The Price of Guarding Your Gold: Usage Error Files


Eugene McCord, Head of Software Services



Let me start with a question. If you had a room without a door filled with gold, would it be worth it to hire someone to stand guard over your fortune?

Twice in the past week I have been involved in discussions on usage error files where senior leadership of these companies was surprised by the amount of potential revenue that was not being realized due to usage records falling into error files and not being billed. For decades usage error files have been a standard part of billing operations for any communications provider; and yet I'm shocked at the number of companies that don't have a defined role in their organization to put procedures and reporting around the review and correction of usage records that are accumulating in the error files.

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Of course billing systems vary as to how they manage error files and the process to correct records within. I agree that not all error usage records can be billed.  But, in many cases, there are very simple fixes to these usage records or the accounts they are supposed to be billed to that would allow this usage to be billed.  Any company that is billing usage, whether it be long distance, wireless, toll free, PPV events, VOD or even IP traffic are bound to have error files. 

Do you know how many records and related revenue are in the associated error files? What's the trend over the past twelve months?  What percentage of your raw usage records ends up in erring out? What is the root cause? 

All in all, would you hire someone to stand guard over your gold?    

For info on billing and usage error files, please contact Eugene McCord at either 713.351.5111 or at


Written by Eugene McCord at 00:00
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