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INDUSTRIAL INTERNSHIP PROJECT REPORT

On
"STUDY OF CONSUMER PERCEPTION ABOUT THE BSNL"

IN PARTIAL FULFILLMENT OF THE REQUIREMENT FOR THE MASTER OF BUSINESS ADMINISTRATION Mrs.Karam Hushan(BSNL) Designation SDE Name of Faculty Ms Archana Raj Course Co-ordinator MBA(HR&IR) Submitted By Kapil dev Tiwari Roll no.10001116043

Academic Year 2010-2011 INSTITUTE OF MANAGEMENT SCIENCE LUCKNOW UNIVERSITY

CERTIFICATE
This is to certify that Industrial Internship Report entitled

STUDY OF CONSUMER PERCEPTION ABOUT BSNL


Submitted by

Kapil dev Tiwari


Towards the partial fulfillment of the degree of

MASTER OF BUSINESS ADMINISTRATION


(2 Year's Post Graduate Programme duly approved by lucknow university) in the Academic Year 2010-11 is a record of the student's own work carried out at

BHARAT SANCHAR NIGAM LIMITED


Ms Archana Raj Dr. Vishal Jain Dean Prof. A. K. Mittra Director

Course CoOrdinater

To, Institute of Management Science,University of Lucknow, lucknow No:-E-75/GMTD-BST/Voc-Trg/Mgmt-stud/Ch-11/09-10/102 Sub:- Summer Training. This is to certify that Kapil dev Tiwari of MBA 2 year student of Your collage has appeared in summer vocational training in Bharat Sanchar Nigam Ltd. Basti for Five week from 01-08-2011 to 09-09-2011 and he has completed his training Successfully. During the training his behaviour and attitude was very good. I wish every success in his life. Dated-09-09-2009.

SDE(A) O/o GMTD Basti

ACKNOWLEDGEMENT

Excellence takes birth in people, People unified by the same dream, The dream of EXCELLENCE.

Its all about working together shoulder to shoulder Its all about joining hands and meeting challenges Its all about empowerment and skill up gradation. When we actively move on this project we received a great deal of motivation and support that was never perceived. I wish to express a deep sense of gratitude to Mis. Shalini Raj for his invaluable guidance, suggestions and co-operation which enhanced our moral in making this report. I wish to express my sincere thanks to all people to whom I approached with my queries. Despite of their busy schedules they patiently answered and had given invaluable information and comments without their responses this report may not have been possible.Gratitude cannot be seen only felt therefore the feeling cannot be always described easily.

Preface

To manage business well is to manage its future And To manage its future is to manage information. -Marion Harper
Traditionally, four critical resources of an organization were men, money, material and machine. The fifth critical resource, which is today globally acknowledged, is information. In modern management thoughts where Consumer is King, the need to gather information about the consumer is gaining importance. Successful Telecom Company around the world is sharply focused on the customer need and demand. His perception, buying behavior, social acceptance among other, forms the basic input of marketing summer training ers. Among those companies, which respect their principles and follow, is the BSNL Internationally acclaimed and domestically dominant. It has leadership position in the telecom segment; it inspires sense of proud of position among Indian customers. An effort is made to have an insight into various aspects of this telecom company through the marketing survey of various outlets of the telecom with special reference to BSNL Company.

In todays fast changing competitive world, marketing summer training has gain immense importance for formulating its strategies. Every organization needs up to date information about what their customers want. This help to know exactly what their customer want and the organization can work accordingly. Keeping this purpose in mind I was assigned the Summer training report on STUDY OF CONSUMER PERCEPTION ABOUT BSNL The summer training made me realize that theory and practice are two inseparable parts of education.

Executive Summary

The present report is prepared for the partial fulfillment of P.G.D.M. and as a part of curriculum .the survey is to analyze. To pursue summer training area is Basti at Malviya Road service centre of BSNL where the survey is conducted through personnel interview. The data collection is an analyzed and some practical tools were applied to get inferences from the survey. The results are printed in the graphs and diagrams. The conclusion that I have found in BSNL service mostly of the customer were satisfied and there should be some improvement for those customer who are not satisfied The summer training report has two sections in the first section company and industry profile is given where as second summer training methodology is given which includes sample design,

analysis of sample and presentation in thee form diagram and graph. Suggestion with respect to the survey for future improvement is given to improve the survey because there e competitors have also take n the survey. Last there is a bibliography and there is an annexure

TABLE OF CONTENTS
i. ii. iii. iv. v. vi. vii. viii. ix. x. xi. xii. xiii. xiv. xv. xvi. xvii. ACKNOWLEDGEMENT PREFACE EXECUTIVE SUMMARY TABLE OF CONTENT INTRODUCTION COMPANY PROFILE OBJECTIVE OF STUDY RESEARCH OBJECTIVE CUSTOMER RELATIONSHIP MANAGEMENT RESEARCH METHODOLOGY LIMITATIONS ANALYSIS OF THE DATA FINDINGS RECOMMENDATION CONCLUSION ANNEXURE BIBLIOGRAPHY

INTRODUCTION
OVERVIEW OF TELECOM INDUSTRY India is one of the fastest growing telecom markets in the world with an addition of more than 6 million connections per month. FDI inflow in Indian Telecom sector is the highest among all sectors. India is emerging as telecom manufacturing hub. Year 2007 has been declared as "Year of Broadband" in India. The telecommunication industry operates in a licensed and regulated environment. The government of India, through Department of telecommunication (DOT) and Telecom commission, both functioning under the ministry of communication and information technology decides on the policies that governs/regulates the sector and issues the licenses and registration. Indias telecom policy is guided by overall development goals and the interests of the consumer. In order to protect and promote consumer interest and ensure fair competition, an independent regulatory authority known as Telecom regulatory authority of India (TRAI) was established in 1997. The sector is more liberalized then

many developing markets and in most respects, the regulatory framework has caught up with the need to manage a highly competitive market environment. Competition has been introduced into all segments and licenses are available to new entrants. Tariff control have been removed or structured as ceiling tariffs in areas where there is limited competition. There is a current initiative to simplify the charging brands for log distance calls and to remove some of the artificial constrains in the segregation of long distance and access licenses. Consolidation among operators has been facilitated. TRAI has actively intervened in many areas to ensure a level playing field between operators. Indian Telecom sector, like any other industrial sector in the country, has gone through many phases of growth and diversification. Starting from telegraphic and telephonic systems in the 19th century, the field of telephonic communication has now expanded to make use of advanced technologies like GSM, CDMA, and WLL to the great 3G Technology in mobile phones. Day by day, both the public players and the private players are putting in their resources and efforts to

improve the telecommunication technology so as to give the maximum to their customers. Reforms in Indian telecommunication sector in can divide into broadly three phases. Telecommunication Reforms in India: First phase: The telecommunication reforms in India started in the eighties with the mission better communication. This is regarded as the first phase of the reformation process. Several private manufacturers of tailor made equipments entered the market. There were private developer for indigenous technologies and the franchisee for STD/ISD and PCO increased. The Videsh Sanchar Nigam Limited (VSNL) and Mahanagar Telephone Nigam Limited (MTNL) were set up under the Government of India's Department of

Telecommunication. Second Phase: The second phase of telecommunication reforms in India came in the early nineties. The introduction of the New Economic Policy (NEP) in the year 1991 was a landmark in the history of telecom

industry sector in India. The manufacturing of equipments pertaining to telecom sector was decentralized and several value added services were introduced into the market. The telecom services were divided into basic telephony, radio paging and cellular mobile The TRAI was established an independent regulatory body pertaining to telecom sector. The growth of the private sector increased. Third phase: The third phase of the telecommunication reforms in India took place in the period of the late nineties. The government of India introduced the New Telecom Policy 1999. The TRAI was endowed with more power. The concept of revenue sharing was introduced to replace the fixed license fee. The National Long Distance was introduced with free entrance. Moreover, there was introduction of International Long Distance schemes. The Bharat Sanchar Nigam Limited (BSNL), a corporate body of the telecom service sector was formed, followed by the introduction of the Internet to the Indian market. Impact of telecommunication reforms in India:

Telecommunication Reforms in India revolutionized the telecom industries sector in India, which is an important factor for the growth of the Indian telecom sector and in turn helped the Indian economy to perform well for the past few years. The

Telecommunication reforms in India were development and growth oriented. Technological advancements and innovations contributed largely towards the reformation of the telecom sector in India. The sector of telecom was a monopoly under the Central Government of India. During the 1990s this sector faced fierce challenges due to the development in the technological sector. The sector was privatized and with the abolition of the monopoly new player entered the consumer market. The competition increased in the telecom sector, the rates were slashed in order to grab the share of the market and the customers were provided with better services.

(Source TRAI) Telecommunication Services: Telecommunication services include Basic service, Cellular service, Internet Service Provider (ISP) and Very Small Apercture Terminal (VSAT) services. Government of India (GoI) plans to introduce a unified license for all telecommunication services in India, and has already allowed full mobility to wireless in local loop (WLL) operators as a first step. Telecom services are growing at an approximate rate of around 5 percent per year in terms of revenue and mere 10 % in terms of subscriber base in last five years. Partly the result is due to negative growth in NLD market (-14% Rs 51,410 million from Rs 59,880 million) and ILD market (-13% Rs 43,460

million from Rs 50,010 million) in 2003-04. Amongst telecom services, cellular services are the fastest growing, with CAGR of 40 percent over the past four years. Telecommunications Regulatory Authority of India (TRAI) expects that the total number of cellular connections would bypass the total number of fixed line connections by late 2004 and early 2005. (As on March 2004 subscriber base of cellular operators is 33 million and basic operator is 42.84 million) During the past three years, in terms of subscriber base telecommunications services have been growing at a CAGR of nearly 22%, owing largely to the rapid increase in cellular service subscribers. Fixed Service Provider (FSPs): Fixed line services consist of basic services, national or domestic long distance and international long distance services. The domestic market (i.e. excluding international revenues), has been growing more than 5 per cent annually during the past three years, and has a current market size of Rs 30,164 crores, with a base of 43 million lines.

The state operators (BSNL and MTNL), account for almost 90 per cent of revenues from basic services. Private sector services are presently available in 18 circles, and collectively account for less than 5 per cent of subscriptions. However, private services focus on the business/corporate sector, and offer reliable, high- end services, such as leased lines, ISDN, closed user group and videoconferencing. As a result, average-revenues-per-user (ARPU) of private operators are more than twice those of the state-owned service providers. The main revenue contributing value added services were NLD and ILD. The reduction in NLD and ISD tariffs punctured the potential of the key revenue streams. Internet telephony for ISD worsened the potential. Added to it was the phenomenal growth rate in cellular services. Both public players and private players are competing hard to capture more and more market share. MTNL and BSNL are the leading public sector players, whereas Reliance Info-com, Airtel, Tata-Tele-services and Touchtel are the leading private sector players.

Market shares of public and private players in fixed telephony

Source TRAI

Cellular Services: Mobile telephony was introduced in Indian markets in mid1990s. In the last few years, the sector has witnessed tremendous growth. The subscriber base is adding more and more customers every year. Mobile telephony recorded more than 52.2 million users in FY 2004-05, exceeding fixed line telephone subscriber base. Also, mobile segment has welcomed more and more players every year. Liberalized policies have ensured lower tariffs and reduced roaming rentals. This will lead to increased usage of mobile phones.

The introduction of mobile technology in India and liberalization of sector changed the usage of telephone services in India, so many private companies entered into the sector like Bharti-Airtel, Reliance communication, Idea cellular, BPL Etc. after the NTP 1999 the competition between the private players increased as the call rates got decreased and the tariff plans has been introduced. As a result the private players offered attractive schemes to the customers and the mobile phones became cheaper for the customer in comparison to the fixed phones. The comsumers of fixed line telephones shifted towards mobiule telephony. The changes can be understand by the following figures, which show the percentage changes in the usage of wire line and wireless phone from 2002 to 2007.

(Source TRAI)

Number of Mobile Subscribers in India from 1997 to 2004

Year ending 31-march 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006

Mobile subscriber (millions) 0.34 0.88 1.2 1.88 3.58 6.43 12.69 26.15 52 143 (Source TRAI)

(Source TRAI)

The cellular services can be classified into two segments the one is CDMA (Code Division Multiple Access) and the other is GSM (Global System for Mobile Communications), CDMA and GSM are actually two technologies upon which mobiles works. In the starting only GSM services were launched, Reliance communications were the first to launch the CDMA technology in India, presently Reliance communication and Tata-Indicom provides CDMA technology and all

the other companies namely Airtel, Vodaphone, Idea, BPL, Aircel, BSNL , MTNL are providing GSM technology. In south India reliance communications provides both GSM and CDMA technology. Number of GSM and CDMA subscribers

year 200 0 200 1 200 2 200 3 200 4 200 5 200 6 200 7

GSM SUBSCRIBERS (in millions) 3.1 5.05 10.5 22 37.4 58.5 105.4 180

CDMA SUBSCRIBERS (in millions) 0.8 6.4 10.9 19.1 44.2 85

(Source TRAI)

(Source TRAI)

There are 25 private companies providing Cellular Services in 19 Telecom Circles and 4 Metro cities, covering 1500 towns across the country. Presently, there are five private service operators in each

area, and an incumbent state operator. Almost 80% of the cellular subscriber base belongs to the pre-paid segment.

MARKET OVERVIEW :
Subscribers Company Presence Share (%) Jul 06 (mn) Fixed Mobile Government owned. Has ramped up BSNL GSM services. National presence (except 37.4 Mumbai and Delhi) Government owned. Operates in Delhi MTNL and Mumbai. Integrated operator, with presence in all Bharti sectors. Largest mobile services provider. Integrated operator. Plans expansion of Reliance GSM network apart from being the largest private CDMA operators. Bharti Airtel Pure play GSM operator in 11 circles. IDEA Tata Teleservice s Pure play GSM operator in 6 circles Integrated operator (along with VSNL) with presence in all segments. Provides CDMA services in 20 circles Operates in 2 circles. Announced Plans Aircel to expand GSM footprint in North and North east 2.6 2.9% 4.0 4.9 8.0% 5.4% 15.4 7.4 17.0% 8.2% 3.0 17.3 6.0% 19.2% 1.4 19.6 2.7% 21.7% 3.8 2.0 7.7% 2.3% 17.7 74.7% 19.6% Fixed Mobile

Spice Others Total

Pure play GSM player in 2 circles 0.4 50

1.9 1.4 90

2.1%

Source TRAI Several GSM cellular service companies are climbing the EDGE bandwagon. Bharti Airtel has already started and Bharti has made test calls on the EDGE platform and the company is in talks with Siemens for EDGE-enabling some of its circles. The DoT has allowed cellular companies to buy rivals within the same operating circle provided their combined market share did not exceed 67 per cent. Previously, they were only allowed to buy companies outside their circle. Internet Service Provider: Internet has become very easily accessible with cyber cafes /kiosks increasing their density, not only in the metro towns but also in semi-urban towns. There is no restriction on the number of internet companies and more than 185 companies are operational. Internet telephony has been allowed officially from 1 April 2002. The growing demand of corporates for applications such as Electronic Commerce, internet leased lines, ISDN, VPN etc is driving the growth of the

internet services market. However, the industry continues to face a number of bottlenecks in terms of regulatory treatment of ISPs, high bandwidth prices, low PC penetration, high cost of telephone access etc. Telecommunication Equipment: The domestic industry is worth Rs 303,000 million and has made little progress in comparison to the development of Telecom services in the country. The industry is faced with two major challenges: India is being steadily opened up to the global market, as trade restrictions are done away with, resulting in crashing of import duties across the board and easy movement of goods from overseas. It is forecasted that by 2005, imported telecom equipment will account for 75% of the expenditure on telecom equipment in India. Secondly, to cut down on operations costs, US, European and East Asian multinationals are outsourcing manufacturing to cheaper destinations in Taiwan and China. (Refer to Appendix 5 for more details on this segment) Growth in the telecom equipment market is expected to be driven by an increasing demand for telecom services.

Key players like BSNL, Bharti, Reliance, BATATA, BPL and Bharti Airtelison will drive equipment market growth. Transmission equipment, cable and terminal equipment are expected to drive the market in the years to come. Also switching systems will remain a big market, with a size of around Rs 50 billion (CERC). Objectives and targets of the New Telecom Policy 1999: The objectives of the NTP 1999 are as under: Access to telecommunications is of utmost importance for achievement of the countrys social and economic goals. Availability of affordable and effective communications for the citizens is at the core of the vision and goal of the telecom policy. Strive to provide a balance between the provision of universal service to all uncovered areas, including the rural areas, and the provision of high-level services capable of meeting the needs of the countrys economy; Encourage development of telecommunication facilities in remote, hilly and tribal areas of the country;

Create

modern

and

efficient

telecommunications

infrastructure taking into account the convergence of IT, media, telecom and consumer electronics and thereby propel India into becoming an IT superpower; Convert PCOs, wherever justified, into Public Teleinfo centres having multimedia capability like ISDN services, remote database access, government and community information systems etc. Transform in a time bound manner, the telecommunications sector to a greater competitive environment in both urban and rural areas providing equal opportunities and level playing field for all players; Strengthen research and development efforts in the country and provide an impetus to build world-class manufacturing capabilities. Achieve efficiency and transparency in spectrum management. Protect defense and security interests of the country.

Enable Indian Telecom Companies to become truly global players.

GROWTH DRIVERS Vast geographic expanse of India acted as a catalyst to boost mobility Low call costs since 2002 fueled the wireless segment Narrowing gap of call costs between fixed and wireless convinced customers to subscribe to wireless connections Nationwide roaming facilities on GSM Internet + Subscription bundling Reduced cost of handsets (affordability factor) Customs duties have been reduced from 10% to 5% In remote areas where providing fixed line connections were difficult, wire-less did the magic. CDMA fixed wireless gave customers 3 in one advantage Mobility, internet and messaging.

An accelerated rate of productivity growth wouldn't be possible unless companies large and small across the country are using information technology to cut costs, increase output, and generally rebuild the way they are doing business. The need to boost competition, provide better value to customers, and slice costs from the supply chain remains a perpetual driving force for technology spending. Depending on where the technology is positioned in the company, corporate investment in information systems will lead to increased sales of services and software. Market Share for major telecom companies:

Source: TRAI

The Cellular Operators Association of India (COAI): The Cellular Operators Association of India (COAI) was constituted in 1995 as a registered, non-profit, non-governmental society dedicated to the advancement of communication, particularly modern communication through Cellular Mobile Telephone Services. With a vision to establish and sustain a world-class cellular infrastructure and facilitate affordable mobile communication services in India, COAI main objectives are to protect the common & collective interests of its members.

Keeping the mandate given to it, COAI is the official voice for the Indian Cellular industry and on its behalf it interacts with: The policy maker, the licensor, the regulator, the spectrum management associations Objectives of the COAI

agency, the

industry

(telecom

/non-telecom)

To improve standards and competitiveness in the Cellular Industry and attain the status of world class infrastructure. To facilitate affordable mobile telephony services for Indians.

To study the best practices & research of the industry as well as to analyse the Cellular Experience worldwide.

To assist relevant authorities by providing them information about the industry to help them formulate suitable policies for the industrys growth.

To improve standards and quality of services in consultation with GSM India the Indian chapter of the GSM Association.

To maintain and upgrade services in terms of speech transmission, access, coverage, security etc, to enable expansion of cellular services.

To help address problems of cellular operators relating to operational, regulatory, financial, or licensing through

interaction with the Ministry of Communications & IT, Ministry of Finance, Ministry of Commerce, Department of

telecommunications, Telecom Regulatory Authority of India, Financial Institutions etc.

To undertake continuous efforts for customer satisfaction. To dispense information and spread awareness among operators and consumers on issues relating to quality and other value added services provided by the operators to their subscribers.

To help achieve the national objectives of increased teledensity and improved Rural Access.

Members of COAI:

Core members: Name of the member Aircel Limited Region Chennai, Tamil Nadu, West

Bengal, Assam

Orissa, North

East, Jammu & Kashmir, Bhiar, Bharti Airtel Limited Himachal Pradesh Delhi (Metro), Mumbai (Metro), Kolkata (Metro), Chennai (Metro), Andhra Haryana, Pradesh, Himachal Gujarat, Pradesh,

Jammu & Kashmir, Karnataka, Kerala, Madhya & Goa, Pradesh, Orissa,

Maharashtra

Punjab, Rajasthan, Tamil Nadu, UP (West), UP (East), West BPL Cellular Limited Vodafone Group Bengal, Assam, North East, Bihar Mumbai (Metro) Mumbai, Delhi, Kolkata, Chennai, Gujarat, Karnataka, Rajasthan, Andhra Punjab, U.P.( Pradesh, Haryana, U.P.

East),

(West), Kerala, Maharashtra & Idea Cellular Limited Goa, Tamil Nadu, West Bengal Andhra Pradesh, Maharashtra, Gujarat, Madhya Pradesh,Kerala, Haryana, Madhya Reliance Telecom Limited U.P.(W), Pradesh, U.P.(E), Mumbai,

Himachal Pradesh Assam, Bihar, Himachal Pradesh, Kolkata, Madhya Pradesh, North

Spice Communications Limited

East, Orissa, West Bengal Karnataka, Punjab Source CIOU

India poised to be a USD 40 bn - 45 bn telecom market by FY 2010: Telecom sector targets announced by Government of India 250 million subscribers by 2007 500 million subscribers by 2010 20 million broadband subscribers by 2010

Mobile access to all villages with population of more than 1,000 by 2007

BHARAT SANCHAR NIGAM LIMITED

BSNL Type Founded public 19th century, incorporated 2000 Bharat Sanchar Bhawan, Lane, Janpath, New Delhi Kuldeep Goyal (CMD) Telecommunications Wireless Telephone Internet Television US$ 9.67 billion (2007) The Government of India www.bsnl.co.in

Headquarters Harish Chandra Mathur

Key people Industry

Products

Revenue Owner(s) Website

Bharat

Sanchar

Nigam

Limited

(known is It

as a is

BSNL, public India's

India sector largest

Communications telecommunication

Corporation company

Limited) in India.

telecommunication company with, 24% market share as on March 31, 2008. Its headquarters are at Bharat Sanchar Bhawan, Harish Chandra Mathur Lane, Janpath, New Delhi. It has the status of Mini Ratna, a status assigned to reputed public sector companies in India. BSNL is India's oldest and largest Communication Service Provider (CSP).[citation
needed]

Currently has a customer base of 90 million as of

June 2008.[1] It has footprints throughout India except for the metropolitan cities of Mumbai and New Delhi which are managed by MTNL. As mon March 31, 2008 BSNL commanded a customer base of 31.55 million Wireline, 4.58 million CDMA-WLL and 54.21 million GSM Mobile subscribers. BSNL's earnings for the Financial Year ending March 31, 2007 stood at INR 397.15b (US$ 9.67 b) with net profit of INR 78.06b (US$ 1.90 billion). BSNL has an estimated market value of $ 100 Billion. The company is planning an IPO with in 6 months to offload 10% to public in the Rs 300-400 range valuing the company at over $100 billion.

Services BSNL Mobile Prepaid Mobile BSNL Broadband BSNL provides almost every telecom service in India. Following are the main telecom services provided by BSNL:

Universal Telecom Services : Fixed wireline services & Wireless in Local loop (WLL) using CDMA Technology called bfone and Tarang respectively. As of December 31, 2007, BSNL has 81% marketshare of fixed lines.

Cellular Mobile Telephone Services: BSNL is major provider of Cellular Mobile Telephone services using GSM platform under the brand name BSNL Mobile[2]. As of March 31, 2007 BSNL has 17% share of mobile telephony in the country.

Internet: BSNL provides internet services through dial-up connection (Sancharnet) as Prepaid, (NetOne) as Postpaid and ADSL broadband (BSNL Broadband). BSNL has around 50%

market share in broadband in India. BSNL has planned aggressive rollout in broadband for current financial year.

Intelligent Network (IN): BSNL provides IN services like televoting, toll free calling, premium calling etc.

Administrative units BSNL is divided into a number of administrative units, termed as telecom circles, metro districts, project circles and specialized units, as mentioned below: Telecom Circles Metro Districts Andaman & Nicobar Telecom Circle Calcutta Andhra Pradesh Telecom Circle Chennai Assam Telecom Circle Project Circles Bihar Telecom Circle Eastern Telecom Project Circle Chhattisgarh Telecom Circle Western Telecom Project Circle Gujarat Telecom Circle Northern Telecom Project Circle Haryana Telecom Circle Southern Telecom Project Circle Himachal Pradesh Telecom Circle IT Project Circle, Pune Jammu & Kashmir Telecom Circle

Maintenance Regions Jharkhand Telecom Circle Eastern Telecom Maintenance Region Karnataka Telecom Circle Western Telecom Maintenance Region Kerala Telecom Circle Northern Telecom Maintenance Region Madhya Pradesh Telecom Circle Southern Telecom Maintenance Region Maharashtra Telecom Circle

Specialized Telecom Units North East-I Telecom Circle Data Networks North East-II Telecom Circle National Centre For Electronic Switching Orissa Telecom Circle Technical & Development Circle Punjab Telecom Circle Quality Assurance Rajasthan Telecom Circle Production Units Tamil Nadu Telecom Circle Telecom Factory, Mumbai UP(E) Telecom Circle Telecom Factory, Jabalpur UP (W) Telecom Circle Telecom Factory, Richhai Uttaranchal Telecom Circle Telecom Factory, Kolkata West Bengal Telecom Circle Other Units Training Institutions Telecom Stores Advanced Level Telecom Training Centre North East Task Force Bharat Ratna Bhim Rao Ambedkar Institute Of Telecom Training Telecom Electrical Wing National Academy of Telecom Finance and Management Telecom

Civil Wing Regional Telecom Training Centres Circle Telecom Training Centres District Telecom Training Centres Present and future BSNL (then known as Department of Telecom) had been a near monopoly during the socialist period of the Indian economy. During this period, BSNL was the only telecom service provider in the country (MTNL was present only in Mumbai and New Delhi). During this period BSNL operated as a typical state-run organization, inefficient, slow, bureaucratic, and heavily uinionised. As a result subscribers had to wait for as long as five years to get a telephone connection.The corporation tasted competition for the first time after the liberalisation of Indian economy in 1991. Faced with stiff competition from the private telecom service providers, BSNL has subsequently tried to increase efficiencies itself. DoT veterans, however, put the onus for the sorry state of affairs on the Government policies, where in all state-owned service providers were required to function as mediums for achieving egalitarian growth across all segments of the society. The corporation (then DoT), however, failed

miserably to achieve this and India languished among the most poorly connected countries in the world. BSNL was born in 2000 after the corporatisation of DoT. The efficiency of the company has since improved. However, the performance level is nowhere near the private players. The corporation remains heavily unionised and is comparatively slow in decision making and implementation. Though it offers services at lowest tariffs, the private players continue to notch up better numbers in all areas, years after year. BSNL has been providing connections in both urban and rural areas. Pre-activated Mobile connections are available at many places across India. BSNL has also unveiled cost-effective broadband internet access plans (DataOne) targeted at homes and small businesses. At present BSNL enjoy's around 60% of market share of ISP services.[3]

Year of Broadband 2007 2007 has been declared as "Year of Broadband" in India and BSNL is in the process of providing 5 million Broadband connectivity by the

end of 2007. BSNL has upgraded existing Dataone (Broadband) connections for a speed of up to 2 Mbit/s without any extra cost. This 2 Mbit/s broadband service is being provided by BSNL at a cost of just US$ 11.7 per month (as of 21/07/2008 and at a limit of 2.5GB monthly limit with 0200-0800 hrs as no charge period). Further, BSNL is rolling out new broadband services such as triple play. BSNL is planning to increase its customer base to 108 million customers by 2010. With the frantic activity in the communication sector in India, the target appears achievable.

BSNL is a pioneer of rural telephony in India. BSNL has recently bagged 80% of US$ 580 m (INR 2,500 crores) Rural Telephony project of Government of India.[4] On the 20th of March, 2009, BSNL advertised the launch of BlackBerry services across its Telecom circles in India. The corporation has also launched 3G services in select cities across the country. Presently, BSNL and MTNL are the only players to provide 3G services, as the Government is still in the process of auctioning the 3G spectrum to private players.

BSNL has also launched a Entertainment Portal called BSNL Hungama Portal from where subscribers could download contents like music, music videos for free. Only Tamil,Kannada,Telugu & Hindi are provided at present. Hopes are there that the database could be expanded. BSNL charges a fixed monthly subscripton fee for this function. Challenges During the financial year 2006-2007 (from April 1, 2006 to March 31, 2007) BSNL has added 9.6 million new customers in various telephone services taking its customer base to 64.8 million. BSNL's nearest competitor Bharti Airtel is standing at a customer base of 39 million. However, despite impressive growth shown by BSNL in recent times, the Fixed line customer base of BSNL is declining. In order to woo back its fixed-line customers BSNL has brought down long distance calling rate under OneIndia plan, however, the success of the scheme is not known. However, BSNL faces bleak fiscal 20062007 as users flee, which has been accepted by the CMD BSNL.[5]

Presently there is an intense competition in Indian Telecom sector and various Telcos are rolling out attractive schemes and are providing good customer services. Access Deficit Charges (ADC, a levy being paid by the private operators to BSNL for provide service in non-lucrative areas especially rural areas) has been slashed by 37% by TRAI, w.e.f. April 1, 2007. The reduction in ADC may hit the bottomlines of BSNL. BSNL launched 3G services in 11 cities of country in 2nd march 2009.MTNL which operates in Mumbai and Delhi first launched 3G services in these cities.

OBJECTIVE OF STUDY
Todays complex business environment and hence competition makes it mandatory for a company to manage with information. The modern age will go down in the books of history as the age of information revolution. Each and every department, may it be finance, production or human resource needs inputs from the marketing and sales department. Gone are the days of the shooting in the dark. Now the company must be sure what it is forgetting and should have a fair knowledge of the markets and its trends. Today market is customer driven and not product driven. So the

companies have to come out its products to fit in the requirements of the customer. How the company promote his product and his service all of them lie suppose to the as player playing his first inning during the period of our summer training at BSNL we analyzed the customer satisfaction at BSNL and it is most important thing for a any company. If marketing of a company a good then the company can increase their number of customer.
1. Frequency of compliancy in BSNL service centre. 2. Customer point of BSNL how it is working. 3. Response of service personnel at BSNL .

RESEARCH OBJECTIVE
The objective of the research is the following;
1. 2. 3 To test the feedback of the customer. What type of feedback is provided by the service personnel? To note the total problem occurring in the service centre what is the major problems that comes in the service centre. 4 To know the customer satisfaction level of BSNL with other competitors.

CUSTOMER RELATIONSHIP MANAGEMENT INTRODUCTION


The telecommunications market, in the last few years, has seen incredible Technological advancement, which has fueled massive

consumer adoption and brutal competition driven by commoditization. To drive profits in this business, you must increase the average lifetime value per customer and minimize the service cost even as service choices increase. Common to all of our customers in the telecom sector is an abiding belief in delivering the best service to customers by investing in technology that empowers consumers and service agents to have intelligent, productive conversations. In a marketplace where consumers are increasingly aware of their choices, consistent service quality is the foundation of a durable brand. TELECOMMUNICATION SECTOR

Telecommunication sector:

The sector that includes the telecommunications service providers, network operators, regulators, manufacturers, subscribers, and users.

The sector that includes the telecommunications service providers, network operators, regulators, manufacturers, subscribers, and users.

The telecom sector has seen much change during the past two decades. At first, it was the opining up of the equipment manufacturing sector, followed by the corporatisation of the government owned entities, Videsh Sanchar Nigam Limited (VSNL) and Mahan agar Telephone Nigam Limited (MTNL). Subsequently, the sector was opened for private

participation in basic other value added services. The most recent liberalization moves have been the corporatization of the Department of Telecom into Bharat Sanchar Nigam Limited (BSNL) and the privatization of VSNL.

CRM AND THE TELECOM SECTOR

An effective CRM system includes tools such as a skilled customer care staff and leading edge automation and workflow management software platforms. With this tool, it is possible for a telecom company to track sales enquiries, trouble tickets, emails, telephone calls, and customer satisfaction surveys.

INDUSTRY CHALLENGES AND E-GAIN SOLUTIONS

CUSTOMER SERVICE IS KEY TO SALES AND LOYALTY

Telecom, especially mobile telecom, is a highly competitive and increasingly mature market. As network coverage, handsets, and price plans become less important as differentiators, customer service is increasingly seen as the key factor in customer acquisition and customer retention.

INCREASING PRODUCT AND SERVICE COMPLEXITY

Mobile telephony providers face a significant challenge to introduce and support the range of new products and services such as email, multimedia messaging, and synchronization with handheld devices, etc.

Aliant, for instance, has achieved a 17% reduction in call handle time, which is translates to a saving of approximately $ 1.5 million in operating staff expenses.

RESEARCH METHODOLOGY

RESEARCH METHODOLOGY
The marketing research methodology has been defined by so many different authors in so many different ways. The American Marketing Association defines marketing summer training as follows: Study of consumer perception about the BSNL is the function which links the consumers, customers and public to the market through the information information used to intensify and defines marketing opportunities and problems, generate, refine and evaluate marketing actions, monitor marketing performance and improved understanding of marketing as a process. Marketing research specifies the information required to address these issues; designs made for collecting the informations; manages and implements the data collection process; analyses the results; and communicates the findings and their implications. Several characteristics of modern business encourage the use marketing summer training business. Marketing is used during different phases of administrative process: 1. Setting goals and establishing strategies. 2. Developing a marketing plan. 3. Putting the plan into action. 4. Evaluating the plans effectiveness.

DATA COLLECTION
The most important part of any research is collection of data. The task of data collection begins after the research problem has been defined. While deciding about the method of data collection to be used for the study, the research should keep in mind that the data are of two types: Primary Data: Primary may be described as those data that have been observed and recorded by the researchers for the first time to their knowledge, and thus happen to be original in character. Secondary Data: Secondary data are statistics not gathered for the immediate study at hand but for some other purposes. Area of sampling: Basti

Summer training Design There are three types of research Exploratory research Descriptive research Casual research We have used Descriptive research design The basis of my summer training was primary data which I collected from 100 peoples i.e. sample size in the service centre through Questionnaire.

Main Aspects While Preparing Questionnaire


Questionnaire is often considered as the heart of survey operation. It is the method of obtaining specific information about a defined problem so that the data, after analysis and interpretation, results in better appreciation of the problem. Hence great care has to be taken in constructing questionnaire:
1. Form of the Questionnaire: mainly the general form of the

it.

This

requires

studying

main

aspects

of

the

questionnaire

is concerned

it can be either

structured

or

unstructured. The questionnaire preferred by me was structural in nature I preferred this format because all the questions were definite, concrete, and pre-determined, comments in the

respondents own words was held to be minimum.


2. Determine the Type of Question to use: Before working on the

wording of each question, they must decide on type of question to use. There are three main types of questions from least structured to most structured are: Open Questions Multiple questions

Dichotomous.
3. Deciding on Wordings of Question: Wordings of each question

Should be thoroughly examined. Following points should be kept in mind while preparing questionnaire: Define the issue Should the question be subjective or objective Positive or negative statement Use simple words Avoid ambiguous questions Avoid leading questions

4. Decide on Question Sequence: Once the wording has been determined. it is necessary to set them up in some order. The sequence can influence the results obtained. A questionnaire has three major sections: Basic information Classical information Identification Information

I paid proper attention to the wordings of question as well as on the sequence of the questions since reliable and meaningful returns depend

on it, to the large extent. The important steps that I took in choosing the words are as follows: Simple words, which are familiar to all the respondents,

were employed. Words with ambiguous meanings were avoided. Danger words catch words or words with emotional

connotations were also avoided. Caution was exercised in the use of phrases, which

reflect upon the prestige of respondent.

Sampling
When fields study are undertaken in practical life, consideration of time and cost almost invariably lead to a selection of respondents, i.e., selection of only few items. The respondents selected should be representative of the total population as possible in order to produce a miniature cross section. The selected respondents constitute a Sample and the selection procedure is called Sampling Technique. The survey so conducted is known as Sample Survey. It should represent not only the total population characteristics but also the various sub classes of the population. The validity of findings would also

depend upon how people willingly and correctly report of their opinion, attitude, preferences, and favorableness.

Different Types Of Sample Design There are different types of sample designs based on two factors, i.e., the representation basis and the element selection technique. On

representation basis, the sample may be probability sampling or it may be non-probability sampling. On element selection basis, the sample may be either unrestricted selection technique or restricted selection technique. Thus, the sample designs are basically of two types, i.e., non-probability sampling and probability sampling.

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Steps in Sampling Design


While developing a sampling design, the researcher must pay attention to the following points:
1. Type of Universe - The first step in developing any sample design

is to clearly define the set of objects, technically called the universe. The universe can be finite or infinite. In finite universe the number of items is certain, but in case of infinite universe the

number of items is infinite, i.e., we cannot have any idea about the total number of items.

2. Sampling Unit A decision has to be taken concerning a


sampling unit before selecting sample, sampling unit may be geographical one such as state, district, village etc., or a construction unit such as house, flat, etc., or it may be a social unit such as family, club, school etc., or it may be an individual.

3. Source list It is also known as sampling frame from which


sample is to be drawn. It contains the names of all items of the universe (in case of finite universe only). If source list is not available summer training er has to prepare it. It is extremely important for source list to be representative of the population as possible.

4. Size of Sample This refers to the number of items to be selected


from the universe to constitute a sample. The size of sample should neither be extremely large, nor too small. It should be optimum. An optimum sample is one, which fulfills the

requirements of efficiency, representative ness, reliability and flexibility.

5. Parameters of Interest In determining the sample design, one


must consider the question of the specific population parameters, which are of interest. There may also be important sub groups in the population about whom we like to make estimates. All this has strong impact upon the sample design we would accept.

6. Budgetary Constraint Cost considerations, from practical point


of view, have a major impact upon decisions relating to not only the size of the sample but also to the type of sample.

7. Sampling Procedure Finally, the summer training er must


decide the type of sample he will use i.e., he must decide about the technique to be used in selecting the items for the sample. There are several sample designs. Obviously, he must select that design which, for given sample size and for a given cost, has smaller sampling errors.

Limitations

Limitations
1.

Since the feedback of the customers was done through

Questionnaire major limitation was unavailability of customers thus leading to highly low success rate.

2.

Most of the customers were so furious that they refused to part

with any information 3. Time factor

Analysis of data

Analysis of data
Ques 1: Which connection you use in your mobile.

20%

POSTOAID CONNECTION PREPAID CONNECTION 80%

Contents Postpaid connection Prepaid Connection Total

Customer Response 20% 80% 100%

Ques-2

Why did you choose Prepaid or postpaid

10%

11% 42% 37%


Economical Attractive Scheme Like Advertisment None

Contents Economical Attractive Scheme Like advertisement None Total

Customer Response 42% 37% 10% 11% 100%

Ques-3 If you use prepaid connection, which recharge voucher,


you use per month.

25%

18%

Rs 199 Rs 300 Rs 500 Rs 1000 or more

29% 28%

Contents Rs 199 Rs 300 Rs 500 Rs 1000 or more TOTAL

Customer Response 18% 29% 28% 25% 100%

Ques-4 How do you come to know about new scheme of BSNL .

30 25 20 15 10 5 0 Friend Hoidings Tv add News paper Customer care Other source

Contents Friends Holdings TV Add News paper Customer care Other sources Total

Customer Response 21% 15% 29% 28% 9% 1% 100%

Ques 5: how many times do you visit BSNL service centre

90 80 70 60 50 40 30 20 10 0 first time weekly MONTHLY yearly Series1

Contents First time Weekly Monthly yearly Total

Customer Response 80% 4% 6% 10% 100%

Ques 6: What was your satisfaction level after visit of service Centre.

80 70 60 50 40 30 20 10 0 satisfied not satisfied highly satisfied Series1

Contents
Satisfied Not satisfied Highly satisfied

total

Customer Response 70% 10% 20% 100%

QUES7: Do you think BSNL call rates are reasonable?

70 60 50 40 Series1 30 20 10 0 yes no may be

Contents yes no May be Total

Customer Response 58% 22% 20% 100%

Ques8: Do you think BSNL network provides better communication service.

80 70 60 50 40 30 20 10 0 yes no Series1

Contents yes no Total

Customer Response 76% 24% 100%

Ques 9: Do BSNL provides better communication service from it competitors

100 90 80 70 60 50 40 30 20 10 0 yes no may be Series1

Contents yes no May be Total

Customer Response 90% 4% 6% 10%

Ques 10: You said you were treated poorly or rudely. What exactly did BSNL employees do? Please try to describe specific behaviors, if possible.

50 45 40 35 30 25 20 15 10 5 0 put on hold not responsive were discourteous large queue time Series1

Ques

11: Did the SERVICE provided by BSNL people fail to perform as

Contents Put on hold Not responsive Were discourteous Large queue time Total
promise?

Customer Response 44% 12% 24 % 30% 100%

80 70 60 50 40 30 20 10 0 yes no Series1

Contents yes no Total

Customer Response 30% 70% 100 %

Ques12:

Did BSNL employees treat you poorly or rudely?

80 70 60 50 40 30 20 10 0 yes no Series1

Contents yes no Total

Customer Response 24% 76% 100 %

Ques13:

Did some other type of problem happen that we did not mention yet?

70 60 50 40 S eries 1 30 20 10 0 y es no

Contents yes no Total

Customer Response 40% 60% 100 %

Ques14:

Which of the following are priced high by BSNL that prompted you

to cancel your connection in future?

40 35 30 25 20 15 10 5 0 monthly rental air time usage monthly rental of subscription rate for vas recent changes in your budget Series1

Contents Monthly rental for subscriptions Air time usage rates Monthly rental for vas Recent changes in your budget Total

Customer Response 16% 26% 36 % 22% 100%

Ques 15: How much time you have to wait in the service centre?

80 70 60 50 40 30 20 10 0 5_10 10_15 15_20 20_25 Series1

Contents 5_10 10_15 15_20 20_25 Total

Customer Response 6% 14% 56 % 24% 100%

Finding

Findings
1. In my analysis the performance of BSNL is varying because of large problem are arrived and the problem of people is that service centre is not performing the work upto their potential. 2. In my analysis around more then 60% people says that BSNL service is good and rest are people says no comment. 3. BSNL s main competitor is Airtel. While BSNL and Airtel, both are providing same service so it is most important to use more and effective service strategy. 4. BSNL provided its service to its customer when ever they need and also where ever the need with the help of customer cares. 5. In case of telecommunication customer are very choosy and

economical.

Recommendation

Recommendation
During the survey I come to know about some short coming of BSNL. This shortcoming can be removed with the help of following suggestion and help BSNL. In expanding its market through

advertisement and improving its market position.


1. Promotional program conducted b the company should be on

large scale for the customer with improved service centre.


2. Company should increase the personal contact with the

customer because they have some problems that can be solved by the BSNL staff only.
3. For youngsters BSNL

should provide some free services as

like Reliance Infocomm.


4. BSNL should appoint few more celebrities for advertisement.

5. The problem should be solved in service centre and it should be not be time taking.

Conclusion

Conclusion
It is always difficult to measure the effectiveness of service center this is to conclude that the summer training named as Marketing BSNL will be useful for the organization this summer training has been done keeping the constraints and requirements of the BSNL with the help of this summer training it in easy for BSNL to know about the service centre and customer satisfaction level. It can help them to now what their customer wants from them. It will help the organization to know that what more their customer want from them. What are their weaknesses which the organization can improve in order to service centre in order to the services performed there. I tried my best to make this summer training report in spite of that few mistakes in it and I know this thing. So kindly ignore most of the customer are satisfied with their services but wants to switch over a new upgraded service if given an opportunity with additional feature and least risk.

Annexure

Annexure

Questionnaire
Name: Age: Gender: Address: ___________________________________ ________________________________ Male Female

______________________________________ ______________________________________

Mobile No.

______________________________________

Occupation: - a) SERVICE c) STUDENT e)OTHERS d)

b)

BUSINESS

HOUSEWIFE

Ques1: Which connection you use in your mobile. a) Postpaid connection b) Prepaid Ques 2: Why did you choose Prepaid or postpaid.

a) Economical b) Attractive Scheme c) Like advertisement d) None of above

Ques 3: If you use prepaid connection, which recharge voucher, you use per month. a) Rs 199 b) Rs 300 c) Rs 500 d) Rs 1000 or More

Ques 4: How do you come to know about new scheme of BSNL ? a) Through friend or relative b) Through Holdings c) T.V Add d) News Paper e) Customer Care f) Any Other Sources Ques 5: how many times do you visit BSNL service centre A) First time b) Weekly C) Monthly d) Yearly Ques 6: What was your satisfaction level after visit of service Centre?

a) Satisfied b) Not satisfied c) Highly satisfied QUES7: Do you think BSNL call rates are reasonable? A) Yes b) No c) May be Ques8: Do you BSNL network provides better communication service. A) Yes b) No Ques 9: Do BSNL provides better communication service from it competitors. A) Yes b) No c) May be Ques 10: You said you were treated poorly or rudely. What exactly did BSNL employees do? Please try to describe specific behaviors, if possible. d. e. PUT ON HOLD NOT RESPONSIVE

f. g.

WERE DISCOURTEOUS LARGE QUEUE TIME

Ques 11: Now we would like your help in classifying the problem or problems you experienced. For each problem I mention, please answer Yes if the problem applies to you, or no if it does not. a. Did the SERVICE provided by BSNL people fail to perform as promise? YES b. YES c. NO Did BSNL employees treat you poorly or rudely? NO Did some other type of problem happen that we did not mention yet? YES NO

Ques 11. YOU SAID THERE WERE TECHNICAL PROBLEMS THAT BSNL FAILED TO PERFORM OR SOLVE AS PROMISED. WHICH OF THE FOLLOWING PROBLEMS DID BSNL NOT HANDLE EFFECTIVELY? A. I. Product related Faulty handset provided by BSNL YES NO

II. III.

Faulty SIM card provided by BSNL YES Any other Product related problems YES

NO NO

B. Network related I. II. Network connectivity Indoor coverage problem III. IV. V. VI. VII. Outdoor coverage problem Drop calls Voice clarity STD/ISD connectivity problem VAS feature failures YES NO

C. The connection was not activated for a long time 7. You said the SERVICE provided by BSNL people fail to perform as promised. Which of the following service related problems did you experience which BSNL did not handle effectively? A. Frequent barring or disconnection I. Because of credit limit inspite of high usage YES NO

II. Barring for any other reason (Please Specify)

B. Billing and Payments I. Delay in receiving bills II. Delayed postings of payment and subsequent harassment III. IV. Incorrect roaming bill Receiving bill for incorrect mobile No.

V. Receiving incomplete bill C. You said BSNL couldnt or wouldnt handle a need or request. What was your need or request? About customizing the SERVICE in some way? (Please specify)*** D. Was your need or request about an error you made that required BSNL help to fix? YES NO

If Yes what was your need and request. (Please specify)**** E. Was there another request or specific need? YES NO

8. Which of the following are priced high by BSNL that prompted you to cancel your connection? d. Monthly rentals for subscription

e. f. g.

Airtime usage rates Monthly rentals for VAS Recent changes in your budget

9. Now I would like you to consider various amounts of reductions in BSNL prices (First/Next), if BSNL lowered their prices by (insert

amount), would you still be subscribing from BSNL today? d. e. f. g. h. 0% 20% 30% 40% 50% YES NO

10. In what ways did you feel you were spending too much effort in doing business with BSNL ? (PROBE & CLARIFY) IMAGE 11. Now still thinking of Air Tel, please tell me how much you agree with the following statements (Read First Statement Below) would you say that BSNL has A. Large Net work Coverage (Adequate No. of cell sites) a. Agree

b. c. d.

Disagree Neither agrees nor disagrees Dont know B. Cares about its customers a. Agree b. Disagree c. Neither agree nor disagree d. Dont Know

C. a. b. c. d.

Large Dealer Network (Wide Accessibility) Agree Disagree Neither agree nor disagree Dont know

D. Professional Organization a. b. c. d. Agree Disagree Neither agree nor disagree Dont know

13.Are you aware that there are toll free help line numbers available with your Air Tel connection? Yes No

Ques 15: How much time you have to wait in the service centre? a) 5_10 b) 10_15 c) 15_20 d) 20_25

Bibliography

Bibliography

www.BSNL.CO.IN www.google.co.in www.economoicstimes.com www.BSNL .co.in Summer training Metholodgy C.R.Kothari

Marketing Management Philip Kotler Questionnaire