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Case study Orange Romania

1. Overview of the mobile market in terms of CSR

In an economic world increasingly unstable, the mobile market is an exception; its development
is relatively predictable and growing. With the widespread use of mobile phones many theories
have emerged about the possible side-effects on health. What is the effect on emissions of
electromagnetic waves generated by a mobile phone? How safe is to have a mobile antenna on
my building? Frequently we hear these questions and simultaneously a multiplicity of views
expressed by neighbors, work colleagues, friends or journalists. Although there have been
several studies in this direction, proving the possible health risks it is difficult, and for the
telecommunications industry arguments are unconvincing.
However, more and more companies offering these services have begun to get involved in this
matter. They consider it their responsibility that all mobile phone users to know the effects they
may have on their health, they get involved in the preparation of such studies and in monitoring
studies in this field. The main operators have added that they do not want to endanger the health
of the general population and their employees and therefore are constantly concerned with this
topic. This we can consider as the first commitment of social responsibility of companies
specializing in mobile services. Then things began to take increasingly a better shape, and
because in general, companies that offer mobile phone record every year high turnover and
profits, began investing in CSR without stopping. Telecommunications segment is among the
most profitable in the Romanian economy and at the same time is the one that always animates
the CSR. Major players are Orange, Vodafone and Telekom.
According to a study by PR 4ACE Public Relations, corporate social responsibility campaigns
will represent approximately 50% of the market of public relations in 2015. Thus, the main
mobile operators invest annually between several hundred thousand and several million euros in
CSR campaigns. Vodafone Romania has allocated 2.5 million euros last year for such projects.
"We are the first company in Romania to introduce the system of wage deductions (payroll
giving), and now almost 60% of our employees donate monthly from their own money, a certain
amount of money for Foundation projects, "said Marian Velicu for Financiarul, Senior Director,
Vodafone Romania. To this was added two percent of state tax due that many employees prefer
to donate operator, and money earned from recycling paper and PET on theirs premises.
Although younger on the Romanian market, Telekoms (Cosmote) social responsibility projects
started immediately after the launch of commercial operations, despite the fact that the operator
has not yet entered the profit.
The first operator, both in number of customers, as well as income, Orange, estimates that from
2003 until now has tripled the budget dedicated to social involvement projects, without

specifying a figure. The money for such campaigns comes from different sources: the company's
budget, donations from foundations, donations from employees or investment from parent
companies. In the case of Telekom and Orange, funding sources are internal, plus donations from
employees for Orange. As regards the destination of the funds, in the case of Vodafone, Vodafone
branch responsible for CSR projects, supports social programs to prevent family abandonment
and environmental protection projects, culture or sport. So far, the most expensive project funded
by Vodafone was the purchase of medical equipment for hospitals in Bucharest and the country
worth over 420,000 euros. Investment continues this year with 600,000 euros.
Telekom CSR initiatives are grouped into four categories: children & education, social, heritage
and national culture and environment. According to Florin Serban, CSR Coordinator Telekom
Romania, the most interesting projects and the most extensive is the Mentorship program and
cooperation with the National Association of the Deaf in Romania (ANSR). "Since the launch of
educational online Mentorship in October 2007, over 1,000 young people had the opportunity to
receive advice on career and personal development from 50 specialists in ICT, communication,
advertising, media and financial service companies and organizations in Romania ", said Florin
Serban. In the first six months of the program there were over 50,000 visitors, which placed
Telekom among the top five places in a top of the most responsible companies, conducted by
bloggers in Romania. Orange has established the areas in which should be involved, through a
market survey among customers, but its action on the directions of their CSR policies well be
presented later.
2. Orange Company
Orange is a private company founded in 1997 under the name of Dialog, which is part of the
France Telecom Group, one of the world leaders in telecommunications services, with more than
177 million customers on five continents. Orange is the leader of the Romanian
telecommunications market, both in terms of number of clients and profitability.
Orange strengthens its position in the Romanian market through a client-oriented approach, and
the capacity for innovation and anticipation. Orange Romania offers a range of services such as
voice, data, SMS, MMS, WAP, e-mail, GPRS, EDGE, 3G, wireless IP, WiFi, USSD, etc., being
the first operator in Romania that offered video mobile services, including TV Live.
To be closer to its customers, Orange has created an extensive network store comprising 90
locations throughout the country. Orange Romania is characterized by the widest network
coverage and excellent performance in customer support services. Orange means the desire to
create a better future and to provide a communication experience as simple and intuitive. Orange
means more than technology, mobile, or GSM, it is a brand created to facilitate communication
between people and bring added value to the communities in which operates. The achievements
of Orange are the result of a strategy to develop a long-term relationship with customers. In the
dynamic and competitive Romanian market, Orange has established itself as a reliable partner

and creative which was reflected in the implementation of new technologies and launching
innovative products and services. The France Telecom Group has a corporate social
responsibility strategy well defined and Orange Romania ensures activities in a responsible
3. CSR policy of Orange
Orange Romania launched its social responsibility program in 2003, and one of its core
objectives is an open and transparent communication of performance and goals undertaken by
publishing an annual report for communicating Orange sustainable and responsible management
of activity. The company's philosophy as expounded by Orange CEO Richard Moat is Social
responsibility means continuous development, taking into account the opinion of each
stakeholder. We believe that an open and transparent communication is the best way forward and
therefore please use all communication channels to send us suggestions and opinions and we will
include them in our work. Orange means more than technology mobile or GSM networks; it is
a brand created to make easier communication between people and to bring value to the
communities in which it operates.
"At Orange we believe that our company's development must be carried out in a responsible
manner, to respect the environment, the community in which we operate, employees, partners
and shareholders, be based on a strategy for sustainable development. We believe we have a
significant positive impact in community development and therefore Orange has taken this
responsibility seriously. We have over 2,000 employees; we have invested so far in Romania
over $ 1 billion and developed business relationships with many partners, relations based on trust
and honesty. To these are added and various initiatives supported by Orange in education,
communication, social. All this means that corporate social responsibility not only benefits the
community in which we operate but also the firm Orange, "said Richard Moat.
Orange Corporate Responsibility program is based on five principles reflecting the Orange brand
values - simplicity, openness, innovation, dynamism, honesty - and that is what he considers to
be his responsibilities. These principles reflect how building relationships with partners and
employees, the community in which it operates, reduces the impact of its activity on the
Orange Group has a global strategy in terms of corporate responsibility through which wants to
ensure responsible management of business in all markets where it is present. Thus, social
responsibility means for Orange compliance with ethical standards in business, proximity to
community and contributing to its development through technology and experience at its
disposal, maintaining an open dialogue with all partners who interact with the customers,
employees, suppliers, community and to shareholders and state bodies.
Orange brand values define the company and the business management and social responsibility
is a natural extension of these values and gives them substance. Orange considers the message

regarding social responsibility policy as one clear and concise, credible even without being
noticed. Any activity report is a positive note that we feel in Orange statements regarding CRS
policy, however we appreciate that, largely, what is communicated to the public is not too gilded,
as is customary in general in this field.
Also, they consider that there are some features that differentiate corporate social responsibility
programs of Orange to those made by its competitors on the domestic market. The Orange
strategy based on social responsibility is a code of ethics that guide their daily behavior, be it
how customers are treated, the relationship that develops with colleagues, suppliers or
shareholders of the company. Orange also adds that a differentiating element is that We offer
our employees equal opportunities for promotion and career development, launch customized
products and services so that Orange customers receive the right offer. In addition, we select
suppliers on well-established criteria, which help us in preventing risks. Finally, we get involved
in projects that bring value to the community.
Orange launched a new slogan "Together We Can Do More", which replaces the already famous
"The future's bright, the future's Orange". We believe that this slogan has several social
connotations. According to Orange, the new campaign based on the idea that today we live in a
digital world in which the barriers between people and places is becoming less noticeable. This
change the way people interact in society and allow us to share ideas and collaborate to achieve
more together than we could alone. Orange offers its customers not just services, but solutions
to communicate with family, loved ones or business partners. We want to inspire through our
services so that people relate and work together because we believe in the power of communities
to change things for the better.
Orange CSR initiatives are grouped in five categories: Employees, Customers, Suppliers,
Community and Environment.
a) Employees
The most important resource of a company is represented by its employees. Orange Romania
exceptional results are an expression of dynamism, training and professionalism of the people
working in the company. Corporate responsibility towards employees means ensuring a safe and
healthy work environment, providing opportunities for professional and personal development,
creating a dialogue that would monitor the satisfaction and expectations. Corporate social
responsibility also involves promoting diversity, non-discrimination, equal opportunities for all.
Employees are also "ambassadors" who can transmit the most credible messages about
responsibility. "Therefore we are constantly preoccupied in dialogue with our employees and
invest in their training," said Richard Moat, CEO Orange Romania.
Thus, in terms of providing a better work environment safer and healthier, Orange shall ensure
that the space reflects the company's values and has a positive effect on people. Regarding the
work climate, 82% of employees who responded to the last survey consider that they are treated

with respect, regardless of the position they occupy. Protection of employees is important and
this is why Orange ensures work safety trainings in employment and refreshes them periodically.
It also provides specific training for those working in special conditions: high or electrical
Through social responsibility Orange has also made a code of ethics, which he communicated to
all employees. They define how to behave in relations with all its partners. The Orange
employees sometimes are put in special situations where the ethical choice is not exactly clear. In
these cases it is useful a guide that sets standards of professional ethics. Orange ethics guide
contains several examples to help employees faced with the situation of tough choices.
Orange has considered important the existence of a permanent dialogue between employees and
management so in this respect it was created in 2006 Orange Romania Employees Forum, a body
representing the interests of social dialogue between employees in direct relationship with the
company. It was also set up a call center for human resources that is available to employees for
any requests or complaints for which representatives of HR provides information for any
category of human resource topics and respond efficiently and accurately. Feedback from
employees of Orange Romania shows that both call center and forum were welcomed and were
consistent with their expectations.
Another important aspect is its responsibility towards employees training. Telecommunications is
an extremely dynamic and competitive field; you have to be always up to date and able to
respond to market requirements. Therefore, Orange is investing in training employees through a
training plan in all departments, depending on the requirements of each position. According to a
study on the organizational climate of the company, 79% of employees believe that they have
received the necessary training to perform their work better.
An alternative is classical trainings through an e-learning platform, a fast and efficient way to
access 3000 training modules. A novelty in terms of the training was the introduction in
September 2006 of SkillSoft catalog, comprising 3,000 courses with topics from all areas of
business, technical and managerial skills development. Courses are available online to all
employees from Orange and may be requested by the immediate superior, depending on the
training and development needs of the team. Orange Library is also a source of information and
development available to all employees, regardless of geographical area, the cards are sent
weekly by internal mail service and its administration being made through an application
developed internally.
Given that the concern for discrimination in the workplace is increasingly present, Orange
Romania attaches equal employment opportunities and professional development for women and
men. At the end of 2006, 52.3% of Orange Romania employees were women and 47.7% men,
and among management positions, 39.9% were held by women. However, in an external market
survey, 67% of employees who responded found that Orange management promotes diversity.

Another important component of internal social responsibility is the complex package of benefits
offered by Orange: life insurance, subscriptions to special prices for access to gyms,
kindergartens for children of employees, special allowances and performance bonuses, free
phones and subscriptions.
Regarding awareness by employees of social responsibility programs implemented by their
company and dissemination of such information, it should be noted that Orange informs
employees about the entire new corporate responsibility program, using for this purpose all
internal communication channels.
You for the community is a program dedicated to children with impaired vision and hearing
managed by Orange employees in Bucharest, Timisoara and Cluj-Napoca which got involved in
decorating schools for these children, organized outings, and theater in the park, parties and
various other activities. 160 volunteers also took a course in sign language gesture, made
audiology training and orientation in space to help children and participated in a broad action
that over 1,000 hearing impaired children received hearing aids.
Another voluntary program is "Orange Adept work camp" where employees had contact with
people of the villages where Orange has an extensive landscaping project on biodiversity
conservation and revitalization of rural communities. Orange Volunteers were involved in the
cleaning of natural spaces in the area, the marking of trails in the village and had the opportunity
to know better the project and issues faced by the community.
As a result of the volunteer programs, was noted that employees are interested in social
responsibility projects and that is important to them if you can get directly involved in these
initiatives. Such projects help increase employee motivation, strengthening team spirit, improved
communication among employees. It also represents an opportunity to put into practice the
values of Orange, to stimulate loyalty to the company and provide personal satisfaction.
According to a study, 93% of employees who responded think that Orange is a responsible
company. Also a 95% of employees consider that Orange has a coherent program of social
In terms of social responsibility toward employees Orange, highly appreciates the decision to
establish a forum of employees to meet all their demands and come meet their grievances and
recommendations concerning the company's activity. Another positive aspect is that we believe
that Orange encourages its employees to participate and be actively involved in social
responsibility projects. All the social involvement of a company develops an emotional
connection between employee and company. Therefore, by volunteering and community
involvement, employees assimilate convictions strategy and organization easier. Communication
with all partners of interest is more reliable if the concept of CSR is fully addressed, which
means that employees engage seriously in community service activities and are, in turn, taken

seriously by management. We believe that if the image a company wants to convey to the outside
is not supported internally, it remains somewhat a form without substance.

b) Customers
Orange is the mobile market leader in Romania and excellent financial results and growing
number of customers demonstrates that business strategies adopted by Orange Romania were
successful. With leadership comes increased responsibility to our customers, which we want to
offer the best communications service. In the relationship with our customers, the priority
direction in terms of corporate responsibility is to have an ongoing dialogue through all
communication channels to identify their expectations and satisfaction with the services
provided, reads the CSR report. It also states that "it is important to respond promptly and
clearly questions that we address customers through Customer Service. Therefore, one of the
performance indicators that we follow is to resolve customer requests in the first call to customer
service. "
According to a market survey conducted by Mercury, Orange customers have positively assessed
the following aspects of Customer Service: politeness, courtesy, patience and knowledge workers
and the issues that need to be improved are the waiting time to call Customer Service and solving
time requests.
In a comparative study on the subject conducted by Synovate, Orange recorded a higher score of
satisfaction of the subscribers compared with the competition, for the following: - relationship
with customers - network - billing system: clarity, accuracy, the payment term invoices - loyalty
program - shops disposition of products, assistance, how they are treated by sales representatives.
To improve the performance of Customer Service have been implemented a number of systems
- a system of intelligent call routing (Routing Genesys CTI) to ensure effective management
and faster resolution of incoming calls from customers
- Work Force Management system that optimizes the use and operation of Customer Service
assistants based on estimates of the number of calls
- Wisenet application containing all necessary information from customer service assistants
work: information about offers, service descriptions, work instructions, information about
mobile, and the most important cases of the day.
Mobile services continue to evolve as new technologies and develop new functions of mobile
phones. Currently, the mobile phone is more than just a means of communication, incorporating
the functions of a laptop, player, TV, or monitor payment instrument.

Thus, to support customers, Orange has created a practical guide with tips on how to use mobile
services safely for both adults and children. Among the topics covered in this guide are: using a
mobile phone while driving, misuse of mobile phones (false emergency calls), theft and loss of
phone and Internet content reserved for adults, spam, mobile phones and health. This guide is
available in electronic format on the company website.
We are pleasantly surprised to find out what Orange made in terms of social responsibility, but in
our position of Orange customer, we were not aware of them until now. We think it would be
useful to put next to the invoice a paper that says "look what we are doing."
We also like the idea of campaign involving customers in social responsibility actions, which
would be an important contribution to the social education of individuals, something that
Romanian society needs. Finally we urge any company that offers mobile services to show more
sincerity, transparency and integrity to customers.