OSS/BSS in Telecom: A Comprehensive Guide for IoT Applications

OSS (Operational Support Systems) and BSS (Business Support Systems) in telecom emerged as a response to the shift from simple voice services to large-scale, multi-service networks that were too large and complex to manage manually. Designed to enhance network efficiency, streamline processes, and accelerate growth, these systems have long been used to drive efficiency and improve customer satisfaction.

However, the IoT ecosystem is pushing traditional network management and billing systems to their limits. Millions of connected devices with diverse connectivity demands and unique data patterns have created unprecedented operational complexity for telecom companies. IoT requires scalable systems that integrate network operations with flexible monetization strategies. Legacy OSS/BSS models often lack automation, rely on rigid billing models, and are unable to support massive device fleets efficiently. 

In this article, we will explore OSS/BSS in telecom, how the two strategies function in tandem, and the complex operational and business needs posed by IoT. We’ll examine the key features needed to use OSS/BSS for IoT successfully, and explore Zipit Wireless’s innovative alternatives to connectivity and billing management. 

What are OSS and BSS in telecom?

OSS and BSS are foundational telecom management systems enabling providers to operate efficiently and deliver seamless services to their customers. Together, OSS and BSS streamline telecom order management, billing, inventory, performance monitoring, and other essential business functions. Though the two terms are usually discussed in tandem, they each have a distinct purpose within telecom companies.

What is OSS in telecom?

OSS (Operational Support Systems) manages and analyzes a telecom’s internal network operations. This includes resource and inventory monitoring, fault management, service provisioning, and network configuration and uptime. The primary goal of OSS is to keep networks running smoothly. OSS encompasses a business’s hardware, like routers, servers, and computers, as well as the software used to power these devices and control the telecom network. 

OSS manages operations and activities across the entire network from a centralized location. This includes network health maintenance, provisioning services (like SIM activation), and service assurance and quality control. OSS is the back office of telecom businesses, ensuring the network runs at optimal efficiency and performance. 

Typical OSS functions include: 

• Network configuration, maintenance, and management
• Resource inventory management
• Fault management
• Service provisioning
• Service assurance
  
  

  What is BSS in telecom?

BSS (Business Support Systems) manages a telecom’s customer-facing business operations. BSS covers the overall customer experience with a telecom business, including onboarding, billing, orders, subscriptions, notifications, and product marketing. This system is usually a collection of software programs, data platforms, and billing solutions. These BSS tools handle revenue reporting, business analytics, workflow optimization, customer support, and issue resolution. 

Customer relationship management (CRM) is a cornerstone of BSS. The system drives growth by building customer loyalty, enhancing customer satisfaction, and effectively monetizing telecom services. BSS acts as the front office of a telecom company, strategically coordinating every external interaction to maximize retention and revenue potential. It also oversees all external relationships, like with vendors and suppliers. 

Typical BSS functions include: 

• Customer account management
• Subscription management
• Invoicing and billing
• Revenue reporting
• Payment processing
• Product marketing
• Order management
• Customer alerts
• Service fulfillment

Learn more: Are Telecom Expense Management Systems a Fit for IoT Business Models?

How OSS and BSS work together in telecom

OSS runs the network and BSS monetizes the business operations. Together, these systems enable telecom companies to deliver, manage, and profit from their services. OSS/BSS strategies must be closely integrated to provide dependable connectivity, drive sustainable growth, and offer superior customer service experiences. The two systems cannot operate effectively in isolation. 

After all, customer issues and network problems are often inextricably linked. If the network’s backend isn’t functional, there is nothing for the BSS to manage. A network with frequent outages and perpetually unresolved performance issues will frustrate customers. Telecom companies will struggle to build brand loyalty and deliver exceptional customer service if their infrastructural base is unreliable or poorly managed. Similarly, a business with confusing UI/UX, unhelpful customer support, or erroneous billing will inevitably falter, regardless of its network performance.

The two systems rely on one another to manage operations. OSS/BSS data exchanges, communication, and interoperability are crucial for the systems’ success. 

Examples of coordinated OSS/BSS in telecom: 

• Seamless network management and customer notifications: If the OSS detects network outages, it can alert the BSS. With this information, the BSS can send messages to customers with details regarding the interruption and expected resolution times. 
• Accurate billing and usage insights: When billing customers for service, the BSS can pull usage data from the OSS to ensure correct invoicing. The BSS can use this data to inform analytical trends about customer behavior. 
• Smooth order fulfillment: If a customer upgrades their service plan through the company’s portal, the BSS processes the order and passes on the update to the OSS. The OSS will then reconfigure the network elements to provide the customers with new data allowances or network speeds.
• Resource optimization: The OSS monitors and manages network resources, like bandwidth or server capacity. The BSS can pull these analytical insights and use them to create new service offerings or craft pricing tiers for data plans. 

The future of OSS/BSS: adapting to the IoT ecosystem

OSS and BSS telecom strategies date back decades, long before cloud computing transformed network design and revolutionized connectivity. Many of these systems are built on legacy models designed for human subscribers and high-bandwidth applications. In a world brimming with millions of internet-connected devices, OSS/BSS providers are often ill-equipped to meet the needs of modern use cases.

IoT behaviors vary wildly depending on the use case. Some IoT devices only send tiny packets of data sporadically, while others stream constantly. Many devices need OTA updates, remote provisioning, and dynamic changes to data allowances. Digital subscriptions and monetization are also evolving. Monthly mobile bills no longer make sense in an ecosystem of pay-per-use or pay-per-device models. Individual devices may only use a few dollars' worth of data each month. This is markedly different than human subscribers using broadband or voice and generating higher-dollar invoices. 

Are legacy OSS/BSS models outdated for IoT?

One-size-fits-all plans are unable to handle the volume, complexity, and billing requirements demanded by IoT. Legacy OSS/BSS are too rigid, cumbersome, and expensive to support most IoT applications. IoT is introducing transformative possibilities to almost every market and industry imaginable. From wearable healthcare technology to smart city traffic management to digital signage, IoT devices are reshaping how technology solves customer problems and monetizes connectivity. These enterprises need flexible and scalable operations and business solutions.

OSS/BSS platforms must adapt to the cloud-native, API-driven, modular world of internet-connected devices to remain competitive and relevant in this world of interconnected innovation.   

Learn more: Are Telecom Expense Management Systems a Fit for IoT Business Models?

Key features to look for in OSS/BSS for IoT

IoT companies need telecom billing and management solutions tailored to the demands of global connectivity, massive device deployment, and diverse device behaviors. Here are the key features to look for when identifying if an OSS/BSS provider can support your IoT enterprise. 

1. Scalability

IoT deployments often include millions of low-data, low-touch devices at launch. Any operations  and billing system must be robust enough to manage these devices and their subscribers, with room to support future network expansions and device updates. Devices need to be rapidly onboarded, managed remotely, and dynamically adjusted based on data usage behaviors. The ability to speedily and flexibly scale is essential, and not an offering that all OSS/BSS platforms can provide. 

IoT companies should select a solution that supports elastic resource scaling and cloud-native architectures. OSS/BSS should support microservices-based approaches that facilitate simplified maintenance and quicker development cycles. Your growth should be organic and responsive, not hindered by your billing platform’s legacy model that isn’t equipped to manage high-volume applications.

2. Automated SIM provisioning

With GSMA SGP.32 making eSIMs all the more accessible for IoT devices, automated and remote provisioning is essential for telecom billing and operations systems. SIMS, eSIMs, and device profiles need to be managed independently from user interfaces for streamlined onboarding and scalable growth. OSS/BSS should handle automatic device activation, suspension, and decommissioning without disrupting workflows or complicated invoicing. Service profiles should also be able to remotely switch data plans seamlessly. 

If legacy OSS/BSS cannot support the automation of these processes, it will be impossible to manage huge fleets of devices deployed globally. Automation dramatically improves productivity and reduces operating expenses. OSS/BSS systems must also support bulk SIM activations and remote lifecycle management. Popular IoT use cases like sensors and asset trackers need to be managed at scale and with minimal physical intervention. eSIM support also functions as a future-proofing strategy for businesses, as the future continues to shift toward multi-network connectivity and increased flexibility. 

3. Customer billing and revenue management

Billing management is a staple of BSS strategies. IoT presents a unique set of challenges for billing platforms. IoT devices may use prepaid, postpaid, pay-as-you-go, or hybrid models for data usage. Single customers may manage multiple accounts, each comprised of thousands of IoT devices with varying usage patterns. Companies need consolidated billing solutions that simplify invoicing without sacrificing precision. 

Any BSS must also be able to support real-time charging and rating adjustments. Businesses, customers, and operators should be able to monitor devices through live dashboards. This level of flexibility is beyond the scope of traditional OSS/BSS models, which were often designed to bill a single user for their service usage over a pre-determined interval. 

Learn more: Cellular IoT as a Service: Your Guide to Recurring Revenue

4. Flexible monetization

In addition to supporting complex billing, BSS for IoT must support creative monetization, subscription models, consumption-based pricing, and other revenue strategies. Customers must be able to update data plans mid-cycle, without facing interrupted service or inaccurate billing. IoT applications offer numerous opportunities for ongoing customization, like subscription upgrades, downgrades, microtransactions, overages, renewals, and cancellations. BSS for IoT must be able to reflect these changes dynamically and immediately adjust data plans accordingly. 

This device monetization approach is quite different from the traditional model of selling broadband or voice that legacy OSS/BSS is built upon. Modern OSS/BSS solutions and billing platforms must seamlessly support mid-cycle changes to fit with IoT business models. They should also be adaptable to different tiered pricing models for different IoT verticals.  

5. Real-time data collection and reporting

IoT devices are used to monitor systems, like security, temperatures, machine performance, and biometric data. These applications need immediate operational insights to react to anomalies and failures, prevent downtime through proactive maintenance, and optimize overall performance. They also need an OSS that can dynamically reallocate network resources. 

Traditional models of telecom business management don’t account for the seismic daily shifts in usage that can accompany IoT. Your OSS/BSS should offer analytical dashboards with data-driven, real-time insights. This allows you to make decisions based on current conditions, as well as observe larger trends in customer behaviors, usage patterns, and business expenses. 

OSS/BSS software should also be highly customizable. The world of IoT devices is incredibly diverse, and operational and billing solutions must tailor their analytics and customer portals to reflect each client’s needs. Forcing IoT into an outmoded legacy OSS/BSS template will prevent growth and impact reliability.

6. Enhanced customer experience management 

Device end-users need quick, efficient access to self-service portals. By combining operational efficiency with customer-centric design, telecom and IoT providers can foster long-term loyalty in a fiercely competitive market. Whether they’re managing a fleet of asset trackers or a single trail camera, customers should be able to access their plans and update subscriptions easily. They should receive alerts about overages and renewals, and get notified with personalized and data-driven recommendations.

Customer experience is core to a successful BSS strategy. However, legacy systems often don’t offer the level of detail, customization, or accessibility that customers have come to expect from IoT management. Your customer experience journey should be both intuitive and sophisticated. Select a telecom management and billing partner that can elevate your brand’s presentation and enhance customer touchpoints. 

Streamline IoT operations with Zipit Wireless

Legacy OSS/BSS were designed long before the explosion of internet-connected devices and on-demand monetization models. Unfortunately, they’ve struggled to adapt to the flexibility, automation, and granular control required to manage millions of low-power devices with diverse usage patterns. Zipit Wireless addresses the gaps created by traditional telecom management systems with modern, customer-centered solutions. 

Our connectivity management and billing platforms are built specifically for the dynamic needs of modern IoT businesses. We’ve taken an agile, market-driven approach by partnering with IoT device manufacturers and responding to their pain points. We’re here to help clients simplify their business processes, effortlessly scale their deployments, and maximize their revenue potential. 

Control operations with Zipit's connectivity management platform

Zipit’s connectivity platform gives operations teams a unified management experience. Whether deploying asset trackers, medical sensors, or consumer electronics, IoT companies benefit from simplified onboarding and full visibility into device behavior across carrier networks. Zipit’s platform is a centralized hub for controlling connectivity across geographies and use cases, whether you’re monitoring a hundred or hundreds of thousands of devices. 

We offer global SIM provisioning with fully remote and automated activation, offloading time-consuming and labor-intensive operational tasks. Zipit also provides contracts with the world’s leading cellular networks. This allows you to leverage multi-carrier and multi-network connectivity without building complex integrations or engaging in protracted negotiations. As a result, new devices can be easily deployed and operations can be scaled freely. 

Our connectivity management platform also provides both pre-built and customized reporting features. You can gain critical insight into your cellular utilization patterns and customer lifecycles, and access consolidated billing details. 

Build recurring revenue with Zipit's billing platform 

Zipit’s billing and monetization platform helps IoT providers turn connectivity into profitability. Our platform enables tiered plan creation, real-time usage-based billing, mid-cycle adjustments, and automated invoicing. This platform was designed to support the monetization models that underpin IoT, like subscriptions, microtransactions, and add-on services.

End-users can log in to a white-labeled, branded customer portal and easily switch plans, top off data, and view their usage trends. Real-time notifications keep customers informed about their renewals, upcoming charges, and data usage. This on-demand flexibility ensures uninterrupted service and ongoing customer engagement and satisfaction.  

Zipit Wireless: a modern alternative to legacy OSS/BSS models

Zipit integrates connectivity operations and business management functions that would traditionally require distinct OSS and BSS systems. Zipit consolidates these into intuitive platforms that give IoT companies the agility to launch new services quickly, easily scale operations, rapidly respond to market changes, and reduce costs. For IoT providers aiming to modernize their approach to telecom management and capitalize on growth opportunities, Zipit extends a future-proofed OSS/BSS alternative. Contact us and learn how our solutions can transform your business. 

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