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SAP CRM @ NCN

Case Study

Mikhail Berman

CIO

National Cable Networks

Dmitry Sidnev

CEO

Masterdata, NCN

Implementation partner

1What Well Cover

SAP CRM 2007 Telecommunications at NCN: Overview

Solution at a glance

Results, lessons learned, and roadmap

Wrap-up

2About NCN

One of the leading cable operators in Russia

Serving 5 million households

Represented in 6 regions of Russia

3000 employees

Consists of 7 acquired companies

Revenue RUR 6bn (EUR 230mln) in 2009

Innovation leader

3-play: Internet / Digital TV / VoIP

Value Added Services (VOD, etc.)

3-play: Internet / Digital TV / VoIP

4Business And Technical Context

Large installed base in transition to new technologies

NCN is serving over 5m analogue cable TV subscribers

Rapid growth of digital subscribers base (over 0.5m)

Rapid growth

Adding more than 15.000 new subscribers a month

Continuous innovation

Releasing new complex products or opening new markets

almost every month

Fragmented IT Landscape

Various customer management, billing, activation and

infrastructure management systems

Different IT systems in different business units

5Challenges And Drivers For Selection of SAP CRM Telco

Business challenges

Lack of 360-degree customer data

Inconsistent client information across several systems

Need to launch and manage complex products and bundles

High volume of new orders; need for deeper order analytics

Lack of customer interaction and order history

IT challenges

Rapid addition of new products and product bundles

Multiple order management & order fulfillments systems

Agility of legacy IT systems not sufficient to support

evolving business processes

62009 Gartner & 1to1 Customer Award Winners

The new system has helped service agents and salespeople deliver a consistent

customer experience. As a result, conversions have gone up 12 percent, customer

satisfaction has increased 27 percent, and churn is down 11 percent. "Thanks to the

success, we'll be expanding functionally and geographically," Berman says. "We're

very pleased with the metrics we've improved, especially with customer

satisfaction."

7What Well Cover

SAP CRM 2007 Telecommunications at NCN: Overview

Solution at a glance

Results, lessons learned, and roadmap

Wrap-up

Project Scope current status

Business Partner and Business Agreement (B2C and B2B)

Product configuration and packaging

Address base, connection possibility check

Processes

Initial connection order

Change processes, connection lock/unlock

Trouble ticketing

Customer information service and financial customer care

Delayed connection order / change order

Customer claims

Autogeneration of tasks and activities

Integration with billing and activation systems

Interaction Center (telephony, e-mail), integration with Avaya

Reporting

Customer self-service portal

Additional functions

Customer Identification

Full customer overview in CIC address, billing information,

orders, contracts, tasks, trouble

tickets. Access to Knowledge

Base and reporting

Connection availability check

Connection availability is

integrated to network inventory

system

Financial and Technical Information

Comprehensive history of the

contract, change of statuses,

available services, rate plans,

technical summary of the

connection, all rating and billing

parameters.

Customer Interaction History

Full customer interaction history

with detailed information about

the contact reasons

(commercial, service, other) and

follow-up actions

Customer Order with Product Configuration

Dynamic multi-level product

configuration

Order with Dependent Components

Customer order with

interdependent components.

Technical checks and planned

delivery dates are retrieved from

external systems.

Order services with Technical data

Technical data can be maintained

separately for different services

Order and contract print forms

Service Activation

17

Order Management Workflow

ProductActivation

Service Activation

Technical Workflowmicro-flows

1

1.1

1.2 2 3 4

Order Management Layer

Provisioning Layer

Back-EndSystem A

Back-EndQuative

Back-EndASRZ

Back-EndActivation

Capture

Order

Process

Order

Execute

Order

FulfillmentService Activation,Billing Activation,

Logistics

Order Processingand Monitoring

OrderCapturing

Product CatalogManagement

SAP CRM

SAP XI

Service Activation Document Flow

Document Flow: New Connection

Quative SDPCRM ACRZ ONYMAXI

1

2

3

Create Provider

Contract

XML Provider

Order Received

Request address

from database Return address

from database

Create Overlay

Request

(position 30 IPTV)

Request ID

STB Activation

Create Customer

Account

Create Customer

Account (Contract)

Account Number

(Contract)

s/n STB

MAC Adress

S/n Smart Card

Refresh BUAG

Overlay Request

ID

Product Features

Create Account

ID, assign

subscrip.profile

Link STB to

account

Transfer Request

ID to CRM

Create Channel

Request

(position 10 )

Update item in

Provider Contract

Tariff ID (Varcond)

Overlay Request

Status

Provider Contract

Activation

Create Contract,

Activate Line

Confirmation of all

positions of the

Provider Order

Tariff ID (Varcond)

s/n STB

MAC Adress

S/n Smart Card

Update item in

Provider Contract

Contract Management and Order Status Control

Customer order management,

tracking and analysis of service

activation workflow statuses

Auto-generation of tasks with

task statuses. Link to workflow.

Task Auto-generation

Internet customer self-service

Account information

Service management

Check bills and statistics

Turbo buttonParent control

Order maximum speed for some

period

Checks account and available

money

Turbo button in Internet self-service

Turbo button in Customer care frontend

B2B

Agent works with the same

screen but in another role

All organization specifics

Multiple addresses, account etc.

Special services like VPN

SLA control

Other features

Marketing campaigns

SMS information

Modem ping

Switch restart

CRM Online reporting list of reports

CRM Online reporting daily report

CRM Online reporting new connections

CRM Online reporting service requests

30

What Well Cover

SAP CRM 2007 Telecommunications at NCN: Overview

Solution at a glance

Results, lessons learned, and roadmap

Wrap-up

The First Live CRM2007 Telco Project

Sep 07 Jan 08: SAP CRM 5.0 implementation

Need for extended scope was identified:

Telco Order and Contract management

Complex Telco Products : packages and configurable products & services

Feb 08: Joined the ramp-up of CRM2007 Telco order management

Mar Aug 08: Introduced new functionality

SAP NetWeaver PI (XI)

Core SAP CRM 2007 Telco scenarios

Integration with billing, provisioning & activation systems

Sep 08: Go-Live with Internet Service product

Since that:

Roll-out of new products support

New business processes (like WFM, B2B, new campaigns etc.)

Geographical rollout31

Project Stats

9 month project

700 man-days consulting

60 production users

50 call-center agents

10 back-office users

15,000 orders a month

One system for ALL customer-relation information and order

management

32

Lessons Learned

It DOES work ;)

As one the first CRM2007 Telco customers we worried that it would

be far from being ready, but it proved to be the most mature solution

in our IT landscape

We found most of the required processes and objects out of the box

All identified gaps were covered with minor custom development

Agile and flexible to integrate with other systems

System architecture allowed for extension of the business logics

where needed

SOA and use of PI enabled integration with most of legacy systems

UI integration enabled integration with UI of legacy systems in the

CRM front-end

Lessons Learned (cont.)

Integration is not about IT only !

While integrating systems you have to deal with misalignment

of people, processes and organizational units Integration is a major business engineering and coordination effort

Need a VERY strong program management to ensure

participation from the part of vendors/experts of integrating

systems and process owners within your organization

Strong PI development team is extremely critical

BONUS: A well implemented PI can be used outside of SAP

landscape

Contact center is the Primary Customer

CRM accelerated execution of ALL customer-related processes

enabling rapid growth of customer transactions and service

requests without overload or additional human resources

What Custom Development Did We Do?

Integration with Moscow specific address base

Telecom-specific scenarios for promo actions

Enhancement of status management (intermediate status update during activation process)

Customer specific internet self-service (based on CRM SOA services)

CRM Web UI enhancements

CRM Online reporting

Roadmap for This Year

B2B Telco order management

Enhanced VoIP service platform integration (for VAS)

CRM Service order management

Workforce management

Dealer portal

Automated Change process

Additional integration processes

Reporting

Customer Loyalty Management

Marketing Campaigns Management

Upgrade to CRM 7.0

Corporate SAP BI

36

37

What Well Cover

SAP CRM 2007 Telecommunications at NCN: Overview

Solution at a glance

Results, lessons learned, and roadmap

Wrap-up

7 Key Points To Take Home

Industry- specific solution (CRM Telco) is the key

Take SAP best practice as business template and not other way

round

SAP CRM + SAP NetWeaver PI (XI) combination is highly flexible

to support integration with other systems and evolving

requirements

Work with experienced and trusted consulting partner

Keep all project participants in one team you, SAP and consulting partner

Set up a strong program office to involve key users, business

owners as 3rd party experts

Move fast, generate results soon!

Resources

Customer web-site

http://www.onlime.ru/

SAP TV: NCN - Winning Customers in Russia

http://www.youtube.com/watch?v=Tfk2Ki2MkWk

http://www.sap-tv.com/trends

SAP Press release

http://www.sap.com/cis/success/NKS.pdf

NCN go-live press release

http://www.sap.com/cis/company/press/2008/NKS.epx

NCN Gartner & 1to1 Customer Awards

http://www.ncnet.ru/ru/news/1145.shtml

40

Your Turn!

Mikhail Bermanmberman@ncnet.ru

Dmitry Sidnevdmitry.sidnev@masterdata.ru

2010 SAP AG. All rights reserved. / Page 41

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