PROJECT REPORT

PAKISTAN
12/28/2019
TELECOMMUNICATION
COMPANY LIMITED
(PTCL)

SUBMITTED BY:

ABDUL SAMAD
KAINAT EJAZ
ZOHA TARIQ
Table of Contents

EXECUTIVE SUMMARY.............................................................................2
History and Background........................................................................2
Hierarchy.............................................................................................4
Vision...................................................................................................6
Mission................................................................................................6
Core values and objectives.................................................................6
STRATEGIES..............................................................................................9
HUMAN RESOURCE...............................................................................9
MARKETING........................................................................................9
FINANCIAL STRATEGY.......................................................................10
SWOT Analysis........................................................................................13
PEST ANALYSIS.......................................................................................16
CONCLUSIONS........................................................................................17
RECOMMENDATION..............................................................................18
References..............................................................................................18
APPENDIX...............................................................................................19
 EXECUTIVE SUMMARY
We have done my work on PTCL Islamabad. The main reason of
choosing PTCL for project purpose was to gain experience. Here, we got
little bit information about telecom sector that how it operates in
Pakistan history of telecom sector in Pakistan and how it spread all over
domestic as well as international level. Different products and services
provided by PTCL include wire land as well as wireless internet base
services and technologies smart TV, EVO, 3G & 4G, corporate sector
services as PTCL provide platform to larger companies to connect at
international level as well as domestic northern areas by adopting its
services. Here we prepared financial ratios of PTCL. I also learned about
different types of Strategic Management of the PTCL like, Business
Strategies & Finance or HR management strategies. At end we have
closed by analyzing companies’ SWOT and PEST Analysis of the
company and some recommendations.

History and Background

From the beginning of the Posts & Telegraph Department in 1949 and
establishment of Pakistan Telephone & Telegraph Department in 1962,
PTCL has been a major player in telecommunication in Pakistan.

Pakistan Telecommunication Corporation (PTC) took over operations

and functions from Pakistan Telephone and Telegraph Department under
Pakistan Telecommunication Corporation Act 1991. This coincided with
the Government's competitive policy, encouraging private sector
participation and resulting in award of licenses for cellular, card-
operated pay-phones, paging and, lately, data communication services.

Pursuing a progressive policy, the Government in 1991, announced its

plans to privatize PTCL, and in 1994 issued six million vouchers
exchangeable into 600 million shares of the would-be PTCL in two
separate placements. Each had a par value of Rs. 10 per share. These
vouchers were converted into PTCL shares in mid-1996.

In 1995, Pakistan Telecommunication (Reorganization) Ordinance

formed the basis for PTCL monopoly over basic telephony in the
country. The provisions of the Ordinance were lent permanence in
October 1996 through Pakistan Telecommunication (Reorganization)
Act. The same year, Pakistan Telecommunication Company Limited
was formed and listed on all stock exchanges of Pakistan

PTCL launched its mobile and data services subsidiaries in 2001 by the
name of Ufone and PakNet respectively. None of the brands made it to
the top slots in the respective competitions. Lately, however, Ufone had
increased its market share in the cellular sector. The PakNet brand has
effectively dissolved over the period of time. Recent DSL services
launched by PTCL reflects this by the introduction of a new brand name
and operation of the service being directly supervised by PTCL.

As telecommunication monopolies head towards an imminent end,

services and infrastructure providers are set to face even bigger
challenges. The post-monopoly era came with Pakistan’s Liberalization
in Telecommunication in January 2003. On the Government level, a
comprehensive liberalization policy for telecoms sector is in the
offering.

In 2005, Government of Pakistan decided to sell 26 percent of the

company to some private corporation. There were three participants in
the bidding process for privatization of PTCL. Etisalat, an Abu Dhabi
company was able to get the shares with a large margin in the bid.[7] In
June 2005, Etisalat won the 26% of PTCL shares along with
management control of the then telecom monopoly for USD 2.6 billion.
As of 2019, Etisalat has held back $800m amount over a property-
transfer dispute with the Pakistani government.[8]

Government's plan of privatizing the corporation was not welcomed in

all circles; countrywide protests and strikes were held by PTCL workers.
They disrupted phone lines of institutions like Punjab University Lahore
along with public sector institutions were also blocked. Military had to
take over the management of all the exchanges in the country. They
arrested many workers and put them behind bars. The contention
between Government and the employees ended with a 30% increase in
the salaries of workers.

Hierarchy

ORGANIZATIONAL CHART
 PRESIDENT
(C.E.O)

C.T.O C.I.O C.F.O

GENERAL GENERAL GENERAL

MANAGER MANAGER MANAGER

SENIOR SENIOR SENIOR

MANAGER MANAGER MANAGER

MANAGER MANAGER MANAGER

ENGENEER

SUPERVIOSER

TECHNICIAN

LINEMAN

INFORMATION FLOW CHART OF PTCL:

 Departmental Chart, H-9 Islamabad Branch

General Manager Traffic Department Account Department Clerical Department

Engineer Senior Accountant Admin

Supervisor
Operator Staff

Technician
Supervisor Cashier

Line Man

Vision
To be the leading and most admired Telecom and ICT provider in and
for Pakistan.
Mission

To be the partner of choice for our customers, to develop our people and
to deliver value to our shareholders.
 

Core values and objectives

Desirable Behaviors:

 We respect everyone.

 We treat others the way we want to be treated.
 We maintain safe and enabling environment.
 We fulfill our commitments.
 We care for our communities and society.
 We safeguard company assets & information.

We Put Customers First: We are passionate about serving our customers. Their
satisfaction is a key measure of our success.

Desirable Behaviors:

 We look at everything through the eyes of the customer.

 We build trust through our open and trnsparent communications.
 We create ese of use by making things simple.
 We anticipate customer needs and resolve proactively.
 We go out of our way to build customer relation.
 We take pride in making our customer experience delightful.

We Work as One Team: We seek and value everyone’s contribution.

Together we are strong.

Desirable Behaviors:

 We trust each other.

 We set realistic expectations.
 We listen and share candid feedback.
 We recognize contributions, celebrate success and learn from failures.
 We exhibit patience and tolerance.
 We go extra mile to support others.
We Embrace Change: We shape our own destiny by being proactive and open to new
ideas.

Desirable Behaviors:

 We pursue excellence.
 We encourage diverse perspectives.
 We are empowered nd accountable.
 We exhibit entrepreneurial mindset.
 We are ready to unlearn and relearn.
 We take risks for meaningful change.

Quality Policy
 

To continuously strive for the best Quality in ICT Services. This will
include the commitment for:

Achieving and exceeding customer satisfaction

Complying with all the legal, regulatory and other applicable
requirements
Facilitating a conducive, safe and ethical working environment
Ensuring the right quality of products and services from PTCL vendors
Setting quality objectives, measuring results and continually improving
Quality of Services

STRATEGIES
HUMAN RESOURCE
The transformation from a legacy public sector organization into a
responsive and competitive enterprise in the deregulated era could not
have been possible without implementing a forward looking Human
Capital development and management strategy. One of the most
important objectives of this new strategy was to optimize the workforce
which was implemented by offering the voluntary option of separating
From PTCL in exchange for financial compensation. Around 29,920
employees opted to pursue other
career opportunities after accepting terms of voluntary separation from
PTCL.

MARKETING
PTCL is leading in terms of traffic on WLL in Pakistan, which has about
54 percent market share of total traffic of WLL segment. Two major
players, PTCL and Telecard have lost market share in WLL traffic in
quarter ending December 2007 when compared with the same quarter of
the last year. PTCL share came down to 54 percent from 57 percent
while Telecard share in total traffic has come down to 22 percent from
30 percent. WorldCall has gained 100 percent and its share reached to 22
percent at the end of 2007 compared to the same quarter last year.
PTCL, the incumbent operator in fixed line in Pakistan has also emerged
as market leader with 57 percent market share followed by Telecard and
Worldcall with 19.6 percent and 20.2 percent market share at the end of
December 2007.Great Bear International share is reported to be 3
percent, while Wateen Telecom share is 0.2 percent,which started their
services during the quarter. PTCL has gained over 1 percent marketshare
compared to the same quarter of last year while Telecard added over 5
percent market share during this period. Great
Bear International though a smaller shareholder in WLL market but its
share is increasing due to its quality of service as it reached to 3 percent
as compared to 2 percent in December 2006.
policies by the PTA.

FINANCIAL STRATEGY
The structural adjustments undertaken by the company in response to the
increased competition and substitution impact of mobile expansion has
adversely hit the profitability of PTCL in the short run.
As the ptcl growing its position as the leading ICT service
provider and a profit leader, a five year Strategic Master Plan for the
Company, with defined corporate KPI targets, timelines and ownerships
was developed by the PTCL management. Defining yearly targets on
market shares for various voice and data services, introduction of a
corporate KPI based performance measurement system, Restructuring of
the organization, formulation of IPTV, Triple Play and converged
services, migration to an end to end IP based network, Investment
strategies such as Assets Management for risk diversification and
improved Return on Investments, were all part of the master plan.

DIFFERENTIATION

PTCL has by far the largest network coverage, competitive price, and a
range of Value Added services including Phone book, messaging, and
call logs. PTCL wireless service gives voice quality of a landline with
country-wide coverage, employing the state of the art CDMA 2001x
technology and nationwide availability.

COST LEADERSHIP.

PAKISTAN PLUS LEADERSHIP

Pakistan Plus offers 2,500 minutes of nationwide calls for a fixed

package charge of Rs. 199. The package also includes free voicemail
and call waiting. Moreover, for convenience to customers, all
subscribers who were on Pakistan Package as of 31st March 2008 have
been shifted to Pakistan Plus with effect from 1st April 2008
 Line rent (excl. taxes) Rs. 174

Package charge Rs. 199

Local – Peak (8 am to 9 pm) Rs. 2.00/2 mins

Local – Off Peak (9 pm to 8 am) Rs. 2.00/4 mins

NWD call Free (up to 2500 minutes)

additional minutes would be charged at Rs.
2.00 / min

Mobile Rs. 2.50/min

Free Services Voice mail, Call waiting

BASIC LEADERSHIP Basic Plus is designed to meet the needs of the low
usage segment and includes basic services along with voicemail and call
waiting. All customers who were not on Pakistan Package as of 31st
March 2008 have been shifted to Basic Plus with effect from 1st April
2008.

Line rent (excl. taxes) Rs. 174

Package charge NIL

Local – Peak (8 am to 9 pm) Rs. 2.00/2 mins

Local – Off Peak (9 pm to 8 am) Rs. 2.00/4 mins

 NWD call Rs. 2.00/min

Mobile Rs. 2.50/min

Free Services Voice mail, Call waiting

VALUE LEADERSHIP
 

Value Plus is designed for the internet savvy and offers 1,200 internet
minutes in addition to 25 nationwide calling minutes per month for a
fixed package charge of Rs. 75. The package also includes free voicemail
and call waiting

Line rent (excl. taxes) Rs. 174

Package charge Rs. 75

Local – Peak (8 am to 9 pm) Rs. 2.00/2 mins

Local – Off Peak (9 pm to 8 am) Rs. 2.00/4 mins

NWD call Rs. 2.00/min

Mobile Rs. 2.50/min

Free Minutes / Services 1200 Phone n Net minutes, 

25 nationwide minutes,

Voice mail, Call waiting

 SWOT Analysis
Pakistan Telecommunication Company Ltd (PTCL) is the largest
telecommunication company of Pakistan offering number of telephony
and Internet services to customers. This topic is covering the Strengths,
weaknesses, opportunities and threats of PTCL in detail.

Strengths
 Oldest Telecommunication Company of Pakistan founded in 1947.
 All the telecommunication companies operating in Pakistan
directly or indirectly dependent upon PTCL network.
 PTCL maintain the records of customers in an organize way that is
not the case with other private
 Telecommunication companies in which the numbers are allocated
without proper verification.
  PTCL can be used as a backup network if the mobile networks are
down due to any reasons.
 It has been offering speedy Internet DSL connection to the
customers and also offers concession to the students
 PTCL is offering multiple services which includes TV, Internet
and Telephone using local loop.
 The largest landline network of Pakistan.
 It offers low rates for the national calls as compared to mobile
networks.

Weaknesses
 Flat organizational structure
 Bureaucratic environment.
 Political intervention in decision making.
 Extra employee overhead due to extra hiring.
 Customer service is very poor specially in Internet services
 V wireless coverage and service is very poor.
 Functional units are not well organized.
 Bad debts due to non payments of bills.
 Weak marketing of new services.
 Lack of technical staff in DSL technical support.
 People used to give bribe for new connection of Landline.
 Form processing for new connection takes more time in larger
cities.

Opportunities
 Joint ventures with other telecommunication companies for
introducing new services.
 Improvement in customer services.
 Hire technical staff to reduce the level of DSL issues in order
toincrease customer satisfaction.
  Proper planning and implementation is required to Improve
wireless PTCL and Evdo services in Pakistan.
 Aggressive marketing is required to promote offered services and
give hard time to competitors.
 Increase market share of Internet services.
 Adopt latest technology.

Threats
 Strong competition from telecommunication companies.
 Inflation in the country may increase the cost of services which
will finally transferred to customers.
 Energy crises throughout the country.
 Rapid raise in Government taxes.
 New players in the industry.
 Political instability.
 Security issues.
 Cyber crimes percentage is increasing.
 Inconsistent and Adhoc decisions by Company management.

PEST ANALYSIS
It is very important that an organization considers its environment before
beginning the marketing process. Thus there are mainly four factors
involved in PEST Analysis of PTCL. These are explained Below in
detail.
Political Factor
Not much the Government Policy & Laws are giving a positive
influence on the Organization environment.
But at the end as being the part of Government previously it has a great
edge as compared to other telecommunication organization.
Due to Pakistan Unstable Political Environment there is a great
negative effect on the Organization. Not only on Telecommunication
sector also on Others Sectors also.

Economical Factor
The Interest rate in country is reducing in an alarming situation that is
effecting directly on the organization performance.
As the level of Per Capita Income is not increasing as the increase in
Inflation level so the Purchasing power is very much effected the
economic condition of the country also the Organization environment.
Social-Cultural Factor
PTCL has a great Social and Cultural benefit because it has been
introducing many packages according to customer need and wants.
Due to organization many people are employed therefore it has a
respectful status in the mind of the peoples.

Technological Factor
As a vast infrastructure and network PTCL are now moving along with
the flow of the Technology. Therefore introducing different categories
of new product in the field of telecommunication.
The new product are crafted against the need of consumers and
business purpose to be active in the Race of Technology.

CONCLUSIONS
No doubt PTCL is enjoying monopoly but the time is came when
competition will force Company to change its policies to become
favorite telecom service provider in the Market & keep its current place
& customer base. The company maintains a leading positionin Pakistan
as an infrastructure provider to their telecom operators and corporate
customers of the country. It has the potential to be an instrumental agent
in Pakistan’s economic growth. PTCL has laid an Optical Fiber Access
Network in the major metropolitan centers of Pakistan and local loop
services have started to be modernized and upgraded from copper to an
optical network On the Long Distance and International infrastructure
side, the capacity of two SEA-MEWE.Employees at PTCL are quite
efficient. Its employees have to bring their org among the list of good. It
also shows their loyalty, commitment to organization.

RECOMMENDATION
No doubt PTCL having the monopoly in providing the Land-Line
Telephone connection in Pakistan and its playing its role magnificently.
In current scenario P.T.C.L has increases its Revenue quite dramatically
and probably that as soon as this organization has become privatized it
will flourish its revenue in better manner.
PTCL should also encourage the Billing Online system that each and
every customer should have to pay his/her bill on line basis.
The image of PTCL being leading Telecom providing is not good in the
eyes of common customer especially there are lot of complaints about
the including the bogus local calls in the monthly bills of various
customers. PTCL should also provide the detail of local calls made from
any Land Line Number which would be provided in Micro level to the
customer.

References
www.ptcl.com.pk
Annual report 2014
Annual report 2015
Annual report 2016
Annual report 2017
Annual report 2018
www.google.com
www.wikipedia.com
Economic survey of Pakistan
Businessrecorder.com
Security and Exchange Commission of Pakistan
Yahoofinance.com
PTA Reports

APPENDIX