Assessment of factor influencing operating cost of telecom operatora: a case study of Vodacom (T) Limited passive

In telecommunication infrastructure systems, passive infrastructure passive infrastructure consumes a considerable chunk of operating cost (OpEx). Telecommunication companies have been adopting a number of strategies for controlling operating costs including remote management and deployment of power hybrid solutions. However, the effectiveness of these strategies is being constrained by the unavailability of an operating cost analysis tool to wake proper assessment of cost factors. The thrust of this research was to develop an operating cost analysis tool. The tool was developed by combining Analytical hierarchy Process (AHP) and multi criteria decision analysis. In order to operationalize the developed tool a focused group discussion was adopted. The focused group involved seven employees from Vodacom (T) who are involved in Operation Department activities. The research has concluded that certain Cost Factors have more influence on Opex than others and in that regard, priority in budget and in monitoring and control can be directed towards those with more weight leading to optimal solution on cost cutting and hence increase in profit margins. The research recommends site sharing, use of hybrid site and adoption of energy efficient technologies for passive infrastructure as a way forward for controlling and reducing Operating Costs.