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International Islamic University Islamabad



Submitted to: Sir Muhammed Ali Asghar Submitted By: Atif Jamil
FMS/BBA/S09 Abdullah Ejaz Butt FMS/BBA/SO9 Muhammad Tahir FMS/BBA/SO9 Suleman Javaid FMS/BBA/SO9 2526253225052530-

To be a superior communication service company in Pakistan that provides the best value to its customers, employees, business partners and shareholders.

be the leading Telecommunication Services Provider in Pakistan by offering innovative communication solutions for our

Customers while exceeding Shareholder value & Employee expectation".


President and CEO Rashid Khan

Chief Strategy Officer Tariq Rashid

Vice President Marketing Bilal Munir Sheikh

Vice President Customer Care Irfan Akram

Vice President Corporate Affairs Agha Qasim

Chief Technical Officer Ramy Reyad Kamel

Vice President Sales Jahanzeb Taj

Chief Information Officer Irfan Farooq

Head of Human Resources & Administration Sadia Ahmad

Chief Financial Officer Andis Locmelis

Head of Business Analysis and Planning Farid Ahmed


Mobilink Losing Ground to Zong and Ufone

Pakistans Cellular industry faced a tough fiscal year 2009-2010. Hiked pricing, lower buying power, power crisis, currency devaluation and price war remained this period. 1. Revenues In comparison to 17% revenue growth in FYE 2009, overall industry revenue growth slowed down to 11% in FYE 2010. During FYE 2010, 39% of increased industry revenue was picked by Ufone, followed by 32% by Telenor & 15% by Zong. major problems for the cellular companies during

Warid & Mobilinks share in the increased industry revenue remained less than average industry growth rate of 11%.

2 Market Share (in terms of revenues) In terms of revenue, Ufone, Telenor & Zong managed to increase their market share, while Warid & Mobilink continued to lose. 3. Network Utilization KPIs Industry Revenue/avg. cell site dropped from PKR

8.6m in FYE 2009 to PKR 8.1m in FYE 2010. Mobilink topped network utilization in terms of revenue generation with PKR 10.7m per site, site. followed by Ufone & Telenor at PKR 9.3m per

In comparison to network size, revenue market share of Mobilink, Ufone & Telenor is higher than lower side in terms of revenue share 4. Conclusion: network share, while Warid & Zong remained on

Industrys growth is slowing down over the period of time, which means that new subscribers addition more towards launch of innovative is reducing and future competition will be focused products/services to increase revenue streams. Subscribers retention & acquisition of subscribers is already on the top of to-do lists, along-with, coming days customer support is going to play pivotal role in

According to the results published by OTH, Mobilink subscriber base increased by 10.5% as compared to same period last year closing at 32.2 million half of 2010 with revenues of PKR 47.5 billion a YoY increase of 24.8% in its EBITDA in rupee terms. Moreover, the companys EBITDA margin at the end of H1 2010. Mobilink closed the first showing a YoY increase of 11.4% and there was

has increased to 39.6% versus 35.5% over the same period last year.




Companies can do more than make good products they must inform consumers about product benefits and carefully position products in consumers minds. To do this, they must skillfully use the promotion tools of advertising, sales marketing, and personal selling. Advertising Goal The chief advertising goal of Mobilink is to increase its customer base and to stimulate more usage. Mobilink is currently using:
Information Advertising: To

promotion, public relations, sales force, direct

awareness and knowledge of its Mobilink World brand.

Reminder Advertising: To

create brand

stimulate the repeat

purchase of its Jazz and Indigo brands.

Advertising Budget Since the competition is intense in the

telecommunication market, Mobilink has a significant advertising budget. It is advertising target market to go for Mobilink. However, disclosed by the management. heavily to be heard and to constantly remind its Mobilinks actual advertising budget was not

Advertising Media Mobilink is using television, print, and radio

advertising media to disseminate its message and to build a brand preference but the most preferred is television since this medium is the most powerful, reaches a broad spectrum of consumers and has the maximum customer impact.

Radio: It

has a relatively large listeners base

and so is an effective way to communicate the message.

Billboards and Print Media: The

come up with elaborate campaigns, billboards and posters to promote Indigo, their post-paid brand.

Company has

Advertising Campaigns The advertising theme Mobilink: Its simply a way to communicate, is designed to demonstrate the new services simplicity and convenience.

Along with its service debut, Mobilink launched a nationwide campaign composed of television commercials and print ads. The national ad campaigns produced by the Mobilink

campaign is supplemented by local and regional

licencees. The national print and broadcast ads are designed to be localized. The success of Mobilink has not only to do with its increased offerings, but also has a great deal to do with the campaigns that Mobilink comes up with. The TV ads exude energy and liveliness, and frequency and visibility makes these

an expressive color and lightning palette, the high advertisements noticeable which results into increased brand awareness and brand loyalty boosting sales.

Strong Brand Ambassadors: Mobilink in its advertising went on a different route (now copied by competitors) by starring the most charismatic superstars in its advertisements. The tested method of having a pretty face holding a Jazz card makes its advertising campaigns booming. Strings, Vaneeza Ahmad, Shaan, Iman

Ali, Zainab Qayyum, Wasim Akram, and Shahid Afridi are some of celebrities associated with Mobilink.

The Mobilink World Campaign: Mobilink World being the value added service brand for Mobilink has been started with an elaborate

campaign with TV advertisements and print ads. Sales Promotion Mobilink uses different types of sales promotion method such as: Consumer promotions In order to kindle greater and quicker purchases

Mobilink is carrying out the following consumer promotion activities including special deals such as:

Indigo Freedom Plan: this

deal offers certain

benefits of which two are: Friends & Family: This

feature is available

to the customers on any three Mobilink added into F&F list by calling the help line at 111.
Local Rates: According

numbers (Jazz and Indigo) which can be

plan across Pakistan, all call, across all networks are charged as local calls.

to this freedom

Bonuses & Free Airtimes: Mobilink

has been offering

a number of bonuses to its consumers. An example of its current bonus offer is:

Event Sponsorship

To enhance its corporate image, Mobilink practices event sponsorship. It sponsors movie premieres, few events sponsored by Mobilink are given below. Direct Marketing Mobilink also uses direct channels to reach its customers without using marketing middlemen. These channels include direct mail, catalogues, tele marketing as well as e-marketing. Mobilink also uses a very unique technique to reach its customers directly. Electronic Marketing Mobilink finds it electronic marketing very important and highly accountable. concerts, sports events and community welfare. A

Online Ads and Promotions

Online ads and promotions tools such as banners ads and search related ads are being used by Mobilink GSM. These ads are placed on targeted and frequently viewed websites. Banners are also placed on related websites such as those which support web to SMS. For example

Training the sales Representatives Since Mobilink realize that a professional sales force plays a key role in developing and growing customers, it trains its sales representatives to screening techniques. Success Factors of Mobilink Mobilink is still the Market Leader and its success factors include:

effectively convince the customers by using effective

Innovative Products

Excellent Customer Services Best Coverage among cellular operators

Following are the SWOT (Strengths, Weaknesses, Opportunities and Threats) of Mobilink Pakistan. Strengths Mobilink is the market leader with huge customer base in Pakistan market. It offers mobile services in the majority of cities and also in remote areas which makes it largest coverage network.

It has been enjoying successful journey in term of Strong marketing and advertising. revenues, profits and market share.

They have got the Quality human resources, the reason behind that is strong recruitment and selection process. employees. Offers competitive salaries and benefits to the Powerful brand equity.

The quality of service has been tremendous specially Only Mobile service in Pakistan offering coverage on Mobilink has signed the agreement with 50 operators to provide the roaming services in 50 countries of the world. Mobilink is the first company to introduce blackberry services in Pakistan for that reason it has been the first choice for the business people. services to customers. Weaknesses M2 motorway. in the major cities of Pakistan.

Joint venture with MCB to offer mobile banking

It offers high calls rate to the customers as Quality of service is not good in remote areas. The promises made in the advertisement are not fulfilled by company. Not offering attractive SMS packages. Opportunities Low the call and messaging rates. customers. compared to the other competitors.

It can offer the prepaid Internet packages to its Focus on marketing of Internet, TV, Blackberry Improve the quality of services in remote areas. Educating people about usage of services. mobile banking services. Threats services and radio services to its customers.

It should go for Joint venture with banks to offer

Facing tough competition from Telenor, Ufone and Telenor entered into new arena of Mobile commerce, it may attract more customers and fetch market share from Mobilink. Rapid rise in Taxes on telecommunication services. Inflation devalues the Pakistan currency. Security condition is the biggest threat. heavy usage of generators. Warid.

Power outage increases the cost of services due to

RECRUITMENT AND SELECTION PROCESS Policies for Recruitment and Selection as experienced at Mobilink are:

Recruitment policy

The policy is meant to ensure an effective and efficient method of recruitment and selection. It is aimed at hiring without any discrimination religion or disability based on race, colour, sex, nationality, ancestry,

Policy guidelines:

The recruitment policy must comply with regulations set out by the Government of Pakistan.

The Sources of recruitment for different job vacancies in PMCL shall include:

Internal Advertisement. Databank. Advertising.

Head hunters/executive search organizations. Walk in candidates.

Colleges and Universities a) External Recruitment: i. No candidate under the age of eighteen will be considered. ii. To avoid conflict of interest, hiring of close relations (brothers, sisters, spouses, first cousins, brothers/sisters in law) will not be encouraged. have exceptionally good credentials may be in their assessment of the candidate their However candidates falling in this category who considered. Hiring supervisors will need to explain qualities that justify hiring. A final decision will need to ensure that there is no conflict of interest.

rest with the concerned Divisional Head who will

iii. Human Resources will advise Department Heads on salary ranges to be offered to the applicant

keeping internal and external equity in perspective. iv. Minimum qualifications must be a Bachelor degree or equivalent. A-Level or equivalent may be considered for call centre/support staff however will require approval of the VP Human Resources & Administration.

This criteria does not apply to technicians/riggers and ancillary staff.

b) Internal Recruitment i. Internal candidates must be confirmed employees of Mobilink who have completed one year of may be considered. ii. Selected candidates will join the new job/position after getting clearance from existing line manager. service. However exceptionally good candidates

iii. Spouse of an existing employee will not work for direct competition and either one will have to resign from service. Prospective candidates considered for hiring. whose spouses work for competition will not be

iv. Hiring from vendors, franchises, and clients is not

encouraged. Exceptionally where offers are made to employees of these entities their prior consent must be obtained.

General conditions for recruitment: All recruitment will be done through the Human Resources Department in consultation with the Officers and Heads of the concerned Department. An applicants knowledge, skill and aptitude related to the position shall be judged according to a range of factors including: a) Education (Academic / Professional).

b) Experience. c) Profile and Psychometric Tests d) Interviews. e) References. Application: Applicants may apply online by registering with the web based recruitment portal. However, when considered for a specific position, they will be the Company. All applications will be kept on HR database for a period of 6 months only. Practices at Mobilink regarding Recruitment and Selection: Practices regarding the recruitment and selection are in accordance with the policies formulated by the HR department. According to employees following

required to fill the standard application form of

were the recruitment practices. Two types of Recruitments: Internal and External. Sources of Internal Recruitment Sources of External Recruitment Employee referrals Internal advertising Job fairs University Hunts Advertising Emplacement Agencies Walk in candidates

All recruitment and selection process is handled by jobs are mostly made via internet.

the Human resource department. Applications for

Selection criteria are totally based on merit. A series of interviews are conducted followed by a panel from a lot of applicants are considered interview and a group discussion. Only deserving

Critical Review on Recruitment and selection process : It goes without saying that reference for job works. So its surely a flaw in the recruitment and selection process of Mobilink. We know a number of people who get job in Mobilink on reference basis. However, saying all 17 that, getting a job at Mobilink and retaining that job at Mobilink for a time are two different things. One thing was interesting studying the Mobilink Recruitment applications more than Mailed ones. To us,

and Selection process. Company entertains online reason is twofold. First, it reduces burden during the Recruitment process. Secondly, by using online system, company can keep Its image as innovative and latest the eyes of its consumers.

Policies at Mobilink for Performance Appraisal:

The purpose of this policy is to provide a formal review program to evaluate work performance and to promote communication and discussion of job performance. The intent of these discussions responsibilities, set goals, and discuss future at Mobilink. The Objectives of the Performance Review Program are: o To measure work performance should be to review current job performance and opportunities with reference to past performance

o To motivate and assist employees in improving their performance and achieving their personal/professional career goals

o To identify employees with high potential for advancement

o To provide objective information for making

decisions on salary increases, promotions, bonus and transfers.o To identify employees training and development24

o To provide a solid path for career planning for each individual

Frequency of the Performance Review: Informal performance discussions should be conducted frequently as and when the need arises. These discussions will provide the basis for an objective summarization of performance during formal Performance Reviews and allow

more time for discussing future plans and organizational as well as personal objectives. The supervisor is encouraged to make notes on notes in the employees personnel file. pertinent points discussed and to place those

Formal written performance reviews will be conducted with all employees annually. Notification along with Performance Evaluation Forms will be sent from the Human Resources Department in advance with the scheduled performance evaluation date.

All employees will be reviewed at least once at

confirmation. Therefore, Performance Reviews will be held on an annual basis from the date of hiring or more often if desirable to do so. The supervisor will receive notification of the scheduled review period from the Human Resources Department.

Performance Appraisal Forms:

The performance appraisal forms will be filled once in a year to get a clear picture of the employee performance.

Practices at Mobilink for Performance Appraisal System: Mobilink conducts performance appraisal in order to past performance relative to companys

evaluate their employees current performance or performance standards. Mobilink try to adapt the performance appraisal in which their employees understood what his or her performance provides the employee with feedback, standards were and that the supervisor also development, and incentives required to help the person eliminate performance deficiencies or to continue to perform above par. There are many performance appraisal methods. Mobilink uses the computerized performance appraisal method.

In Mobilink the performance appraisal of employees is conducted in December. The Mobilink HR department has developed a performance appraisal sheet and has downloaded it on the intranet of Mobilink so that the supervisor performs the evaluation of the employees. When the supervisor completes the evaluation, he will send the performance appraisal sheet to the

employee for the affirmation with the ideas of the supervisor if the employee does not agree with the supervisor he will not sign the PA sheet. passed then the HR department asks the and resolves the problem. When the last date of submission of PA sheet is supervisor and the employee about the problem

Critical Review on Performance Appraisal: Online 360 degree approach of performance appraisal is adopted at Mobilink for evaluating

employee performance. In the past only 180 Degree approach for performance appraisal was adopted but now 360 Degree is also in action. This is a very supportive strategy by the

organization because if an employee is not happy with the evaluation by his supervisor then he has rewards that are tied to performance appraisals. So, tool applied for performance appraisal justifies itself. the authority to challenge. There are a number of

Policies on Reward system at Mobilink: There is a list of policies regarding the reward system at Mobilink. It offers both kinds of main reward related policies: rewards: Intrinsic and Extrinsic. Following are the


The purpose of this policy is to have salaries subject light of merit and inflation. An employee, who is employed on a job with title and specifications, experience matching with approved salary structure of his / her position. Salary Administration Program:
Salary Objective:

for review in January of each calendar year in the

will receive compensation that is relevant to field

The salary administration program is designed to meet the following objectives:

1. Attract & retain the services of competent qualified employees.

2. Provide fair and equitable compensation to each employee and to ensure that the value of each job relative to all other jobs within the Company

is established and maintained on a fair and equitable basis. 3. Provide annual performance appraisal for employees to improve their job performance and to encourage them to aspire for promotions to jobs with greater responsibilities i.e. fairly compensate employees based on individual accomplishments and annual performance appraisals.

4. Ensure that salaries are competitive and in line with salary levels that prevail in the industry.

5. Instill employee confidence in the Companys compensation policies and practices.

Salary Outline: The Basics of the salary administration program can be summarized in the following manner;

o The VP Human Resources & Administration and the concerned Department Head will analyze each job classification.

o The HR Department determines an appropriate well respected companies (salary survey). o The HR Department will analyze each job and

salary range in relation to similar jobs at other

assign a job code, hire rate, minimum, mid and maximum point rate. (Salary Structure)

o The HR Department will prepare the salary Director & VP HR.

structure to be reviewed and approved by the

Salary Scale: Each job is assigned a minimum salary, established according to the salary survey results, which

specifies the minimum salary that may be paid to incumbents in each job. Minimum through maximum scales is built on a system of mathematical calculations to allow for overlapping between levels as a result of salary, merit or promotional increase. Setting Starting Salaries:

To ensure that each employee is given the starting and experience fall. Also to ensure that

salary of the title level in which his / her position consideration is given to past experience and qualifications when setting starting salaries

Factors to be put into consideration for setting salaries within the range determined by the departmental Head & the HR department The starting salary offered to new candidates by Mobilink will be dependent on two factors:

The particular job level for which the job offer is being made. The candidates education, experience, qualifications as compared to the minimum and prevailing industry rates. qualifications required by the job specification

Salary Administration Procedures:

Human Resource Department:

Prepare all documentations and their summary processing that includes: o Recruits, transferees o Promotion and increments o Allowances, bonuses and incentives o Discipline

affecting salaries, and forward payroll section for

o Review the all documents affecting salaries. o Entry of all salaries based on Salary, allowances, other intrinsic and extrinsic awards that leads towards one objective only and that is: To compensate employee sufficiently so that he may be motivated and constitutes an integral part of organization. Other intrinsic and extrinsic rewards include: Medical care Vacations

deductions and commissions. Besides there are

Life insurance Relocation Credit advance policyprovident policy/advance Recreation against provident fund and acapping of gratuity

Club Policy Travel

Education assistance policy Mobile phone Business mobile phone policy Official Balckberry Poicy Practices on Reward systems at Mobilink: Policies regarding the reward systems are practiced quite strictly at mobilink. Employees are paid when they are supposed to pay. Other rewards

are also fast but they are mostly tenure based rather than performance based. In policies it is mentioned that the rewards are totally performance based. However, this policy is not that much followed strictly. Rewards are mostly determined by the organizational membership and seniority rather then by performance. Promotion is given on the basis of performance, as well as tenure. Critical Review:

Reward system at Mobilink is quite complicate. The reason for this is that there are many intrinsic and extrinsic, direct and indirect, compensating and non-compensating rewards. There is even a department that looks after the motivational aspect of the employees. How motivation level of employees can be kept to a level so that they can be more productive. PMO (Project management office) introduces many club memberships, game shows, lunch arrangement and many more for employee to be motivated. Similarly, there are special achievement awards at each individual level. Then there are even team awards, department awards and division awards. One thing to mention is criteria for rewards. As mentioned earlier in policies, rewards are performance based. But this is true only in case

of achievement awards, group awards etc. If we observe basic pays and increments then those are not performance based. Those are more of are performance based. However, it is not the case in practice. tenure based. Mobilink does say that all rewards