This month’s edition of New Paradigm Resources Group, Inc.’s (NPRG) CLEC Issues deals with Operational Support Systems (OSS), the software systems used by Competitive Local Exchange Carriers (CLECs) for such operational functions as billing, provisioning order processing, network design, customer care and trouble management. Our analysis examines the environment in which most OSS were spawned and surveys some of the many players in the OSS field. We review the current problems that CLECs experience as they work with multiple vendors that have few commonalties. Finally, our investigation looks at some of the alliances formed by OSS vendors in a move to limit these problems by integrating their systems.

The market for OSS is large, valued at $16.5 billion in 1998, and each software system sold represents a big ticket expense item for CLECs. And though CLECs contribute large cash outlays for purchase, many find it necessary to make a second investment of time by involving themselves in the particulars of these systems. Unfortunately, until plug and play OSS is a reality, the business critical nature of the functions controlled by OSS will require that kind of participation.

Defining Operational Support Systems (OSS) in a very broad way, the term includes everything that runs or monitors networks, but is not actually the network itself. This definition is much more encompassing than what were originally called Operating Support Systems back in the 1960s when computerization first automated the manual processes in the telephone companies. Today, the software that enables Customer Care, Billing, Trouble Management, Provisioning, Network Design, Network Inventory, Gateways, Sales Management and Network Monitoring are all included as functions of OSS. And because successful administration of these functions has such a strong connection to thriving business operations, the systems that operate them are important to CLECs.

Traditionally, OSS have been a trouble spot for CLECs. Often, companies start out with semi-manual processes, using undocumented work flows and “Jerry-rigged” databases on desktop PCs. As business volume grows, this approach breaks down, causing severe obstacles to developing the business and to delivering quality customer service. Many CLECs struggle to achieve "back-office" and OSS environments capable of adequately supporting their business. For most companies, the migration to more sophisticated systems is still in progress and is the source of major operational headaches. To say the least, the process is not an easy one.