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Operators have valuable assets and also working with various partners but to turn their assets and partners assets into real goods to bring revenue from new untapped domains, they need to undergo a digital successful transformation. It can be achieved by exposing capabilities into abstract forms, use these capabilities into micro-services open framework to align with business processes to turn into real products by digital production. The strategy has been successful with operators such as China Unicom and China Mobile.
Reinventing telcos in the digital industry
As digital services are developing rapidly and traditional CT market dries up. To ensure the revenue growth, digital transformation is required urgently. Most of the operators have already invested to start working with various partners to leverage the core potential, but still not clear about the next steps. Operators are in dilemma and looking for right answers that how to attract right partners who can turn these assets into products to make them valuable.
Huawei understanding is that operators need to monetize new open digital ecosystems with Real time, Open, All online, DIY, and Social (ROADS) service experience through digital production. Some operators have already enlightened the industry with their actions proven to be a right step for next Digital transformation.
Necessary pillars for digital foundation
Huawei works closely with operators to address the critical lack of engagement and to put up the set of strategies to help operators accelerate business transformation. It has deep understanding of the underlying trends and opportunities that have enabled this market success helping operators grow and prosper. Currently operators have valuable assets, that can be monetized either self or enable system to partners for producing digital goods, for telco customers through service and business orchestration. Below are the necessary pillars to turn ideas into reality:-
Digital enablement: Capabilities
Operators need to foster an open enterprising corporate culture to recruit, adopt and cooperate with collaborators (Enterprise, DSV) from different industries in order to enrich their own portfolio innovation and offerings with in-House, inbound, outbound, Co-chair business. Operators can unlock significant value by moving from closed environment to open environment by opening in standard protocols and aggregating digital assets including capabilities, business management system capabilities, big data, payment, customer data, advertising etc . To make these capabilities easily understandable by 3rd parties, they need to build these capabilities at atomic and molecular level so that partners can mash up these capabilities for their specific requirements.
Digital orchestration: Service
Digital orchestration is an approach to set up open flexible framework to substantiate service and business orchestration with predefined customizable business workflows incorporated with SAP, Microsoft etc. Partners can design logical workflows based on these molecular and atomic pre-designed micro-services with building-block web services contributed using suitable business process on an end-to-end basis. They can easily change the general framework settings suiting to their requirements. Further, Operators can provide internet tools, cloud based development and testing. Example: They can integrate new corporate IM to extend the scope of messaging covered by one API and their own modules for data security, or they can integrate with multiple payment options beyond operator billing to build any solutions/services
Digital production: Products
Digital products are getting involved fundamentally across multiple parties assembled in cross-vertical collaborations through ROADS service experience. Digital production helps to accelerate the massive production of goods by embedding capabilities and customizable process management to enriched ICT+ products across multiple domains across business, industry, family businesses for its partners. They can offer the optimum environment and digital ICT+ products to enable, adopt and attract different digital players for development, deployment and maintenance. They can also provide online internetized converged operations and portals to extend further boost sales through internet ecommerce like channels.
Accomplish benefits with digital pillars
By establish the foundation for digital transformation, Operators can turn assets and partner ideas into real goods. It can fasten the revenue growth and TTM with production for massive services to meet different demands and achieve revenue beyond traditional business to tap into the new domains. Let’s see how some operators have achieved success:
Success to digital journey: Embracing Emerging enterprise domain
Operators have taken further step to enhance the digital transformation. It allows operators to offer enterprise business to quickly and effectively by DIY method, run the business, and manage ICT resources through automated digital operations.
Shanghai Unicom: with its WO+ program i.e. capability exposure strategy focusing on monetizing the digital assets enabling launch of innovative partners-services including internet, OTTs apps etc. in order to construct a digital service ecosystem. They fasten digital production of B2B/B2C products by partners to make use of exposed core capabilities to support the industry products but not limited to Big Data, M2M and Enterprise B2B Market available also on e-commerce like channels. Shanghai Unicom has achieved 22 categories of industrial applications, including vehicle networking, banking, logistics industry revenue accounted for more than 50% B2B business.
Automobile domains: Operators provide their SIM, billing, traffic , location capabilities ( Sim card query, session query, SMS consumption, SMS bill, service change) at atomic levels so that automobile partners can embed various APIs and SDKs in their devices to align business process to bring products such as telemetric in-vehicle information service system (fault monitoring, locating, entertainment, internet surfing and communication ) , insurance based on actual practices and tracking of stolen vehicles.
China Mobile MIGU: China Mobile transforming as Digital Service Providers (internet players) to build their own ecosystem by offering partners an unified and single-source architecture to provide necessary resources and support their management, monitoring, analysis etc. on internet in all fields deepening smart operation transformation
E-reading: CMCC opened its closed management capabilities such as portal creation, content management, product, promotion etc. with flexible options so that any user can be an author and publish his content to make it available for the right readers into different products such as magazine, blogs, etc.
In conclusion: Operators have the core potential of adding value to any digital product. The operators can achieve successful digital transformation by building an open ecosystem that can attract partners to transform these resources into digital goods by means of digital production.
For more information, visit www.huawei.com