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Toward customer centric convergence Our experiences Jorge Iván Ramírez Verizon Dominicana Jun 2006 Agenda Our approach: Customer Oriented Convergence Toward convergence: • Customer knowledge and market segmentation • Product portfolio transformation • Human resources • Internetworking • Channel readiness Current and expected results Our approach: Customer Oriented Convergence One customer profile Customer in control: self provision, self managed 100% network interoperability Network based (not terminal based) applications, built under open standards Centralized authentication across networks, services and applications Broadband anywhere, anytime Full Convergence is a long term endeavor, that requires a complete business transformation and self indicted creative evolution Customer oriented convergence The Model Business Environment The best An environment access network Consumer Environment available for Transport that whatever the provides the user needs to required QoS do here and now of provision of services managing a unique user profile Any Content Each terminal, anywhere Each User Same experience, same apps and one sign on across multiple networks and devices Applications shall be independent from devices and devices from networks Applications and contents Same content should be available in any device Toward customer centric convergence How we have embraced the path to customer satisfaction through convergence What are the customers needs At Home Photos Games & Entertainment Voice Music Security and child surveillance Home Networking and Internet What are the customers needs At Work Collaboration Productivity Tools 100% Uptime Network Unified Communicati ons Cost Management Exterior Communicati on Security Toward convergence: Customer understanding & segmentation Basic New Business Corporate Medium Micro New Wireless Floaters Internet & Networks Solutions Techies Wireline Consumers Customer segmentation basis: • Lifestyle • Value • Product use & product mix behavior Customer relationship marketing; NOT product marketing Entire company was restructured around customer segmentation Toward convergence: Human resources readiness Every employee is about to be trained in the basics of data transmission technologies Advanced levels of certifications are currently on track for technicians and network professionals Managers and directors are also being involved in training process One technician will be able to install and repair every data or legacy solution 628 technicians have been trained or certified up-todate Toward convergence: Internetworking and broadband Network readiness From ATM to a state of the art IP backbone MPLS to assure compatibility of FR, X.25, TDM with new broadband services (Layer 3) Distribution and access network layers are also being expanded accordingly NGN (Circuit Switch to IP Switch for voice services) Product portfolio is powered with high-end broadband solutions Wireless broadband (1XRTT) also covers most of our geography; HSPDA will be deployed in next years Backbone evolution to IP Central MUX MUX DSX DS1 Tirany DSX Router Router NGNl Central Core Multiservice NGN Router Router IMS Toward convergence: Channels Readiness Every call center operator is currently able to treat any request of product and services Differentiated SLA by customer segment Specialization on acquisition, maintenance and development Our Experience Convergence: • Is a long term endeavor • Should be customer centric • New solutions must: > Simplify communications across multiple networks, devices and services > Have enough potential market and proven to be profitable > Support company long term strategy • Impact every member of your company Results & expected Slash time to market when developing products Systems consolidations (future) Customer on control: auto provisioning, auto managed Dramatically reduce costs of systems integration, management and maintenance Facts in Verizon Dominicana: 30% increase in customer satisfaction for installation services (transport & Internet) 25% increase in customer satisfaction for repair services (Transport & Internet) Same EBITDA margin,despite inflation rate and prices reduction (10%) in the last 18 months