Technology Expense Management is the method of effectively managing costs and services to cut costs, effectively make use of resources, and increase efficiency in the financial management process. Technology Expense Management software and services provide a central platform for monitoring, tracking and optimize the use of services and costs, particularly for telecom, cloud, and mobile technology. The solutions typically support finance, IT procurement, and IT teams by offering:
Telecom Expense Management (TEM) is a way of controlling and optimizing the cost of your telecom and technology. It includes:
- Tracking Expenses auditing and confirming telecom invoices to ensure their accuracy.
- Cost Allocation: distributing expenses to the appropriate departments or projects in order to improve budgeting and greater transparency.
- Inventory Management: Keep track of the entire telecom asset including data plans and phones.
- Contract Management: ensuring compliance and negotiations for more favorable rates and conditions.
- Bill Payment: Processing and managing payments to prevent the cost of late fees.
- Analytics and Reporting: Giving insights into spending patterns as well as discovering cost savings opportunities.
Why TEM Matters:
- Cost Control: Eliminates unneeded expenses and enhances value.
- Efficiency: Cut down on time using efficient processes.
- Visibility: Provides clear insight into the way you spend your money.
- Compliance: Ensures compliance with the terms of the contract.
Valicom’s TEM solutions can help you control and maximize your telecom expenses efficiently.
Which Technology Expenses Need to Be Managed?
The scope of TEM includes all kinds of technology-related expenditures by companies. Here are some most frequently used subcategories we cover:
- Mobile devices and plans for service
- Cloud storage and computing services
- Software licenses
- IT Hardware (computers/servers)
- Telecom services (POTS, data, mobile devices, VoIP)
How Can TEM Help My Company?
Technology expense management can benefit your business:
- Reduce total invoices
- Correct billing errors and identify them
- Contract terms must be enforced
- Find tech savings
- Technology upgrades
- Try to negotiate better terms
- Improve visibility
Reduce Total Technology Invoices
Our TEM specialists delve deep into your invoices for every vendor to discover savings opportunities that are not obvious to you. They spot and correct billing mistakes, enforce contract terms, and recover overcharges and ensure that you are getting your bills correctly.
Working on behalf of one client, which is a large supermarket chain, we cut the total amount of invoices they received between 457 and 34.
Identify and Correct Billing Errors
Our expert team reviews every line item on your invoices in order to detect any billing mistakes. We find overcharges, inaccurate rates, or other errors that can increase your expenses. After we have identified the issue We work to have the errors fixed and pay back the overcharges, placing the money back into your pocket.
Enforce Contract Terms
Vendors aren’t always following the guidelines they signed up to. Our experts ensure that your vendors adhere to the contract terms you’ve agreed to. In the event that the vendor has “forgotten” to apply promised discounts or prices we’ll find it. We enforce the contracted rates and discounts, and then take back any amount you paid in excess.
Identify Tech Savings
We carefully analyze your technology stack to pinpoint areas of redundancy—services or systems you’re paying for that overlap or duplicate functionality you already have covered. Our specialists also keep an eye out for alternatives that are more affordable which can be used to replace your existing technology with a lower cost without sacrificing functionality. We look for redundancies and aid you upgrade to more affordable options.
Upgrade Technology
Old technology could cost you a significant amount of dollars. We can help you identify instances that you’re paying too much for older solutions or services. There could be better and more efficient options that offer better performance and capabilities at the same amount you’re paying currently, or perhaps less. Our experts point out the best possibilities to upgrade to most advanced technology while also decreasing your expenses.
Negotiate Better Terms
Vendors may have the ability to negotiate better prices and conditions, but they don’t offer discounts. Our experts will review contract and service agreements to find possibilities to negotiate for better rates.
We’ll identify areas in which you can leverage to negotiate an improved bargain. We’ll engage on your behalf to negotiate the best contract terms.
Increase Visibility
A reputable TEM provider will provide you with detailed reporting and analytics that reveal exactly what services you’ve got and what you’re paying to get them and how the costs are divided. By analyzing this data it is easy to identify areas that could be saved or for efficiency.
We highlight any excessive spending or unutilized services, and then highlight ways to allocate that money more efficiently. This transparency allows you to make educated decisions that align your investments in technology with the business goals.
Different Types of Technology Expense Management
TEM solutions tackle various aspects of an organization’s technology expenditure. Each kind of TEM is focused on a specific area and the best solution can help you to manage and maximize your technology expenditures. Let’s look at the most common kinds of TEM and the ways they could help your company.
The reason Technology Expense Management is much more than merely saving money
Summary
The article we’ll explain the ways in which Technology Expense Management (TEM) has changed over time to include a greater variety of IT services. TEM is a centralized platform for managing IT assets, monitors utilization, monitors costs and also manages contracts with vendors. These functions offer much more than financial monitoring.
Although TEM is well-known for its cost-saving and benefits for budget management This article focuses on its benefits that are often not considered. These benefits include:
• Increasing efficiency of operations by automatizing routine tasks
Real-time access to databases of assets to make quicker decisions
Centralizing order management in order to improve the efficiency of procurement processes
* Strengthening service-level agreements (SLAs) by reviewing the performance of vendors
Protecting yourself from risks by using advanced security features and unifying endpoint management.
• Tracking the carbon footprints of IT assets
* Promoting practices that are energy efficient
* Promoting responsibly disposed of electronic waste
The article concludes by reminding that although TEM is more than just cost optimization, its capacity to cut down time, decrease risk, and assist in strategic decision-making directly impacts the overall performance, making it a valuable instrument for managing the workplace digitally.
What exactly is Technology Expense Management known for?
Companies that are sourcing Technology Expense Management solutions mainly seek to reduce their IT expenditures They seek help with contract negotiations with their vendors. They also want to reduce costs by removing any obsolete or unneeded assets, be it subscriptions or equipment.
Benefits of Technology Expense Management
Optimization of IT spending:
- Economic Savings TEM can provide significant cost savings for cloud, mobile fixed/telecom and mobile services by finding the inefficiencies and removing them.
- Resource Optimization: Find and eliminate or redistribute under-used or inactive devices, services and plans.
- Invoice Auditing: Automated auditing of invoices using adjustable audit rules that ensure accuracy in billing and reveals opportunities for savings.
Intensifying IT process and processes in Finance:
- Data-Driven Decision-Making: The latest data analytics turn huge datasets into actionable insights to make strategic decisions.
- Governance and Investment Review Integration of digital investment reviews and governance across the enterprise to oversee digital business performance more effectively.
- Simple Processes: Speed up the fulfillment of orders, auditing, managing assets, and the payments, increasing efficiency while freeing up precious resources.
Technology Expense Management: Tips, Tools, and Best Practices
As companies grow the management of expenses gets more complex, especially when managing technology costs.
From software licenses and subscriptions to the cost of hardware and cloud-based services, keeping track of each expense can be like navigating through a maze with no ending in sight.
This is where the technology cost management system comes into play. It assists businesses in tracking, managing, and maximizing technology-related costs in a timely, precise, reliable, and compliant way.
This guide will cover everything you should know about managing your technology expenses, starting with the basics and ending with the most recent technology that will save you time and money.
What is it Important to Manage Technology Expenses?
The ability to manage technology expenses efficiently provides several benefits.
- Efficiency and Cost Savings: Streamlining the management of tech expenses can help identify areas where expenses could be reduced, ultimately increasing the profitability of a company.
- Increased Compliance as well as Security Handling costs in accordance with company policies and regulations can help protect information, minimize risks and help avoid fines for compliance.
- Better Decision Making: TEM offers financial visibility to help executives make informed decisions that are in line with the company’s priorities and expansion.
