Project in Brief

Organizations: Mobilink
(A study of the Planning & Strategy)

Subject: Principles of Management

Submitted to: Sir Abrar Ahmad

Undertaken by: Naeem Akthar

Raja Naeem
Usman Malik
Wali Sherazi
Muneeb Ahmad

Batch: MBA 1

Dated: 5th December 2006

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 Acknowledgement

First of all, we would like to thank Almighty Allah for granting us the wisdom and
knowledge to do this project.

We express our sincere gratitude to our teacher Sir Abrar Ahmad who inculcated the
basics of Management that guided us all through our work.

We would like to extend our special thanks to Mr. Faraz, (HR, Mobilink) for lending us
his support and providing us with all the valuable information in due course of time.

The account of acknowledgement will remain incomplete if we do not express our

sincere appreciation, indebtedness and gratitude to our parents. They have always been a
source of encouragement for us.

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 ABSTRACT

Man in his natural psychological state wants or needs to interact with other people; it’s
his inborn desire. As the world is progressing towards a faster and a quicker pace,
communication now is of vital importance. In today’s world, time is money and with
efficient and less time consuming communication, money is being saved.

In the complex and ever growing world of communication, cellular technology is of great
importance. It surely shrinks the world as it is in true sense “global”. Our report is about a
major cellular company that provides a global access in the world of communication. It’s
Mobilink. This report contains in depth analysis of company’s structure, strategies and
culture for the past one decade.

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 TABLE OF CONTENTS

CHAPTER 1 PLANNING

1.1. PLANNING
1.1.1 Goals
1.1.2. Strategies or Activities
1.1.3. Objectives
1.1.4. Tasks
1.1.5. Resources

1.2 Basic Overview of Typical Phases in Planning

1.2.1. Reference Overall Singular Purpose or Desired Result from System

1.2.2. Take Stock Outside and Inside the System
1.2.3. Analyze the Situation
1.2.4. Establish Goals
1.2.5. Establish Strategies to Reach Goals
1.2.6. Establish Objectives along the Way to Achieving Goals
1.2.7. Associate Responsibilities and Time Lines with Each Objective
1.2.8. Write and Communicate a Plan Document
1.2.9. Acknowledge and Celebrate Accomplishment of the Plan

1.3 Guidelines to Ensure Successful Planning and Implementation

1.3.1. Involve the Right People in the Planning Process

1.3.2. Write down the Planning Information and communicate it widely
1.3.3. Goals and Objectives Should Be SMARTER
1.3.3.1. Specific
1.3.3.2. Measurable
1.3.3.3. Acceptable
1.3.3.4. Realistic
1.3.3.5. Time frame
1.3.3.6. Extending
1.3.3.7. Rewarding
1.3.4. Build in Accountability
1.3.5. Note Deviations from the Plan and Re-plan Accordingly
1.3.6. Evaluate Planning Process and the Plan
1.3.7. Recurring Planning Process is at Least as Important as Plan Document
1.3.8. Nature of the Process Should Be Compatible to Nature of Planners
1.3.9. Critical

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CHAPTER 2 INTRODUCTION

2.1 Introduction

ABSTRACT........................................................................................................................3

1.1 INTRODUCTION.................................................................................17
1.2 RESEARCH METHODOLOGY........................................................17
1.2.1 PRIMARY DATA COLLECTION..........................................................................................17
12.2 SECONDARY DATA COLLECTION.......................................................................................18
1.3 LIMITATIONS.....................................................................................18
MOBILINK.......................................................................................................20
2.1.1 INTRODUCTION..............................................................................................................20
2.1.2 MOBILINK’S MISSION....................................................................................................22
2.1.3 MOBILINK’S VISION......................................................................................................22
2.1.4 PRODUCTS....................................................................................................................23
2.1.5 VALUE ADDED SERVICES...............................................................................................23
2.1.6 NETWORK COVERAGE....................................................................................................24
2.1.7 SALES STRATEGY..........................................................................................................24
2.1.8 ACHIEVEMENTS.............................................................................................................25
2.1.9 DEPARTMENTS AND THEIR RESPONSIBILITIES.....................................................................25
2.1.9.1 Government relations.............................................................................................25
2.1.9.2 Customer Services.................................................................................................25
2.1.9.3 Call Centre.............................................................................................................26
2.1.9.4 Support Centers......................................................................................................26
2.1.9.5 Service Centre / CLUB 300...................................................................................26
2.1.9.6 CS Connect............................................................................................................26
2.1.9.7 Information Technology /Billing...........................................................................27
2.1.9.8 Administration.......................................................................................................27
2.1.9.9 Finance...................................................................................................................27
2.1.9.10 Procurement.........................................................................................................28
2.1.9.11 Internal Audit.......................................................................................................28
2.1.9.12 Engineering..........................................................................................................29
2.1.9.13 HR........................................................................................................................29
2.1.10 OPERATIVE GOALS......................................................................................................30
......................................................................................................................30
2.1.11 MOBILINK -ORGANIZATIONAL CHART............................................................................32
2.1.12 CULTURE...................................................................................................................37
2.1.12.1 Terminal Value....................................................................................................37
2.1.12.2 Instrumental Value...............................................................................................37
2.1.12.3 Values..................................................................................................................37
2.1.12.3 .1 Trust & Integrity..............................................................................................37
2.1.12.3.2 Commitment to Total Customer Satisfaction...................................................38
2.1.12.3.3 Respect for People............................................................................................38

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2.1.12.3.4 Passion for Business Excellence.......................................................................38
...........................................................................................................................................38
2.1.12.3.5 Responsible Corporate Citizen.........................................................................38
3.1 MOBILINK...........................................................................................40
3.1.1 ANALYSIS: STRUCTURE..................................................................................................40
3.1.1.1 Differentiation & Integration.................................................................................40
3.1.1.2 Centralization and Decentralization.......................................................................40
3.1.1.3 Standardization And Mutual Adjustment..............................................................40
3.1.1.4 Organic & Mechanistic Structure..........................................................................41
3.1.2 ANALYSIS: STRATEGY....................................................................................................41
3.1.2.1 Corporate Level Strategy.......................................................................................41
3.1.2.1.1 Joint Promotional Agreements With Various Organizations..............................43
3.1.2.2 Business Level Strategy.........................................................................................43
3.1.2.2.1 Advertising..........................................................................................................44
3.1.2.2.2 Distinctive Product Features...............................................................................44
3.1.2.2.3 Exceptional Service............................................................................................44
3.1.2.2.4 New Technology.................................................................................................44
3.1.2.2.5 Low Cost Strategy...............................................................................................45
3.1.2.3 Functional Level Strategy......................................................................................45
3.1.2.3.1 Human Resource Management...........................................................................45
3.1.2.3.2 Sales and Marketing...........................................................................................46
3.1.2.3.3 R & D..................................................................................................................46
3.1.3 ANALYSIS: CULTURE.....................................................................................................46
4.1 MOBILINK.................................................................................................48
APPENDIX..................................................................................................49
QUESTIONNAIRE.....................................................................................................................49

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1 Planning

Planning typically includes use of the following basic terms.

NOTE: It's not critical to grasp completely accurate definitions of each of the following
terms. It's more important for planners to have a basic sense for the difference between
goals/objectives (results) and strategies/tasks (methods to achieve the results).

1.1.1 Goals

Goals are specific accomplishments that must be accomplished in total, or in some

combination, in order to achieve some larger, overall result preferred from the system,
for example, the mission of an organization. (Going back to our reference to systems,
goals are outputs from the system.)

1.1.2. Strategies or Activities

These are the methods or processes required in total, or in some combination, to achieve
the goals. (Going back to our reference to systems, strategies are processes in the
system.)

1.1.3. Objectives

Objectives are specific accomplishments that must be accomplished in total, or in some

combination, to achieve the goals in the plan. Objectives are usually "milestones" along
the way when implementing the strategies.

1.1.4. Tasks

Particularly in small organizations, people are assigned various tasks required to

implement the plan. If the scope of the plan is very small, tasks and activities are often
essentially the same.

1.1.5. Resources (and Budgets)

Resources include the people, materials, technologies, money, etc., required to

implement the strategies or processes. The costs of these resources are often depicted in
the form of a budget. (Going back to our reference to systems, resources are input to the
system.)

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1.2 Basic Overview of Typical Phases in Planning

Whether the system is an organization, department, business, project, etc., the basic
planning process typically includes similar nature of activities carried out in similar
sequence. The phases are carried out carefully or -- in some cases -- intuitively, for
example, when planning a very small, straightforward effort. The complexity of the
various phases (and their duplication throughout the system) depends on the scope of the
system. For example, in a large corporation, the following phases would be carried out in
the corporate offices, in each division, in each department, in each group, etc.

NOTE: Different groups of planners might have different names for the following
activities and groups them differently. However, the nature of the activities and their
general sequence remains the same.
NOTE: The following are typical phases in planning. They do not comprise the
complete, ideal planning process.

1.2.1. Reference Overall Singular Purpose ("Mission") or Desired Result from

System

During planning, planners have in mind (consciously or unconsciously) some overall

purpose or result that the plan is to achieve. For example, during strategic planning, it's
critical to reference the mission, or overall purpose, of the organization.

1.2.2. Take Stock Outside and Inside the System

This "taking stock" is always done to some extent, whether consciously or

unconsciously. For example, during strategic planning, it's important to conduct an
environmental scan. This scan usually involves considering various driving forces, or
major influences, that might effect the organization.

1.2.3. Analyze the Situation

For example, during strategic planning, planners often conduct a "SWOT analysis".
(SWOT is an acronym for considering the organization's strengths and weaknesses, and
the opportunities and threats faced by the organization.) During this analysis, planners
also can use a variety of assessments, or methods to "measure" the health of systems.

1.2.4. Establish Goals

Based on the analysis and alignment to the overall mission of the system, planners
establish a set of goals that build on strengths to take advantage of opportunities, while
building up weaknesses and warding off threats.

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1.2.5. Establish Strategies to Reach Goals

The particular strategies (or methods to reach the goals) chosen depend on matters of
affordability, practicality and efficiency.

1.2.6. Establish Objectives along the Way to Achieving Goals

Objectives are selected to be timely and indicative of progress toward goals.

1.2.7. Associate Responsibilities and Time Lines with Each Objective

Responsibilities are assigned, including for implementation of the plan, and for
achieving various goals and objectives. Ideally, deadlines are set for meeting each
responsibility.

1.2.8. Write and Communicate a Plan Document

The above information is organized and written in a document which is distributed

around the system.

1.2.9. Acknowledge and Celebrate Accomplishment of the Plan

This step is frequently forgotten, which can lead to increasing frustration and skepticism
on the part of those people who are responsible to carry out the plan.

1.3 Guidelines to Ensure Successful Planning and Implementation

A common failure in many kinds of planning is that the plan is never really
implemented. Instead, all focus is on writing a plan document. Too often, the plan sits
collecting dust on a shelf. Therefore, most of the following guidelines help to ensure that
the planning process is carried out completely and is implemented completely -- or,
deviations from the intended plan are recognized and managed accordingly.

1.3.1. Involve the Right People in the Planning Process

Going back to the reference to systems, it's critical that all parts of the system continue to
exchange feedback in order to function effectively. This is true no matter what type of
system. When planning, get input from everyone who will responsible to carry out parts
of the plan, along with representative from groups who will be effected by the plan. Of
course, people also should be involved if they will be responsible to review and
authorize the plan.

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1.3.2. Write down the Planning Information and communicate it Widely

New managers, in particular, often forget that others don't know what these managers
know. Even if managers do communicate their intentions and plans verbally, chances are
great that others won't completely hear or understand what the manager wants done.
Also, as plans change, it's extremely difficult to remember who is supposed to be doing
what and according to which version of the plan. Key stakeholders (employees,
management, board members, funders, investor, customers, clients, etc.) may request
copies of various types of plans. Therefore, it's critical to write plans down and
communicate them widely.

1.3.3. Goals and Objectives Should Be SMARTER

SMARTER is an acronym, that is, a word composed by joining letters

from different words in a phrase or set of words. In this case, a
SMARTER goal or objective is:

1.3.3.1. Specific:

For example, it's difficult to know what someone should be doing if

they are to pursue the goal to "work harder". It's easier to recognize
"Write a paper".

1.3.3.2. Measurable:

It's difficult to know what the scope of "Writing a paper" really is. It's
easier to appreciate that effort if the goal is "Write a 30-page paper".

1.3.3.3. Acceptable:

If I'm to take responsibility for pursuit of a goal, the goal should be

acceptable to me. For example, I'm not likely to follow the directions of
someone telling me to write a 30-page paper when I also have to five
other papers to write. However, if you involve me in setting the goal so
I can change my other commitments or modify the goal, I'm much
more likely to accept pursuit of the goal as well.

1.3.3.4. Realistic:

Even if I do accept responsibility to pursue a goal that is specific and

measurable, the goal won't be useful to me or others if, for example,
the goal is to "Write a 30-page paper in the next 10 seconds".

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1.3.3.5. Time frame:

It may mean more to others if I commit to a realistic goal to "Write a

30-page paper in one week". However, it'll mean more to others
(particularly if they are planning to help me or guide me to reach the
goal) if I specify that I will write one page a day for 30 days, rather
than including the possibility that I will write all 30 pages in last day of
the 30-day period.

1.3.3.6. Extending:

The goal should stretch the performer's capabilities. For example, I

might be more interested in writing a 30-page paper if the topic of the
paper or the way that I write it will extend my capabilities.

1.3.3.7. Rewarding:

I'm more inclined to write the paper if the paper will contribute to an
effort in such a way that I might be rewarded for my effort.

1.3.4. Build in Accountability (Regularly Review Who's Doing What and By

When?)

Plans should specify who is responsible for achieving each result, including goals and
objectives. Dates should be set for completion of each result, as well. Responsible parties
should regularly review status of the plan. Be sure to have someone of authority "sign
off" on the plan, including putting their signature on the plan to indicate they agree with
and support its contents. Include responsibilities in policies, procedures, job descriptions,
performance review processes, etc.

1.3.5. Note Deviations from the Plan and Re-plan Accordingly

It's OK to deviate from the plan. The plan is not a set of rules. It's an overall guideline.
As important as following the plan is noticing deviations and adjusting the plan
accordingly.

1.3.6. Evaluate Planning Process and the Plan

During the planning process, regularly collect feedback from participants. Do they agree
with the planning process? If not, what don't they like and how could it be done better?

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In large, ongoing planning processes (such as strategic planning, business planning,
project planning, etc.), it's critical to collect this kind of feedback regularly.
During regular reviews of implementation of the plan, assess if goals are being achieved
or not. If not, were goals realistic? Do responsible parties have the resources necessary to
achieve the goals and objectives? Should goals be changed? Should more priority be
placed on achieving the goals? What needs to be done?
Finally, take 10 minutes to write down how the planning process could have been done
better. File it away and read it the next time you conduct the planning process.

1.3.7. Recurring Planning Process is at Least as Important as

Plan Document

Far too often, primary emphasis is placed on the plan document. This
is extremely unfortunate because the real treasure of planning is the
planning process itself. During planning, planners learn a great deal
from ongoing analysis, reflection, discussion, debates and dialogue
around issues and goals in the system. Perhaps there is no better
example of misplaced priorities in planning than in business ethics. Far
too often, people put emphasis on written codes of ethics and codes of
conduct. While these documents certainly are important, at least as
important is conducting ongoing communications around these
documents. The ongoing communications are what sensitize people to
understanding and following the values and behaviors suggested in
the codes.

1.3.8. Nature of the Process Should Be Compatible to Nature of

Planners

A prominent example of this type of potential problem is when

planners don't prefer the "top down" or "bottom up", "linear" type of
planning (for example, going from general to specific along the
process of an environmental scan, SWOT analysis,
mission/vision/values, issues and goals, strategies, objectives,
timelines, etc.) There are other ways to conduct planning.

1.3.9. Critical -- But Frequently Missing Step -- Acknowledgement and Celebration

of Results

It's easy for planners to become tired and even cynical about the planning process. One
of the reasons for this problem is very likely that far too often, emphasis is placed on
achieving the results. Once the desired results are achieved, new ones are quickly
established. The process can seem like having to solve one problem after another, with
no real end in sight. Yet when one really thinks about it, it's a major accomplishment to
carefully analyze a situation, involve others in a plan to do something about it, work

13
together to carry out the plan and actually see some results. So acknowledge this --
celebrate your accomplishment!

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Organizations: - Mobilink

IQRA UNIVERSITY
ISLAMABAD

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CHAPTER NO 1
“Introduction”

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1.1 INTRODUCTION

Today, the telecommunications industry is exposed to fierce competition. National and

geographical borders no longer coincide with those of telecommunications. The same
products and services are developed and offered in a number of different countries.
Since, the invention of telephone as a medium of communication, the telecommunication
has been growing by leaps and bounds. Competition among different firms has led to
creative and innovative solutions regarding the usage of phones all over the world.
Mobile phones is one such creation, in this regard, that had taken the telecommunication
industry to new heights.

Therefore, keeping the importance of mobile industry in mind, we have chosen a mobile
company as our focus of study i.e. Mobilink.

A multinational, Mobilink was incorporated in 1990 in Pakistan as a private limited

company and subsequently commenced operations in 1994.Since then, it has been
expanding enormously and has successfully captured a major market share in Pakistan
despite of the tight competition.

We would be particularly focusing on the organizational structures, strategies and

organizational culture of this organization. In the upcoming chapters we have given a
brief history of the both organization and a little detail about its products and services.
Then, we have presented our findings in three phases i.e. 1995-2000-2005.on the basis of
our findings we have done our analysis and in the end we have recommended few
changes in all aspects related to our study.

1.2 RESEARCH METHODOLOGY

The research techniques that are adopted for the purpose of this study are as follows:

1.2.1 PRIMARY DATA COLLECTION

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 1 Formal Interviews
2 Informal Interviews
The formal interviews include people from the top management and the informal
interviews included people from middle and lower management.

12.2 SECONDARY DATA COLLECTION

1 Internet search
2 Newspapers
3 References books and other literature
4 Annual reports of the organizations
We have tried to attain the maximum authentic and complete information regarding both
companies.

1.3 LIMITATIONS

One of the major limitations while carrying out this research was the lack of cooperation
on the part of the management of the Mobilink in providing the data regarding the
company and its policies.

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Chapter No 2
“Findings”

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MOBILINK

2.1.1 INTRODUCTION

Mobilink GSM (PMCL), a subsidiary of Orascom Telecom, is the market leader in

providing state-of-the-art communications solutions in Pakistan. Mobilink is the first
cellular service provider in Pakistan to operate on a 100% digital GSM technology.
Mobilink GSM started operations in the year 1994 from Lahore .In those early stages of
wireless telephony; Mobilink offered only postpaid services with no specific brand name.
Until year 2000, three firms catered to a tiny market size of less than 300,000 users.
Mobilink’s cellular operations had suffered a serious set back when mobile services were
suspended in Karachi for a couple of years during 1995 -1997 due to law and order
concerns. Due to these foreign firms with cellular holdings, Motorola in Mobilink and
Cable & Wireless in Paktel, lost interest in the Pakistani market and sold out their shares.
Orascom Telecom, an Egyptian company bought Mobilink’s shares and got involved in
operations in April 2001. A fourth operator – Mobilink, a subsidiary of the incumbent
land-line monopoly PTCL, started its cellular services in 2000. The same year, a major
change was introduced in the market by implementing Calling Party Pays (CPP) tariff
structure and the sector has witnessed explosive growth ever since.

In April 2001 Mobilink launched its postpaid services under the umbrella of Veterans,
who have observed the growth of the cellular industry from its dawn in the mid 90’s seem
to be little bewildered. In 2004 alone the industry doubled from 5 million in December
2003 to reach 10 million in December 2004.

On February 18, 2004 Mobilink underwent a great communication evolution from being
Pakistan’s largest cellular company to Pakistan’s favorite cellular family. This vision
brought with it a new logo and introduced new corporate colors, which were a dynamic
and balanced combination of indigo and platinum. Platinum represents the unprecedented
investment in technology and infrastructure. While the indigo symbolizes the new vision
of connecting the subscribers in every aspect of life.

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Mobilink has succeeded in gaining 1000000 users in 2005. Mobilink with a 63 % market
is expected to grow even further in the coming future.

Mobilink has a workforce of over 4100 employees. Mobilink is concentrating on

expanding itself in the same market. It targets its products to two types of markets. One is
the corporate market and the other is the general market. The products aimed at product
market are Blackberry, GPRS, WAP and the products aimed at general market are Voice
based cell phones.

People at Mobilink believe that their Research & development department is its core
competence along with their workforce i.e. their employees. Mobilink is basically a
customer-oriented company and it always comes up with new features and products. It
surveys the markets and modifies its products according to the requirements and
preferences of its customers. Mobilink has relatively rapid product development
processes that allow for timely updating and release of new products. It was the first
cellular company in Pakistan, which started working on 100% GSM technology.
At the end of the year 2005, Mobilink crossed its target of reaching up to 10 million
customers. At this achievement, all the employees at Mobilink got a month’s salary as
bonus in December 2005.

Mobilink has recently done a partnership with Citibank. They introduced a Mobilink
Citibank credit card for their employees. Moreover, an online banking system has also
been started with the collaboration of Citibank. In January 2006, Telenor and Mobilink
also had a joint venture regarding the MMS sharable service.

The people work in teams at Mobilink and people move to different departments to
provide their expertise as the need arises. The employees are usually made to move
among and work in the different departments. Such rotations give the employees more
opportunities to learn. The HR department is located at the head quarters. The finance
and technology departments are partially centralized whereas marketing is fully

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decentralized. All the people have specific job descriptions. This particular step was
taken when actually Ufone entered into the market. Before that, Mobilink was going very
strong as it had the major market share and but as other competitors came in it had to
struggle to maintain its market share. Initially after its establishment it had almost all the
functions working from one place but as they grew they spread their functions to all the
major cities of Pakistan. Employees at Mobilink are always a part of the company’s
decision-making process and they are considered to be a ‘partner’ in the business. The
employees also enjoy a lot of free services that Mobilink offers.

The calculation of bonus in Mobilink is done based on Performance &

Recommendations. This Information is sent from the Supervisor, routed through the head
of the department & Chief Officer of that Department. The Chief Officer forwards the
proposal to the VP Human Resources. The Human Resources Department makes a
summary of the information and presents it to the President for Approval.

2.1.2 MOBILINK’S MISSION

“To be a superior communication service company in Pakistan which provides the

best value to its customers, employees, business partners and shareholders.”

2.1.3 MOBILINK’S VISION

“To be the leading Telecommunication Services Provider in Pakistan by offering

innovative Communication solutions for our Customers while exceeding
Shareholder value & Employee Expectations “

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2.1.4 PRODUCTS

Mobilink offers both Pre-paid and Post-paid services.

They offer tariff plans that are exclusively designed to cater to the communication needs
of a diverse group of people, taking into account occasional users to businessmen. To
achieve this objective, they offer both postpaid (Indigo) and the prepaid (JAZZ) services
to their customers.

Jazz is an amazing prepaid service that allows freedom from monthly bills and gives
complete control over the customer’s cellular expenditure. The user can decide in
advance when and how much he wants to spend. He can load a scratch card whenever he
wants to and start talking. Jazz is simple, easy and loads of fun.

In addition to providing advanced voice communication services, they also offer a

number of value added services to their valued subscribers.

Indigo is positioned on family platform, offering a wide range of products catering to

different needs. It comprises of a range of packages depending upon the usage levels such
as indigo initial and indigo 400 supplementary packages combine postpaid life style with
economical rates.

Call and Control is a hybrid product that offers prepaid convenience and postpaid control
and is suited for high-end prepaid users.

2.1.5 VALUE ADDED SERVICES

 GPRS  Dedication Services

 Mobilink Mustt Services  Power Tools
 SMS Messaging  Mail Services
 Power Tools  Info Services
 Chat Services  IVR Ring tones/Logos

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  On Call Services  Mobile Banking
 Missed Call Alerts

2.1.6 NETWORK COVERAGE

During the last five years, Mobilink has set up one of the largest cellular networks in the
country. Currently, they are covering 413 cities. This has involved an investment in the
company of more than US$ 1 Billion. They have 14 Switches and more than 2,500 cell
sites.

The network coverage is divided into three main categories according to the geographical
location of the cities in Pakistan.
These regions include:
1. North
2. Central
3. South

The coverage type of their service is divided into three main categories, which are as
follows:

1. Physical Presence (Mobilink has physical infrastructure in the area)

2. Indoor Spillover Coverage (High coverage level in adjoining area)
3. Outdoor Spillover Coverage (Medium coverage level in adjoining area)

2.1.7 SALES STRATEGY

Mobilink is the first cellular operator to introduce the “franchise “concept in the cellular
industry in Pakistan and currently operates the largest franchise network in Pakistan with
over 250 franchises/national distributors (dealers operated service centers). In order to
extend its reach even further, Mobilink worked with its franchisees to develop a network
of over 500 sub dealers, these operate as point of sales (POS) and are branded “Mobilink
Connect”. Each franchisee is adequately equipped to process sales, collect bills and offer

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customer services. All franchises have trained sales and service staff fully capable of
tackling sales challenges.

2.1.8 ACHIEVEMENTS

 ISO 9002 Quality Management System Certification for Billing, Engineering

Departments and CS Contact Center
 Implementation of a full Intelligent Network (IN) platform from Siemens for the
prepaid platform.
 Biggest Call Center in Pakistan, which is there to assist the customers 24 hours.
 Bilateral-roaming agreements signed with 100 countries around the world to have
true roaming service operational in 151 operators of the world.
 Mobilink GSM's Short Message Service Center allows Vehicle Tracking and
Fleet Management services that are being provided by Tracker (Pvt.) Ltd., under
the brand name of C-Track, a company licensed by Pakistan Telecom Authority
(PTA). Tracker currently operates from Karachi but can provide these facilities at
all those locations where GSM coverage is available.

2.1.9 DEPARTMENTS AND THEIR RESPONSIBILITIES

2.1.9.1 Government relations

 Implements Government Policies for Cellular Operators.

 Submits Subscriber Data to Concerned Organization.
 Verifies Subscriber Information Through PTA/ Police.
 Coordinates with Government Agencies.
 Coordinates with PTCL on Network Issues.

2.1.9.2 Customer Services

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 Process Performance monitoring.
 Training.
 Incentive Program.
 Quality Management

2.1.9.3 Call Centre

 24 hrs Self-Serving Interactive Voice response.

 24 hrs Product/ Account Information.
 Welcome Calls to New Customers.

2.1.9.4 Support Centers

 Centralized Back Office for CS.

 Responds to Countrywide Correspondence.
 Report Generation for Customer Related Statistical Analysis.

2.1.9.5 Service Centre / CLUB 300

 Customer Query Handling/Resolving Walk in Problem.

 Personalized Service to High Profile & Corporate Customers.
 Generation of New Leads.

2.1.9.6 CS Connect

 Coordination between CONNECT outlets and MOBILINK for CS related

problems.
 Compliance of CS Policies by all CONNECT Outlets.

26
2.1.9.7 Information Technology /Billing

 Networking.
 Operating Systems.
 Software Development.
 Resource Applications.
 Network Security.
 Billing.
 Connection of Location’s Through Radio Links.

2.1.9.8 Administration

 Maintenance of Offices.
 Maintenance of Building.
 Office Security.
 Travel Arrangements.
 Stationery Requisition/ Printing and Provision.
 Courier Services
 Looking After Legal & Corporate Affairs.
 Janitorial Services.
 Vehicle Maintenance.
 Event Management.

2.1.9.9 Finance

 Processing of all Connections.

 Vetting & Processing of Sales
 Facilitation of Sales through Daily Support.
 Vetting & Verification of Potential Customers.

27
  Control Inventory.
 Improve Cash Flow Through Prompt Bill Collection.
 Blocking.
 Enhance Credit Limits.
 Collections.

2.1.9.10 Procurement

 Nationwide Market Search for Available Renowned Vendors.

 Quality & Standard Analysis of the Product Being Provided by Different Vendors
 Sample Matching & Timely Delivery
 Cost Analysis of the Product.
 Negotiation on all Procurement & Acquisitions.

2.1.9.11 Internal Audit

 Creation of a strong control environment by evaluating the business process of the

Company
 Identify areas for improvement.
 Making cost effective recommendations.
 Identification and plugging of exposures that could result in perpetration of fraud
by employees, users of Company mobile phone and other services and business
partners.
 Ensuring that every second of airtime on the Company’s network is duly
accounted for.
 Identify areas and perform quality assurance audits to ensure compliance with
quality management systems / standards.
 Identify key business processes (KBP’s) in all departments.

28
  Review and identify improvements to the Policies & Procedures Manual of the
Company.
 Facilitate the successful development and implementation of existing and new
policies & procedures.
 Documenting reports and audit evidence, where necessary, for audit assignments.

2.1.9.12 Engineering

 Ensure implementation of all operational and maintenance procedures.

 Ensure best utilization of available human, material and financial resources.
 Ensure adequate technical support from other organizations accomplishing out of
scope tasks.
 To negotiate terms and conditions for maintenance sub contracts with other
organizations.
 Define maintenance cycle for all kinds of operational activities i.e. fortnightly,
monthly, quarterly, six monthly and yearly procedures.
 To ensure adequate data and document control for quality system procedures.
 To ensure smooth transition from a small network to a bigger network.
 To plan expansions and have adequate coordination with PTCL regarding
technical matters related to the network.
 To maintain operational sites as per the manufacturer specifications.
 To properly manage installation and commissioning of transmission and
compression equipment for all types of network expansions.

2.1.9.13 HR

 Recruitment.
 Policy & Procedures Development.

29
  Employees Data Management.
 Employee Benefit & Compensation.
 Training & Development.
 Career Planning.
 Employee Relations/ Communication.
 Career Planning/ Succession Planning.
 Retention of Employees.
 Employee Motivation.

2.1.10 OPERATIVE GOALS

 To increase and stabilize market share: According to research firm Pyramid

Research, Mobilink has captured 63% share of the Pakistani mobile market today
and is the leading cellular company of Pakistan. Mobilink is continously striving
to not only stabilize this market share but also to increase its market standing.
Mobilink does this by their marketing and sales department; through good
advertising

 To have the largest subscriber base in Pakistan: Despite the arrival of two new
players--Al Warid and Telenor--into an already competitive Pakistani mobile
market in 2005, Mobilink continues to add subscribers at breakneck speeds and
defy analyst expectations. Mobilink, owned by Egyptian giant Orascom Telecom,
added over 3 million subscribers last year, or 65 percent of the country's net
additions and just a month ago, they completed 1 crore cutomers.

 Employee development: In order to maintain a motivated and committed work

force, Mobilink takes into account the promotion, safety, training and growth of
the employees. The HR department conducts daily clinics to keep a check on the
employee performance and to help them perform their jobs in a better way.

30
 Training programs are regularly conducted. Promotions and bonuses are given to
employees who perform well.

Mobilink believes that "Our people are our greatest asset. We take great pride
in acknowledging the contribution each one of us makes".
The company focuses on People Development and for that they ensure:
 To Staff Mobilink with world class Professionals and ensure that the right
systems are in place to encourage them to develop to their full potential.
For this purpose Mobilink is heavily investing in online recruiting
programs to help them meet their resource goals in this area.
 Create a collaborative and mutually supportive work environment
that encourages people to grow.
 Build a team of professionals who deliver expertise by
participating in business decisions.
 Develop Performance Management and reward systems underlying
our Business strategy.

According to Mobilink, one of their visions is

“To be the most friendly and easily accessible Customer Services Team committed
to total customer satisfaction with passion for business excellence and to promote
MOBILINK as a truly Customer Oriented Organization”

 Innovation and change: Mobilink readily adapts to unexpected changes in the

environment.
It was the first cellular service provider in Pakistan to operate on a 100% digital
GSM technology. Mobilink recently started GPRS. This is the treat for GRPS users
those who want to take their office with them, Mobilink give them ease with
reasonable charges. They keep on introducing new packages catering to different
sorts of people: Initially they introduced jazz, then indigo, then call n control and

31
 now Blackberry .It aims at expanding its coverage and providing telecom facilities in
the remote areas where even PTCL has not provided services

 RESOURCES: MOBILINK has a goal to “Staff Mobilink with world class

Professionals” in every department.

2.1.11 MOBILINK -ORGANIZATIONAL CHART

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33
34
Mobilink has standard rules and regulations for every one and everything but the
employees have a certain amount of freedom to adjust the SOP’s according to their
requirements as far as they can justify their moves.
For example, Mobilink follows a standard procedure that the security cannot be
immediately refunded in the current month’s bill and will be refunded in the coming
month’s bill. No customer can be refunded the security in the current month’s bill, but if
the customer is on high priority and the company doesn’t want to lose its customer (to
maintain goodwill) the company will refund the security immediately. So there is a room
for mutual adjustment.
According to the contract, an employee has to go thru a 3-month probation period but if,
during the probation period, the employee performs exceptionally well, his probation
time is shortened and he is promoted as a regular employee of the company.

People at Mobilink work in teams. In some of the projects people are reporting to more
than one boss at a time. Mobilink has consistent policies and practices in training and

35
developing staff and involving them as ‘partners’ in the business rather than as
functionaries whose roles are restricted to obeying instructions. When, they started their
departments were placed at one location but as they grew they decentralized some of their
functions. The head of the commercial division and his department acts a coordinator
between different departments

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2.1.12 CULTURE

2.1.12.1 Terminal Value

 Innovativeness
 Exceeding employee expectation
 Exceeding shareholder value
 Customer satisfaction

2.1.12.2 Instrumental Value

 Being creative and courageous

 Taking risks
 Hard work
 Employee motivation

Organizational success: when Mobilink completed its 10 million customers, on this

achievement the company gave a month’s salary as bonus to all its employees. Office
parties were held once in a month, either formal or informal.

2.1.12.3 Values

2.1.12.3 .1 Trust & Integrity

At Mobilink, they strive to cultivate an open, honest environment by doing what they say
and saying what they do. They trust those around them and give them every reason to
trust them.

37
2.1.12.3.2 Commitment to Total Customer Satisfaction

At Mobilink, they realize that customer satisfaction forms the core of success. Therefore,
they focus their energies on giving all customers more than they expect.

2.1.12.3.3 Respect for People

Their attitude towards others speaks volumes of their personality – both as individuals as
well as a company. At Mobilink, they encourage their employees to offer likeable
attributes for others to regard since respect for others eventually helps one gain respect
for oneself.

2.1.12.3.4 Passion for Business Excellence

The outstanding performance of our employees is contingent upon their will to do their
best. This passion for business excellence eventually translates into success for the
Mobilink family.

2.1.12.3.5 Responsible Corporate Citizen

Mobilink believes that it is always set benchmarks in terms of social responsibility

and community conscience.

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Chapter No 3
“Analysis”

39
3.1 MOBILINK

3.1.1 ANALYSIS: STRUCTURE

3.1.1.1 Differentiation & Integration

Division of labor is high; Degree of specialization is also high. Organizational roles are
properly defined. There is no role ambiguity and no role conflicts. The jobs, the duties
and responsibilities of each employee are vividly defined. The span of control is narrow
and Horizontal differentiation is medium. There is high vertical differentiation because of
tall hierarchal structure. The integration level is high. They work in groups and teams.
The head of the commercial division has a group of people working under him as an
integrating department. The hierarchy of authority n the sales departments is that:
Salesperson reports to sales manager, regional managers report to the VP of their
functions, Directors report to the Vice Presidents which report to the CEO.

3.1.1.2 Centralization and Decentralization

The authority in Mobilink is overall centralized but the middle and lower level managers
are allowed to make important decisions and the employees are provided with a broad
framework within which they are free to make their own decisions and take risks, as long
as they are consistent with the company’s mission and goals. The regional managers are
free to make decisions but the final authority to approve those decisions or suggestions
rests with the top management.

3.1.1.3 Standardization And Mutual Adjustment

The Standard Operating Procedures are defined in Mobilink but there is a room for
mutual adjustment. It is mutually adjusted because of the innovative and flexible
environment. The IT comes up with new features etc, so there is mutual adjustment. The
employees done have to stick to the rules and at specific times, can deviate from the rules

40
only if they are in the benefit of the organization. There is relatively more standardization
because most people follow SOP’s, as they are very clearly defined.

3.1.1.4 Organic & Mechanistic Structure

Employees at Mobilink work together and coordinate their actions to find the best way of
performing tasks. The Sales and marketing dept. keeps an eye on the market position and
informs the IT dept to come up with new features, which even the competitors are not
providing. Mobilink is facing a great competition and for that reason it has to keep track
of its competitor’s activities. Marketing department at Mobilink is one of the main
sources of its core competency. Mobilink has a competitive advantage because of its
marketing dept. its R& D, and its sales. Marketing and IT dept work in close
collaboration to come up with new packages and products. We can observe an element of
joint specialization. The structure of Mobilink is more Organic in Nature.
Further more, Mobilink has an over-all geographical structure and at regional level it has
a functional structure.

3.1.2 ANALYSIS: STRATEGY

The findings mentioned in the above chapter reflect three types of major strategies
employed by the organization at various levels. Namely they are:

1) Corporate level strategy

2) Business level strategy
3) Functional level strategy

3.1.2.1 Corporate Level Strategy

As their corporate level strategy, they have entered into partnerships with different
organizations.

41
On the basis of our findings, it appears that for the past few years (1999-2003), Mobilink
had a focus on internal growth. All this is evident from the fact that since the deregulation
of the mobile service industry of Pakistan, Mobilink has undertaken various efforts to
ensure that it changes its stance from concentrating on its existing market to growing its
market presence. The main reason for this change is mainly to keep up with the
competition and to retain and increase its market share. This transition is obvious in
Mobilink’s repositioning itself and hitting the market with a new face with the
catchphrase “Reshaping communication”
With the threat of new entrants into the industry after the deregulation, Mobilink’s
strategy took a new turn. To keep abreast with the company, Mobilink took the following
steps during the last 2 years:

• Expanded its international roaming Service scope in 14 more countries including

Vietnam, Germany, Bangladesh, Ukraine, Iran, Venezuela, Nigeria, South Africa,
Ethiopia, Uganda, Sudan, Bahrain, Caribbean Islands. Bilateral roaming
agreements signed with 100 countries around the world to have true roaming
service operational in 151 operators of the world.
• PROMOTIONAL CAMPAIGNS LAUNCHED

 JAZZ BUNDLE OFFERS: These bundles include a handset, a JAZZ connection

and airtime worth Rs. 200
 INTERNATIONAL SUMMER PROMOTION: Discounted international tour
packages to Sri Lanka, Malaysia and Maldives
 “JAZZ-AUR-SUNAO”, “LIFE MEIN JAZZ LAO” (a change in the marketing
strategy)
 Indigo packages deliver nation wide cellular freedom at local Call rates
 Exclusive deals to 6 northern area destination including Chitral, Galliat, Hunza,
Kaghan , Skardu and Swat.
 Roam the World: year long promotion including travel to the Holy Land in
Ramazan, avail amazing offers at the Dubai Shopping Festival, be a part if the
FIFA World Cup in Germany or visit Paris, Milan, London and NY.

42
3.1.2.1.1 Joint Promotional Agreements With Various Organizations
• JAZZ-HYUNDAI BUNDLE OFFER: Jazz connection and a latest Hyundai L-120
phone set for only Rs. 2750
• Jazz member Get Member: Opportunity for customers to become the brand’s
ambassador and at the same time earn Rs. 400 in airtime. The new Jazz customer will
also get Rs.100 free airtime.
• Mobilink’s Nokia 9500 offer
• MOBILINK-AVIS partnership: Mobilink joined hands with AVIS, a global brand
and the world’s leading car rental company to offer discounted car rental rates
(locally as well as internationally) to all Mobilink post-paid customers. Foreigners
visiting Pakistan using the Mobilink network for cellular services were able to receive
a 20% discount on Avis-Car rental Service.
• Mobilink and UBL launch online bill payment facility for Indigo subscribers
• MOB- Motorola V3 launch
• Mobilink –CITIBANK Joint Promotion (free INDIGO and Call n Control
connections to all Citibank Credit Card members)
• HandSet Kiosk inside Mobilink Service Centre: a ‘hand-set Kiosk’ set up at Mobilink
service centre at Awami Markaz, Karachi. The kiosk was set up in collaboration with
Mobile Zone. It gave customers the added convenience of purchasing quality hand
sets of leading manufacturers such as Nokia, Samsung or Sony Ericson right from
Mobilink Service Centre. On every purchase the customers would get some free gifts
to add more value to their purchase.

3.1.2.2 Business Level Strategy

As their business level strategy it has focused on Differentiation strategy ever since it
started. Mobilink has always made successful attempts to distinguish their products or
services from other in the industry. They make their product unique through:

43
 3.1.2.2.1 Advertising

 Highly creative people in the marketing dept

 Billboards, TV commercials, bringing in famous personalities from media to
endorse their packages

3.1.2.2.2 Distinctive Product Features

 Value added services

 Online billing
 GPRS enabled
 Mobilink also started 3 friend and family number with a charge of
2.25/min still expensive as compared to AlWarid but giving incentive to
subscriber there is an additional cost of RS 25 to add friends and family number.
 International roaming: Bilateral roaming agreements signed with 100
countries around the world to have true roaming service operational in 151
operators of the world.

3.1.2.2.3 Exceptional Service

 There are certain areas of Pakistan where PTCL connections are not available; the
PTCL cables have not reached yet, but Mobilink has its service in those areas.
 Providing services in 413 cities
 Best customer service in the cellular market: Biggest Call Center in Pakistan,
which is there to assist the customers 24 hours.
 Only cellular service in Pakistan to provide coverage on the M2 motorway.

3.1.2.2.4 New Technology

 Introduced GSM tech- bye to AMPS?

 GPRS system – fast and inexpensive

44
  MOBILINK GSM's Short Message Service Center allows Vehicle Tracking and
Fleet Management services that are being provided by Tracker (Pvt.) Ltd., under
the brand name of C-Track, a company licensed by Pakistan Telecom Authority
(PTA). Tracker currently operates from Karachi but can provide these facilities at
all those locations where GSM coverage is available.

Their differentiation strategy is usually targeted at people who are not particularly
concerned with price, so it can be quite profitable e.g. indigo and blackberry are
relatively expansive packages; blackberry is mainly targeted for the business class who
can afford it. In this way, the revenue generation remains high. Mobilink offers tariff
plans that are exclusively designed to cater to the communication needs of a diverse
group of people, taking into account occasional users to businessmen. To achieve this
objective, mob offers both postpaid (Indigo, relatively expensive) and the prepaid (JAZZ,
relatively inexpensive) solutions to their customers.

3.1.2.2.5 Low Cost Strategy

Mobilink does not follow a low cost strategy. Mobilink is a giant in Pakistani mobile
industry Tel. Since it first started its operations, it has been focusing its products on the
upper strata of the society. That is why its rates are higher than its competitors, Ufone,
AlWarid, Telenor, etc.

3.1.2.3 Functional Level Strategy

3.1.2.3.1 Human Resource Management

• Both low cost and differentiation strategy

• Because they hire highly skilled personnel, train them, develop innovative
training programs and have reward system to motivate the employees and in this
way control the turnover and absenteeism rate

45
 • Mobilink has consistent policies and practices in training and developing staff
and involving them as ‘partners’ in the business rather than as functionaries
whose roles are restricted to obeying instructions.

3.1.2.3.2 Sales and Marketing

• Differentiation Advantage:
• Because they target the customer groups they offer tariff plans that are exclusively
designed to cater to the communication needs of a diverse group of people, taking
into account occasional users to businessmen. To achieve this objective, they
offer both postpaid (Indigo) and the prepaid (JAZZ) solutions to their customers
• The marketing department immediately identifies and responds to the customer
needs
• Comes up with interesting marketing strategies which include advertising,

3.1.2.3.3 R & D

• Differentiation Advantage
• They keep improving their existing products ( by adding new attractive features to
their products such as VAS’s, GPRS, WAP etc)

3.1.3 ANALYSIS: CULTURE

In the past Mobilink was very tight lipped about its policies and SOP’s in the
organization. But at present Mobilink have developed a very open and a true corporate
culture where informal relationships are given much importance. There is much job
satisfaction among the employees, which is due to the measures taken by Mobilink.
Company has developed a loyalty for itself by showing more concern towards the needs
of the employees. The company has a true corporate and open culture where informal
relationship is given much importance. People are very open and interactive. They are

46
honest and when there is something that they cannot disclose they say so instead of
beating about the bush. The job satisfaction among the employees is apparent

Chapter No 4
“RECOMMENDATIONS”

47
4.1 MOBILINK

 Mobilink follows a differentiation strategy. If it wants to grow in this market and

rise above its competitors, it should also follow low cost strategy through it can
reach to more people and comfortably increase its market share.

 Mobilink has been fined twice by Pakistan telecommunication Authority over its
bad service. It must try and emphasize on providing better services to its
customers instead on concentrating only on expansion.

 Mobilink should revise its distribution channel in Pakistan. Different package

cards are available at variable prices across the country. There is no consistency in
process across the country. It should devise some strategy to deal with this
trouble.

 Further it does not have any promotional offerings that would attract customers.
For example, in the previous year, Ufone offered free connections to the masses
and Telenor had offered SMS service within its Network in summer 2005. If such
measures were implemented, they would increase its brand name and add value to
the organization.

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 APPENDIX

QUESTIONNAIRE

1. What are the primary goals of your organization?

2. Briefly, explain is the hierarchy of Mobilink?
3. How many departments do you have?
4. How many offices does Mobilink have all over Pakistan?
5. Are all functions placed at the head quarter or are they distributed at different
cities?
6. Expound the working of each department?
7. In case of any problems between different departments who acts as a mediator?
8. Do you work in groups or teams?
9. If yes, do you report to one boss or more than one?
10. What do you think is your core competence?
11. All of your products are targeted to the elite class .Do you plan to introduce any low
prices packages?
12. Pakistan telecommunication authority has fined Mobilink twice for its bad service.
Are you paying more attention to your service quality or growth/expansion?
13. Do you have specialized job descriptions?
14. Tell us something about the culture of Mobilink?
15. You never offered any free connections like Ufone once did, why?
16. Are employees a part of the decision making process?
17. Has Mobilink ever entered into any joint ventures or alliances or acquisitions?
18. What is the total number of employees at Mobilink?
19. Give us a little insight into the products and services, you offer?
20. Any other businesses that Mobilink is into?

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50