GMBH. ALL RIGHTS RESERVED.