| Telecom Expense Management (TEM) refers to a | | | | comes when the telecom expenses for the |
| business practice in which a company tries to reduce | | | | companies who have not updated their contracts are |
| the amount it spends on telecommunication services. | | | | a lot higher than comparative companies. The |
| Telecommunication services include landline and cellular | | | | companies then decide to bring efficiency in their |
| phones, data such as internet as well as wireless | | | | spending on telecom and use some form of |
| systems, such as two--way radios. Expenditure on | | | | Telecommunications Expense Management. |
| these services varies from company to company with | | | | Companies may carry out Telecom Expense |
| some companies spending far more on them than | | | | Management internally with company employees using |
| other comparable companies. | | | | several methods to reduce telecom bills such as |
| Some companies stick to their old previous telecom | | | | detailed monitoring of the telecom invoice to check for |
| service providers and seldom look for renegotiation of | | | | any fraud. This approach is taken by several small |
| contracts. This means that, in light with newer | | | | businesses. The approach taken by larger business |
| competition and more innovative and latest technology, | | | | includes the hiring of an external Telecom Expense |
| the costs of providing services decreases for the | | | | Management firm which independently works to |
| telecom providers. They may pass on these benefits | | | | reduce bills by using several methods such as |
| to new customers and old customers renegotiating | | | | negotiating contacts with the other telecom service |
| their contracts but those companies who keep paying | | | | providers who are willing to provide services at a |
| the original rate just because of their fear to change | | | | much lower cost than the current service provider. |
| will lose quite a lot over a long period of time. A time | | | | |