There is no question that BYOD (bring your own device) has many benefits for businesses, especially if this is the only policy in place. Unfortunately, most organizations still provide company owned devices in addition to allowing individually owned devices. This mix of device ownership opens up the door for some big cost risks when you consider how BYOD will affect carrier contracts.
If you are in the majority, your business probably has both a BYOD policy and provides company-owned devices to certain employees. You can still benefit from BYOD cost savings if you fully understand you contractual agreements and know which aspects may negate any of these savings. Here are three common ways you can plan ahead and decrease your cost risks:
1. You can still get volume discounts
Individual responsible users (IRUs) will count towards your total number of users on your current carrier contract and qualify you for any volume discounts. You will need to set up a corporate referral code for IRU's to use when they sign up their personal devices. This will add them to your corporate rate plan and, if enough IRUs sign up, give you more discounts than you currently have.
2. The effects of termination fees can be minimized
Most carrier contracts contain termination fees to keep companies from switching carriers. These fees can be highly detrimental to any potential BYOD cost savings when you decide to move large numbers of corporate responsible users (CRUs) to IRUs. Always plan ahead you can choose the best time to make your move and be prepared to counter any financial losses.
3. Be prepared for security costs
Personal devices are simply more susceptible to a greater number of security threats, so additional measures must be taken to ensure the security of corporate information. In additional to security, governance policies need to be initiated to monitor employee usage, and IT solutions like federated ID and soft token authentication must be implemented. The cost for all of this will be high and can cut into your potential BYOD savings. Managing them effectively is much easier if you are expecting them and have a plan to help diminish their impact.
If you are in the majority, your business probably has both a BYOD policy and provides company-owned devices to certain employees. You can still benefit from BYOD cost savings if you fully understand you contractual agreements and know which aspects may negate any of these savings. Here are three common ways you can plan ahead and decrease your cost risks:
1. You can still get volume discounts
Individual responsible users (IRUs) will count towards your total number of users on your current carrier contract and qualify you for any volume discounts. You will need to set up a corporate referral code for IRU's to use when they sign up their personal devices. This will add them to your corporate rate plan and, if enough IRUs sign up, give you more discounts than you currently have.
2. The effects of termination fees can be minimized
Most carrier contracts contain termination fees to keep companies from switching carriers. These fees can be highly detrimental to any potential BYOD cost savings when you decide to move large numbers of corporate responsible users (CRUs) to IRUs. Always plan ahead you can choose the best time to make your move and be prepared to counter any financial losses.
3. Be prepared for security costs
Personal devices are simply more susceptible to a greater number of security threats, so additional measures must be taken to ensure the security of corporate information. In additional to security, governance policies need to be initiated to monitor employee usage, and IT solutions like federated ID and soft token authentication must be implemented. The cost for all of this will be high and can cut into your potential BYOD savings. Managing them effectively is much easier if you are expecting them and have a plan to help diminish their impact.
About the Author:
Joseph B. Kappernick specializes in helping Fortune 500 companies save money. He recommends that you visit NPI Financial to learn more about telecom expense management service
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