Final Project

Ufone
Its All About U

SUBMITTED TO MAM HANIYA ABID

COMSATS UNIVERSITY ISLAMABAD

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INTRODUCTION 6
Mission Statement...............................................................................................6 Future plans........................................................................................................7 Brand.................................................................................................................8

UFONE PRODUCTS UFONES MANAGEMENT STRIVES FOR (REFERENCE:ANONYMUS) COMPETITORS PRINCIPLES OF MANAGEMENT DIMENSIONS OF MANAGEMENT SWOT ANALYSIS TOTAL QUALITY MANAGEMENT: OMNIPOTENT OR SYMBOLIC? STRONG VS WEAK CULTURE UFONES GLOBAL PERSPECTIVE THE GREENING OF UFONES MANAGEMENT

9 11 11 12 14 17 20 21 21 21 22 23

REAL GOALS......................................................................................................23 Stated Goal.......................................................................................................23

ORGANIZATIONAL STRUCTURE

24

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DEPARTMENTS IN UFONE 28
MARKETING DEPARTMENT..................................................................................30 HIERARCHY OF SALES & DISTRIBUTION DEPARTMENT...........................................33 Target Market...................................................................................................38 Research Methodology:........................................................................................................38

UFONE BCG MATRIX SOCIAL RESPONISBILTY

40 41

Training Administration......................................................................................42 Methods to Deliver Contents and Evaluation........................................................................43

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Members NAMES Roll Numbers Syed Muhammad Hilal 090 Safder Saeed 063 Amir Qasim FA09-BBAFA09-BBAFA09-BBA-050

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Faisal Mehboob 028 Asim Ali

FA09-BBAFA09-BBA-112

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Introduction
The company commenced its operations under the brand name of Ufone from Islamabad on January 29 2001. Ufone expanded its coverage and has added new cities and highways to its coverage network. Ufone GSM is a Pakistani GSM cellular service provider. One of six GSM Mobile companies in Pakistan .Separate entity of Pakistan Telecommunication Company. It has a subscriber base of 20.05 million as of July 2009. It is currently owned by United Arab Emirates based Etisalat. Total current investment of over $350 Million, including a recent contract of $161 Million for expansion & capacity for 2007-09. Currently, with a market share of over 24%. The customer base has more than tripled from the last fiscal year to over 4.5 million subscribers.

Mission Statement
The company is of the view that ; at this point it is more important to make their present customers loyal, then running after the new customer.

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(Reference : (www.Ufone.com)

Future plans
In order to extend cellular network to new cities, towns and highways and enhance its current installed capacities in existing cities, Ufone has finalized a huge network expansion contract amounting to about USD 550 million, which will enhance the

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subscribers capacity by 10 million. This is the largest ever expansion project of Ufone

Brand
While keeping its tradition of being the trend setter in the industry, Ufone changed the image of mobile phones from a luxury only affordable by the elite, to a necessity affordable by the common man. Since its inception, Ufone has positioned its brand for masses. In keeping with the upcoming competition and market dynamics, Ufone increased its focus on the youth segment (which comprises 50% of the population), with the Prepay brand. By designing market focused products, Ufones brand team launched aggressive campaigns, which further increased the brand equity. The new brand image gained huge popularity amongst the targeted market. A recent marketing survey conducted by a prominent marketing research company showed that Ufone has considerably increased its brand visibility and image. Ufones Prepay brand is now considered to be one of the most favored brands by the youth market and is followed by other mobile operators launching their respective brands for the youth market. This marketing boost has been much credited to the humorous and light advertising, presenting the brand itself in a light hearted fashion, setting a new trend in the market.In other words, Ufone has created a "Blue Ocean" for advertising in Pakistan.

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(Reference : (www.Ufone.com)

UFONE Products

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Ufone markets its prepaid services as Prepay. Ufone Prepay is more affordable. Its primary market is intended towards teen agers and students. Following are some of the prepaid packages of Ufone.
Packages

Postpaid services are marketed by the name Postpay. These services are mainly targeted towards the business community of the country

Packages

o o o o o o o o o o o o

Life plus Package Prepay Life Life Value Josh UCircle Life UCircle Life Plus URock Public Demand Paanch Ka Pandrah Ghanta Package UWon Teen minutes Package

o o o o o

U50 U250 U500 U1000 U5000

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Ufones Management Strives for

Ufone always goes for Effectiveness because they only focus on their Goal Attainment As they told us in the interview.
(Reference:Anonymus)

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Competitors
The following are some competitors of the Ufone Mobilink (Jazz) Telenor Zong Warid

There is a hard core competition among the cellular service providers in Pakistan. Ufone is a market challenger in its competitive position, where MOBILINK is the market leader. Warid, Telenor and newly introduced ZONG are also strong contenders in market challenger category. Ufone has the following four direct competitors:-

Ufone also considers the following as its competitors: PTCL WIRELESS

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Wateen WorldCall

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PRINCIPLES OF MANAGEMENT
DIVISION OF WORK
Yes No

AUTHORITY
Yes No

DISCIPLINE
Yes No

UNITY OF COMMAND
Yes No

UNITY OF DIRECTION
Yes No

SUBORDINATION OF INDIVIDUAL INTERESTS TO THE GENERAL INTEREST

Yes No

REMUNERATION
Yes No

CENTRALIZATION
Yes No

SCALAR CHAIN

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Yes No

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ORDER
Yes No

STABILITY OF TENURE OF PERSONNEL

Yes No

INITIATIVE
Yes No

ESPRIT DE CORP
Yes No

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(Reference : Self Known & asked from Muhammad Ali, Adeel Riaz)

Dimensions of management DIMENSIONS OF MANAGEMENT HIGH TEAM ORIENTATION PEOPLE ORIENTATION OUTCOME ORIENTATION ATTENTION TO DETAIL INNOVATION & RISK TAKING STABILITY AGGRESIVENESS LOW

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DIMENSIONS OF MANAGEMENT TEAM ORIENTATION

People working at Ufone are Team Orientated they like to work in groups as groups make their work more great as everyone have innovative ideas and work is done more fast.

PEOPLE ORIENTATION
Ufone have low people orientation as the make feedbacks from them after a long time.

OUTCOME ORIENTATION
Ufone cares about The Total Quality Management and The Quality of the products they want to give their customers as they want to become No.1 in Pakistan So Its all about outcome orientation

ATTENTION TO DETAIL
As it is a big organization it is hard to notice how much the employees here care about the attention to detail but I think they do care but its low I guess.

INNOVATION AND RISK TAKING

Employees are not encouraged to do innovation and risk taking but the higher ups that are the leaders of ufone they always do innovation and take risks to take this company higher

STABILITY

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Ufone is stable from over 5years and it is still on the rank of 2nd in the Pakistan so it is very stable.

AGGRESSIVENESS
Employees working at Ufone are very corporative as they work in groups all the time.

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SWOT ANALYSIS
Strengths o As government is backing them they can get as many fund as required by them to introduce the new technology o Good quality service o Pakistan's second GSM network o Established customer base including lower middle class o Less rate than competitors WEAKNESSES o Less coverage in remote areas o Not targeting the rural areas at the moment o No proper planning to cater the excessive demand THREATS o Legal environment, government interference o PTCL has been given license for cellular operation o Mobilink is also going to introduce some new technology and committed to invest more in Pakistan o Mobilink and Telenor connections have more coverage in different cities of Pakistan then Ufone

OPPORTUNITIES o They can start their services in other cities of Pakistan o As they are the subsidiary of Pakistan telecommunication limited, they can acquire as much fund needed to improve their technology o They can also target corporate sector o New Technology

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Total Quality Management:
A philopsy of management that is driven by continual improvement and responding to customer needs and expectations Ufone is doing improvement in there every field all the time They are improving the sound quality, the management is working hard for total quality Ufone wants to give us a better and the best connection which can equal every other connection . As the Slogan of the Ufone says its all about U so it cares about its people and the members of Ufone . it wants to give the best to its customers with the best quality and minimum rate.

Omnipotent or Symbolic?
Ufone had a symbolic view of management , where symbolic view is The View that much of the organizations success/Failure is due to external forces outside managers control because of the customers as no one can change ones urges and they change all the time

STRONG VS WEAK CULTURE

Ufone has a strong culture as everyone knows all the values about Ufone they have no hidden agendas. People working at the Ufone knows all about the past and the present of Ufone which makes it a strong cultures

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Ufones Global Perspective
As we know that Ufone is a National Company , it is not a MNC so there is no Global perspective of Ufone.

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The Greening of Ufones Management
Lesser
Market Approach

Greater

Stakeholder
Approach

Activist Approach (Dark Green)

Since Ufone is a customer Orientated Company. They think about there customers first as it is there Long term Goal.

REAL GOALS
Goals that an organization actually pursues as defined by the actions of its members and Ufone is doing that which is to become No1 in Pakistan it is trying its best to reach that Level

Stated Goal
Ufones Pakistan's customers are confident that the company runs its operations in an ethically responsible manner. Ufones employees are proud of the way in which the company handles its social responsibility. Ufones other stakeholders, expecting high standards of social commitment, shall have high regard for the company.

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ORGANIZATIONAL STRUCTURE
Ufone Management:

Abdul Aziz (President & Chief Executive Officer)

Naveed Khalid Butt (Chief Officer)

Muhaamad Aslam Khan (Chief Technical Officer)

Muhammad Nadeem Khan (Chief Financial Officer)

Saleem A Chauhan (GM Admin & Procurement)

Abdul Rehman Faisal (Senior Manager Human Resources)

Maj. Gen. (R) Hamid Hassan Butt (GM Coordination)

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(Reference: Basharat Ullah Khan)

Structure of the organization

In U-fone the hierarchy is very lean, in general the whole setup is centralized, all the matters are to be reported to the main company and all the policies and targets are approved at the higher level. But at the department level the structure is decentralized. Group analysis: in our point of view this hybrid org structure this best structure which best suits fast changing industries specially cellular industry. Because to make work formally done hierarchy should be there so that people have a head on them to whom they are suppose to report , not only this lower management a lower non managerial people need leaders or some one to guide and look after them from higher level. While such industries like cellular industry such people are required who are creative as Basharat Ullah Khan told us that In our industry we need creativity, speed, execution, written communication, attitude, knowledge & skills thats why we prefer new and young talent thats why we hire fresh graduate each year. so unless and until people dont have freedom to express their views and purpose new ideas such organization can not grow , and to support this view with in each department people should have decision making power and this an be done by decentralizing.

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(Reference: as Basharat Ullah Khan)

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Departments in Ufone
In Ufone the hierarchy is very lean, in general the whole setup is centralized, all the matters are to be reported to the main company and all the policies and targets are approved at the higher level. But at the department level the structure is decentralized.

The Following departments are currently working: o o o o o o o o o o o Human Resource Management Marketing Department Commercial Department Sales Department Finance Department Payroll Department Information Technology Department Engineering Department Administration Auditing Department Customer Care

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(Reference: Abdul Rehman Faisal)

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MARKETING DEPARTMENT
Marketing department handles all the marketing activities concerning all Ufone packages and brands. A recent marketing survey conducted by a prominent marketing research company showed that Ufone has considerably increased its brand visibility and image through its vibrant marketing strategies. Marketing departments hierarchy is as follows:-

(Head Office :

CMO
HEAD OF DEPARTMENTS

ASSISTANT MANAGERS SENIOR EXECUTIVES MANAGEMENT TRAINEES

INTERNEES

Islamabad)

(Head Office : Islamabad)

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(Regional)

(Regional)

(Regional)

(Regional)

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Sub Departments of Marketing Department: Brand Activation Value Added Services International Roaming Media Planning (Marketing Strategies) Marketing Finance Marketing Operations

Current CMO (Chief Marketing Officer) of Ufone is Mr. Arshad Yaqoob Khan

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(Reference: Maj. Gen.(R) Hamid Hassan Butt)

HIERARCHY OF SALES & DISTRIBUTION DEPARTMENT

Sales & Distribution

Aamir Mumtaz (Sr. Manager)

Khwaja Zulqarnain (National Manager Franchise Operation

Hamid Moeen Niazi (Planning and Polices Manager)

Omemma But (PromoManager)

Noman Zafar (Assistant Manager)

Raja Haroon Akhtar (S & D Incharge)

(Reference: Abdul Rehman Faisal)

Mian Bilal Mehmood (S & D Executive)

Fawad Bhatti (Retail Analysis)

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SALES & RETAIL TEAM RETAIL TEAM
OLD SALES TEAM NEW SALES AND RETAIL Team OLD RETAILTEAM

Regional Sales Manager

Regional Sales Manager

Regional Retail Manager

Zonal Sales Manager

Zonal Sales Manager

Assistant Regional Retail

Distributor Sales

Area Sales Managers

Regional Sales Coordinator

Authorized Retail Distributor

Authorized Retail Distributor

Franchise

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(Reference: Basharat Ullah Khan)

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COMPETITOR ANALYSIS
The competitive environment for mobile telephony in Pakistan is tough and Ufones is a major player of the market. Primary competition is of course between four mobile operators for the share of the market. But there is other potential source of competition, which should also be taken into consideration.

DIRECT COMPETITION Direct competition to Ufone service is with thee licensed mobile world in todays market. These are: Mobilink. Warid telecom. Telenor. Zong INDIRECT COMPETITION

The indirect competition is from: Fixed line services. Card payphone services. Prepaid calling cards. Massive expansion in penetration and quality of fixed line, payphone and prepaid calling cards can effect mobile business environment. Economic Scenario of Pakistan makes this observation relevant because mobile services are still comparatively much expensive and customer may prefer to use cheaper, more readily available alternatives. COMPETITIVE STRATEGY

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To cope up with the growing competition, Ufone has always been a head of its competitors. In todays world, the only way to success is to gain a competitive edge. Ufone has always taken keen interest in serving better to its users. UN matchless call and SMS rates have given an edge to Ufone against its competitors. We can consider Warid telecom as the major competitor today, because of its rates. But Ufone outclass Warid with better quality and coverage.

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(Reference:Abdul Rehman Faisal, Basharat Ullah Khan)

Target Market
Ufone has the target market concerning youth in the nation. This target market of youngster comprises 40% of the population. Ufone has targeted the corporate class for which the Ufone is customizing the packages in order to preserve the existing small businessman. Gender: Both Male & Female Target Class: Middle & Lower Middle Class Targeting: Mainly they are targeting to youth, if we look at their ads, which are shown on the TV, we got the clear idea. Income Group: Rs. 20,000 & above
Research Methodology:

We adopt the following method to collect the data o o o o o o o o Primary Data Secondary Data Internet Newspaper Broachers TV Commercials Questionnaire Interview

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Level of priority o o o o o Low cost Value added services Packages Customer services Better quality service (connectivity and coverage).

(Reference:Salman Mehmood)

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Ufone BCG Matrix

From this figure we can see that ufone prepay is at Stars and Postpay on question marks this means that ufone should advertise the postpay more than their prepay connections as it should also be in the stars for higher success and to get High growth-rate and High Market Share

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(Reference: Ch. Usman Ahmed)

Social Responisbilty
Ufone is not only a competitive telecom leader in the industry but an organization that has always been working towards an orderly corporate social responsibility plan including ways of supporting those in need . We asked the manager of Ufone that what Socially Responsibilty they have performed recently they told us that On May 15, 2009 Employees of Ufone, one of the leading telecom companies of Pakistan, have pledged one day basic salary as humanitarian aid to the devastated victims of the conflict of Swat. Due to terrorist conflict in Swat, Dir, Buner and Malakand, mass exodus has begun in the affected areas with over 700,000 people have displaced while many still remain stranded. Due to continuous curfew and blocked main highways and roads leading to troubled areas, people are struggling really badly. Ufone with a unanimous decision of all the employees and management has decided to come forward yet again and share the burden of these displaced immigrants This gesture will not only help those in need but also be in line with Ufones tradition of being a socially responsibly entity, said, Mr. Abdul Aziz, President & CEO Ufone Lesser
Owners And Management Employees Constituents in the Specific Environment

Greater

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By that example and what we came to know from the interviews we did we found out tht Ufone works for Broader Society (Reference: Abdul Rehman Faisal,www.ufone.com)

PROCESS OF TRAINING AND DEVELOPMENT AT UFONE

At Ufone the procedure that is followed by the company to train there employees is conducted by the HR department. It starts with Need Assessment. o o o o Need assessment Designing training program Transfer of training contents Evaluation of training programe

Training Administration
To put training program into effect according to definite plan or procedure is called training implementation. Training Administration is conducted as follows, o Trainees will be informed about the program through media. o Trainer will prepare all necessary courses and material to provide to trainees. o Trainees will be given an overview about the coarse contents in order to familiarize them with the coarse objective. o Will keep records of employees who are given training o Trainees will be given initial readings and tests in order to have good understanding what they will be going to learn in training. o Trainees will be given conducive environment during training

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o o

Back up plans are prepared to support trainees when the contingency happens. All equipments such as hall, chairs, sound system, heaters, lunch facility and other TADA is arranged.

Methods to Deliver Contents and Evaluation

Delivering methods consist of following o o o o o o o Lectures Notes Group Discussions Case studies Role Play CDs Internet

Objectives of Training After giving training to employees they will be able to handle angry customers. There performance level will increase Will be able to deal with the aggression of people They will understand the ways to manage there anger and also of customers. Group cohesiveness will increase

EVALUATION PHASE

Evaluation will be conducted to check whether training has had the desired effect. Training evaluation ensures that whether candidates are able to implement their learning in their respective workplaces, or to the regular work routines.

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Training will be considered effective when it will bring the desired results as set earlier. It starts with the Objectives that were made after conducting TNA.
TECHNIQUES OF EVALUATION

o o o o

Observation Questionnaire Interview Quizzes

(Reference: Abdul Rehman Faisal)

Market Sta Approach keh old er

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Conclusion
By keenly analyzing Ufone, we group member agree that Ufone is not a safe player in the market. It is penetrating its market by taking risks and aggressively promoting & advertising itself. It holds second largest market share and is seeking to become the market leader anyway possible. We came through very unconventional strategies and ad campaigns while working on this Project. We believe that mobile services are the toughest market to enter and survive. And in this tough market Ufone isnt only surviving but growing at an exceptional rate. Ufone is using humorous theme in its ads which has become its benchmark. People enjoy watching, discussing and following Ufone ads the most. And it is the biggest achievement of Ufone in recent times. We wish a very best of luck to Ufone. May it progress in this field and achieve its desired goals. (AMEEN)