20832545 a Report on Mobilink Abt Strategic Management Process

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    CHAPTER. 1

    "We are continually faced by great opportunitiesbrilliantly disguised as insoluble problems."

    - Lee Iacocca

    COMSATS INSTITUTE OF INFORMATION TECHNOLOGY

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    1. COMPANYS HISTORY

    Mobilink GSM, a subsidiary of Orascom Telecom, is the market leader in providing state-of-the-artcommunications solutions to over 20 million people in Pakistan. It is proudly boast of being the firstcellular service provider in Pakistan to operate on a 100% digital GSM technology.The company is currently working under the patronage of Orascom International. A brief introduction of the parent firm is as under.

    O rascom was founded in 1950 by Mr. Onsi Sawiris with a mission to build the infrastructure and improvethe quality of life for the people of Egypt. Today, the Orascom Groupcarries on this mission through three primary operating companies

    Orascom Construction Industries, Orascom Projects & TouristDevelopment, and Orascom Technologies.

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    COMPANYS INTRODUCTIONMobilink.Gsm

    Mobilink GSM is the market leader in providing state-of-the-art communications solutions to more than20Million people in Pakistan. Mobilink can proudly boast of being the first cellular service provider inPakistan to operate on a 100% digital GSM technology.

    Mobilink is a pure GSM cellular company started its services in Pakistan in 1994. At the time when itentered the market it was a small player in the cellular market of Pakistan it is now the market leader bothin terms of growth as well as having the largest subscriber base in Pakistan. Mobilink invested $150million in establishing GSM network in Pakistan. At that time Mobilink was only a cellular companywhich provide a GSM services in Pakistan

    Mobilink offer tariff plans that are exclusively designed to cater to the communication needs of a diversegroup of people, taking into account occasional users to businessmen. To achieve this objective, Mobilink

    offer both Post Paid (Mobilink Indigo) and the Prepaid (JAZZ) solutions to its customers.

    Jazz is an amazing prepaid service that allows freedom from monthly bills and gives completecontrol over cellular expenditure. Jazz is simple, easy and loads of fun.

    Mobilink launch their post paid connection in 2001 in Pakistan it was a biggest and bestcampaign ever launched by any cellular company in Pakistan. Mobilink have launched the service withnew name Indigo. Mobilink Indigo is the new complexion of communication.

    In addition to provide advanced voice communication services, Mobilink also offer cost efficient dataservices to its customers. Keeping in mind our customers convenience, Mobilink also deal in mobilehandsets, sold either independently or bundled in All-in-One Packs.

    ABOUT MOBILINK

    In Mobilink round about 10000 world wide employees are working in different designations. .Mobilink

    company has 264 franchise offices and 14 service centers. It generates revenue about US $56 million per month.3000 connections are sold per hour.

    COMSATS INSTITUTE OF INFORMATION TECHNOLOGY

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    MARKET SHARE

    In the beginning Mobilink market share lies between 51% to 54% but now mobilink has captured 62%market shares.

    NETWORK COVERAGEMobilink provides you nationwide coverage in over 365 cities. The network coverage chart is divided intothree Main Categories according to the geographical location of the cities in Pakistan. These regionsinclude

    NorthCentralSouth

    COMSATS INSTITUTE OF INFORMATION TECHNOLOGY

    M a r k e t S h a r e o f M o b i le O p e r a t o r s

    U f o n1 5 %

    P a k t e9 %

    I n s t a p h o1 4 %

    Mobi l in6 2 %

    NORTH SOUTH

    CENTRAL

    L

    Network Regions

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    COVERAGE MAP

    ACHIEVEMENTS

    ISO 9002 Quality Management System Certification for Billing, Engineering Departments and CSContact Center. Implementation of a full Intelligent Network (IN) platform from Siemens for the prepaid

    platform. Biggest Call Center in Pakistan, which is there to assist the customers 24 hours. Only cellular service in Pakistan to provide coverage on the M2 motorway. Bilateral roaming agreements signed with61 countries around the world to have true roaming service operational in 151 operators of the world.MOBILINK GSM's Short Message Service Center allows Vehicle Tracking and Fleet Managementservices that are being provided by Tracker (Pvt.) Ltd., under the brand name of C-Track, a companylicensed by Pakistan Telecom Authority (PTA). Tracker currently operates from Karachi but can providethese facilities at all those locations where GSM coverage is available.

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    STRUCTURE OF MOBILINK The structure of MOBILINK Co LTD can be easily understood with the help of the diagram.

    COMSATS INSTITUTE OF INFORMATION TECHNOLOGY

    RegionalGeneral Manager(South)

    RGM (S)

    RegionalGeneralManager(Central)

    RGM (C)

    RegionalGeneralManager(North)

    RGM (N)

    AreaManagerCustomer

    Service(AMCS)

    AreaManagerCustomer

    Service(AMCS)

    AreaManagerCustomer

    Service(AMCS)

    Chief Executive(CX)

    Chief Executive(CX)

    Customer Service

    (CS)

    Customer Service

    (CS)

    Customer Service

    (CS)

    Customer Service

    (CS)

    Customer Service

    (CS)

    Customer Service

    (CS)

    CreditManagemen

    t (CM)

    CreditManagemen

    t (CM)

    CreditManagemen

    t(CM)

    CreditManagemen

    t(CM)

    CreditManagemen

    t(CM)

    CreditManagemen

    t(CM)

    Director IT/MISDirector IT/MIS DirectorOperations

    DirectorOperations

    DirectorFinance

    DirectorFinance

    DirectorHR/Administrati

    on

    DirectorHR/Administrati

    on

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    Management team of mobilink co.

    President and CEOZouhair Abdul Khaliq

    Chief Finance OfficerEhab Rochdy

    Chief Information OfficerTariq Rashid

    Vice President Administration & Human ResourcesAli Raza Mehdi

    Vice President SalesIrfan Akram

    Vice President MarketingBilal Munir Sheikh

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    Vice President Customer ServicesMustafa Peracha

    Vice President Strategic Planning, Business Development & PMONaeem Zamindar

    Vice President Corporate AffairsAgha Qasim

    Chief Technical OfficerMarius Constantin Armeanca

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    CHAPTER. 2

    "All successful people have a goal. No one can get anywhere

    unless he knows where he wants to go."

    - Norman Vincent Peale

    COMSATS INSTITUTE OF INFORMATION TECHNOLOGY

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    STRATEGIC MANAGEMENT PROCESS

    INTRODUCTION:Strategic management is a set of decision and actions involving managers

    from all parts of organization to formulate and implement strategies that will provide a

    competitively superior fit between organization and its environment to achieve organizationsgoals.

    Process of strategic management process.

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    1. The vision formulation which leads to the statement of the MissionMission * what is business?

    * What will be the business?* It established long-term direction* It needs to use simple terminology* It needs to be inspirational buy in* Recognition of threats & opportunities

    * Entrepreneurial

    Three Components of the missionstatement

    * The needs to be served by the company* The targeted customer group* How the company will provide the product/service

    The mission is then converted into performance

    objectives* Measurable statements* Specified performance* Specified time* Short-range objectives* Long-range objectives* Top-down rather than bottom-up

    2 Analysis of external opportunities and threats.External environmental analysis include

    Industry and market analysis Competitor analysis Political and regulatory analysis Social analysis Human resource analysis Macro-economic analysis Technological analysis

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    Opportunities

    The external environmental analysis may reveal certain new opportunities for profit and growth. Some examples of such opportunities include:

    an unfulfilled customer need arrival of new technologies loosening of regulations removal of international trade barriers

    Threats

    Changes in the external environmental also may present threats to the firm.

    Some examples of such threats include: shifts in consumer tastes away from the firm's products emergence of substitute products new regulations increased trade barriers

    3 Analysis of internal strengths and weaknesses.

    It examines overall business structure, management competencies and quality of human resource characteristics. It includes

    Financial analysis Human resource analysis Marketing audit Operational analysis

    Strengths

    A firm's strengths are its resources and capabilities that can be used as a basisfor developing a competitive advantage. Examples of such strengths include:

    patents strong brand names good reputation among customers cost advantages from proprietary know-how exclusive access to high grade natural resources favorable access to distribution networks

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    Weaknesses

    The absence of certain strengths may be viewed as a weakness. For example,each of the following may be considered weaknesses:

    lack of patent protection a weak brand name poor reputation among customers high cost structure lack of access to the best natural resources lack of access to key distribution channels

    In some cases, a weakness may be the flip side of a strength. Take the case inwhich a firm has a large amount of manufacturing capacity. While this capacitymay be considered a strength that competitors do not share, it also may be aconsidered a weakness if the large investment in manufacturing capacity

    prevents the firm from reacting quickly to changes in the strategic environment.

    4 SWOT analysis and strategy formulation.

    Its a comparison of strengths, weaknesses, opportunities and threats whichhelps to summarize the major facts and forecasts derived from external andinternal analysis and formulate strategies in order to capitalize on opportunities,counteract threats and alleviate internal weaknesses.

    Levels of strategies* Corporate game plan for a diversified company* Business game plan for single business

    * Functional strategy initiatives of one part of a business

    * Operating initiatives of key operating units

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    Factors affecting strategies* Society forces* Political and regulatory forces* Citizenship considerations* The industry and competitive conditions* Opportunities and threats* Organizational strengths and weaknesses* Ethical considerations* Personal managerial ambitions* Company culture

    5. Strategy Implementation

    * making it happens* structuring an organization* budgeting* motivating* creating reward structures* creating work environment* Information & reporting systems

    5. Evaluation AND CONTROLLING of performance* review process* adjust mission* adjust objectives* adjust strategies* initiate corrective measures

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    CHAPTER. 3

    You're going to make mistakes in life. It'swhat you do after the mistakes that count."- Brandi Chastain

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    2. STRATEGIC MANAGEMENT PROCESS FOR MOBILINK COMPANY.

    Mission, vision, and goals of Mobilink company.

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    INTERNAL ANALYSIS OF MOBILINK COMPANY

    INTERNAL STRENGHTS OF MOBILINK COMPANY:

    Following are the vital strengths of Mobilink:

    Mobilink is an acknowledged market leader of all the companies of itskind.

    Only cellular service in Pakistan to provide coverage on the M2motorway.

    Pioneer in GSM service in Pakistan. Number of customers is more as compare to any other mobile service

    provider in Pakistan. Highest market share not only in terms of number of subscribers but also

    in terms of revenue. Mobilinks short message service center allows Vehicle Tracking and

    Fleet (VTF) Management services. Large number of corporate customers. Economy of scale. Mobilink and Muslim Commercial Bank have made a combined effort in

    order to maximize the ease and the satisfaction of their respectivecustomers by offering them all banking services from their very ownmobile handset.

    The network service of Mobilink is distributed over a wide area. Mobilink provides good service to its customers. The customers of Mobilink are very much satisfied, therefore it is the

    biggest strength Mobilink has a distinctive competence. It has adequate financial resources. The company has good competitive skills. Mobilink has effective product innovation abilities. Increased brand equity Premium brand image

    The company has hired well-qualified and able employees in all its departments.The services of Mobilink are wide spread such that you can see many small outlets inevery market area.

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    Opportunities

    Before start of more new companies can target as many new customers as theycan.

    Can lower prices to make business difficult for new companies. Mobilink is completing field-testing and certification of its General Packet Radio

    Service (GPRS) products; targeted to a market that delivers Internet Protocol packet services to over 650 million GSM subscribers.

    2.3% of the population of Pakistan is mobile users. Mobilink has the opportunityto expand its services to a larger number of people.

    Mobilink can expand its target markets and enter new market segments. This company has faster market growth so its must tri to introduce such packages

    that attract more and more customers.

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    Threa ts New market players are coming in near future. New companies can offer packages for corporate customers in better way. Wireless local loop service providers too targeting areas which are less developed. Current price war may reach at a position where only brand names survive. Due to expensive quality of service now a days customers can shift to other

    companies. After PAKTEL is captured by china, it introduced many new package which

    attract the consumer more than any other.

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    SWOT analysis

    STRENGTHS WEAKNESSES

    OPP ORT UNI T I E S

    As market leader it cantarget more & morecustomers.

    Due to running ineconomies of scale, iteasily lowers prices to

    prevent new entrants. It can target due to high

    financial power &competitive skills in those

    cities and villages, wherecoverage of no other company can reach.

    As it has a good brandimage, it has introducedsuch packages that haveincreased the companyrevenue with morecustomers.

    Currently providing notgood quality service

    because of changing their network from 900 MHzto 1800 MHz, so it maylose its customers.

    As Mobilink providesexpensive call rates tocustomers as compared toother mobile companies

    that also have a badimpact on company. As sometimes the

    network is busy and over loaded, it negativelyaffects the brand image.

    Call disconnectivity istoo much, that irritatesthe customers.

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    T HRE AT S

    Due to high recourses it caneasily remove threats of other competitors.

    It easily met the challengesappeared after PTCL &

    PAKTEL privatization. It has ability to work in highly

    competitive environment thathas created after newcompanies entrances.

    PAKTEL has great threatafter privatization that is notso easy to handle.

    U.fone that has also largenumber of customers and

    being subsidiary company of PTCL is a big threat on it.

    WARID & TELENOR havealso strong backgroundwhich enables them to fightwith exiting companyeffectively, so it also has athreat on MOBILINK Company.

    Strategy formulation

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