Software to Manage Costs and Performance


Cost standards

The Telecom sector sets additional requirements to Cost Management. There is an evolving need for Cost Management that can be grouped around 3 themes:

  • Pricing
  • Efficiency
  • Regulation

In the Telecom sector several Cost Standards need to be calculated. Among them are:

  • Fully Allocated Cost (FAC),
  • Long Run (Average) Incremental Cost (LR(A)IC),
  • Pure-LR(A)IRC plus Markup and
  • Standalone cost.

Complex models and LRIC

Another reason the Telecom Sector sets different requirements to costing is because Telecom Networks are complex, requiring a complex cost model. CostPerform allows for these areas of additional requirements:

  • CostPerform offers great flexibility in modeling. A multi layer model is available, in a telecom cost model ususally 10-20 layers are used, much more than the 3 layers our competitors have.
  • LRIC (and SAC and MC) are integrated modules on top of the FAC model
  • CostPerform offers loads of reports and graphical options of analysis like dashboards, graphical navigation, roll-up reports, OLAP cubes, whiteboard etc.

Success stories

KPN, the Dutch incumbent telephone operator has around 8 million customers. KPN uses CostPerform for their regulatory reporting to the telecom authority. In a costing department (>10 FTE) they prepare a model that is audited by an external auditor.

Telecom Thailand needed CostPerform to advise the Telecom Regulating Authority on the correct cost per unit of land-line products. Telecom Thailand used the Long Run Incremental Cost approach for that purpose.


  • KPN, The Netherlands
  • TOT, Thailand
  • Telkom Group Ltd., South Africa
  • Mena Telecom, Bahrain
  • BTC, Bahamas
  • Batelco, Bahrain
  • Sure Guernsey
  • Jersey Telecom
  • Ooredoo, Qatar
  • Qualitynet, Kuwait
  • Lattelecom, Latvia
  • Slovak Telecom, Slovakia
  • Telecom Srbija
  • GO, Malta,
  • SPTC, Swaziland
  • Telia, Sweden (M&S only)