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RELIANCE

COMMUNICATION
BY- GOVIND CHANDVANI

INTRODUCTION

Reliance Communications is the flagship


company of the Anil Dhirubhai Ambani
Group (ADAG) of companies. Listed on
the National Stock Exchange and the
Bombay Stock Exchange, it is India's
leading integrated telecommunication
company with over 80 million
customers.

Our business encompasses a complete


range of telecom services covering
mobile and fixed line telephony. It
includes broadband, national and
international long distance services and
data services along with an exhaustive
range of value-added services and
applications. Our constant endeavor is
to achieve customer delight by
enhancing the productivity of the
enterprises and individuals we serve.

Reliance Mobile (formerly Reliance India


Mobile), launched on 28 December
2002, coinciding with the joyous
occasion of the late Dhirubhai Ambani's
70th birthday, was among the initial
initiatives of Reliance Communications.
It marked the auspicious beginning of
Dhirubhai's dream of ushering in a
digital revolution in India. Today, we
can proudly claim that we were
instrumental in harnessing the true

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power of information and
communication, by bestowing it in We
endeavour to further extend our efforts
beyond the traditional value chain by
developing and the hands of the
common man at affordable rates.

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HISTORY OF RELIANCE

Dhirubhai was born in 1932 in the


village of Chorwad in Gujarat in
circumstances that can best be
described as modest. Driven by
hardship and want, he had to drop out
of school early. In 1949, at the age of

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He went to Aden (now Yemen) in
search of opportunity, and worked as a
dispatch clerk for A. Besse & Co. A
couple of years later. the company
became a distributor for Shell products
and Dhirubhai was promoted to manage
the company's oil-filling station at the
port of Aden. It was here that he
dreamed of setting up and owning a
refinery, which he later realized with his
petrochemicals venture. He returned to
India in 1958 to launch his first business
venture, a spice trading company
named Reliance Commercial
Corporation.

In 1962. Dhirubhai identified an


emerging opportunity in yarn trading
and shifted to the new business. Three

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years later, he changed the name of his
company to Reliance Textile Industries
Limited. In 1966, he purchased land in
Naroda, Gujarat, to set up a textile mill.
In 1975, a technical team from the
World Bank recognised the Naroda mill
as one of the best composite textile
mills in India and certified it as
'excellent even by developed country
standards. In 1977, the company went
public.

At the time of the Reliance Textiles IPO,


participation in the Indian capital
markets was largely limited to a small
but influential elite which dabbled in a
handful of stocks. The great majority of
India's middle class chose to stay away.
Dhirubhai's decision to prefer the capital

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markets over banks as the primary
source of funding for his ambitious
expansion plans, was as daring as it
was unprecedented. In the event. The
Reliance IPO was an unlikely success.
Against all odds. Dhirubhai managed to
convince a sufficiently large number of
sceptical middle class investors to put
their money, and faith, in what was
then a small, relatively unknown
company. The subsequent growth and
success of Reliance and its philosophy
of generously rewarding shareholders
rapidly gave Dhirubhai an iconic status
in the Indian financial markets. Under
Dhirubhai's charismatic leadership, the
Annual General Meetings (AGM) of
Reliance took on the character of large

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public spectacles. Typically held in large
public arenas, and attended by
thousands of adoring shareholders, the
Reliance AGM became a day to
remember in the annual corporate
calendar of India. In 1986, the Reliance
AGM held in Cross Maidan, Mumbai,
was attended by as many as 30,000
stockholders-a record in India's
corporate history. By the mid-80s,
Dhirubhai had become something of a
living legend, widely hailed by peers
and critics alike as one of the greatest
corporate visionaries in the history of
post-Independent India But Dhirubhai
was never one to rest on his laurels. In
the early 80s, he had taken the first
important step in strategic backward

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integration for Reliance with the
commissioning of the Patalganga plant
which initially manufactured polyester
filament yarn and polyester staple fibre.
In 1991, he set up Reliance Hazira, for
the manufacture of petrochemicals--the
next link in the backward integration
chain. At the time, Reliance Hazira
represented the single largest.
investment made by a private sector
group in India at a single location.
Meanwhile, Dhirubhai had firmed up
plans of setting up a massive grassroots
refinery-the next big leap in his overall
strategic roadmap for Reliance.
Conceived as the world's largest
grassroots refinery at the time,
Jamnagar in Gujarat was to have an

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annual capacity of 27 million tonnes. In
the face of formidable challenges,
including a massive cyclone that
flattened the project site mid-way
through construction, Reliance
commissioned the Jamnagar facility in
1999. It was a fully integrated refinery,
complete with a dedicated port and a
captive supply of power. The refinery
was not only commissioned ahead of
schedule, but also set up at a cost that
was significantly lower than the
prevailing global benchmark for a
project of such magnitude. It was one
of Dhirubhai's great dreams in life to
see ordinary Indians enjoy the
enormous economic benefits of being
able to access affordable yet world class

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telecommunications infrastructure. He
wanted Reliance to spearhead a
communications revolution that would
dramatically cut down the cost of
connectivity, and propel India into the
digital age. His ultimate ambition: To
make the cost of a phone call cheaper
than that of a post card. It was
therefore entirely logical for Reliance to
enter the telecommunications space
when the sector was opened up for
private participation in the 1990s. The
rest, as they say, is history. Today.
Reliance Communications is India's
largest information and communications
services provider with over 20 million
subscribers, and offers the full range of
integrated telecom services- at prices

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that are, by far, the lowest anywhere in
the world. Dhirubhai left for his
heavenly abode on July 6, 2002.

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RELIANCE COMMUNICATION
Reliance Communications (formerly
Reliance Communications Ventures) is
one of India's largest providers of
integrated communications services.
The company has more than 20 million
customers and serves individual
consumers, enterprises, and carriers,
providing wireless. wireline, long
distance, voice, data, and internet
communications services through a
number of operating subsidiaries. The
company sells communications and
digital entertainment products and
services through its chain of Reliance
Web World retail outlets. The
company's Reliance Infocomm
subsidiary provides wireless

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communications services throughout
India. Reliance Communications is part
of the Reliance- Anil Dhirubhai Ambani
Group.

The current network expansion


undertaken by Reliance is the largest
wireless network expansion undertaken
by any operator across the world. It
was with this belief in mind that
Reliance Communications (formerly
Reliance Info comm) started laying
60,000 route kilometers of a pan India
fibre optic backbone. This backbone
was commissioned on 28 December
2002, the auspicious occasion of
Dhirubhai's 70th birthday, though sadly
after his unexpected demise on 6 July
2002. Reliance Communications has a

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reliable, high-capacity, integrated (both
wireless and wire line) and convergent
(voice, data and video) digital network.
It is capable of delivering a range of
services spanning the entire infocomm
(information and communication) value
chain, including infrastructure and
services for enterprises as well as
individuals, applications, and consulting.
Today, Reliance Communications is
revolutionizing the way India
communicates and networks, truly
bringing about a new way of life.

local-scale projects to facil We will


leverage our strengths to execute
complex global-scale projects to
facilitate leading edge information and
communication services affordable to all

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individual consumers and businesses in
India. We will offer unparalleled value
to create customer delight and enhance
business productivity. We will also
generate value for our capabilities
beyond Indian borders and enable
millions of India's knowledge workers to
deliver their services globally.

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VISION
"We will leverage our strengths to
execute complex global-scale projects
to facilitate leading edge information
and communication services affordable
to all individual consumers and
businesses in India. We will offer
unparalleled value to create customer
delight and enhance business
productivity. We will also generate value
for our capabilities beyond Indian
borders and enable millions of India's
knowledge workers to deliver their
services globally."

 By 2015. be Indian companies.


Providing Information,
Communication & Entertainment

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services, and being the industry
benchmark in Customer Experience,
Employee Centricity and Innovative.
 By 2015, be amongst the top 10
most valued MNC. Proving
sustainability in the market, by
surviving through tough times.
 Creating better job opportunities for
the uprising youth icon to a new
height.
 Upbringing the customer satisfaction
to a new height.

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MISSION
 To attain global best practices and
become a world-class
communication service provider
guided by its purpose to move
towards greater degree of
sophistication and maturity.
 To work with vigor, dedication and
innovation to achieve excellence in
service quality, reliability, safety and
customer care as the ultimate goal.
 To consistently achieve high growth
with the highest levels of
productivity.
 To be a technology driven, efficient
and financially sound organization.
 To contribute towards community
development and nation building.

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 To be a responsible corporate citizen
nurturing human values and concern
for society, the environment and
above all, the people.
 To promote a work culture that
fosters individual growth, team spirit
and creativity to overcome challenge
and attain goals.
 To encourage ideas, talents and
value systems. To uphold the
guiding principle of trust, integrity
and transparency in all aspects of
interpretation and dealings.
 Meeting and exceeding Customer
expectations with a segmented
approach

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• Establishing, re-engineering and
automating Processes to make them
customer centric, efficient and
effective .Incessant offering of Products
and Services that are value for money
and excite customers

• Providing a Network experience that is


best in the industry

• Building Reliance into an iconic Brand


which is benchmarked by others and
leads industry in Intention to Purchase
and Loyalty

• Developing a professional Leadership


team that inspires, nurtures talent and
propagates RCOM Values by personal
example.

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CHAIRCHAIRMAN’S PROFILE

Anil Ambani:- His marketing


strategy has made millions of
Indians happy, they got the best
mobile tariffs in the world Local
call costs at 15 paisa/minute, and
STD call at 40 Paisa/minute

Anil Dhirubhai Ambani, chairman of


Reliance Communications. Anil Ambani
joined Reliance Industries (currently
promoted by his brother Mukesh

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Ambani, following their split) in 1983 as
co-chief executive officer. Forbes
ranked him number 104 among the
World’s Richest People in 2006. The
Ambani family faced criticism when it
announced its ambitious plans to build a
countrywide telecom network, as its
prior expertise lay in commodities-
textiles and petrochemicals-business
only. Apart from that telecom needs a
service-oriented mindset, critics felt.
What they did not remember was how
the family had served its millions of
shareholders. Policies in India are made
in line with Ambani’s vision, says an
industry expert. His business acumen
and closeness to politicians assisted him
in making it to the RajyaSabha in June

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2004, as an independent member.
Ambani chose to resign voluntarily on
March 25, 2006. The same association
with politicos gave him negative returns
too when the Mayawati Government in
Uttar Pradesh put a spanner on his
ambitious plans to build a 1,200-acre
SEZ.

Media sees his aggression when he


announces financial results for the
Reliance ADA group of companies, and
when he attends the annual general
meetings and faces questions from
shareholders. When he meets the press,
he has answers to all their questions.
He also remembers to call select
journalists by name. To merchant
bankers he, who has already

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contributed immensely to the financial
reforms of the country, is one of the
financial wizards of the world. May be
because of his expertise, he gave up in
the race to grab Hutchison Essar stake,
after indirectly jacking up the valuation.
His negotiations with the Qualcomm
chief are also a folk theory now.

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SERVICE RENDERED BY
RELIANCE COMMUNICATION

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AN OVERVIEW OF CURRENT
MARKET AND FUTURE
OPPORTUNITIES
Reliance Communications' wireless
subscriber base grew to over 28 mn last
fiscal, registering a 60% growth. This
makes it one of the top two wireless
operators in India. "Economic growth in
the future will be indexed to
connectivity of millions of enterprise and
individual customers. Over the next few
years, we will have over 100 million
customers, making us one of the top 5
telecom players in the world. In four
years, we put up a total of 14,000
towers across the country. This year
alone we will add 23,000 more towers.

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Our wireless network is currently
available in 10,000 towns. By the end of
this year, it will be available in over
23,000 towns and 600,000 villages,"
Anil Ambani said at the first annual
general meeting of Reliance
Communications since the re-
organization of the Reliance Group in
June 2005.

"In four years of operations, we


invested around Rs 32,000 crore. This
year alone we will invest over Rs 20,000
crore. At the end of this year, we will
have covered over 90% of our
population. If Version 1.0 of the Indian
telecom story was all about
affordability, Version 2.0 will be about
reach. Our Network expansion will give

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us the power to drive the market and
stay ahead of the curve." Ambani adds.
capturing of Reliance According to
Ambani, the financial restructuring of
Reliance Communications is the biggest
turnaround story in the history of
corporate India. The inherited
ownership structure of Reliance
Communications was complex. The
reorganization has yielded a simple, fair,
and transparent ownership structure,
and given Reliance Communications
100% ownership of all operational and
associate companies.

Reliance Communications is now among


the three most valuable private sector
companies in India, and the five most
valuable telecom companies in Asia. In

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the current Fiscal, Reliance
Communications will spend Rs 16,000
crore to further expand and strengthen
its network coverage across India and
the rest of the world. In addition to
organic growth. Reliance
Communications will leverage the
advantages derived from this impressive
financial platform to explore and pursue
any significant Opportunities available in
the telecommunications sector.

"We are currently evaluating a number


of inorganic opportunities in select
international markets to further expand
our footprint." Ambani said. Reliance
Communication's One India, One Tariff
plan allowed millions to connect across
India at just one rupee a minute. The

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company was the first one to break the
Rs 1,000 entry-barrier with the launch
of the lowest-cost classic brand handset
at Rs 777. As per its expansion plan,
Reliance Communications will have the
single largest wireless network in the
world, covering over 900 mn Indians or
more than 15% of the global
population. It will cover 23,000 towns
or every single Indian habitation with a
population of over 1,000. Reliance
Communications will cover almost 100%
of all rail routes, providing seamless
voice, video, radio, and Internet
connectivity to 14 mn commuters every
day. It will also cover almost 100% of
all national highways, and 84% of all
state highways, giving millions of users

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the power to talk, text, surf, play, chat
or simply stay in touch across nearly the
entire length of India's 2,00.000-km-
long road network. Having achieved
tremendous growth, the main challenge
for Reliance Communications is to
improve quality of service and ARPU. Its
enterprise business is also not in a
position to compete with the global
majors. Stock market valuations may
boost the fortunes of an entrepreneur,
but Ambani needs to address the issues
faced by the growing mobile customer
base, especially in India, where
bureaucracy takes pride in checking the
businessman.

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SWOT ANALYSIS

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Reliance industries believes in maintaing
its true RELIANCE Communications
prestige in sense of its very customer
reliance believe in enhancing its
capacity and devoloping and deafeating
their competitors in reliance we believe
in knowing our weakness and threats
and hence pertains its tag of big dealers
Swot analysis helps in judging the very
condition of an organization and helps
in improving stage by stage there are
some strengths weakness opportunities
and threats of every organization
realiance telecommunication also
conducts its Swot analysis annually On
the basis of the prepared Swot analysis
future plans of reliance
telecommunication are made strengths

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of realiance communication include
celebrity brand endorsement .flexible
planning weakness are that reliance
didn't tapped the rural Indian market
which holds a big scope - pricing is also
one of the biggest issue Opportunities
for reliance include faster exampling
cellular market latest and low cost
technology new entrant in the market
which offers low and cheap prices on
their products tends to be a great threat
to reliance industry also reliance has
reached Saturation point in Basic
telephony service .

CONCLUSION

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In Reliance Communication I did selling
and marketing survey and found that
reliance communication has high brand
equity but it’s also associated with bad
service image reliance communication
need to improve it’s after sells services.
Some time to convert a call falls
commitment has been made by its sells
executives, that is ruining brand image
of reliance communication. There for
some amendment are required in
marketing process of reliance
communication. Although it was the
great experience to be a part of such a
great company. It was the great
opportunity to learn the market and
apply the theoretical knowledge in the
field.

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RCOM has provided BSES with a unique
solution of CDMA AMR on WDVPN
technology through which meter
reading is done from a central location
without visiting customer premises.
Reliance WDVPN is a comprehensive
CDMA I X based connectivity solution
for secure, reliable and high speed data
transfer between remote terminals and
the central application servers. It allows
remote terminals and mobile workforce
to access the intranet servers such as
ERP applications, Email etc. without
going to Internet. The customer servers
can be located at Reliance IDC or
Customer Data Center.

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The remote machine uses any of the
CDMA devices such as Fixed Wireless
Phone (FWP) / Fixed Wireless Terminal
(FWT), Data Card or built-in CDMA
Module to establish a packet data call
with the RCOM network. Physical
connectivity can be through the serial
RS-232C port or a USB port with the
appropriate cable. The entire process
from meter reading to billing is now
fully automated It has been
incorporated to minimize human
interface while downloading of meter
data and to reduce billing as well as
accounting errors.

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Using WDVPN technology BSES keeps a
check on meter tampering thus
reducing illegal abstraction of energy.
now the meter were also much
advanced and proficient according to
their needs also there were reduced
labor and hence labor cost was also
minimized now the accounting errors
were much less as all the data was
collected and assembled in the
database of computer.

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