Technology Expense Management

TEM once stood for “telecom expense management” or “telecommunications expense management,” but has evolved to “technology expense management.” Originally focused on managing telecom spending, TEM has expanded its scope to encompass a broader range of technology expenses.

Today’s TEM covers many technology-related costs, including software licensing, cloud services, hardware procurement, IoT devices, and more—in addition to traditional telecom services. 

Several trends and new technologies drove the transition from “telecom” to “tech” in TEM.

• Unified communications: the integration of various communication tools—voice, video, messaging, and collaboration platforms—blurred the lines between telecom and technology.  
• Digital transformation: as organizations increasingly adopted digital solutions to improve operations and customer experiences, technology expenses became more diverse and complex.
• Cloud computing: the rise of cloud-based services and infrastructure led to new cost models and billing structures, prompting a shift from solely managing telecom expenses to a more inclusive scope.
• Internet of Things (IoT): the proliferation of IoT devices and interconnected systems has driven increasing complexity in technology expenses.

In response to these trends and emerging technologies, TEM has broadened from “telecom expense management” to “technology expense management,” providing organizations with a comprehensive solution for optimizing and managing their ever-evolving technology costs.

From telecom infrastructure to cybersecurity to IT to inventory, Symplicity excels at optimizing ALL your technology expenses. Talk to us today to learn how we can help.

IT financial management (ITFM) focuses on optimizing and managing the costs associated with an organization’s IT infrastructure, services, and assets. 

ITFM is a subset of TEM dealing specifically with financial aspects of IT-related expenses, while TEM encompasses a broader range of technology-related optimizations, including procurement, usage, and lifecycle management.

If you’re trying to get a handle on your IT expenses, here’s how we can help.

• IT cost optimization: identifying areas of potential savings, such as underutilized assets, overlapping services, and renegotiation opportunities.
• Budgeting and forecasting: providing accurate forecasts and budget projections based on historical data and anticipated future needs.
• Vendor management: streamlining vendor relationships, negotiating favorable terms and conditions, and ensuring accurate billing and timely payments.
• Asset lifecycle management: ensuring the efficient procurement, deployment, maintenance, and disposal of IT assets to maximize ROI and reduce unnecessary costs.
• Invoice management: reviewing and reconciling invoices, identifying billing errors, and recovering overcharge credits.
• Unified expense management: centralizing the tracking and analysis of IT costs across various categories, such as hardware, software, services, and telecom.
• Reporting and analytics: delivering customized reports and actionable insights to help make informed decisions about IT investments and resource allocation.

Enterprise technology expenses have grown increasingly diverse and complex as organizations continue to embrace digital transformation. Some of the most common and largest enterprise technology expenses include:

• Software licenses and subscriptions: Software-as-a-service (SaaS) solutions and other software licenses are major expenses for enterprises, spanning multiple departments and functions. These include CRM, ERP, productivity, HR, inventory, accounting, and cybersecurity solutions. 
• Cloud services: as organizations migrate to cloud-based infrastructure and platforms, expenses related to infrastructure-as-a-service (IaaS), platform-as-a-service (PaaS), and managed services become significant components of overall technology spending. Cloud expense management is becoming increasingly critical.
• Hardware procurement: Purchasing, upgrading, and maintaining IT hardware—servers, storage systems, networking equipment, computers, and mobile devices—are sizable expenses for enterprises. 
• Connectivity and telecom: expenses related to voice and data, as well as internet services, are significant. These include fixed-line and mobile communications, broadband, leased lines, and SIP trunking.
• Data centers: building, operating, and maintaining on-premises data centers involve significant capital and operational expenditures, including energy consumption, cooling, and facility management. Some companies turn to colocation services to offload the complexity, but colocation is still a line item in a company’s expense report.
• Cybersecurity: as cyber threats become more sophisticated, enterprises invest heavily in cybersecurity solutions and services to protect their valuable data and infrastructure, including firewalls, antivirus software, intrusion detection systems, and managed security services.
• Unified communications: integrating voice, video, messaging, and collaboration tools contributes to technology expenses. Some companies turn to unified communications as a service (UCaaS) solutions.
• Internet of Things (IoT): the deployment and management of IoT devices and networks in areas such as smart buildings, industrial automation, and logistics generate additional technology costs related to hardware, software, connectivity, and security.
• IT support and services: enterprises invest in internal IT teams or outsource to managed IT service providers to maintain and optimize their technology infrastructure, resulting in expenses related to staffing, training, and professional services.
• Enterprise mobility: with the increasing adoption of mobile devices in the workplace, organizations invest in mobile device management (MDM) and unified endpoint management (UEM) solutions to secure, monitor, and manage these devices. We can help you centralize and manage your mobile expenses.
• Network control: enterprises allocate resources to network management and control solutions, ensuring reliable connectivity, security, and performance optimization across their IT infrastructure.

The best technology expense management company is the one that meets the following parameters:

1. Has deep expertise in your industry
2. Gets deep into your invoices and contracts, rather than relying on a one-size-fits-all approach (such as a software solution)
3. Has a track record of producing results such as reduced total invoices, cost savings, and optimization of tech and telecom infrastructure
4. Has people who are approachable, supportive, and easy to talk to
5. Gives you the personalized support and availability you need

Enterprise Mobility Management (EMM) is a comprehensive approach to securing and managing mobile devices, applications, and data used by employees within an organization. EMM typically involves a combination of technology, policies, and processes designed to protect sensitive corporate information while enabling employees to work efficiently and effectively using mobile devices and applications.

Key components of EMM include:

1. Mobile device management (MDM): MDM involves managing, monitoring, and securing mobile devices like smartphones, tablets, and laptops across various operating systems and platforms.
2. Mobile application management (MAM): MAM focuses on the delivery, updating, and management of mobile applications used by employees. This includes controlling access to specific apps and ensuring that corporate data is protected within them.
3. Mobile content management (MCM): MCM deals with the secure distribution, storage, and management of corporate data and documents on mobile devices, ensuring that sensitive information is encrypted and only accessible to authorized users.
4. Identity and access management (IAM): IAM involves the authentication and authorization of users, granting them access to specific applications and data based on their roles and responsibilities within the organization.

EMM helps organizations maintain control over their mobile ecosystem while supporting employee productivity, collaboration, and flexibility.

Some popular technology expense management software options include Tangoe, Calero-MDSL, and Cimpl. Symplicity can help you assess each software solution based on your organization’s needs and objectives.

The Enterprise Technology Management Association (ETMA) is a professional association dedicated to promoting the value of technology and telecom management solutions, fostering industry best practices, and driving growth and innovation within the industry.

The Gartner Expense Management Magic Quadrant is a research report that evaluates and compares technology expense management (TEM) solution providers based on their completeness of vision and ability to execute. It helps organizations make informed decisions when selecting a TEM provider by categorizing vendors into four quadrants: Leaders, Challengers, Visionaries, and Niche Players.

Management of Things (MoT) is an approach that focuses on the efficient and effective management of various connected devices, systems, and processes within the Internet of Things (IoT) ecosystem. MoT aims to optimize the operation, maintenance, and overall performance of IoT devices while ensuring security, scalability, and cost-efficiency.

Technology expense management solutions enhance communications lifecycle management by streamlining inventory management, change control, procurement, and fulfillment. Our TEM solutions help validate and optimize expenses, manage usage and chargebacks, allocate costs, and facilitate bill payments.

Expense management systems provide an organized approach to managing technology expenses, including usage management, cost allocation, and validation. They ensure efficient inventory management and change control, resulting in better optimization of technology resources.

Technology expense management companies such as Symplicity offer specialized expertise in implementing TEM software and managing technology expenses. 

We support enterprises in optimizing costs, enhancing mobile management, and ensuring efficient technology management.

We dive deep into your invoices and do what’s best for your company, working as an extension of your team.

Managed mobility solutions provide a centralized approach to controlling wireless voice and data expenses, ensuring better control over usage, cost allocation, and bill payments. They support improved mobile management, helping organizations optimize their wireless resources.

Technology expense management solutions enable organizations to track and monitor usage across various services. This data-driven approach allows for accurate cost allocation, holds vendors accountable, and promotes responsible usage of resources.