Our Telecommunication service is a cost center. We have historically
budgeted separately for local and long distance service, with each part
needing to stay out of the red. Switch maintenance, trunk lines,
staff, etc. have been allocated to each service proportionately.
Declining long distance usage and revenues force an increasing share of
fixed costs into the local column -- i.e., the cost of having a phone
on the desk is increasing.
J. Michael Yohe
Executive Director, Electronic Information Services
134 Kretzmann Hall, Valparaiso, IN 46383-6493
E-mail: [log in to unmask]; Phone: 219-464-5072; FAX: 219-464-5381
On Tue, 16 Jul 2002, Theresa M Rowe wrote:
> Date: Tue, 16 Jul 2002 08:38:19 -500
> From: Theresa M Rowe <[log in to unmask]>
> Reply-To: The EDUCAUSE CIO Constituent Group Listserv
> <[log in to unmask]>
> To: [log in to unmask]
> Subject: [CIO] Long distance revenues
> There was a discussion a while ago about the decline in long distance
> revenues. Students are switching to cellular and to phone cards and it is
> reducing the amount of long distance charges that we collect. This is a
> trend we noted through the last academic year. Spring/summer collections
> appear to be the same as prior years (since the students are not here).
> We have not had a chance to analyze the data (due to staff outages in
> Telecom) so we cannot exactly determine the percentage reduction, but it
> is a definite trend.
> We use a long distance provider today that was selected from MiCTA
> (http://www.micta.org/default.asp). MiCTA has distributed an RFP for
> Cellular Telecommunication Services. We might evaluate this later.
> I'm aware of at least one institution which has set up a lease arrangement
> of cell phones for students to replace declining long distance revenues,
> but with the complications of the administration of the lease, I've not
> heard about a positive revenue stream. I am wondering if anyone has found
> a way to at least break even before we go this route.
> Additionally, SBC/Ameritech has noted a significant drop off in revenues
> at pay phones due to cell phone usage. As a result, they have removed
> many pay phones from campus.
> Does anyone have any recommendations or ideas for options on this?
> Theresa Rowe
> Director Information Systems
> www.oakland.edu/it - The latest technical information from the Office of
> Information Technology www.oakland.edu/it - the latest news from the IT at
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