Project Statement

Appraising management practices followed by Telenor Pakistan


To study the management practices and culture of Telenor Pakistan. To evaluate the management practices. After evaluation we will make some recommendation to make its culture more motivated for employees of the company as well as for its customers.

The project is about to check the management practices, the culture and the organizational structure adopted by TELENOR PAKISTAN. For this purpose first of all we are studying the whole management system of this company and find out the management style and type of culture of this company by applying different management tools and techniques. The tools and techniques we are applying in this project are management and cultural theories and modals, making some interviews and by questionnaire filling from high level management, employees as well as from customers also. We are also bench mark Telenor Pakistan with other competitors of this industry like Jazz, Ufone, Warid and Zong. The main objective of any company is to provide quality services to its customers and increase the shareholders equity. By keeping in mind this thing when we are completing all this work we are at a stage to evaluate the management practices because the top level management of a company is the main body that controls all the operations of a company. Now we have all the information and data so we evaluate that what type of system approach the company have? Whether the culture of the company is motivated to its employees or not? At the end we seeking for any improvement we make in the management practices to improve the quality as well as cost efficient and these improvements are our recommendations.

Company profile
TELENOR is the incumbent telecommunications company in Norway, with headquarters located at Fornebu, close to Oslo. Today, Telenor is mostly an international wireless carrier with operations in Scandinavia, Eastern Europe and Asia. It is currently ranked as the sixth largest mobile phone operator in the world, with more than 172 million subscribers. In addition, it has extensive broadband and TV distribution operations in four Nordic Countries. TELENOR PAKISTAN is 100% owned by Telenor ASA and adds on to its operations in Asia together with Thailand, Malaysia and Bangladesh. Telenor Pakistan launched its operations in March 2005 as the single largest direct European investment in Pakistan, setting precedence for further foreign investments in the telecom sector. The company has crossed many milestones and grown in a number of directions, making Telenor Pakistan a leading telecom operator of the country. Telenor Pakistan is creating 2,500 direct and 25,000-plus indirect employment opportunities. It has a network of 23 company-owned sales and service centers, more than 200 franchisees and some 100,000 retail outlets.

“We're here to help”

Core Values
Make it Easy We’re practical. We don't complicate things. Everything we produce should be easy to understand and use. Because we never forget we're trying to make customers' lives easier. Keep Promises Everything we set out to do should work, or if it doesn't, we're here to help. We're about delivery, not over promising, actions not words.

Be Inspiring We are creative. We strive to bring energy to the things we do. Everything we produce should look good, modern and fresh. We are passionate about our business and customers.

Be Respectful We acknowledge and respect local cultures. We do not impose one formula worldwide. We want to be a part of local communities wherever we operate. We believe loyalty has to be earned.

Telenor Brands

1. Telenor Talkshawk 2. Djuice 3. Telenor persona

Telenor is providing eight prepaid packages and four postpaid packages. Prepaid Packages:
• • • •

Talkshawk A1 Talkshawk Har Second Talkshawk Har Minute Talkshawk 30 Second Talkshawk 63 djuice djuice Jaagtay Raho djuice Din Raat

• • •

Postpaid Packages: • • • • Persona Easy Persona Simple Persona Free Persona Karoobar (Aimed at Business owners)

Telenor Pakistan provides a lot of services but there are some famous ones.
• • • • • • • • • •

ASK Telenor Messaging Service Basic Services Call Me Back Call Blocker Easy load GPRS / WAP Portal Handset Settings International SMS International MMS Telenor Islamic service

• • • • • • • • • •

Smart Tunes Telenor Sms Translator Telenor Pakwan Service Telenor Cricket Alerts Telenor Photo Express Telenor Auto Location Telenor Sports Potal Telenor Music Box Telenor Info Services Telenor Smart Menu

Competitors of Telenor Pakistan
Mobilink Ufone Warid Telecom Zong

Bench Mark
Prepaid tariff plain comparison of Telenor,Ufone and Mobilink(per minute)

Tariff Net work to network Network to other network Network to ptcl International SMS Sms MMS Per Incoming / Outgoing Message GPRS Per Megabyte Nationwide Roaming Voicemail Per Minute

Telenor (Rs) 1 1.4 1.4 5 1 5 * Free 1

Ufone (Rs) 2.5 2.5 2.5 15 1 5.00 (per 64 kb) 15 Free 1

Mobilink (Rs) 1 1.6 1.6 8 1.00-1.50 6.00 (per 50kb) 18 Free 1.5

In the prepaid tariff plan we see that the Telenor is giving much better rates as compare to Ufone and Mobilink. It is creating customer value as well as customer satisfaction. If Telenor is using the same strategy it will be profitable for Telenor and help out to becoming market leader.

Postpaid tariff plain comparison of Telenor,Ufone and Mobilink

Tariff Line Rent (Monthly) Free Minutes (Per month) Call rates from network to network (per minute) Call rates from network to other network (per minute) Sms rates per sms on same network Sms rates per sms on other networks

Telenor Rs 100 100 Rs 1.00 Rs 1.50

Ufone Rs 50 60 Rs 1.00 Rs 1.60 Rs 0.50

Mobilink Rs 100 100 Rs 1.25 Rs 1.50

Rs 0.75 (All networks)

Rs 1.00

Rs 0.20 (All networks)

Postpaid tariff plain comparison of Telenor,Ufone and Mobilink

Tariff Line Rent (Monthly) Free Minutes (Per month) Call rates from network to network (per minute) Call rates from network to other network (per minute) Sms rates per sms on same network Sms rates per sms on other networks

Telenor Rs 1500 Free Usage up to Rs 2000 Rs 1.00 Rs 1.50

Ufone Rs 1600 1600 Rs 0.50 Rs 1.40 Rs 0.50

Mobilink Rs 1500 100 Rs 0.50 Rs 1.25

Rs 0.75 (All networks)

Rs 0.50 (All networks) Rs 1.00

After making comparison of post paid tariff plan we come to know that Telenor tariffs are higher than Ufone and Mobilink. Almost the users of postpaid customers are from business class and there usage is much higher than prepaid customers so Telenor make some relaxations in post paid tariff and also give up some attractive packages to increase the market share.

Market share of Telenor Pakistan

According to the above picture we see that the market share of Telenor Pakistan is 22.15%. And it is the great achievement for Telenor because it starts operations in 2005 and Ufone starts its operations in 2001 but Telenor become second in the Cellular market. By adopting more better strategies Telenor Pakistan becoming the cellular market leader on Pakistan in next few years.

Telenor culture (Hofstede Model)
Culture of Telenor can be determined by discussing following points • • • • Supervision Individualism Masculinity Risk management

As Telenor is Danish based Telecommunication Company and due to their vast operations all over the world like especially in Asia their culture looks democratic. Basically it means to say that they are basically using the phenomenon of centralized and decentralized control. So as we know that in democratic style there is more productivity and more coordination between the employees and also employees share more knowledge with their juniors. So by using these factors we will evaluate it. Management style Organizational structure Top management 5 4 4

So 13/15 is stats of Telenor according to Hofstede Model.

Basically the individualism means here that the employees who are basically working in organization they give more preference to their own interest, it means to say that their whole efforts are for their own interest these employees are working against the interest of organization so if we look Telenor for instance then we will come to that this thing is happening in Telenor because Telenor is using centralized and decentralized control. Where they think they need to implement centralized control they are using their where they need decentralized control they are using decentralized control to avoid these things. so we will evaluate this

Management style Organizational structure Top management

4 4 4

So 12/15 is stats of Telenor according to Hofstede Model

Masculinity basically means that gender discrimination or you can say that things are merit based or not. Rules are made for people so they are not made to confuse people. If we look the masculinity factor in case of Telenor that looks quite impressive because for instance suppose that if a female wants to job in Telenor he has equal opportunities as male. We judge this thing from their vast operations all over the world and their excellent repute in telecommunication industry. so we will evaluate this as: Management style Organizational structure Top management 4 4 5

So 13/15 is stats of Telenor according to Hofstede Model.

Risk management
We cannot avoid risk although we can reduce the factor of risk. Basically there are two things come under this head  High part distance  Low part distance More the High part distance that is not so good for the organization low this distance that is good for organization. So if we look this head according to Telenor prospective then we will come to know that Telenor has following risks.  Competitor Risk  Expansion of product risk

 Substitute risk  Emergence risk  Customer and supplier bargain risk Basically now a day’s Telenor competitors are Ufone and Warid. So Telenor in order to compete and beat their customer can only do risk management. While is Telenor also have a biggest risk of substitute and new emergence in market. It means to say that if warid introduced a cost effective package then Telenor must introduce a new package like that one. So it depends again on customer whether they like this package of Telenor or they like the package of warid. Telenor can only minimize risk. Telenor cannot eliminate risk. Similarly in case of new emergence of company in market Telenor can only minimize risk. So we will evaluate this Management style Organizational structure Top management 4 3 3

So 10/15 is stats of Telenor according to Hofstede Model. Management style of Telenor looks Ethena.

Telecom industry is most growing industry of Pakistan still huge investment required for coverage. The market also has strong competition after the entrance of China Mobile Company as player. Competitors are hiring professionals to entertain the consumer which is resulting technological implementation and value added services. People are worried about call rates they don’t prefer any particular company. Consumer searches good service with lowest call rates, although companies are minimizing call rates this will result more growth in the market. Telenor Pakistan brings amazing packages to attract the customers. Telenor promote their product through TV commercial, Newspaper, Radio, Internet etc. The choice of people is Telenor Because Telenor Pakistan giving much better rates in prepaid packages but there are some little bit improvements that Telenor have to make in the postpaid to entertain the business customers.

• There should be an effective employee exchange program even at the level of middle management so the organization can share the level of skill and expertise at all levels with the parent company. • Introduction of employees stock options would further enhance the motivation level because then the employees too would have a stake in the organization. • In their workforce there should be a quota for the disabled people. This is currently being practiced in the parent company. This would enhance the image of the organization being socially responsible. • To increase in the market share Telenor Pakistan must be give attention to the rural areas of Pakistan.

Telenor Pakistan also focus on the business customers as well by giving them more benefits in post paid packages.

Telenor Pakistan should use the technology that gives promised benefits to its customers. As Telenor is a multinational telecommunication company it has to introduce more technology in Pakistan also.

Telenor Pakistan must be introduced Telenor PCO in Pakistan as Telenor Bangladesh introduces this product in Bangladesh.

Telenor Pakistan must have been providing the broadband internet services in Pakistan.

We conducted an interview with the executive marketing of Telenor Pakistan. Few website links

Annexure Questionnaire
• • • • • • • • • • • • • • • • • • • What is the management structure of your organization? What is the culture of your organization? How you create motivation among the employees? Do you collect customer feedback? How frequently you collect customer feedback? To which extent you follow the suggestions of your customer? Either there is concept of empowerment in your organization or not? What is environment of your organization either it is learning or tense for the employees? What are the steps your organization is taking in order to enhance the productivity of employees? What is media of communication you use most frequently at the launch of your new product? Either there is concept of individualism in your organization or not? Which company is your strongest competitor? Do you believe in customer relationship management? Either there is the concept of hierarchy in your organization if yes then how you make it more productive so that it can satisfy your ultimate customer? Suppose you spend huge amount of money for the advertisement of your product but if products fails in market how you will recover losses? Do you believe in customer feedback is best tool to evaluate your products or not? Are you extending your business in Pakistan if yes then what are the difficulties you are facing for extension of your business? Does your company believe in societal marketing? What is your target market?

• • Are you satisfied with the services of Telenor? What do you think how it is different from other telecom industries?

Suppose you have to convince your friend about Telenor services what will be main things you will elaborate to your friend about Telenor? What do you think which is the best Telecom company in Pakistan? Do they conduct feedback program?

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