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Screens 3 & 4 (of 6)

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Telecomms spending analysis, continued.

3.

Next, we use the plotting feature to compare and contrast spending on MCI vs. AT&T for the three-year period 2000-2002.

The result is a good news story. It appears that a sourcing decision was made in 2000 to consolidate long distance spending with MCI. Over three years, this has largely been accomplished. The question remains, though, whether the trend has continued during 2002.

MCI vs. AT&T

4.

So, we change our view to look at quarters, and use a different graph type.

The result is not such a good story, and it illustrates a classic sourcing problem: the original initiative has lost momentum. In fact, AT&T spending has leveled off in 2002, and is rising again. Since consolidated long-distance contracts provide about 20% savings, we are looking at two things here: (1) a $100K savings opportunity, and (2) a sourcing initiative that needs to be re-energized.

MCI vs. AT&T by Quarter

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