At Valicom we have found that one of the best ways to reduce telecom expenses is by going out to Request For Proposal (RFP) for inactive or soon to be inactive contracts. Even if a Client doesn’t want to change Carriers, they may be surprised to find changes other Carriers have made since they last looked into their services. These could be changes in service, pricing, equipment and more.
Are you ready to negotiate a new contract? Sending the RFP out and waiting for the replies are the easy parts. Writing the RFP and compiling the information are another story. You may be asking yourself a few questions before you get started. How do I know what questions to ask? How do I compile the loads of information I get back from each Carrier? And most importantly, how do I know I am making the best business decision?
Our answers to those questions are to create a decision matrix. Start with criteria which will help make a decision that is right for the needs of your company. For example, if you are sending an RFP for cellular services a few items that may be important to your business are service, contract terms and pricing. Now that you have the main items of importance listed, break them out further. If your Company does business internationally, you may want to add domestic and international coverage under the service category. Once the detailed criteria has been laid out, you will want to give each item a percentage of importance. Not only will this information help you develop your list of questions, it will also help you grade each Carrier. While you are compiling each carrier’s response you can then look for the specified criteria and grade each response accordingly. Add up the grades to see which Carriers best fits your needs.
For your no-charge Decision Matrix template, contact us at Valicom as the first step in reducing business expenses through effective contract negotiation.