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Managed Services Providers need to rethink their relationship with Communication Service Providers to deliver true business value

Tecnotree Corporation
Press Release
22 February, 2013 at 8.15 am CET 

Barcelona, Spain – Telecom IT solutions provider Tecnotree today released a whitepaper outlining competitive advantages of the new Managed Services delivery model for the Communication Service Providers.

The new Managed Services refers to the practice of outsourcing day-to-day IT management responsibilities of mission critical Business Support Systems to a service provider. The model introduces a completely new mindset for the relationship between CSPs and Managed Services Providers. The focus shifts from value added to creating true business value. The business model changes from a fixed transaction to one based on business volume and performance. In addition, the various forms of cloud computing offer new opportunities for acquiring BSS services.

Many will rush to claim to provide Managed Services, but only few can really complete the evolution with the right mind-set, organisational competences and compensation model. Tecnotree’s whitepaper outlines some of the key aspects that need to change for MSPs to provide true value for the CSPs.

First and foremost, to achieve a successful long-term partnership, CSPs need to share their vision, mission and business objectives with their MSPs to ensure those are internalised by all team members and aligned accordingly. Second, the MSPs need to shift focus from value added to genuine value creation, from features to value. Finally, the whitepaper recommends MSP vendors to share the risks and rewards of its customer success through performance-based pay-as-you-go business models whereby success is measured in concrete, tangible indicators like revenue, number of subscribers or operational efficiency.

“We firmly believe that the only way to formulate a true performance partnership is to tie the compensation model to the business success of the CSP partner and to the quality of service provided by the MSP,” says Ilkka Aura, Chief Commercial Officer, Tecnotree.

To get the full text of the whitepaper with more recommendations go to http://www.tecnotree.com/Whitepapers. Paper copies are also available at the Tecnotree stand 7G50, Hall 7, at Mobile World Congress in Barcelona, Feb 25 – 28, 2013.

Further Information
Helen Gough / Anne-Marie Lavelle at Liberty Communications: tel. +44 (0) 207 751 4444, tecnotree@libertycomms.com

Distribution
NASDAQ OMX Helsinki Ltd
Main Media
www.tecnotree.com

About Tecnotree
Tecnotree is a global provider of telecom IT solutions for the management of products, customers and revenue. Tecnotree helps communications service providers to transform their business towards a marketplace of digital services. Tecnotree empowers service providers to monetise on service bundles, provide personalised user experiences and augment value throughout the customer lifecycle. With over 1100 telecom experts, Tecnotree serves more than 100 service providers in over 70 countries. Tecnotree is listed on the main list of NASDAQ OMX Helsinki with the trading code TEM1V. For more information on Tecnotree, please visit  http://www.tecnotree.com