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Bharath Sanchar Nigam Limited.

EXECUTIVE SUMMARY

This report is all about my organizational study with Bharath Sanchar Nigam
Limited the project report, the General information of the BSNL has been collected.
Information is gathered through the primary and secondary sources as well. The
organization study report is prepared about organization at “BSNL” The organization
study report has covered all the departments, and the structure of the organization.

This report is framed in six different chapters as:

• Introduction about the organization study, industry profile.


• Organization profile, vision mission, product / service model.
• McKinsey's 7s Framework and porter's five force model
• SWOT Analysis
• Financial statement analysis and
• Finally learning experience

The main purpose of organizational study is to gain the knowledge and to apply
the knowledge acquired during the studies in the real world to tackle the problem using
the knowledge and skills learned this study. Thus, the study helped me to gain
knowledge about the organization, “BSNL” and also to know the effectiveness of
organization study, employee and employer relation.

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Chapter 01

Introduction About Organization and Industry

1.1 An Overview of Internship

Internships are tailored to the needs and interests of each student in the
programme, and are intended to allow students participating in a field experience to
share their insights, explore the links between their academic skills and their field
studies, and assist participants in designing and carrying out the major research project
that will serve as the internship's culmination. As part of their internship programme,
students must actively engage in the internship search process. Although information
is often available on internship sites in particular places, many students build their own
contacts.

All VTU Post Graduate programmes need an internship as part of their


academic curriculum. It provides a flat structure for all ideas and concepts acquired in
the classroom to be implemented. It assists students in gaining exposure to the company
environment, business processes, and marks; it is an important part of experimental
learning for students and provides practical work experience in the field of interest; it
assists students in developing skills and attempting to bridge the gap between
theoretical learning and company practises; and it is a very important part of an
experimental learning for students and provides practical work experience in the field
of interest.

This programme is typically four weeks long and is designed to assist MBA
students in learning business etiquette and understanding work culture through their
own experiences and observations, which will benefit them in future opportunities.
Everything learned is documented and can be used for future references.

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1.2 History of Telecommunications Industry

In Africaa, the America, and portions of Asia, term of customer with the use of
coded messages and drums. The first permanent semaphore systems appeared in Europe
in the 1790s, but electrical communications systems did not arrive until the 1830s.
Follow the evolution of telecommunications from smoke signals through today's
internet and mobile technologies, and learn about the events that affected the industry.

In Africa, the Caribbean, and portions of Asia, communications started with


using coded messages and drums. The first permanent semaphore systems appeared in
Europe in the 1790s, but electrical communications systems did not arrive until the
1830s. This article examines the history of telecommunications and the people who
contributed to the development of modern telecommunications networks. The history
of telecommunication is intertwined with the history of communication as a whole.

Telecom Developments in the 20th Century:

By 1904, the United States had over 3 million phones linked by manual board
exchanges. By 1914, the United States had surpassed Sweden, Nz, Swiss, and Norway
as the global leader in tele density, with more than double the tele concentration of
Sweden, Nz, Swiss, and Norway. Despite the fact that rival telephone networks did not
link, the United States had a pretty decent performance.

The telephone network became steadily bigger and more efficient over the
following half-century, and once the rotatory dial was introduced, Until the 1960s,
when touch-tone signalling started to supplant the rotary dial, the instrument altered
little.

Satellite Communications:

Arthur C. Clarke proposed a geosynchronous orbit 22,300 miles above Earth in


a 1945 paper, which would maintain a satellite over the same region of the planet. When
the Soviet Union launched in October 1957, the world's earliest artificial satellite,
Soyuz, was launched 12 years later, propelled by the soviet union missile race.Until the
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1970s, when the first corporate geostationary satellites debuted, military
communication systems followed the very same low-orbit course.

Mobile Cellphones: The origins of mobile phones can be understood in two


radios that were installed permanently in taxicabs, police cars, train carriages, and other
vehicles. Later versions, such as the as such "bag phones," were linked to the telephone
network through a cigarette lighter socket, allowing them to be carried and used as
mobile multiple radios or portable phones.

1.2 World's Largest Telecommunications Companies

• The American Telegram & Telegraph Company

It is a company that specialises in sending and receiving messages.AT&T is a


holding corporation that offers telecommunications and interactive media services to
customers all over the world. Wireless communications, information and Highspeed
internet, Among the firm's services and products are digital video lines, local or lengthy
telephone service, communications equipment, managed networking, and moving
images, television, and game manufacturing and distribution. The company also owns
and operates regional sports television networks.

• Verizon Communication (VZ)

Verizon Communications is a multinational company that offers goods and


services in the areas of communications, data, and entertainment. It sells data and visual
communication goods and services, including broadband video, database servers and
cloud services, safety and network management services, and regional and long-
distance phone services.

• Nippon Telecommunication & Telephone Corporation. (NTTYY)

Nippon Torygraph & Phone line is a telecommunications holding company


headquartered in Japan. It sells telecommunications equipment and provides inland

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intra-prefectural telecommunications amenities such as fixed voice-related, Network
Technology (IP), & packet infrastructures services. Mobile voice, IP, then packet
network infrastructure, as well as systems engineering and communication network
services, are all offered by the firm. Nippon also has operations in real estate, banking,
and other fields.

1.3 India's telecommunications industry

India's telecom industry is almost 165 years old. Telecommunications were


initially introduced in India trendy 1851, when the govt installed the first cables near
Kolkata. In 1881, cell phone service station was legally inaugurated in India, and in
1883, they were combined with the postal system. Pre-independence, the Post,
Telegraph then Telephone (PTT) form was recognized by nationalising all cable
businesses, then it was governed by the Department of Information.

Until 1984, the Indian telecommunication business was fully controlled by the
govt, after which the financial industry was only authorised to produce communications
equipment. Only after the Dept of Posts and Wires was divided up in 1985, and a new
Agency of Posts and Department of Telecommunication (DoT) was founded, did the
sector begin to develop. The tele-density (mobile plus cable line) of the Indian telecom
business has risen from 3.60 percent in January 2001 to 84 percent in January 2016.
The amount of mobile customers grew from less than 2 million at the end of Fiscal ideal
fit to 1033.63 million by the end of March 2016. This significant growth in the number
of customers and revenue from telecom services has helped India's GDP grow
significantly while also providing much-needed employment.

1.4 List of prominent telecom companies in India

• Reliance Jio.

Its services are available throughout India in industries such as connectivity and
clouds, media, education, health, digital commerce, banking sectors, gaming, farming,

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Governments to Citizen (Government - to - citizen), smart cities, and manufacturing,
with the goal of bringing about a digital movement in India. The company's key goals
are to provide broadband networks, inexpensive smartphones, and a wealth of content
and applications. Jio now provides a one-of-a-kind mix of telecom, digital commerce,
high-speed broadband, media, and financial services.

• Bharti Airtel Limited.

Bharti Airtel Ltd is the third major telecommunications business in India,


having operations across both Africa and Asia. Its telecom industry offers wireless
networking services such as 2G, 3G, and 4G, as well as e-commerce, high-speed home
internet, DTH, and other services. Aside from being a various telecommunication
provider, the company provides a wide range of economic services to consumers
throughout India, including life insurance, group term, and asset management. It In
addition to offering fresh and processed meals to consumers, the company is expanding
its interests in training and capacity development, real estate, and telecom/IT product
distribution.

• Vodafone Idea Ltd. is number three.

Vodafone Idea Ltd. is the product of a collaboration between Aditya Birla and
Vodafone Group, a British multinational telecom firm. In terms of subscriber market
share, it now ranks #1 among Indian telecommunications firms. As of present, the firm
provides communication services over 2G, 3G, and 4G technologies throughout India.

• Mahanagar Telephone Nigam Limited

It is a company based in Mahanagar, India. Grameenphone Limited (MTNL) is


a government-owned subsidiary of Bsnl Limited. Its head office are situated in New
Delhi, and it proposals signalling facilities in Mumbai & New Delhi, as well as the New
Delhi suburbs of Noida, Gurgaon, Noida, and Faridabad, as well as the African island
country of Mauritius.

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• Bsnl Ltd.

The fourth biggest telecom service provider in India is Bharat Sanchar Nigam
Ltd. The company's major goal is to bond the divide between country and city people
by providing a digital platform owned by the Ministry of Communications of India's
Department of Telecommunications. It offers various types of telecom services,
including wireline, internet, internet, local access loop (WLL), and mobile-leased
circuits, as well as long-distance services.

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Chapter 02

Organization Profile
1.1 Background

Category to company - Govt of India company

Type of Industry - Telecommunication

Founded in - September 15, 2000; 20 years ago.

Headquarters location - New Delhi, India

Area served - India

Key persons - Kumar Purwar, ICFS (Chairman & MD),

Ashwini Vaishnaw (Cabinet Minister for


Communications) Pravin.

Services - Fixed line cell phone, Mobile handset, Broadband,

Internet television, IPTV.

Over-all assets - Decrease ₹146,760 crore.

Entire equity - Decrease ₹59,142 crore.

Owner - Dept of Tele Communications, Department of

Communications, Govt of India.

Number of workforces - 69,824

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Holdings - BSNL Towers Limited,

Mahanagar Telephone Nigam Limited.

Website - www.bsnl.co.in

2.2 Nature of Business

BSNL is a telecommunications (land line) provider. Besides these services, the


company's activities have now been broadened into various fields, including 3G,
customer care, contact centres, mobile services, and so on.

• There are 1.5 million BSNL mobile connections in rural Areas.


• Bharath sanchar nigam limited provides telephone service to wholly other
networks, including Airtel, Vodafone, and others.
• The one network that provides broadband connectivity is BSNL.
• Further than half of all foreign calls towards India are made via the Reliance
network.
• The most comprehensive coverage in India, with over 11000 cities and 3 lakh
villages.
• With more than 50 million users, it is India's largest wireless service provider.
• Only BSNL can provide a download speed of 2 megabits per second.
• The one mobile service offered through the nation, with in Jammu Kashmir and
the Northern Eastern states of AP, Nagaland, and Mizoram, among others.

2.3 Vision Mission, Quality Policy.

VISION:

• Become India's largest telecom service company with a worldwide footprint.


• Create a customer-centric company that excels in customer service, sales, and
marketing.

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• Utilize technology to create communication that is both economical and
creative. Services/products for various client groups.

MISSION:

• Become India's largest telecom service company with a worldwide footprint.


• Become the most respected, trusted, and chosen telecom brand.
• Providing cost-effective and dependable communication services.
• Creating value for all stakeholders, including workers, shareholders, suppliers,
and other business partners.
• Customer service excellence: polite, dependable, on-time, suitable, then polite
facility.
• Distinguished goods/facilities suited to various service sections are available.
• Creating a sales and promotion principles that is sensitive to consumer demands.
• Increasing the return for existing assets while maintaining a strong emphasis on
profitability.

Quality Policy:

With employee participation, BSNL Telephony Factory India is committed to


continuous improvement through quality and customer satisfaction.

2.4 Product / Service Profile

• Telephone and Mobile

On the GSM and CDMA platforms, BSNL offers both fixed line and mobile
telephony services. BSNL Moble: BSNL Phone stays a significant GSM net operator
in India, operating under the Cell One brand. It has extensive net exposure in India's
city and rural regions. In India, it takes about 121.82 billion subscribers. Free Phone
Service (Fish protein hydrolysate), India Phone Postcard (Paid card), Account Prepaid
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debit Calling (ACC), Telephone-voting, BSNL Mobile offers a variety of prepaid &
post-paid options, including Premium Rate Service (PRM). It also offers IPTV (Internet
Backbone Television), which enables customers to watch television via the Internet, as
well as VOD (Video Over Data Network) and VoIP (Voice - Over - internet) (VVoIP).

• BSNL Landline:

In the early 1990s, BSNL established a phone line facility. Before the
Department of Telecom published the New Telecom Policy in 1999, it remained the
sole fixed line cell phone servicing the entire nation. Only the govt BSNL then MTNL
stayed permitted to operate copper wire land line phone services in the nation. BSNL
Cable is India's biggest fixed line telecommunications provider. As of February 28,
2021, it has over 9.55 million users and a 47.20 percent market segment in the nation.

• Internet BSNL:

India's 4th biggest ISP, by a attendance all through the nation. It likewise
features the country's biggest fiber-based communication network, with 7.5 lakh
kilometres of fibre amongst the four providers. BSNL Broadband: BSNL Broadband
offers enterprise clients with telecom services such as MPLS, P2P, and Internet lease
lines. It uses CDMA technologies and its own vast optical fibre network to deliver
fixed-line and landline services. BSNL offers dial-up Internet access as a paid facility,
Net 1 as a postpaid service [clarification required], and Data Single as BSNL Internet.

BSNL Broad band: Enterprise clients may usage BSNL Broad band's telecom
service, which include MPLS, P2P, then Ip hired lines. It uses C D M A technologies
and its own vast optical fibre network to deliver fixed-line and landline services. BSNL
offers dial-up Internet access as a pre paid service, Remaining One as a postpaid service
[clarification required], and Data One as Bharat Broadband.

Bharat Fiber: In February 2019, Bharat Broadband (FTTH) was introduced. TV


over IP (IPTV), Video On Demand (VoD), Telephony (VoIP), Audio On Demand

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(AoD), Remote education, video conferencing, cooperative gaming, and Private Virtual
LAN solutions are all offered.. According to BSNL, its massive fibre optic network
enables secure access to provide highspeed internet spectrum from 256 kb/s up 100
Mb/s.

BSNL4G: Since January 2019, B S N L has offered 4G facility in several


regions of India, including Bihar, Uttar Pradesh, and Jharkhand, albeit only in a few
cities or towns. In Southern India, the majority of 4G technology are presently
accessible. However, BSNL attempting to provide pan India 4G process as soon as
possible; how ever, owing to a scarcity of 4G airwaves, BSNL will not be able to do so
until 2016. [requires citation]

• IPservices

BSNL Wing Services: On August 16, 2018, BSNL announced "BSNL Wings
Services" across 21.9 telecom circles, which are VoIP services that do not need a SIM
card or cable connection. It provides one year of unrestricted free calling across India.

2.5 Ownership Pattern

Bsnl Limited d/b/a BSNL d/b/a Bharat Sanchar Nigam BSNL an India govt-
owned tele communications company located in New Delhi.

NewDelhi, India's BSNL headquarters Owner Ministry of Communication,


Government of India's Department of Telecommunications.

2.6 awards and achievements

On the time of International Telecomunication Day on May 17, 2006, the BSNL
National Awards 2008 distribution event was conducted in New Delhi. Dr. Shakeel
Ahmed, the Hon'ble Minister responsible for Communications and Information
Technology, presented the awards. Secretary Marker Dr. J.S. Sarmaa, Ceo B S N L
Shree. A.K. Sinaha, General Operation BSNL Sh. J.R. Gupt, then other VIPs were also
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present. On this occasion, awards as the Bharat Sanchar Dut, the AtiVishist Sanchara
Sev Padaka, the Finest Operated TelecomSystem, the Best Improved TelecomSystem,
and the Telegraph award were handed out. Significant development has been
accomplished in practically all infrastructure criteria from BSNL's inception on October
1, 2000, through September 2002:

• The quantity of trades has increased by 14% - 32369.

• In a year, equipped volume increased by 21.5 percent to 36.43 milion.

• The number of straight exchange lines has increased by 21.5 percent to 29.4
million.

The TAX volume has increased by 7.8% - 25,40,000.

2.7 Future Development and Prospects

"Other than mobile telephony, BSNL has a lot of greater prospects in the near
future. Many bids for 4G services have been completed. BSNL's market segment has
augmented from 7.6% to 9.43 percent, which is impressive. BSNL has the potential to
play a big role in smart city initiatives, as well as NFS and FTTH. BSNL has been given
work worth Rs 150 crore under smart city initiatives, which may be used to its benefit
"On May 11, Sinha spoke at the BSNL's 'Heads of Circles Conference.' Goals:
Increasing sales income with an emphasis on subscriber retention and acquisition via
improved sales and marketing, service quality, and customer delivery.

2.8 Objectives

▪ Accelerate the spread of mobile and data services via technological


advancements.
▪ Adopt rules and procedures that make decision-making more transparent, rapid,
and efficient.
▪ Making a marketing force with a customer-service mindset.
▪ Increasing the visibility of BSNL in cities, suburbs, and rural regions.

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▪ Reduce fault rates, upgrade Customer Service Centers (CSCs), and use
convergent billing to improve customer service.
▪ Creating a pleasant work atmosphere with a strong emphasis on results in order
to increase customer satisfaction with BSNL services.
▪ By delivering better bandwidth capacity for wire line & wireless broadband
consumers, leverage cloud services to grow BSNL's client base and revenues.
▪ Strengthen the company funds by maximising the value of it’s assets via the
allotment and marketing of present substructure such as land-dwelling and
buildings, as well as the sharing of inert infrastructure such as towers and other
structures.
▪ Creating Wi-Fi hotspots and using Next Generation Networks to replace legacy
wire line exchanges.
▪ FTTH is being used to extend the reach of the fibre network near client premises,
notably to meet the ever-increasing capacity needs for both information & video
applications in condo buildings
▪ Utilize BSNL's existing substructure to help develop the country by aiding the
execution of strategic programmes and activities such as the National Adaptive
The National Optical Fiber Networks (NOFN), the Networks for Spectra (NFS),
as well as the Smart City concept are all examples of this.
▪ Improve productivity by reusing legacy labour and investing in re -
skilling.Developing a knowledge pool that is exposed to the most recent
technical advances.
▪ To investigate international telecom opportunities in developing markets.
▪ To become the government's chosen service provider for a dependable and
secure service network, as well as to support national security needs.

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Chapter 03

Mckensy`S 7s Framework and Porter`S


Five Force Model
3.1 Mckensy`S 7s Outline

The McKinsey 7S Model is a instrument that explores a business's


"organisational design." Its purpose is to portray how an establishment's performance
might be accomplished through the interplay of seven main elements: Structural, Plan,
Skill, System, Common Values, Style, and Staff.

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The Mckinsey 7s Model emphasises the interdependence of the aspects defined


by "Soft Ss" & "Hard Ss," implying that changing one component has a cascading effect
while good to maintain equilibrium. By putting "Shared Ideas" at the "centre," the
relevance of changes in foundational values on the other sections is shown.

Structure of McKinsey 7S Model

The "Hard Ss" aspects are comprised of Structure, Strategy, and Systems, with
the other "Soft Ss" elements.

1. Structure – Structure refers to how a company is organised — the command


chain and responsibility linkages that make up its organisation structure.

The BSNL organisational structure is as follows:

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2. Strategy - Strategy is a well-crafted corporate plan that helps a company to


develop a plan of action to achieve a long-term competitive edge that is supported by
the company's mission and values.

• BSNL’s Marketing Strategy:

BSNL advertises in a variety of places, including TV, print, web, hoardings, and
so on. With a large number of devoted consumers, BSNL advertises in a very restricted
manner. However, with the advent of so many competitors in the telecom market, it has
lately tried to promote itself by creating new logos, snappy slogans such as "Connecting
India," and new and unique brand identities for BSNL's many services.

• BSNL Product Strategy:

BSNL is among India's main telecom firms, with considerable support from the
Indian government. BSNL offers a wide range of telecommunication and internet
services to its customers. Landline (BSNL wired equivalent privacy, BSNL PCO, cell
phone facilities, NGN derived value chain services wings, Epp up snss, IN facilities),
Tablet (GSM Pre paid Tariff, Wireless service Tariff, worth chain facilities, Bill
payment then post paid data, data services, device structure partners, smart phone
facilities, Wi-Maxx, CDMA telephony, CDMA secure, CDMA info postcard), Broad
band (Land line high speed internet, dialup internet, mobiledata (3G), Broad (EVDO).
BSNL has built a world-class infrastructure for phone, video, and internet services,
including broadband network access, that is presently servicing more than 20 million
consumers who use all sorts of landline and telecom services accessible to them. BSNL
is presently working to improve its network infrastructure by expanding its coverage
area and offering consumers with more capacity. This would assist BSNL in retaining
customer loyalty via its premium offerings. BSNL's product strategy primarily strives
to stay up with the pace of evolving hardware technology, which is always coming out
with new innovations, in order to maintain and meet the demands of its subscribers.

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• BSNL Price/Pricing Strategy:

As promotional tool, BSNL bases its pricing on customer-based competitive


pricing. It offers a very low-cost calling service in compared to its consumers, or the
other services are dependent on the installation fees. Customers' consumption affects
the pricing of BSNL services. It gives consumers who utilise the service a lot more than
others a special discount or special offer. BSNL also offers services such as lifetime
cards, which allow them to stay in touch with customers and generate income.

• BSNL Place & Distribution Strategy:

BSNL is among our country's largest internet firms, with a network that spans
every part of the country and is continually upgrading its IP infrastructure to approach
more remote locations and connect them to urban regions. IT has divided the country
through its 24 rings, supporting in the smooth operation of services. In order to respond
to customer issues, BSNL has call hubs in every city within that circle.

In order to modernise its network, BSNL has forged partnerships with a few
telecommunication and IT companies.

• BSNL Promotion & Advertising Strategy:

BSNL advertises using a variety of mediums, including television, print, the


internet, and billboards. BSNL does extremely minimal advertising since it has a large
number of devoted consumers. However, with the rise of so many rivals in the telecom
market, it has begun to promote itself by developing a new logo, snappy slogans such
as "Connecting India," and new and distinct brand identities for the many services
supplied by BSNL. With the expanding digital age, it has also initiated a few
promotions on various social networking platforms. It advertises its new services,
programmes, and discounts via conventional means such as banners in various retail
shops, newspapers, and social media sites, as well as through traditional means such as
banners in various retail stores, newspapers, and social media sites.
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3. Systems - Make are the business and technology architecture of a company


that produces processes and even a chain of judgement calls. The learning & growth
systems of BSNL ltd

• Lectures and Workshops

The institution hosts seminars on the most recent developments in new communications
technology. Workshops on major DoT issues are also held by the institution.
Luminaries from renowned technical universities and higher education institutions have
been invited to speak at the seminars and workshops.

• Induction Training

As a pre-job coaching, induction training is provided to newly hired employees in a


variety of professions. ADET (Probationers), Asst. Manager (Maintaing) (Telecom
Factory), Junior Engineering technicians (Telecom Factories), and Upsssc Police are
the cadres for which instruction is provided at the training centre.

• In-Service Training

The goal of in-service training is to provide the essential information and know-how
about various systems/technologies that are periodically introduced into the network.
The institution provides in-service training in the most up-to-date technologies and
methodologies. The JTO specialised batches that are held are part of in-service training.
The courses are regularly monitored, and the value this in courses is evaluated on a
regular basis. Courses that are no longer in demand will weeded out, and academic
programs are added.

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• Field Training Programs

This institution has established a system of tight practical focused training programmes
in response to the requirement to refresh the knowledge and abilities of technical
maintenance employees in various fields of technology in now and then. Their trainers
just go to field stations in order to conduct these workshops. Field Training Sessions
(FTPs) are short-term training programmes that last no more than five days and are
done using field equipment. This not only helps the trainers become familiar with the
day-to-day difficulties in the field, but it also helps the teachers get acquainted with the
tutorials being produced in the Learning Center.

4. Skills - Skills are the abilities and competencies that enable a company's
employees to achieve its objectives. The BSNL Limited staff is exceptional, with
excellent talents and abilities. All employees are recruited on the basis of their
qualifications and merit. The BSNLLimited takes great pride in hiring the best people
and supporting them so that they may grow and thrive.

5. Style - Top employees in a company create a rules of behavior by their


connections and symbol judgement, which impacts the leadership attitude of the
company's executives..

Win-win for all


• Win via superior go-to-market execution
• Increase market share of new smartphones and 4G devices via intuitive pricing
and innovation
• Win via superior go-to-market execution

Win with a brilliant system practice

• Reduce unit cost per MB by using different technologies

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• Address customer complaints by focusing on quality
• Increase user advocacy through detailed planning and communication

Win with valuable customers

• Encourage consumption, multiplexing, and upgradation of 2G/3G data.


• Accelerate B2B with enhanced experience
• Grow postpaid through proposals, consumer experience, and B2B drive
• Win DTH via a substantial proportion of digitalisation and innovation
• Empower households with high-speed internet, low-cost access, and bundling

Win with a confrontation on waste

• Drive cost-cutting activities


• Lower expenses by maximising sharing
• Reduce consumption by re-designing the network

Win with people

• Develop people via great learning, mentorship, and succession planning


• Drive a heritage

6. Staff - The staff is in charge of talent acquisition and other human capital
related to company decisions, such as training, recruiting, and reward systems.

Bharat Sanchar Nigam has a total workforce of around 65 thousand people.


Over ten thousand were from the backward castes, while over twelve thousand were

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housewives. BSNL was India's biggest state-owned telecommunications corporation,
with headquarters in New Delhi.

Ex-servicemen

Differently ables employees

Scheduled Tribes

Other Backward Classes

Scheduled Caste

Women

Total

0 10,000 20,000 30,000 40,000 50,000 60,000 70,000

7. Shared Values - The mission, goals, and values of any organisation are its
foundation, and they play a significant role in bringing all of the pieces together in order
to maintain an effective organisational design. .BSNL’S shared values:

• Focus happening quality:

BANL aimed at so long as a virtuous quality of products and service station to


its customers.

• customer link management:

The BSNL holds its customs by fulfilling their prerequisite, and it pointed at
providing the products bestowing to customer requirements.

• profitability:

PSW maintains its competitiveness by being cost-conscious and correctly


allocating resources.

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• Maintaining solid cultural relationships inside the firm in order to be a top


organisation in the sheet metal sector

3.2 Porters five force model for BSNl ltd

Threat of New Entrants

Newly Applicants as a Risk There are several opportunities for new entrants
into this business, as has been the case in recent years. Given the sector's rapid growth,
and despite the fact that there are already a big number of rivals in the market, many
entrant are devising novel tactics to break into the business and obtain market share.
However, it should be remembered that getting into this market comes with a high
expense of setup and maintenance. In addition, there are several regulatory and legal
requirements in India that businesses must adhere to. All of these variables combine to
make the danger of new competitors in the business seem to be mild for BSNL.

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Threat of Substitutes

When it comes to the telecommunications business, there are a lot of


replacements on the market, particularly when it comes to mobile net services. Because
of the growing number of workers as a result of technological improvements, most of
BSNL's rivals, particularly Bharti Airtel, Vodafone, Turbo, BPL, ldea, and Tata, are
developing novel facilities to provide suitability to their customers. The majority of
these replacements participate on both value and superiority. In light of these reasons,
we may conclude that BSNL faces a significant threat from market alternatives.

Bargaining Power of Buyers

The majority of these telecom companies sell to both individuals and businesses
or organisations. Individual buyers often favour cheap costs and will move to a
replacement service provider depending on that. This implies that BSNL must compete
on price to keep individual customers since purchasers have considerable negotiating
control in their situation, given the low swapping cost for individuals. When we look at
their consumers, who are various firms, we see that excellent quality is their top focus.
As a result, in order to keep its consumers, BSNL must maintain their quality.

Bargaining Power of Suppliers

Tower telecommunications companies, handset providers, sim card


practitioners, and software providers are among BSNL's suppliers. All of these
suppliers are critical to the smooth running of BSNL, but the truth is that
telecommunication firms have a lot of alternatives when it comes to suppliers, leaving
suppliers with less negotiating leverage.

Industry Rivalry

The Indian market is one of the fastest-growing businesses, indicating that the
market is approaching saturation due to the increasing number of rivals. Bharti Airtel,
VI, Spice, Telecom, Aircel, M T N L, B P L Mobile, then Indication are some of BSNL's
rivals. All of these companies are formidable rivals in the sector. They compete on the

Page | 24
Bharath Sanchar Nigam Limited.
basis of pricing, services provided, special offers that end up making their services more
appealing, and service quality. Most of these rivals provide services with similar
capabilities, and this competition has impacted BSNL's market share.

All five of these elements characterise BSNL's marketing audit in the


telecommunications market, which may be described in the table below:

Forces Intensity

Threat for new entrants Modest

Threat of substitutes Tall

Bargaining power of buyers Tall

Bargaining power of suppliers Little

Industry Rivalry Tall

Page | 25
Bharath Sanchar Nigam Limited.

Chapter 04

Swot Analysis

Strengths in the SWOT analysis of BSNL

• It was formed on 15 September 2000 and, with effect from 1 October 2000, took
over the sector of telecom networks and online management from the old
Central Government Bodies of Fixed Line (DTS) and Telecom Processes
(DTO) on an ongoing basis. Since the establishment of BSNL, the Indian
telecoms landscape has evolved into a sub, multi-product market with a wide
range of market sizes and sectors.

Page | 26
Bharath Sanchar Nigam Limited.
• BSNL is constructed a Excellence Telecom Net across the nation and is
currently concentrating on upgrading it, extending the network, and offering
new services.

• In villages, new telecom connections with ICT applications are being


introduced, and customers' trust is being gained.

• BSNL has a pan India reach: you title it, and BSNL is here. It takes a basic
telephone capacity of 43.74 million lines, 8.8 million WLLs, 72.6 million GSM
lines, 37,884 secure exchanges, 68,163 Mobile network BTSs, 12,070 CDMA
Strongholds, and 197 space positions.

• Massive Fiber Infrastructure: Wireless broadband transmission is supported by


fibre-based tv stations. BSNL has a 6,86,654 RKm OFC system and a 50,430
RKm microwave network, connecting 623 districts, 7330 urban centers, and 5.8
lakh villagers.

• Strategic collaborations with IT and hardware companies: In order to operate


the company effectively, it formed strategic agreements with Ericsson, Cisco,
HP, Compaq, NFL, and MTNL, among others.

• Past Expertise: The business has previously designed, installed, integrated, and
maintained switching & transmitting networks, as well as a global ISO 9000
approved Telecom Training Institute. Three higher education institutions and
four specialised communications units are located there.

Page | 27
Bharath Sanchar Nigam Limited.

Weaknesses analysis of BSNL

• BSNL's occupied culture: Despite severe rivalry in the telecom industry forcing
secluded firms to plan their strategies with caution, the company is nevertheless
governed in a bureaucratic manner.

• BSNL's network capabilities are poorly optimised despite having 62000 towers
and wireless networks spanning 6,86,654 RKm of OFC then 50,431 RKm of
radio network linking 623 districts, 7330 towns/metropolises, and 5.8 lakh
villages.

• Unproductive rural assets: The corporation is crippled by problems related with


outmoded technology, poor ROI forms of rural assets, and political meddling.

• Serviceability and CRM are crucial aspects for the success of the company, but
BSNL has remained its bad service profile since its inception, despite the arrival
of technology and new rivals foraying into the telecom industry.

• If you can't keep your current consumers, forget about getting new ones. Due to
bad service and obsolete offers, BSNL is unable to retain clients.

• Poor advertising: Inadequate franchisee nets, a lack of entrepreneurial re-search,


and a muddled division are just a few of the poor marketing methods that
contributed to BSNL's demise.
• Declining market share: Despite an increase in conferencing (75.2 percent in
2014), BSNL's market share continues to decline. It is now ranked 5th, with a
market share of barely 10.5 percent.

Page | 28
Bharath Sanchar Nigam Limited.

Opportunities in the SWOT analysis of BSNL

• Strategic Partnership: In terms of MNP (landline number portability (India)),


combining with smartphone businesses would be a wise approach that will
assure stable cash drifts in the upcoming.

• Joining with additional telcos to rebuild their unprofitable, improperly


managed, and overly strained infrastructure can assist them in rotating the
round.

• around the workplace Unused capacity should be redeployed, and IT technology


should be integrated.

• Customer Retention: Cheap switchers and reduced acquisition costs will come
from a mix of loyalty programmes, improved tariffs, customer satisfaction, low
call drops, and enhanced network availability and reach.

• Improving ephemeral capabilities: While the company has concrete capabilities


such as resources and infrastructure, subjective capabilities such as skill and
motivation, knowledge, and an ageing staff must be improved.

Threats in the SWOT analysis of BSNL

• Government Administrative Framework: The telecommunications industry is in


a constant state of upheaval, with spectrum auction and regulatory changes
taking place on a regular basis.

• Competition: The company's entire business is being harmed by a value war in


the domestic marketplace, technologically sophisticated remote companies,
then diminishing profits.

Page | 29
Bharath Sanchar Nigam Limited.

• MNP (Msisdn Portability): MNP provides customers the freedom to switch


service providers while keeping their phone numbers. High call dropouts,
network issues, and poor CRM will result in a decline in subscriber count in the
next fiscal year, with Locations In india MNP implementation starting on May
3rd.

Page | 30
Bharath Sanchar Nigam Limited.

Chapter 05

Analysis of Financial Statement


Financial statements:

BSNL ltd
BALANCE SHEET
Table no: 5.1 (Figures in INR Lakhs)

31stMarc
st st st St
Particulars 31 March 31 March 31 March 31 March h
2020 2019 2018 2017 2016
(amount) (amount) (amount) (amount) (amount)
A. EQUITY &
LIABILITY

Shareholder fund
Share capital 500,000 500,000 500,000 500,000 500,000
Reserves and Surplus 5,414,265 6,973,434 8,467,242 9,267,424 9,746,028

total shareholders’
funds 5,914,265 7,473,434 8,967,242 9,767,424 10,246,028

Non-Current
Liabilities
Long term borrowing 2,428,595 2,005,008 1,654,348 1,062,657 1,248,972
Lease Liabilities 305,283
Other Long-Term
Liability 311,571 395,323 245,878 241,612 117,497
Long Term Provisions 87,132 101,581 91,204 95,099 79,754

Net Noncurrent
liabilities 3,132,581 2,501,912 1,992,430 1,399,368 1,446,223

Current Liabilities
Short Term Borrowings 3,072,271 1,430,524 729,386 851,001 923,728
Trade Payables 1,467,447 1,293,480 782,989 592,993 685,060
Other Current
Liabilities 1,059,714 975,728 806,579 492,259 428,327
Short Term Provisions 29,803 2,936 1,157 795 24,020

Net Current liabilities 5,629,235 3,702,668 2,320,111 1,937,048 2,121,135

Page | 31
Bharath Sanchar Nigam Limited.

TOTAL EQUTY
AND LIABILITIES 14,676,081 13,678,014 13,279,783 13,103,840 13,813,386

B. ASSETS

NonCurrent Assets
a. Fixed Assets
Tangible Assets 9,741,121 10,046,940 9,931,362 10,015,696 10,081,742
Intangible assets 605,360 662,641 721,259 755,004 806,646
Capital-work-in-
progress 566,756 977,649 870,384 649,235 667,047
b. Noncurrent
Investments
c. Long-Term Loans
and Advance 243 405 583 870 1,414
d. Other Noncurrent
Assets 76,640 68,222 85,184 94,207 98,658

total non-current assets 10,990,120 11,755,857 11,608,772 11,515,012 11,655,507

Current Assets
Current Investments 20,000 20,000 20,000 20,000
Inventories 140,813 81,310 21,241 20,473 19,129
Trade Receivables 502,219 486,057 392,538 309,881 261,551
Cash and Equivalence 212,574 62,236 75,920 338,863 102,592
Short Term Loans and
Advance 4,516 97,672 119,874 39,114 543,712
Other Current Assets 2,760,994 1,162,091 1,041,438 860,497 1,210,915

Net Current assets 3,685,961 1,922,157 1,671,011 1,588,828 2,157,869

TOTAL ASSETS 14,676,081 13,678,014 13,279,783 13,103,840 13,813,386

Page | 32
Bharath Sanchar Nigam Limited.

BSNL ltd
INCOME STATEMENT
Table no: 5.2 (figures in INR lakhs)

31st 31st 31st 31st 31st


Particulars March March March March March
2020 2019 2018 2017 2016
(amount) (amount) (amount) (amount) (amount)

REVENUE

Revenue from operations 1,788,609 1,776,106 2,266,778 2,840,373 2,838,086


other incomes 102,047 155,961 240,286 312,971 403,046

Total Revenue -A 1,890,656 1,932,067 2,507,064 3,153,344 3,241,132

EXPENSES

License and spectrum fee 161,632 128,534 174,338 231,086 228,538


Employee-Benefit
Expenses 1,359,678 1,431,590 1,483,724 1,571,545 1,536,915
Finance Costs 199,110 78,166 4,831 14,679 58,487
Depreciation &
Amortisation
expenses 662,914 578,198 583,158 633,042 720,560
Other expense 1,057,274 1,206,003 1,134,829 1,182,313 1,182,548

Total Expenses-B 3,440,608 3,422,491 3,380,880 3,632,665 3,727,048

Loss Before Tax -C (A- - -


B=C) 1,549,952 1,490,424 -873,816 -478,604 -485,916

Tax Expenses -D
Current Tax

Loss for the Year-E 1,559,169 1,493,808 -873,816 -478,604 -485,916

Loss Per Equity Share -33 -29.81 -15.99 -9.59 -9.72

Page | 33
Bharath Sanchar Nigam Limited.

Analysis of financial statements:


BSNL LTD
Common Size Balance Sheet
Table no: 5.3 (Amount in INR Lakhs)

Particulars 31st March 31st March 31st March


2020-21 2019-20 2018-19
Amt % Amt % Amt %

A. EQUITY And
LIABILITY
Share holders
funds
Share capital 500,000 3.41% 500,000 3.66% 500,000 3.77%
Reserves and
Surplus 5,414,265 36.89% 6,973,434 50.98% 8,467,242 63.76%
total share holders
funds 5,914,265 40.30% 7,473,434 54.64% 8,967,242 67.53%
Noncurrent
Liabilities
Long-term
borrowing 2,428,595 16.55% 2,005,008 14.66% 1,654,348 12.46%
Lease hold
Liabilities 305,283 2.08% 0 0.00% 0 0.00%
Other Long-Term
Liability 311,571 2.12% 395,323 2.89% 245,878 1.85%
Long Term
Provisions 87,132 0.59% 101,581 0.74% 91,204 0.69%

total non current


liabilities 3,132,581 21.34% 2,501,912 18.29% 1,992,430 15.00%
Current Liabilities
Short Term
Borrowings 3,072,271 20.93% 1,430,524 10.46% 729,386 5.49%
Trade Payables 1,467,447 10.00% 1,293,480 9.46% 782,989 5.90%
Other Current
Liabilities 1,059,714 7.22% 975,728 7.13% 806,579 6.07%
Short Term
Provisions 29,803 0.20% 2,936 0.02% 1,157 0.01%

total current
liabilities 5,629,235 38.36% 3,702,668 27.07% 2,320,111 17.47%
TOTAL EQUTY 100.00 100.00 100.00
AND LIABILITIES 14,676,081 % 13,678,014 % 13,279,783 %

B. ASSETS

Page | 34
Bharath Sanchar Nigam Limited.
Noncurrent Assets
a. Fixed assets
i. Tangible-
assets 9,741,121 66.37% 10,046,940 73.45% 9,931,362 74.79%
ii. Intangible-
asstes 605,360 4.12% 662,641 4.84% 721,259 5.43%
iii. Capital-work-
in-progeress 566,756 3.86% 977,649 7.15% 870,384 6.55%
b. Noncurrent
Investments
c. Long-Term Loans
and Advances 243 0.01% 405 0.01% 583 0.01%
d. Other Noncurrent
Assets 76,640 0.52% 68,222 0.50% 85,184 0.64%
total non current
assets 10,990,120 74.88% 11,755,857 85.95% 11,608,772 87.42%
Current Assets
Current-Investments 20,000 0.15% 20,000 0.15%
Stocks 140,813 0.96% 81,310 0.59% 21,241 0.16%
Trade-Receivables 502,219 3.42% 486,057 3.55% 392,538 2.96%
Cash & Equivalence 212,574 1.45% 62,236 0.46% 75,920 0.57%
Short-Term Loans &
Advance 4,516 0.03% 97,672 0.71% 119,874 0.90%
Other Currentassets 2,760,994 18.81% 1,162,091 8.50% 1,041,438 7.84%
total current assets 3,685,961 25.12% 1,922,157 14.05% 1,671,011 12.58%
100.00 100.00 100.00
TOTAL ASSETS 14,676,081 % 13,678,014 % 13,279,783 %

BSNL LTD

Common size Income Statement

Table no: 5.4 (Amount in INR lakhs)

Particulars
31st March 31st March 31st March
2020 2019 2018

Amt % Amt % Amt %


REVENUE
Revenue from 100.00 100.00 100.00
operations 1,788,609 % 1,776,106 % 2,266,778 %
other incomes 102,047 5.71% 155,961 8.78% 240,286 10.60%
Total Revenue - 105.71 108.78 110.60
A 1,890,656 % 1,932,067 % 2,507,064 %

Page | 35
Bharath Sanchar Nigam Limited.

EXPENSES
License and
spectrum fee 161,632 9.04% 128,534 7.24% 174,338 7.69%
Employee-
Benefit
Expenses 1,359,678 76.02% 1,431,590 80.60% 1,483,724 65.46%
Finance-Cost 199,110 11.13% 78,166 4.40% 4,831 0.21%
Depreciations
and
Amortisations
expenses 662,914 37.06% 578,198 32.55% 583,158 25.73%
Other expense 1,057,274 59.11% 1,206,003 67.90% 1,134,829 50.06%
Total Expenses- 192.36 192.70 149.15
B 3,440,608 % 3,422,491 % 3,380,880 %

Loss Before -
Tax -C (A-B=C) -1,549,952 -86.66% 1,490,424 -83.92% -873,816 -38.55%
Less: Tax
Expenses -D 0 0.00% 0 0.00% 0 0.00%

Current Tax 0 0.00% 0 0.00% 0 0.00%


Loss for the
Year-E (C- -
D=E) -1,559,169 -87.17% 1,493,808 -84.11% -873,816 -38.55%
Loss Per Equity
Share -33 -29.81 -15.99

Page | 36
Bharath Sanchar Nigam Limited.

BSNL Ltd

Trend analysis of Balance sheet

Table no: 5.5 (Amount in INR lakhs)

amount Percentage
particulars
2020 2019 2018 2020 2019 2018
A. EQUITY And
LIABILITY
Share holders
funds
100.00 100.00
Share capital 500,000 500,000 500,000 100.00% % %
Reserves and 100.00
Surplus 5,414,265 6,973,434 8,467,242 63.94% 82.36% %
total share holders 100.00
funds 5,914,265 7,473,434 8,967,242 65.95% 83.34% %
Non Current
Liabilities
Long term 121.20 100.00
borrowing 2,428,595 2,005,008 1,654,348 146.80% % %
Lease Liabilities 305,283 0 0 100.00% 0.00% 0.00%
Other Long Term 160.78 100.00
Liability 311,571 395,323 245,878 126.72% % %
Long Term 111.38 100.00
Provisions 87,132 101,581 91,204 95.54% % %

total non current 125.57 100.00


liabilities 3,132,581 2,501,912 1,992,430 157.22% % %
Current Liabilities
Short Term 196.13 100.00
Borrowings 3,072,271 1,430,524 729,386 421.21% % %
165.20 100.00
Trade Payables 1,467,447 1,293,480 782,989 187.42% % %
Other Current 120.97 100.00
Liabilities 1,059,714 975,728 806,579 131.38% % %
Short Term 2575.89 253.76 100.00
Provisions 29,803 2,936 1,157 % % %

total current 159.59 100.00


liabilities 5,629,235 3,702,668 2,320,111 242.63% % %
TOTAL EQUTY 14,676,08 13,678,01 13,279,78 103.00 100.00
AND LIABILITIES 1 4 3 110.51% % %

Page | 37
Bharath Sanchar Nigam Limited.

B. ASSETS
Non Current Assets
a. Fixed assets
9,741,12 10,046,9 9,931,36 101.16 100.00
i. Tangible assets 1 40 2 98.08% % %
100.00
ii. Intangible asstes 605,360 662,641 721,259 83.93% 91.87% %
iii. Capital work in 112.32 100.00
progeress 566,756 977,649 870,384 65.12% % %
b. Non Current
Investments
c. Long Term Loans 100.00
and Advance 243 405 583 41.68% 69.47% %
d. Other Non Current 100.00
Assets 76,640 68,222 85,184 89.97% 80.09% %
10,990,1 11,755,8 11,608,7 101.27 100.00
total non current assets 20 57 72 94.67% % %
Current Assets
100.00 100.00
Current Investments 20,000 20,000 0.00% % %
662.93 382.80 100.00
Inventories 140,813 81,310 21,241 % % %
127.94 123.82 100.00
Trade Receivables 502,219 486,057 392,538 % % %
280.00 100.00
Cash and Equivalence 212,574 62,236 75,920 % 81.98% %
Short Term Loans And 100.00
Advance 4,516 97,672 119,874 3.77% 81.48% %
2,760,99 1,162,09 1,041,43 265.11 111.59 100.00
Other Current Assets 4 1 8 % % %
3,685,96 1,922,15 1,671,01 220.58 115.03 100.00
total current assets 1 7 1 % % %
TOTAL 14,676,0 13,678,0 13,279,7 110.51 103.00 100.00
ASSETS 81 14 83 % % %

Page | 38
Bharath Sanchar Nigam Limited.

BSNL Ltd

Trend analysis of Income Statement

Table no: 5.6 (Amount in INR lakhs)

amount Percentage
Particulars
2020 2019 2017 2020 2019 2017
REVENUE
Revenue from 1,788,6 1,776,1 2,266,7 100.00
operations 09 06 78 78.91% 78.35% %
100.00
other incomes 102,047 155,961 240,286 42.47% 64.91% %
1,890,6 1,932,0 2,507,0 100.00
Total Revenue -A 56 67 64 75.41% 77.06% %

EXPENSES
License and 100.00
spectrum fee 161,632 128,534 174,338 92.71% 73.73% %
Employee Benefit 1,359,6 1,431,5 1,483,7 100.00
Expenses 78 90 24 91.64% 96.49% %
100.00
Finance Cost 199,110 78,166 4,831 4121.51% 1618.01% %
Depreciation and
Amortisation 100.00
expenses 662,914 578,198 583,158 113.68% 99.15% %
1,057,2 1,206,0 1,134,8 100.00
Other expenses
74 03 29 93.17% 106.27% %
3,440,6 3,422,4 3,380,8 100.00
Total Expenses-B 08 91 80 101.77% 101.23% %

- -
Loss Before Tax -C 1,549,9 1,490,4 - 100.00
(A-B=C) 52 24 873,816 177.38% 170.56% %
Less: Tax Expenses -
D 0 0 0 0.00% 0.00% 0.00%
Current
Tax 0 0 0 0.00% 0.00% 0.00%
- -
Loss for the Year-E 1,559,1 1,493,8 - 100.00
(C-D=E) 69 08 873,816 178.43% 170.95% %
Loss Per Equity 206.3789 186.42901 100.00
Share -33 -29.81 -15.99 87 81 %

Page | 39
Bharath Sanchar Nigam Limited.

RATIOS: -

1) Current Ratio

The current ratio is a calculation that compares short - term assets. This ratio is
useful for analysing current or short-term situations (within year).

Formula for computation of current ratio is

CR= Current Assets: Current Liabilities.

Table no:5.7 Table showing analysis of current ratio.

Current Current
Year Current Assets
Liabilities Ratio
2020 3,685,961 5,629,235 0.65:1
2019 1,922,157 3,702,668 0.51:1
2018 1,671,011 2,320,111 0.72:1
2017 1,588,828 1,937,048 0.82:1
2016 2,157,869 2,121,135 1.01:1

Graph no: 5.1 Showing current position of BSNL Ltd

6,000,000
5,000,000
4,000,000
3,000,000
2,000,000
1,000,000
0
2020 2019 2018 2017 2016

Current Assets Current Liabilities Current Ratio

Interpretation: usual current ratio is 2:1, yet in this corporation current properties is
less than existing liabilities. In 2016 current assets are valued at greater than current
liabilities, but it is not satisfying guidelines it only climbs 0.01 percent higher than
current liabilities. But in 2017 current assets are valued lesser than current liabilities, in
same way it is continuously declining till 2019. In 2020 current assets are grow 0.1
percent compared to 2019, however it is not fulfilling norms.
So, BSNL ltd have negative scenario in short term.

Page | 40
Bharath Sanchar Nigam Limited.

2) Quick Ratio
quick ratio is comparison between liquid assets and liquid liabilities. liquid
assets mean which assets are easily converted into cash.
Formula for calculation of quick ratio is –

Quick Ratio = Quick assets : Quick liabilities


Table no: 5.8 Table showing five-years Quick Ratio

Quick
Year Quick Assets Quick Ratio
Liabilities
2020 3,545,148 5,629,235 0.62:1
2019 1,840,847 3,702,668 0.49:1
2018 1,649,770 2,320,111 0.71:1
2017 1,568,355 1,937,048 0.80:1
2016 2,138,740 2,121,135 1.01:1

Graph no: 5.2 showing five-year Quick Ratio

6,000,000

5,000,000

4,000,000

3,000,000

2,000,000

1,000,000

0
2020 2019 2018 2017 2016

Current Assets Current Liabilities Current Ratio

Interpretation: standard quick ratio is 1:1, so quick assets is equivalent to quick


liabilities. In this company, firstly current ratio is in bad condition so same quick ratio
is in also bad condition. In 2016 quick assets are 0.01 percent more than quick assets.
But 2017 to 2019 this company’s liquid assets are lesser than fast liabilities. It is kept
decreeing through 2019. In 2020 this ratio is rise compared to previous year. But in
2020 also the corporation cannot sustain rapid ratio norms.
So, BSNL ltd don’t have appropriate quick assets to pay quick liabilities.

Page | 41
Bharath Sanchar Nigam Limited.

3) Debt Equity Ratio


Liability equity ratio is comparison between long time debt funds and owner’s
funds.
Formula for calculation liability equity ratio is –

Debts Equity ratio = Debts: Equity


Table no: 5.9 Table show five-years debts equity ratio

Years Debts Equity Ratio

2020 3,132,581 500,000 0.159612792


2019 2,501,912 500,000 0.199847157
2018 1,992,430 500,000 0.250949845
2017 1,399,368 500,000 0.357304154
2016 1,446,223 500,000 0.345728148

Graph no:5.3 showing five-years debt equity ratio

3,500,000

3,000,000

2,500,000

2,000,000

1,500,000

1,000,000

500,000

0
2020 2019 2018 2017 2016

Debt Equity Ratio

Interpretation: the normal debts equity ratio of 1:1.5, implies equity is higher than
150% of debt. In BSNL ltd equity is same amount in five years. In 2016 equity is
lesser than debt, it is demonstrating the company has more debt that means this
company in bad state. Same condition is ongoing till 2020, the debt value is growing.
So, this corporation had awful condition of debt equity proportion in last five
years. Because it bears fixed rate of interest to diverse financial intuitions.

Page | 42
Bharath Sanchar Nigam Limited.

4) Proprietary Ratio
The propritary ratio is the propotion between shareholders equity to total
assets.
Proprietary ratio formula is –

Proprietary ratio = shareholder fund/ total asset


Table no: 5.10 Table shows five-years proprietary ratio

Shareholder
Year s total asset Ratio
funds
2020 5,914,265 14,676,081 1:2.48
2019 7,473,434 13,678,014 1:1.83
2018 8,967,242 13,279,783 1:1.48
2017 9,767,424 13,103,840 1:1.34
2016 10,246,028 13,813,386 1:1.34

Graph no: 5.4 showing five years proprietary ratio

16,000,000

14,000,000

12,000,000

10,000,000

8,000,000

6,000,000

4,000,000

2,000,000

0
2020 2019 2018 2017 2016

share holders funds total assets Ratio

Interpretation: Standard proprietary ratio is 1:2. The above chart shows that five-
year propitiatory ratio. This ratio is also showing that the company in too bad
condition till 2019. But in 2020 the company meets the standard ratio.

Page | 43
Bharath Sanchar Nigam Limited.

5) Fixed assets turnover ratio


Formula for fixed assets turnover ratio

Fixed assetsa turnover ratio = net revenue / fixed asset

Table no: 5.11 Table showing five years fixed assets turnover ratio

Years Net Revenues Fixed Assets Ratio

2020 1,890,656 9,741,121 0.19times


2019 1,932,067 10,046,940 0.19tiems
2018 2,507,064 9,931,362 0.25tiems
2017 3,153,344 10,015,696 0.31times
2016 3,241,132 10,081,742 0.32times

Graph no: 5.5 showing five years fixed asset turnover ratio

12,000,000

10,000,000

8,000,000

6,000,000

4,000,000

2,000,000

0
2020 2019 2018 2017 2016

net revenue fixed assets Ratio

Interpretation: according above calculated data in 2020 fixed asset turnover ratio is
0.19 times. It is shows revenue is lesser than fixed asset. It shows bad condition of
business. In general revenue is big value compared to other items. This ratio is kept
decreasing till 2020 from 2016. So, this company has lower revenue.

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Bharath Sanchar Nigam Limited.

Chapter 06
Learning Experience

It was a fantastic pleasure to be a part of Bharath Sanchar Limited's organisation


narrative. This form of education gives us an excellent chance to obtain job experience,
which will help us improve our employability. This is especially important for
postgraduate students. MBA students must study organisation. Graduates should focus
on gaining practical experience rather than academic understanding. they learned a lot
about how the organisation works.

Tasks and departments have a role in the overall performance of the company.
Over the course of a four-week organisation study. They are very transparent about
how an organisation will run smoothly. Working in that company was a whole new
experience for as, and learnt a lot of new things. The whole work process in the
organisation, from customer-requested items to final goods storage, and we was able to
see the entire work process. Learning in the classroom isn't enough; we need to be able
to use what we've learned and apply our abilities, attitudes, and information
appropriately. This study will help for develop knowledge, skill communication,
confidence, and so on.

Organizational studies have aided our understanding of the company's internal


and external operations. Bharath Sanchar Nigam Limited's internal and external
operations were studied. The organisation study on BSNL Ltd, such a large firm, has
helped ourselves grasp the company's behaviour, nature, functions, and financial
values. Financial analysis has helped us to grasp how a company's standing is
determined. This is a fantastic chance and experience that will be remembered for a
long period.

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