Vodafone Business On Managing Blockchain In The World Of Telecoms
Diego Massidda is the chief executive of Vodafone Partner Markets and a director of Vodafone Sales & Services, joining the board of Vodafone Hutchison as a non-executive director in May 2020. Diego speaks to Finance Monthly about managing blockchain in the world of telecoms.
The past 18 months have brought unprecedented changes to the business environment and in this new world of hybrid working, businesses will need to start familiarising themselves with blockchain technology. This new way of working means that businesses need a certain level of flexibility, connectivity and speed from their communications providers, which is something that blockchain technology can help to provide.
The finance sector has already profited from the world of blockchain, with the technology helping it to carry out transactions in a cost-effective and secure way. The technology has also been developed across other industries, and now the telco industry can reap its benefits through its on-demand connectivity and transparency.
How Can Blockchain Transform The Industry?
Blockchain emerged at an increasing pace in the financial sector across banking, insurance and trade finance, as partners working together can use the technology to create a shared, distributed ledger that has a confidential merged record of company transactions. For the telco industry, not only will this improve efficiency, quality and speed for communications providers, it will also strengthen its global ecosystem and help to build the partner’s working relationships.
And we’ve already seen how blockchain transforms the way that businesses operate. At Vodafone Business, we worked with partner communications providers PCCW Global and Colt Technology Services, and leading blockchain company Clear, to improve customer service. We are leveraging Clear’s solution to ensure real-time service between the partners’ inventories which allows timely and precise settlement.
Thanks to a more efficient and streamlined process from the partnership, we can make subsequent amends to services. With improved service provision and real-time alignment, there is also faster problem management between all partners who are also able to give quicker and more accurate quotes. This also leads to full transparency and traceability resulting in faster activation and quick delivery of international services. The technology optimises transactions such as quotes, orders, invoices and settlements and as there is no ‘central authority’ needed, there are lower costs and faster transactions.
Looking To The Future
For the telecoms industry, the blockchain innovation will play a key role in driving standardisation across the network for all partners. Now, establishing a fully digitalised quote to cash service delivery process is an attainable goal that will provide more flexibility around service agreements and help to settle them across all accounts.
Communications providers should continue to keep track of the progress and benefits of blockchain to establish new opportunities for their products and services and to continue to improve their customers’ experience. This decentralised approach will also help to cloudify the connectivity market, which will make on-demand services easier for customers to utilise.