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SUMMER TRAINING REPORT

A STUDY OF CAPITAL ANALYSIS OF BHARTI

AIRTEL LIMITED
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A STUDY OF CAPITAL ANALYSIS OF BHARTI

AIRTEL LTD

(Submitted in partial fulfillment of the requirements for

MBA)

By

AJIT MAURYA

Roll No. 2101720700022

Batch of 2021-2023

Under The Guidance of:

Mr. Faisal Noman (Assistant Professor)

LLOYD INSTITUTE OF MANAGEMENT & TECHNOLOGY

PLOT NO 11, KNOWLEDGE PARK-2, GREATER NOIDA-201306 (UP)

CERTIFICATE OF ORIGINALITY
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I AJIT MAURYA a Roll No.2101720700022 of Batch 2021-2023 is a fulltime bonafide student

of second year of MBA Program of Lloyd Institute of Management & Technology, Greater
Noida. I hereby certify that this project work carried out by me at “A STUDY OF CAPITAL
ANALYSIS OF BHARTI AIRTEL LTD” the report submitted in partial fulfillment of the
requirements of the program is an original work of mine under the guidance of the faculty
mentor Mr. Faisal Noman and is not based or reproduced from any existing work of any other
person or on any earlier work undertaken at any other time or for any other purpose, and has not
been submitted anywhere else at any time.

(Student's Signature)

Date:

(Faculty Mentor's Signature)

Date:

STUDENT’S DECLARATION
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I hereby declare that the survey, data collection and analysis work related to Summer Training
Project report titled “A STUDY OF CAPITAL ANALYSIS OF (BHARTI AIRTEL)” has
been carried out exclusively on my efforts under the guidance of MR. FAISAL NOMAN
(ASSISTANT PROFESSOR).

I, further declare that this work was neither published nor submitted to any other institution for
award of any other degree or diploma.

AJIT MAURYA

Roll No.2101720700022

Lloyd Institute of Management & Technology, Gr. Noida

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ACKNOWLEDGEMENT

I wish to express my deep gratitude to Mr. FAISAL NOMAN for acting as a guide and
providing me with continuous support and guidance. This report could not have been completed
without the inputs and the words of advice from his far which I shall always remain grateful to
him.
I wish gratitude to my other faculty members for taking keen interest in my project work and
fine-tuning my efforts as and when required.

Last but not the least I would like to thank all my Faculty members, friends and family members
who have helped me directly or indirectly in the completion of the project.

Name Of Student

AJIT MAURYA
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PREFACE

The study group found that there was a substantial gap between the sanctioned limit of cash
credit and the extent of their utilization. They recommended that the bank should strictly ensure
that a review of all borrowers accounts, enjoying working capital credit limits of Rs 10 cores and
over from the banking system is made at least once a year. A working capital limit will include
all fund-based limits for working capital purposes. It will verify the continued viability of the
borrowers and also assess the need-based character of their limit. This project has been done on
A STUDY OF CAPITAL ANALYSIS OF BHARTI AIRTEL LTD. This project is a complete
analysis of the SCM Dept. in Telecom sector that is compiled for the benefits of Company. It
covers the basic theory and also a lot of relevant knowledge obtained from extensive analysis.
This gives a complete insight into Telecom Industry and background of Bharti. In a nut shell we
have Industry Background, Competitive situation, Company’s Profile, organizational chart,
Product Range and Financial Position of the company.

This section covers the Project Background and its methodology. In this section we give due
attention to the problem for which analysis is conducted. It may clearly specify the objective and
related sub objectives of the analysis. As it involves elaborate analysis of the Telecom sector thus
a great amount of information is required. In order to encounter with this problem we consider
both primary as well as secondary data. Covers study of concept of environment both internal
and external, and its appraisal. It specifies why project was undertaken. The main problems that
are faced during analysis. It also states the steps taken by the company in order to solve the
problem. This part covers the complete analysis of data collected for the purpose of research. It
involves tabulation and interpretation of data. At the end on the basis of analysis, interpretation
and findings are stated. Lastly conclusion is written and suggestions provided for getting the best
results.
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CONTENTS TABLE

CHAPTER- 1 BHARTI AIRTEL

MOBILE INDUSTRY 4
STATEMENT OF OBJECTIVE 12
SCOPE OF STUDY 13
BHARTI ENTERPRIS 14
COMPETITIVE ANALYSIS 27
COMPANY PROFILE 31
FACT SHEET 32
PATH TO SUCCESS 39
MAJOR SHAREHOLDER 44
PRODUCT AND SERVICES 52
CALL RATES 59

CHAPTER-2 CAPEX (BUDGET MONITORING SYSTEM & PROCESS)

CAPEX 79
OPEX 83
FINANCIAL RESULTS 85

CHAPTER-3

SWOT ANALYSIS 87
RESEARCH METHODOLOGY 90
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CHAPTER-4

DATA ANALYSIS 91

CHAPTER-5

CONCLUSION 94
LIMITATION 96

CHAPTER-6

QUESTIONNAIRE 97

CHAPTER-7

GLOSSARY 101
BIBLIOGRAPHY 103

INTRODUCTION
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This project is a complete analysis of the SCM Dept. in Telecom sector that is compiled for the
benefits of Company. It covers the basic theory and also a lot of relevant knowledge obtained
from extensive analysis.

Industry and Company Profile.

This gives a complete insight into Telecom Industry and background of Bharti. In a nut shell we
have Industry Background, Competitive situation, Company’s Profile, organizational chart,
Product Range and Financial Position of the company.

Project Profile

This section covers the Project Background and its methodology. In this section we give due
attention to the problem for which analysis is conducted. It may clearly specify the objective and
related sub objectives of the analysis. As it involves elaborate analysis of the Telecom sector thus
a great amount of information is required. In order to encounter with this problem we consider
both primary as well as secondary data.

The Project Background & Methodology.

Covers study of concept of environment both internal and external, and its appraisal. It specifies
why project was undertaken. The main problems that are faced during analysis. It also states the
steps taken by the company in order to solve the problem.

Analysis.

This part covers the complete analysis of data collected for the purpose of research. It involves
tabulation and interpretation of data.

At the end on the basis of analysis, interpretation and findings are stated. Lastly conclusion is
written and suggestions provided for getting the best results.
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MOBILE INDUSTRY
It is somewhat ironical that commercial Internet and mobile services were launched in India at
the same time? August 15, 1995. Today, the mobile industry is way ahead of the Internet. With
calling rates amongst the lowest in the world, Indian mobile operators have been forced to adapt
their business models to make money. The result: a user base of 75+ million users growing at
nearly 5 million a month. The mobile industry is the big success story in India. In other words, it
has been a win-win situation: for consumers and for the service providers.

The mobile industry started off with a killer approach already available: the desire of people to
communicate. Compounded with the fact that for various reasons, the phone was seen as a
luxury in India, the mobile gave people in India independence and freedom that that they had
hitherto not experienced when it came to interactions with others. The entry of Reliance
Infocomm helped spark off a price war which has led to rocketing growth in the industry.

In India, ring tones, ring back tones, wallpapers, games, voice-based services and SMS info
services have done very well so far. But they still address a very small segment of the market.
There is an opportunity to grow the usage of mobile data (or mobile value added services)
beyond the 2G to the 3G & 4G domain (WAP, MMS and Java). In India, the mobile has the
potential to become a credible alternative for accessing the Internet given the slow growth of
connected computers. But for that to happen, a number of things will have to change. With
regards to content and value added services, there are three challenges facing mobile businesses:
closed publishing systems (? walled gardens?), operator revenue shares for content providers and
mobile data pricing.

The walled gardens that mobile operators run limit the options for publishers. They have to go
the operators directly or work through intermediaries who have the operator relationships. While
the walled gardens are good for operators who can maximize their revenues through the services,
it limits the options that users have and, over time, it will also limit the revenue-generation
potential.

In India, the content providers get a much smaller fraction of the transaction and subscription
fees paid by users compared to that in other markets such as China and Japan. While the
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operators have a great advantage with their billing relationship and platform, they tend to keep a
very high percentage of the revenue thus limiting what content providers keep. In Japan, NTT
Document i-mode pays out 91% to the content provider. In China, the mobile operators pay out
80-85%. In India, the content providers tend to get 10-30% of the revenue only.

Mobile data pricing in India also needs to be reduced dramatically. For example, one of the
leading operators charges a fee of Rs 49 per month with an additional charge of 10 paise/10 KB.
This works out to about Rs 10 per megabyte of download. This encourages more one-time
download applications rather than online usage. In addition, in the GSM world, activating mobile
data (GPRS) is also not easy. (By comparison, most CDMA handsets come pre-configured for
data access, even though they are limited to the operator walled garden.)

With its high population and development potential is having one of the fastest growing telecom
networks in the world. India's public sector telecom company BSNL is the 7th largest telecom
company in world. Reliance, Bharti Telecom, Tata Indicom, Vodaphone, MTNL, and BPL are
other major operators in India. However, rural India still lacks strong infrastructure.

India introduced telephony in 1882

The total number of telephones in the country crossed the 100 million mark in April 2020 and
was 202.74 million in February 2022. This includes 156.31 million mobile phones. However,
teledensity (telephones per 100 persons) in the country was 65 per cent in February 2022.
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History

Telecom in the real sense means transfer of information between two distant points in space. The
popular meaning of telecom always involves electrical signals and nowadays people exclude
postal or any other raw telecommunication methods from its meaning. Therefore, the history of
Indian telecom can be started with the introduction of telegraph.

Introduction of Telegraph

The postal and telecom sectors had a slow and uneasy start in India. In 1850, the first
experimental electric telegraph Line was started between Kolkata and Diamond Harbor. In 1851,
it was opened for the British East India Company. The Posts and Telegraphs department
occupied a small corner of the Public Works Department, at that time. Construction of 4,000
miles of telegraph lines connecting Kolkata and Peshawar in the north via Agra, Mumbai
through Sindwa Ghats, and Chennai in the south, as well as Ootacamund and Bangalore was
started in November 1853. Dr. William O'Shaughnessy, who pioneered telegraph and telephone
in India, belonged to the Public Works Department. He tried his level best for the development
of telecom through out this period. A separate department was opened in 1854 when telegraph
facilities were opened to the public.
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Introduction of the Telephone

In 1880, two telephone companies namely The Oriental Telephone Company Ltd. and The
Anglo-Indian Telephone Company Ltd. approached the Government of India to establish
telephone exchanges in India. The permission was refused on the grounds that the establishment
of telephones was a Government monopoly and that the Government itself would undertake the
work. By 1881, the Government changed its earlier decision and license was granted to the
Oriental Telephone Company Limited of England for opening telephone exchanges at Kolkata,
Mumbai, Chennai and Ahmedabad. January 28, 1882, is a Red Letter Day in the history of
telephone in India. On this day Major E. Baring, Member of the Governor General of India's
Council declared open the Telephone Exchange in Kolkata, Chennai and Mumbai.

The exchange at Kolkata named "Central Exchange" was opened at third floor of
the building at 7, Council House Street. The Central Telephone Exchange had 93
numbers of subscribers. Bombay also witnessed the opening of Telephone
Exchange in 1882 itself.

Further developments

In 1902 first wireless telegraph station established between Saugor Islands and Sand heads. In
1907, first Central Battery working of telephones introduced in Kanpur. Between 1913 and 1914
first Automatic Exchange was installed in Shimla. On July 23, 1927 Radio Telegraph started
working between UK and India. The beam station at Kirkee and Dhond opened by Lord Irwin
and greetings exchanged with the King of England. In 1933 Radio-Telephone also started
between India and UK. 12 channel carrier system was introduced in 1953. First subscriber trunk
dialing route commissioned between Kanpur and Lucknow in 1960. First PCM system between
city and Andheri telephone exchanges

Commissioned in Mumbai in 1975. First digital microwave junction was introduced in 1976.
First optical fibre system for local junction commissioned at Pune in 1979. First satellite earth
station for domestic communications was established at Secunderabad(U.P.). First analog Stored
Program Control exchange for trunk lines was commissioned at Bombay. In 1984 C-DOT was
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established for indigenous production and development of digital exchanges. In 1985 mobile
telephone service started (not commercially) in Delhi.

While all the major cities and towns in the country were linked with telephones during the
British period, the total number of telephones in 1948 was only around 80,000. Even after
independence, growth was extremely slow. The telephone was a status symbol rather than being
an instrument of utility. The number of telephones grew leisurely to 980,000 in 1971, 2.15
million in 1981 and 5.07 million in 1991, the year economic reforms were initiated in the
country.

While certain innovative steps were taken from time to time, as for example introduction of the
telex service in Mumbai in 1953 and commissioning of the first [subscriber trunk dialing] route
between Delhi and Kanpur in 1960, the first waves of change were set going by Sam Pitroda in
the eighties. He brought in a whiff of fresh air. The real transformation in scenario came with the
announcement of the National Telecom Policy in 1994.

India, emerging as a major player

In 1975, the Department of Telecom (DoT) was separated from P&T. DoT was responsible for
telecom services in entire country until 1985 when Mahanagar Telephone Nigam Limited
(MTNL) was carved out of DoT to run the telecom services of Delhi and Mumbai.

In 1990s the telecom sector was opened up by the Government for private investment as a part of
Liberalization-Privatization-Globalization policy. Therefore, it became necessary to separate the
Government's policy wing from its operations wing. The Government of India corporatised the
operations wing of DoT on October 01, 2000 and named it as Bharat Sanchar Nigam Limited
(BSNL). Many private operators, such as Reliance India Mobile, Tata Telecom, Hutch, BPL,
Bharti, Idea etc., successfully entered the high potential Indian telecom market.
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Growth of mobile technology

India has become one of the fastest growing mobile markets in the world. The mobile services
were commercially launched in August 1995 in India. In the initial 5-6 years the average
monthly subscribers additions were around 0.05 to 0.1 million only and the total mobile
subscribers base in December 2002 stood at 10.5 millions. However, after the number of
proactive initiatives taken by regulator and licensor, the monthly mobile subscriber additions
increased to around 2 million per month in the year 2003-04 and 2004-05.

Although mobile telephones followed the New Telecom Policy 1994, growth was tardy in the
early years because of the high price of hand sets as well as the high tariff structure of mobile
telephones. The New Telecom Policy in 1999, the industry heralded several pro consumer
initiatives. Mobile subscriber additions started picking up. The number of mobile phones added
throughout the country in 2003 was 16 million, followed by 22 millions in 2004, 32 million in
2005 and 65 million in 2006. The only countries with more mobile phones than India with
156.31 million mobile phones are China – 408 million and USA – 170 million.

India has opted for the use of both the GSM (global system for mobile communications) and
CDMA (code-division multiple access) technologies in the mobile sector. In addition to landline
and mobile phones, some of the companies also provide the WLL service.

The mobile tariffs in India have also become lowest in the world. A new mobile connection can
be activated with a monthly commitment of US$ 5 only. In 2005 alone 32 million handsets were
sold in India. The data reveals the real potential for growth of the Indian mobile market.

Present scenario

In the fixed line arena, BSNL and MTNL are the incumbents in their respective
areas of operation and continue to enjoy the dominant service provider status in the domain of
fixed line services. For example BSNL controls 79% of fixed line share in the country. On the
other hand, in the mobile telephony space, Airtel controls 21.4% subscriber base followed by
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Reliance with 20.3%, BSNL with 18.6%, Vodaphone with 14.7% subscriber base (as per June
2015 data).(Ref: TRAI Report and Press Release)

Next generation networks

In the Next Generation Networks, multiple access networks can connect customers to a core
network based on IP technology. These access networks include fibre optics or coaxial cable
networks connected to fixed locations or customers connected through wi-fi as well as to 3G,4G
networks connected to mobile users. As a result, in the future, it would be impossible to identify
whether the next generation network is a fixed or mobile network and the broadband wireless
access would be used both for fixed and mobile services. It would then be futile to differentiate
between fixed and mobile networks – both fixed and mobile users will access services through a
single,core-network.
Indian telecom networks are not so intensive as developed country’s telecom networks and
India's teledensity is low only in rural areas. 670,000 route kilometers of optical fibres has been
laid in India by the major operators, even in remote areas and the process continues. BSNL alone
has laid optical fibre to 30,000 Telephone Exchanges out of their 35,000 Exchanges. Keeping in
mind the viability of providing services in rural areas, an attractive solution appears to be one
which offers multiple service facility at low costs. A rural network based on the extensive optical
fibre network, using Internet Protocol and offering a variety of services and the availability of
open platforms for service development, viz. the Next Generation Network, appears to be an
attractive proposition. Fibre network can be easily converted to Next Generation network and
then used for delivering multiple services at cheap cost.

Revenue and growth

The total revenue in the telecom service sector was Rs.1,006,158 crore in 2020-21 as against Rs.
1,165,469 crore in 2021-2022, registering a growth of 21%. The total investment in the telecom
services sector reached Rs. 200,660 crore in 2020-21, up from Rs. 178,831 crore in the previous
fiscal.
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Telecommunication is the lifeline of the rapidly growing Information Technology industry.

Internet subscriber base has risen to 6.94 million in 2021- 2022. Out of this 1.35 million were
broadband connections. More than a billion people use the internet globally.

Under the Bharat Nirman Programme, the Government of India will ensure that 66,822 revenue
villages in the country, which have not yet been provided with a Village Public Telephone
(VPT), will be connected. However doubts have been raised about what it would mean for the
poor in the country.

It is difficult to ascertain fully the employment potential of the telecom sector but the enormity of
the opportunities can be gauged from the fact that there were 3.7 million Public Call Offices in
December 2021 up from 2.3 million in December 2020.

The value added services (VAS) market within the mobile industry in India has the potential to
grow from $500 million in 2015 to a whopping $10 billion by 2022(Music, games to drive
mobile VAS growth).

Service providers in India

Basic service licensees

Only the PSU's BSNL and MTNL are allowed to provide Basic Phone Service through copper
wires in India. MTNL is operating in Delhi and Mumbai only and all other parts are covered by
BSNL.

Cellular mobile service licensees

1. BSNL
2. MTNL
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3. Bharti Hexacom Ltd

4. Reliance Telecom Ltd
5. Vodafone
6. Aircel Ltd
7. BPL Mobile Communications Ltd
8. Escorts Telecommunications Ltd
9. Fascel Ltd
10. Virgin Mobile
11. Tata telecom
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STATEMENT OF OBJECTIVE

My objective of summer training was:

1) To explore the complete procedure of working of the SCM department of Bharti Airtel
Limited.

2) To cover many sub-topics also like firstly getting aware about the various departments under
SCM.

3) To analyze about the CAPEX Budget Monitoring System

4) To understand about the various types of Purchase Orders (P.O.) related to different
departments and about the process for creating them.
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SCOPE OF STUDY

 To attain the marketing skills.

 To upgrade skills and prevent obsolescence.

 To develop healthy constructive attitude.

 To prepare myself for future assignments by enhancing my confidence and skills.

 To bring out an attitudinal change, gradually in order to fit into future job challenges.To
take quality to the very top agenda
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BHARTI ENTERPRISE

Bharti enterprises have been at the forefront of the technology and have revolutionized
telecommunications with its world-class products and services. Established in 1985, bharti has
been a pioneering force in the telecom sector with many firsts and innovations to its credit,
ranging from being the first mobile service in Delhi, first private basic telephone services
provider in the country, first Indian company to provide comprehensive telecom services outside
India in Seychelles and the first private sector service to launch National Long Distance Service
in India.

Jersey Telenet Ltd., a subsidiary a of Bharti Global has been granted a license to run
comprehensive telecom services in jersey. Services for which license has been granted include
2G and 3G mobile services and international long distance services. This is the second
international telecom venture of Bharti Global. Telecom Seychelles, subsidiary of Bharti Global,
has been offering mobile and basic telephone service in Seychelles since 1998 under the Airtel
brand. Over the years Airtel has continuously led the market in Seychelles with new product and
has played a crucial role in marketing mobile and landline services more affordable for its
customers in Seychelles.

The company has successfully focused its strategy on telecom while straddling diverse fields of
business. From the creation of “AIRTEL”, one of India finest brands, to becoming the largest
manufacturer and exporter of world class telecom terminals under its ‘Beetel’ brand, Bharti has
created a significant position for itself in the global telecommunication sector. Bharti Airtel Ltd.
is today acknowledged as on of India. While a joint venture with TeleTech Inc., USA market
Bharti’s successful foray into the customer management services business, Bharti Enterprises
dynamic diversification has continued with the company venturing into telecom software
development. Recently, Bharti has successfully launched an international venture with EL
Rothschild Group owned ELRO Holdings India Limited, to export fresh Agri products
exclusively to markets in Europe and USA.
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COMPANIES

A brief introduction to each of our companies is given below:

Bharti Airtel Ltd

Bharti Airtel Ltd is India's leading provider of telecommunications services. The

company has 4 distinct Business divisions - Mobile & telephone services, broadband services,
long distance services and enterprise services.

Bharti TeleTech Ltd

Bharti TeleTech Ltd manufactures and exports world-class telecom equipment

under the brand 'Beetel'

Telecom Seychelles Ltd

Telecom Seychelles Ltd provides telecom services in Seychelles, under the brand
'Airtel'
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Bharti Telesoft Ltd

Bharti Telesoft Ltd delivers best-in-class, revenue-critical VAS products and

services to telecom carriers.

TeleTech Services (India) Ltd

TeleTech Services (India) Ltd is joint venture with TeleTech Inc., USA. It offers a
range of Customer Management Services.

Field Fresh Foods Pvt Ltd

Field Fresh Foods Pvt Ltd is Bharti's venture with EL Rothschild Group owned
ELRO Holdings India Ltd., to export fresh Agric products exclusively to markets in Europe and
USA.

Bharti Retail Pvt Ltd

Bharti Retail Pvt Ltd. is a 100% subsidiary of Bharti Enterprises. Bharti Retail
will serve all regular shopping requirements of an average Indian household offering affordable
prices, great quality & wider choice. Bharti Retail is looking at launching its retail outlets in
multiple consumer friendly formats in several cities across India.
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Sunil Bharti Mittal

Chairman & Managing Director since October 2001

Board director since: July 1995

Sunil Bharti Mittal is the Chairman and Managing Director of Bharti Airtel Limited (“Bharti”),
India’s largest private integrated telecom player. The company has nearly 20 million customers
on its well-respected brand “AIRTEL”.

Sunil was one of the first entrepreneurs to identify the mobile telecom business as a major
growth area and launched services in the city of Delhi and the National Capital Region in the
year 1995. Under his inspiring leadership the company grew organically and inorganically,
covering the entire country by providing integrated telecom services.

In his personal capacity, Sunil has received several awards such as:

 “Best Asian Telecom CEO”, Telecom Asia Awards 2005

 “Best CEO, India”, Institutional Investor, 2005

 “Business Leader Of The Year”, Economic Times, 2005

 “Ernst & Young Entrepreneur Of The Year 2004”, Ernst & Young

Sunil has always been a pioneer. A first generation entrepreneur, he started his first business in
1976 with a capital investment of Rs 20,000. He initially founded a number of trading concerns,
and established the first company to manufacture push button telephones in India. This company
is now one of the largest manufacturers of telephones in the world.

Apart from his role at Bharti, Sunil holds the position of the Honorary Consul General of the
Republic of Seychelles in New Delhi, India. Some of his other roles include being a member of
the Prime Minister’s Council on Trade and Industry; Co-Chairman of the Indo-British
Partnership and a Board Member of the Global GSM Association. Sunil is an alumnus of Punjab
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University and has completed the “Owner/President Management Program” from Harvard
Business School. 
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COMPANY STRUCTURE

 As an outcome of a restructuring exercise conducted within the company; a

new integrated organizational structure has emerged; with realigned roles, responsibilities
and reporting relationships of Bharti’s key team players. With effect from March 01,
2006, this unified management structure of 'One Airtel' will enable continued
improvement in the delivery of the Group’s strategic vision.

Bharti Enterprises

Bharti Teletech Bharti Telecom Field Fresh Foods Telecom Bharti Telesoft
Ltd. Ltd. Pvt. Ltd. Seychelles Ltd. Ltd.

Teletech Services
Bharti Airtel Ltd.
India Ltd.
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GROUP STRUCTURE

BHARTI ENTERPRISES

Bharti Teletech Bharti Airtel Ltd Bharti Global

Bharti Infotrac
Mobile Leader Infotel Leader

Cellular Fixed Line Long Distance Broadband

Services Services Services

Bharti Healthcare Bharti Foundation

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CORPORATE-LEADERSHIP
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Bharti 2022 Leadership Competency Framework

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Bharti Enterprises - Organization Internal Structure

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ORGANISATION
STRUCTURE
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CMD
JMD

President
Bharti Airtel
Director-
Finance & Head Corp
President’s office Business Communication
Strategy & Integration
monitoring
Corp. Dir. Bus
Dev.
Director-IT
and
Innovation
JMD & CFO

Jt Jt President Jt President
President Broadband & Enterprise
Mobility Telephone Services Director- CTO
Service Network

Corp. Dir
Chairman Off.
Director-
Mktg &
Ex Dir. Ex Dir Dir Dir Comm
(North) (South) (West) (East)
Corp. Dir.
Alliance & CSR
Director-CSD
(open)
Corp. Dir.
Alliance
CEO & Dir. Ex Director
Corporation Carners
Director-HR
(open)
Corp. Dir. HR

Director Corp Dir. Gen.

Legal & Counsel & Com
Regulatory Secy.

Director
Supply Chief of
Chain Compliance &
(open) FA
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COMPETITIVE ANALYSIS

Bar Chart : Competitive Analysis

0.3

0.25

0.2

0.15

Airtel
0.1
% Share

Idea
0.05 Vodafone
BSNL
0 Reliance
Companies
Vodafone

Tata
Reliance
BSNL
Airtel

Tata
Idea

Companies
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Telecom Companies Exit May’22 % Share

Airtel 1705639 16

Idea 411815 3.9

Vodafone 3026441 28.4

BSNL 2827767 26.5

Reliance 1951046 18.3

Tata 730073 6.9

Total 10652781

The leading cellular service providers have the following number of subscribers:

Service Provider No. of CDMA Subscribers No. of GSM Subscribers

Reliance 2.75 crores 38.76 lakhs

Tata 1.07 crores

Airtel 3.37 crores

MTNL 24.98 lakhs

BSNL 2.44 crores

Vodafone 2.44 crores

Idea 1.3 crores

Spice 25.56 lakhs

BPL 10.62 lakhs

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Aircel 48 lakhs

Market shares of public and Private Player

Both fixed line and mobile segments serve the basic needs of local calls, long distance calls and
the international calls, with the provision of broadband services in the fixed line segment and
GPRS in the mobile arena. Traditional telephones have been replaced by the codeless and the
wireless instruments. Mobile phone providers have also come up with GPRS-enabled multimedia
messaging, Internet surfing, and mobile-commerce. The much-awaited 3G mobile technology is
soon going to enter the Indian telecom market. The GSM, CDMA, WLL service providers are all
upgrading themselves to provide 3G mobile services.

Along with improvement in telecom services, there is also an improvement in manufacturing. In

the beginning, there were only the Siemens handsets in India but now a whole series of new
handsets, such as Nokia's latest N-series, Sony Ericsson's W-series, Motorola's PDA phones, etc.
have come up. Touch screen and advanced technological handsets are gaining popularity. Radio
services have also been incorporated in the mobile handsets, along with other applications like
high storage memory, multimedia applications, multimedia games, MP3 Players, video
generators, Camera's, etc. The value added services provided by the mobile service operators
contribute more than 10% of the total revenue
 P a g e | 30

Pie Chart : Competitive Analysis

Airtel
Idea
Vodafone
BSNL
Reliance
 P a g e | 31

COMPANY PROFILE

Bharti airtel limited, (formerly none as Bharti Tele-Ventures Ltd.) is a part of Bharti Enterprises,
and is India’s leading provider of telecommunications services. The company was incorporated
in July 07, 1995, as a Public Limited Company, and has since then been at the forefront of Indian
telecom industry.

Bharti Airtel is one of India's leading private sector providers of telecommunications services
based on an aggregate of 42,685,530 customers as on May 31, 2007, consisting of 40,743,725
GSM mobile and 1,941,805 broadband & telephone customers.

The businesses at Bharti Airtel have been structured into three individual strategic business units
(SBU’s) - mobile services, broadband & telephone services (B&T) & enterprise services. The
mobile services group provides GSM mobile services across India in 23 telecom circles, while
the B&T business group provides broadband & telephone services in 94 cities. The enterprise
services group has two sub-units - carriers (long distance services) and services to corporate. All
these services are provided under the Airtel brand.

Company shares are listed on The Stock Exchange, Mumbai (BSE) and The National Stock
Exchange of India Limited (NSE)

. The current businesses of the Group include:

• Mobile services

• Broadband and telephone services

• Enterprise services carriers

• Enterprise services corporate

 P a g e | 32

FACTSHEET

Name : Bharti AIRTEL Limited

Business description : provides mobile, broadband & telephone

(Fixed line) and carriers and services
to corporate.

Established : July 07, 1995, as a public limited company.

Proportionate revenue: Rs. 1,165,469 million (year ended

March 31, 2022- UN -audited)

Rs.1,006,158 million (year ended

March 31, 2021 – audited)

Proportionate EBITDA: Rs. 581,103 million (year ended

March 31, 2022-un-audited)

Rs. 461,387 million (year ended

March 31, 2021-un-audited)

Rs.30, 658 million (year ended

March 31, 2020-audited)
 P a g e | 33

Shares in issue : 5492.03 Mn fully paid-up equity shares 392.29 Mn partly paid-up
Equity shares

Listings : The Stock Exchange, Mumbai (BSE)

The National Stock Exchange of India Limited

(NSE)

Market capitalization : (as on june25, 2007)

Approximately Rs. 1,541 billion
Closing BSE share price = Rs. 812.75

Customer base : India: 326.0 million Mobile Services;4.5 million

Homes and 17.6 million Digital TV Services
(status as on March 31,2022)

Africa:128.4 million; South Asia:

2.9 million customers
(status as on March 31, 2022)

Operational networks :
Provides GSM mobile services in all the
22 telecom circles; the only telecom operator
having an all India presence.
 P a g e | 34

Provides broadband (DSL) and

Telephone services (fixed) in India.

Registered office : Bharti Airtel Limited

(A Bharti Enterprise)
Qutab Ambience (at Qutab Minar),
Mehrauli Road,
New Delhi- 110 030
Tel. No.: +91 11 4166 6000
Fax No. : +91 11 4166 6011/12

Building Telecom… Building Relationships.

 P a g e | 35

“AS we spread wings to expand our capabilities and explore new horizons, the fundamental
focus remains unchanged: seek out the best technology in the world and put it at the service of
our ultimate user: our customer.”

Sunil Bharti Mittal

(group chairman and
managing director)

AIRTEL- THE JOURNEY WITH A VISION

Bharti Airtel Limited, (formerly known as Bharti Tele-Ventures Limited) is a part of Bharti
Enterprises, and is India's leading provider of telecommunications services. The company was
incorporated in July 07.

PROMISE

We at Airtel always think in fresh and innovative ways about the needs of our customers and
how we want them to feel. We 1995 as a Public Limited Company, and has since then been at
the forefront of Indian telecom industry.

Airtel, has always thrived on its strategy of offering innovative products and services to our
customer and backing it with world class customer services.

The business at Bharti Airtel have been structured into three individual strategic business units
(SBU's) mobile services, broadband and telephone services (B&T) and enterprise services. The
mobile services group provides GSM mobile services across India in 22 telecom circles. The
mobile services group provides broadband and telephone services in 15 circles. The Enterprises
services group has two sub-units- carriers (long distance services) and services to corporate. All
these services are provided under the Airtel brand.
 P a g e | 36

By 2010 Airtel will be the most admired brand in India:

 Loved by more customers

 Targeted by top talent

 Benchmarked by more business

MISSION
We will meet the mobile communication needs of our customers through:

 Error- free service delivery

 
 Innovative products and services
 

Cost efficiency
deliver what we promise and go out of our way to delight the customer with a little
bit more

Airtel Brand Essence

 P a g e | 37

The Brand Essence, "Think Fresh Deliver More" is designed to help Airtel develop a highly
differentiated positioning and experience that will lead people to actively choose us as their
preferred telecommunication provider.

"Think Fresh Deliver More" is the sour or DNA of the brand.

Bharti Airtel Limited

Mobile Broadband & Telephone Enterprise

Services Services Services

Corporate Carrier

1. Delhi and NCR North Solutions based communication

2. Kolkata NCR group to provide customized
3. Chennai South Centra of ferings through its portfolio of
4. Mumbai South mobile, broadband & telephony
5. Maharastra & Goa West data and internet solutions.
6. Gujarat
7. Karnataka
8. Andhra Pradesh
9. MP and Chattisgarh
10. Tamil Nadu & Pondicherry
11. Kerala
12. Punjab
 P a g e | 38

13. Haryana
14. UP (West) and Uttaranchal
15. UP East
16. Himachal Pradesh
17. Rajasthan
18. West Bengal
19. Orissa
20. Bihar
21. J&K
22. Andaman & Nicobar
23. Assam & North East

Think Fresh means

 A fresh focus on the customer’s impact of every decision, not being constrained
by internal perspectives.

 Converting Airtel into a "breath of fresh air with an innovative and delightful
approach to expressing the brand.

 Taking fresh service decisions: one delighted customer is 10 customers for life.

Deliver more means

 Always delivering what we promise so customers can depend on us.

 Being energized and empowered to give customers that extra "something" that
will surprise and amaze them.

 Our new Brand identity system derives entirely from this single thought.
 P a g e | 39

Path to Success

AIRTEL has year on year, created new benchmarks in the Indian corporate scenario. As on
March 31, 2015 Bharti had over 30 crore customers, reflecting an increase in the total customer
base of 77%, over the corresponding period last year. Airtel has also maintained its leadership
position with a market share of all India wireless subscribers at 21.8% as on March 31, 2016.
The revenues and net profit for the full year ended March 31, 2016 was Rs. 11663 crore and Rs.
2,258 crore, a growth of 46% & 51% over the corresponding period last year respectively.

Bharti First BTVL First First Agreem

tele- Indian expends Private Telecom ent with
Venture private mobile Internati CO. Vodaph
s Fixed – & Fixed onal proving one
incorpor line Line Long all India
ated services Services Distance mobile
Launche India’s Services service
d largest Release
Tele of New
Airtel commun Brand
Launche ication Essence
d Delhi, provider Ist:Pre- &
HP activate Refresh
d ed
Internati Vision
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roaming Bharti
. Tele-
Bharti a ventures
new rename
SBU to d as
focus In Bharti
corporat Airtel
e a/c Ltd. &
segment handle
 tlecom
Business

P a g e | 40

BHARTI AIRTEL VALUES

1995 1998 1998-2001 2002 2003-05 2005-06

INNOVENTURING

 We will generate and implement entrepreneurial and innovative ideas which will
continuously create new growth engines.

CUSTOMER FIRST

 We are committed to delivering service beyond the expectations of the customer. Our
quality of customer responsiveness clearly differentiates us from others.

PERFORMANCE CULTURE

 We benchmark our processes and performance against world-class standards. We

distinguish between performers and non – performers by valuing achievement at the
individual as well as the team level. Ours is a culture of inclusively where feedback,
learning and ideas are actively encouraged, sought and acted upon.

VALUING PARTNERSHIP
 P a g e | 41

 We are committed to building exemplary relationship with our partners, which stand on
the principles of mutual trust and mutual growth.

VALUING PEOPLE

 We nurture an environment where people are respected and their uniqueness is valued.
We believe that people are our key differentiators.
 P a g e | 42

INVESTOR RELATIONS

Shareholding Structure

Details on the latest shareholding structure and major shareholders, as on March 31,

Category No. of Shares Holders %

Indian Holding:

Promoters 861,286,728 45.4

Banks/Mutual Funds/ Indian Financial
Institutions/Insurance Companies 72,974,654 3 .85

Indian Residents/Bodies Corporate/Others 49,692,454 2.62

Total- Indian 983,953,836 51.9

Foreign Holding:

Foreign companies 409,254,605 21.6

FIIs 485,119,934 25.6

 P a g e | 43

NRIs and OCBs 15,550,929 0.82

Total- Foreign 909,925,468 48.0

Total 1,893,879,304 100

Notes:

1. FII’s - Foreign Institutional Investors

2. NRI’s – Non Resident Indians ;
3. OCB’s – Overseas Corporate Bodies

MAJOR SHAREHOLDERS

Details of shareholders holding more than 1% of the paid up share capital as on March, 2006.

Name and number of shares held and percentage of shareholding of entities / persons 1% of the
company under each head is as below:

Category Name of Shareholders No. of Shares %

Promoter Bharti Telecom Limited 859,986,028 45

 P a g e | 44

Foreign Cos. Pastel Limited 295,659,650 15

Foreign Cos. Vodafone International

Holdings BV 106,470,268 5.6

FII CITI GROUPS GLOBAL MARKETS

MAURITIUS PVT. LTD. 53,056,291 2.8
FII Morgan Stanley and Co
International Ltd. 26,372,359 1.3

IFI LIFE INSURANCE

CORPORATION OINDIA 27,764,509 1.4

FII CLSA MERCHANT

BANKERS LIMITEDA/C CLSA 22,739,969 1.2

FII the Growth Fund of

America Inc. 21,000,000 1.1

TOTAL 1,392,049,074 74

NOTE(S):

1. BHARTI TELECOM LIMITED is the promoter company OF Bharti AIRTEL

Limited.
2. Pastel Limited is the investment company of Singtel.
3. IFI – Indian Financial Institution
 P a g e | 45

PARTNERS

The company has a strategic alliance with Singtel. The investment made by Singtel is one of the
largest investments made in the world outside Singapore, in the company.

The company also has a strategic alliance with Vodafone in Bharti is one of the largest single
foreign investment made in the Indian telecom sector.
 P a g e | 46

The company’s mobile network equipment partners include Ericsson and Nokia. In the case of
the broadband and telephone services and enterprise services (carriers), equipment suppliers
include siemens, Nortel, corning, among others. The company also has an information
technology alliance with IBM for its group-wide information technology requirements and with
Nortel for call centre technology requirements. The call centre operations for the mobile services
have been outsourced to IBM Daksh, Hinduja TMT, and Teletech & Mphasis.

Bharti also has joint ventures with world leaders like Warburg Pincus, USA; Telia, Sweden;
Asian Infrastructure Find, Mauritius; International Finance Corporation, USA and New York
Life International, USA.

Thus with the associations of its partners, Bharti has been at the forefront of technology and has
revolutionized telecommunications with its world class products and services.

MANAGEMENT STRUCTURE
 P a g e | 47

The group has been structured to create functional and operational specialization with a linear
vision of business lines and functional areas.

The Company is headed by Chairman and Group Managing Director- Sunil Bharti Mittal who is
assisted by two Joint Managing Directors- ------------------------------------------The Company also
has two Presidents- President Mobile Services and President Infotel Services, this responsibility
includes Fixed-line, Long Distance and Broadband Services. The Presidents report to the Group
Chairman and Managing Director. The head of units and SBUs report to the respective business's
President. An apex team of Corporate Directors has been constituted.

The corporate directors have supervisory and strategic responsibilities for functional areas across
business lines. The directors oversee functional areas including Business Development, Human
Resources, Marketing, Corporate Communication, IT & Technology, Finance, Legal, Corporate
Affairs, Corporate Strategy & Planning and Supervisory Director cum Chief Mentor - mobility.
 P a g e | 48

The organization structure is designed to ensure that identical businesses are run along similar
lines and best resources in any functional field, be tapped to serve the best interests of the entire
group. The structure also defines the role of the Head of the units who are totally empowered to
manage their respective companies and are fully responsible for business operations to build
world-class organizations with a high degree of customer Satisfaction.

TECHNOLOGY PARTNERS
 P a g e | 49

 Optical Fibre : Corning, Lucent

 Voice Switches : Siemens

 SDH : Nortel Networks

 ATM/FR Platform : Alcatel

 Submarine Network : Alcatel

 Digital Cross Connection : Nortel, Tellabs

 VoIP : VocalTek/Cisco
 P a g e | 50

 Layer 3 network : Cisco/Juniper

 MPLS Platform : Cisco

 VSAT network : GILAT, Viasat

 GSM/GPRS/EDGE : Ericsson, Motorola

 P a g e | 51

PRODUCTS/ SERVICES

Mobile services

 Airtel’s mobile footprint extends across the country in 22 telecom circles.

 The company has several First to its credit :

 First to launch full roaming service on prepaid in the country.

 First to launch 32K Sim Cards.

 First in Asia to deploy the multi band feature in a wireless networks.

 Airtel Prepaid, is the cellular card from Airtel. Going mobile with Airtel prepaid is the
new way of life .

 Airtel postpaid provides our customers with exciting, innovative yet simple new ways to
communicate.

Blackberry

Thousands of business customers around the world use Black Berry a complete mobile
email solution that allows sending and receiving of e-mail – on the move. There’s no need for a
laptop to view your e-mails, no need for a fixed phone line, and no need to log-on. The e-mnail is
automatically pushed straight to your blackberry handheld.

Airtel Roaming

Airtel Roaming Services allows usage of your mobile phone any where in India and
abroad. Airtel Roaming gives you two great option :

Airtel National

Enjoy roaming in India across 42 partners network and over 750 cities.

Airtel Internation
 P a g e | 52

Roaming across international destinations, in nearly 119 countries including USA

Canada, UK etc. with 284 partner networks.

Business Solutions :

Vehicle Tracking

Vehicle tracking solution enables a company to monitor the location of their stock in transit.
Each vehicle is mounted with an Airtel mobile (Phone ) or a Global positioning System (GPS)
bosx and a vehicle tracking enabled SIM Card.

Mobile SFA (Sales Field Automation)

Mobile SFA will help companies to enable to make their web based application and ERP
Systems wireless so that the field force can have access to information on their Airtel mobile
phones.

AIR (Airtel Intelligent Routing)

Air Intelligent routing solution overlays a company’s PABX to route land line traffic through the
mobile network. Employees of the company can use their existing land line extensions to make
calls via AIR.

Information Broad Cast

Information Broadcast is a mean of simultaneously disseminating information to multiple

employees/customers over SMS. It also gives the flexibility of sending messages at a predefined
time and predefined date.

Call Centres
 P a g e | 53

Business today is run for the customers. To manage customer queries (pre sales and post sales),
clients require to set up small call centers with minimum expenses. To help out clients with such
requirement Airtel proposes the call center solution.

Audio Conferencing by Airtel

Instead of traveling to meet with customers and suppliers many Enterprises are saving on travel
costs by using Airtel’s Audio Conferencing facility.

Corporate SMS Directory

This service enables a user or a set of users to upload their mobile numbers, names and locations
in a Airtel server. These users can then access their numbers by using the SMS facility on their
phones.

II. BROADBAND AND TELEPHONE SERVICES

Broadband and telephone services, brings a whole new experience in telephone . It includes
innovative, cost-effective solutions for corporates and small business enterprises, and individual
homes.

Basic Telephones Services

Airtel telephone services go beyond basic telephony to offer our users a whole of value added
services as well as premium add-ons.

Broadband on Digital Subscriber Line (DSL)

DSL provides blazing-fast, secure internet access and can be delivered to both homes and to
business. Delivered right through a regular telephone line, data rates can vary from 128 kb to
8Mb per second depending on the type of cost of the service.

Business Solution

ISDN
 P a g e | 54

ISDN is an ideal tool which caters to both your voice and data needs like exchanging and
transferring heavy data and accessing the Internet at high speedsds while paying only for actual
usage.

VPN

In today’s high-pressure corporate world, connectivity across offices, executives homes, channel
partners and vendors are key to how fast and well, you can leverage information, and respond to
changing situation.

Leased line

Internet leased line services are offered in both dedicated and shared mode. For uninterrupted
bandwidth performance for enterprise usage, we provide connectivity using a dedicated internet
port ensuring the dedicated port speed.

Centrex/Widex

EPABX solution for corporates and SMEs offering short digits dialing within a group of
telephone lines.
 P a g e | 55

Video Surveillance Solution

Control your business – 24x7 Observe your office, warehouse, shop and staff from your PC from
anywhere.

Enterprise Services

Enterprise services, is a solution based communication group, specially created to deliver

integrated and superior services to enterprise customers, and National International Long
Distance services. It comprises of two units corporate and Carrier.

Enterprise services – corporate

The customized offering of the Airtel Enterprise Services is through its portfolio of Mobile,
Broadband and Telephone and data and internet solutions. AES include the following:

 Voice Services
 Mobile Services
 Satellite Services
 Managed Data and Internet Services
 Managed e-Business Services
 Managed customized integrated solutions.

Enterprise Services – Carrier

National/International Long Distance Services

Airtel long distance services are the first private long distance communication services provider
in the country. We are committed to providing superior and high quality long distance and data
services to the customer.

International Long Distance

Our close partnership with leading international carriers in the world is transforming
international long distance communications in India.
 P a g e | 56

Brand Positioning

 Only Airtel thinks ahead and delivers simple, exciting opportunities for me.. Beyond my
imagination.

 Brand Positioning is a distinct space that a brand occupies in the mind of consumers the
positioning is derived from the brand essence and guides how it defines develop and
deliver differentiated products and services. So that the customers see a reflection of the
intended positioning.

Here is a better understanding of our positioning statement:

Thinks Ahead

As a leadership brand, Airtel always must be forward looking, shaping the market of the future,
the services will be a step ahead, enriching people and adding value to their live.

Simple, Exciting Opportunities

In a highly competitive category all the brand building activities will strive to make me
customer’s life simple. The offerings and approach to service while being customer focused
should always be uncomplicated.

For me

The aim is to take an outside in perspective which keeps us “in-touch” with the customer’s
needs, by engaging them, and being worthy of their trust.

Beyond my Imagination

With a consistent focus on developing simple innovations to give the customers the extra
something that will surprise and amaze them.

Brand Personality

 Leader
 Forward Looking
 You can trust him for what he says/does ( a friends)
 P a g e | 57

 Inspiring
 Energetic

CALL RATES
 P a g e | 58

 Airtel Post Paid Connections

Airtel offers you a range of tariff plans to choose from to allow you the advantage of
staying connected at fantastic rates, while on the move!

Activation charge- SR.250

Rental (Per Month) - SR. 99

Incoming (SR. /min) - Free

Airtime Rates Outgoing

Local call rate (SR. /min) - SR1.00, .20, A-A .10

S.T.D. call rate (SR. /min) –SR1.50, A-A .1.00

International Call rates (SR/min) – SR 5.75 varies to country by

country
 P a g e | 59

Corporate Tariff Package

Airtel also caters for your specific needs or business requirements. For
more information on our tailor-made packages, contact the GSM Sales
Department through the Hotline on 98160-12345.  

 Airtel Prepaid Connections

Convenient, affordable, and easily available - Airtel Prepaid

offers you the best rates and coverage on the islands along
with a wide variety of value-added services and 24-hour
Customer Care.        

Total cost control

 No rentals, no bills, no hassle!

 Simple and instant re-charge process

 Balance inquiry online

 Affordable rates

 Available everywhere in Seychelles

 P a g e | 60

International Roaming

Airtel covers the latitude and longitude of Seychelles. Wherever you go, whatever
you do, our new age network will follow you. Letting you stay in touch always. So
land in Seychelles and go roaming on Airtel!

Airtel is currently connected with as many as 164 operators in 70 countries 

allowing Airtel subscribers the unmatched advantage of using their existing GSM
mobile connection, wherever they go. They can make outgoing calls using their Airtel
phone and SIM card; they can also receive all incoming calls while they are
roaming.  

Roaming with Airtel also allows subscribers of Airtel's partner networks to use their
GSM phone in Seychelles.

National Airtime

Duration Based Tariffs (SCR per Min) All Day:

 Incoming Calls (Incl. Vat) – 1.00

 Outgoing Calls (Incl. Vat) - 1.75
 Emergency Calls (Incl. Vat) - FOC
 Call forwarding (Incl. Vat) -2.50

Tariffs

Make ISD calls at exciting rates with Airtel.

 P a g e | 61

MRP (Rs) 120 225 550 2247

Talktime (Rs) 110 200 500 2000

ISD (Rs/min)

Band 1 3.99 3.75 3.5 1.99

Band 2 3.99 3.75 3.5 3.25

Band 3 8.95 8.75 8.5 8.25

STD (Rs/min)

To Airtel to Airtel 1.5 1.5 1.5 1.5

To Any other Phone 2 2 2 2

Validity(days) 45 60 90 180

International Charges

Duration Based Tariffs (SCR per Min) All Day:

 P a g e | 62

 All countries - 60 Seconds (Incl.Vat) – 9.99

SMS Charges

SMS MO Including VAT LOCAL - 1.00

Value Added Services

Airtel offers you a host of Value Added Services. These services are subdivided into
five major categories that are mentioned below:

Voice Based Services

 Voice Mail
 P a g e | 63

 Fax Mail

Text Based Services (SMS)

 Text Messaging

Data Services

Fax and Data Services

Call Management Services

Call Line Identification Presentation

Call Line Identification Restriction

Call Waiting

Call Hold & Call Divert

Others

Roaming

Coverage

Airtel's GSM network provides the three main islands of Mahe, Praslin and La Digue
with a complete, superior quality, indoor and outdoor coverage. A total of 73 cells spread across
the islands, with three sector directional antennae, provide maximum distribution of signals,
thereby ensuring a 99% geographical coverage on the islands.

Such comprehensive coverage is made possible thanks to excellent network planning by

Ericsson, the world leaders, who are credited with connecting over 35 million cellular customers
in as many as 79 countries - an achievement that accounts for over 40% of the world’s cellular
base.

All of which means that you can be reached anywhere, anytime on your GSM mobile phone
while you are on the move.
 P a g e | 64

Fixed Line Services

Besides providing world-class GSM services in the Seychelles, Airtel also offers Fixed
Line (also called Land line) Telephone services in selected parts of Mahe. Airtel has so far
covered Victoria, Providence, Mont Fleuri, Roche Caimen, Union Vale, Beau Vallon and Beau
Belle and also started expanding in the Barbarons area, which is in the southern part of the
island. There are plans for further expansion of this service around Mahe and the other main
islands of the Seychelles.

Airtel introduced huge cuts in fixed line rates in August 2005 of up to 42%. Customers calling
from an Airtel landline to any other local landline can now talk for as little as 50 cents for 3
minutes at nighttime, which is the lowest local landline rate in Seychelles. Airtel's off-peak
period is from 7pm to 7am and also includes full 24-hours on Public Holidays and weekends.
The peak rate, from 7am to 7pm, was also reduced by 10% to 70 cents for 3 minutes.

Airtel Fixed Line Services offers a range of products from standard direct lines and CLI
(Caller Line Identity Phones) as an option, Fax and Data and BGS - Business Group Services
offering virtual PABX services.   

VPN Solutions for offering subscribers superior Voice, Data and Fax services.

DSL High speed Leased lines offer dedicated Leased Circuits to subscribers, with benefits like
permanent connectivity and superior, faster transmission of Data.
 P a g e | 65

Fixed Cellular Telephones Airtel offers subscribers Fixed Line Services through the use of its
GSM network in areas that are not equipped with its Fixed Line infrastructure.  The call rates are
exactly the same as Fixed Line rates.  

EPABX Systems from Ericsson the best in technology. From Siemens for GSM to Ericsson for
GSM and EPABX systems - Airtel does it again.

Technology to suit individual needs, from large organizations to smaller companies, you can be
sure of solutions that anticipate the future.

Ericsson is the largest supplier of mobile systems in the world. The world’s 10 largest mobile
operators are among Ericsson’s customers and some 40% of all mobile calls are made through
Ericsson systems.  Ericsson provides network infrastructure, access equipment and terminals,
application enablers and global services to support both business and private communications.
Ericsson is present in more that 140 countries with the objective of making their customers
successful.

Airtel also offers Value Added Services on Fixed Lines such as Call Barring, Call Forwarding,
Call Waiting and Itemized Billing.

Brand Positioning

Only Airtel thinks ahead and delivers simple, exciting opportunities for me.. Beyond my
imagination.
 P a g e | 66

Brand Positioning is a distinct space that a brand occupies in the mind of consumers the
positioning is derived from the brand essence and guides how it defines develop and deliver
differentiated products and services. So that the customers see a reflection of the intended
positioning.Here is a better understanding of our positioning statement:

Thinks Ahead

As a leadership brand, Airtel always must be forward looking, shaping the market of the future,
the services will be a step ahead, enriching people and adding value to their live.

Simple, Exciting Opportunities

In a highly competitive category all the brand building activities will strive to make me
customer’s life simple. The offerings and approach to service while being customer focused
should always be uncomplicated.
 P a g e | 67

For me

The aim is to take an outside in perspective which keeps us “in-touch” with the customer’s
needs, by engaging them, and being worthy of their trust.

Beyond my Imagination

With a consistent focus on developing simple innovations to give the customers the extra
something that will surprise and amaze them.

Brand Personality

 Leader
 Forward Looking
 You can trust him for what he says/does ( a friends)
 Inspiring
 Energetic

Introduction of Departments
 P a g e | 68

The Zonal office of Bharti Airtel in Lucknow is responsible for all the functions of Airtel
in Cities of U.P. East. The office is run by chief operating officer (COO) Mr. Shankar Prasad.
The office has the following main sections as under:

1. SUPPLY CHAIN MANAGEMENT.

2. FINANCE.
3. MARKETING.
4. HUMAN RESOURSE.
5. INFORMATION TECHNOLOGY.
6. CONSUMER SERVICE DEPARTMENT.

An Introduction to Supply Chain Management

 P a g e | 69

A supply chain is a network of facilities and distribution options that performs the functions of
procurement of materials, transformation of these materials into intermediate and finished
products, and the distribution of these finished products to customers. Supply chains exist in both
service and manufacturing organizations, although the complexity of the chain may vary greatly
from industry to industry and firm to firm.

Below is an example of a very simple supply chain for a single product, where raw material is
procured from vendors, transformed into finished goods in a single step, and then transported to
distribution centers, and ultimately, customers. Realistic supply chains have multiple end
products with shared components, facilities and capacities. The flow of materials is not always
along an arbores cent network, various modes of transportation may be considered, and the bill
of materials for the end items may be both deep and large

Traditionally, marketing, distribution, planning, manufacturing, and the purchasing organizations

along the supply chain operated independently. These organizations have their own objectives
and these are often conflicting. Marketing's objective of high customer service and maximum
sales dollars conflict with manufacturing and distribution goals. Many manufacturing operations
are designed to maximize throughput and lower costs with little consideration for the impact on
inventory levels and distribution capabilities. Purchasing contracts are often negotiated with very
little information beyond historical buying patterns. The result of these factors is that there is not
a single, integrated plan for the organization there were as many plans as businesses. Clearly,
there is a need for a mechanism through which these different functions can be integrated
together. Supply chain management is a strategy through which such integration can be
achieved.

Supply chain management is typically viewed to lie between fully vertically integrated firms,
where the entire material flow is owned by a single firm and those where each channel member
operates independently. Therefore coordination between the various players in the chain is key in
its effective management. Cooper and Ell-ram [1993] compare supply chain management to a
well-balanced and well-practiced relay team. Such a team is more competitive when each player
knows how to be positioned for the hand-off. The relationships are the strongest between players
 P a g e | 70

who directly pass the baton, but the entire team needs to make a coordinated effort to win the
race.

Supply Chain Decisions

 P a g e | 71

We classify the decisions for supply chain management into two broad categories -strategic and
operational. As the term implies, strategic decisions are made typically over a longer time
horizon. These are closely linked to the corporate strategy (they sometimes {\it are} the
corporate strategy), and guide supply chain policies from a design perspective. On the other
hand, operational decisions are short term, and focus on activities over a day-to-day basis. The
effort in these types of decisions is to effectively and efficiently manage the product flow in the
"strategically" planned supply chain.

There are four major decision areas in supply chain management: 1) location, 2) production, 3)
inventory, and 4) transportation (distribution), and there are both strategic and operational
elements in each of these decision areas.

Location Decisions

The geographic placement of production facilities, stocking points, and sourcing points is the
natural first step in creating a supply chain. The location of facilities involves a commitment of
resources to a long-term plan. Once the size, number, and location of these are determined, so are
the possible paths by which the product flows through to the final customer. These decisions are
of great significance to a firm since they represent the basic strategy for accessing customer
markets, and will have a considerable impact on revenue, cost, and level of service. These
decisions should be determined by an optimization routine that considers production costs, taxes,
duties and duty drawback, tariffs, local content, distribution costs, production limitations, etc.
(See Arntzen, Brown, Harrison and Trafton [1995] for a thorough discussion of these aspects.)
Although location decisions are primarily strategic, they also have implications on an operational
level.

Production Decisions
 P a g e | 72

The strategic decisions include what products to produce, and which plants to produce them in,
allocation of suppliers to plants, plants to DC's, and DC's to customer markets. As before, these
decisions have a big impact on the revenues, costs and customer service levels of the firm. These
decisions .assume the existence of the facilities, but determine the exact path(s) through which a
product flows to and from these facilities. Another critical issue is the capacity of the
manufacturing facilities--and this largely depends the degree of vertical integration within the
firm. Operational decisions focus on detailed production scheduling. These decisions include the
construction of the master production schedules, scheduling production on machine~, and
equipment maintenance. Other considerations include workload balancing, and quality control
measures at a production facility.

Inventory Decisions

These refer to means by which inventories are managed. Inventories exist at every stage of the
supply chain as either raw materials, semi-finished or finished goods. They can also be in-
process between locations. Their primary purpose to buffer against any uncertainty that might
exist in the supply chain. Since holding of inventories can cost anywhere between 20 to 40
percent of their value, their efficient management is critical in supply chain operations. It is
strategic in the sense that top management sets goals.

However, most researchers have approached the management of inventory from an operational
perspective. These include deployment strategies (push versus pull), control policies --- the
determination of the optimal levels of order quantities and reorder points, and setting safety stock
levels, at each stocking location. These levels are critical, since they are primary determinants of
customer service levels.

Transportation Decisions
 P a g e | 73

The mode choice aspect of these decisions are the more strategic ones. These are closely linked
to the inventory decisions, since the best choice of mode is often found by trading of the cost of
using the particular mode of transport with the indirect cost of inventory associated with that
mode. While air shipments may be fast, reliable, and warrant lesser safety stocks, they are
expensive. Meanwhile shipping by sea or rail may be much cheaper, but they necessitate holding
relatively large amounts of inventory to buffer against the inherent uncertainty associated with
them. Therefore customer service levels, and geographic location play vital roles in such
decisions.

Since transportation is more than 30 percent of the logistics costs, operating efficiently makes
good economic sense. Shipment sizes (consolidated bulk shipments versus Lot-for-Lot), routing
and scheduling of equipment are key in effective m~ageIi1ent of the firm's transport strategy.
 P a g e | 74

Supply Chain Modeling Approaches

Clearly, each of the above two levels of decisions require a different perspective. The strategic
decisions are, for the most part, global or "all encompassing" in that they try to integrate various
aspects of the supply chain. Consequently, the models that describe these decisions are huge, and
require a considerable amount of data. Often due to the enormity of data requirements, and the
broad scope of decisions, these models provide approximate solutions to the decisions they
describe. The operational decisions, meanwhile, address the day to day operation of the supply
chain. Therefore the models that describe them are often very specific in nature. Due to their
narrow perspective, these models often consider great detail and provide very good, if not
optimal, solutions to the operational decisions.

To facilitate a concise review of the literature,. and at the same time attempting to accommodate
the above polarity in modeling, we divide the modeling approaches into three areas --- Network
Design, "Rough Cut" methods, and simulation based methods. The network design methods, for
the most part, provide normative models for the more strategic decisions. These models typically
cover the four major decision areas described earlier, and focus more on the design aspect of the
supply chain; the establishment of the network and the associated flows on them. "Rough cut"
methods, on the other hand, give guiding policies for the operational decisions. These models
typically assume a "single site" (i.e., ignore the network) and add supply chain characteristics to
it, such as explicitly considering the site's relation to the others in the network. Simulation
methods is a method by which a comprehensive supply chain model can be analyzed,
considering both strategic and operational elements. However, as with all simulation models, one
can only evaluate the effectiveness of a pre-specified policy rather than develop new ones. It is
the traditional question of "What If?" versus "What's Best?".

Network Design Methods

As the very name suggests, these methods determine the location of production, stocking, and
sourcing facilities, and paths the product(s) take through them. Such methods tend to be large
scale, and used generally at the inception of the supply chain. The earliest work in this area,
although the term "supply chain" was not in vogue, was by Geoffrion and Graves [1974]. They
 P a g e | 75

introduce a multicommodity logistics network design model for optimizing annualized finished
product flows from plants to the DC's to the final customers. Geoffrion and Powers [1993] later
give a review of the evolution of distribution strategies over the past twenty years, describing
how the descendants of the above model can accommodate more echelons and cross commodity
detail.

Breitman and Lucas [1987] attempt to provide a framework for a comprehensive model of a
production-distribution system, "PLANETS", that is used to decide what products to produce,
where and how to produce it, which markets to pursue and what resources to use. Parts of this
ambitious project were successfully implemented at General Motors.

Cohen and Lee [1985] develop a conceptual framework for manufacturing strategy analysis,
where they describe a series of stochastic sub- models, that considers annualized product flows
from raw material vendors via intermediate plants and distribution echelons to the final
customers. They use heuristic methods to link and optimize these sub- models. They later give an
integrated and readable exposition of their models and methods in Cohen and Lee [1988].

Cohen and Lee [1989] present a normative model for resource deployment in a global
manufacturing and distribution network. Global after-tax profit (profit-local taxes) is maximized
through the design of facility network and control of material flows within the network. The cost
structure consists of variable and fixed costs for material procurement, production, distribution
and transportation. They validate the model by applying it to analyze the global manufacturing
strategies of a personal computer manufacturer.

Finally, Armtzen, Brown, Harrison, and Trafton [1995] provide the most comprehensive
deterministic model for supply chain management. The objective function minimizes a
combination of cost and time elements. Examples of cost elements include purchasing,
manufacturing, pipeline inventory, transportation costs between various sites, duties, and taxes.
Time elements include manufacturing lead times and transit times. Unique to this model was the
explicit consideration of duty and their recovery as the product flowed through different
countries.

Implementation of this model at the Digital Equipment Corporation has produced spectacular
results --- savings in the order of $1 00 million dollars.
 P a g e | 76

Clearly, these network-design based methods add value to the firm in that they lay down the
manufacturing and distribution strategies far into the future. It is imperative that firms at one
time or another make such integrated decisions, encompassing production, location, inventory,
and transportation, and such models are therefore indispensable. Although the above review
shows considerable potential for these models as strategic determinants in the future, they are not
without their shortcomings. Their very nature forces these problems to be of a very large scale.
They are often difficult to solve to optimality. Furthermore, most of the models in this category
are largely deterministic and static in nature. Additionally, those that consider stochastic
elements are very restrictive in nature. In sum, there does not seem to yet be a comprehensive
model that is representative of the true nature o(material flows in the supply chain.

Rough Cut Methods

These models form the bulk of the supply c4ain literature, and typically deal with the more
operational or tactical decisions. Most of the integrative research (from a supply chain context)
in the literature seem to take on an inventory management perspective. In fact, the term "Supply
Chain" first appears in the literature as an inventory management approach. The thrust of the
rough cut models is the development of inventory control policies, considering several levels or
echelons together. These models have come to be known as "multi-level" or "multi-echelon"
inventory control models. For a review the reader is directed to Vollman et al. [1992].

Multi-echelon inventory theory has been very successfully used in industry. Cohen et al. [1990]
describe "OPTIMIZER", one of the most complex models to date --- to manage IBM's spare
parts inventory. They develop efficient algorithms and sophisticated data structures to achieve
large scale systems integration.
 P a g e | 77

SCM (Work Division)

The SCM Deptt. Is further divided into five sub units:

SCM

CAPEX OPEX SITEACQUISITION ESTATE MGMT. WARE HOUSING

 P a g e | 78

CAPEX (BUDGET MONITORING SYSTEM)

In Bharti Airtel Budget is allocated according to the Annual Targets which are to be achieved by
them. For this an Annual Operating Plan is made which is divided in Quarterly basis.SCM Dept.
plays a vital role in utilizing this Budget. It provides all the Purchasing of the materials according
to the requirement. So a proper Monitoring of this Budget is very important so that we should not
exceed our Budget. In case if the expense increases the allocated Budget then because of this
Vendor payment will have to suffer and it cannot be made in the Time Limit which is 15 days
according to Bhartiyam Process which we are using for Vendor Payment.

In Project Report my task was to maintain and analyze the tracking of the Budget. For this I
have to collect the details regarding the Purchase orders (PO) made for the Capital Expenditure
(CAPEX) from the ORACLE. Then I analyze that the expenses which were made were within
the limits of Available Budget. I have also collected the details of PO Status and Created date
from ORACLE which helps in giving information that whether the PO is closed or open.

Problems

While analyzing between the Available budget and Expenses made I found that in some of the
CAPEX the expenses increase the Available Budget and because of this the Payment of the
Vendor cannot be made in the Time limit which is 15 days according to Bhartiyam Process
which we are using for Vendor Payment.
 P a g e | 79

Preventive Actions

The CAPEX in which the Expenses increase the Available Budget, then the action which
I have to take was that to distribute those Extra Expenses in the other CAPEX.

Suggestions
It can be that in future when the orders are given for materials and PO are made then we should
to keep a Track of the Available Budget at the beginning so that the Expenses should not exceed
the Available Budget
 P a g e | 80

CAPEX

Capital expenditure (“CAPEX”) are expenditure used by a company to acquire or upgrade

physical assets such as equipment, property and industrial buildings. The most common type of
capital expenditure occurs when you purchase or other wise acquire any assets that will benefit
your business for more than one year. New equipment, a car, computer, office furniture or even
business real state are things that most commonly come to mind when you hear the words

“Capital assets”.

What, Exactly, Is a Capital Expenditure in SCM Deptt.?

In SCM Dept. CAPEX is further divided into three parts:

CAPEX

OTHER
INFRA
INFRA NETWORKS
 P a g e | 81

INFRA

In this type of CAPEX expenses on Tower, DG, Shelter, Installation of Mounts, Outdoor
Ladder, Foundation Bolts, Electrical & Earthing work, Civil work, AC Amtrex 2x2.0 Ton, site
Acquisition Costs, Fire Extinguishers, Door Mats, DG 2KVA Honda(Petro Version), PIU
25Kva, Additional Battery, Power Upgradation for RBSC, Auto change over Switch, Sharing
Sites, MSC Infra & Space, Cell on Wheel etc. are made for the development of Infrastructure on
the Sites.

The major part of these materials are purchased from various Vendors, some of them
are:

Telecom Network Solutions Pvt.Ltd, Eastern Diesel, Cellcom Pvt. Ltd, VIJ, VSP
Enterprises etc.

OTHER INFRA

As per the growing demand of manpower and due to extensive increase in the work of
Airtel we have to restructure the Accommodation in same space for the new employees. In this
expenses on building new offices, Renovation works at office, Interior works, Cabling work,
Flooring, Painting Wood & Furniture work, Photocopier & Printer purchase, AC machine,
Wiring & Conducting etc. are done so that the works should flow in a proper way. Some
Vendors are as follows:

Shristi Interiors, Granure, Daksh Communication, Deepak Electrical, Spectrum

Etc.

NETWORKS

Networks items are BTS, BSC, MSC, Routers, Repeaters, Minilink, Antenna, Hop etc.
Ericssion is our Strategic partner for supplying these items of right quality, right quantity, and
right time. Ericssion India is the overall driver for Sites on Air.
 P a g e | 82

OPEX
Operating expenditure comprises day to day running costs. It does not include capital
investment or financing costs. Operating expenditure therefore includes employment cost,
electricity, materials, hired and contributed costs, local authority rates etc.

The definition of operating expenditure is narrower than that employed in stationary accounts.
We exclude the following items from our analysis of opera ting expenditure:

Maintenance of the asset base such expenditure is classed as capital maintenance and is regarded
as investment;

 Depreciation-this is an accounting charge reflecting the use of non-infrastructure (above-

ground) assets. the amount of this charge depends on the application policies. it does not
necessarily reflect the organization’s spending on replacing non-infrastructure assets.

 Infrastructure renewals charge - this is an accounting charge reflecting the use of

infrastructure (below-ground) assets. as with depreciation, the size of this charge depends
on the application of accounting policies. It does not necessarily reflect the organization’s
spending on maintaining infrastructure assets.

 Costs of public private partnership (ppp) schemes costs are determined by contract.

1. Site Acquisition

This dept. provides the basic facility regarding mobile tower and it helps the company in
acquiring the sites by this deptt. The survey deptt. makes the agreement with the site owner and
get all the details regarding the sites. In nut shell we can conclude site phase of the work to
ensure infrastructure development and management for remarkable growth of the company.
 P a g e | 83

2. Estate Management

These issues are related to the Estate management. In this the main objective of the
management is to resolve the direct filling issues, the site owner demand, scarcity of something,
the electricity problems, water demand by the site owner, problems in getting negotiation for the
rates, safely security related issues related to the site etc.

3. WAREHOUSING & PRODUCT MANAGEMENT

As per the increase in the customer segment of Airtel there is a continuous need of SIM
Cards, Recharge Coupons, Tariff Vouchers etc. so for fulfilling these growing need we have to
do the inventory of these things. Also items like FCT(STD &CCB) PCO, PCO Battery, FWP
Telina, FWP Tellular, FCT, Airtel Data Card and many such things are purchased.

Some Vendors from whom we purchase these materials are:

Micromax Informatics Ltd, Axalto Delhi, Galaxy, Manipal Press Ltd.etc.

 P a g e | 84

FINANCIAL RESULTS OF BHARTI AIRTEL LTD AS ON

MARCH 31, 2022
Bharti Airtel

Consolidated Yearly Results ------------------- in Rs. Cr. -------------------

Mar '22 Mar '21 Mar '20 Mar '19 Mar '18

Net Sales/Income from operations 116,546.90 100,615.80 87,539.00 80,780.20 82,638.80

Other Operating Income -- -- -- -- --

Total Income From Operations 116,546.90 100,615.80 87,539.00 80,780.20 82,638.80

EXPENDITURE

Consumption of Raw Materials -- -- -- -- --

Purchase of Traded Goods -- -- -- -- --

Increase/Decrease in Stocks -- -- -- -- --

Power & Fuel -- -- -- -- --

Employees Cost 4,433.30 4,114.60 3,807.20 3,797.50 3,977.10

Depreciation 33,090.70 29,404.40 27,689.60 21,347.50 19,243.10

Excise Duty -- -- -- -- --

Admin. And Selling Expenses 5,303.50 3,800.90 3,432.50 4,127.70 4,527.50

R & D Expenses -- -- -- -- --

Provisions And Contingencies -- -- -- -- --

 P a g e | 85

Exp. Capitalised -- -- -- -- --

Other Expenses 49,276.20 47,328.60 42,512.20 47,225.50 43,008.30

P/L Before Other Inc., Int., Excpt.

24,443.20 15,967.30 10,097.50 4,282.00 11,882.80
Items & Tax

Other Income 534.30 642.80 324.80 291.20 248.80

P/L Before Int., Excpt. Items &

24,977.50 16,610.10 10,422.30 4,573.20 12,131.60
Tax

Interest 16,616.20 15,091.00 12,382.00 9,589.40 8,071.50

P/L Before Exceptional Items &

8,361.30 1,519.10 -1,959.70 -5,016.20 4,060.10
Tax

Exceptional Items 1,698.60 -15,914.50 -40,234.40 2,928.80 -793.10

P/L Before Tax 10,059.90 -14,395.40 -42,194.10 -2,087.40 3,267.00

Tax 4,177.90 8,932.50 -12,182.30 -3,419.30 1,083.50

P/L After Tax from Ordinary

5,882.00 -23,327.90 -30,011.80 1,331.90 2,183.50
Activities

Prior Year Adjustments -- -- -- -- --

Extra Ordinary Items -- 11,056.70 -- -- --

Net Profit/(Loss) For the Period 5,882.00 -12,271.20 -30,011.80 1,331.90 2,183.50

Minority Interest -4,050.30 -2,719.50 -1,519.00 -1,278.00 -1,084.50

Share Of P/L Of Associates 2,423.20 -92.80 -652.40 355.60 --

Net P/L After M.I & Associates 4,254.90 -15,083.50 -32,183.20 409.50 1,099.00

Equity Share Capital 2,795.00 2,746.00 2,727.80 1,998.70 1,998.70

Reserves Excluding Revaluation

63,759.30 56,206.70 74,417.00 69,423.50 67,535.70
Reserves
 P a g e | 86

Equity Dividend Rate (%) -- -- -- -- --

EPS Before Extra Ordinary

Basic EPS 7.67 -27.65 -63.41 1.02 2.75

Diluted EPS 7.63 -27.65 -63.41 1.02 2.75

EPS After Extra Ordinary

Basic EPS 7.67 -27.65 -63.41 1.02 2.75

Diluted EPS 7.63 -27.65 -63.41 1.02 2.75

Public Share Holding

No Of Shares (Crores) -- -- -- -- --

Share Holding (%) -- -- -- -- --

Promoters and Promoter Group

Shareholding

a) Pledged/Encumbered

- Number of shares (Crores) -- -- -- -- --

- Per. of shares (as a % of the total

-- -- -- -- --
sh. of prom. and promoter group)

- Per. of shares (as a % of the total

-- -- -- -- --
Share Cap. of the company)

b) Non-encumbered

- Number of shares (Crores) -- -- -- -- --

- Per. of shares (as a % of the total

-- -- -- -- --
sh. of prom. and promoter group)

- Per. of shares (as a % of the total

-- -- -- -- --
Share Cap. of the company)
 P a g e | 87

Notes |202203 |202103 |202003 |201903 |201803

SWOT Analysis Bharti Airtel

Strengths

 Bharti Airtel has more than 65 million customers (July 2008). It is the largest cellular
provider in India, and also supplies broadband and telephone services - as well as many
other telecommunications services to both domestic and corporate customers.
 Other stakeholders in Bharti Airtel include Sony-Ericsson, Nokia - and Sing Tel, with
whom they hold a strategic alliance. This means that the business has access to
knowledge and technology from other parts of the telecommunications world.
 The company has covered the entire Indian nation with its network. This has underpinned
its large and rising customer base.

Weaknesses

 An often cited original weakness is that when the business was started by Sunil Bharti
Mittal over 15 years ago, the business has little knowledge and experience of how a
cellular telephone system actually worked. So the start-up business had to outsource to
industry experts in the field.
 Until recently Airtel did not own its own towers, which was a particular strength of some
of its competitors such as Hutchison Essar. Towers are important if your company wishes
to provide wide coverage nationally.
 The fact that the Airtel has not pulled off a deal with South Africa's MTN could signal
the lack of any real emerging market investment opportunity for the business once the
Indian market has become mature.
 P a g e | 88

Opportunities

 The company possesses a customized version of the Google search engine which will
enhance broadband services to customers. The tie-up with Google can only enhance the
Airtel brand, and also provides advertising opportunities in Indian for Google.
 Global telecommunications and new technology brands see Airtel as a key strategic
player in the Indian market. The new iPhone will be launched in India via an Airtel
distributorship. Another strategic partnership is held with BlackBerry Wireless Solutions.
 Despite being forced to outsource much of its technical operations in the early days, this
allowed Airtel to work from its own blank sheet of paper, and to question industry
approaches and practices - for example replacing the Revenue-Per-Customer model with
a Revenue-Per-Minute model which is better suited to India, as the company moved into
small and remote villages and towns.
 The company is investing in its operation in 120,000 to 160,000 small villages every
year. It sees that less well-off consumers may only be able to afford a few tens of Rupees
per call, and also so that the business benefits are scalable - using its 'Matchbox' strategy.

Threats

 Airtel and Vodafone seem to be having an on/off relationship. Vodafone which owned a
5.6% stake in the Airtel business sold it back to Airtel, and instead invested in its rival
Hutchison Essar. Knowledge and technology previously available to Airtel now moves
into the hands of one of its competitors.
 The quickly changing pace of the global telecommunications industry could tempt Airtel
to go along the acquisition trail which may make it vulnerable if the world goes into
recession. Perhaps this was an impact upon the decision not to proceed with talks about
the potential purchase of South Africa's MTN in May 2008. This opened the door for
talks between Reliance Communication's Anil Ambani and MTN, allowing a competing
Inidan industrialist to invest in the new emerging African telecommunications market.

Bharti Airtel could also be the target for the takeover vision of other global
telecommunications players that wish to move into the Indian market
 P a g e | 89

RESEARCH METHODOLOGY

Research is a careful critical enquiry or examination in seeking facts or principles, diligent

investigation in order to ascertain something. It is essentially a systematic enquiry seeking facts
through objective verifiable methods. The methodology which is used to do research is known as
the research methodology.

Research design is arrangement of condition for collection and analysis of data in a manner that
aims to combine relevance to the research purpose with economy in procedure.

In my summer training in the SCM department of Bharti Airtel Limited I have done exploratory
research. I have explored the subject with the information provided. The basic objective of my
topic was to understand the complete working of the SCM department. The data which I have
presented in this report is of very relevant nature. It includes the complete information about

scope and intent of the process of SCM & its role description.
 P a g e | 90

DATA ANALYSIS

SAMPLE SIZE 30

 Current Mobile Phone Service Provider

No of user

 TATA 3
 AIRTEL 8
 AIRCELL 4
 IDEA 1
 BSNL 10

 RELIANCE 4

10
9
8 TATA
7 AIRTEL
6 AIRCELL
5 IDEA
4
BSNL
3
RELIANCE
2
1
0
 P a g e | 91

 POSTPAID AND PRIPAID USERS

POSTPAID USER PRIPAID USER

30% 70%
 P a g e | 92

30%

70%

PRIPAID
POSTPAID

 Service Quality of Mobile Phone Provider

COMPANY CUSTOMERS VIEW

EXCELLENT GOOD AVERAGE POOR

AIRCELL 11 10 06 03

BSNL 15 12 2 01

RELIANCE 09 07 08 06

TATA 05 06 10 09

IDEA 07 09 09 05

AIRTEL 13 07 07 03
 P a g e | 93

16
14
AIRCELL
12
BSNL
10
8 RELIANCE

6 TATA
4 IDEA
2 AIRTEL
0
EXCELLENT GOOD AVERAGE POOR
 P a g e | 94

CONCLUSION

Over the past five years, many companies have expressed interest in entering the sector and
many foreign and Indian companies have arranged anticipatory alliances. The threat of new
players taking over the market has been overplayed. As is witnessed in other countries where
liberalization took place in recent years we can safely conclude that nationalized players will
continue to hold strong market share positions, but there will be enough business for new
entrants to be profitable.

Opening up the sector will certainly mean new schemes, better connectivity and improved
customer service. Both new and existing players will have to explore new distribution and
marketing channels. Potential buyers for most of this lie in the middle class. New users must
segment the market carefully to arrive at appropriate products and pricing. Recognizing the
potential, in the past five years, the users have already begun to target niches.

In this regard the major step or decision area is to its market ability.

With this step the company is in a position to increase its market share that is due to increase the
trust among the future and present customers. But from the present level of performance “The
most commendable thing about the Indian Telecom is its affordability”, it can be concluded
that private companies pose a big threat to the public company.

Competition has caused the market to grow beyond current rates, creating a Bigger Pie and
offering additional Consumer choices through the introduction of new products, services and
price options.

The private sector has emerged in the market as with extensive success prospects and amongst
which Bharti Airtel shows its applause worthy performance.

Hence, we can safely assert that Public And Private Sector Companies have to work
together to ensure healthy growth and development of the sector.
 P a g e | 95

LIMITATIONS
In the making of this report we came across the following limitations:

 The Indian Telecom Sector is still agog with the dominance of Public Sector. The
requirement is to get into the mindset of the public and change it.
 Lack of awareness about the allocated Budget.
 Lack of awareness amidst the public about the gigantic horizon of Bharti Airtel.
 Strict competition amidst the private players themselves.
 The doctrine of survival of the fittest applies here too.
 Among all the private companies present in the market, the company faces a tough
competition as to who gets a bigger piece of the pie.
 P a g e | 96

(QUESTIONNAIRE)

1- NAME : …………………………………………………………….

2- ADDRESS: …………………………………………………………….

………………………………………………………………

3-AGE: ……………………………………………………………………

4-MARITAL STATUS: A. MARRIED ( ) B. UNMARRIED ( )

5-GENDER: A. MALE ( ) B. FEMALE ( )

6-Who is your current mobile phone service provider

 TAT  Ide  Airce  Relianc  Bhart  BSN

A a l e i (Airtel) L
 P a g e | 97

7-How many years have you been using the current mobile phone services?

A. Up to 1 year B. 1 -3 year

C. 3 -5 year D. Above

 8-Do you have a postpaid or a prepaid relationship How many different mobile phone
service providers have you had in the past?

  

 Prepaid  Postpaid

 9-If you are permitted to retain the current mobile phone number that you have, would
you change your current mobile service provider?  

 Yes  No

10-If so, which brand would you select? (select only one)

 TATA  Idea  Aircel  Reliance  Bharti  BSNL

(Airtel)
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11-Rate the importance of following factors on 5 point scale in a mobile service provider.

Very Poor Poor Average Good Excellent

Price

Quality of service
(connectivity)

Varieties of products
offered

Availability in different
states (roaming)

12-Rate the importance of quality of service on a 5 point scale for the following brands.
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Very Poor Poor Average Good Excellent

Airtel

Idea

BSNL

Aircel

Reliance

GLOSSARY
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ABBREVIATIONS EXPENDED FORM

PO - Purchase order

GRN - Goods Receipt Note

IAC - Invoice Acceptance Check list

POTL - Purchase order Terms and conditions Matrix

PI - Purchase Indent

TAT - Turn Around Time

SIM - Subscriber Identity module

SMS - Short Message Service

VAS - Value Added Services

WLL - Wireless Local Loop

PLMN - Public Land Mobile Network

MMS - Multimedia messaging service.

GSM - Global system for mobile communication.

GPRS - General Package Radio Service

AVC - Authentication centre

CDMA - Code Division Multiple access

CDR - Call Details records

WAN - Wider Area Network

WAP - Wireless Application Protocol

VSAT - Very Small Aperature Terminal

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Mbps - Megabytes per second

LAN - Local Area Network

MAC - Media Access controller

DP - Data processing

DSL - Digital subscriber lop

IP - Internet protocol

ISDN - Integrated Service Digital Network

Kbps - kilobytes per second

ISP - Internet Service providers

ATM - Asynchronous Transfer Mode

ASP - Active Server Pages

BIT - Binary digit

BRI - Basic Rates Interface

BTS - Base Transmission System.

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BIBLIOGRAPHY

1. CAPEX-
2. CAPEX Approval Process-
3. www.airtel.in

4. RESEARCH METHODOLOGY

5. SWOT ANALYSIS OF AIRTEL

6. AIRTEL MANUAL

“Thanks for your valuable time and co-operation”