In this interview Mike Kelly expressed his personal view concerning the vision of a future telco, the role of governance, standards and Business Process Management. Additionally he draws on to scatch the challenges of implementation of a future business structure. The opinions from Mike Kelly mentioned in this interview are not meant as a representation of TM Forum policy.

DMR: Can you describe the vision of a future telecomunication company regarding products, structure, processes and IT?

M. Kelly: I guess my initial reaction is: Will there be such a thing as a telecommunications company in the future? Existing companies are being stretched on so many fronts, with the current economic situation and ongoing rapid introduction of new technology and services, and the pressure to explore and prove new business models in order to remain viable as traditional telephony evaporates as a revenue generator. The value chain, or value net now, is growing ever more complex and many companies are adopting niche positions or supporting islands of ­activity with outsourcing, insourcing and partnerships filling in the gaps. The strangest positions are emerging – I heard that in the UK, BT is now offering fleet management services to the ­Automobile Association because it has past expertise with its owns vans and trucks! This is not a “telecommunications” company as we knew it in the past.

I think the value chain evolution is probably the key shift here. Companies are becoming very focused, tactically and strategically, and are also having to be more responsive to the rapid market and the business changes, so that they are looking much more amorphous and even opportunistic in their activities. Drawing boundaries around such companies, and even the industry, is becoming less and less easy, so a future telecommunications company will probably look as if it is in several different businesses, and only part of it will look like telecommunications.

Within TM Forum, we are seeing these changes in terms of our membership and its expanding and evolving focus, and are addressing many areas once “out of scope”.

DMR: How would you describe the role of governance within a future telecommunication company?

M. Kelly: Following on from 1 above, a sense of direction, even if this keeps shifting with the fluidity of the business environment, becomes very important to avoid the company and its people losing their way. There must be a clear lead from senior management on the scope and strategy, as well as the day to day behaviours, and also a steer on the mechanisms used to progress and promote the business. Again, on the value chain issue, this suggests the importance of a trading model internally, and of course externally, with a clear view of supply arrangements, commitments and quality metrics, etc. This needs to flow in both directions, I suggest, with the top-down view taking into account a bottom-up inclusion and buy-in from those involved. I have observed in my own work on process modelling, how important it is within enterprises that process improvements work best when there is that combination of top-down leadership for the area concerned, but also the willing and enthusiastic support of all those involved from the ground up.