Experience Centric Managed Services puts the user in focus

February 13, 2013, 12:10 (CET)

• Ericsson unveils its new Experience Centric Managed Services model with an increased focus on the user experience 

• Model aligns the management and operation of the network and IT environment to consumers' expectations and operators' business objectives 

• Creates opportunities for business differentiation, specialization and innovation 

As a result of the rapid development of data services and the proliferation of smartphones and other mobile devices, consumers take connectivity for granted and tolerance for service disruptions or dropped calls is very low. If users aren't happy with their operator's services, they have an abundance of other brands, products and services to choose from. To reflect operators' increased focus on their users, Ericsson (NASDAQ: ERIC) today announces the launch of Experience Centric Managed Services.

Traditionally, the aim of managed services is to create cost efficiencies, reduce the complexity of network operations, and manage network quality. These goals are then tracked and measured through a number of pre-set technical key performance indicators (KPIs). The relationship between vendor and operator is a typical seller/buyer one and a fixed price model is used.

By contrast, the new Experience Centric Managed Services model is designed to meet operators' evolving expectations for managed services, especially when it comes to ensuring customer satisfaction. Success is measured with the help of service- and customer experience KPIs in addition to technical KPIs. Examples of service- and customer experience KPIs include service availability, service accessibility, time for service activation and service response time.

Since Experience Centric Managed Services helps service providers improve agility and speed, it enables them to free up resources and increase their focus on specialization and innovation - to the benefit of the user experience and customer relationship.

Valter D'Avino, Head of Managed Services, Ericsson: "In the past, the main reason for an operator to sign a managed services agreement was to reduce costs. Now, Experience Centric Managed Services has the ability to play a vital role in operators' strategies by helping them to grasp new opportunities, re-evaluate their position in the market and ensure that consumer expectations are met."

The offering also creates value by supporting a people and culture strategy that fosters closer cooperation, proactivity and innovation. Experience Centric Managed Services is a partnership between vendor and operator that aligns both parties' business objectives with a risk/reward pricing model. In addition, it offers a holistic approach to managed services, covering both the network and the IT environment.

The two pillars of Experience Centric Managed Services are the customer experience and the managed services experience. The first consists of KPIs, user service assurance and best-in-class tools for tracking and measuring. The second consists of a joint strategic framework that aligns strategic choices and priorities through shared business scorecards, a value assurance component that measures, tracks and ensures the creation of business benefits over the life cycle of the engagement, and a business innovation component that unlocks value for business benefits.

During Mobile World Congress 2013 in Barcelona, Ericsson showcases its combined technology and services leadership for the Information and Communications Technology industry. Our solutions deliver superior network performance in the field, enable complete customer experience management, simplify and automate operations workflows thereby leading to operational excellence. We show how the Networked Society comes to life - what it will mean for the industry and how it will enable our customers to capture growth opportunities.

NOTES TO EDITORS

Ericsson ConsumerLab report: Smartphone usage experience

Download high-resolution photos and broadcast-quality video at www.ericsson.com/press

Ericsson is the world's leading provider of communications technology and services. We are enabling the Networked Society with efficient real-time solutions that allow us all to study, work and live our lives more freely, in sustainable societies around the world.

Our offering comprises services, software and infrastructure within Information and Communications Technology for telecom operators and other industries. Today more than 40 percent of the world's mobile traffic goes through Ericsson networks and we support customers' networks servicing more than 2.5 billion subscribers. 

We operate in 180 countries and employ more than 100,000 people. Founded in 1876, Ericsson is headquartered in Stockholm, Sweden. In 2011 the company's net sales were SEK 226.9 billion (USD 35.0 billion). Ericsson is listed on NASDAQ OMX, Stockholm and NASDAQ, New York stock exchanges.