Ufone (Raw Material)

HOME
PAST PAPERS
PROJECTS
MARKETING
SOLVED MCQS
HRM
BUSINESS RESEARCH
SEMINAR REPORTS
NPD
FINANCE
SUPPLY CHAIN
HOME
PAST PAPERS
PROJECTS
SOLVED MCQS
BUSINESS RESEARCH
SEMINAR REPORTS
NPD
FINANCE
SUPPLY CHAIN
MARKETING
Marketing Research Project on Ufone

08:29 Marketing Research Project on Cellular Company
Executive Summery
Ufone is the second largest cellular network in Pakistan. The head office of the Ufone is
located in 13-B, F-7 Markaz Islamabad, Pakistan. Every Organizational whether its
multinational, private business or Govt. Offices depend on its people. Telecom industry
is growing in Pakistan with new companies is getting license the competition is though
as a result is the consumer is getting benefits and enjoy low call rates. With a population
of 15 million countries Ufone is one of the best telecommunication networks that
generate revenue. Ufone Company commenced its operations under the brand name of
Ufone from Islamabad on January 29 2001. Ufone Provide two kinds of Services that is
Ufone Prepay and Post pay. In postpaid they provide a lot of packages such as Uwon,
Ushare. Public Demand etc. in post paid they provide a Black berry, payment
choice, value added service etc.
Ufone has always played a vital role in the development of cellular market in Pakistan. It
has been a step ahead in introducing a innovative product in the market. Ufone adopted
the policy of simplified tariffs with no hidden charges. Ufone targeted the middle class,
by introducing low rates. Ufone has network coverage in more than 5885 locations and
across all major highways of the country. Mobilink has 910,000 subscribers and Ufone
has 565,000 subscribers. According to the latest marker survey there is 70.64% annual
growth in this sector. So when Ufone will change their technology the market is open for
them because their prices are low and they are catering to middle and lower middle class
which has quite big ratio in Pakistan.
Further more I m going to research on Ufone, the research situation is the consumer
satisfaction is going to increase due to its Price, Quality and Coverage. Consumer
satisfaction is dependent variable and Price, Quality and Coverage are independent
variables. I am using the Primary and Secondary data for research on Ufone.
Title of Research Project & Objectives.
The Customer satisfaction of Ufone is going to increase due to its Price, Quality and
Coverage.
To identify the present Market Scenario of Ufone.
To examine the prospects of Ufone in the overall Pakistan Market.
To know the scenario of its improvement and image.
To recommend some corrective measures, suggestions and

recommendations to resolve the problems.
To conduct the comparative study between Ufone and other

prominent Players in the market.
Analysis of customer satisfaction and to find out the reason behind

customer buying behavior while purchasing Ufone
INTRODUCTION
The company commenced its operations under the brand name of Ufone from
Islamabad on January 29 2001. Ufone expanded its coverage and has added new cities
and highways to its coverage network. After the privatization of PTCL, Ufone is now
owned by Etisalat.
During the year, as a consequence of PTCLs privatization, 26% of its shares
were acquired by Emirates Telecommunication Corporation (Etisalat). Being part of
PTCL, the management of Ufone has also been handed over to Etisalat. During the
years, Ufone continued on the path to success. The Company further expanded its
coverage and has added new cities and highways. Ufone has network coverage in more
than 5885 locations and across all major highways of the country.
During the year Ufone adopted the policy of simplified tariffs with no hidden charges,
which resulted in positive impacts on the usage trends of subscribers as well as total
subscriber base, which has increased to 19.4 million. Ufone currently caters for
International Roaming to more than 230 live operators in more than 130 countries and
introduced International roaming facility for Prepaid subscribers in Saudi Arabia,
United Kingdom, United Arab Emirates, Singapore, Portugal, Thailand, Cyprus,
Bangladesh, Uzbekistan, Tunisia, Sri Lanka, Belgium and Kuwait with lowest rates,
featuring no security deposit and activation charges. GPRS Roaming facility is available
with more than 115 Live Operators across 85 countries. The Company has also been
awarded a new License for providing cellular services in Azad Jammu & Kashmir and
Northern Areas.
HISTORY of Industry:
In 1990, Pakistan introduced its first mobile phone service called Paktel. After eleven
years in January 2001, a new cellular company with GSM technology came into the
market and they named it Ufone. The government of Pakistan granted them the license
of Pak Telecom mobile limited to operate GSM 9000 all
Around Pakistan. Ufone succeeded to establish itself in the market by providing quality
service at low rates. After its opening, initially they started their service in major cities
like Rawalpindi, Islamabad, Karachi and Lahore and on major highways. Later the
service expanded to other major cities like Peshawar, Quetta and different towns.
Ufone invested around $ 65 million to setup its modern technical infrastructure to
provide high quality crystal clear voice and fast data transmission. Ufone targeted the
middle class, by introducing low rates and different packages with Urdu names like
Jazba etc to attracted lower and middle class people. Ufone has expanded its customer
support in a very organized manner with a planned network of dealers, outlets for
people convenient. Ufone is committed to care for its customers even after they have
acquired a new connection. Ufone not only focused on the technical capabilities, but to
provide subscribers a convenient to get connections and services. Ufone recently started
GPRS through which users can connect themselves to the global village via Internet, also
introduced multimedia messaging services and worldwide SMS at flat rates. Not only
SMS but also provides Ufone Info service through which user can get latest information
about news, sports, religion, horoscope, stock exchange etc even live sports updates.
The tariff packages have been designed keeping in mind the requirements of every
segment of the society may that be a housewife, a taxi driver, a trader or a student.
Ufone started its operation from Islamabad on 29th January 2001. Cellular industry
performance in Pakistan before the launch of Ufone was quite dismal, with one of the
lowest population penetration rates in the
Whole region. Ufones strategy from the day one was to change this scenario and ensure
that mobile phones are turned into an everyday business and personal communication
tools for all. This approach brought about a revolution in the market; increasing its size
five fold in a mere two years.
Ufones own performance in these two years has been exemplary, as it surpassed all
financial and marketing goals. Despite Ufones strategy to provide a high standard of
service rather than increasing subscriber base without capacity, it has achieved a
substantial market share in a market ten years older than itself.
MISSION:
"Ufone,
it's
all
about
U!
We
are,
where
you
want
to
be
At Ufone we aim to provide you with wider coverage, superior connectivity, clear signals
& voice quality. Wherever you are, Ufone keeps you connected."
Vision:
To be the leading telecommunication service provider in Pakistan by offering innovate
communication solutions for our customers while exceeding shareholder value &
employee expectation.
COMPANY PROFILE:
An organizations culture usually reflects the vision or mission of the organizations
founder. Because the founder has the original idea, Ufone also have biases on how to
carry out the idea. Ufone is one of the main players of the telecom industry. Since its
launching, it has gathered a large number of customers.
Ufone was established to operate cellular telephony. The company commenced
its operations, under the brand name of Ufone, from Islamabad on January 29, 2001.
During the year 2006, as a consequence of PTCLs privatization, 26% of its shares were
acquired byEmirates Telecommunication Corporation (Etisalat). Being part of
PTCL, the management of Ufone has also been handed over to Etisalat. During the
year July 2005 to June 2006, Ufone continued on the path to success. The Company
further expanded its coverage and has added new cities and highways. Ufone has
network coverage in more than 750 cities, towns and across all major highways of the
country.
During the year Ufone successfully completed the network expansion of Phase IV in
existing as well as in new cities and towns which amounted to more than US Dollar 170
million. As a result the asset base of the Company has increased from Rs. 20 billion to
Rs. 27 billion.
During the year Ufone adopted the policy of simplified tariffs with no hidden charges,
which resulted in positive impacts on the usage trends of subscribers as well as total
subscriber base, which has increased from 2,579 k in June 2005 to 7,487 k in June
2006. Ufone currently caters for International Roaming to more than 230 live operators
across 130 countries and introduced International roaming facility for prepaid
subscribers in Saudi Arabia and United Arab Emirates with lowest rates, featuring
no security deposit and activation charges.
The company has also been awarded a new License for providing cellular services
in Azad Jammu & Kashmir and Northern Areas.
Brand:
While keeping its tradition of being the trend setter in the industry, Ufone changed the
image of mobile phones from a luxury only affordable by the elite, to a necessity
affordable by the common man. Since its inception, Ufone has positioned its brand for
masses. In keeping with the upcoming competition and market dynamics, Ufone
increased its focus on the youth segment (which comprises 50% of the population), with
the Prepay brand. By designing market focused products, Ufones brand team launched
aggressive campaigns, which further increased the brand equity. The new brand image
gained huge popularity amongst the targeted market. A recent marketing survey
conducted by a prominent marketing research company showed that Ufone has
considerably increased its brand visibility and image. Ufones Prepay brand is now
considered to be one of the most favored brands by the youth market and is followed by
other mobile operators launching their respective brands for the youth market.
Performance:
As mobile users in the country have reached over 28 million at a very rapid pace, Ufone
has maintained itself as the 2nd largest cellular operator in Pakistan with a subscriber
base of around 6.5 million and a market share of nearly 25%. Ufone has seen a
subscriber growth rate of over 200% in the last year, and since the start of 2005 Ufone
added nearly 5 million subscribers onto its network. A remarkable achievement indeed,
especially considering the fact that two new international players also entered into the
market in 2005. Subsequently the growth in subscriber base caused a healthy trend in
revenues which have doubled.
PRODUCTS AND SERVICES
Ufone is providing two kinds of services to satisfy its customers needs as
efficiently as possible. These are:
PREPAY.
POSTPAY.
PREPAY:
Ufone welcomes everyone to its prepay community where everyone can be their self, live
life to the fullest and talk up a storm with the most amazing calling and SMS rates.
At Ufone, they know people have a constant need to stay in touch with friends
and family which is why Prepay scratch cards are available in three denominations to
suit the budget; so a person can charge phone without making it hard on the pocket.
To say nothing of the entire mind boggling value added services it offers; they say
a picture is worth a thousand words wouldnt a person rather send an MMS when you
have so much to say? Theres Voice mail for when you are unable to attend your calls, of
course one needs to keep in touch with friends all the time and calling isnt always
convenient, thats where SMSs come in; so you can put your thumbs to good use.
Whats more you can download all sorts of cool picture messages, wallpapers, ring
tones, logos and what not from the Ufone website onto your cell phone.
Ufone Prepay is everyones brand, hip and always with us, vibrant, innovative and
unique, with an identity thats entirely its own.
A) Recharge Options:
Recharge your Prepay anywhere, any time you want with ease & convenience.
Ufone Prepay offers you just that. Now recharge your account with our Scratch Cards,
Electronic Vouchers, ATM or SMS.
Scratch Cards
Now recharging your Prepay account is easier and simpler then before with the most
pocket friendly & affordable scratch card denominations.
U-TOP UP:
Ufone has launched a recent offer for its pre-paid customers. It is just like easyload like its others competitors. You can load from as low as Rs. 10 to own wards,
whatever amount you want.
B) SMS Bundle Offer:
Prepay offers unbeatable SMS Offer.
Ufone introduces an unbeatable SMS bundle offer which provides lowest SMS rates to
any network in Pakistan.
C) U-Circle:
Prepay provides an easy way to call Friends & Family
Ufone makes it easy for all prepay users to call friends & family with U Circle. Now one
can talk more for less with the most economical rates to call Ufone Circle.
U-Circle (FNF)
Numbers Allowed
Call Charges
4 Ufone
45 paisas*
1 PTCL
45 paisas*
D) International Calling:
Now make international calls with your Prepay at lowest ever call rates
Ufone prepay offers the most affordable international call rates, letting users stay
connected with their loved ones even when they are out of the country.
E) Products and Features:
With a wide range of products and features, Ufone Prepay connection is a complete
communication solution that offers:
SMS.
GPRS.
MMS.
Call Features.
International Roaming
Variety of amazing Mobile Products.
POSTPAY:
Endless possibilities of Ufone Postpay, a connection that connects with determination to
conquer all odds.
Ufone Postpay is a brand that keeps up with customers, understanding their drive
for victory in the business arena and sense of belonging in the personal life. On the road
to success, Ufone Postpay is a brand for those who expect more from life, from
themselves and from their phones.
A) Tariff:
Ufone Postpay calling tariff
Ufone Postpay provides users with matchless call plans to suit their lifestyle and
connectivity drive. UfonePostpay for business or leisure & stay connected all the time.
Following is our tariff offering,
Postpay ZLR
Postpay
Ease
Postpay
Value
Postpay
Extra
Monthly Line Rent (Rs.)
199
399
999
0.60
0.50
0.40
Outgoing Call Charges (per 30 seconds)
Ufone to Ufone
0.90
Ufone to Other Mobile

Operators
1.15
1.10
1.10
0.90
Ufone to PTCL & WLL Network

(Rs.)
1.00
0.80
0.70
0.60
Ufone to Ufone (Rs.)
0.5
0.5
0.5
0.5

Operators (Rs.)
Free Minutes
200
400
1000
Free SMS
25
50
100
750
1,000
1,500
2,500
SMS Charges
Free
Security Deposit
Local & Nationwide (Rs.)
International Dialing (Rs.)
2,500
2,500
3,000
5,000
International Roaming (Rs.)
15,000
15,000
15,000
15,000
International Calling Tariff

Making distances smaller
Now distances have no meaning. Ufone Postpay believes distances matter little where
emotions and relationships are concerned.
When one needs to get in touch with a loved one or a business contact no matter where
they are, users can count on Ufone Postpay to get them through, and at competitive
rates.
Payment Modes
Cash or Credit Card
Pay Via SMS
Direct Debit
Using MCB ATM
Mobile Products
Its all about U!
Experience complete convenience with,
Virtual Private Network
Call Management
Missed Call Notification
Phonebook Saver
Host of Infotainment and Entertainment services on cell phone.
Coverage
Ufone aims to provide users with wider coverage, superior connectivity, clear signals &
voice quality
Covering over 750 key destinations, Ufone is the ultimate means to stay connected
wherever your business takes you allowing seamless roaming through the network
providing the best nationwide coverage.
It is divided into four regions, which are given below.
North
South
Central-1
Central-2
Corporate Services
Ufone provide users with high-end corporate solutions for their convenience. Whether
ones on a business trip or in a meeting, in the country or abroad, business needs are
satisfied by Ufone corporate solutions. It offers the following features and more.
VPN Personal Network
GPRS
MMS
International Roaming
Mobile Office
Call Management
Private Numbering Plan
PROMOTION:
For the promotion of product, print media, electronic media, billboards, broachers and
leaflets has been utilized for the awareness of various customers. Ufone promotes its
services schemes to their users and general public via using various types of promotion
channels. Through the advertisements people get awareness about the product and are
able to choose the best one for fulfill their requirement in Mobile Telecommunication.
Electronic media and billboards are the key sources for the promotion of Ufone.
Different kind of advertisement can be seen on Television and billboards. Ufone is also a
co-sponsor of Cricket World Cup 2007 and T20 Cricket World Cup 2007 and in 2009.
Advertising campaign is special and impressive than other cellular companies, like
concept, models, colors scheme and visualizing. The advertisement of post pay has been
very much attractive for the business class customers with the slogan of endless
Major Area Focused
Ufone is providing the best quality networking in the Pakistan with its price,
quality packages and coverage.
I am conducting the research on Ufone the customers satisfaction is increase due
to its price, quality and coverage.
Customer satisfaction is Dependent variable
Price, Quality and Coverage are independent variables.
SWOT Analysis of Ufone
Every Organization has some Strengths, Weakness, Opportunities and Threats.
Strengths and Weakness are the Internal Factors and Opportunities and threats are
External Factors.
STRENGTHS:
They have the latest technology as compared to any other mobile company
As government is backing them they can get as many fund as required by them
to introduce the new technology
Good quality service
Pakistan's second GSM network
Established customer base including lower middle class
Less rate than competitors
Only company present in all four provinces
Highly motivated and trained work force
Offering products like mobile office, mobile Internet and MM
WEAKNESSES:
Less coverage in remote areas
Not targeting the rural areas at the moment
No proper planning to cater the excessive demand
OPPORTUNITIES:
They can start their services in other cities of Pakistan
As they are the subsidiary of Pakistan telecommunication limited, they can

acquire as much fund needed to improve their technology
They can also target corporate sector
New Technology
THREATS:
Legal environment, government interference
PTCL has been given license for cellular operation
Mobilink is also going to introduce some new technology and committed to

invest more in Pakistan
Paktel, Mobilink and Telenor phone have more coverage in different cities of
Pakistan then Ufone
High taxes are imposed on the cellular industry in Pakistan
Paktel also now has the GSM technology that is another threat for Ufone
PEST Analysis of Ufone:

In PEST P stands for Political, E stands for economical, S stands for social and T stands
for technological analysis of industry with respect to their environment. The
organization's advertising surroundings is made up from:
1.The organization inner environment e.g. staff (or internal customers), office,
technology, wages and finance, etc. 2.The organization external-environment e.g. our
external customers, agents and distributors, suppliers, our competitors, etc. 3.The
country forces affecting the environment e.g. Political forces, Economic forces, Sociocultural forces, and Technological forces. These are known as PEST factors.
Political:
Political environment of Pakistan is stable in the current situation and country is not
progressing in terms of economic growth that was expected.
Environment is investor non-friendly & telecommunication sector is under regulation.

Before WTO implementation government already took steps in regulation of
telecommunication sector.
Economic Factors:
Marketers should consider long term and short term state of a trading market
Inflation is being controlled by state bank and under strict eyes but unemployment
rate is going up & up with the increase of level of poverty
Economic instability is worsening day by day as liquidity crunch is prevailing in the

world
Socio-Cultural:
As Pakistan is an Islamic country and people are very strict in case of Islam any thing
against the philosophy of Islam on either print or electronic media are treated as against
Pakistan.
Most of the people dislike anything extra-ordinary or something which sabotage their
culture or subculture.
Companies who are targeting upper-end of market mostly published and aired their
advertisement in English language.
In metropolitan cities women are doing work along with their other responsibilities
but other than metropolitan cities it is difficult for women to convince their parents and
spouses for works
Technological Factors:
Companies have technology with which they can compete in the Pakistan and now
companies are investing in their infrastructure to not only expand but also to upgrade
their existing structure.
Currently all companies except Zong & Instaphone are providing Multi-media
Messaging Services (MMS), General Packet Radio Service (GPRS), Virtual Private
Network (VPN), Pocket Stocks, Conference Calling, Wallpapers Animated pictures
Polyphonic ring tones (WAP), and Voice Mail at low price and Ufone is proving an
addition feature that one can see TV channels on their cell.
Ufone shifted its whole network from 900 MHz to 1800 MHz offer Value-Added
Services like General Packet Radio Service (GPRS), Multi-media Messaging Services
(MMS) and Virtual Private Network (VPN) etc
Research Methodology
We adopt the following method to collect the data
Primary Data
Secondary Data
Internet
Newspaper
Broachers
TV Commercials
Questionnaire
Level of priority
Customer Satisfaction
Price
Quality
Coverage
Research Questionnaire
I want to conduct the research on Ufone. The consumers satisfaction of Ufone is going
to increase due to Price, Coverage and Quality.
Note:
If you are using Ufone connection then please fill up this questionnaire.
1. You are satisfied with the coverage of your brand.
Strongly Agree Agree Somewhat Agree Disagree Strongly Disagree
2. Signal quality is good of your brand.
3. You are satisfied with the call rates of your brand.

4. You are satisfied with the current packages price of your brand.
5. Your brand offer more packages.
6. Your brand provides quality packages.
7. Your brand should introduce new packages.
8. You are satisfied with the advertisement of your brand.
9. Your brands advertisement more attractive than others.
10. You are satisfied with the celebrity used in your brand.
11. Would you prefer your brand to other people?
12. You are satisfied with the customer care services of your brand.
13. Your brand should increase its customer care services.
Would you like to describe something more?
Personal Information:
Name:
-----------------------------------
Gender:
-----------------------------------
Age:
-----------------------------------
Profession:
-----------------------------------
Contact #:
----------------------------------Graphical Representation
Total respondent were 50
Gender
Number
77
Male
Female
23
Profile of Respondent
Total respondent were 50
Profile
Number
Student
30
Professional
10
others
10
Question # 1
Total respondent 50
Respond
No of Respondent
Strongly Agree
15
Agree
18
Somewhat Agree
Disagree
Strongly Disagree
Question # 2
Total respondent 50
Respond
No of Respondent
Strongly Agree
15
Agree
18
Somewhat Agree
Disagree
Strongly Disagree
Question # 3
Total respondent 50
Respond
No of Respondent
Strongly Agree
Agree
28
Somewhat Agree
Disagree
Strongly Disagree
Question # 4
Total respondent 50
Respond
Respond
Strongly Agree
12
Agree
20
Somewhat Agree
Disagree
Strongly Disagree
Question # 5
Total respondent 50
Respond
Respond
Strongly Agree
11
Agree
22
Somewhat Agree
Disagree
Strongly Disagree
Question # 6
Total respondent 50
Respond
Respond
Strongly Agree
Agree
30
Somewhat Agree
Disagree
Strongly Disagree
Question # 7
Total respondent 50
Respond
Respond
Strongly Agree
Agree
23
Somewhat Agree
Disagree
Strongly Disagree
Question # 8
Total respondent 50
Respond
Respond
Strongly Agree
Agree
32
Somewhat Agree
Disagree
Strongly Disagree
Question # 9
Total respondent 50
Respond
Respond
Strongly Agree
10
Agree
24
Somewhat Agree
Disagree
Strongly Disagree
Question # 10
Total respondent 50
Respond
Respond
Strongly Agree
13
Agree
27
Somewhat Agree
Disagree
Strongly Disagree
Question # 11
Total respondent 50
Respond
Strongly Agree
Agree
Somewhat Agree
Disagree
Strongly Disagree
Respond
7
30
4
6
3
Question # 12
Total respondent 50
Respond
Strongly Agree
Agree
Somewhat Agree
Disagree
Strongly Disagree
Respond
9
20
12
5
4
Question # 13
Total respondent 50
Respond
Strongly Agree
Agree
Somewhat Agree
Disagree
Strongly Disagree
Respond
7
33
3
4
3
HYPOTHESIS
Regression Analysis
Hypothesis;
Ho: Price, Quality and Coverage cannot cause to increase customer
satisfaction.
H1: Price, Quality and Coverage can cause to increase customer
satisfaction.
Variables Entered/Removed
Model
1
Variables Entered
Variables Removed
Price, Quality,
Coverage
Method
.
Enter
a All requested variables entered.

b Dependent Variable: Customer Satisfaction
Coefficient of determination.(R-Square):
Coefficient of determination of this regression
analysis is 70.35%which shows that market share is 70.35% depending upon the price,
quality and coverage of Ufone. It means that 29.65% other variables which are
contributing in relation to market share of Ufone.
Adjusted R Square:
Adjusted R Square is that coefficient of determination which is we can
say that, error free result. When we deduct the standard error from coefficient of
determination then we get adjusted R Square. In this analysis adjusted R Square
is 71.1%.
Standard Error:
Standard error is the difference between the coefficient of determination
and adjusted R Square.
Model Summary
Model
Adjusted R
Square
R Square
.807(a)
.7035
Std. Error of the

Estimate
.711
.939
a Predictors: (Constant) Price, Quality and Coverage

Interpretation of ANOVA Table:
Since f calculated value is greater than f table value
therefore Ho is rejected. It means customer satisfaction depends upon the price, quality
and coverage. F table value is 2.23 which is smaller than f calculated value.
ANOVA (b)
Sum of
Squares
Model
1
Regression
Mean
Square
df
3.119
1.040
Residual
40.561
46
.882
Total
43.680
49
a Predictors: (Constant), Price, Quality and Coverage.

b Dependent Variable: Customer Satisfaction
Research Outcomes
According to my research most of the people are Ufone users.
Sig.
1.179
.328(a)
People showed satisfied behavior towards Ufone network coverage.
People were of the view Ufone brand is charging high rates and now a days it is
charging low rates.
They are offering messaging packages as well as call packages comparatively

better then other networks.
The advertisement of Ufone attracts the users comparatively more.
Most of the people viewed that CRM of Ufone is not as effective as other
network.
They introduce innovative services like call block covers etc.
SUGGESTIONS AND RECOMMENDATIONS
Learn to listen to your customer first. Really listen to them ask what you can
do help them. This is most important step in preventing problems and the only
way you can solve complaints if they come up.
Look at all complaints about your services as an opportunity to improve. Aim

to resolve any complaint quickly and efficiently.
Establish an environment where great service is recognized and rewarded and

poor services is challenged and rectified.
Have a fun staff melting where good service elements are discussed and role
played.
Lead by example show respect for every person at every level in your company.
Do things regularly to improve the workplace
Happy Staff--------------Happy Customers
Be sure your employees are aware of your expectations clean services

guidelines and knowledge of the companys mission necessary.
Should encourage new products like Ufone PCO, Broad Band Services.
It is necessary that the management must continuously develop technical and

managerial skills at all levels and stay abreast of latest technological
development in the industry.
Newer PostOlder PostHome
Search
Powered by Blogger.
Web Counter
Copyright 2016 ILMI
World | Powered by Blogger
Design by NewWpThemes | Blogger Theme by Lasantha - PremiumBloggerTemplates.com | NewBloggerThemes.com
1. 1. History:In 1990, Pakistan introduced its first mobile phone servicecalled Paktel. After
eleven years in January 2001, a newcellular company with GSM technology came into the
marketand they named it Ufone. Ufone targeted the middle class, byintroducing low rates
and different packages. Ufone recentlystarted GPRS through which users can connect
themselvesto the global village via Internet, also introduced multimediamessaging services
and worldwide SMS at flat rates Ufonesstrategy to provide a high standard of service, it has
achieved asubstantial market share in a market
2. 2. INTRODUCTION: Ufone GSM is a Pakistani GSM cellular service provider,its one of six
GSM mobile companies in Pakistan. Ufone currently caters for International Roaming to
morethan 260 live operators in more than 150 countries As the world of
telecommunications advances, Ufonepromises its customers to stay ahead, developing
andevolving, to go beyond their expectations, because atUfone, its all about U.
3. 3. Organizational Structure Horizontal structure Hierarchy: The company is having
Decentralized structure. The flow of communication becomes easy andsimple in such
structure.
4. 4. functional departments:- Finance Department The head of finance department is
designated as CFO Chief Financial Officer orVice president of financial head. The
department is responsible for Credit exposure for Ufone postpaid connection. Budgeting
and Planning Marinating accounts an records Internal audit ensure error free billing
operations, deployment of key revenue assuranceapplications/solutions, fraud
management.Marketing Department The head of marketing department is designated as
CMO- Chief Marketing Officer orVice President of Marketing Head. Brands: Ufone is
performing the promotional activities in Brands sub-head, includingadvertising over
Electronic media and print media. Marketing Strategy and Analysis:formularize the
marketing strategy according tothe market requirement and consumer preferences. The
analysis about the markettrend is done and the strategies are made in relevance. VAS
Value Added Services:proficient functioning of conveniences provided to thecustomers,
these VAS are Virtual Private Network, Call Management, Missed CallNotification,
Phonebook Saver and a host of Infotainment and Entertainment services.
5. 5. Information Technology Department The head of information technology is termed as
CIO- ChiefInformation officers Billing:The billing department is responsible for
aggregatingCDRs and preparation of the postpaid billing for customer fromsystem. IT
Development:Any kind of IT development required by thecompany in billing or CRM
(Customer RelationshipManagement) module is done by IT development team. Customer
operations Department The head of this department is designated as VP cops
vicepresident customer operations.Customer Care:Ufone provides customer care
throughCustomer Care Center located in all key cities, across thecountry. They will not only
resolve consumers issues but alsoguide them into customizing Ufone, according to their
needs.Customers care is offered to through call centers and businesscenters.
6. 6. Call centre representatives are providing services, 24 hoursa day. The customers can
contact the Ufone Call Center toget answers to all their queriesBusiness centres:SIM
issuance and other customerrelated issues, retention of customers and handlingrequests for
7.
8.
9.
10.
11.
Mobile number portability. Govt. Relations: Ufone is also abiding the rules that arebeing
made by PTA. The relationship with PTA is alsobeing maintained as PTA is Govt.
regulation. Engineering Department: The head of the department istermed as CTO - Chief
Technical Officers or Vicepresident.BSS Business Support System: The subhead is
responsible for Radio Planning and network optimization.
7. NSS Network Switching Subsystem: At ufone refers to as theGSM core network,
which is being used by Ufone GSMservices such as voice calls,SMS, and Circuit Switched
Datacalls.IN Intelligence Network:The Intelligent networks main purpose is totake care of
charging of prepaid customers and has the balance updates ofeach of the customer. Sales
DepartmentThe sales department at Ufone is headed by Vice president SalesCorporate
Sales:handling the sales for executives or corporateclients. These clients are having postpaid
products with billingsystem.Franchises & Retail Outlets:This division is handling franchises
and retailoutlets with a network of more than 365 franchises and 25 companyownedcustomer service centers along with a distribution network of150, 000
outletsnationwide.
8. Sales operations: Sales operations at the company havebeen set up to provide the
customers, quality services allunder one roof so consumers can walk in to any Ufone Sales&
Service Center for services like:Mobile Number Portability,Connection purchase, Bill
payment, SIM ActivationHuman resource department: Human Resource department is
being headed by theHR executive designated as Chief of Human resourcedepartment.
According to Ufone their belief is that"Their people are their greatest asset. Work Force
Almost 70% of its employees are male and 30% arefemale.HR at UFONE is divided into the
following two majorcategories Permanent Employees (1500-2000 Approximately)
Outsourced Employees (2000 Approximately) There are about 150 employees who are
working inthe Ufone Head Office and 3500-4000 employeesapproximately are serving
nationwide.
9. FOUR PILLARS OF HUMANRESOURCE MANAGEMENT 1-Staffing: 2- Training and
Development: 3-Motivation: 4-Maintainance
10. Staffing:Staffing is acquiring or arranging people for theorganization. Hr planning Hr
planning is having right person, at rightplace, at right time at right position. Planning
provides a guideline to accomplish anactivity. At Ufone the HR team plans everythingso that
the outcomes and results can beperceived before the plan is actuallyimplemented. This
makes the planning more accurate andefficient; it also saves time and money. Job
analysis Job analysis is systematic exploration ofactivities within a job a technical
procedure used to define the duties,responsibilities, and accountabilities of job. One of the
main purposes of conducting jobanalysis is to prepare job description and jobspecification
which in turn helps to hire the rightquality of workforce into the organization.
11. Why Ufone conducts job analysisUfone conducts the job analysis to get the right
person for the right job atthe right time. If Ufone does not conduct the job analysis then there
will bea huge chance of selecting the wrong person or to reject the right personwho is
suitable for the job. Job analysis procedure of Ufone:Direct Observations At Ufone direct
observation is also done for job analysis.Employees are directly observed ant word watched
12.
13.
14.
15.
16.
thatwhat functions they are doing related to their jobs. Interviews Interviews are
conducted from employees and supervisors. Questionnaire method The questionnaire is
a widely used method of analyzing jobs andwork. Here the job holders are given a properly
designedquestionnaire aimed at eliciting relevant job-related information. Industry patterns
for a bench mark job Sometimes in Ufone HR department just observes the industry
andsee the accountabilities and duties of a bench mark job.
12. Job specification Ufone also has welldeveloped criteria for eachjob in term of the
jobspecification. In all the areaof the jobs the pre- requisitefor the job are defined
forexample: Qualification required for ajob Knowledge and skills andabilities required for
a job Experience required for ajob JOB SPECIFICATION OF HUMANRESOURCE
MANAGER: Qualifications: MBA (HR) or MS in HRM Work Experience: max 4-5
yearsexperience in Human ResourceManagement Knowledge & Competencies:
Knowledge: Knowledge of human resourceprograms and systems. Skills: Excellent
verbal and writtencommunications skills. Coaching skills. Abilities: Ability to lead,
motivate and developstaff. Able to lead change processes. Ability to build a team
environment.
13. Job Description It is a written statement of what job holder does,how it is done and
under what conditions. In job description Ufone define the following: Job title Duties to
be performed Distinguishing characteristics of job Authorities and responsibilities of
jobholderrequired
14. Job Description of HumanResource Manager Job title: HR Manager Reports to:
Head of department Job directly supervised: Assistants & officers Purpose of job:
Coordinate HR functions & Retain employees. Develop and implement HRstrategy &
programs. Duties and Responsibilities: To recruit, train, supervise & evaluate department
staff To Routine check over employee performance Performance appraisal To train
employees Conduct new employee orientation Handle employee complaints, grievances
and disputes Coordinate employee safety, welfare and wellness Responsible for
Organization development HR budgeting and planning To Develop and terminate staff.
Responsible for payroll To manage Benefits, health & safety issues
15. Job Evaluation Job evaluation is a process of determining the relative worth of ajob.
The job evaluation method of Ufone is lined to appraisal system.Whenever the appraisal
report of any employee is generated heis being paid according to his performance. The
present basic salary structure of Ufone is based on Jobdescription (Tasks and duties
performed). Job evaluation is done on the basis of: Ufone conducts its own market
survey and match its standardswith other telecommunication companies specifically
withMobilink and Telenor. They conduct the survey so that they candetermine relative worth
of every job according to market trends,so that pay at every level is compatible with their
competitorsand trends in the industry so that they can attract and retaincompetent
employees in their organization by giving marketcompetitive pay. Job specification Job
description
16. RECRUITMENT & SELECTION Recruitment is the process of gathering a pool
ofcandidates for an organizational vacancy. Selection is the process of short listing only
17.
18.
19.
20.
thequalified candidates who are fit for the job. Ufone policy of recruitment is very simple, if
atany time there is a vacancy, due to retirement,resignation, if employees opted for the
goldenhandshake or the death of an employee, themanagement of the branch will inform the
headoffice about the vacancy. Ufone has this policy ofnot mentioning the name of the
company in a jobadvertisement.
17. INTERNAL RECRUITMENT In internal recruitment employees are recruited from within
theorganization. They have well-established HRIS so that theyhave all information about the
existing employees and alsoabout the jobs for all the departments. Because all
thedepartments are integrated so when there is a need of anemployee firstly the HRIS
checks within the organization that isthere any person which is best suited for the specified
post andif any is selected. Promotion: Existing employees are promoted to fill thevacancy
that fulfills the qualifications, KSAs and experience forthe vacant post. Referrals: The
current employees refer their interested friendand family members for the vacant post. Job
posting: The vacant positions are communicated toemployees by posting them on notice
board. Companyinternally posts a list of open positions (with their descriptionsand
requirements) so that the existing employees who wish tomove to different functional areas
may apply.
18. External Recruitment If the organization feels that none of their current employees can
fillout the new vacancy then they hire from external sources. Methods of external
recruitment:Private employment agencies: It collects, maintains and manages thousands
of resumes of jobseekers. When company has a vacancy and takes the services ofsuch
agency they attempt to find someone suitable usingcomputerized inventory data base and
they charge for theirservices. Advertisement agencies: They take the services of
employmentagencies to post their advertisement on internet. Mostly Ufone donot advertise
for jobs. Direct applicants: In head office: People drop their CVs at head office
whenever vacancy occurs thecompany may call the suitable candidate for interview.
19. Via internet- apply online ( careers @ Ufone) is an online application form on the
website of Ufone, on which any personwho thinks is qualified can fill that form & upload his
CV. Interestedapplicants drop their CV at the website. The e-CV is then transferred torelevant
database or department. Whenever the company needs theyconsider them while
selection. This is an easy way to collect CVs, but because thousands of CVs arecollected
on the website, so then it is difficult for them to select the mostsuitable CVs. For this purpose
they use a HRIS, in which the standards havebeen written. CVs which meet the standards
automatically have beenselected. It is also a cheaper way of recruitment because it does not
requirestoo many resources. Ufone also provides information about any vacancy on the
job searchwebsites; like rozee.pk. Outsourcing Ufone also do outsourcing for the
purpose of recruitment they hire firm,which will provide employees to Ufone. They worked in
theUfone, but theemployee will remain employee of that firm not Ufone, and this is the
mostcommon method followed by most of organization these days. Lowermanagement at
Ufone comes through outsourcing.
20. SELECTION: Different Jobs havedifferent criteria. There areno hard and fast
rulesregarding the selection ofan employee but they takeinto account the
21.
22.
23.
24.
followingconsiderations duringselection process: Education Experience related towork

Knowledge Abilities Performance in theprevious work
21. Selection Process: Screening: Initial screening is done to weed out
totallyundesirable/unqualified candidates at the outset and to screenout obvious misfits. It is
used to eliminate those candidates whodo not meet the minimum eligibility criteria laid down
by theorganization. Preliminary Interviews/ screening interviews: The skills, academic
and family background, competencies andinterests of the candidate are examined during
preliminaryinterview. Preliminary interviews are less formalized and plannedthan the final
interviews. Employment interview:In selection it involves a personal, observational and
face to faceappraisal of candidates for employment. I t is a one to oneinteraction between the
interviewer and the potential candidate. Itis used to find whether the candidate is best suited
for therequired job or not. But such interviews consume time andmoney both.
22. Selection Interview Candidates will go through a structured interview, where theywill be
interviewed by a panel of three individuals, who areusually subject matter experts in the field
for which you aretesting. The interview panel will focus on a candidates job
relatedqualifications for the position. Therefore, it would be to youradvantage to research the
position in advance in order todetermine what knowledge and skills may be evaluated
duringthe interview process. Each candidate will be asked the same basic set of
questions,with some follow-up questioning based on the answers given. Mostly three
interviews are taken by the new employee. First interview: In Ufone they do formal
interview with the candidates; theinterview is structured & planned. First interview is taken
bythe senior manager of that specific department, in whichthe candidate is applying. If the
candidate is passed by thesenior manager then he will be called for the second interview.
23. Second interview: The second interview is taken by the HR department, inwhich
questions are asked to judge the personality andconfidence of the employee.HR department
will take theirdecision in the 2nd interview. Third interview: In the third interview that
candidate has been called whichthe company wants to give him/her an opportunity. In
thirdinterviews questions are asked like how much pay is he/sheexpected & for how much
span of time he/she is willing towork with the company. How much people in the family
aredependent on him. In that last interview the company then place an offer to
thecandidate, then it depends on him whether to join theorganization or not. The last
interview is the panel interview,in which there are two HR managers & one is the
seniormanager of that specific department.
24. Employment Test A test is sample of some aspects of an individuals attitude,
behaviorand performance. Various written tests conducted during selectionprocedure are
aptitude test, ability tests, IQ or EQ tests,intelligence test, reasoning test, personality test,
etc. Once the candidates pass the interview they are tested for the skillsthey need.
Conditional Job Offer: There is no such policy as conditional job offer in Ufone. 5-Job
offer: After passing through all the steps the candidates selected areoffered job. 6Medical test: Then the employees who are offered jobs they then have to gothrough the
medical test in which the company ensures that theselected candidate is physically fit and he
25.
26.
27.
28.
29.
has no serious disease. It will decrease chances of employee absenteeism and

improvedproductivity.
25. Reference checks: The applicant is asked to mention in his application form thenames
and addresses of two or three persons who know himwell. In the last the company does
reference check to makesure that whatever the person said was based on facts, no
falseinformation was given in order to deceive the employers. Aspart of assessing the merit
of each candidate, persons selectingcandidates must satisfy themselves that the information
thecandidate gives is authentic, consistent and honest Final Approval: The shortlisted
candidates by the department are finallyapproved by the executives of the concerned
department. Appointment Letter: A reference check is made about the candidate
selected andthen finally he is appointed by giving a formal appointmentletter. Employment is
offered in the form of appointment lettermentioning the post, the rank, the grade, the date by
which thecandidate should join and other terms and conditions in brief.
26. TRAINING AND DEVELOPMENT:Training and Developmentinvolves improving
theknowledge, skills andabilities of the individuals. Acontinuous training isconducted inside
Ufone toimprove the performance ofemployees. ORIENTATION: A newly hired employee
isoriented, so that he can get theidea about the organizationalsetup, so that he may feel
athome. For different sort of jobsdifferent sort of orientation isgiven some time it might
exceeds oneday
27. Human resource Department is responsible for orientation. At Ufone, orientation
plan covers the following points: General information about daily work routine. Review of
organizations history, purpose, operations, andproducts or services and contribution of
employees job to theorganizations needs. Visit to different departments of company.
Presentation of organizations policies, work rules andemployee benefit. Types : Work
Unit Orientation: Familiarizes employee with goals of work unit, contribution to the
unitsgoals, and introduction to co-workers. Organization Orientation: Informs employee
about the organizations objectives, history, philosophyprocedures and rules, human
resource policies and benefits.
28. SOCIALIZATION: A program designed to help employees fitsmoothly into an
organization; called socialization Socialization is designed to provide new employeeswith
the information needed to function comfortablyand effectively in the organization. This
process continues until the employee remains inorganization. EMPLOYEE TRAINING: A
process designed to maintain or improve current jobperformance. Most training is directed
at upgrading and improving anemployees abilities or skills. As training is the process of
learning experience of thechange in your skills, knowledge, attitude and behaviour. It is
relatively permanent change in an individualbehaviour.
29. EMPLOYEE TRAINING METHODSAT UFONE: Basically, they use the following
methods of training: Presentation Techniques: These involve traditional classroom
instruction, distance learning andaudiovisual techniques. Classroom Instruction: The
trainer lectures a group. Exercises into traditional classroominstruction, so that trainees will
learn and use the informationpresented on their job. Distance Learning: It will be used by
the Head Office and Branch offices to provideinformation about new services, policies or
30.
31.
32.
33.
procedures. Audiovisual Techniques: This is common method used by Ufone that

involves overheads, slidesand videos.
30. On The Job Training: It is conducted for newly hired employees, upgrading the skills
ofexperienced employees when new technology is introduced. Business Games and Case
Studies: These are designed to make the trainees study and discussamong themselves
(case studies). While in business games, the trainees must gather information,analyze it
and make decisions. Behaviour Modeling: Each training session focuses on ones
interpersonal skill andincludes a presentation of the rationale behind the keybehaviours.
Interactive Video: Instruction is provided one-on-one to trainees via a monitorconnected to
keyboards. Group Building Techniques: These help trainees share ideas and
experiences, build groupidentity; understand the dynamics of interpersonal relationships.
TRAINING NEEDS ASSESSMENT :( TNA) Ufone has a very systematic pattern for this
TNA. Each employee is given aspecific target in the beginning of year (Appraisal Form)
31. They recommend that which sort of staff and trainingis needed in that particular
region. The human resource department conducts ameeting with department heads at the
end of thetraining program. The purpose of this meeting is to focus on theindividual
discipline and performance during thetraining program. Then on the basis of their
performance they givethem advance jobs. They fill every position vacancy with the
bestqualified person obtained.
32. TRAINING EVALUATION METHOD: Following are the methods of evaluation. Posttraining test Post training survey Post training performance evaluation. This evaluation
identifies the effectivenessof the training; it also leads to explore future training needs. On the
basis of posttraining evaluation the design off training is made in future.EMPLOYEE
DEVELOPMENT: A process designed to develop skills necessary for future work
activities. It is more Future Oriented. It will focus on the personal growth. Job
Rotation: As it is a Japanese style, but now used by throughout. Ufone Fiber Itd. is a
strongadvocate of this method and according to their policy they are not keeping aperson
more than three years at a same position and at a same branch andregion. Mentor or
Coach: Normally, this duty is done by the branch manager. He is responsible for all sortsof
help, solving any sort of problem facing a new employee or even an oldemployee.
Management Skill Training: Ufone has a special developmental program for those
employees who arerecently promoted to managerial position or higher position
33. CAREER DEVELOPMENT: CAREER: A sequence of positions held by a person
during his or herlifetime. It is also defined as advancement. Programs typically
designed by organizations To advance their work activities within specific organization.
Provide information, assessment and training to help employees torealize their career
goals. Attract and retain highly talented people. Wide spread organizational changes
have lead to uncertainty andchaos concerning the concept of traditional organizational
career Career Development in Ufone: Ufone supports the development of its employees
skills andabilities with an aim to achieve their potential. Ufone MobileCompany is a place
where you can live your dreams and pursue acareer that reveals your skills and passion. We
provide youflexibility for adaptation, the opportunity to learn, and providingcareer alternatives
34.
35.
36.
37.
38.
39.
with everlasting potential, possibilities. Ourpeople make Ufone a great company and an
exciting place to workwith a shared ambition to learn leading edge ability and
elongatebeyond their limits.
34. ORGANIZATION DEVELOPMENT: Organizational development deals with improving
acompanys performance and individual development of itsemployees. Ufone should be
viewed as a coherent system composed ofseparate parts. Organizational development as a
processincludes methodologies and achievements in strategic planning,organizational
design, leadership development, coaching,diversity and balance between work and
life.Organizational development consultants act as a catalyst thathelps an organization to
solve its own problems by improving itscapabilities
35. EMPLOYEE DEVELOPMENT inUfone: A process designed to develop skills
necessaryfor future work activities. It is more Future Oriented. It will focus on thepersonal
growth. CAREER DEVELOPMENT in Ufone: We provide you flexibility for adaptation,
theopportunity to learn, and providing careeralternatives with everlasting
potential,possibilities.
36. MOTIVATION It includes performance management andcompensation management
Objective of the Performance Management: The basic objective for performance
UFONEemployees circles around the following: Setting an individuals goal Aligning
goals across the companys strategic objectives. Ensuring employees get coaching from
managers Determining merit pay Identifying training and development needs
Providing data for administrative decisions like promotiontransfer etc
37. PERFORMANCE APPRAISAL METHOD USE BYUFONE In UFONE, performance of
an employee is appraisestwice a year. Once in June while other in December. Inthe form
there are three sections. There are total 500points from which an employee gets.
Performance appraisal form has three sub-sections; Step 1: Section A In this section of
form employee is evaluated for whathe has achieved during the year called appraisal
byobjective (ABO).This form contains all the marks forthose objectives which are set and
how much is achievedin percentage. It has 80% weight. Step 2: Section B In B section
of form employee is evaluated forpersonality attributes which has 20 % weight.
38. Personality Attributes: Initiative Problem solving Planning and organization
Leader ship skills and dependability Cooperation(internal& external relations) Step 3:
Section C This section identify need for employee developmentcalled DEVELOPMENT
NEEDS Weight Criteria: ABO contains 80% weight and PersonalityAttributes contains
20% weight. Results (ABO) = 80% Behaviors (PA) = 20% Total = 100%
39. Rating Criteria: 5) Exceptional 4) Highly effective 3) Effective 1) Improvement
required Total marks = 500 Best> 400 Good>300 Average>250 REWARDS
RELATED TO PERFORMANCE There is also a reward related to performance of
theemployees. For Customer Facilitation Agents there50% of base pay is based on their
performance which isassessing every month by their managers. For otheremployees like in
administration, engineering, finance,marketing, etc their performance is assessed after
everysix months and they get increased Rs.5000 in theirsalary as a reward. In each case
employee have to showconsistent performance to win reward next time.
40. 40. COMPENSATION MANAGEMENT: Ufone is a performance oriented organization so

theycompensate their employees on the basis of theirperformance they implement merit pay
programs, soeverybody know that if they show the results then theorganization will
compensate them good if not then theywill never expect. And the Ufone also adopted the
Competitive approachfor compensation, because of this system every employeeknow what
the other organizations are paying for the samejob and what they are getting is fair or not.
Compensation strategies are usually market based and islinked with the performance with a
greater emphasis onvariable pay. Salary adjustment is based on theperformance, market
movement and COLA.
41. 41. Levels of Ufone Hierarchy andTheir Grades: GRADES Further Ufone hasdeveloped
somegrades for employees. A----------------H A is the minimumgrade and H is
themaximum grade andthey compensate theiremployees on thebasis of their grades.
42. 42. TOTAL COMPENSATION: CORE COMPENSATION It is the amount which
employee gets for performing their job. Current base pay Ufone follows the job based
structure, and compensate itsemployees for the work they have done, for their tasks
andduties they performed, their work content, behavior and for theirresponsibilities. To
develop this structure, Ufone conducts somesurveys, to compete with others in the same
industry. Work Analysis Evaluation Market trends and surveys Employee J.D
Policy Lines
43. 43. MONETORY COMPESATION: Minimum scale startsfrom 25000Maximum C.E.O
(Notdisclosed by theorganization) Minimum wage: The minimum salary forDrivers is
Rs.7000 For Tea Boys it isRs.6500 For Administrative Stafflike HR, Finance,Marketing,
andEngineering etc it is Rs25000.
44. 44. Transport allowance: Rs 2500 are given to female employees only, if they travelon
local transport. House Rent: 30% of the basic salary is given to each senior/
executivelevel employee. Overtime: All employees are entitle for the overtime more than
130hours per month .For overtime UFONE have specificformula that apply on the employees
gross salary, due towhich every employee have different per hour overtimerate. If an
employee has worked for more than the regular time,they claim for the overtime amount
other than their salarywhich they receive the next month. Overtime claim have tobe approved
through HR department. Children Education allowances: 1 gross salary per year
45. 45. NON MONETORY COMPENSATION: Assistant Manager Level: 10,000 Car
allowance + 180 Liters petrol / Month Manager level: 10,000 Car allowance + Car + 180
Liters petrol / Month+ Blackberry Senior Manager: Islamabad Club Membership + BMW
Car + House + Foreign Tours Grade A 500 minutes + 500 Rs mobile usage. Same like this
allother benefits. After every Two years Ufone give the amount of Rs 6000 to lower
levelemployees if they want to purchase a new mobile and this limitincreases as grade
increases. At each stage the amount is different. Medical Allowance: 1 gross salary per
year is given to each employee; half is given in mid ofthe year and remaining half will be
given at the end of the year. Health Insurance: Like all other cellular companies Ufone
also provides health insurancepolicy to its employees.
46. 46. Loan Insurance: At Ufone loan insurance policy is also provided to their employees
through banks. Leaves: 20 holidays 7 Casual and 10 sick leaves are given to each
employee at all level. Food Expense: Company pays 60% of the expense came over the
food while 40% has to be paid by theemployees. Expense Claim: The expense Claims
are the expenses which an employee make on the behalf of thecompany E.g. fuel used for
business travel, overnight stays on a business tour etc,such claim are made while returning
back to the office , after the whole process the HRpay them back the next month along with
their salary. Medical Claim: Different medical facilities are provided to employees at
different level of hierarchy, so ifany employees make use of this facility they can claim for the
amounts to be return nextthe month while submitting the hospital receipt. Their medical
clearness is done by the HRdepartment. Mobile deduction Claim: Such an expense
claims which are made if an employee has made long duration call forthe official purpose
and they have exceeded the limit given to them then they can make aclaim by attaching a
copy of mobile bill and if its valid then HR department approved it andpay the employee their
claimed amount along with their monthly salary of the followingmonth
47. 47. INTRINSIC COMPENSATION: Recognition of The work:On Jan 29 (anniversary of
Ufone).Employees who is working in Ufone for seven years or more thanseven years gets
Cash Rewards, Trophy, badges and other things. Retirement benefits Provident fund
Gratuity fund Provident Fund: All permanent confirmed employees are eligible for
membership ofUfone Employee Provident Fund Scheme. An employee contributes8.33% of
month basic salary in a year and an equivalent amount isbeing contributed by the
employer. SALARY SURVEYS Collections of salary and market data, it includes average
salaries,inflation indicators, cost of living indicators, salary budgetaverages. Ufone conducts
its own market survey and match itsstandards with other telecommunication companies
specifically withMobilink and Telenor. (Research firms and personally)
48. 48. MAINTAINANCE Ufone retains its competent employees by managingemployee
relations and effective communication EMPLOYEE RELATION: Group activities and
ceremonies: Ufone maintains the employees and motivate them by managinggood
relations with them and by recognizing them. The employees at Ufone are very devoted as
they are given awonderful learning environment to work. Ufone manage good employee
relations by: Annual employee day Birthday celebration Good working environment:
Ufone successfully caters to the needs of its workforce.They have provided them good
working environmentthey are given the facilities of: Cafeteria Gym TV lounge Sports
clubs Recreational trips.
49. 49. Ethical and fair practices: Fair treatment and justice in: Promotion and transfer
decisions Fair performance appraisal Fair hiring procedure Complaints system
When all practices are perceived fair by employees and theircomplaints are addressed, they
are satisfied and it helps to reduceemployee turnover. Attractive pay and Rewards: Pay
offered to them is also very attractive. Chance of progressmotivates them to work more.
On achieving different target different intrinsic and extrinsic rewards aregiven. Equal
Employment Opportunity: Equal Employment Opportunity (no discrimination in terms of
gender,race, age, national origin, religion, involves complaint investigation,interpretation and
50.
51.
52.
53.
54.
policy, monitoring performance). Ufone is not just an equal opportunity employer, but also
a platformenabling the collective sharing of creativity and business solutions byinnovative
minds.
50. Organizational culture and Core values: Their values revolve around mutual respect
andintegrity, teamwork, creativity, and empowerment. They take pride in providing a
challenging workenvironment where the best graduates and highlyexperienced senior
personnel are well-placed. Training and Development Opportunities: Employees are
granted numerous opportunities toenhance their professional as well as soft skills. These
opportunities include trainings based uponmodern employee motivation models. According
to them their human resource is theirbiggest assets and they want committed people.
51. EMPLOYEE COMMUNICATION:Keep communicating: They keep employees up to
date concerning the status of the companyand its prospects. Be transparent: They make
an effort to communicate all company news whether goodor bad, without sugarcoating the
bad news. Speak to each employee independently and inform them of how they fitinto the
companys plans for expansion. Ufone performance appraisal system is very effective after
every sixmonths everybody knows that what their score is. They provide clearinformation
regarding performance goals, on which criteria employee is to beevaluated and proper
communication of feedback on positive and negativeperformance. Ufone is a performance
oriented organization so theycompensate their employees on the basis of their
performance. Ufone also adopted the Competitive approach for compensation, because
ofthis system every employee know what the other organizations are paying forthe same job
and what they are getting is fair or not.
52. SWOT ANALYSIS STRENGTHS: Ufone has well established HRdepartment. It
has state of the art HumanResource InformationSystem. Ufone has the MarketCompetitive
Pay Structure. Equal training opportunitiesare provided. Effective and fair
PerformanceAppraisal System. WEAKNESS: More focus on InternalRecruitment.
53. OPPORTUNITIES: If Ufone gave equal importance to ExternalRecruitment, then
they will have diverse pool ofcandidates with increased productivity. THREAT: As Ufone
is cellular company and there is cut throatcompetition among cellular companies in
Pakistan.There are six other companies also working inPakistan so Ufone would have to face
some growingcompetitive pressures. Other cellular companies pay equal attention
toexternal recruitment, so they have the threat of losingthe competent employees from
external sources.
54. CONCLUSION: The HR department at Ufone is the foundation of organization as it
ismeant to take care of the employee, employees who are the biggestasset an organization
has. The HR team hires highly qualified andcompetent individuals through a screening
process. Outsourcingmakes sure that the selection is free from biases. The skill ofemployees
is developed through proper training & developmentphases. This becomes a major factor in
the career growth of anemployee. All the employees in Ufone are equally treated; there
isinternal equity as well as external equity. They have a fairperformance appraisal system.
They are compensated on the basisof performance and competitive approach is adopted
forcompensation, because of this system every employee knows whatthe other organizations
are paying for the same job and what they aregetting is fair or not. The staff at Ufone is given
incentives and rewardsso that motivation and encouragement is expressed. They
maintainthe employees by employee communication and good employeerelations. The HR
team is doing a very satisfying job with theemployees, yet there is always some room for
improvement.
Pak Telecom Mobile Limited (PTML) is a wholly owned subsidiary of...

...Pakistan Telecommunication Company Limited (PTCL) that started its operations in
January 2001 under the brand name 'Ufone'. As a result of PTCL's privatization, Ufone
became a part of the Emirates Telecommunication Corporation Group (Etisalat) in 2006.
Since its inception, Ufone has focused on the people of Pakistan, empowering them with
the most relevant communication modes and services that enable them to do a lot more
than just talk, at a price that suits them the most. Along with the claim of lowest call
rates, clear sound and best network, Ufone offers its customers simplified tariffs with no
hidden charges. With a strong and uniquely humorous communication direction that has
now become Ufone's signature across all advertising media, Ufone gives its customers
many reasons to smile.
This customer focus and best offering has allowed Ufone has built a subscriber base of
over 24 million in less than a decade. Ufone has network coverage in 10,000 locations
and across all major highways of Pakistan. Ufone currently caters for International
Roaming to more than 288 live operators in more than 160 countries. Ufone also
offers Pakistan's fastest growing 3G network, and BlackBerry Roaming coverage
available with more than 200 Live Operators across 122 countries. Ufone has also
become a focused and intensive leader in VAS, constantly introducing innovative
services, which have been the first of their kind in the Pakistani cellular industry.
As the world of telecommunications advances, Ufone promises its customers to stay
ahead, developing and evolving, to go beyond their expectations, because at Ufone, it's
all about U.
Commerce Solutions
Home
Assignments
Projects
Internship Reports
10
Jul
Internship Report on Ufone

by Commerce Solutions in Internship Report
EXECUTIVE
S UMMARY
3
untapped potential for telecom growth and an attractive investment
environment. Recently Business Monitor International (BMI) ranked
Pakistan as a key destination for telecom growth. The BMI rankings
take into account a number of factors including industry situation,
growth potential, competitive landscape and economy and political
risks etc.
The Pakistan market reached the 90 million subscriber mark in
September 2008, almost double from 2006 numbers. The growth
slowed after that and at the end of November 2008 the total mobile
subscriber number was 90.5 million.
Pakistan needs to increase telecom research and development work
within the country. China and India are in the process of becoming
world major R&D centers for technology and telecommunication. Two
top Chinese telecom equipment firms have announced their plans to

collaborate with Pakistan: Huawei is working with UET Lahore and ZTE
will setup R&D center in Islamabad. The goal of the policy makers
should be to increase the rate of transfer of technology from abroad,
broaden the pool of local skilled workforce and accelerate the local
production of telecom equipment and handset parts etc.
PTCL was established to operate cellular telephony. The company
commenced its operations, under the brand name of Ufone, from
Islamabad on January 29, 2001. Ufone continued on the path to
success. The Company further expanded its coverage and has added
new cities and highways. Ufone has network coverage in more than
5442 locations and across all major highways of the country. Ufone, a
wholly owned subsidiary of Pakistan Telecommunication Co. Ltd (PTCL),
is now under the control of ETISALAT group of UAE. It has 21% of
subscriber share and added the most lines (2.4 million) from 2006-07.
For those in Pakistan it is the one company where they can easily
invest locally. Ufone is maintaining its subscriber's base in market.
However the company needs a big push from its owners ETISALAT in
shape of more investment to increase and enhance its network and its
quality.
3
1 INTRODUCTION
1.1 COMPANY PROFILE
Pakistan Telecom Mobile Ltd, operating under the brand name of
'Ufone' a wholly-owned subsidiary of PTCL commenced its operations
on 29th January 2001 as a GSM 900 service provider. Since the outset
it has expanded its coverage and customer base at a rapid pace and
established itself as one of the leading cellular service providers in
Pakistan. Ufone is now considered to be one of the most active,
aggressive and innovative players in the mobile sector of Pakistan.
The growth of cellular sector in Pakistan can also be attributable to
good governance and conducive policies of the government of Pakistan
In connection with that in April 2006 Emirates Telecommunication
Corporation, which is commonly known as Etisalat, has assumed
management control of Pakistan Telecommunication Corporation Ltd
part of the $2.6bn deal to buy a 26% stake. The successful
privatization of PTCL, and consequently Ufone, is hailed as ushering in
a new era for telecommunications in Pakistan.
As mobile users in the country have reached 88 million at a very rapid
pace, Ufone has a subscriber base of nearly 17.5 million and a market
share of nearly 21%. Ufone has seen a subscriber growth of over 10
million since July 2007 onto its network. Subsequently the growth in
subscriber base caused a healthy trend in its revenues and margins.
Ufone has always played a pivotal role in the development of cellular
market in Pakistan. For most part it has been a step ahead in
introducing innovative products to the market. Ufone was pioneer in
launching the GPRS services and Multi-media Messaging Service (MMS)
in Pakistan, including the lead in introducing GPRS international
roaming and prepaid international roaming for these services in the
Pakistani market. Currently Ufone has expanded its product portfolio to

include Black Berry handsets and providing one of the largest EDGE
networks in the country today.
Ufone understands the need to communicate effectively and efficiently
at all levels of society, which is why various products are catering for
the needs of the Pakistan corporate market. It offers services such as
3
mobile office, Virtual Private Network (VPN), and a lot more to
revolutionized communication.
Ufone provides International Roaming facility with more than 215
international operators across 124 countries. Ufone has GPRS roaming
agreements with more than 100 international operators and also
provides prepaid roaming facility to more than 15 destinations across
the country.
5
2 COMPANY ANALYSIS
2.1OPERATIONAL ANALYSIS
Ufone's operational performance has been very encouraging. Despite
the stiff competition in Pakistan telecom market which has led to
reduction of prices to bare minimum level, due to its aggressive
policies and exercising strict control over expenses the Company
managed to improve its revenue and after-tax profit by 87% and 54%
respectively, as compared to last year.
Future Plans keeping in view the growth potential of the cellular
industry 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

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 of Ufone is on maintaining high quality of service, which
is always a benchmark of Ufone, increasing usage and exploring new
revenue streams on value added services, market visibility through
various market initiatives to fulfill subscribers' satisfaction and demand
and above all to increase the value of investment for the shareholders.
Moreover, efficient working of the workforce in the organization makes
it possible to lead the market and maintain competitive edge over the
competitors. The organizational operations can be clarified by studying
the nature of Ufone's organizational structure and hierarchy.
2.1.1Organizational Structure
The organizational Structure at Ufone is Lean or Horizontal structure.
One of the organizational functions of Ufone in relation to its hierarchy
is, the company is having Decentralized structure. The flow of
communication becomes easy and simple in such structure. It is
divided into different departments and every department has its head
and all are interconnected.
The concept of Departmentalization is effectively in practice at Ufone.
There are different departments which are working within their
functional units to contribute towards the success of organization and
to achieve the over all goal of the Organization. Ufone has 8
3
departments that are working efficiently and all are interacting with
each other to make it a much better company by satisfying its
customers demand.
The structure of Ufone comprises of Board of directors who are being
reported by CEO, Chief Executive Officer.
CEO is a great supervision to the 8 Major operations of the company.
These operations are divided into departments that are:
2.1.2Finance Department
The head of finance department is designated as CFO Chief Financial
Officer or Vice president of financial head. There are further 4 subheads
in Finance Department:
CNC
The department is responsible for Credit exposure for Ufone
postpaid connection. The department maintains the record of all
postpaid subscribers in order to ensure the subscribers validity.
Budgeting and Planning
The department is working over the budgets, the planning of
budget and its reports to the authorities. This head provides the
annual budget to be spent. The function of this head is also to
forecast any opportunities or threats towards the organization.
The reporting of the budget is being done on the monthly basis
to the head of financial officer to keep the record of the budgets.
Relationship with banks are also being maintained in order to get
help in the need time.
Accounts
The accounting head is responsible for the book keeping of the

records. The internal audits are done to ensure the stream lined
working of the processes as well as external audit by the
Accountancy firms.
Revenue Assurance
There are Revenue Assurance policies & procedures being made
by the personnel. This assurance head also Liaise with other
departments, obtain, analyze and reconcile reports to ensure
prevention of revenue leakage. The sub-head also ensure error
free billing operations, deployment of key revenue assurance
applications/solutions, fraud management.
7
2.1.3Marketing Department
The head of marketing department is designated as CMO- Chief
Marketing Officer or Vice President of Marketing Head. The department
has further 3 subheads working in specialized manner according to the
skills and abilities of the employees.
Brands
There are basically two products of the Ufone which serves as
the brands of the company. This sub-head is responsible for the
execution of the Brand Activities. Ufone is performing the
promotional activities in Brands sub-head, including advertising
over Electronic media and print media. The promotional
strategies are made by the sub-head to get the implementation.

Marketing
Strategy and Analysis
The sub-head is working in order to formularize the marketing

strategy according to the market requirement and consumer
preferences. The analysis about the market trend is done and the
strategies are made in relevance. Moreover, competitors are
biggest source of reacting towards the marketing activities.
Ufone is having a proactive marketing concept in context of
competition.
VAS
Value Added Services
VAS sub-head is responsible for proficient functioning of

conveniences provided to the customers, these VAS are
Virtual Private
Network, Call Management, Missed Call Notification, Phonebook Saver and a

host of
Infotainment and Entertainment services.
2.1.4Information Technology Department

While being a part of information technology and telecommunications, Ufone
is having a major department of Information technology. The head of
information technology is termed as CIO- Chief Information officers. IT
department is working with the division of further 2 sub-heads.
Billing
The billing department is responsible for aggregating CDRs and
preparation of the postpaid billing for customer from system.
IT Development
Any kind of IT development required by the company in billing or
CRM (Customer Relationship Management) module is done by IT
development team.
2.1.5Customer Operations Department
3
One of the departments to preserve the existing consumers, Ufone is
having a department of Customer operations; the head of this
department is designated as VP COPs Vice president Customer
Operations. The department is having 2 further sub heads.
Customer Care
Ufone provides customer care through Customer Care Center
located in all key cities, across the country. Ufone's customer
care representatives are more helpful. They will not only resolve
Consumers issues but also guide them into customizing Ufone,
according to their needs. Customers care is offered to through
o
Call Centre
Cal centre representatives are providing services, 24 hours

a day. The customers can contact the Ufone Call Center to
get answers to all their queries. Some of them include:
Bill enquiry (credit limit, expiry date etc.)
Reporting of lost phone
Number blocking in case of lost or stolen SIMs
Connection status (active / inactive)
Tariff
Products information
Ufone Sales & Service Center information
Nearest dealer information
Ufone coverage areas

Emergency number information
International roaming information
Value added services information
Missed call alerts
Call forwarding
Conference call
FNF Activation / Changes
Post Pay Reward Redemption
o Business Centre
The business centre of Ufone are offering various services to
their customers, they are basically company owned centre,
the business centre offers the SIM issuance and other
customer related issues, retention of customers and handling
requests for Mobile number portability.
Govt. Relations
9
PTA Pakistan Telecom Authority is the regulatory authority in

Pakistan concerning the network operators as well as
telecommunication practices. Ufone is also abiding the rules that
are being made by PTA. The relationship with PTA is also being
maintained as PTA is Govt. regulation.
2.1.6Engineering Department
The engineering department is Backbone of the company. The head of
the department is termed as CTO - Chief Technical Officers or Vice

president. The Engineering department is divided into 4 sub-heads
BSS Business Support System
The subhead is responsible for Radio Planning and network
optimization.
NSS
Network Switching Subsystem
The Network Switching Subsystem, at Ufone refers to as the GSM

core network, usually refers to the circuit-switched core network,
which is being used by ufone GSM services such as voice calls,
SMS, and Circuit Switched Data calls.
There is also an overlay architecture on the GSM core network to
provide packet-switched data services and is known as the GPRS
core network. This allows mobile phones to have access to
services such as WAP, MMS, and Internet access.
All mobile phones manufactured today have both circuit and
packet based services, so Ufone as a network Operator that is
having a GPRS network in addition to the standard GSM core
network.
IN
Intelligence Network
The Intelligent network's main purpose is to take care of

charging of prepaid customers and has the balance updates of
each of the customer.
2.1.7Sales Department
The sales department at Ufone is headed by Vice president Sales. The
department is being divided into 3 main sub-heads.
Corporate
Sales
the division of the sales department is handling the sales for

executives or corporate clients. These clients are having postpaid
products with billing system.
3
Franchises
& Retail Outlets
this division is handling franchises and retail outlets with a

network of more than 365 franchises and 25 company-owned
customer service centers along with a distribution network of
150,000 outlets nationwide.
Sales
operations
Sales operations at the company have been set up to provide the

customers, quality services all under one roof so consumers can
walk in to any Ufone Sales & Service Center for services like:
Mobile Number Portability
Connection purchase
Bill payment
SIM Activation
Number blocking in case of lost or stolen SIMs
Transfer of subscription
Changing access levels
Number change
Address change
SIM replacement
Product / package change

Activation of VAS
Connection closure
Handset & other mobile accessories
PIN / PUK code number inquiry
GPRS
IR activation
Call Forwarding
Conference Call
FNF Activation / Changes
Post Pay Reward Redemption
2.1.8Human Resource Department
Human Resource department is being headed by the HR executive
designated as Chief of Human resource department. The department is
working for the personnel in the organization. There are 3 main sub-heads in
the department
Recruitment
and Compensation Benefits
Ufone has this policy of not mentioning the name of the company
in a job advertisement. Usually hiring takes place through
11
outsourcing with a help of a third party. Final selection takes

place after the candidate has been interviewed by the Manager
of the department who requires the new employee and then the
HR Manager.
A very effective way to retain an employee is to give him
compensation and benefits. At Ufone following benefits are
given: Medical Facility to employee and his/her parents and Paid
Vacations, Gratuity, Provident fund etc.
Training
Training & Development involves improving the knowledge, skills

and abilities of the individuals. A continuous training is
conducted inside Ufone to improve the performance of the
employee. There are two types of trainings conducted at Ufone:
In-house Training and External Training.
HR Operations
HR operations at Ufone include the working over all Human
resource Functions that are
o Orientation
o Human Resource Planning
o HR hiring / recruitment
o Selection Process
o Compensation and benefits
o Training and Development
o Human Resource Information system
Strategic Planning Department
o This department directly reports to Chief Executive officer.
o
Ufone views strategy as an overall approach and plan. This
department monitors the executions of strategic plans and
goals across the business. So, Strategic Planning at

company is the overall Planning that facilitates the good
management of a process. Ufone strategic planning is
providing the big picture of company's operations and long
term goals.
3
o Forecasting the opportunities
o Building Synergies
o Long-term Planning
o
Implementation of Strategic Plans
13
2.2 HUMAN RESOURCE ANALYSIS

Currently there are over 1500 permanent employees working in Ufone
nationwide. On the entry level the HR Department is mostly taking
MBA graduates. According to Ufone their belief is that "Their people are
their greatest asset". The HR team takes great pride in acknowledging
the contribution of each employee. Ufone focuses a lot on HR
Developmen nt and for that the HR team ensures:
Staff of Ufone consists of world class Professionals and Ufone
ensures that the right systems are in place to encourage people
to develop to their full potential
Collaborative and mutually supportive work environment is
created that encourages people to grow
Team of professionals is built which delivers expertise by
participating in business decisions

Performance Management and Reward Systems are developed
which underlies the Business strategy of Ufone
A clearly defined Recruitment & Selection policy is defined
The need for Training & Development of employees is assessed
Compensation & Benefit plan is developed which ensures that
employees are motivated
Ufone is basically equal employment opportunity organization. Almost

70% of its employees are male and 30% are female. The job
description of each and every employee is predefined. Performance
appraisal is done on annual basis. Average age of Ufone employee is
32 years. This shows that they prefer young and energetic people for
their middle and lower level management. High profile well
experienced persons are considered for top level management.
Average Salary is 12000 for a Ufone employee.
2.2.1Management
In Ufone the hierarchy is very lean, in general the whole setup is
centralized all the matters are to be reported to the head office and all
the policies and targets are approved at the higher level. But at the
branch level the structure is decentralized.
2.2.2Personnel
There are about 150 employees who are working in the Ufone Head
Office and 2500 employees serving nationwide. All of them are very
devoted as they are given a wonderful learning environment to work,
pay offered to them is also very attractive and ample chance of

progress motivates them to work more. The job analysis is done on
3
targets assigned and daily routines. The employees are indeed very
satisfied and motivated.
2.2.3Recruitment & Selection
Recruitment is the process of gathering a pool of candidates for an
organizational vacancy. Selection is the process of short listing only the
qualified candidates who are fit for the job. In terms of recruitment and
selection it is important to consider carrying out a thorough job
analysis to determine the level of skills/technical abilities,
competencies, flexibility of the employee required etc. And HR at Ufone
follows these criteria. Ufone policy of recruitment is very simple, if at
any time there is a vacancy, due to retirement, resignation, if
employees opted for the golden handshake or the death of an
employee, the management of the branch will inform the head office
about the vacancy. The head office will place an advertisement in all
major newspaper with the all necessary information required to be
furnished by the applicant.
Ufone has this policy of not mentioning the name of the company in a
job advertisement. Usually hiring takes place through outsourcing with
a help of a third party. Ufone mostly hires employees through Pioneer
Services and Sydiat Haider Associates. Final selection takes place
after the candidate has been interviewed by the Manager of the
department who requires the new employee and then the HR Manager.
On the joining day, the employee has to submit the following
documents to the HR Department:
Joining Report
Copies of educational and professional degrees/certificates
Reference Letter
Three copies of recent passport size photographs
2.2.4Training & Development
Training & Development involves improving the knowledge, skills and
abilities of the individuals. A continuous training is conducted inside
Ufone to improve the performance of the employee. There are two
types of trainings conducted at Ufone:
In-house
Training: In-house training is customized training
which is only for Ufone employees.

External
Training: External training is carried out through
trainers in training institutes.

2.2.5Compensation & Benefits
A very effective way to retain an employee is to give him
compensation and benefits. At Ufone following benefits are given:
15
Medical Facility to employee and his/her parents

Paid Vacations
2.2.6Orientation
A newly hired employee is oriented so that he can get an idea about
the organizational setup so that he may feel at home. At Ufone
orientation plan covers the following points:

Visits to different department of the company
Company's Policies, Rules and Regulations
2.2.7Human Resource Information System (HRIS)
At Ufone profiles of all the employees containing data relating their
payroll, leaves, benefits etc is saved in a database known as HRIS.
Ufone uses a locally procured HRIS which is to be upgraded using
Enterprise Resource Planning (ERP).
2.2.8Human Resource Planning
Planning provides a guideline to accomplish an activity. At Ufone the
HR team plans everything so that the outcomes and results can be
perceived before the plan is actually implemented. This makes the
planning more accurate and efficient; it also saves time and money.
3
2.3MARKETING ANALYSIS
Ufone is having 2nd largest number of subscribers. Ufone has been
attracting the masses since the time of its origination. Ufone is also
known for its quick marketing.
MARKETING MIX
I have analyzed the marketing mix of the Ufone. Marketing mix
includes the analysis of the firm's product, pricing, promotion and
placement. Ufone's marketing mix can be
2.3.1PRODUCT
Ufone understands the value of words and the need to communicate
effectively and efficiently at all levels of society, which is why

company's primary focus is on U. Ufone offers, Prepay & Postpay
services in the Telecom sector.
Ufone Prepay
Ufone prepay is the product segmented for the
youngsters. They are segmented on the basis of
their age and status. They recharge through the
prepaid cards whenever they feel comfortable to
load the cards.
Ufone Postpay
Ufone Postpay is created for the executives and
business class people, who require making calls
within the country or internationally for the
business purposes. Business executives enjoy the
benefits and value added services connected with Postpay product of
Ufone
Ufone For Everyone
The telecom market's growing rate in Pakistan is
higher than any Asian country. Ufone offers lower
rates and better network then other already
established cellular companies. All living standards
have been captured by Ufone, like Students, Labor and Businessmen,
etc.
Ufone aims to provide with wider coverage, superior connectivity, clear
signals & voice quality to their valued customers.
17
U-Circle
Prepay provides an easy way to call Friends & Family. Ufone is making
it easy for its consumers to call friends & family with U Circle. Now the
consumers can talk more for less with the most economical rates to
call their Ufone Circle.
U Share
Ufone Prepay customers can now share their balance with
each other through a simple SMS in 3 easy steps.
Mobile Number Portability
Ufone welcomes consumers to bring their mobile number to the best
service. Through Mobile Number Portability (MNP), mobile phone
subscribers can retain their mobile phone numbers when they change
mobile operators. Therefore a 0300-xxxxxx or 0345-xxxxxxx can be a
Ufone customer in the MNP regime.
2.3.2PRICING
As compare to other telecommunication companies, Ufone offers its
services with lower and affordable rates. The price of product matters
in the market but low price with high density service is not an easy
task to accomplish. For the satisfaction of valued consumer Ufone
merged the low Price and high density services with wide network.
Both, the Prepay & Postpay tariff are being defined as follows:
Call Charges Prepay Tarif

Ufone Prepay
Tarif (Rs.) Per

Minute
Within Ufone
Community
To Other
Networks* To PTCL
Outgoing Call
rates / Peak
Hours
(7am - 10pm)
2.50/- 2.50/- 2.50/Outgoing Call
rates / Of Peak
(10pm -7am
1.50/- 2.50/- 2.50/19
Ufone Postpay provides you with matchless call plans to suit your
lifestyle and connectivity drive. Use your Ufone Postpay for business or
leisure and stay connected all the time.
Call Charges Postpay Tarif

Ufone postpay Tarif (Rs.) Postpa
y ZLR
Postpa
y Ease
Postpa
y Value
Postp
ay
Extra
Monthly Line Rent 0 199 399 999
Outgoing Call Charges (per 30 seconds)
Ufone to Ufone 0.90 0.60 0.50 0.40
Operators 1.15 1.10 1.10 0.90
Ufone to PTCL & WLL
Network 1.00 0.80 0.70 0.60
SMS Charges
Ufone to Ufone 0.50 0.50 0.50 0.50
Operators 1 1 1 1
Free ofers
Free Minutes 0 200 400 1000
Free SMS 0 25 50 100
Security Deposit
Local & Nationwide 750 1,000 1,500 2,500
International Dialing 2,500 2,500 3,000 5,000
International Roaming 15,000 15,000 15,000 15,00
0
Highlights of Recent Earning Report
For the first quarter 2006-07 ending October 30, 2006 Ufone profit before
tax was Rs.7.7 billion with net Profit of Rs.5.1 billion, which is 7% lower than
that of the corresponding quarter of last year. For the full year 2005-06 after
3
tax profit was Rs 20.78 billion which was 22% less than previous year's profit.
Dividend of Rs 3 per share was awarded which corresponds to an impressive
dividend yield of 12.3%.
Pricing Strategy
Pricing strategy plays very important role to acquire market share
where giant competitors are already working and moving ahead.
Ufone has implemented low pricing strategies to reach its objectives.
Pakistan's mostly population contains on Middle class and working
class people. In this view the low pricing strategy of Ufone gets
attention of many customers. In the early age of Ufone launched, they
decide their logo by the people opinions that boost its products. An
advertising campaign launched showing Bakra Market that relates to
middle class of Pakistan.
2.3.3PROMOTION
For the promotion of product, print media, electronic media, billboards,
broachers and leaflets has been utilized for the awareness of various
customers.
Time to time, Ufone promotes its services / schemes to their users and
general public via using various type of promotion channels. Through
the advertisements people get awareness about the product and are
able to choose the best one for fulfill their requirement in Mobile
Telecommunication.
Electronic
media
Ufone is making use of electronic media

through Television advertisements. Ufone is
having its great deal of advertisement on
television, to aware its consumers about the
latest product offerings. The interesting part
is that Ufone is sticking with its humorous
appeal and is doing really good in it. Ufone
is famous for its own style of humorous
advertisements which are truly becoming the talk of the town. Ufone is
motivated with providing best ads to people with quick service.
Advertising campaign is special and impressive than other cellular
companies, like concept, models, colors scheme and visualizing. The
21
advertisement of post pay has been very much attractive for the
business class customers with the slogan of endless possibilities.
Print Media
Ufone is actively providing its advertisements in print form
as well. They are using various ways as a means of
promoting the brand. Ufone's advertsisments can be seen
in newspapers and magazines. Ufone is vigorous in
attracting people and making them upo date about any
new information through print media as well.
Billboards
Billboards (Including skyscrapers) are the

key sources for the promotion of Ufone.
Ufone is also in practice with placing
billboards to the prominent areas, which are having the most contact
of the people. These billboards are the reminders of the brand through
which people get attracted. New packages or any updates about the
product features are displayed. Different kind of advertisement can be
seen on Television and billboards. Ufone is also a co-sponsor of Cricket
World Cup 2007. Moreover, the shops title boards are also being
sponsored by Ufone over all Pakistan. Now retail stores and shops have
also "adopted" the mobile brands. People are seeing fabric stores, toy
stores and even doctor's offices displaying the phone company brand
signboards.
SMS Marketing
Ufone is not only making a use of electronic media as its promotional
activities. But Ufone is also doing marketing of its new packages, their
updates, any new offerings through SMS. Ufone is committed to retain
its existing customers to get switched to other network operator.
Through SMS marketing, Ufone is making its consumers aware, with
new items launched and easy way to exercise those facilities by Ufone.
Internet Marketing
3
There are users who are active
users. They are in continues
contact with www i.e web.

These users try to find the
solutions through internet.
Ufone website
(www.ufone.com) contains
bunch of information about the
product, services, coverage,
placement, and value added
services. Website is playing a
leading and significant role for the promotion of product. Ufone is
promoting its brand through cyber marketing in which they have
placed their brand's slogans and latest reviews. For example they have
placed banner ads on various sites. The renowned community
FACEBOOK is also having its advertisements on the right pane of the
window.
Call operators of customer service department are professional and
proficient to resolve consumer problems and they are 24 hours
available to respond customer's query.
2.3.4PLACEMENT
Ufone added 4.0 million subscribers in 2007-08
as compared to its addition of 6.5 million in
previous year. Ufone has added the highest
number of cell sites in 2007-08 and that addition
was 1,827 new cell sites during 2007-08. With
addition of these, Ufone total cell sites have
reached to 3,471. Ufone is the network operator

which Operates with a network of more than 365 franchises and 25
company-owned customer service centers along with a distribution
network of 150,000 outlets nationwide.
Ufone is covering over 5442 key destinations. Ufone is the ultimate
means to stay connected wherever business takes consumers allowing
seamless roaming through the network providing the best nationwide
coverage.
Ufone, being one of the leading cellular service providers has recently
launched its service in many new cities. Keeping up with its pace it is
rapidly expanding its network.
23
Ufone keeps on adding new cities with same superior network that
continues to expand. Ufone covers all major cities of Pakistan now
consumers can enjoy comprehensive coverage in areas like the GT
Road, Super Highway & Motorway etc. So wherever they are in
Pakistan, Ufone keeps them connected.
Ufone's Network Up gradation
Under the agreement, Huawei will provide its future-oriented EnerG
GSM solution to expand Ufone's network to cover over 1,500 cities,
towns, villages and all major highways in the country. The network also
allows Ufone subscribers to enjoy high-speed wireless data service.
The GSM contract for Ufone also include Huawei's new
generation GSM dual density BTS that feature high
integrated and receiving sensitivity to improve the network

performance and lower the cost of network construction
and O&M expenditure. In addition, Huawei will provide
Mobile Softswitch solution based on the advanced R4 architecture to
satisfy Ufone's network expansion requirements, enables the telecom
service provider to evolve into 3G smoothly
2.3.5Market Segmentation
Ufone is segmenting the market according demographic segmentation,
i.e. on the basis of age groups. Ufone has segmented its product on the
basis of its features.
Ufone Prepay is segmented for the youngsters, whit attractive
packages to their requirements
Ufone Postpay is segmented for the people of mature age,
having their own business, belongs to business class or people
who are senior executives of the organizations
2.3.6Target Market
Ufone has the target market concerning youth in the nation. This target
market of youngsters comprises of the 40% population. Ufone is having
focused advertising towards the target market simultaneously focused
brand building over the market segment of youth.
Ufone is targeting the emerging segments of middle class in the
population to increase the number of subscribers as well as the
revenue generation from these subscribers
3
Ufone has also targeted the corporate class, for which Ufone is
customizing the packages in order to preserve the existing small but

profitable corporate of SME market segment.
2.3.7Market Dominance
Ufone is having a concept of Market dominance. Ufone is a measuring
the strength of its brand, product, service, and firm, relative to
competitive offerings. For being competitive in the market and while
following the strategies based on market dominance, Ufone has
become the LEADER, instead of follower or challenger of new offerings.
While being a leader of the various offerings, it has maintained the
marketing of its product within shortest span of time. This maintenance
has been done in order to make people aware about the latest
offerings of the Ufone.
2.3.8Market Diferentiation
Due to aggressive competition in Pakistan mobile companies, the
operator needs to differentiate their product from others in order to
attract more and more customers. Ufone with its basic or core product
which is becoming homogenous with the other's products is struggling
to introduce the differentiating offers for the consumers.
In the telecom industry, for differentiating the product means to bring
and implement some new and innovative technology. Technological
improvements at Ufone are continuous process. These practices of
bringing something new to the society at Ufone are emerging in the
context of GPRS and 3G services. Ufone is not only emerging
technologies but also maintaining a technological dominance for the
services it is providing.
Ufone is coming up with innovative products and becoming pioneer
towards the new arenas. Ufone is launching innovative packages and
products for enhancing its revenues. The basic focus of Ufone is to
enhance its VAS- value added services. Ufone is providing as much as
convenience to its consumers as they expect. Some of the value added
services offered by Ufone are
Phonebook Saver
My Ufone Account Services
Infotainment
Urdu Info Services
Trivia Quiz
25
Pocket Data Services

Virtual Private Network
Call Features
Messaging Services
U-Share
3
3 ENVIRONMENTAL ANALYSIS
3.1 INDUSTRY AND MARKET ANALYSIS
Cellular Mobile segment of the industry is considered an engine of
growth for telecom sector in Pakistan. Cellular Mobile sector continued
to add 2.1 million subscribers per month during the year 2007-08.
Cellular mobile operators continued their Aggressive marketing and
network expansion. Competition among operators became more
intensive with aggressive entry of CM Pak, a China Mobile subsidiary in
Pakistan. CM Pak with their brand Zong and Telenor have added
significant Subscribers very rapidly. Several cellular operators offered
various Value Added Services at lower rates to attract more customers.
The sector exhibited slow growth than year before. Cellular Mobile
teledensity jumped from 39% in 2006-07 to 54.7% in 2007-08.
Collective Revenues of the sector have grew by 35% in the year 200708 against a record growth of 48% in the year 2006-07. Cellular
subscribers grew by about 40% in the year 200708, as against 82% in
2006 -07 and more than 100% during 2005-06. Main reason for its slow
growth could be the rising inflation which affects the affordability,
higher taxes, saturation of the urban markets and low tariffs. Regulator
remained vigilant in resolving all sector related issues. The most
significant development was the shift from 7 to 8 digit numbering plan,
which was completed during 2007-08. It was a huge task and PTA took
it as a challenge. Not only all cellular MSC but also all fixed line
switches have been enabled for 8 digits. It is consider as a great
success of the regulator for implementing it in short span of time.
Verification of unauthorized SIMs was another herculean task where
tremendous progress has been made. In collaboration with NADRA and
mobile operators, PTA has devised a comprehensive mechanism to
verify the SIMS. It was observed that approximately 7 million SIMS

have not been registered properly who were warned by PTA and
operators were directed to register immediately otherwise face
disconnection. PTA launched a media campaign in this regard along
with strong warning has been issued to unregistered user if they failed
to register their connections, it will be blocked. Besides, PTA ordered
closure of various Franchises who were not implementing the proper
procedure for issuance of cellular mobile SIMs. PTA continued its IMEI
27
system where it blocked number of mobile handsets stolen or reported

theft by users.
3
3.1.1Major Product Lines Market Segment
MOBILINK
Mobilink is having two major products which have catered the market
of consumers. Each of the products is having its distinct services in
according to the segmentation of consumers.
Indigo
Mobilink indigo is one of product of Mobilink Orascom Telecom
Company, this product line has been launched to attract the
executives of the companies, in order to facilitate them
according to their business requirements. Indigo offer the
business consumers to Enjoy value that remains unrivalled with
an enhanced indigo lifestyle that better delivers on thier
businesses and personal communication needs. Mobilink indigo
has provided their consumers with postpaid experience, with

several of distinctive facilities. Indigo is providing holistic
coverage with international roaming for the business executives
and superiors. Freedom plans are also one of the benefits to the
consumers as discounted airtimes to pursue the business
communication at the right time. Like all other products, the
Mobilink indigo is also providing instant customer care.
Jazz
Another product of Mobilink is JAZZ. The product is

segmented to cater the young profiles in the country.
Mobilink's mostly sold product is JAZZ. As it is giving the
youngsters the joy and colour to their lives according tot
their requirement. Jazz is providing a bouquet of benefits in
the form of full services, attractive call rates and network
reliability, jazz liberates its jazz subscribers from the
shackles of silence, so that the consumers can better
express themselves. The product offers the prepaid
perspectives but the nature can be changed to postpaid as
well. Due to large sales of the product, its being used by the
subscribers of different ages.
TELENOR
Another international telecom giant in Pakistan industry is Telenor.
Telenor is offering three products to its subscribers.
29
Persona
Telenor is offering a great product deal for the business

managers and executives. The professional lives of the
subscribers are benefitted with the Persona cellular connection.
Persona is Postpaid connection and is giving the consumers with
instant connectivity, simple and uncomplicated billing and a host
of value added services with EDGE for the first time in Pakistan
and international roaming for the excutives in almost 125
countries.
Djuice
Djuice is another telenor's product, this product is Telenor's

international youth brand and was first launched in Norway. Since
then, it has rocked youth in Sweden, Ukraine, Hungary &
Bangladesh. Pakistan is the addition to the djuice family, having
launched in March 2005. Since then, djiuce is attracting youth
with different services innovative in nature.
TalkShawk
Telenor Talkshawk is the most famous among the telenor

products, the product is prepaid connection with various
conveniences. The talkShawk Connection of product is Prepaid
connection for its subscribers.The smartest package to call any
network, anytime with amazing call rates, freedom to recharge
through Easyload.
WARID TELECOM
Waridtel is providing the products to its subscribers distinguishing

them in consumers and corporate users. For consumers Waridtel has
segemented the pdocts in two product lines.
Consumer Postpaid:
Postpaid product is offered to consumers with various servives
and facilities. It offers the comsumers to make the payment of
bill conveniently thorugh emails or scratchcards. There are
various postpaid tariffs to meet the requirements of the
consumers.
Consumer:
Zem
Zem is the prepaid product of the warid tel, it offers the

subscribers to enjoy a prepaid convenience that is backed up by
the promise of service, service & more service. Not only it is
3
simple to use but it also offers a host of revolutionary products &
features that will forever change the way consumers
communicate.
Warid Corporate
Warid Corporate product is Exciting efficient and time saving
solutions are available to meet all corporate needs facilitating
the flow of communication of valuable corporate/individual
clients. Warid gives consumers the access and flexibility they
need wherever they go. It provides Wireless Broadband
promoting connectivity everywhere, Enterprise SMS, corporate
clients can send bulk messages to their customers for

promotional activity, Warid Mobile Email (WME)
UFONE
Ufone is offering the products which are categorized on the basis of
their connection nature. There are basically two products of the Ufone
which are facilitating the consumers.
Ufone Prepaid
Ufone Prepaid is consumers brand, vibrant, innovative and
unique, with an identity that's entirely its own.
Ufone prepaid is attracting the youth of Pakistan. Ufone
recognizes the need of consumers to stay in touch with friends
and family which is why Prepaid scratch cards are available in
four denominations to suit their budget; so consumers can
charge their phone easily with their pocket.
Ufone offers value added services; sending the MMS to various
contacts, There's Voice mail for when subscribers are unable to
attend their calls, ofcourse consumers need to keep in touch with
friends all the time and calling isn't always convenient, that's
where SMS's come in; so consumers can put their thumbs to
good use. Consumers can download all sorts of cool picture
messages, wallpapers, ring tones, logos and what not from the
Ufone website onto your cell phone.
Ufone Postpaid
31
An endless possibility of Ufone Postpay is a connection that
connects with customers determination to conquer all odds.

Ufone Postpaid is a brand that keeps up with consumers,
understanding their drive for victory in the business arena and
your sense of belonging in your personal life. So the
segmentation is based on the business superiors and high
profiles. On the road to success, Ufone Postpaid is a brand for
those who expect more from life, from themselves and from their
phones, so turn your mobile communication into the unique
experience you always wanted. Ufone aims at providing
consumers with the most superior mobile phone services, widest
quality network & best customer services for consumers on their
journey to success. Ufone Postpaid is designed to suit your life
style & communication drive.
3.1.2Growth Rate for the Entire Industry
The growth rate of the Pakistan's cellular industry can be measured
through the number of subscribers in Pakistan. The growth of these
subscribers can be analyzed through the provincial subscribers.
Subscribers
Growth and
Penetration
3
Cellular Mobile sector has shown an impressive growth over the years.
Pakistan has been one of the fastest growing mobile markets among
the emerging telecom Markets. Subscription of subscribers remained
impressive for another year and all companies together added more
than 25 million subscribers to their networks. Total subscribers crossed
88 million at the end of 2007-08.
During the year 2007-08, Telenor added about 7.4 million subscribers
as compared to 7.1 million in 2006-07. Mobilink comes second with the
addition of 5.7 million subscribers during the same period. Warid
telecom succeeded to add another 4.8 million subscribers this year.
Ufone added 4.0 million subscr-ibers in 2007-08 as compared to its
addition of 6.5 million in previous year1. CMPak entered the cellular
market with aggressive marketing and infrastructure roll out. Its growth
was negative previous year but this year it added 2.9 million
subscribers in last few months. Cellular Mobile penetration in Pakistan
reached 54.7% at the end of 2007-08, which is 15.3 percentage points
higher than the last year.
Despite impressive addition of cellular subscribers by operators during
2007-08, Cellular Mobile market could not maintain its growth patterns
of the last 3-4 years. Generally, the growth of subscribers has declined
considerably in 2007-08, which is evident in Table - 7. Total subscribers
growth has been reported 40% in 2007-08, which has declined from
82% in the year 2006-07. Growth of cellular subscribers has declined
by all major companies.
Mobilink growth declined registered from 53% to 22% while Telenor
growth has declined from 199% in 2006-07 to 69% in 2007-08. CMPak
has entered the market recently and has shown positive growth.
33
Cellular Mobile
Penetration in all
provinces has increased
in last one year. The
province of Punjab
toped in numbers
though its total
teledensity is second to
Sindh. Total subscribers
in Punjab at the end of
June 2008 reached 52
million compared to 37
million in 2006-07.
Growth of cellular Sector subscribers remained highest in the province
of Baluchitsan where subscription grew by 57% in 2007- 08 with total
cellular subscribers approaching 2.2 million compared to 1.4 million in
2006-072. When compared with 2006-07 and 2007- 08, Cellular Mobile
penetration has increased by 36.8 percentage points in Punjab and its
total teledensity climbed to 58.0% at the end of 2007- 08, which was
42.4% in 2006-07. A significant improvement in Baluchistan has been
noted where its cellular Mobile teledensity has reached 27% in 2007-08
which was just 17% at the end
of 2006-07. This improvement is due to the special attention of
regulator and Government of Pakistan for this province in telecom
sector in last year.

3
3.2 COMPETITOR ANALYSIS

3.2.1MAJOR COMPETITORS
Ufone is facing competition from 4 network operators operating within
Pakistan, among which, warid and telenor and multinational
organization.
MOBILINK
Mobilink GSM (PMCL), a subsidiary of Orascom Telecom, started its
operations in 1994, and has become the market leader both in terms of
growth as well as having the largest customer subscriber base in
Pakistan - a base of over 31 million and growing. Mobilink pride
ourselves on being the first cellular service provider to operate on a
100% digital GSM technology in Pakistan that also provides state-oftheart communication solutions to its customers.
Mobilink offers exclusively designed tariff plans that cater to the
communication needs of a diverse group of people, from individuals to
businessmen to corporate and multinationals. To achieve this objective,
we offer both postpaid (Indigo) and prepaid (JAZZ) solutions to our
customers. Compared to our competitors, both the postpaid (Indigo)
and prepaid (JAZZ) brands are the largest brands of their kind in the
Pakistan cellular industry.
In addition to providing advanced voice communication services that
makes the lives of millions that much easy, we also offer a host of
value-added-services to our prized customers. At the same time,
Mobilink places high importance to its coverage, which is why we cover

you in 10,000+ cities and towns nationwide as well as over 130
countries on international roaming service. In other words, we speak
your language, everywhere.
Strengths Weakness
35
Market Leader (Market share)
Largest Network Coverage
Strong Brand (Jazz)
High %age of high end
customers
Low network dependency on 3rd
Party (own backhaul fibre & LDI)
On net advantage
Can charge price premium
Strong media presence
Financial muscle through strong
top line
Experienced & dynamic team
Most exposed to loss of customers
Weak customer care
Billing issues & hidden charges
Technical issues due to mix of old &
new infrastructure and multiple
vendors
Slow process due to OT
Internal bureaucracy
Unsustainable opex structure
Opportunities Threats
TELENOR
Telenor Pakistan launched its operations in March 2005 as the

single largest direct European investment in Pakistan, setting
precedence for further foreign investments in the telecom sector.
The company has covered several milestones over the past twenty
eight months
and grown in a number of directions, Telenor have grown to become a
leading
telecom operator in the country. In fiscal year 2006, Telenor achieved
nearly 200%
growth in our subscriber base the highest in the industry by a wide
margin.
Telenor are the fastest growing mobile network in the country, with
coverage
reaching deep into many of the remotest areas of Pakistan. In the most
difficult
terrains of the country, from the hilly northern areas to the sprawling
deserts in the
south, at times we are the only operator connecting the previously
unconnected.
Strengths Weakness
Extensive rural market presence

Geared for 3G
(Substantial high end customer base)

Presence in international financial
market
(No hurdle in International borrowing)

Able to hire cream resources from
mkt
Use of MVNO to increase revenue
New Revenue streams
(Mobile advertisements/ mobile

commerce etc.)
Industry reaching maturity
Higher probability of churn in the
industry
Customer loyalty low in the
industry
MNP major loser in industry
Price war can hit more
Global Operator
Aggressive rollout of network
Brand consistency
Strong retail network
Employee loyalty (HR)
Quick reaction to competitors
100% equity financed operation
Long term vision for profitability

Strong & effective marketing
Strong vendors (Nokia siemens)
Maintaining substantial growth
in revenue
Top management "Non-Pakistani"
Single Vendor
High Capex & Opex cost
ZTE equipment in northern area
(untapped market)
3
Geared to Challenge No. 1
position
Employer of Choice
3G part of their business case
Geo/socio/economic factors
Religious elements opposition
Irrational behavior of industry (Zong)
WARID TELECOM
Warid Pakistan launched its services in May
2005.
Within 80 days of launch Warid Pakistan claims to have

attracted more than 1 million users. According to
Pakistan Telecommunication Authority, currently
Warid Telecom has 16.15 million subscribers as of
September 2008. It is ranked as the fourth largest

operator in Pakistan. Warid Pakistan claims it has the largest "postpaid"
subscriber base in Pakistan.
On June 30th, 2007, Singapore Telecommunications Limited (SingTel)
and Warid Telecom announced that they have entered into a definitive
agreement subsequent to which SingTel will acquire a 30 per cent
equity stake in Warid Telecom for an estimated $758 million valuing
the company at an enterprise value of $2.9 billion.
Strengths Weakness
37
Singtel International partner
Price perception
Postpaid base
Government links/influence
Affinity partners (BAL)
Owned Backbone Infra
Ericsson Network infra limited
presence of Hauwai
Dis-organized team
High Bad debts
Weak distribution structure
Low brand image
Current network footprint
Limited telecom experienced
management
Blackberry to attract high end
market
Synergies with group companies
(BAL /Wateen / Wincom)

Singtel buyout of major stake in
company
Brand revamping
Bidding for 3G license
Market reaching maturity
Socio/economic indicator
PTA regulations
HR (FnF)
ZONG
3
Zong is the first International brand of China
Mobile being launched in Pakistan. It is meant to
empower and liberate the people of Pakistan in
every nook and corner of the country. It will
become a part of their hearts, their minds and
bring about a change in their lives that every one desired but few
thought would be possible.
The core essence of ZONG is to allow people to communicate at will,
without worrying about tariffs, network coverage, capacity issues or
congestion. ZONG will be supported by ground breaking
communications, trend setting customer service and an unmatched
product offering which will redefine rules of the game and establish
ZONG as a serious contender for the number one spot.
Strengths Weakness
39
China mobile financial strength
Clear strategy to achieve market
share
Long term vision for profitability
Decent brand
China Influence on government
Perception of china "Cheap"
Lack of international management
experience
Time of entry 5th operator
Issues with distribution structure
Lack of Onnet volume
3G makes sense for business
Use of MVNO to add to revenues
stream
Buy out of operator "Insta"
Youth market
Unable to meet customer expectation
Market reaching maturity
Socio/economic indicator
Industry can strongly react
PTA regulations
Team development
3.2.2COMPETITORS MARKET SHARE

Market share of operators is considered an important tool to gauge the
level of competition in any sector of the economy. Marker shares of
Cellular Mobile Operators indicate that market is moving toward
perfect competition where the share of major operators are declining
and new entrants are able to grab more share in the market. During
the year 2007- 08, Telenor has emerged as fastest growing operator
who has improved its market share from 17% in 2006-07 to above 21%
slightly higher than Ufone who also has 21% market share. On the
other hand, the leading mobile operator, Mobilink is loosing its
Significant Marker Power place rapidly and its
Share has declined by about 5 percentage points and reached 36% in
2007-08 compare to 41% in 2006-07. CMPak is also growing very fast
and it has added 2.9 million subscribers, which is an impressive
number and one could hoped that in future it will grab more market
share. CM Pak has added more subscribers in last few months and it
has continued its aggressive media campaign along with infrastructure
rollout which helping it to grab more market share in short span of
time.
3.3 TECHNOLOGICAL ANALYSIS

Telecommunication sector in Pakistan
The telecommunications sector at the global level is passing through
rapid technological developments and an increasingly liberal policy

environment. The same holds true for Pakistan where the sector has
been exposed to reforms witnessing a significant expansion of both
fixed and mobile networks and striking improvements in quality.
3
Pakistan may be categorized among those Asian economies which
have partially privatized the state owned telecom sector while
deferring the introduction of full scale competition to a future time.
There exists a service competition rather than network competition. To
inculcate and strengthen the concept of a market driven economy, the
government of Pakistan established an independent regulator with the
name of Pakistan Telecommunications Authority (PTA) in 1996.
Afterwards a lot of achievements had been made in Pakistan telecom
sector.
Although tremendous growth has taken place in the Pakistan telecom
sector but most of it can be attributed to the cellular growth. Fixed line
is still awaiting a take off. Similarly Value Added Services have grown
but are still a drop in the bucket. Now that the competition has been
introduced in the telecom sector some very positive impact have been
observed on the growth of the sector in a short span of time which is
expected to continue to grow for at least next five years if the daring
investors influx continue as in the last 3 years. The growth of Pakistan
telecom sector with the usage of technology can be seen in the sectors
of
Mobile Sector
Fixed Line Sector

Wireless Local Loop Sector
Payphone Services
Internet Services
3.3.1Technological Problem
Electricity A technical disturbance
Power crisis is leaving worst financial impacts on telecom sector like
any other business domain of the country. With increasing competition,
decaying service prices, investment pressure for 3G rollout, emergence
of new players and growing operational expenses, power shortage in
the country has fanned the fire in shaking telecom investors. An
immediate and effective re-evaluation of business strategy should be
carried out in order to lessen the effects of this dilemma. With
considerable geographic spread and a populous rural track, telecom
companies are working vigorously to expand their network reach to far
flung areas of the country. The current business scenario, where the
rise in cost of primary and uninterrupted power supply has amplified
41
enormously telecom companies must tie their hands together to share

their infrastructure to minimize the expenses.
Estimates, suggest that there are more than twenty thousand telecom
towers in he country that worth millions of dollars. Market study
predicts that at least 20% telecom towers are erected with no
competitor's presence, which can be shared amongst the cellular
operators. Telecom infrastructure sharing can not only shave the fat off
an operator's capex but also opex costs as well, can be vital in coming
days. All operators' under the umbrella of government must unite to
gain the benefits of network sharing.
3.3.2Innovation
The implementation of latest technology
Pakistan Telecom has a lot more to achieve, the industry may further
expand and lower tariffs can also be achieved. The present players
have many chances to take lead, as consumers are more well-aware
about their purchase decision concepts such as connectivity, coverage,
voice quality and value added services and will only go for the best
packages available. Broadband in the last mile, Value added products
and content development are rather barely explored markets and offer
a great deal to an aggressive investor. 3G services in major cities
would take a slow start but will catch on fairly well and will be a major
contributor in satisfying consumer's needs provided these are offered
at affordable cost with easy access, availability, reliability and with
abundant content.
Our Industry already has LL (Local Loop), WLL (Wireless Local Loop),
LDI (Long distance and International), and ISP (Internet Service
Provider) players and WiMax; 3G cellular systems are expected be a
part of this Industry soon. Many actions have been started to make 3G
services casual in society.
The recent focus of the industry is the proliferation of broadband
services at affordable rates throughout the nation. The latest
technology of 3G mobile communications (mobile broadband) has been

earmarked and PTA will soon be inviting applications for 3G spectrum
auction. This technology will increase operating capacity and revenues
by using HSPA technology; at the same time it will also provide
superior and high speed broadband services, video telephony, internet,
video streaming, high quality mobile TV and a number of value added
3
services. The players are focusing on mass advertisement, offering
expanding coverage, customer services and unique and attractive
packages.
Recommendations
3G - the major force for broadband penetration. The following are some
of the recommendation for the growth of 3G broadband market in
Pakistan.
1. Government should provide tax holiday to the wireless operators
for the implementation of 3G services in Pakistan.
2. The expected 3G license cost should be kept at a reasonable rate
to spur growth in the broadband segment and should not be
used as a vehicle for earning additional revenues for
government.
3. USF should also encompass the broadband services and should
help the operators in their expansion in semi urban areas and
later on in the rural areas of Pakistan.
4. Subsidies should be given on the computers, Customer premises
equipment and other hardware. Steps should be taken to

encourage local manufacturing of such items.
5. Local content developers should be given special incentives and
outside purchase of such content should be discouraged.
6. Regulation of pricing for maintaining businesses profitable
3G licensing
Existing cellular industry is one of the most competitive industries
and it is recommended that no new entrant is offered licenses in 2g
or 3g market. As 3G is a natural evolution for GSM and the
broadband market is its infancy with limited market size. It is
recommended that (1 x 5 Mhz) spectrum is allocated to each
operator and auction of remaining 5MHz at a higher price to
interested operator for additional spectrum. This is help in
developing the broadband market with significant coverage for 3g
services.
43
R&D Fund
The R&D fund is not being used for sectors benefit and it is
recommended that either the R&D fund is abolished or reduced to a
logical level with considering historical utilization with respect to
growth in cellular industry. The scope and utilization of the R and D
fund needs to focus on:
1. Establish of local manufacturing of handsets
2. Subsidy on alternate uses of energy and local development
3. Training and development of human resources for call centers
and research and telecom education

4. Development of local content and software development.
3
4 DEPARTMENT WORK PERFORMED

I did my internship at Ufone in Strategic Planning & Program
Management Office (PMO) Department. The department directly
reports to the Chief Executive Officer (CEO) and major responsibilities
of the department are as following:
Defines the organization's corporate goals and objectives.
Collects and evaluates internal and external information that
may affect the organization's present and future state.
Develops the organization's long range (strategic) and shortrange
(operating) plans
Identification & development of Synergies
Development & implementation of Strategic Initiatives at
business level
Overview the implementation of the Strategic plan & other
initiatives through the PMO division.
Major Tasks
The work I have done in the PMO department was related with
analyzing the strategies of the company. The department Strategic
Planning And PMO is concerned with planning for the strategies, the
future perspectives and managing the business operations.
4.1 Reports and Presentations
The activities I performed in the department were concerned with

making reports and presentations. I had been assigned a task to make
a report on the
Tarifs comparison of the network operators in telecom
industry.
Pricing comparison of the network operators in telecom
industry.
Coverage Comparison of the industry
While making different strategies in order to gain maximum market

share, it is immensely important to examine the existing situation of
the company to head towards the lead. So the internees were given
such projects to provide the picture of market state according to their
45
understanding. The reports were not only to provide a minor help to

the supervisors but also to aware the internees about the state of
ecom
industry
complex
and
in
various
complicated.
aspects.
It
was
required
report
within
4.1.1Tarifs
comparison
My
first
between
network
report
the
to
the
network
operator
is
The
were
provide
not
or
operators
a
on
was,
the
unique
and
pages
Industry
drawing
basis
much
days.
of
supervisors
providing
to
reports
of
the
their
attractive
comparison
tariffs.
form
of
Each
tariffs
differentiated
from
each
other.
So
gathered
the
information
from
the
websites of the network operators. I have also gained a great help from
the
annual
reports
of
Pakistan
Telecom
Authority.
UFONE
Ufone has introduced ULoan where it has offered a facility to customers
to avail a loan in order to make an important call if and when they run
out
of
credit.
Uloan
facility
is
available
only
for
voice
calls.
The
loan
amount will be deducted from the next recharge e.g. UTop Up & Card
Recharge.
Only
avail
ULoan
the
customers
service.
with
balance
Recently,
less
Ufone
has
than
Rs
enhanced
.2.50+tax
Uloan
can
amount
to Rs. 5.00+tax. It has launched "Paanch ka Pandrah package". In this

promotion,
free.
In
charged
second
launched
each
this
@
for
minutes
offer,
Rs.
all
another
there
are
1.125/30
other
call
fixed
promotion
gave
no
seconds
and
in
the
daily
for
its
10
charges
Ufone
mobile
which
next
minutes
and
absolutely
customer
will
be
to
Ufone
and
1.25/30
networks.
Ufone
has
recently
prepaid
subscribers
can
now
call five friends and family numbers absolutely free from midnight to 7
am
by
just
paying
nominal
daily
charge
of
Rs.1.99
(excluding
15%
GST). Ufone also launched unlimited SMS (up to 5,000 SMS) offer to its
subscribers
this
at
promotion,
jokes
and
operators,
Rs.150
Ufone
to
all
networks
with
subscribers
can
with
friends.
chit
chat
has
launched
their
another
30
share
days
their
Ufone,
package
validity.
thoughts,
in
line
"Uwon"
Through
exchange
with
in
other
which
its
subscribers can call to any other Ufone number at Rs.1.00 per minute.
Off-net
tariffs
of
Uwon
package
are
Rs.1.60
per
minute.
MOBILINK
Mobilink, an SMP operator has reduced its tariffs for different packages.
Recently,
Mobilink
has
also
introduced
Jazz
One
package
in
which
its
subscribers can call at very attractive rates. Mobilink has reduced offnet
tariffs
of
Jazz
Budget,
2008.
For
Jazz
Octane
and
Jazz
Ladies
First
packages
in
3
February
Jazz
Octane
package,
on-net
tariff
has
been
reduced from Rs. 2.50 to Rs. 2.40 per minute whereas off-net tariff is
reduced from Rs.2.99 to Rs. 2.50 per minute. Similarly, off-net tariff for
Jazz
Ladies
2.50
per
First
package
minute
Connection
ON
those
did
who
has
respectively.
Karein"
not
also
been
Moreover,
promotion
get
the
reduced
Mobilink
which
chance
to
from
was
2.99 to
Rs.
introduced
"Apna
Jazz
specifically
made
for
experience
Rs.
lowered
Jazz
tariffs.
Mobilink posted an unconditional Rs. 30 worth of balance for those who

did
not
used
Jazz
connection
since
For SMS , Mobilink has offered three different SMS packages (only from
Mobilink
to
Mobilink)
to
its
prepaid
customers
where
it
has
offered
unlimited SMSes for one month for Rs. 100, 500 SMS in 15 days for Rs.
50 and 100 SMSes for Rs. 15 in 7 days. Mobilink also introduced Club
Red
promot
Under
this
ion
Jazz
1,000
of
Rs.
numbers
for
the
CM
its
offer,
threshold
three
for
subscribers
who
subscribers
who
got
remaining
prepaid
50%
days
of
packages
wanted
crossed
discount
the
on
month.
in
red
carpet
the
all
monthly
calls
China
treatment.
usage
to
Mobilink
Mobile
launched
April
2008.
PAK
CM Pak is offering one free number in which subscriber can make free
on-net
calls
(from
12
am
to
am)
for
lifetime.
Up
to
10
family
members can be added in free package. Happy Hours has been offered
in
12
for
Aanay
Package
modification
Aanay
50
networks
at
of
Happy
paisas)
Rs.
which
1.40
can
Hours
be
modified
are
offer
in
which
(for
the
first
once
Rs.
5.
It
its
subscriber
minute)
everyday.
has
and
also
introduced
can
Rs.
Charges
call
1.00
to
per
other
minute
(from second minute onwards). CM Pak offered 1,000 SMS per day with
charge of Rs. 3.00 to its prepaid customers irrespective of the network.
TELENOR
Telenor
Auto
launched
Advance'.
value-added
This
unique
service
service
(VAS)
allowed
by
the
Telenor
name
of
prepaid
'Telenor
customers
to continue the call even after their balance exhausts. The service was
activated
free
Advance
Service
where
from
one
a
service.
of
call
can
can
recharge
Under
charge
for all
be
make
location
the
extremely
the
or
service,
Telenor
prepaid
useful
difference.
simply
when
out
customers.
in
emergency
Subscribers
of
cash
subscriber
Telenor
on
can
reaches
the
benefit
the
Auto
situations
move,
far
from
this
end
of
his
balance,
the
call
will
continue
in
next
without
disconnection
and
the
balance
47
will
be
adjusted
recharge.
Telenor
Auto
Advance
is
only
available for voice calls at the moment. Recently, Telenor also launched
Ask Telenor and Tele Doctor 1911. Telenor launched free unlimited onnet
calls
offer
activation
(from
11
charges
Telenor
received
Telenor
has
am
for
the
to
said
overwhelming
launched
SMS
pm)
for
limited
promotion
response
Fulltime
offer
were
time
Rs.
on
this
for
its
period.
49
Service
(exclude
promotion.
prepaid
tax).
Recently
customers
in
which its subscribers can send up to 10,000 On-net SMS with charge of
Rs.
99/-.
Telenor's
Djuice
subscribers
can
now
make
free
calls
(from
1am to 6am) at 5 friends and family numbers with daily charge of Rs.
3.99. It may be noted that call setup charge of Rs. 0.05 per call is also
applicable
for
these
free
calls.
WARID
Recently,
Warid
Telecom
has
launched
Pakistan
Package
wherein
its
subscribers can avail 50 free on-net minutes and 500 SMS/MMS for Rs.
15.00 per day.

can
send
Sunday
Warid also launched SMS craze in which its subscribers
2000
craze
free
is
SMS/MMS
another
(on-net
promotion
by
as
well
Warid
off-net)
in
which
at
Rs.
150/-.
subscribers
can
make unlimited free calls on Sundays from 8 am to 12 pm at a weekly

subscription
free
calls
of
Rs.
15/-.
from
12
am
In
to
infinite
7
am
craze,
to
one
Warid
subscribers
Warid
number
can
and
make
unlimited
SMS/MMS from 12 am to 7 am across Pakistan with daily charge of Rs.

10/-. In the period of last few months. Warid has also offered number of
value
added
service
to
its
prepaid
customers
that
counts,
Zem
Zem
Talky,
committee,
4.1.2Pricing
comparison
of
network
Operators
The second report I had submitted was to compare the pricing of the
different
network
services,
Quality
Pricing
Strategy
operators
provided
Matrix
on
over
also,
in
the
basis
of
Voice
calls
order
to
Calls
rates,
and
SMS.
position
all
Value
have
network
Added
made
operators.
3
The
following
table
shows
Prepay
calling
rates
per
minute
at
peak
time
for
different
mobile
operators
We can see that Ufone has priced its calling rates of same, other and
fixed
line
networks,
somewhere
between
the
highest
and
the
lowest
rates in the industry. However, as far as the rates for the international
calls
are
concerned
they
Pricing
Below
the
are
the
lowest
in
Versus
is
Survey
industry.
Quality
the
Quality
the
summary
of
of
Service
conducted
by
PTA.
Voice
Ufone
voice
Call
has
a
call
very
service
high
quality
Calls
Same
Network
Of
Network
Fixed
Line
Network
International
Ufone
Prepay 2.50
Public
2.50
Demand 1.98
2.50 19.54
1.98
1.98
Mobilink
Jazz
Budget 1.80
Jazz
Easy 2.10
Jazz
Octane 2.40
2.50
2.50 23
Jazz
Ladies 2.50
2.50
2.50 23
1.98
2.50
1.98 23
2.50 23
Telenor
Djuice 2.82
Talk
Network
Accessibility
(%)
Service
Accessibility
3.44
Shawk 2.3
3.44 Not
2.3
2.3 Not
available
available
(%)
Call
Completion
Ratio
(%)
Mobilink 99.8
98.9
Ufone 99.4
97.2
97.2
Telenor 99.1
95.9
98.2
93.3
49
in
terms
of
network
improve
and
service
its
accessibility.
call
However,
it
needs
completion
to
ratio.
SMS
Ufone
has
one
of
the
highest
sms
service
accessibility.
Pricing
The
for
table
mobile
Value
below
shows
pricing
operators.
These
prices
for
are
added
value
inclusive
added
of
Services
services
21%
GST.
of
different
The
prices
highlighted
in
maximum
blue
depict the
for
each
lowest and
category
the
prices
in
in
red
the
depict the
market.
Service
Accessibility
(%)
Mobilink 100
Ufone 99.9
Telenor 100
VAS
Mobilink
To
To
Ufone
Same
Other
Telenor
Network 1.00 0.50 1.00
Network 1.50
International
SMS 5.00 1.50 5.00
MMS
Charges
MMS
Outgoing
5.00
5.00
1.00 1.00
Activation
(Rs.)
Not
Per
Available Free Free
Incoming
Message
6.00
GPRS
Per
MB
Balance
18.00
15.00
15.00
Inquiry
Free 0.50 Free
3
Pricing
Strategies
Matrix
I have placed the major network operators in the Pricing Stratgy Matrix
on
the
basis
sms
rates
Ufone
has
of
the
pricing
and
priced
service
to
high
its
rates
of
Another
finding
industry
of
company,
was
service
Ufone
showing
the
the
number
has
calls
rates,
provides
that:
high
the
priced
its
call
rates
assigned.
graphical
of
cell
of
I
the
had
the
mobile
completed
representation
sites
they
of
have
at
price.
of
coverage
sms
market.
premium
the
being
and
Ufone
conclude
penetrate
comparison
about
about
can
low
plus
4.1.3Coverage
basis
sms
Also
we
to
quality
cost
the
quality
quality
Due
information.
industry
network
this
market
operators
report
share
covered,
on
by
in
the
each
number
of
franchises over all the country, and the population covered in the rural
areas.
51
Economy
Penetration
UFONE
TELENOR
Skimming
Premium
WARID
JAZZ
Low QUALITY High
Low
Market
Share:
The
was
market
share
the
highest
07-08.
of
during
Telenor
showed
the
by
21%.
share
of
the
and
same
Warid
18%
mobilink
Ufone
maret
had
and
year
share
Zong
market
had
4%.
Franchises:
The
Grsph
is
number
of
stores
existed
by
each
major
stores
showing
or
followed
farnchises
company.
are
of
by
Ufone.
Sites
During
operator
graph
The
Mobilink
Cell
the
the
the
cell
year
sites
is
shown
2007-2008,
by
each
in
the
Coverage
The
population
rural
covered
areas
cities,
towns
shown
in
value
in
the
concerning
and
the
is
in
the
villages
are
graph.
The
thousand
(000).
4.2
With
Industry
annual
telephone
and
growth
market
sustained
economic
in
around
Pakistan
turbulences
an
in
interconnect
overall
some
been
However,
which
will
have
Rupee
years
now,
the
experiencing
Pakistan
suffering
is
direct
period
impact
the
value
charges
and
decrease
of
against
lower
ARPU
of
mobile
strong
important
on
the
of
decline
for
in
Some
the
has
development.
operators
The
100%
Issues
foreign
country.
reasons
the
US
priced
in
Dollar,
tariffs
US
are:
the
decrease
in
have
resulted
in
Dollar
terms.
The
ongoing
worsening
of
increased
value
economic
to
security
and
political
turmoil
conditions
in
Pakistan
have
country,
causing
outflow
of
capital
from
the
decline
further
13%
against
US
along
with
the
caused
Dollar
the
in
an
Rupee
the
third
quarter.
In
light
of
the
prudent
policies,
Moody's
have
In
the
period
worsening
the
international
recently
of
economic
rating
downgraded
2007-2008
the
conditions
mobile
and
agencies
the
like
lack
S&P
Pakistan's
sovereign
sector
been
has
of
and
rating.
characterized
by:
Falling
Steady
decrease
Intense
ARPU
subscriber
in
and
growth
revenue
growth
has
been
appreciated
by
new
international
competition
from
although
the
players
slight
previous
coming
market
year.
to
the
recently.
Network
deployment
market
as
in
the
measure
regions
to
against
increase
falling
addressable
ARPUs.
Mobile
services,
numbers
despite
increased
from
high
68,000
costs,
in
still
1996
grow
to
3.3
rapidly.
million
Subscriber
by
end-2003;
since then the subscriber base has surged to reach 80 million in early
2007 and surpass 95 million in 2008. Penetration had reached the 58%
mark,
still
but
room
regulatory
judging
for
by
the
commercial
expansion.
area,
some
While
rigidity
in
activity
progress
in
the
has
policies
had
market
been
there
made
been
in
slowing
was
the
growth.
53
5 IDENTIFICATION
OF
MAIN
PROBLEMS
The main problem in the current era faced by the telecom industry in
Pakistan
existing
In
in
the
sector
is
increased
telecom
budget,
impact
sector
government
significantly
advance
taxes
and
on
imposed
are
facing
had
increased
analysts
telecom
by
are
usage
government.
major
of
and
decline
the
the
rate
view
due
of
that
resultantly,
The
companies
to
GST
on
the
fact.
telecom
it
may
have
an
the
GST
collection
may
drop
revenue
considerably
from
continuously
from
telecom
since
the
sector
in
after
the
2004-05
sector.
So
terms
far,
of
the
taxes
liberalization
of
the
Government
is
increasing
sector.
During
the year 2007-08 mobile segments contributed more than Rs. 79 billion
to national exchequer in the form of taxes,
the
last
year.
In
terms
of
GST
sector
which is 25% higher than
has
contributed
about
Rs.
37
billion, which is 30% more than of the last year. However, the growth of
the GST collection from cellular mobile sector has declined from 50% in
2006-07 to 30% in the year 2007-08. The main reason for this decline
in
GST
collection
growth
rate
could
be
low
tariffs,
closure
of
over
10
million SIMs and increased rates of GST. However, the complete impact
of increased GST will be captured in next years because the rate has
been
increased
at
5.1
end
of
year.
Activation
Activation
been
the
the
operators
tax
is
charged
Rs.
500/-
major
demand
of
the
industry
are
unable
to
pass
on
per
this
Tax
new
to
tax
connection
remove
to
this
and
tax
consumers
it
has
because
due
to
competition
Rs.
17.57
11%
in
the
billion
higher
contributing
market.
in
than
share
in
reported
around
28%
share
in
to
previous
one
market
Ufone
2006-07
the
about
Activation
fourth
subscribers
whose
activation
Rs.
collection
19.18
billion
year.
of
Among
the
over
market
tax
tax
was
total
37%.
share
in
reported
the
has
in
2007-08
operators,
activation
Telenor
total
16%
increased
tax,
from
which
is
Mobilink
is
which
has
contribution
subscription
while
it
has
is
was
21%.
market
share in total subscribers is similar to that of Telenor. It indicates that

Ufone
addition
is
lower
than
the
Telenor.
5.2Withholding
tax
55
Withholding
tax
is
an
advance
income
tax,
which
may
be
adjusted
at
the end of the year. Cellular Mobile sector contributes a huge sum of
amount in the form of withholding tax to FBR. During the year 2007-08,
cellular mobile companies deposited over Rs. 23.2 billion, which is 33%
higher than the last year. Mobilink has deposited over Rs. 10.1 billion in
this
head,
Telenor's
which
share
is
44%
in
total
of
total
WHT
WHT
was
billion
deposited
25%
who
to
FBR
deposited
2007-08.
over
Rs.
during
5.8
2007-08
5.3
In
in
Investment
this
competitive
investment
mobile
has
get
operators
created
country.
which
to
is
more
have
large
During
12%
market,
shares
of
invested
number
2007-08,
lower
operators
of
US$
players
previous
In
8.4
employment
the
bound
subscribers.
over
Cellular
than
are
to
last
billion
year.
over
During
years,
in
opportunities
invested
increase
cellular
Pakistan
all
the
which
across
US$
2.3
theyear
the
billion,
2007-08,
Mobilink invested over US$ 919 million while Telenor invested over US$
565
million.
CMPak
is
another
operator
who
started
expanding
lately
and invested over US$ 200 million in last few months. Warid and Ufone
invested
US$
480
and
US$
232
million
respectively
during
the
year
2007-08.
5.4
Devaluation
Devaluation
of
Pakistani
currency
of
has
further
exacerbated
Currency
the
financial
position
in
of
rapid
shore
the
infrastructure
sources
Devaluation
the
as
and
bear
currency
Moreover,
revenue
lower
to
local
responsible
Particularly
rollout
have
of
considerably.
be
industry.
low
factors
growth
for
seems
compared
to
tariffs
on
due
and
the
increased
margins
comfortable
previous
years.
who
foreign
are
In
in
of
the
cost
of
tax
the
all
engaged
loans
depreciation
increased
profit
quite
operators
dependent
loss
has
low
those
from
of
currency.
doing
business
rates
could
industry.
operators
year
off
also
However,
though
2007-08,
it
revenue
grew by 35% compare to 48% last year. Among the operators, Telenor
is
the
most
increased
and
efficient
about
reported
Mobilink
operator
97%
Rs.
earned
revenue
45
about
than
57
billion
Rs.
80
in
terms
in
of
revenue
2007-08
revenues
billion
in
compared
the
revenues,
the
generation
to
fiscal
which
who
previous
year
is
has
year
2007-08.
24%
higher
last
year.
6 FINDINGS
I
observed
trend
of
aggressive
marketing
and
advertisement
by
the
mobile operators in Pakistan. They proudly announce 50 paisa, 3 paisa,

1
paisa
call
rates.
advertisements
Trying
emphasize
to
the
one-up
lowest
other
possible
competitors,
rate
to
grab
consumer
In
the
the
attention.
reality
the
low
rates
being
advertised
come
up
with
many
conditions. To figure it out one has to read the fine print carefully that
usually marked with * (asterisk). I think this is unfair to the consumers
and
we
need
to
criticize
this
trend
which
some
may
characterize
deceptive
Pakistan
found
marketing.
has
that
counting
as
is
remarkable
75%
population
increasing
88
million. This
Since
am
6.1
growth
day
is
working
of
by
in
Pakistan
day.
huge
on
this
are
worried
cellular
operators
are
about
not
PTA
has
mobile
recorded
craze
project,
Network
People
telecommunication
in
I
found
industry.
phones
customers
mobile
some
Connectivity
cellular
willing
to
service
enhance
they
their
and
are
It
is
the
about
industry.
irregularities:
Problem
often
complaint
services.
Caller
that
feels
disturbance,
busy
network,
and
6.2
call
ending.
Dirty
Cellular
load
unauthorized
operators
on
provide
networks.
bundle
Bundle
SMS
offers
SMS
/
also
MMS
cause
offers
dirty
which
and
results
huge
unethical
jokes
and
SMS.
6.3
Rough/Unreal
Many
cellular
service
advertisement.
realities.
The
companies
Specially
is
not
companies
channels.
People
using
attractive
Advertising
rough
are
and
not
for
TV
belonging
to
belongs
to
human.
Advertisement
having
bombardment
fading
up
with
ideas
not
Much
are
are
in
products
Too
Cellular
are
prepaid
imagination
6.4
Ideas
of
this
advertisement
type
of
on
TV
unnecessary
advertisements.
3
6.5
Advertising
Companies
they
don't
are
pay
spending
attention
Millions
for
dollars
the
Budget
for
in
improvement
favor
in
of
advertising
network
or
but
service.
Although
to
Ufone's
spend
there
its
is
Management
operation
still
more
in
has
signed
interior
amount
Rupees
areas
required
and
to
550
villages
provide
million
of
contract
Pakistan
but
service
for
better
customers.
59
7 RECOMMENDATIONS
7.1
Installation
of
equipment
with
professional
engineers
Cellular
companies
market.
If
there
is
companies
should
customers.
They
the
value
of
installed
with
7.2
Call
Companies
SMS
rates
must
a
pay
just
understand
growth,
attention
spend
service.
on
minimize
dirty
and
is
of
their
immense
service
network
this
will
which
rates
non-sense
is
but
benefit
instead
jokes
in
don't
the
Cellular
providing
equipment
SMS
call
presence
competition.
growth
Technological
&
the
worth
the
their
engineers
Rates
causing
there
Advanced
professional
should
on
the
to
realize
should
be
the
consumers.
Bundle
ofer
of
SMS
which
rates.
is
Low
building
unsecured
society.
receiving
Adults
unnecessary
7.3
wasting
their
messages
time
in
on
having
standards,
Mostly
not
comments
observed
cellular
which
consumer's
should
Companies
spots
of
in
the
the
consumer
on
advertising
advertising.
lost
They
are
not
rough
and
with
unreal
any
way
instead
effective
and
importance;
should
avoid
easily
ideas
which
cellular
are
service.
of Bhangra style.
strategies
message.
and
Budget
should
much
living
advertising.
deliver
companies
too
in
advertising
Advertising
its
phone.
different
efficient
towards
polite
implement
Control
much
using
campaigns
perception
convince
should
affect
7.4
companies
are
and
Advertising
advertising
that
advertisers
changing
Marketers
on
sending
mobile
Attractive
After
Too
are
control
repetition
of
the
ad.
People faded up and don't want to watch ads. They should educate the
people
and
give
proper
complete
value
Companies
message
against
call
rates
and
added
spend
much
money
on
other
services.
advertising
campaigns;
they
should
control
it
and
pay
attention
on
service.
8 CONCLUSION
Telecom
industry
is
investment
required
competition
after
Competitors
are
resulting
most
growing
for
the
hiring
coverage.
entrance
of
professionals
technological
industry
The
China
to
of
Pakistan
market
Mobile
also
the
and
value
huge
has
strong
as
player.
Company
entertain
implementation
still
consumer
added
which
is
services.
Ufone is a place where one can live his dreams and pursue a career
that
reflects
change,
endless
the
his
skills
and
opportunity
possibilities
The
passions.
to
learn,
People
and
managers
in
Ufone
providing
at
Ufone
give
career
flexibility
options
believes
for
with
that
all
employees have a right to offer input and be involved in helping their

organization
grow.
All departments are working together and they wants to create a work
environment
continuously
in
learn,
which
employees
gain
professional
can
growth
improve
and
feel
their
minds,
inspired
by
similarly
motivated
individuals.
best
possible
working
ones
progress
by
The
reveal
takes
pride
They
take
environment.
conducting
evaluations
resources
I
Ufone
and
in
providing
constant
offering
the
interest
support
one
some
complications
in
the
in
and
needs.
"Findings".
It
has
been
analyzed
that
people are concerned about call rates they do not prefer any particular
company.
although
growth
Consumer
companies
in
the
searches
are
market
good
service
minimizing
and
to
meet
with
call
rates
this
the
customer
lowest
call
rates,
will
result
more
needs
by
satisfying
them.
61
9 REFERENCES
The information has been gathered through the various sources
including
Ufone
Pakistan
Telecommunication
2007-2008
Department
of
Authority
Strategic
Annual
Planning
Reports
www.ufone.com
www.telecompk.net
www.pta.gov.pk .
www.propakistani.com
www.financialdaily.com
Reaction
s:
Newer PostOlder Post
Time and Date
Wordpress Theme By - Themelabs . Converted To Blogger Template by Anshul Dudeja

Ufone (Raw Material)

Hochgeladen von

Dokumentinformationen

Copyright

Verfügbare Formate

Dieses Dokument teilen

Dokument teilen oder einbetten

Freigabeoptionen

Stufen Sie dieses Dokument als nützlich ein?

Sind diese Inhalte unangemessen?

Copyright:

Verfügbare Formate

Ufone (Raw Material)

Hochgeladen von

Copyright:

Verfügbare Formate

HOME

Marketing Research Project on Ufone

To identify the present Market Scenario of Ufone.

To examine the prospects of Ufone in the overall Pakistan Market.

To know the scenario of its improvement and image.

To recommend some corrective measures, suggestions and

To conduct the comparative study between Ufone and other

Analysis of customer satisfaction and to find out the reason behind

Monthly Line Rent (Rs.)

Outgoing Call Charges (per 30 seconds)

Ufone to Other Mobile

Ufone to PTCL & WLL Network

Ufone to Ufone (Rs.)

Ufone to Other Mobile

Local & Nationwide (Rs.)

International Dialing (Rs.)

International Roaming (Rs.)

International Calling Tariff

Good quality service

Pakistan's second GSM network

Established customer base including lower middle class

Less rate than competitors

Only company present in all four provinces

Highly motivated and trained work force

Offering products like mobile office, mobile Internet and MM

Less coverage in remote areas

Not targeting the rural areas at the moment

No proper planning to cater the excessive demand

They can start their services in other cities of Pakistan

As they are the subsidiary of Pakistan telecommunication limited, they can

They can also target corporate sector

Legal environment, government interference

PTCL has been given license for cellular operation

Mobilink is also going to introduce some new technology and committed to

High taxes are imposed on the cellular industry in Pakistan

PEST Analysis of Ufone:

Environment is investor non-friendly & telecommunication sector is under regulation.

Economic instability is worsening day by day as liquidity crunch is prevailing in the

We adopt the following method to collect the data

3. You are satisfied with the call rates of your brand.

Would you like to describe something more?

a All requested variables entered.

Std. Error of the

a Predictors: (Constant) Price, Quality and Coverage

a Predictors: (Constant), Price, Quality and Coverage.

According to my research most of the people are Ufone users.

People showed satisfied behavior towards Ufone network coverage.

They are offering messaging packages as well as call packages comparatively

The advertisement of Ufone attracts the users comparatively more.

They introduce innovative services like call block covers etc.

SUGGESTIONS AND RECOMMENDATIONS

Look at all complaints about your services as an opportunity to improve. Aim

Establish an environment where great service is recognized and rewarded and

Do things regularly to improve the workplace

Happy Staff--------------Happy Customers

Be sure your employees are aware of your expectations clean services

It is necessary that the management must continuously develop technical and

Copyright 2016 ILMI

World | Powered by Blogger

Design by NewWpThemes | Blogger Theme by Lasantha - PremiumBloggerTemplates.com | NewBloggerThemes.com

followingconsiderations duringselection process: Education Experience related towork

has no serious disease. It will decrease chances of employee absenteeism and

procedures. Audiovisual Techniques: This is common method used by Ufone that

40. 40. COMPENSATION MANAGEMENT: Ufone is a performance oriented organization so