EXECUTIVE SUMMARY

Telenor vision is to be the leading Telecommunication Services Provider in Pakistan by offering innovative communication solutions for their Customers while satisfying their employees and shareholders. They are striving to succeed this goal and their hard work and motivation is helping them in this regard. In this report we have described the values & vision of Telenor. We have discussed about the mission, goals and their environment. We have also described the organizational structure. The organizational structure of Telenor is innovative and customer responsive. First priority is the customer. The hierarchy manner of Telenor is Top Down at organizational level. The devise for the hiring an employee is on the basis of interviews. Telenor also hold the human resource process, as a separate department which takes care of the hiring and satisfaction of employees. Employee motivation is a part of the Telenor management. They have motivated their employees through different kind of appraisal packages like giving the gifts, praising in a seminar etc. Decision making is on the top level but there is employee empowerment at departmental level. The organizational structure is organic, defining distinct boundaries within the organization. Organization is also affected by the environmental uncertainties including technological and socio cultural factors. Telenor is a large kind of organization maintaining a very strong management. They are looking forward by making efforts in all kind of departments within the organization and claim that they might be the biggest growing telecommunication organization in Pakistan.

VISION
Telenor's vision crystallizes Telenor's customer focus as the cornerstone of everything we do. Telenor's values describe what behaviors are necessary to realize that vision. Telenor's corporate responsibility mindset ensures that Telenor's vision and values nurture social concern and help us create shared values

TELENORS VISION
Telenor's vision is simple: We're here to help We exist to help Telenor's customers get the full benefit of communications services in their daily lives. The key to achieving this vision is a mindset where every one of us works together: Making it easy to buy and use Telenor's services. Delivering on Telenor's promises, Being respectful of differences, Inspiring people to find new ways.

TELENOR GROUP
The Telenor Group is an international provider of high quality telecommunications, data and media communications services. Telenor ranks as one of the biggest GSM service providers in the world with over 130 million subscribers in 12 countries. Telenor is emerging as one of the fastest growing providers of mobile communications services worldwide. Telenor is also the largest provider of TV services in the Nordic region. Telenor is organized into three business areas; Mobile operations covering 12 countries, and Fixed-line and Broadcast services covering the Nordic region. Telenor Pakistan is 100% owned by Telenor ASA and adds on to its operations in Asia together with Thailand, Malaysia and Bangladesh.

HISTORY
Telenor Pakistan is 100% owned by Telenor ASA and adds on to its operations in Asia together with Thailand, Malaysia and Bangladesh. 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. In a little over two years, Telenor has grown to become a leading telecom

operator in the country. In fiscal year 2006, Telenor achieved nearly 200% growth in Telenor's subscriber base - the highest in the industry by a wide margin. Telenor is 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 Telenor are the only operator connecting the previously unconnected. Telenor is keeping ahead by investing heavily in infrastructure expansion. With USD1 billion already invested, Telenor have extended agreements with Telenor's vendors for network expansion and services until 2009. The agreements, with a potential to result in USD750 million worth of orders from Telenor Pakistan, is some of the biggest of their kind in the industry. Telenor is spread across Pakistan, creating 2,200 direct and 20,000plus indirect employment opportunities. Telenor has a network of 15 Company-owned sales and service centers, more than 200 franchisees and some 100,000 retail outlets.

GOALS, STRATEGIES AND EFFECTIVENESS

Official Goals
"Telenor's primary goal is to create greater value for Telenor's shareholders, customers, employees and partners, and for society in general. We strive to be a driving force in creating, simplifying and introducing communication and content solutions to the marketplace."

Operative Goals:
To have grab 51% of the total market share in the Pakistan's telecommunication market. To increase the profit of current year by 16% as compared to last year. To enhance the coverage of telenor by 17.5% to cover the more regions of Pakistan so the better network to be provided to customers. The year, focus is being shifted about employee's training and development by spending 30% more as compared to previous year. To improve the service of CRM department by increasing the efficiency by 200% so that the complaints of customers can be handled almost in the 50% less time, compared to past.

CORE VALUES
Telenor believe in four core values:
1. Make it Easy

Telenor is practical. Telenor don't complicate things. Everything Telenor produce should be easy to understand and use. Because Telenor never forgets Telenor is trying to make customers' lives easier.

2. Keep Promises
Everything Telenor set out to do should work, or if it doesn't, Telenor is here to help. Telenor is about delivery, not over promising, actions not words.

3. Be Inspiring
Telenor are creative. Telenor strive to bring energy to the things Telenor do. Everything Telenor produce should look good, modern and fresh. Telenor are passionate about Telenor's business and customers.

4. Be Respectful
Telenor acknowledge and respect local cultures. Telenor do not impose one formula worldwide. Telenor want to be a part of local communities wherever Telenor operate. Telenor believe loyalty has to be earned.

Organizational Structure

STRUCTURE OF ORGANIZATION
The structure of Telenor is mechanistic structure. As being told, during the interview with Human Resource Manager, there are strict rules and regulations, which the company's employees have to follow. Decisionmaking is highly centralized and empowerment is not appreciated. The structure of Telenor is functional as there are seven departments. A Senior Executive Vice President or Executive Vice President heads every department. Each executive in charge is responsible for all the services that are related to him. Every department is headed by a separate manager, which controls overall operations of that department. Flat structure for each department is adopted to enhance mutual operations and co-operations between lower staff and managers. Wide span of control in whole organization makes it easy for lower staff to access top managers and enhance coordination between them. For maximum efficiency, the overall structure of organization is functional as all human knowledge; skills and abilities with respect to specific activities are consolidated in a single department.

STRUCTURAL DIMENSIONS

Formalization

Although the organization has a functional structure, the level of Formalization is not very high. Written Rules & Procedures do exist at the

office Level, but at higher levels, Informal channels of communication are most visible. The Policy Manual currently needs to be updated. Telenor has well defined job descriptions that give the details of every job.

Specialization
Telenor is highly specialized, since the organizational tasks are subdivided into separate jobs and there is a visible division of jobs between employees.

Standardization
Standardization is high at Telenor, the procedures are well defined, and the employees perform their tasks in a uniform manner. Standardization is mostly visible in lower and middle level of employees.

Centralization
Strategic Decisions are highly centralized, where as certain decisions may be decentralized to lower levels. For example, HR decisions are highly centralized. On the other hand decisions taken for the marketing of brand are highly decentralized. The decision is done on the spot, whether to display the Billboard on that specific place or not.

Professionalism
Telenor has a high level of Professionalism. Formal education and Training of the employees and requites is given major importance.

Complexity
Since the organization has a Functional structure as described earlier and has several levels of hierarchy.

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DEPARTMENTAL DESIGN
Departments following the routine technology have the Organic structure with following characteristics: Low Formalization Low centralization More training or experience Small span of control.

CULTURE OF THE ORGANIZATION

Telenor Technologies Co. has an Adaptability Culture, with flexibility being the need of the organization and strategic focus being external. The organization has a clear vision, with the goal of increasing growth, profitability, and market share. The employees are paid for performance. The individual employees are made responsible for contributing in gaining the organization's goal, and in return they are rewarded with incentives thus keeping the employees motivated. The organization has Award Functions, as a part of the organization's culture.

ETHICAL VALUES IN THE ORGANIZATION

Since recently, the organizations' major ethical focus is on the physical environment in which it exists. Telenor has no such by-product that would end up polluting the environment. Hence the organization is not a burden on the environment.
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Innovation and Change

The type of change the organization has brought is the Technology change and Product Change. In terms of technology change the organization is using the high technology for the deployment of infrastructures for different telecommunication companies. In addition many innovative products of Telenor keep on coming to the market. For example, recently Telenor has introduced its Telenor Persona and Mobile TV.

ENVIRONMENT
THE EXTERNAL ENVIRONMENT

Environmental Domain
Telenor Pakistan is an open system and operating in a competitive environment. External environmental variables like telecommunication industry competitors, government rules and regulations, , customers, and other stakeholders etc do affect the Telenor domain.

TASK ENVIRONMENT

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Telenor's task environment includes Industry Sector,, Market Sector, Human Resource and these sectors have a direct impact on the ability of Telenor to achieve its goals.

1) Industry Sector
The major competitors of Telenor Pakistan are Mobilink, Ufone, and Warid While Paktel and Instafone are also competitors of Telenor but right now they are not in position of being the headache of Telenor.

2) Market Sector
Market sector or the customer sector is the main sector that influences all the telecommunication companies. For a telecommunication

Company it is very important to satisfy its customer and to make long term relations with them.

Marketing department has the responsibility of establishing long term relationship with the customers through public relation. Marketing department also has the responsibility of advertisement which is very important to grasp the attention of its customers.

3) Human Resource Sector

Telenor Pakistan has been very successful in obtaining Human Resources; hence the organization is very successful in this sector. There is a separate human resource department to hire new employees, to retain them with the organization and satisfy them.

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GENERAL ENVIRONMENT
1) Financial Sector
Teienor has no issues obtaining the finances. The organization has no debts; hence it is pretty stable in this sector. Teienor Pakistan is the subsidiary of Teienor International that is among the world largest telecommunication firms therefore, Teienor is having to financial problems.

2) Socio-Cultural Sector
This is the sector that so far has influenced Teienor Pakistan more than any other factor. Telenor's parent company, which is Teienor international, is mainly owned by Norway and Denmark. As Pakistan is an

Islamic country, so after the publication of cartoon in the newspapers of Norway and Denmark related to Holy Prophet S.A.W influenced Teienor Pakistan. The offices of Teienor were burnt down in Pakistan. After that mishap, Teienor built its goodwill with great hard work and consistency.

3) Technology
Telecommunication industry is influenced heavily by the technology introduced and being used in the market by the company and its competitors. So far Telenor is dealing well with this factor and it is far ahead as compared to its competitors.

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Mobile TV is one example and Edge service in another one. GPRS and WAP is more fast as compared to other networks. So, Telenor is having no problems related to technologies.

INTERNATIONAL CONTEXT
Event occurring in international market influence every market, every industry and every company. Cartoons of Holy Prophet S.A.W that were drawn by Denmark's cartoonist influenced Telenor more that any other company because the Telenor Pakistan is the subsidiary of Telenor which is Denmark's Company. The second aspect is the even mobile phone is very cheap in Pakistan yet Pakistan is far behind in technology as compared to other countries. So every newly introduced telecommunication technology is derived from international market. So innovations that are taking place in international market influence Pakistani telecommunication market and Pakistani telecommunication companies including Telenor Pakistan.

ENVIRONMENT UNCERTAINTY
The environment of Telenor is Complex and Unstable, with high uncertainty. There are only many external elements to compete with, and they all are dynamically active.

Adapting to Environmental Uncertainty

The structure of Telenor suggests that it is adapting to environmental uncertainty. For this it has increased the number of its departments and positions, and also pays emphasis on communication and coordination between these departments.
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Framework for Organizational Environmental Uncertainty

Responses

to

The Environment for the organization is Complex. The organization has many competitors, like Mobilink, Warid, Ufone etc., and the competition is high with its competitors. Due to this reason the environmental changes become unstable. To counteract the changes in the environment the organization has organized into Cross-functional Teams. The Uncertainty is high, and hence the organization has an Organic Structure.

CONTINGENCY FRAMEWORK
As competing organization's types are similar and organizational relationships are competitive, Population Ecology perspective is applied on Telenor Pakistan. It competes with the competitors for similar resources and similar customers. As Telenor Pakistan is a big organization; it generally possesses routine tasks but to compete with others competitors,

job enlargement at administration level also takes place. Modifications in job homework to managers take place whenever needed by environment, which makes Telenor capable to meet the environmental threats.

INTER ORGANIZATIONAL RELATIONSHIP

Telenor has a highly competitive relationship with its competitors; Nestle being its major competitor. The pricing of both the competitors is very similar. The organization cannot afford a price war with is competitors.
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MOTIVATION

Motivation at Telenor is based on a factor i.e High performance culture.

High Performance Culture:

Telenor describes the working context of the employees by: 1. Guideline (procedures). 2. Targets to be completed within standard quality and time. So every employee is well aware of the values and vision which are contributing towards the core goal of Telenor. In this way considering their

targets and guidelines, they are required to execute with high performance. The high performance gives rise to high performance culture. Now Telenor has to maintain this performance culture which is maintained through motivation.

MOTIVATING DRIVERS
Empowerment:
For employees to work appropriately there is employee motivation which is employee empowerment. Employees hired at Telenor are empowered enough that they can make decisions of the given project and

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responsibility. It makes an employee feel as though he or she is important and thus the motivation is elevated. It also makes the employees

Responsible for their actions because when power is delegated to them they also become accountable for their dealings.

Compensation:
Telenor Pakistan offers the employees with good salary packages and incentives in return of the performance they are providing. The employees are awarded with high quality income in relation with the high quality performance. Compensation is an important motivating tool for motivation for some employees at Telenor as it increases the efficiency of the employees.

Environment Factor- Physical Setup:

Employees at Telenor are provided with good setup for working. This can be a motivating driver because the hired personnel feel honored when they are provided with better work place.

Culture:
In an organization, the culture plays an important role for the person to show high performance. The culture at Telenor is TOP DOWN, the top employees establishes the tone for the organization. The top level employees take good care while performing any task or action because it will have to be followed by the subordinates. Things are properly informed.

Recreational Activities:
The employees are provided with recreational activities, by sending to hilly stations to be getting fresh and also perform certain work tasks which
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are to completed in normal routine. They get motivated and work well by having these recreational activities.

Promotions:

Employees are

upgraded when their

performance

meets the

standards or beyond, this is also an important motivational driver.

SWOT ANALYSIS OF TELENOR

Strengths
First one to bring the concept of "Mobile TV" in Pakistan. Customized packages available for every market segment e.g djuice for price conscious class, smart calls for routine users, telenor persona for upper middle and ellite class. State of art technology e.g they are up with the latest networking underground fiber optical network. Widest network coverage after Mobilink. The first ones to provide free roaming facility during hajj program. Telenor is operating in more than 200 destinations with more than 1.7 subscribers all over the Pakistan.

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Weaknesses
Pakistan has no institute that provides formal education in this field regarding networking and other core technical competencies so they are required to have a major chunk of their employees trained from foreign institutions.

Poor call center performance. Customer service center is not up to the commitment and most of the customers' calls are not served. Comparatively high prices in Telenor persona (postpaid) as compared to Warid and Ufone. Poor visual quality of Telenor mobile TV, as there is a buffering problem and stills are received instead of the proper videos Franchise distribution system is not up to the mark. This is the problem with almost every telecom company in Pakistan. Lack quality in record keeping at franchises and other distribution networks.

Opportunities
Participation within the growing industry. Ample opportunities are available in the telecom sector and still many of the areas are not being covered. Increasing market share. Product line expansion. Cost discount strategies. Product innovation.
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To become customer size specialist. Constant repositioning.

Threats
Monopoly of PTA, at any time PTA can alter the facilities of telecom sector. Immense cut-throat competition operating in kinked demand oligopoly. Implementation of WTO will result in open & competitive pricing even in the service sector exclusively in telecom. There is an imbalance between prices of inputs & outputs.

TECHNOLOGY
At low level of hierarchy task variety is so high in Telenor Pakistan as well as analyzability as various activities are usually handled on the basis of established formulas, procedures and techniques. So Telenor lies in engineering technologies, as engineering technologies tend to be complex because there is substantial variety in the tasks performed. Employees normally refer to a well-developed body of knowledge to handle problems. At top level of hierarchy, where interdependence among departments exists, non-routine technologies have been observed, as there is high task variety. At higher level of management, personnel are highly experienced and have technical knowledge. At Telenor, routine tasks are characterized by variety. For the tasks at higher-level management, standardization is not high. Also, decisionmaking about tasks and activities is centralized to management. At the low
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level, where routine tasks are performed, requires high experiences while at top-level managers are skilled persons and both are formally trained. At the top level, horizontal communication among managers is practiced and to cop with any problem, meetings are held. Communication and coordination is moderate.

Information Technology
Telenor is trying to use Information technology extensively in their operations due to great complexity and management levels. By adopting the latest technologies they can achieve their goals and increase their competence and effectiveness. As today's growing need of organization is information technology, information sharing among employees, customers, suppliers and other stakeholders. For this Telenor has a network: For customers: they have their own website For employees: they use Outlook Express to communicate with each other and they developed their own mail box.

Interdependence among Departments

Most of the departments of Telenor are having pooled interdependence. So the success of every department contributes to the success of organization as a whole. Mediating technology is used which provides products or services that mediate or link clients from external environment and, independently. in so doing, allows each department to work

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CONCLUSION
Structure of Telenor is Organic and functional structure. Decision-making is highly centralized and empowerment is not appreciated as much but to some extent. Telenor has adopted formal rules and procedures whereas some of work is done informal between departments. The important success factor for Telenor is differentiation. Because the environment is becoming tougher with each Passing day so to enhance their competitiveness & profitability it is providing excellent service, giving top priority to meeting customer requirements and charge low operating cost from their customer.
The employees of the organization are committed to their company

and the company is taking care of the need of its employees. It has many major competitors which are trying their hard to get the market share, but all the strategies of the competitors are successfully watched and answered.

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RECOMMENDATIONS
Telenor as described in the report has a functional structure with well-defined department. The coordination and communication is enhanced by the cross functional teams. After viewing the functioning of the organization it is recommended that the organization could have a Hybrid Structure, between the characteristics of functional and horizontal structures. Horizontal model offered the best chance to gain a faster, more efficient approach to a customer service.

As the organization's structure is highly Functional, and the Environment is currently stable, organization is suited well to the environment. But organization should also focus on the changing trends in the Environment, and make the structure flexible enough for any sudden changes.
The organic structure is being used in the Telenor Pakistan but

organization is needed to move to Mechanistic structure for the better control of the employees for the better use of rules, policies and procedures.