Overview of the Industry

telecommunication industry is growing at a break neck speed with leading players

lapping up mobile subscribers by millions month on month. The country’s telecom
market is the 4th largest in the world in terms of wireless subscribers and 5th largest
in terms of total telecom subscribers. After growing its wireless (GSM and CDMA)
subscriber base to over 230 m by the end of December 2007, the country is expected
to take the number to 500 m telecom subscribers by the end of March 2010. 8
million new subscribers are added every month. This growth is likely to be aided by
the availability of cheaper handsets, focus of regulatory measures to take telephony
to rural markets, lower tariffs and general buoyancy in the economy.

Year Mobile sub base Penetration

(millions)

2003 28 3%

2004 47 4%

2005 75 7%

2006 142 13%

2007 230 21%

2010 500 -
(Expected)

Note: Penetration = Number of subscribers/ Total population

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 Telecom Growth – The Changing Scenario
25
22.5
20
Tele-density

15
11.5
10
6
5
1.94
0.02
0
1948 1998 2005
2003 2007
Stage I II III IV
Year Ending

The graph shows four stages of telecom growth in the Indian industry:

Stage I (1948-1998): The tele-density was almost stagnant at 0.02 for a long period
of time. Then it gradually increased and reached to 1.94 in the year 1998

Stage II (1998-2003): This five year period showed an exponential rise in the tele-
density and reaching to 6 in the year 2003

Stage III (2003-2005): The tele-density increased from 6 to 11.5 in just 2 years

Stage IV (2005-2008): The tele-density rose from 11.5 to 22.5 showing the growth
rate of tele-density increasing at an increasing rate

2
HISTORY OF INDIAN TELECOMMUNICATION

YEAR EVENTS

1851 First operational landlines were laid by the government near

Calcutta.

1881 Telephone service was introduced in India

1883 Merger with the postal system

1923 Formation of Indian Radio Telegraph (IRT) company

1932 Merger of ETC and IRT into Indian Radio and Cable
Communication (IRCC) company

1947 Nationalization of all foreign telecommunication companies to form

the Posts, Telephone and Telegraph (PTT), a monopoly run by the
government’s Ministry of Communications

1985 Department of Telecommunications (DOT) established

1986 Conversion of DOT into Videsh Sanchar Nagam Limited (VSNL)

and Mahanagar Telephone Nagam Limited (MTNL)

1997 Telecom Regulatory Authority of India (TRAI) created

1999 Cellular services are launched in India

2000 DOT becomes a corporation, BSNL

MAJOR PLAYERS:

State owned companies: BSNL and MTNL

Private Indian companies: Reliance Infocomm and Tata Teleservices

Foreign invested companies: Bharti Alcatel-Lucent, Vodafone Essar, Idea Cellular,

BPL Mobile, Spice Communications, and EscoteL

The Communications Industry Analysis of India suggests that the industry has registered

phenomenal growth since, the 1990s. The Government of India came out of its old

3
monopoly-market concept to open-market policy regime. This resulted economic

renaissance in India and different Indian industries grew to record heights in record time.

The success of India telecommunication industry is also mention worthy and its

contribution towards the overall health of Indian economy is substantially high.

The Indian Communications Industry Analysis indicates that although, this industry has

matured tremendously over the last fifteen years but huge scope of growth still waits to

be explored. The urban India is more or less well connected with basic telephone

services but the semi-rural area needs immediate attention.

The most important and unexplored area is the rural- India and huge scope of growth is

lying still untapped. The Government of India is now more focused on faster

development of rural-telephony in rural parts of India. The latest telecommunication

policy offers host of fiscal incentives and tax rebates to attract investors, both domestic

and foreign investors.

Telecom Regulatory Authority of India or the TRAI regulates the telecommunication

industry of India. It has earned good reputation for transparency and competence. Three

types of operators function in this industry. With 110.01 million connections, the Indian
telecommunication industry is the fifth largest and fastest growing telecommunication

industry in the world. The subscriber base of the Indian telecommunication industry has

grown by 40% in the year 2005 and is projected to touch 250 million by the end of the

financial year 2009. In the last 3 years, two out of every three new telephone

connections were wireless and today it accounts for about 55% of the total telephone

subscription in India, as compared to only 40% in 2003. The wireless subscriber growth

in India is expected to add 2.5 million new subscribers in every month of the financial

year 2007-2008. The wireless subscriber base in India raised from 33.69 million

4
subscriptions in 2004 to 62.57 million subscriptions in the financial year 2004 -2005.

The wireless technologies those are currently operating in the Indian telecommunication

industry are Global System for Mobile Communications (GSM) and Code Division

Multiple Access (CDMA). The Indian telecommunication industry now has 9 GSM and

5 CDMA service providers serving in 19 circles and 4 metro cities and connecting more

than 2000 towns across the length and breadth of India.

The main service providers in the Indian telecommunication service are as follows -

State owned companies like - VSNL, BSNL and MTNL.

Private Indian companies like - Reliance Infocomm and Tata Teleservices.

Foreign companies like - Hutchison-Essar, Bharti Tele-Ventures, Escotel, Idea Cellular,

BPL Mobile, and Spice Communications.

Further, the Indian Communications Industry Analysis suggests that the products and

services offered by this industry is not confined to basic land line connections but it also

includes facilities like Internet, broadband (both wireless and fixed), cable TV, SMS,

Internet Protocol TV (IPTV), soft switches etc.

The analysis of the tenth plan of the Indian communication industry is as follows -

Creating world class telecommunication infrastructure to meet the requirements of IT,

ITES, media and other IT based industry

Easy and affordable access to basic telecommunication services across India

Affordable and effective basic telecommunication facilities to each and every Indians

Facilitation of world class service to all uncovered and rural areas of India

Establishing a modern and efficient telecommunication infrastructure to meet the

requirements of modern industrial nation

Continual modernization of the Indian telecommunication industry and provide an equal

opportunity for all the telecommunication

5
service providers operating in India

Strengthening R&D in telecommunication

Efficient and transparent spectrum management

Alcatel-Lucent History

The formation of Alcatel-Lucent in 2006 created the world’s first truly global
communications solutions provider, with the most complete end-to-end portfolio of
solutions and services in the industry. Alcatel-Lucent transcends national borders,
with an extensive, well-balanced global presence in terms of resources and revenues,
and one of the largest and most innovative R&D capabilities.

At the Origin of Telecommunications

Alcatel-Lucent has been at the forefront of telecommunications since the birth of the
industry in the late 19th century. The company’s roots span two continents and
encompass two early pioneering companies — La Compagnie Générale d'Electricité
(CGE) and the Western Electric Manufacturing Company.

Western Electric began in 1869 when Elisha Gray and Enos N. Barton
started a small manufacturing firm based in Cleveland, Ohio. By 1880, the
company had relocated to Chicago, Illinois, and become the largest
electrical manufacturing company in the U.S. Western Electric was noted
for its production of a variety of electrical equipment, including the world's first
commercial typewriters, telegraph equipment and Thomas A. Edison's electric pen.
In 1881 the American Bell Telephone Company — founded by Alexander Graham
Bell and forerunner of American Telephone & Telegraph (AT&T) — purchased a
controlling interest in Western Electric and made it the exclusive developer and
manufacturer of equipment for the Bell telephone companies.

6
La Compagnie Générale d'Electricité (CGE) was formed in 1898 by French engineer
Pierre Azaria to compete against AEG, Siemens and General Electric. Based in
Alsace region of France, CGE was an industrial conglomerate involved in various
activities such as electricity, transportation, electronics and telecommunications.
CGE would become a leader in digital communications and would also be known for
producing the “TGV” (train à grande vitesse) high speed trains in France.

In 1925, Bell Telephone Laboratories was created from the

consolidation of the Western Electric Research Laboratories,
formed in 1907, and part of the Engineering Department of
AT&T. Bell Labs would go on to generate some of the most
significant scientific and technological discoveries of the 20th century, including the
transistor, the laser, the solar cell battery, the digital signal processor chip and the
cellular concept of mobile telephone service. Bell Labs researchers would also
garner 7 Nobel Prizes.

Also in 1925, Western Electric sold its International Western Electric Company
subsidiary to ITT Corporation.  CGE strengthened its leadership in digital
communications in the mid-1980s when it bought the telecommunications part of
ITT and changed the group’s name to Alcatel Alsthom.

Changing and Expanding

The mid-1980s marked significant changes for both

companies. In 1983, Alcatel Alsthom became one of the first
foreign companies to establish itself in China, understanding
the huge potential of the Asia Pacific market. Effective January 1, 1984, AT&T
agreed to divest its local Bell telephone companies. As part of this divestiture, a new
unit named AT&T Technologies (later to become Lucent Technologies), assumed
Western Electric's charter.

The 1990s were a time of realignment and refocusing on

telecommunications. AT&T launched Lucent Technologies in April
1996 with an initial public offering. The spinoff was completed in

7
September 1996 when AT&T distributed its shares of Lucent to AT&T shareowners.
In 1998 Alcatel Alsthom decided to concentrate on the telecommunications industry,
spinning off its Alsthom activities and changing the company’s name to Alcatel. 

Alcatel made significant acquisitions in North America at the end of the 1990s and
in the early 2000s. Acquisitions included: DSC in 1998; Newbridge and Genesys in
2000; Astral Point Communications in 2002; and Spatial Communications in 2005.

In 2002 Alcatel took control of its flagship subsidiary Alcatel Shanghai Bell (ASB),
with the Chinese government owning the rest of this enterprise. This structure
allowed Alcatel to uniquely position itself in a Chinese market experiencing rapid
growth.

Looking Forward

In 2006, facing an industry with intense competition and where operators were
consolidating, Alcatel and Lucent Technologies announced plans to merge.

At the same time, Alcatel announced a deal to increase its shareholding and transfer
its satellite subsidiaries, its railway signaling business and its critical security
systems domains to Thales, a key player in the French defense industry.

On November 30, 2006, the merger between Alcatel and Lucent was completed,
creating the world’s first truly global communications solutions provider.

At the start of the 21st century, the landscape of the networks began to change
radically. Once, engineers defined services for users. Today, the users invent the
services. They are the writers, the editors, the photographers, the filmmakers – and
the developers. They are testing the limits of imagination and possibility. It is their
ideas that drive the network to the edge of capability.

It is Alcatel-Lucent’s strategy to spark the transformation of their industry and

remain at the forefront of the ever-evolving communications market. To that end
Alcatel-Lucent entered into several joint ventures and made strategic acquisitions in
key technologies.

8
The company acquired Nortel's UMTS radio access business to strengthen its
leadership position in this technology at the end of 2006. During 2007 the company
continued its focus on wireline technology, software and services expertise with
acquisitions of Canadian metro WDM networking supplier Tropic Networks, Inc.;
enterprise services gateway products developer NetDevices; IPTV software
company Tamblin; and the telecommunications consulting practice Thompson
Advisory Group, Inc. In addition, Alcatel-Lucent acquired Motive, Inc., a leading
provider of service management software for broadband and mobile data services in
2008.

In 2009, in keeping with the company’s Application Enablement strategy and our
vision of the High Leverage Network™ architecture that supports it, Alcatel-Lucent
acquired leading Content Delivery Network (CDN) provider Velocix, followed by
the 2010 acquisitions of leading Web 2.0 API repository ProgrammableWeb and
OpenPlug, a cross-platform mobile software development tool provider.

About Alcatel-Lucent

Telecoms today is an environment of radical adaptation to new realities, new

demands, new business models. The long-trusted transformation partner of service
providers, enterprises, strategic industries and governments around the world,
Alcatel-Lucent delivers the innovation our customers need to stay ahead. To
compete. To create. To move at the speed of ideas, both in the lab and in the
marketplace.

A leader in mobile, fixed, IP and optics technologies, and a pioneer in applications

and services, Alcatel-Lucent includes Bell Labs, one of the world’s foremost centers
of research and innovation in communication technology. We bring an unmatched
heritage of ideas and execution to the challenge of realizing the potential of a
connected world. Our customers turn to us for our ability to deliver on their future.

With operations in more than 130 countries and the most experienced global services
organization in the industry, Alcatel-Lucent is a local partner with a global reach.

9
Alcatel-Lucent achieved revenues of Euro 16 billion in 2010 and is incorporated in
France and headquartered in Paris.

Organization

With a strong focus on complete solutions that generate value for customers and help
them realize the potential of a connected world, Alcatel-Lucent is organized around
three operating segments and three geographic regions.

Applications focuses on developing and maintaining innovative applications and

software products for our global customer base. Networks is responsible for
managing our network product portfolio, in line with the company’s High Leverage
Network™ strategy. It provides industry-leading products that address our
customers’ network requirements in all market segments such as service providers,
industries and enterprises. Services supports a network’s entire life cycle, including
consultation, integration, migration and transformation, deployment, maintenance
and management of operations.

The company's geographic regions are the Americas; Europe, Middle East, and
Africa; and Asia Pacific.

Innovation & Technology

Telecoms today is an environment of adaptation to new realities, new demands and

new business models. Network operators must now deliver the life-blood of
commerce, as well as the entertainment, collaboration, and interactions that are the
foundation of society. In a world where the time it takes for a new idea to become a
new application is ever-shrinking, networks must evolve at the speed of ideas.

Alcatel-Lucent is not just adapting with the industry; we are actively helping to
spark its transformation. Our R&D investment of Euro 2.5 billion and our portfolio
of more than 27,900 active patents worldwide span a vast array of technologies.

10
At the core of this innovation is Alcatel-Lucent's Bell Labs, an innovation engine
with researchers working at the forefront of such areas as multimedia and converged
services and applications, new service delivery architectures and platforms, wireless
and wireline, broadband access, packet and optical networking and transport,
network security, enterprise networking and communication services and
fundamental research in areas such as mathematics, nanotechnology, and algorithmic
and computer sciences.

History

The formation of Alcatel-Lucent in 2006 created the world’s first truly global
communications solutions provider, with the most complete end-to-end portfolio of
solutions and services in the industry.

Alcatel-Lucent combined two entities — Alcatel and Lucent Technologies — which

shared a common lineage dating back to 1986. That was the year Alcatel’s parent
company, CGE (la Compagnie Générale d’Electricité), acquired ITT’s European
telecom business. Nearly 60 years earlier, ITT had purchased most of AT&T’s
manufacturing operations outside the United States. Lucent Technologies was spun
off from AT&T.

Vision & Mission

The Alcatel-Lucent Vision, Mission and Values form the cornerstones of our
company. These statements set the tone for the way the company operates.

Our Vision - Definition of future success

To realize the potential of a connected world.

Our Mission - Purpose and path to realize the vision

To deliver the innovation our customers need to stay ahead, to evolve, to become
radically more efficient, and to move at the speed of ideas.

Our Values -  A system of shared beliefs that are at the heart of everything we do.

11
Customers First: We exist to serve our customers. Our success will be determined
by how well we perform for them.

Innovation: We are intuitive, curious, inventive, practical and bold, which allows us
to create new ideas for our customers, our business and employees. New thinking
and new ideas are encouraged and nurtured throughout our global operations.

Teamwork: Success requires teamwork. We are collaborative and respect the

contributions of each person to the team’s success.

Respect: We are a global company with many cultures. We respect and embrace
people and perspectives from all over the world.

Accountability: We do what we say we will do. We own a collective responsibility

towards customers, colleagues, communities and shareholders.

12
Problems of the Organization
There are three main problems that were discovered during the training
programme.

The problems faced were:

a) Delay in Telephonic Interviews
b) Delay in conducting Video Conference
c) Delay in getting the Interview Assessment Sheet from the Interviewer.

13
Competitor’s information
BSNL (BHARAT SANCHAR NIGAM LIMITED)

India's fastest growing cellular service , along with postpaid and prepaid services
brings cellular telephony to the masses, through innovative technology and strategic
pricing.

This ambitious service uses state-of-the-art GSM technology to attain global

excellence and leadership in business. Our entry into this sector has brought GSM
cellular service at an affordable cost to the common man. All serving a single
objective that ISto provide better communication to millions across India.

Customers have reposed tremendous faith in BSNL and it has enrolled over 30 Lakh
Cellular customers within ten months of launch of Cellular service, an
unprecedented mark in Indian Cellular Market. CellOne provides a number of Value
Added Services. These services helps BSNL serve you better & enhance the ease &
quality of communication thus bringing global connectivity at your doorstep.

Voice Mail Service

Value Added Services  SIM Based service   SMS based Services
Short Message Service (SMS)
Group Messaging
National & International roaming
Call forwarding
Corporate Virtual Private Network
Call conferencing
Friend and Family Talk
Call waiting and Call holding facility
Unified Messaging Services: This provides Voice mail, FAX, e-mail, text to voice
services on your mobile phone. So stay in touch with your nears and dears by means
you like the most.

14
Wireless Application Protocol (WAP): Surf WAP enabled websites on Internet
using this service.

15
IDEA (ADITYA BIRLA MANAGEMENT)

The many-armed Aditya Birla rivals even Shiva's many incarnations. With nearly 70
manufacturing units, service operations, and subsidiaries the Indian conglomerate
produces fabrics, industrial gases, aluminum and copper, cement, palm oil, branded
apparel, carbon black, chemicals, fertilizers, sponge iron, and insulators. Aditya
Birla is the #1 producer of viscose staple fiber (a manmade fiber akin to cotton) in
the world as well as the world's #1 producer of rolled aluminum and is among Asia's
largest producers of primary aluminum. Its subsidiaries also provide business,
financial, and IT services. Those subsidiaries include metals company Hindalco,
industrial giant Aditya Birla Nuvo, and IDEA Cellular. IDEA Cellular is a publicly
listed company, having listed on the Bombay Stock Exchange (BSE and the National
Stock Exchange (NSE) in March 2007.
As India's leading GSM Mobile Services operator, IDEA Cellular has licenses to
operate in all 22 Service Areas. Presently, operations exist in 12 Service Areas
covering states of Delhi, Maharashtra, Goa, Gujarat, Andhra Pradesh, Madhya
Pradesh, Chattisgarh, Uttaranchal, Haryana, UP, Himachal Pradesh, Rajasthan and
Kerala. With a customer base of over 28 million, IDEA Cellular's footprint currently
covers approximately 70% of India's telecom population. Services in Bihar &
Jharkhand are expected to be launched by end of Q2 ’08-’09 and in Tamilnadu and
Orissa before end of financial year ’08-’09.
A frontrunner in introducing revolutionary tariff plans, IDEA Cellular has the
distinction of offering the most customer friendly and competitive Pre Paid
offerings, for the first time in India in an increasingly segmented market.

Customer Service and Innovation are the drivers of this Cellular Brand. A brand
known for their many firsts, Idea is only operator to launch GPRS and EDGE in the
country. Idea has received international recognition for its path-breaking innovations
when it won the GSM Association Award for “Best Billing and Customer Care
Solution” for 2 consecutive years.

16
TATA

Ta-da! India's largest industrial conglomerate the Tata Group runs more than 90
companies in seven main business sectors: chemicals, communications and IT,
consumer products, energy, engineering, materials, and services. Two of its largest
operations are steelmaking, through Tata Steel, and vehicle manufacturing (Tata
Motors). Tata Tea is one of the largest tea producers in the world and owns the
venerable Tetley brand. Tata Steel acquired Corus Group for $12.2 billion, which
created the sixth-largest steel company in the world, and made an even bigger splash
with the 2008 acquisition of Land Rover and Jaguar from Ford. The group is
managed through holding company Tata Sons.

17
VODAFONE

Vodafone Essar in India is a subsidiary of Vodafone Group Plc and commenced

operations in 1994 when its predecessor Hutchison Telecom acquired the cellular
licence for Mumbai. Vodafone Essar now has operations in 17 circles covering
86% of India's mobile customer base, with over 52.75 million customers*.

Over the years, Vodafone Essar, under the Hutch brand, has been named the
'Most Respected Telecom Company', the 'Best Mobile Service in the country'
and the 'Most Creative and Most Effective Advertiser of the Year'.

Vodafone is the world's leading international mobile communications company.

It now has operations in 25 countries across 5 continents and 40 partner
networks with over 269 million customers worldwide. Vodafone has partnered
with the Essar Group as its principal joint venture partner for the Indian market.

The Essar Group is a diversified business corporation with interests spanning

the manufacturing and service sectors like Steel, Energy, Power,
Communications, Shipping & Logistics and Construction. The Group has an
asset base of over Rs 400 billion (US$ 10 billion) and employs over 20000
people.

*Figures from Cellular Operators Association of India, August 31, 2008

18
Customer Relationship Management (CRM) is the guiding principle of analytics
today… … But Technical Systems Still Lack the Ability to Manage CRM

ORIGIN OF CUSTOMER RELATIONSHIP MANAGEMENT:

Relationships are the essence of life. It is difficult to think about any society or
organization to survive without relationships. They are the invisible threads which
build a unique bond between individuals and organizations. On the one hand these
bonds may be as strong as iron pillars lasting for life time, whereas on the other hand
they are as delicate as feather which may be broken within no time. Managing
relationships is a very difficult and complex phenomenon. Organizations are
realizing the importance of the vital role played by relationships in achieving and
maintaining the cutting edge at the marketplace.

Long ago Peter F.Drucker had advocated that the purpose of any business is to create
customers. It is the customer, which gives an opportunity to the organization to serve
him or her. The success of any organization primarily depends upon the sustaining
the customer advantage that is retaining the customers for lifetime. Growing
complexities and uncertainties at the market place along with intensifying global
competition are forcing the business organization to invest in building customer
relationships. New and sophisticated marketing tool kits are being designed to
attract, satisfy and retain customers for achieving sustainable competitive advantage.

CRM has recently emerged as a strategic solution to modern business problems. It

has its roots in the age old business philosophy which recognizes that all business
activities must revolve around customers.

The term CRM was first coined in the early eighties by academics at various
business schools. One of the first on the scene was Dr. Jagdish Sheth who was at the
Goizeta Business School at Emory University in Atlanta.

19
CUSTOMER RELATIONSHIP MANAGEMENT : Customer relationship
management as coined by the Gartner Group, it compasses sales, marketing,
customer service, and support applications.

While the CRM term is fairly recent, it grew from a combination of terms like Help
Desk, Customer Support, ERP, Data mining. It evolved because none of the previous
terms could cover the topic well enough and because some of the terms (ERP) have
grown to be met with a great deal of distaste in the mouths of the business world.

CRM DEFINED:

Customer Relationship Management (CRM) is the strategic application of people,

processes, and technology in an organization-wide focus on improving the
profitability of customer relationships - DM Martin and AM Peel, The Pace Setter
Group, 2001

The infrastructure that enables the delineation of and increase in customer value, and
the correct means to motivate valuable customers to remain loyal, to buy back again.
- Jill Dyche, The CRM Handbook, 2000

CUSTOMER RELATIONSHIP MANAGEMENT : A strategy (technology-

enabled) in response to, and in anticipation of, actual customer behavior. From a
technology perspective, CRM represents the systems and infrastructure required
capturing, analyzing and sharing all facets of the customer’s relationship with the
enterprise. From a customer care perspective, it represents a process to measure and
allocate organizational resources to those activities that have the greatest return and
impact on profitable customer relationships.

20
 EVOLUTION OF RELATIONSHIP MARKETING

PRODUCT
FOCUS

Competition Forces CUSTOMER

FOCUS

Sharper Marketing

FULL CUSTOMER
FOCUS

FULL
RELATIONSHIP
MARKETING

Recognition that database and

Contact lack coordination ENTERPRISE

RELATIONSH
IP
Database integrated internally and externally MARKETING

Enterprise boundaries blur, New digital products and Services emerge

Figure 1. Evolution Of Relationship Marketing

21
Stage 1: Product Focus

In the early stages of the cycle, the leading supplier has the products or services that
are significantly better than those of its competitors. Customers are happy enough to
obtain them. It gains share and profitability. No matter how the other companies try
to compensate for the product or service weakness by relationship management, they
will lose.

Stage 2: Customer Focus

The high profits earned now attract competition, so several other companies begin
offering a similar product or service. Competition intensifies in the areas of features
and price. Companies try to maintain differentiation through the feature mix and
through branding. In consumer markets advertising expenditure increases
dramatically.

Stage 3: Full Customer Focus

Initially, customer service focuses on the aspects such as product maintenance or

customer training. Eventually it moves to the areas of customer care. Here the aim is
to ensure that the benefits from the product or service are delivered reliably from the
first point of contact. This is not quite customer relationship marketing, since the
customer may still be approached by the same organization in a different guise with
an attempt to sell the same product.

Stage 4: Full Relationship Marketing

After branding and customer service the suppliers must aim to manage all aspects of
their relationship with customers in a coordinated way. It is now important to
recognize that the diversity in relationships with the customer must be given due
importance.

22
 Stage 5: Enterprise Relationship Management

The relationship marketing approach now has to permeate everything the enterprise
does. Observing customers closely, working directly with them to address their
needs and requirements.

From Selling To Relationship Marketing

Conventionally, the ‘supplier/buyer interface tends to be fairly limited with the one
real contact on a continuous basis between sales person and person responsible for
purchasing within the customer’s business. It is an interface between where both
parties seek to maximize the outcome in their favour, and rarely results in a win-win
situation. This type of relationship is given in the figure below. There is a single
point of contact as two triangles that only connect to a single point. It is a
relationship that is easy for competitors to break because it tends to be based on cost
rather than business development.

The alternative approach is shown in the following figure where there are multiple
points of contact between corresponding functions and processes within the buying
and selling companies.

The job of a relationship manager is to coordinate those multiple contacts and to

seek new ways in which further customer value can be created.

Customers can be divided into three zones:

1. Zone Of Defection: where customers are extremely hostile and have the lowest
level of satisfaction.

2. Zone Of Indifference: where customers are not sure. They have a medium level
of satisfaction and loyalty towards the company.

23
3. The third level of Customers are in the Zone Of Affection described as
“Apostles”. CRM focuses on bringing customers from level 1 to level 3 and
retaining apostle customers.

Customers’ demands for customization are increasing with every passing day. This
has made companies shift their focus from “mass production” to “mass
customization”. The present scenario of customers using “poorly implemented”
multi channel strategies for living upto the expectations of customers is bringing
both customer satisfaction and customer loyalty

CRM AND EXECUTIVE MANAGEMENT

 Managing the customer relationship enables a business to identify the right

customers, target them with the right offers at the right time, and deliver that
information using the right channel; for instance, via an email campaign, direct mail,
phone calls, trade shows, etc. CRM software enables a business to retain valuable
information and then use that information to increase sales, handle specific customer
service issues, and create databases of information that reflect the specific consumer
traits of its public.

 Many people assume CRM is all about technology. That's only part of the story:
CRM is also about the data an organization has and the wealth of information in that
data, and how an organization's people process and leverage that data. While it is
true that certain basic formulas exist for successful sales and marketing,
nevertheless, the variance between different business models can vary hugely. A
guitar manufacturer and a copier manufacturer do, indeed, share many management
points in common, but the sales cycle, the service cycle, and the customer
relationships of each are quite varied.

 Forethought needs be given to setting up the system in a logical and consistent

method, enabling an organizational entity to weave its own business plan into the
framework of the software application. In this way the management of the company

24
directs the application to do its bidding, although the application must be flexible
enough to enable it.

CRM SALES AND MARKETING

The phrase, "know your customer, help your business," certainly applies to
marketing and CRM.

Without a doubt, a key component of CRM database analysis and implementation is

marketing. To be effective, one would hope to have marketing that reaches the right
customer with the right message at the right time using the right medium. But
without having the data available regarding one's public and buying patterns,
marketing often becomes a black hole for wasted money.

So an effective CRM application, one that enables an organization to easily gather

critical sales and marketing information, not only pays for itself very quickly, it
becomes a valuable resource for improving both the top (revenue) and the bottom
(profit) lines. The top line is improved by increasing sales through better data
management, and improving marketing effectiveness by collecting, analyzing, and
using valuable customer information. The bottom line is improved by reducing
service times and costs, and by improving the general productivity of the staff as a
direct result of the CRM solutions of task management and contact management and,
in some cases, the interface to other software programs, such as accounting
applications.

Today's economy is demanding: as margins get squeezed, quality can deteriorate.

Customers don't want to spend hours on hold. Prospects often want a quote or
invoice on the spot. Without accurate record storage and quick access to information,
sales reps get far behind on their call lists and once "hot prospects" turn ice cold.
Speed of particle flow and speed of delivery are vital factors for survival, so access
to data -- the same data, from a variety of positions -- is a must. Sales, shipping,
service, accounting and even the executive branch must all have the same data, and

25
often at the same time. CRM dictates that anyone who touches a customer shares the
same information, and that information should be easy to access by others.

CRM AND SERVICE

Regarding service in general, the size of the organization has nothing to do with the
need to give its customers improved service. Although larger corporations do seem
to "get away" with poor service more easily than small to medium-sized businesses,
most of whom are battling stiff competition as the world becomes more automated
and the choices more plentiful, even some of the near monopolies will get the wake-
up call from smaller, more aggressive, more service-oriented companies who may
wind up taking away significant shares of their business.

People love friendly, prompt, and courteous service. It's what keeps customers
coming back year after year. And CRM software does play a significant role in not
only providing timely and effective service, but in doing so at a price that most
organizations can easily afford.

When a service call is handled, the specific problem and its solution can be added to
the database. Next time the same incident occurs the service rep can locate the item
and quickly provide the solution.

CRM software enables you to record each customer service as a Service Work
Order, including detailed records of how the Service Work Order was resolved. The
system provides flexible methods of billing, including by the hour, the month, the
year, or by the Work Order (service incident). Contracts can be written for service or
service and materials. Equipment can be tracked by warranty and serial number. And
a flexible service-scheduling feature enables you to easily add, view, and delete
scheduled service appointments. (For more detailed information about this product,
download the "Service Manager" tutorial and the live "Service Manager" demo.)

26
 Service reps have easy access to sales, warranty, order, billing and inventory
information, enabling them to evaluate data and respond quickly to a customer's
needs.

Purchasing a CRM application is a decision that takes some thought and

consideration. Some of the key elements that comprise CRM

1. More effective reach and marketing

2. Improved customer service and support

3. Enhanced customer loyalty

4. Greater efficiency and cost reductions

5. Improved company communication and networking through better access to

quality information

6. A better stand against global competition.

CRM STRATEGIES

Benefits

 Reduce costs through an optimal mix of channels and streamlined customer

service operations.

 Strengthen customer loyalty and increase sales by delivering more personalized

service and information.

 Improve customer service by providing representatives with integrated, up-to-

date information about each customer – from recent transactions to current service
problems.

 Better manage the complete customer lifecycle across all touch points.

27
 Increase revenues by identifying and leveraging cross-selling opportunities that
are rooted in accurate customer data and solid employee training.

 Enhance profitability by gaining better insights into how the client’s customer
approach is helping – or hurting – the bottom line.

THE ROLE OF INFORMATION TECHNOLOGY IN CRM

In considering how CRM should be implemented, information technology has a

pivotal role to play in enabling companies to maximize profitability through more
precise targeting of market segments and the micro segments within them. We are
now in a new era of technology-enabled marketing, which involves leveraging
relationships through the use of technology. Powerful new technological approaches
involving the use of databases, data marts, data warehouses, data mining and one-to-
one marketing are now assisting organizations to increase customer value and their
own profitability.

Technology can greatly assist in managing the data required to understand customers
so that appropriate CRM strategies can be adopted. In addition, the use of IT can
enable the necessary data to be collected to determine the economics of customer
acquisition, retention and life-time value.

Given the dramatic effect that improved customer retention can have on business
profitability, organizations need an approach that leads to greater customer loyalty,
enhanced retention and profitability.

To improve customer retention; three steps are needed:

 Measurement of customer retention,

 Identification of root causes of defection and related key service issues;

 The development of corrective action to improve retention.

28
Measurement of existing customer retention rates is the first critical step in the task
of improving loyalty. This involves measuring retention rates and profitability
analysis by segment. Managers should determine the impact on profitability of
various factors related to customer retention and acquisition. These include changes
in: the cost of acquisition, the number of new customers acquired, the profitability of
retained customers, and the retention rate.

Besides acquisition and retention, lifetime value will need to be identified by market
segment and needs to address how to improve it. Clearly improving retention can
have a huge impact on lifetime profitability. The business will also need to consider
how they will get the greatest benefit from their acquisition activities. To facilitate
improved acquisition, retention and lifetime value, companies need to utilize the
appropriate technology tools to assist this process.

In the business-to-business context an example of this would be sales force

automation - creating an information empowered sales force, which increases the
sophistication of customer management. This can dramatically improve sales force
productivity and significantly enhance the bonds with the customer.

In business-consumer organizations who are dealing with a large number of

customers, a critical issue will be increasing the quality of customer contact through
tools such as sophisticated call centers and electronics commerce.

Organizations will need to determine the appropriate customer management strategy

and then develop the appropriate information technology platform to suit their
requirements, now and in the future. This may involve a creative blending of a range
of information technology infrastructures starting with databases and then
progressively moving towards data marts, enterprise data warehouse and integrated
CRM solutions using electronic commerce. It may also involve using approaches
such as data-mining, event-driven marketing and channel optimization. The ultimate
objective of this will be to identify opportunities for increased profitability through
enhanced customer acquisition, improved customer retention and targeted cross
selling.

29
DEVELOPING APPROPRIATE METRICS

Central to achieving success will be the development of new metrics to measure

performance in CRM across the business. It is increasingly being recognized that
there are linkages between employees satisfaction, employee retention, customer
satisfaction, customer retention, sales and profitability. A number of academics and
consultants have developed models based on these linkages.

CRM IMPLEMENTATION ISSUES

Customer Relationship Marketing is being increasingly viewed, as a major element

of corporate strategy, there is confusion about what it means in practice. Further,
many organizations are adopting CRM practices on a fragmented basis through a
range of activities such as direct mail, help desks, call centres and loyalty cards.
These activities are often not properly integrated.

Where CRM is well understood as a concept, many board-level managers are still
unclear as to how a particular CRM approach should be cost-effectively
implemented and what technology options should be adopted.

The starting point for introducing or further developing CRM must be determined
from a strategic review of the organization’s current position. Companies need to
address four broad issues: what is our core business and how will this evolve in the
future; what form of CRM is appropriate for our business now and in the future;
what IT infrastructure do we have and what do we need to support the future
organization needs; and what vendors and partners do we need to choose?

An organization should first examine its core business and consider how will it
evolve in the future. It then needs to consider the form of CRM that is appropriate
for their business now and in the future and what organization resources does it have
to support the business now and in the future.

Having identified the present and future focus of CRM, the organization then needs
to address the appropriate information architecture to enable their CRM strategy to

30
 be implemented. Stated simply the task is how can we exploit technology for
improved CRM.

As organizations increase their sophistication they will need to creativity integrate

these technologies. “Planned evolution” is a good way of summarizing the
technology approach to building the backbone to support the relevant CRM strategy
that has been mapped out for the business.

An essential element of achieving successful implementation is to ensure that their

strategy is underpinned by viable and appropriate technology architecture. This
involves the selection of vendors and partners based on issues of customization
capability and other appropriate commercial factors including both technological and
commercial criteria.

The new millennium, Customer Relationship Management will have advanced

considerably and we will have reached much more sophisticated level of one-to-one
marketing and data mining. There is now an enormous opportunity for organisations
to improve their ‘customer ownership’ by building a co-ordinated and integrated set
of activities which address all the key strategic elements of CRM. Ultimately,
however, organisations’ success in CRM will involve creating an appropriate
strategic vision for the future, making the appropriate choice of applications,
creatively using appropriate analytical techniques to exploit the data

, and choosing the right vendor for supply of the technology solution.

ELEMENTS FOR SUCCESS OF CRM

 To Ensure the success of CRM the following things need to be kept

in mind:

• Define fewer high-priority business requirements.

31
Focus on the most pressing goals, such as reducing attrition among your most
valuable customers, or increasing revenue per customer. Only after these goals have
been achieved should the initiative be spread across the enterprise.

• Communicate these immediate objectives to every member of the team.

Regardless of department, employees should clearly understand the business

rationale and desired results. Managers should include incentives, making the project
a top priority.

• Do something near-term that demonstrates payback.

The most common complaint from business managers about software development
is that results – if they come at all – are not available until all the money has been
invested. The greatest complaint from developers is that business managers don’t
understand that they can’t have results until the software has been built. To maintain
the support of senior management and key investors, achieving a succession of
short-term goals, with measurable results, is crucial in moving forward with the
long-term goal of true relationship marketing.

The Elements of CRM

Sales Force Customer Service/Call Marketing

Automation Center Management Automation

Call centers
managing aspects Campaign
Call center telephone sales
of customer contact management

E-commerce

Web-based Content
Field sales
self service management

32
 Retail

Data analysis
Third-party brokers,
Field services and business
distributors, agents
and dispatch intelligence tools

Figure 4. Elements OF CRM

BENEFITS OF A WELL DEFINED CRM INFRASTRUCTURE

A well-designed CRM infrastructure will enable you to:

 Integrate and coordinate multiple customer touch points (e-mail, call center,
direct sales, POS, direct mail, etc.)

 Extend the definition of a customer or program without negatively impacting

application design;

 Add new system components and applications without redesign;

 Define new business processes and data;

 Add new data sources without compromising performance; and

 Support simultaneous users and add new business units.

Benefits of a well-constructed CRM infrastructure include:

 Reduced deployment capital and expense costs;

 Reduced ongoing management costs;

 Additional revenue-generating opportunities and

33
 Customizable systems that leverage your existing CRM technology investments.

RELATIONSHIP MARKETING AND CUSTOMER LIFETIME

VALUE FOR CELLULARS

Relationship marketing is not about having a "buddy-buddy" relationship with your

customers. Customers do not want that. Relationship Marketing uses the event-
driven tactics of customer retention marketing, but treats marketing as a process over
time rather than single unconnected events. By molding the marketing message and
tactics to the LifeCycle of the customer, the Relationship Marketing approach
achieves very high customer satisfaction and is highly profitable.

The relationship marketing process is usually defined as a series of stages, and there
are many different names given to these stages, depending on the marketing
perspective and the type of business.

Using the relationship marketing approach, you customize programs for individual
consumer groups and the stage of the process they are going through as opposed to
some forms of database marketing where everybody would get virtually the same
promotions, with perhaps a change in offer. The stage in the customer LifeCycle
determines the marketing approach used with the customer.

A simple example of this would be sending new customers a "Welcome Kit", which
might have an incentive to make a second purchase. If 60 days pass and the customer
has not made a second purchase, you would follow up with an e-mailed discount.
You are using customer behavior over time (the customer LifeCycle) to trigger the
marketing approach.

34
Customer Lifetime Value for Cellular

We all know that today, marketing programs must include a measurable customer
understanding in order to be successful. One element that helps quantify our
understanding of customer profitability is Customer Lifetime Value (CLV). If
carefully calculated, and with widespread organizational buy-in, it becomes the first
metric to turn to for all customer marketing and planning.

However the LifeTime Value concept has been misunderstood over the last several
years. It may not be necessary to figure out an absolute LifeTime Value for a
customer or wait "a lifetime" to find out the exact value to use the concept in
managing customer value in order to develop successful marketing campaigns that
effect the bottom-line quickly.

CLV as It Applies to Cellular

The obvious goal is keeping the customers with highest CLV as long as possible and
determining the attributes of those high CLV customers for use with prospects.

Basically, there are three main components to the CLV formula: revenues, customer
tenure and expenses.

1. Revenue: Revenue formulas of past behavior used to determine future

revenues.

2. Tenure: Retention modeling used to understand leading indicators for

customer "churn."

3. Expenses: The major difficulty in computing CLV is not in computing

customer income; it's the expense. It is difficult to determine how to apply
various departmental company expenses to individual customers.

4. Unfortunately, almost ALL of the relatively "constant" figures that help

calculate CLV in other industries literally change as soon as they are
calculated when it comes to cellular services:

35
1. Phone Equipment Costs and Revenue. The negotiated sales rates form the
various phone vendors changes based on supply, consumer demand and
buying ability of the telecommunications vendor.

2. Service Rates and Rate Plan Structures. Rates change almost monthly for
most carriers. Even the rate plan structures change as soon as you (and the
consumers) understand them. For instance, AT&T wireless's "all-you-can-
eat" and Cingular's "Roll-Over Minutes" rate plan structures obviously put a
dent into calculating meaningful Customer Lifetime Valuation.

3. Mobile Phone Features and Usage. Everything from the amount of "Roadside
Assistance" packages to the incredible early mistakes of WAP pricing
demonstrate just how volatile these features can be to calculating anything
resembling accurate CLV.

4. Service Contract Models. Tenure based on consumer contracts that vary from
one to three years; technology that changes as soon as the contract is signed,
phone number transportability issues, and more.

5. Additionally, most consumers have been affected by one of the

consolidations, mergers, or corporate "buys" that the industry has been
witnessing recently.

6. As a result, consumer brand loyalty is at an all-time low.

36
SIGNIFICANCE

The significance of project is:

1.It gives us knowledge on the whole aspect of relationship between customers and
the employees of the company.

3.Through data analysis we get the answer of various questions related to customer
queries and how customer relationship department has effectively worked out

4.The profile of the company make us know what we can get out of the company's
product and services.

5.There is light on the communication industry which is growing day by day in

today's era of faster growing world.

6. Through findings we found out what are the objectives of the company, which
kind of customer are there, effectiveness of customer relationship management etc

37
MANAGERIAL USEFULNESS OF THE STUDY

Managers have a great use of this study as they come to know through data analysis

which is conducted through methodology of interviews and questionnaire what is

customers’s view point toward company’s services.

Managers know what actually customer relationship management is efficiently

understood by the company as well as the customers. They get various information

regarding competitors, market and customers etc. and all other components of the

external environment of the company. This project again brings light on the

communication industry and its relationship with customer relationship management.

At last this project also let us know that whether customer relationship department is

serving in the right way,and whether it is also serving the company in an efficient way

or not and also the most important is whether it is serving the customers or not

38
 OBJECTIVES

 To identify the customer relationship management programs being

run by Alcatel-Lucent.

 To study the impact of Customer Reliationship Management on

Alcatel-Lucent.

39
SCOPE OF STUDY

The study helps in finding the customer perception and how much they are satisfied
through the customer services provided by the company. This study is also useful in
identifying that which class of customers are mainly interested in having the services
of Alcatel-Lucent.It also provides the opportunity to know about the products and
services of Alcatel-Lucent and their management.

40
METHODOLOGY

RESEARCH DESIGN

It is the specification of methods and procedures for aquiring the information needed. As

there is no single method of studying and solving a problem there is no single perfect

research design.The researcher can choose any method or design or combination thereof

but it should solve the problem in hand in the most efficient and economical way.

The research design used here is exploratory and analytical in nature. Judgement and

convenient sampling method is used to analyse the various factors and the data is

presented in clearly tabulated and graphical form.

The method used for data collection is Survey Research, which is Exploratory in nature.

Data sources:

The researcher has to decide the type of data to be used in his search for the optimum

solution to the problem in hand.The data used may be primary data,secondary data or

the combination of both.

Primary Data : The information was obtained by means of the following tools for data
collection:

 Interview Schedule: Various interview schedules were conducted followed by the

interviewer.

 Structured Questionnaires: Questionnaire consisting of a series of closed and

open ended questions.

Secondary Data: Relevant data collected from:

41
 a. Journals and Business Magazines.

b. Text books

c. World Wide Web

d. Company Brochures, pamphlets etc.

DATA COLLECTION PROCEDURE:

Sampling Method

Sampling Unit : Personnel from the Customer Care Division

were interviewed and questionnaires were used to get information from them and also
from the people availing Alcatel-Lucent services.

Size Of Sample : 100 (50 Corporate Users and 50 regular users)

Basis of Sampling : Convenient Sampling and

judgmental sampling method is used to

analyse the various factors and the data is

presented in clearly tabulated and

graphical form

Research instrument : Simple and exhaustive questionnaire typed

in English

Duration of the
Project : 8 weeks.

Area covered : Delhi region and Ghaziabad (U.P.)

42
43
ANALYSIS AND FINDINGS FROM THE CUSTOMER CARE
DEPARTMENT

Q1.Does Alcatel-Lucent offer customers prompt services?

70

60
60

50

40

30

20
20

10 10
10

0
Disagree Can't Say Agree Strongly
Agree

Analysis:

On the basis of the responses obtained from the people it was found that 60% of
the respondents agree that Alcatel-Lucent gives prompt services and 20% strongly
agree on this point thus indicating that in terms of service delivery, Alcatel-Lucent
has a high rating. There are some people i.e only 10% who disagree on this and 10%
responded by not saying anything on this aspect.

44
Q2. Employees at Alcatel-Lucent are always willing to help you.

80 75

70

60

50

40

30

20
10 10
10 5

0
Disagree Can't Say Agree Strongly
Agree

Analysis:

75% of the respondents agree that Employees at Alcatel-Lucent are always willing to
help the customers and 10% strongly agree to this point. Only a 5% of respondents
disagree on this point and 10% people did no want to say anything on this particular
aspect. Thus, we can say that the employees at Alcatel-Lucent are willing to help the
people indicating the responsiveness of the company.

45
Q3. Your queries and complaints are handled immediately by the
Customer Care Department.

70
60
60

50

40

30

20 15
13 12
10

0
Disagree Can't Say Agree Strongly
Agree

Analysis:

About 60% of the respondents agree that the customer care department handles their
complaints immediately. 15% of the people strongly agree on this point. 12% of the
respondents can’t say anything on this aspect as they did not feel the need to
complain and only 13% of the respondents disagree on this point, probably due to
some kind of delay in their complaint being handled. Thus we can say that Alcatel-
Lucent people are responsive enough and make attempts to handle the complaints on
time.

46
Q4. Alcatel-Lucent provides its services at the time it promises to do
so

90
84

80

70

60

50

40

30

20
10
10 6

0
Disagree Can't Say Agree

Analysis:

About 84% of the respondents feel that Alcatel-Lucent delivers the services at the
time it promises to do so. Around 6% of them disagree on this particular aspect and
only a 10% were not sure as to what could be said abut this. Thus, we can say that
Alcatel-Lucent is a reliable service provider and provides the services at the time it
promises to do so.

47
Q5. Alcatel-Lucent keeps its customers informed about all its
services and how they will be delivered.

90

80 78

70

60

50

40

30
22
20

10

0
Agree Strongly Agree

Analysis:

On the basis of the responses received, it was found that 22% of the people strongly
agree that Alcatel-Lucent keeps its customers well informed about the services it
offers and 78% of the people agree to this point. There were no respondents who
disagree on this aspect. Most of the people feel that Alcatel-Lucent has very good
advertising and also Alcatel-Lucent makes people aware of all its services from time
to time by means of giving them regular calls also.

48
 90
80
80

70

60

50

40

30
20
20

10

0
Agree Strongly Agree

Analysis:

On the basis of the responses, it was found that 80% of the respondents agree that
the company shows a sincere interest in solving their problems and 20% strongly
agree to this point. There were no respondents to disagree on this aspect thus
indicating that the company is highly responsive and empathetic towards its
customers

49
Q.6 Does Alcatel-Lucent gives you individual attention.

70

60 58

50

40

30
30

20
12
10

0
Can't Say Agree Strongly Agree

Analysis:

On being asked about whether the company gives individual attention to its
customers, we see that about 58% of the people were not in a position to say
anything on this particular aspect. 30% of the people agree to this point and 12%
strong agree. Thus, we can say that most of the people either did not feel the need for
individual attention or are not aware of it. But, nobody wanted to disagree on this
aspect.

50
Q 7. The employees at Alcatel-Lucent understand your individual
needs and offer flexibility in the services as per your requirements.

50
45
45

40

35

30
25
25

20 17

15 13

10

0
Disagree Can't Say Agree Strongly
Agree

Analysis:

The results here show that 45% of the respondents agree that the company offers
flexibility in their services as per individual needs and 25% strongly agree on this
point.25% of the people can’t say anything on this and 13% of the people disagree
with this statement. Thus, we can say that most of the people feel that there is
flexibility in service as per individual needs.

Q8. The web site of Alcatel-Lucent is interactive and user-friendly

51
 60
56

50

40

32
30

20

12
10

0
Can't Say Agree Strongly Agree

Analysis:

Around 56% of the people did not feel the need to visit the website of Alcatel-
Lucent so they could not say any thing about how interactive it was. There were 32
% respondents who felt agreed to it and 12% who strongly agree with this.

52
Q 9. Alcatel-Lucent uses the latest technology in its services.

45
40
40

35 32
30
24
25

20

15

10
4
5

0
Disagree Can't say Agree Strongly
Agree

Analysis:

On asking about the opinion of the people in terms of the technology being used by
Alcatel-Lucent 40% of the people did not want to comment on the technology
aspect. 32% of the people agreed that Alcatel-Lucent uses the latest technology and
24% of them strongly agreed on this aspect. Only a small 4% of people disagreed,
probably because they feel Alcatel-Lucent should be using some other technology.

53
Q 10. You feel that the employees at Alcatel-Lucent are courteous
with you.

60
55

50

40

30
24

20
12
9
10

0
Disagree Can't say Agree Strongly
Agree

Analysis:

55% of the respondents agree to the statement that the employees at Alcatel-Lucent
are courteous and 24% of them strongly agree to it. 12% of the respondents did not
say anything about this whereas a 9% of the people disagree with it. The reason
could be some kind of bad experiences that they had with the employees.

54
Q11. Employees at Alcatel-Lucent have the knowledge to answer
your questions.

80

70 67

60

50

40

30

19
20
14

10

0
Disagree Agree Strongly
Agree

Analysis:

Talking about the knowledge of the employees in handling customer queries, we can
say that most of the people agree that Alcatel-Lucent has the employees who are
trained well to answer the queries of the customers. 67% of the respondents agree to
this and 19% strongly agree with this. A very few people disagree with this
statement. The reasons for this could vary from individual to individual. Thus,
overall we have the expression that the employees are good and knowledgeable also.

55
Q 12. Rate the following on a scale of 1 to 5 in terms of the quality of
service offered by each service provider.

1. Alcatel-Lucent.

2. Hutchinson Essar.

3. Idea.

4. MTNL.

AIRTEL

45 41
NO. OF RESPONDENTS

40
35
30
23
25
20 16
14
15
10 6
5
0
1 2 3 4 5

RATINGS

Figure: 17: Service quality of Alcatel-Lucent

56
 HUTCHINSON ESSAR

40 38
NO. OF RESPONDENTS

35
30
25 22 22
20
15
15
10
5 3

0
1 2 3 4 5

RATING

Figure: 19: Services quality of Hutch

IDEA

50 47
NO. OF RESPONDENTS

40

30
21
18
20
10
10 4
0
1 2 3 4 5
RATING

Figure: 20: Service quality of Idea

57
 MTNL

40 37
35
NO. OF RESPONDENTS

30
25 22
19
20
15 12
10
10
5
0
1 2 3 4 5
RATINGS

Figure: 21: Service quality of MTNL

Analysis:

From the comparisons of the ratings given to the different service providers we find
that Alcatel-Lucent has got the highest number of respondents giving it a rating of 4
or 5.

In case of Idea, 47 respondents have given it a rating of 3 whereas MTNL has got a
rating of 3 by 37 respondents.

Around 38 respondents have given Hutch a rating of 2.

From this comparison we can conclude that Alcatel-Lucent has a higher rating in
terms of quality of service offered in comparison with other service provides

58
Q 15. How would you rate Alcatel-Lucent on a scale of 1-5 on the following
parameters.
1. Instant connectivity.
2. Clarity Of Voice.
3. Network Coverage
4. Activation
5. Billing
6. Latest Schemes and offers.
7. Behaviour of employees.
8. Value added services

AIRTEL
50
45
40
NO OF RESPONDENTS

1 35
2 30
3 25
4
20
5
15
10
5
0
CONNECTIVITY

SCHEMES AND

BEHAVIOUR OF
COVERAGE

ACTIVATION
CLARITY OF

BILLING

VALUE ADDED
NETWORK

EMPLOYEES

SERVICES
OFFERS
INSTANT

VOICE

LATEST

PARAMETERS

Figure: 22: Rating for Alcatel-Lucent’s service

Analysis:

From the figure 22 we find that the Alcatel-Lucent has a very good rating in terms of
the parameters used to evaluate the kind of service it is offering. In terms of network
coverage most of the respondents have given it a rating of 5. In terms of latest
schemes, value added services and clarity of voice; most of the respondents have
given it a high rating of 3, 4 or 5.

In terms of activation, billing and behaviour of the employees the ratings are
comparatively lower.

59
 FINDINGS

On talking to the employees of the customer care department the following things
were found out:

On talking to the employees of the customer care department the following things
were found out:

 The main objectives of CRM are as follows:

 Personalized and customized service.

 Regular updates.

 Track of regular interactions.

 The major CRM strategy is increased customers through increased Customer

Satisfaction.

 The company is making use of e-CRM for customer satisfaction.

 A special database of customers is maintained and this database is updated

weekly.

 The effectiveness of CRM is measured through CSMM (Customer Satisfaction

Management and Measurement), an external research agency, IMRB has been given
the task of doing this.

 Regular suggestions and feedback is incorporated in their service offering. The

people from the Retention Department call up the customers from time to time to
find out their view points.

 A special Training is given to the employees at the time of induction.

60
 Also a 4-5 Day training is given to these people on using the e-CRM systems.

 Today Alcatel-Lucent has 20 Customer Care Touch points called "Connects" and
over 350 dealers in Delhi and NCR towns

61
 RECOMMENDATIONS

In order to make the customer relationship process work more effectively and
efficiently, Alcatel-Lucent Limited should work on the major problems that are
faced during the entire process.
Following are certain recommendations that Alcatel-Lucent Limited can opt for:

1 Reminder call shall be given to the Interviewer half an hour before the time
of the telephonic interview.

2 The Interviewer should be told about the importance of the timely

submission of the Interview Assessment sheet. A workshop can be conducted aiming
at telling about the attached advantages and serious consequences of the late
submission. It should be filled within 8 hours after the interview.

3 Interview Assessment Sheet should be different for different bands/ levels.

All the positions can not be fairly assessed on the common competencies. This has
been incorporated. The revised Interview Assessment Sheets are attached in
Annexures.

4 Separate person should be delegated the responsibility of arranging Video

Conferences on time. It should not be the responsibility of the crm representative. *

5 Separate Interview rooms should be there.

6 There should be a formal procedure of informing the employees about the
vacant position in customer relationship Process through Employee Referrals. All
the vacancies can be notified on the by e-mail to all business / unit CR heads or
put on the notice board, by the location CR head, who is the advertising authority.
Job
specifications and Job accountabilities should be clearly mentioned in the

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 advertisement. The period of vacancy should also be mentioned.

ANNEXURES

QUESTIONNAIRE

This questionnaire is solely for academic purpose.

Kindly indicate your choice by placing a tick on the appropriate option.

Strongly Disagree Can’t Say Agree Strongly

Disagree Agree

Q1. Alcatel-Lucent gives you prompt services.     

Q2. Employees at Alcatel-Lucent are always     

willing to help you.

Q3. Your queries and complaints are handled     

immediately by the Customer Care
Department.

Q4. Alcatel-Lucent provides IT services at the     

time it promises to do so.

Q5. Alcatel-Lucent keeps its customers     

informed about all its services and how
they will be delivered.

Q6. When you have a problem, the company     

shows a sincere interest in solving it.

Q7. Alcatel-Lucent gives you individual     

attention.

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Q8. The employees at Alcatel-Lucent     
understand your individual needs and
offer flexibility in their services as per
your requirements.

Q9. The Web-Site of Alcatel-Lucent is     

interactive and user-friendly.

Q10. Alcatel-Lucent uses the latest technology     

in its services.

Q11. You feel that the employees at Alcatel-     

Lucent are Courteous with you.

Q12.Employees at Alcatel-Lucent has the     

knowledge to answer your questions.

Q13.Alcatel-Lucent takes care of the     

confidentiality and the privacy of its
customers.

Q14. Rate the following on a scale of 1 to 5 in terms of the quality of service offered
by each service provider.

1. Alcatel-Lucent

2. Hutchinson Essar

3. Idea

4. MTNL.

Q15. How would you rate Alcatel-Lucent on a scale of 1-5 on the following
parameters?

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1. Instant connectivity.

2. Clarity of Voice.

3. Network Coverage

4. Activation

5. Billing

6. Latest Schemes and offers.

7. Behavior of employees.

8. Value added services

Q16. If given a choice, would you like to switch over to some other cellular service?
If yes, state the reason for the same.

Name: __________________________________

Age: ____________________________________

Address: ________________________________

Kind of service availed: Prepaid  Postpaid 

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 BIBLIOGRAPHY

BOOKS

 Balachandran , S.(1999), “Customer Driven Service Management”, Response

Books.

 Burnett, K. (2001), “Handbook Of Key CRM” Addison Wesley Longman ,

Delhi.

 Greenberg Paul (2001), “CRM At The Speed Of Light” Tata McGraw Hill

Publishing Company, New Delhi

 Seth Jagdish N & Parvatiyar ( 2002) “Handbook Of Realationship Marketing” ,

Response Books.

JOURNALS AND ARTICLES:

 Jain Rajnish & Jain Sangeeta , Journal Of Service Research (0ctober ’02-

March ’03) “Measuringb Customer Relationship Management”, pp: 97-107.

 Jaiswal M.P & Sharma Anjali, “The Business And Strategic Need” , e-

Commerce (January 2002).

WEB SITE LINKS

 www.CRMassist.com

 www.adaptcrm.com

 www.crmcommunity.com

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 www.crmguru.com

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