Resilience - Telecommunications
Telecom companies that are adept at enhancing value for customers , executing agile digital transformation and creating new revenue streams will be well positioned for future success. The question becomes, how do you transform yourself to create the foundation for such a future?
The answer lies in creating business strategies that emphasize resilience. This may include optimizing the supply chain and strengthening the capital structure to become more agile, and self-sufficient. Furthermore, strategic M&A and internal shifts to support accelerated digital transformation may be required. Building out a resilient, future-oriented business model based upon such actions will be critical to support long-term growth.
Such initiatives will also bolster telcom resilience in the face of increasing competition from non-traditional telecoms services-providers, technology companies’ OTT services, as well as from reduced returns on investment for some network infrastructure projects.
The good news is that telecoms’ services are likely going to be in higher demand than ever before. New technologies and customer preferences, such as the Internet of Things, increased telework, telemedicine and media streaming all lead to a need for strengthening network capacity. Furthermore, the rise of mobile work, wireless connectivity and new media platforms are all driving change and creating new business opportunities that will benefit significantly from the rollout of 5G networks.
Increased industry consolidation and the convergence of telecommunications, media and technology are levelling the playing field, and necessitating strategic adjustments beyond the traditional telcoms boundaries. Funding for strategic growth will be critical for moving into areas dominated by media and technology to diversify and solidify revenue streams. At the same time, increased regulatory pressure, including data protection initiatives, and meeting expectations amongst stakeholders lead to requirements for new initiatives as well as increased agility and cost-efficiency.