Total Quality Management (Project on quality of PTCL)

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IT Project Pakistan Telecommunication Limited numl Group members Roll no Waqar yunis (G.l) iu-3346 Abdul wahab iu-3321 Burhan akram iu-3335 Kashif saeed iu-3323 1 | Page

Transcript of Total Quality Management (Project on quality of PTCL)

IT Project

Pakistan Telecommunication Limited

numl

Group members Roll no

Waqar yunis (G.l) iu-3346

Abdul wahab iu-3321

Burhan akram iu-3335

Kashif saeed iu-3323

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IT Project

Submittet to : Sir Asadmalik

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DEDICATION

We would like to thank our Respected Lecturer Sir. Asad Malik who

was always there to help and guide us when we needed help.

Working under him was an extremely knowledgeable and enriching

experience for us. We are very thankful to him for all the value

addition and enhancement done to

me. No words can adequately express my overriding debt of gratitu

de to my parents whose support helps me in all the way. Above all

I shall thank my friends who constantly encouraged and blessed me

so as to enable me to do this work successfully

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IT ProjectACKNOWLEDGEMENT

 “To Him belongs the dimension of the

Heavens and the earth, it is He who gives Life

and death and He has power over all things.”

(Al-Quran)

All acclamation to Allah who has empowered and enabled us to

accomplish the task successfully. First of all we would like to

thank our Allah Almighty who really helps us solving in every

problem during the project. We would like to express our sincere

and humble gratitude to ALLAH almighty who ‟s Blessings, help and

guidance has been a real source of all our achievements in

our life. We would like to admit that we completed this project

due to parents who pray for our success. And we would like to

acknowledge all our work to our parents and friends who guided

to accomplish this never forgetting task. Last but not the least

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IT Projectour team efforts, support, cooperation and encouragement showed

by each members in with each other.

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IT ProjectEXECUTIVE SUMMARY

This project is about management affairs and management hierarchy

and Quality of PTCL. PTCL is the largest and solely line based

communication system in Pakistan. The purpose of this project is

to practically know about all the aspects of management of PTCL.

This is a report on PTCL(Pakistan Telecommunication

Company Limited). This assignment is assigned to us by Sir Asad

Malik. In this report there is a detailed introduction of the

PTCL and its top management , middle management and lower

management and their functionality as well services.

V fone

PAK Net

Smart Services

We also discussed its financial aspects in which we took the

analyzed is liquidity and its profitability position. We got

information about PTCL business strategies, Motivations

procedures and its internal and external

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IT Projectresources and departmentalization,(engineering finance, and also

the HR department of the PTCL. It also includes the functions of

HRM e.g. selection, training and development, motivation ,

maintenance and other functions of HR department. At the end of

this project we have written down the SWOT analysis of PTCL

Company and HR department

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IT ProjectRESEARCH METHODOLOGY

The research techniques that are adopted for the purpose of this

study are as follows:

Primary Data Collection

Formal Interviews

Informal Interviews

The formal interviews include people from the top management and

the informal interviews included people from middle and lower

management.

Secondary Data Collection

Internet Research

(www.ptcl.com.net.pk)

Newspaper

Reference book and other literature

LIMITATION

One of the major limitation while carrying out this project

was the lack of the cooperation on the part of management of the

PTCL in providing the data regarding the company and its policies

issues.

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INRODUCTION TO TELECOM INDUSTRY

Since the independence of Pakistan, basic telecom services were

being provided by a monopolist, previously called as Telephone

and Telegraph department (T&T). The department was being run by

the government and played multiple roles as regulator, policy

maker, operator and service provider in the country. The T & T

department was later converted into a corporation. Although the

corporation was earning huge profits from the services, it was

re-investing the same profits into the sector for the provision

of more telecom service but the investment was not enough.

Further, with the technological advancement, more and more

telecom services were becoming available but there was not

enough money available with the corporation to install new

telecom systems for the provision of modern services.

Resultantly, a digital divide prevailed in Pakistan keeping it

behind its neighbors and other comparable countries in terms of

telecom access. The Telecom Sector has contributed 2 percent

towards the overall GDP growth with revenues of over PKR 235bn

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IT Project PAKISTAN TELECOMMUNIUCATION COMPANY LIMITED

Introduction

Pakistan Telecommunication Company Limited (PTCL) is a

megacorporation and a leading telecommunication authority in

Pakistan. The corporation provides telephonic and internet

services nation-wide and is the backbone for country's

telecommunication infrastructure despite arrival of a dozen other

telecommunication corporations, including Telenor Corps and China

Mobile Ltd. The corporation manages and operates around ~2000

telephone exchanges across the country, providing the largest

fixed line network. Data and backbone services such as GSM, CDMA,

Broadband Internet, IPTV, wholesale are an increasing part of its

business.

Originally one of the state-owned corporations (SOEs), the share

holding of the PTCL has been reduced to ~62%, when 26% of shares

and control was sold to Etisalat Telecommunications and the

remaining 12% to the general public in 2006 under an

intensified privatization programme of Prime minister Shaukat

Aziz. However, the 62% shares are still remains under the

management of government-ownership of state-owned corporations

(SOEs) of Pakistan.

With employee strength of 35,000 and 5.7 million

customers, PTCL is the largest telecommunications provider in

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IT ProjectPakistan. PTCL also continues to be the largest CDMA operator in

the country with 1.1 million V-fone customers. Pakistan

Telecommunication Company Limited (PTCL) is proud to be

Pakistan’s most reliable and largest converged services carrier

providing all telecommunications services from basic voice

telephony to data, internet, video-conferencing and carrier

services to consumers and businesses all over the country.

PTCL is the largest telecommunications provider in

Pakistan. 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 Pakistan’s economic growth. PTCL has laid

an Optical Fiber Access Network in the major metropolitan centers

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 of

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

increasing demand of International traffic.

With the promulgation of Telecommunication (Re-

Organization) Act 1996, the Pakistan Telecommunication Authority

was established as the Telecom Regulatory body. Following the

open licensing policy in BUY @ PKR 45.40 accordance with the

instructions of Government of Pakistan and in exercise of powers

conferred by Pakistan Telecommunication (Re-Organization) Act

1996, the basic telephony was put under exclusivity and PTCL was

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IT Projectgiven a seven years monopoly over basic telephony which ended by

December 31, 2002. The year 2006-07 in the telecom sector

witnessed a phenomenal growth in the mobile phone sector in

Pakistan, which doubled its subscriber base to 60 million. The

Tele density increased from 26% to 40%, helping to spread the

benefits of communication technology across the country. PTCL's

mobile phone subsidiary Ufone's subscriber base grew by more than

87%, from 7.49 million to 14 million.

The year also witnessed the entry of major telecom

companies, most notably China Telecom and SingTel, into the

market. Restructuring and re-engineering are in their final

stages along with the implementation of ERP system. From the end

customer's perspective, a major initiative was put in place in th

e shape of 'Broadband Pakistan'service launch as a first step

towards providing its customer with more value added service and

convenience. The company also continued to invest in

infrastructure development and addition of network capacity with

a view to enhance services and to expand its reach across the

country.

Vision:

The PTCL Training and Development wing will be a center of

excellence in training services and consulting that works in

close partnership with its internal/external clients to build

competencies that achieve business goals.

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IT ProjectMission Statement:

To achieve our vision by having:

An organizational environment that fosters

professionalism, motivation and quality.

An environment that is cost effective and quality

conscious.

Services that are based on the most optimum

technology.

“Quality” and “Time” conscious customer services.

Sustained growth in earnings and profitability.

Core Values:

Professional Integrity Customer Satisfaction Teamwork Company Loyalty

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IT ProjectHISTORY OF PTCL

From the humble beginnings of Posts & Telegraph Department in

1947 and establishment of Pakistan Telecommunication Company

Limited, to this very day, ours is a story of commitment and

vision.

PAKISTAN POST & TELEGRAPH (P&T)

The postal and telecommunication services were performed by a

single department known as Pakistan Post & Telegraph (P&T). This

department started its telephone service with only 12346

telephone lines and seven telegraph offices all over Pakistan.

This department continued its business up to 1962. The Government

of Pakistan adopted the Government of India Telegraph act 1885 to

control and direct the activities of telecommunication.

PAKISTAN TELEGRAPH AND TELEPHONE DEPARTMENT (T&T)

Pakistan Telegraph and Telephone Department inherited a small

telecommunication network consisting of only 12,000 lines in

1947. It was the sole Department responsible for providing

telecommunication facilities to whole country. In fact postal

services were also included in its responsibilities. The Pakistan

Postal Department was separated from Pakistan Telegraph and

Telephone Department in the year 1962. Like all other field of

newly born nation, there was no established system of

telecommunication, available in the country. However the present

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IT Projectsystem, as well as new installations was managed by the T&T quiet

efficiently.

PAKISTAN TELECOMMUNICATION CORPORATION (PTC)

The erstwhile Telegraph and Telephone (T&T) Department was

converted into a Statuary Corporation on 15-12-1990. It has its

own legal identity totally separated from Government of Pakistan.

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IT ProjectRE-STRUCTURING OF PTC

The P.T.C. was further segregated into four separate units in

1996.

1. P.T.C.L.

2. P.T.A. 

3. N.T.C.

4. F.A.B

PAKISTAN TELECOMMUNICATION COMPANY LIMITED (PTCL)

PTCL was incorporated on December 31st 1995 and

commenced business on January 1st 1996. The idea behind this was

to provide better services to its customers. This was established

to undertake the telecommunication business formally carried

out by Ex-PTC. It was responsible for carrying out all kinds of

telecommunications activities in the country. It was required to

look after the existing telecom installations and their

automation and development. It was also to undertake development

program in telecom field. All properties, assets, obligations and

liabilities of PTC were accordingly transferred to the PTCL on

the January 01 1996.

P.T.C.L. is a prestigious organization and telecom

services in the country are getting better and better, since its

incorporation.

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IT ProjectPAKISTAN TELECOM AUTHORITY (PTA)

Pakistan Telecom Authority (PTA) was established in 1996.

It falls under the preview of Government of Pakistan.

It issues licenses to various companies for carry out certain

activities. This authority is responsible to monitor the

establishment of telecom related firms, companies, the import of

telecom equipment’s etc. in the country. It is a regulatory body

formed to accomplish rules and regulations relating to the

telecommunication matters.

NATIONAL TELECOM CORPORATION (NTC)

It has been established for installation of

telecommunication facilities to the Governmental organizations. A

portion of working lines was initially transferred to N.T.C. from

the P.T.C.L. but now they have established

their network. They are totally independent in providing

telephones connections, their look after and generation of

revenue there from.

FREQUENCY ALLOCATION BOARD (FAB)

This organization has been established to allocate Radio and

Wireless telecom frequencies to various organizations/companies

within the country. The latest development in this regard is that

F.A.B. is establishing Monitoring Stations in order to check the

validity and legality of the utilization of circuits.

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IT Project

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IT ProjectNATURE OF BUSINESS

Pakistan Telecommunication Company Limited (PTCL) was

incorporated in Pakistan on December 31, 1995 and is listed on

Karachi, Lahore and Islamabad stock exchanges. It was established

to undertake the telecommunication business firmly carried on by

Pakistan Telecommunication Corporation (PTC). The business was

transferred to the company on January 1, 1996 under the Pakistan

Telecommunication (Reorganization)Act, 1996 at which date PTCL

took over all the properties, rights, assets, obligations and

liabilities of PTC except those transferred to National

Telecommunication Corporation(NTC) , Frequency Allocation Board

(FAB), Pakistan Telecommunication Authority(PTA) and Pakistan

Telecommunication Employees Trust (PTET). The company commenced

business on January 1, 1996. The registered office of the company

is situated at Block-E, PTCL Headquarter, G-8/4 Islamabad.

Pakistan Telecommunication Company Limited (PTCL) is the

main provider of Telecommunication services in Pakistan. It owns

and operates a substantial part of the telecommunication

facilities and provides domestic and international telephone

services and other communication facilities throughout Pakistan

PTCL’S SUBSIDIARIES

Pak Telecom Mobile Limited (PTML)

PTML is a wholly owned subsidiary of PTCL established to

operate cellular Telephony under the brand name of UFONE.

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IT ProjectThe company’s performance during the current year has been very

encouraging despite the stiff competition in Pakistan’s cellular

market especially after the emergence of two new international

players in the last quarter of the year. Throughout the year,

UFONE pursued a growth strategy and managed to almost double its

revenue compared to last year. The company successfully increased

UFONE‟s market share from 16% to 22%, a significant achievement.

On June 30, 2007 the total number of subscribers of UFONE was 4.6

million versus 2.8 million at the same year.

During the year PTML successfully launched its Phase-IV network

expansion project costing more than US$ 160 million. UFONE

now covers more than 200 cities and towns,

Pak net Limited

The fully owned subsidiary of PTCL owns the largest ISP

network spread over2,900 cities/locations with 43 POPs. It has

extensive data transmission capabilities but has been incurring

losses due to poor business orientation and excessive overheads.

During the year Paknet recorded sales revenue of PRs. 213.9

million, which is 19% loser than last year. The company posted a

loss of PRs. 42.2 million vs. a loss of PRs. 111.5million last

year.

PTCL as the sole shareholder of Paknet is highly

concerned with the poor performance of this subsidiary and is

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IT Projectcurrently undertaking a strategic review of this ISP subsidiary

of determine the future course of action.

In spite of these subsidiaries there are following product lines.

Fixed Telephone ( Analog & Digital)

DSL ( Digital Subscriber Line)

IN Products (Pre-Paid Cards, Calling Cards, Apna Das Calling

Card, Phone Bill Card etc.)

PTCL Wireless.

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IT ProjectBrief introduction about competitors of PTCL:

There is no close competitor of PTCL in landline but with thegrowth of

telecommunication industry of Pakistan competition increasingspecially in mobile

phone sector. In total there are more then 800 millionsubscribers of mobile phone.

There are 03 big players in mobile phone industry but 3 of themare the competitor of PTCL:-

Mobilink Telenor Warid Tel

Mobilink

Mobilink is a largest mobile phone company of Pakistan. Mobilinkis currently having

more then 31,958,597 users base which is the 36% of totalcellular industry of Pakistan.

Mobilink is basically competing Ufone which is subsidiaries ofPTCL.

Telenor

Telenor is another cell phone company it have 17,841,074subscribers which is 20 % of total mobile industry.

Warid Tel

22 | P a g e

IT ProjectWarid tel is also providing cell phone facilities in Pakistan.Warid tel having more then15,114,678 subscribers which is 17% ofPakistan mobile industry.

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IT ProjectProducts of PTCL

PSTN Line (Landline):

PTCL have the largest Copper infrastructure spread over

every city, town and village of Pakistan with over million

installed lines.

The network has over 6 million PSTN lines installed across

Pakistan with more than 3 million working. Furthermore installed

capacity of broadband is approximately 1.4 million ports spread

across the cities and towns of the country During the year under

review, various initiatives were undertaken to encourage enhanced

usage of landline with emphasis on new subscriber acquisition as

well as retention of existing subscriber base. These initiatives

entailed incentives in the form of customized call plans, value

added services and a vast range of affordable packages.

For international outgoing traffic, rates with 30 second

billing to 20 destinations world-wide facilitated the subscribers

to make international calls at most economical prices.

Introduction of mobile call rates allowed the subscribers to call

from fixed line to any mobile network in Pakistan on discounted

rates. Revision in the Pakistan-Plus Package offered free nWd

minutes and conference call facility at a nominal fixed monthly

charge.

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IT Project Special promotions and offers were developed for ramadan,

hajj, Christmas, eid and new Year including provision of free

telephone sets for new connections in the holy month of Ramadan.

EVO:

EVO wireless broadband is all about conveniently connecting

you to fast mobile wireless broadband Internet access. EVO is

sleek and stylish USB device, which delivers the web wherever you

are; at blazing 3G speeds; at home on your desktop or on the move

on your laptop.

V-Fone:

PTCL Vfone is a superior phone connection with advanced

features like Internet, caller ID, speaker phone, address book

etc that lets you connect wirelessly to the whole world. Getting

your Vfone connection is simple--- visit any of our Franchise

outlets, One Stop Shops or Customer Service Centers and get a

Vfone connection/telephone, just by filling a customer agreement

form, attaching NIC copy and by paying the required fee. 

Smart TV:

A PTCL digital multi channel Television service that

delivers television programs to households via a broadband

connection using the Internet Protocol (IP) technology. The

service requires subscription and Customer Premises Equipment

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IT Project(CPE). An IP-based platform allows the TV service to be ‘smarter’

than the traditional broadcast and cable TV services, by making

the TV viewing experience more interactive and personalized.

Time Shift Television (TSTV)

Time Shift Television is an exciting feature that allows viewers

to playback live TV channels at any time they want. So when the

viewer misses an important part of a movie, a play or a sporting

event, he can view it by ‘rewinding’ that particular channel

(displaying the symbol), watching the missed part and then coming

back to live action. This function is available to the TV viewers

for the first time in Pakistan and only through the PTCL Smart TV

service.

VoD (Video On Demand)

Video on Demand is a service that provides end users to

interactively request and receive videos. VoD permits a customer

to select a program from a catalogue using EPG (Electronic

Program Guide). The play out of the selected movie starts nearly

instantaneously on the customer's TV. A film that is chosen, for

example, will be available for multiple viewing during 24 hours

without any extra charge.

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IT ProjectNVOD (Near Video On Demand)

NVoD is another exciting feature working like a community TV

Channel. A number of channels are allocated for NVoD. Popular or

recently released movies and programs are played on NVoD channels

and are available to all Smart TV viewers. Difference between VoD

& NVoD is that VoD is a personalized service catering only to

individual needs, on payment whereas NVoD is like community

cinema available to all Smart TV customers at no extra cost. In

case of NVoD channels, customer feedback plays a pivotal role in

content selection

VMS (Voice Mail Service)

PTCL is pleased to bring to you, Voice Mail Service with

additional and more innovative features. In this service, a

comprehensive IVR guides the callers to deposit the voice/Fax

messages with much more ease. Now PTCL is offering Fax-to email,

Voice-to-email, kehdo SMS and Missed call alert service under VMS

along with advance feature of remote access.

When you do not pick/answer your phone then after pre-

selected number of ringers, the call is automatically forwarded

to VMS. Therefore, you are not disturbed even if you are at home

but are busy in social engagements. You can leave messages or

retrieve messages 24 hours a day, 7 days a week by dialing 1277. 

The messages can be retrieved whenever you like to do so and

from anywhere you want.

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IT Project

DSL Broadband:

The largest and the fastest growing Broadband service in

Pakistan, PTCL Broadband is making great positive changes in the

lives of millions of people living in the country. Serving over

1.2 million satisfied customers in over 2000 cities and towns

across Pakistan, PTCL has brought revolutionary efficiency and

effectiveness in all segments of the society, be it the rural or

the urban. Since its launch on 19th May 2007, all PTCL Broadband

packages are designed for users to experience high-speed internet

access with unmatched reliability, affordability and connectivity

all at the same time.

A limited time offer for 1MB subscribers to upgrade

to 2MB speed at same rate was successful as many such subscribers

continued with 2mB package after the expiry of the promotion.

Students were further facilitated through increase in voice

minutes and waiver of line rent on “Student Bundle Package” with

a nominal increase in the price. Further, Introduction of 4Mbps

broadband speed with only 25% price increase as compared to 2

Mbps speed prompted a sizeable number of existing subscribers to

upgrade to 4 Mbps.

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IT ProjectSWOT Analysis

Strengths:

Largest operational network and infrastructure within ICT

(Information &Communication Technologies) segment.

An integrated Monopoly

Large Earning

Customer base of more then 4 millions

Market leadership in Local loop, Wireless local loop (WLL)

and fixed telephony.

PTCL (Ufone) is market challenger in GSM segment29 | P a g e

IT Project Ufone is performing well though Warid and Telenor are tough

competitors.

PTCL, Ufone‟s profitability increased by 49.2 percent to

Rs 977 million in1H/FY07 as compared to Rs 655 million in the

corresponding period last.

Competitors still depend on PTCL network either directly or

indirectly.

Experienced Telecom Resources.

Weaknesses

Government Organization

Lack of customer focus

Lack of aggressive marketing

Ambiguous Management style

Lack of corporate culture

Opportunities

Growth in telecommunication Sector

More aware and technology understanding

Market open for more number of products

Introduce High Value Added Products

Time to establish brand loyality

Threats

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IT Project Exposure to Market Competition

Migration to cellular network

Ability to attract & retain Quality Professional

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IT Project

Quality Assurance:

PTCL Company strives to ensure continuous delivery of

quality services to its customers. Towards this end, all the

facets involved in provisioning of products and services are

thoroughly checked for quality aspects. Key performance

indicators (KPIs) relating to operations of all network elements,

be it Access network, Switching network or Transmission network,

are constantly reviewed and improved. As a result of the

continuous vigilance, two million copper lines were made

broadband enabled during the year thus increasing the capacity

using internal resources. Similarly, all the processes involved

in implementation and operation of newly-introduced application

of Customer Relationship Management (CRM) to further facilitate

the provisioning and fault rectification in an efficient manner

were thoroughly reviewed to comply with respective standards

before its launch.

SMS Complaint Service

As part of PTCL efforts to provide superior customer care and

achieve highest level of customer satisfaction by offering

convenient channels of interaction to their customers, PTCL is

offering complaint registration through SMS from their cell

phones with the following objectives. 

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IT Project     Provide a swift complaint registration channel to our

Landline and Broadband customers

    Elimination of customer wait time at our call centers

for complaint registration

5 easy steps for SMS complaint:

    Step 1 type :        CMP     Step 2 type :        Area code and landline number     Step 3 type :        Product code

(For Landline: LL  For Broadband: BB)

    Step 4        :        Send to 05 1218 1218     Step 5        :        Receive complaint registration

number e.g., type    :        CMP 042 3586 XXXX BB

                                   ORSimply type “HELP” and send to 05 1218 1218

Customer Care:

During the year, customer facilitation was further improved by

simplifying customer related processes with easy access provided

to customers at all touch points i.e. Web, Walk-in channels,

Phone-in channels and Knock-in channels.

CRM (Customer Relationship Management) solution was

successfully launched in all regions countrywide, further

enabling your Company to meet the customer demands more

effectively. PTCL has developed customer feedback channels

through which customers are contacted to capture their

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IT Projectexperience with PTCL on regular basis under “Voice of Customer”

initiative. The activity helped to retain customers through

effective win-back initiatives.

During the year, various banks were engaged to provide

on-line real-time updates of bill collection over bank counters.

The initiative will be instrumental in instant restoration of

phones disconnected because of nonpayment. The arrangement is in

addition to already available channels of OSS and PCPM (Public

Cash Payment Machines) in this regard.

Telecommunication Company Limited (PTCL) in its endeavor

to provide its valued customers quality care and support being a

responsibility befitting Pakistan’s national carrier is focusing

on renovating its one stop shops across the country taking the

initiative from Karachi city.PTCL gives high priority to customer

care and the One Stop Shop’s were established with the goal of

facilitating PTCL valued customers in every type of service

related assistance such as billing adjustments, fault

rectification, new service requests, duplicate bills, billing

payments, all under one roof .

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IT Project

Challenges and Way Forward PTCL is the only unified service provider in

Pakistan, able to serve all the customer segments including

consumers, small and medium enterprises, corporates,

multinationals and other telcos with a comprehensive portfolio of

products, with committed service levels and a seamless quality of

experience.

35 | P a g e

IT Project PTCL understands the transformation of global telecom

sector from Minutes to Bytes. PTA’s plans to issue licenses for

third-generation (3G) mobile telecom services bring in a

challenge and an opportunity for PTCL. To cater to the need of

time, PTCL have invested heavily in infrastructure and technology

sector and is in the process of transforming its microwave

backhaul to IP technology to meet high bandwidth requirements of

3G/4G networks.

Pakistan is one of the fastest developing markets for branchless

banking in the world. A variety of business models is emerging

that involves a wide range of players, including mobile network

operators (mnOs), technology partners and other associated

businesses. Banks want to add mobile channel to their existing

options for payment. PTCL and its subsidiary, Ufone are ready to

grab this opportunity by providing communication infrastructure

that integrates banking, telecom operators, consumers and agents

in a cohesive network with the goal of providing uniform banking

services across the spectrum.

Product Bundles offer a real opportunity for PTCL not only for

retention but for customer’s acquisition by up selling and cross

selling. PTCL is becoming more customer focused in developing and

offering attractive bundles catering to various segments

FuturePlans:

Keeping in view the growth potential of the cellular

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IT Projectindustry there is no option but to be aggressive in order to

remain a potent force in the cellular industry. In order to

extend cellular network to new cities, towns and highways and

enhance its current installed capacities in existing cities,

Ufone has finalized a huge network expansion contract amounting

to about USD 550 million, which will enhance the subscribers’

capacity by 10 million. This is the largest ever expansion

project of Ufone A strong focus will be on maintaining high

quality of service, which is always a benchmark of Ufone,

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IT Project

The distribution of PTCL is quiet simple because the aim of the company is to make every activity more easy for their valued customers. As the Diagram depicts that they rely on directly salepoint or indirectly sales point.

In directly sale point the company give service to customers through their exchanges

In indirectly sale point the company gives services to their franchise where franchisee supply to the sub dealer and these sub dealer provide these services to end consumer.

38 | P a g e

IT ProjectMarketing Department:

Marketing Department is called a revenue-generating department of

an organization. Marketing Department undertakes market research

and gives feedback to management about customers needs and wants

on the basis of which, products and services are developed and

positioned to give value to the customers. Thus Marketing

department of an organization plays a pivotal role in its

business development, growth & expansion.

So we will move in the pattern describe below:-

Marketing strategy of PTCL

Market segmentation of PTCL

Marketing mix of PTCL

Promotional strategy of PTCL

Marketing Strategy of PTCL

For understanding the marketing department work flow and its

function we must have clear picture of the PTCL’s marketing

strategy. For developing clear understanding of marketing

strategy of PTCL there is no one line statement or clear vision

of marketing department so we have to move

traditionally .Classically, Marketing has been all about the

“four P’s”: Product, Place, Price and Promotion. The marketer

identifies a target market, defines the product and Pricing to

39 | P a g e

IT Projectappeal to this market and a strategy to deliver the product to

the market. Thus the marketer is the steward of the value

proposition, ensuring that the firm is delivering maximum value

to its customers.

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IT ProjectMarketing Strategy

Normally, a marketing strategy identifies the target markets, the

desired position in each market and the marketing mix that will

persuade those target markets to part with their money. Market is

targeted through market segmentation. Segmentation can be done on

four types i.e. Demographic Segmentation (age, gender,

race/ethnicity, household type, home ownership, education,

employment, income etc.), Geographic segmentation. Positioning

oneself by product can do positioning differentiation,

positioning by product usage, positioning against a particular

competitor, positioning against an entire product category,

positioning by association and positioning by problem, Marketing

Mix includes P’s i.e. Product, Price, Promotion and place.

TARGET MARKET

PTCL’s 80% revenue comes from just 20% customers, who are

corporate customers and other big and small business

organizations. The main focus of PTCL marketing efforts is on

retaining and satisfying that 20% chunk of key customers at any

cost. For this purpose, PTCL is now established Corporate

Customer Services Centers in major cities to take care of these

vital customers. Apart from these important customers, PTCL

targets general public and other small business companies for

sale of its landline telecom services like telephone, fax,

Internet, as well as other services like CLI, VMS, and Digital

Facilities etc.

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IT ProjectMarketing Mix

Pricing Strategy:

Being a government organization, PTCL is not authorized to

determine the prices of its products itself, the Telecom

Regulator Authority viz. Pakistan Telecommunication Authority

(PTA) fixes the prices of telecom services. The process is such

that whenever PTCL intends to increase or reduce the rates of its

services, it submits its Proposal to PTA for approval. PTA then

calls consumers’ representatives, journalists and other

interested groups for discussion on the proposal. After listening

to the viewpoints of all the interested parties, PTA gives its

decision. If PTA approves PTCL’s proposal, the new rates are

enforced. It may be mentioned here that telecom technology is

only.

43 | P a g e

IT ProjectFinancial Performance:

Your Company’s financial performance was remarkable during the

twelve months under review. With 20% growth in revenues on annual

basis, gross profit for the year increased by 41%. Main

contributor for the growth was broadband segment with 88%

increase in the subscriber base of ‘EVO’, the wireless broadband

and 30% enhancement in subscribers’ base of the wireline

broadband services. Profitability.

Revenues:

During the year, growth in PTCL Group revenues of

Rs.131.2 billion was 11% per annum. PTCL’s revenues of Rs. 81.1

billion increased by 20% on yearly basis mainly on account of

robust performance of Broadband segment as well as increase in

international business.

2011-12

PTCL Group revenue at Rs. 110.8 billion for the year 2011-12 was

8% higher as compared to the previous year. PTCL’s revenue for

the year was Rs. 60 billion showing an increase of 9% compared to

last year revenue. Of this, revenue from Broadband segment showed

a noteworthy growth of 58%. Revenue from Corporate Services and

International Incoming calls also registered 12% and 8% increase

respectively compared to previous year.Competition from cellular

operators, however, kept the voice revenues slightly lower than

last year

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Profitability:

For the period under review, PTCL Group's profit after tax was

Rs. 1.2 billion incorporating PTCL's loss after tax of Rs. 0.754

billion. This loss was due to one-time cost of Rs. 9.5 billion on

account of Voluntary Separation Scheme (VSS) implemented with the

objective to optimize the human resources in line with current

business needs.

Operating Costs:

Through effective cost control measures and

discounting the cost effect of voluntary separation scheme (VSS)

implemented last year, the annual increase in total operating

cost of Rs. 109.3 billion for PTCL Group during the year was 10%

thus successfully withstanding the inflationary pressures,

continued devaluation of Pakistani currency and increasing energy

cost. On the same basis, annual increase in PTCL’s operating

expenses was 11%. Of these, the cost of services of Rs. 53.1

billion increased by 11%, administrative and general expenses of

Rs. 9.1 billion increased by 10% and selling and marketing

expenses of Rs. 2.9 billion increased by 16% annually. Salaries,

allowances and other benefits; foreign operators’ cost and

satellite charges; depreciation on property, plant and equipment;

fuel and power and store, spares and loose tools consumed were

the main constituents of the operating expenses.

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Corporate Social Responsibility:

To uphold the high standards of corporate ethics and

values of social responsibility, the Corporate Social

Responsibility (CSR) Policy of PTCL focuses on areas of

education, health, environment, employee welfare and special

needs. In accordance with the CSR policy, numerous projects were

undertaken during the year detailed in succeeding paragraphs.

To provide help to victims of 2011 devastating floods, a

donation of Rs. 50 million was made by PTCL Group in Prime

Minister Flood Relief Fund. For this purpose, the cheques were

presented to the President of Pakistan by CEOs of PTCL and Ufone.

Further, medicines worth Rs. 3.1 million were provided to flood

affecter in Sindh through the medical camps established by PTCL.

Your Company’s Mobile Medical Units routinely visit the

country’s rural areas where no proper medical facilities are

available. The objective of these visits is to provide general

OPD facilities and medical assistance not only to PTCL employees

and their families but also to the local communities at large.

Also, PTCL provided medical equipment worth Rs. 9.7 million to

the Federal General Hospital located in suburbs of Islamabad. A

blood donation campaign in collaboration with Pakistan Red

Crescent Society and jamila Sultana Foundation (affiliated with

Thalassemia International Federation)

was also conducted to support thalassemia patients.

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IT Project An assistance of rs. 2.3 million was extended to Pakistan

Bait-ul-maal’s nationwide ‘Pakistan Sweet homes’ project that

provides quality housing and education to nearly 3,000 orphaned

children across Pakistan.

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IT ProjectMain Features at PTCL:

Providing 24/7 call center and technical support.

Calling customers and getting their feedback.

Providing personalized account detail that customer’s could

chould chek at any time.

Online complaint registeration system

Online billing and payment option.

Recommendation:

PTCL should immediately change it finance upper level

hierarchy

The system of E-Payment which although exist in PTCL finance

system but there is need of improvement this facility.

The cash generated from the operation should be used

accordingly

The process of hiring and compensation should be based on

merit and no reference

In every decision that relates to the organization is the

duty of upper level to take the credibility of their

employees.

The threats of job security for old and experienced

employees should eliminated and promotion should be based on

experience.

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