Independent University Bangladesh

Assignment Title: An Analysis of Management Practices of Grameenphone

Course Title: Principles of Management
Course Code: MGT201
Section: 01
Submitted to:
Ms. Farzana Chowdhury
Lecturer & Coordinator, Department of General Management
School of Business and Entrepreneurship (SBE)
Independent University, Bangladesh (IUB)

Submitted By:
Name ID
Nusrat Tamanna Tasnuva 2310002
Sadman Sakib 2330996

Safa Marwa Aurora 2331840

Md. Jubayed Hoshen Jihad 2331240
Table of Contents
Letter of Transmittal.....................................................................................
27th April 2023
Ms. Farzana Chowdhury
Lecturer & Coordinator, Department of General Management
School of Business and Entrepreneurship (SBE)
Independent University, Bangladesh (IUB)
Subject: Submission of management report of Grameenphone Ltd.
Sir,
With due respect, we would prefer to submit our group project (Management Report) as a
mandatory requirement for the Principles of Management course. The instructions and strategies
we used during the procedure were very effective and useful for our presentation. The
Management report we have worked on is ‘Grameenphone Ltd’ in which we have tried our best
to put forward our report. The report covers a range of topics related to management practices,
including the company's organizational structure, planning processes, leadership and motivation
practices, and controlling system. Therefore, we sincerely hope that our management report will
meet your requirements. We also want to thank you for the opportunity and the guidance you
provided.

Sincerely,
Sadman Sakib (2330996)
Nusrat Tamanna Tasnuva (2310002)

Safa Marwa Aurora (2331840)

Md. Jubayed Hoshen Jihad (2331240)

Research Methodology:
This report was prepared based on both primary and secondary data. Primary data was collected
by questioning the people concerned in the company during the working hour period. There were
open-ended and specific questions. The questionnaires are given in the appendix section; while
secondary data was collected from various printed documents like the annual report etc. of the
company from websites that are mentioned in our Reference section.

Executive Summary:
In the following report on ‘Grameenphone Ltd.’ we have decided to investigate the management
practices of this telecommunication company. Firstly, we start with an introduction by
mentioning the report’s purpose and procedure for data collection, giving a brief overview and
showing a clear organogram of the organization. Secondly, we identify the organization’s culture
with dimension, discuss the situation (external and internal environment), and analyze the
organization's ‘SWOT’ (strengths, weakness, opportunities and threats). Thirdly, we detailed
discussion about their strategies, which type of leadership style they follow and provide
recommendations on how the organization can solve their issues better. Finally, we conclude the
overall report and provide all the sources in the last.

Company Overview
Grameenphone which is widely abbreviated as GP, is the leading telecommunications service
provider in Bangladesh and currently dominates 46.3% of the market share with the subscriber
count of over 74 million. It was founded by Iqbal Quadir and Dr. Muhammad Yunus. 55.8% of
its share is owned by its parent company Telenor, which is originated in Norway. 34.2% by
Grameen Telecom Corporation and the rest 10% by the public since it is a public limited
company.

Grameenphone is the subsidy of the company Telenor. Hence Telenor is the mother company of
Grameenphone which is situated in Norway. Telenor is a government owned telecommunication
company of Norway (just like Teletalk in Bangladesh).

Grameenphone was introduced in Bangladesh in 1997. They received the license of cellular
phone operation on November 28, 1996, and started their operation on March 26, 1997.
Bangladesh is a developing country. Per capita income here is very low. Very few people have
access to telecommunications. In this situation GP started their operation here. GP’s aim was to
develop one GSM cellular mobile communications network in Bangladesh in competition with
two other GSM operators and one AMPS (Advanced Mobile Phone System) operator. GP aims to
provide the best possible technical quality, customer service, and coverage also in the rural areas
at the most favorable prices, to as many customers possible in Bangladesh.
GP has a dynamic management composed of businesspeople with a profile drive, prepared to
take calculative risk. The shareholders of the company are stable, established companies with a
solid international reputation. They have already made approximately $125 million investment to
GP and will reinvest their profit share to GP.
The Grameenphone network is designed with latest computer assisted design technology. GP
reached its break‐even point in the year 2000, in the fourth year of its operation. The company
made its first net profit of $ 3.7 million during the year ending in December 2000.
Grameenphone has been operating in the market for a long time. During this time,
Grameenphone went for different types of mergers and acquisitions. They gained success from
the very beginning of their operation and were capable enough to hold the success year after year.
Grameenphone main competitors are Robi, Banglalink, Airtel, Teletalk and Citycell. One of the
strongest sides of Grameenphone is its customer’s service and relationship.
Grameenphone was awarded license to operate as a mobile telecommunication service provider
in Bangladesh on 28th of November 1996. It officially launched its network on 26th of March
1997 and went into commercial operation on 15th of April.

Journey of Grameenphone
• November 28, 1996: Grameenphone was offered a cellular license in Bangladesh by the
Ministry of Posts and Telecommunications.
• March 26, 1997: Grameenphone launched its service on the Independence Day of
Bangladesh.
• June 1998: GP started its services in the port city of Chittagong, the second largest city in
the country. Cell to cell coverage in the Dhaka‐Chittagong corridor also enabled GP to
introduce its service in a number of other districts along the way.
• September 1999: GP started its service in the industrial city of Khulna. Once again, a
number of other districts came under coverage of GP because of the cell-to-cell coverage
between Dhaka and Khulna. Earlier in September 1999, it introduced the EASY pre‐paid
service in the local market. It also introduced the Voice Mail Service (VMS) and the
Short Message Service (SMS) and other Value Added Services (VAS).
• September 1999: GP started its service in the industrial city of Khulna. Once again, a
number of other districts came under coverage of GP because of the cell-to-cell coverage
between Dhaka and Khulna. Earlier in September 1999, it introduced the EASY pre‐paid
service in the local market. It also introduced the Voice Mail Service (VMS) and the
Short Message Service (SMS) and other Value-Added Services (VAS).
• August 2003: After six years of operation, Grameenphone has more than one million
subscribers.
 • November 2005: Grameenphone continues to be the largest mobile phone operator
of Bangladesh with more than 5 million subscribers.
• November 16, 2006: After almost 10 years of operation, Grameenphone has over 10
million subscribers. Grameenphone has built one of the most extensive
infrastructures of Bangladesh and is a major contributor to the development of the
national economy.
• December 31, 2007: Grameenphone is one of the largest private sector investments in the
country with an accumulated investment of USD $1.7 billion up to December 2007.
Grameenphone is also one the largest taxpayers in the country, having contributed nearly
BDT 5000 Crore in direct and indirect taxes to the Government Exchequer over the years
of which is amount, BDT 1670 Crore was paid in 2005 alone.

Shareholders’ of Grameenphone

Telenor
Telenor AS is the leading Telecommunications Company of Norway listed in the Oslo and
NASDAQ Stock Exchanges. It owns 55.8% of shares of Grameenphone Ltd. Telenor AS have
played a pioneering role in the development of cellular communications. It has substantial
international operations in Mobile Telephony, Satellite Operations and Pay Television Services.
In addition to Norway and Bangladesh, Telenor AS owns GSM companies in Denmark, Austria,
Hungary, Russia, Ukraine, Montenegro, Thailand, Malaysia and Pakistan.
Grameen Telecom
Grameen Telecom Corporation is a non‐profit company and works in close collaboration with
Grameen Bank. The internationally reputed bank for the poor has the most extensive rural
banking network and expertise in micro finance. Grameen Telecom, with the help of Grameen
Bank, administers the Village Phone Program, through which Grameenphone provides its
services to the fast-growing rural customers.

Mission, Vision, Objectives and Strategies

“We are here to help”
The key to achieve this vision is a mindset where everyone of GP works together, making it easy
to buy and use their services. (Grameenphone)
Delivering on their promises, being respectful of differences, inspiring people to find new ways,
get this right and Telenor will be a driving force in modern communications and customer
satisfaction. (Grameenphone)
Mission:
Leading the industry and exceed customer expectations by providing the best wireless services,
making life and business easier
Vision:
We exist to help our customers get the full benefit of communications services in their daily
lives. We want to make it easy for customers to get what they want, when they want it. We're
here to help.
Values:
Make it Easy: GP is practical. They don't overcomplicate things. Everything they produce
should be easy to understand and use. No waste, no jargon because they never forget to try to
make customers' lives easier.
Keep Promises: Everything GP sets out to do should work, or if customers don't get it, they are
there to help. They’re about delivery, not over promising ‐ actions not words.
Be Inspiring: Always trying to be creative. GP strive to bring energy into the things they do.
Everything they produce should look good, modern and fresh. GP are passionate about our
business and customers.
Be Respectful: GP acknowledge and respect local cultures. GP do not impose one formula
worldwide. They want to be a part of local communities wherever they operate. GP believe
loyalty has to be earned.
Brand Promise:
Go Beyond