Large multinationals could be missing out on up to 15 per cent total cost of ownership savings on their global telecommunications portfolio, according to new figures released by consultancy Hudson & Yorke today.

With the annual telecoms TCO of large enterprises estimated at upwards of £50m, this could amount to millions of pounds in savings, the firm said.

Hudson & Yorke argued that firms often allow costs to escalate during the contract negotiation process because they do not allow enough time for comprehensive due diligence or formulating a clear telecoms strategy.

"It is essential to have a comprehensive understanding of the contracts, assets, people and costs currently in place, as that will drive the strategy and underpin any contract negotiations," said Hudson & Yorke chief executive Harry McDermott.

"Ultimately this will build confidence in the business case, minimise the risk premium sought by the vendors and maximise the potential for a successful outcome to the negotiation process."

The consultancy advised that firms could save yet more money by adopting a global strategic approach to sourcing within their telecoms portfolio, for example by aggregating services onto a single international managed deal and consolidating the supply chain.