Companies move to MPLS networks, in part, for cost reduction and manageability for their wide area network. You cannot count on such cost reduction unless you manage the process properly.
Underestimating the internal project resources can increase your costs. For instance, RFP creation and analysis is often delayed, due to lack of focus. This delay means that your company continues to pay higher than needed network costs with the incumbent carrier, whether that be using frame relay or MPLS. In addition, it is not uncommon to find that companies do not terminate their old services promptly after activating their new network. This results in double charges…not good for your budget or your reputation.
When working with your present carrier, remember that you are paying a higher price than the present market price. As a result, their urgency in responding to your pricing queries might not be the same as yours. They will not be in a hurry, since your change can mean only two things: lower profits or lost business.
Another potential barrier is your contract lapse date. You need plenty of time to run a proper evaluation. If you wait too long, you will lose all your negotiating power with your incumbant carrier. You simply won’t have the time, since with many carriers, your discounts will expire when your contract expires. Some companies have signed new contracts simply because the “penalty” of lost discounts was so high, that they felt they had no choice. Don’t make this mistake!
Many carriers will attempt to over-engineer your network to obtain higher fees. If your goal is to reduce costs, you need to analyze what you really need for your network. Some smaller sites might be suitable for DSL loops instead of T1 loops.
Finally, when you implement your new network, you must manage your legacy disconnects to avoid unwelcome monthly fees for disconnected networks.
While running this process with your own staff might seem easy, you will save money hiring a consulting firm to do this for you. The savings will come from faster implementation of lower prices, better negotiating clout from their experience and more efficient project management. That’s why SD-WAN-Experts is in this business. But if you have the time to run a WAN or SD-WAN RFP process yourself, SD-WAN RFP.
