HUAWEI Smart

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HUAWEI SmartCare® CEM IoT Experience Management White paper

HUAWEI TECHNOLOGIES CO., LTD. September 2018

IoT Experience Management White paper

Enable Business Success through IoT Customer Experience Management

September 2018

Mark Geere, Hao Jing

HUAWEI TECHNOLOGIES CO., LTD.

HUAWEI Smart

Care® C

EM

HUAWEI SmartCare® CEM IoT Experience Management White paper

HUAWEI TECHNOLOGIES CO., LTD. September 2018

Contents

1. Introduction 3

2. Key trends and challenges shaping the IoT industry 4

2.1 Understanding the key industry verticals for MNOs 4

2.2 Multi-users: human being and device, 2C, 2H, B2B2X - Smart Home, Smart Tracking etc 4

2.3 Increasing IoT network and service complexity 4

2.3.1 How will 5G impact these services 5

2.3.2 How will real-time and edge computing impact MNO offering 5

2.4 Challenges for MNO IoT deployments 5

2.4.1 Commercial issues 5

2.4.2 IoT Device Management 6

2.4.3 Security 6

2.5 Barriers for commercialization 7

3. Finding additional revenue streams 8

3.1 Deriving value from IoT expenditure 8

3.2 IoT Experience Management creates additional value within the IoT Value Fabric 9

4. MNOs moving up the value chain 10

4.1 MNOs need to be involved in the Full IoT Experience Lifecycle 10

4.2 What’s IoT experience? The difference of IoT Customer Experience (CX) and Human CX? 10

4.3 What do “Users”/ “Customers” care about for their IoT Services? 11

4.4 How do MNO achieve IoT Experience Management differentiation? 12

4.5 How to define experience metrics for IoT services? 12

5. Recommended implementation for MNOs IoT Experience Management solution 13

5.1 Become integrated into the IoT Experience Lifecycle 14

5.2 Create “Customer Success Management” unit into IoT SOC for ongoing support 14

5.3 Main components for IoT SOC 15

5.3.1 Roles and responsibilities within IoT SOC 15

5.3.2 Governance 17

5.3.3 Platform architecture to support IoT Experience Management 17

5.4 Basic transformation framework 18

6. Conclusions and recommendations 18

6.1 Conclusions 18

6.2 Recommendations 19

About the authors 20

About Huawei 20

HUAWEI Smart

Care® C

EM

HUAWEI SmartCare® CEM IoT Experience Management White paper

HUAWEI TECHNOLOGIES CO., LTD. September 2018

1. Introduction

Mobile networks have progressed over the years, providing more and more coverage and data capacity as they

have rolled out their 2G, 3G and now 4G LTE systems. The difficulty has been that this investment, and the

ever increasing reliance by the consumer and Enterprise alike, on the networks has not translated into higher

ARPU per customer per megabyte for the mobile network operator (MNO). As can be seen from a recent

Delliote report in Figure1 (Delliote’s 5G: The chance to lead for a decade) there has been a steady decline in

revenue per Megabyte over the years.

Figure 1 - Revenue % Decline per MegaByte Index (Source: Delliote)

This has driven many operator to look for additional, non-traditional business streams that use connectivity as

part of its core offering, which is where IoT comes into play. Unlike the previous data driven battles, where

OTT providers (Netflix, Spotify etc) gained much of the consumer revenue stream, by providing E2E “IoT

Services” MNOs will have a powerful weapon to combat these falling revenues and improve on its network

Return on Investment.

Some MNOs have developed new IoT business lines for Automotive, Insurance, Utility, etcetera by providing

services, equipment and/or management to the B2C, B2B or B2B2X markets. MNOs in one shape or another

have decided to either create their own platforms and/or partner infrastructure with 3rd party vendors for their

connectivity platforms. As these IoT services grow, so MNOs need to develop its internal approach to managing

its customers and its customer’s customer expectations.

Customer Experience has long been recognised as a key differentiator for MNOs both in the B2C and B2B

markets. This is why in 2014, Huawei developed, with the industry, the concept of the Service Operations

Centre that allows operators to move from being Network centric to Customer focused.

This is why a Customer Success Management concept needs to be introduced within the SOC organization to

manage these smart, connected IoT products, with the primary role being of monitor the customer relationship

after the sale. This role is not a stand-alone function but one that needs to draw together all parts of the

organization, much like current SOC functionality, but with a focus on IoT service assurance and customer

experience.

This white paper discusses how this could be achieved.

HUAWEI Smart

Care® C

EM

HUAWEI SmartCare® CEM IoT Experience Management White paper

HUAWEI TECHNOLOGIES CO., LTD. September 2018

More information is available, if you would like to learn more please contact your Huawei

Local Service Solutions Team. Thank You!