Management part-1

8/14/2019 Management part-1

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Unanimous World of Blues

In The Name Of Allah The Most Beneficent And The Most Merciful

ACKNOWLEDGEMENTS:

We are grateful to Almighty Allah; who blessed us with the

determination in completing the following project. We are thankful to our

instructor Mr. Asif Ayub Kiyani, who helped us in conducting the project.

We appreciate the participation of the groups members who co-operated

a lot in conducting this project. We are thankful to Mr. M.Shafique and

Mr. Ch.M. Asghar (Managers, PTCL); to provide us all relevant

information and helping us in every possible way .we are in great debt to

web organizations, which facilitated us with the required data. Thank you

all.

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DEDICATION:

We dedicate the following project to our Parents, and most

importantly to all group members who worked hard in completion of this

project.

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Preface:

This report is intended for the people who are intended to join the

telecomm industry in future in departments concerning Management and

communication.

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Information:

We visited Islamabad Head quarters (Main office , PTCL) and

customer care services office in Rawalpindi (Bank road,Sadar).

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Abstract:

The project is about the management and communication of

Pakistan TeleCommunication Limited (PTCL) that how PTCL is working

and competing in the industry, our main focus was on SWOT and, PEST

analysis, Management and channels of the communication.

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Executive Summary:

PTCL is restructuring and re-emerging its all departments, it

is forming new departments like Human Resource Department

(RHD), Customer Service Department (CSD), and look forward in

establishing the departments like Research & development

Department (RDD). PTCL is converting the old and urinary file

system network to the digital world of computers and technologies.

It shows their positive attitude towards technological changes and

wishes to lead the telecommunication market.

Although they are facing a lot of threats by the competitors

like Wateen Telecomm, Mobilink, Warid, Telenor, Zong (Paktel),

but still they are fighting the best way they can. PTCL has worked

hard to eliminate its weaknesses and still there are the weak points

,PTCL is trying to overcome those weaknesses.

Mission Statement:

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To be the leading Information and Communication

Technology Service Provider in the region by achieving customer

satisfaction and maximizing shareholders' value'.

Vision Statement:

The future is unfolding around us. In times to come, we will

be the link that allows global communication. We are striving

towards mobilizing the world for the future. By becoming partners

in innovation, we are ready to shape a future that offers telecom

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services that bring us closer.

Chapter number.1

PTCL Historical Background and Company Profile

(1.1) History:

From the humble beginnings of Posts & Telegraph Department in

1947 and establishment of Pakistan Telephone & Telegraph Department

in 1962, PTCL has been a major player in telecommunication in Pakistan.Despite having established a network of enormous size, PTCL workings

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and policies have attracted regular criticism from other smaller operators

and the civil society of Pakistan.

Pakistan Telecommunication Corporation (PTC) took over

operations and functions from Pakistan Telephone and Telegraph

Department under Pakistan Telecommunication Corporation Act 1991.

This coincided with the Government's competitive policy, encouraging

private sector participation and resulting in award of licenses for cellular,

card-operated pay-phones, paging and, lately, data communication

services.

Pursuing a progressive policy, the Government in 1991, announced

its plans to privatize PTC, and in 1994 issued six million vouchers

exchangeable into 600 million shares of the would-be PTCL in two

separate placements. Each had a par value of Rs. 10 per share. These

vouchers were converted into PTCL shares in mid-1996.

In 1995, Pakistan Telecommunication (Reorganization) Ordinance

formed the basis for PTCL monopoly over basic telephony in the country.

It also paved the way for the establishment of an independent regulatory

regime. The provisions of the Ordinance were lent permanence in

October 1996 through Pakistan Telecommunication (Reorganization) Act.

The same year, Pakistan Telecommunication Company Limited was

formed and listed on all stock exchanges of Pakistan.

PTCL launched its mobile and data services subsidiaries in 2001 by

the name of Ufone and PakNet respectively. None of the brands made it

to the top slots in the respective competitions. Lately, however, Ufone had

increased its market share in the cellular sector. The PakNet brand has

effectively dissolved over the period of time. Recent DSL services

launched by PTCL reflect this by the introduction of a new brand name

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and operations of the service being directly supervised by PTCL instead

of Paknet.

As telecommunication monopolies head towards an imminent end,

services and infrastructure providers are set to face even bigger

challenges. Pakistan also entered post-monopoly era with deregulation of

the sector in January 2003. On the Government level, a comprehensive

liberalization policy for telecom sector is in the offing. Last Year, in

middle of 2005 Government of Pakistan had decided to sell at least 26

percent of this company to some private agency. There were three

participants in the bet for privatization of PTCL. Etisalat, a Dubai based

company was able to get the shares with a large margin in the bet.

Last year when Government was going to privatize the company

there was country wide protest and strike by PTCL workers. They even

disrupted Phone lines of some big Government institutions like Punjab

University Lahore and many lines of public sector were also blocked.Military had to take over the management of all the Exchanges in the

country. They arrested many workers and put them behind bars. The

contention between Government and employees ended with a 30%

increase in the salaries of workers.

(1.2) Historical Background:

1947 Posts & Telegraph Dept established

1961 Pakistan Telegraph & Telephone Deptt.

1990-91 Pakistan Telecom Corporation

1995 About 5% of PTC assets transferred to PTA, FAB & NTC.

1996 PTCL Formed listed on all Stock Exchanges of Pakistan.

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1998 Mobile(Ufone)& Internet(PakNet)subsidiaries established.

2000 Telecom Policy Finalized

2003 Telecom Deregulation Policy Announced

2006 Etisalat Takes Over PTCL

(1.3) CURRENT STATUS:

Many big change events are taking place at PTCL, after its

privatization. These include the VSS (Voluntary Separation Scheme for

its employees), ERP (SAP based), restructuring, B& CC (Billing and

Customer Care Software) etc, IPTV (Cable television), DSL (Broad Band

Internet services), Another seemingly minor change was change of brand

identity (logo) that will present PTCL's new face after privatization, with

greater focus on customer satisfaction and bringing about of new

advancements in telecom for Pakistani consumers.

(1.4) Company Profile:

With an employee strength of 65,000 (Regular) and 5.7 million

customers, PTCL is the largest telecommunications provider in Pakistan.

PTCL also continues to be the largest CDMA operator in the country with

0.8 million V-fone customers.

The company maintains a leading position in Pakistan as an infrastructure

provider to other telecom operators and corporate customers of the

country. It has the potential to be an instrumental agent in Pakistans

economic growth. PTCL has laid an Optical Fibre Access Network in the

major metropolitan centres of Pakistan and local loop services have

started to be modernized and upgraded from copper to an optical network.

On the Long Distance and International infrastructure side, the capacity

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of two SEA-ME-WE submarine cable is being expanded to meet the

increasing demand of International traffic.

(1.5) Products and Services:

(1.5.1) Home Services:

Broadband Pakistan (DSL), Calling Card Connectivity, Errors

DialUp Setting, Dialup ,Vfone, E-mail & Browsing, Fixed Line,

IPTV, International Calls, New Packages PTCL ,0900

entertainment, Payphone Phone, Net Phone , Internet, Procedure-

Dowtel Sets, Procedure-Huawei Sets , Procedure-ZTE Sets,

Security Questions, Vfone, Vfone FAQs, Vfone new packages,

Vfone Sales Outlets.

(1.5.2) Business Services:

Analogue Channels, Co-Location, DPLC, DXX, LIT PairSkylink,

TV Transmission, Broadband Pakistan, IP / IPLC, Call Centers,

Calling Cards, Fixed Line, ISDN - BRI, Payphone, Radio

Maritime, Satellite Phone, FAX, Value Added Services, Vfone,

Voice Messaging Service (VMS)

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Chapter number.2

Management styles

(2.1) Introduction:

From the emergence of PTCL till 2006, PTCL was the only

telecommunication company providing the land line telephone services.

PTCL enjoyed the monopoly over the market till 2006; the emergence of

another company Wateen telecom provides land line services. But ptcl

has earned a name, build the trust of the customers, developed the

company from the starch. PTCL introduced a company U-fone as its co

venture and now has provided V-fone (wireless services), and is meeting

all the technolological changes worldwide after its privatization. It has

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become better in provision of services and innovative in introducing new

and new products, every passing day.

(2.2) Management Style at PTCL:

PTCL has got very broad structure in term of span of control. Since

PTCL is the largest telecommunication organization so it has got

wide management levels.

Managers at PTCL are controlling and organization supervising

employees working under it. The procedure of planning in the

company is very traditional and all the planning process takes place

at top level, all the planning related to the companys future or its

progress is made by the directors of the company, for example if

they want to launch a new product or service then this decision of

launching this product and service will be made at top level Only

Top level. Managers plan and they negotiate their plans with

middle level and then finally middle level managers negotiate the

plans with the first line managers and operatives.

Managers are not much

equipped with management

skills. They are making

relations only with their employees and not with the organization. It is the

task of higher level management to formulate the network with other

organizations in the market. As manager; they are giving presentations for

innovation and creativity and improved management to their employees.

But PTCL is very bad at time management. Employers, managers and

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employees often come late.

It is changing organization and learning

organization. They are rigid in some rules.

They are skill focused. Employees are not

trained in the field of management or business.They have done some short courses and

working in PTCL. They were individual

oriented but now they are converting to team orientation. Before there

was no proper feed back channel or evaluation process. Just managers

evaluate others and peers were not evaluating the managers and other

peers. Now PTCL employees are evaluating each other because they are

working as peer to peer and are using 360 degree process after the

restructuring of the organization.

When we visited the organization the Managers were patrolling here andthere to observe their employees and they were talking to their

employees, this shows the free and flexible style of management, so we

may say the managers were very friendly. So there is not any single

Management style, which PTCL is following. They are rather using

contingency approaches according to which they are communicating

indirectly We would see what would happen, or their decision depends

at the situation.

Decision Making is a complex process at PLTCL According to the

companys policy they give responsibility first to the internal

management for any internal problems but they have to inform to his Top

management because all the important decision will be taken by Top

management. The main head office is in Islamabad; so all divisional or

regional managers have to communicate through a proper channel to the

top level management.

As defined earlier, decisions are made at top level of managementand negotiation takes place as shown in the diagram:

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(2.3) Mr. Walid as a CEO of PTCL

Mr.Walid Irshaid as a CEO and President of PTCL says:

I have taken immense pride in assuming the duty as President andCEO of PTCL, which is a great opportunity for me to execute my

responsibilities as a team leader.

To me Pakistan and PTCL are synonymous with an opportunity forgrowth. The potential of this growth is visible to me as it is about

the human capital we have in the form of talented and experiencedemployees. I can assure you that with the traditional dedication

and determination of PTCL workers we will transform this companyinto a world class ICT company.

I am proud of my fellow colleagues who have been leading themarket so far and have been adapting to changing technological

advancements. After the deregulation in the telecom sector ofPakistan, PTCL is now again ready to face new challenges in a

competitive environment.

We are poised to retain our leadership position by giving PTCL anew and improved look. The new colors of the Logo are in contextwith every Pakistanis sense of identity and patriotism; green and

white being the colors of purity and honesty, the colors oftrustworthiness and integrity, the colors of Pakistans flag and the

colors of every Pakistanis passion.

Be assured that PTCL will remain the peoples first choice of communication in the future.

Promising you the best of our services, at all times.

Walid IrshaidPresident & CEO

Mr. Walid Irshaid is the CEO and President of PTCL.

He is also the leading personality of the Tunnel. He is responsible for the each

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and every activity of the Organisation. He not only initiates the every new

activity but also motivates the employees as well.

He uses his personal resources and provides the benefits to the organization.

He has a strict policy for the check and measure. He has an open door policyfor the customers, any one who has any problem he can discuss with him at

any time through a proper channel. He goes to the employees personally for

the monitoring purpose.

He is the disseminator of the company. For example when any customer is

not satisfied with the service or the behavior of the host or other persons He is

the person who faces the media and public while they required him. He has to

handle these persons respectively. He is the disturbance handler and resource allocator of the organization,

this is the reason that why PTCL fired out its old employees which it didnt

need, because company had an over employee rate, they fired out more than

10,000 employees

He negotiates with the staff and employees.

The company has high efficiency and high effectiveness as well. As they areproviding the best facilities in communication services in Pakistan. In response of the

best facilities the number of customers is increasing.

Chapter no.3

Organizational Culture and Environment

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(3.1) Culture

When PTCL was a governmental organization employees were

required to follow extensive rules and regulations. Managers superviseemployers to ensure that there are no deviations. Management was

concerned by high productivity. Work was designed around individuals

and not in teams. But now management encourages and rewards risk

taking and change. Now they are experimenting new technologies. There

are few rules and regulations and job activities are designed in teams.

New and innovative ideas are encouraged. Thats why every second daywe see a new package and technology in introduced in PTCL.

(3.1.1) SEVEN Dimension of Organizational Culture:

PTCL is following seven dimensions of organizational culture. They are

OUTCOME ORIENTED: The manager of the company is only

focusing on how to increase the number of customers. They are

outcome oriented they care about their customers. They focus on

results rather how those results are met. They provide their

customer with every possible package. Managers at PTCL told us

that they choose those employees who work in time by any mean

and it doesnt matter that what way they followed or what was the

procedure of doing it.

PEOPLE ORIENTED: PTCL is people oriented. They take

into account the effects of their decisions on people because

customer is their basic focus and asset.

RISK TAKING AND INNOVATIVE: They believe in risk

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taking. Like the way they commercialized their packages is risk

taking and new technology like IPTV is extremely a risk taking

step.

AGGRESSIVENESS: The aggressive behavior exists among

employees.

TEAM ORIENTED: Work between teams is appreciated.

STABILITY: they are stable and maintain the status quo.

ATTENTION TO DETAIL: The employees are expected to pay

attention to details and they must be precise in their results.

PTCL has developed its culture according to the norms and

traditions laid by the earlier founders of the organization. They are also

following the norms and culture of Pakistan. Their logo, slogans and

language shows their great love and patriotism towards their country, so

they impress their customers in the way, by following the culture of the

country.

Following an innovative culture PTCL in recent few years has

launched so many new services which were never available before, like

IPTV, Broad Band (Internet service), Wireless and Satellite

communication, frequency allocation, customer care services like 0800

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fones and much more.

(3.2) Environment:

(3.2.1) Customers:

Company has customers belonging from all the cultures within the

country and from all the social classes of the society. Therefore almost all

business organizations are taking communication facilities from PTCL,

doesnt matter that they are also customers of the other organizations but

for the land line services they are only using PTCL.

(3.2.2) Suppliers:Donatel , ZTE and Huwai are the suppliers of the company

(3.2.3) Competitors: Wateen Telecom, Warid Telecom , Telenor, Zong,

Mobilink, insta phone are the competitors of the company.

(3.2.4) Pressure Group: Pressure groups include a circle of customers

and governmental and as well as non-governmental organizations.

3.3)PE

ST

ANALYSIS

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PTCL

Gov and

NGOs

People and

ORGS

ZTE ,Hawai

ect

Mobilink,

wateen etc


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Pest analysis:

Pest analysis consists of political, economic, social and

technological issues.

Political issues:

The political condition of the country greatly effects the

organizations who are conducting business in that country. If there

is political instability in any country then the foreign countries are

reluctant to conduct business in that country. As far as our country

is concerned, we know that political instability exists here, as we

went there,there was a strike going on. As the governments change

very quickly in Pakistan, so it has negative effect on PTCL.

Foreign countries are not making any investment in PTCL.

Economic issues:

Further economic conditions also effects the business conditions in

the country. If the economical conditions are good, then the

government makes investment in that organization but as far as

PTCL is concerned, there is no such investment by the government

and this organization is now privatized.

Social issues:

Social issues are concerned with the social norms of that country.

As far as PTCL is concerned, their culture is in accordance with the

social values of the country like when we dial their help line, theoperator says ASSLAM-O-ALIKUM while there is no such

regard in any other country.

Technological issues:

PTCL is adapting new and new technology day by day. They are

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satisfying their customers by providing new packages and their

new packages definitely involves new technology for example with

the help of IPTV (which is their new package) they are providing

200 TV channels. Similarly PTCL VMS, VFONE, DSL,

SKYLINK (SATTELITE COMMUNICATION SERVICE FOR

OPERATORS AND CORPORATE CUSTOMERS) they all are

having new technology.

Chapter Number.4

Organizational Structure

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(4.1) PTCL Organizational Structure:

Though PTCL has been changing its structure or we can say it is

redeveloping its structure. Before the structure of the organization

was rigid and now they are innovative and changing their structure of

the organization with new and emerging technologies, like they are

now using computers and so number of employees has been reduced

and they have replaced old ordinary file system with new digital file

system, building structure was very out worn but now they are using

new style of furniture and having latest construction styles.

WORK SPECIALIZATION: In PTCL work is specialized around

teams and individuals. There is division of labor.

DEPARTMENTALIZATION: Every department has its own

organizational chart besides there is only one president. They have

different departments like product department and HRM.

CHAIN OF COMMAND: They somewhat had chain of command.

There is continuous line of authority.

CENTRALIZATION: Though it is privatized yet there exists

centralization.

SPAN OF CONTROL: Managers control a lot of employees. This

is a drawback of their miss management but may be this could be

their strength.

They have matrix and project structure that is work is specialized

among teams and when a project starts they assign specialists from other

departments to complete the project. Since two years has passed from its

privatization it organizational structure has changed it is a learning

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organization. Apart from this PTCL is dynamic organization.

Organisational Structure Diagram

Chapter number.5

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SWOT(Strengths,Weaknesses,Opportunities and

Threats)analysis:

SWOT Analysis:

Swot stands for strength, weaknesses, opportunities and threats.

Now here we see all these aspects of PTCL.

Strength:

1. The strength of PTCL is that they are satisfying their customers

by using new technologies, adapting new ways, providing new

packages.

2. They have made large capital expenses on network

improvement to stay competitive.

3. Theirlocal service revenue is ok; paying bills through phone is

a commendable startand they have vast infrastructure and real

estate assets, which can be leveraged further.

4. Their Global connectivity reliability has been improved. PTCL

is expanding the long distance and infrastructure side through

spreading out two SEA-ME-WE submarine cables.

Weaknesses:

1.Similarly, they have weaknesses as well.

2. They do not use their own resources instead depends upon others

as they have sold their 26% share to Etisalat.

3.In addition, there are risk factors in their projects. VOIP use is

increasing despite their ambiguous and discriminatory polices, this

will eat into its profit.

4. Paknet, the Internet service provider arm of PTCL continues to

incur losses due to poor management and lack of network

optimization.

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Management part-1

Documents

Transcript of Management part-1