63013584 Warid Management Functions

HEERA GROUP

1 Management functions

MANAGEMENT FUNCTIONS

Talha Khan Ghauri

Abdullah Aslam

Umer Saif

Atif Ehsaan

Rana Rashid

Shahroze Akram

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ACKNOWLEDGEMENTS

All praise is for Allah Almighty, the Creator of this world who enables us to do

this arduous work.

No work in reality is the sole effort of its writers as many people like the foundation

stone contributes silently. These people sometime deserve more praise and

appreciation than the writers themselves. Same is the case with this project. It is

unequivocally stated that among such silent contributions

Sir Kashif Luqman. Lecturer Department of Management Sciences, CIIT Lahore

stands prominent. His confidence in us, all his motivations to do something authentic

gave the basic impetus for undertaking this strenuous task.

Special Thanks to:

Syed Asad Hussain shah

Senior Executive (Protocol and special projects)

Warid Telecom

Our project is a result of comprehensive study of our visit of Warid Head Office Lahore,

study in CIIT, Lahore and discussions with many other people including our class

fellows, teachers and friends working in different organizations. Finally and most

importantly, we are very thankful our parents, who pray for our success day night.

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EXECUTIVE SUMMARY

The outdoor Projects in BBA (Hons) program are very beneficial to have practical

exposure of how things really go in organizations. Being a student who wants to

observe how management works in an organization, the best practical understanding

for him is to have a managerial experience of any industry.

Our group was assigned the project on which we have to do is to have an observation

over how the departments actually works in an organization. Our group chose Warid

Telecom which stands as a prominent name in Telecom industry. Our group felt proud

to have managerial overview of Warid Telecom and this experience will surely help us in

our future assignments as a management student. While doing managerial analysis we

gone through different stages.

Initially we have gone through the introduction and background of the company. In next

step we have analyzed the progress of company in comparison with competitors

through Product life cycle that shows company is at growth stage.

In SWOT Analysis that is also a part of our managerial analysis we found out the

strength, weaknesses, opportunities and threats to the company.

While this analysis we also came across different ways of communication, categorized

as upward and downward communication

In segmentation we have explained that how Warid has divided the consumer markets

in different segments.

In Branding we have discussed different branding elements of Warid and also confer

some of their branding strategies.

Promotional mix that is the most important and core part of any organizations

strategies are also described in terms of product, price, place, promotion

Through this project we are able to have coordination with the staff members and

able to observe the work lively in the organizations and all the knowledge and

valuable experience got by meeting to the higher officials will surely help us in

future.

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Table of Contents

Introduction & Background 4

Organizational hierarchy 8

Ways of Communication 10

Segmentation 13

Branding 16

Marketing Mix 18

SWOT Analysis 26

Finance Department 28

HR Department 29

Conclusion 31

References 32

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Introduction

Warid Telecom is a joint venture between Abu Dhabi Group & SingTel Group. Abu

Dhabi Group entered into a strategic alliance with Singapore Telecom. Subsequent to

this transaction in July 2007, telecom giant SingTel acquired 30% percent equity stake

in Warid Telecom, Pakistan, for US$758 million. This partnership is part of a strategy to

support Warid Telecom‟s continued growth and to enhance its market position.

Abu Dhabi Group

Warid Telecom takes pride in being backed by the Abu Dhabi Group, one of the largest

business groups in the Middle East and the single largest foreign investor in Pakistan. It

has diversified business interests, offering strong financial resources and extensive

management expertise that result in commercial success for several institutions. The

Abu Dhabi group's major investments are in the following sectors:

Oil and gas exploration

Banking and financial services

Automotive

Hospitality services

Property development

Telecommunications

The group has successfully launched its services in Bangladesh in May 2007. Warid

Telecom International has successfully launched operations in Congo-Brazzaville,

Bangladesh and Uganda with plans underway for Georgia and Ivory Coast.

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Affiliates in Pakistan

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The SingTel Group

The SingTel Group serving both the corporate and consumer markets is committed to

bringing the best of global communications to customers in the Asia Pacific and

beyond.

SingTel‟s investment in mobile operations include, Advanced Info Service (AIS) –

Thailand, (21.4%), Bharti Telecom Group – India (30.5%), Optus Telecom – Australia

(100%), Globe Telecom – Philippines (44.5%), Pacific Bangladesh Telecom (PBTL) -

Bangladesh (45%), Telkomsel – Indonesia (35%) and Warid Telecom – Pakistan (30%).

Vision

Warid Telecom‟s vision is "to become the leader in national communications arena with

a strong international presence”.

Mission

Our mission statement is to provide optimum level of support and care through our

highly skilled and motivated team of professionals and through maximum network

coverage and clear connectivity that we have committed to provide.

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The Warid New Look

An evolution that strengthens the Warid identity while keeping the customers in focus.

This time Warid used a more contemporary font & style to give a more approachable

image. Warid‟s new slogan is “Life ka Network”. This new logo encompasses the

expanding reach of Warid not just in Pakistan but in an international footprint. With our

strengthened GPRS/EDGE network we would empower our customers to create their

own life style networks.

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Organizational Chart

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HOW THE HEIRARCHCY WORKS?

Department wise Warid Telecom they are decentralized in way that they can perform

their operation separately. But the decision-making is centralized for every single

purpose decision comes from the same channels

This is a very formal and friendly structure. The employees and the workers are advised

to go to the senior managers of the outlet if a problem is occurred, there is a bigger

issue then it is discussed with the senior‟s managers and if there is a crisis then it is

immediately taken to the CEO for the solutions. A meeting is held after six months or

annually so that a preview of the company‟s outlook is checked, or seminars are

conducted to assure the safety and security of the company

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WAYS OF COMMUNICATION

INTERNAL COMMUNICATION

There is the network of communication links within organization, to achieve the goals as

well as institutional objectives. Depending upon the above condition, communication in

an organization may take broadly three levels as given below in detail.

Downward communication

In Warid message which is sent to workers by top authority is called downward

communication. It is the is deliberate creation of communication channels by the top

authorities on formal lines to inform, instruct, direct, suggest and evaluate employees in

the process of coordinating individuals efforts towards organization goal.

Purpose of downward communication:

Downward communication takes place when managers like to inform or educate

the employees.

In case of alteration in task, managers inform their employees about the latest

updates of their operation.

Performance appraisal is an important managerial function; which depends upon

communication from superior to subordinate.

Sometimes top authorities ask for explanation for a mistake, error or any such

negative actions may be in simple way or legal form.

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Media for oral downward communication

Telephone message

Face to face meetings

Interviews

Giving a speech

Media for written downward communication

Letters, memos, circulars, notices etc

Reports

Books or Booklets

Company periodical journals

Upward communication

The message or any other data which is sent to authorities by the employees is called

upward communication. Through this, top management can maintain continuous touch

with the low levels. In absence of this communication top level will be isolated and in the

long run managers will be totally fail to manage people and work.

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Purpose of upward communication:

Conflict with colleagues with any rules etc.

Complaints about working conditions or about any other negligent employee.

An employee likes to bring more innovation in his assigned task, so in order to

take prior permission from his employer he may commence upward

communication.

Media for oral upward communication

Face to face talking

Use of middleman to communicate

Telephone

Protest/ rising of slogans

Media for written upward communication

Letters/ application/ reports

E mail

Telegram

Prescribed forms

EXTERNAL COMMUNICATION

In WARID the external communication means sending messages to persons outside

the company. Just as internal communication carries information up, down and across

the organization, external communication messages out side the organization. External

communication establishes a link between the organization and customers.

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The sources used by WARID for its external communication are as follows

By Annual Report

Media Advertisement

Print media advertisement

By giving packages

Through services

Through Presidents message

Commercials breaks

SEGMENTATION

Characteristics that govern segmentation in telecom industry specifically mobile

services according to certain segment w.r.t Pakistan are:

Age

Educational background

Gender

Income

Geographical areas of origin

Social class

Religion

Culture

Behaviors

Population

Warid Telecom in Pakistan offers two main products that are Warid Postpaid and Warid

Zem Prepaid. They target the two primary segments by establishing five sections:

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Postpaid Segment Section

Postpaid Segment is the one which includes individuals with good income and usage

more than that of prepaid customers. Postpaid Segmentation Section designs marketing

activities to better satisfy the needs of postpaid consumers.Postpaid customers

Pay bill at the end of month depending on the service used.

Pay specific amount in line rent every month, no matter they use service or not.

Enjoy better range of value added services than prepaid customers.

Masses Segment Section

Masses Segment is the biggest segments involving most no of people. Masses

segmentation section develops marketing ideas and activities to perform, so that

masses customers enjoy maximum benefits. Consumers from masses segments use

relatively less. Masses customers

Pay before using the service.

Enjoy basic and VAS services

Have less brand loyalty in most cases.

Ready to switch to other mobile services in case of cheaper services.

Female Segment Section

Importance of role of females cannot be overlooked in this modern era. That‟s why

Warid Telecom has also developed females segment as a separate segment. The role

of Female segmentation section is to develop ideas that would entertain female

population in Pakistan. Currently ongoing “Zem Baton ke committee Campaign”

promoted by Bushra Ansari is such an example.

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Youth Segment Section

Youth drives a nation; similarly, youth is taken by cellular companies as a segment

which can drive other segments as well and affect trends of customers of other

segments too. If the youth is targeted in better way, lot of customers can be gained.

Warid Floodlight Tape Ball tournament for youth segment is one of such examples.

Corporate Segment Section

Corporate segment is niche segment which can be source of great revenue for

organization. Corporate Segmentation section develops idea that can provide maximum

support and facilities to their most profitable segment. Ongoing “Black Berry Campaign”

is one of its examples.

Corporate segments are provided with

Best possible VAS

Better rates

Security and Network Solutions

Corporate Series for employees

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BRANDING

NAME

Warid (al-Warid) is an Arabic language word which means inspiration and spiritual

perception. “Warid telecom” as the name shows is backed by some Arabic firm and in

actual Warid is family brand umbrella of Abu Dhabi Group. As name reflect that Warid

with quality, coverage, and low price package and customer orientation will inspire the

users to use the services.

LOGO

The company logo represents the tower of telecom boaster which symbolize that they

are the pioneer in coverage and where ever they go and operate. A red ribbon around

shows that the incoming and out coming of signals wave means network quality without

collision with other signal bands. Its purpose is that when any person watches this logo

automatically his mind captures the image of Warid tower and after that their coverage

and quality

SLOGAN

We can know this from their slogan “Life ka network”. Warid Telecom considers the

needs of customer‟s first. Life ka network symbolize as the network is alive, alive in

sense of changing according to customer demand, and keep response to customers‟

needs and wants. Warid also has a very quick customer response from its employees to

the customer incase of any problem or query.

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Jingles

There are basically different jingles for different packages in order to attract the targeted

segment The company is trying to position itself that it‟s the customer‟s own service.

The slogan of the brand is “Life ka network”. The company is trying to create image that

we care about our customers the most and its utmost value only bows towards its

customers. And also the network is alive, alive in sense of changing according to

customer demand, and keep response to customer‟s needs and wants. We can say this

by analyzing their customer support offices and their help lines where the customer can

call for any problems or queries.

Design

As far as the design is concerned it correlates itself with a user friendly virtual

environment that Warid telecom provides its customers. The design of prepaid package

is as similar as other Telecom companies in Pakistan. A customer purchases a SIM and

inserts in his mobile and as he will load credit into it he will be able to make calls or SMS.

Whereas postpaid connections are concerned the design is quite different from that of

prepaid ones. A user buys a connection from Warid telecom and uses it regardless of

any credit into it.

Style

The style of Warid product is in a plastic case which is handed over to the customer in

the form of a card with a SIM attached into it which can be displaced. As it lies in a

service sector therefore we cannot effectively analyze its design. But we can analyze its

service design and its franchise and sale center layout as it is in the form of a product to

the customer.

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Brand Associations

These are the desired associations which Warid telecom wants to create in the mind of

customers.

Voice Quality

Economical billing packages

Network Coverage

Customer oriented service

Brand of Abu Dhabi

Prestigious Brand

Brand slogan

Marketing mix

PRODUCT

“Product is anything offered to a market for grabbing attention, acquisition, use or

consumption and that might satisfy demand or need. Products include more than just

tangible goods. Broadly defined, products include physical objects, services, events,

persons, organization, places, ideas or mixes of these entities.

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Warid telecom is introducing two types of product in all over the Pakistan

Zem is a prepaid connection provided by Warid

telecom.Under this connection there is no need of any

security or payment of line rent.The customers purchase

prepaid scratch cards and load it into its warid SIM at any

time during a period of one year.The customers of Zem

connections are free to load balances at any time and

amount of their own choice.

What is Scratch Card?

As the name suggests it, a scratch card is a medium of recharging your account by

acquiring a 16- digit code and inputting in your mobile phone for activation of that code.

Scratch card is a recharge coupon, which has a holographic scratch field. This silver

panel needs to be scratched off before any usage.

Denominations

The scratch cards are available in the following denominations: Rs. 100, 250, 500,

1000.

Availability

Warid scratch cards are widely available at all departmental counters and their Retailers

situated in all small and large city markets. It is also available at the Warid Customer

Service Centre (CSC) in your city.

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Services

Bill Payment and TopUp via ATM

Warid provides endless convenience to pay your Post pay bills or TOP up your prepaid

accounts via 1LINK ATMs throughout the country. Now, no need to wait in line, pay your

bills through ATMS of following 1LINK Member banks in a convenient and effective

manner. It is simple and easy to use service which is available 24 X 7

Facebook Mobile Texts

Convenience you never imagined!

After the phenomenal success of Facebook MMS feature, Waridtel introduces yet

another exciting service to make your life much more simpler.Its all through SMS now.

You can update your status, post on your friend‟s wall, message your friends, add new

friends, poke them and much more

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Prepaid GPRS Bucket

The Prepaid GPRS Bucket aims at allowing prepaid customers the facility to use GPRS

in bulk buckets (10MB Data Buckets) in the form of consumable units. The offering is

being positioned at a competitive price to facilitate our prepaid customers for GPRS

usage and allows a 30day validity period to the customer.

Pocket PCO

The core objective of Zem Pocket PCO is to utilize a standard GSM handset as a

mobile Pay Phone. The Pocket PCO SIM Toolkit allows the handset owner, individual or

PCO operator, to create a PCO business at negligible cost by using a single cell phone

to sell airtime to other users at reduced rates.

Zem Pocket PCO is practically your business in your pocket.

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ZAHI POSTPAID

Zahi is a post-paid connection provided by the warid telecom. In this connection, the

customer has to pay line rent plus the charges of call every month. In this connection

customer is billed every month. In this connection warid, telecom has four further

categories-

Silver

Gold

Diamond

Platinum

There are different price packages in these categories of post paid connections. The

procedure of getting the connection in all categories is same.

Latest Marketing Campaigns of Warid Postpaid

Warid Postpaid Corporate Briefcase We understand your business lifestyle

Bill Payment via Scratch card

Bill payment is as easy as 321

Bill by Email Now you can receive your bills

through email!

Connectivity with Convenience Be a part of the largest Postpaid cellular base in Pakistan

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PRICE

“The amount of money charged for a product or service, or the sum of the values

that consumers exchange for the benefits of having or using the product or

service.”

Pricing is the only element in the marketing mix that produces revenue. Price is also

one of the most flexible elements of the marketing mix. Unlike product features and

channel commitments price can be changed quickly. Considering the importance of

pricing factor in marketing mix, Warid gives very much importance to pricing. Warid is

sure that they are giving more value and quality to customer so rather than quickly

reducing their prices in order to compete with their competitors, they convince their

buyers that their products are worth a higher price. Warid takes care that their pricing

policies will be customer value oriented rather than too cost oriented.

When Warid started its services in Pakistan, its main strategies were to win hearts of

people with quality services. At the time, when it started its services there were two

GSM cellular networks in Pakistan, One was the “Mobilink” the market leader, followed

by “Ufone”. Now the main goal for the Warid was to force a healthy competition, what

they did is that they offered quality services to the public that were good in quality than

that of market giants at that time, the services offered by Warid were at cheaper rates

than Mobilink but not so cheaper as they were claiming and showing that their services

are worth a higher prices.

At start, Warid used both “demand push and demand-pull” strategies in order to

penetrate in the market. They introduced their services at relatively cheaper rates than

the other service providers which helped them to gain a good market share in the

beginning.They used their pricing strategies as a tool to gain competitive edge over their

rivals. Their pricing strategy contributes a great deal to their success. Their innovative

pricing strategies held them to innovate new products which helped them to capture a

huge market and their success can be proved by the fact that they had 3 million

subscribers in less than a year.

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PLACE

“A set of interdependent organizations involved in the process of making a product or

service available for use or consumption by the consumer or business user.”

When Warid was launched, its target customers were middle class and rich class. At

that time, Warid used both “demand-push and demand-pull” strategies. Means, that

they placed most of their prepaid and postpaid connections mostly at their Franchises

and Sales Centers, and placed very less amount of connections in ordinary outlets. In

this way, they were able to control the supply of Warid connections in the Market.

Warid has now adopted strategy of focusing every segment of the population so now

they have placed their products at places that will facilitate the mobile users. These

places include PCO‟s, Bookshops, Mobile shops etc. Their customer care centers are

also in easy reach of customers. Warid‟s Customer Service division functions on the

premise of pleasing and satisfying their valuable customers, resolving their problems

and addressing their queries. Their Contact Centre is equipped with the latest

technology and its staff is trained to inform, educate and help customers in the best

possible way. That‟s why Warid‟s market share is rapidly increasing day by day. Role of

tremendous strategies to manage “place” factor is one of the most important reason in

Warid‟s market success.

PROMOTION

Today promotion is considered as a very important tool in marketing activities.

Promotion tools are used by most organizations, including manufactures, distributors,

retailers, and not-for profit institution. The key feature of the Warid‟s promotion strategy

is that they have designed all of their promotional activities keeping in mind the culture

and traditions of the country.Even before they started operations, they started

promotional activities. They developed a curiosity among the people even when they

had not launched their products and services through the use of both electronic and

print media.

The promotion activities they do are

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consumer promotions

Trade promotions

Business promotions

Sales force promotions

Their slogan “Be heard” became most popular among general public. Now lets have a

look at different ways, Warid is promoting its brand and its products.

Beside these activities there are many promotional activities that Warid is undertaking.

But the key feature of all their promotional activities is that they are trying to relate or

associate themselves to the people of the country. All their promotional campaigns

include the element of sharing and caring of their customers. Another key feature of

their promotional strategy is that they believe in transparency and they don‟t hide

anything from their customers such as announcing the rates clearly in their promotional

activities.

Main Promotion events Warid did after Launch

2006- Warid cup hockey tournament, Pakistan v/s India

2006- Warid Pakistan Open Golf Championship

2006- Warid Basant Festival

2007- Mega Musical Concert

2007- Dawn Life Styles Expo

2006, 2007, 2008- ITCN Asia Conference and Exhibition

2007- “Boondh” Album of Jal, The band

August, 2008- Zem Kabaddi Takkar Series b/w Pakistan and India

July 21-23,2008- OIC IT & Telecom expo and Conference

2007, 2008- Warid Floodlight Tape ball Cricket tournament

2007,2008- Warid Gymkhana Golf League

2008-SLUMS (Sports at Lums)

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SWOT ANALYSIS

Strengths

Leveraging brand equity from international corporate “Abu Dhabi Group”

Having modern network capabilities in respect of infrastructure

Financial strength of share holder and their telecom expertise „Warid

international”

It has technical partnering involving “SingTel”, “Nokia” and “Wateen”

Superior product quality for customers

Better customer relationship than competitors

Extra features and services

Committed and efficient staff

Strong financial base

Products innovations ongoing

Good reputation among customers

Good packages according to the target market

Low price as compared to quality provided

Weakness:

Need to expand network coverage.

Need to increase brand awareness and improved market positioning

Lack of proactive churn management and stimulate programs to address inactive

subscriber

Low promotional packages activities

The product line is too narrow

Less time in market as compared to major competitors

Less coverage as compared to majer competitors

Less experienced employees than competitors

“Seth organiation”

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Opportunities

Over 60 percent population in rural areas still underserved pent up demand by

aggressive network expansion.

Multiple SIM Warid being used as secondary connection opportunity to stimulate

the growth by improving network coverage

Bring innovation and VAS and data services to increase revenue

Market Growth and industry expansion

Mergers, joint ventures or strategic alliances

Could develop new products

Extension to overseas

Decline of major competitors

Technologically better environment

Threats

High taxation rate of activation tax is causing a slowdown in consumer growth

especially all in rural areas.

Price competition

Larger competitors network coverage

Strong advertisement and media presence of competitors

Entrance of new competitors like Zong.

Political Instability

Emerging companies in market

Unstable political conditions

New companies in market

High public expectations

Low prices of competing brands

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FINANCE DEPARTMENT

Finance department of Warid Telecom is accountable for all the issues related to

financial transactions no matter it is managerial accounting or financial accounting.

Finance department of Warid Telecom deals with issues related to Financial

Accounting, Fixed Assets, Accounts Payable, and General Ledger maintenance and

treasury control. So, finance department is divided in two divisions according to matters

dealt.

Financial Accounting Division

Financial Accounting Division of Warid Telecom consists of four sections

Operations Section

Financial accounting related to operations. Operations include the financial issues

related to franchises operations.

Fixed Assets Section

Fixed assets division of Warid Telecom looks after the fixed assets of Warid telecom.

Fixed assets are very important for every organization because fixed assets tell the

worth of the company.

Accounts Payable Section

Accounts payable division of Warid telecom looks after the liabilities to be paid.

Accounts payable is very important for better credit rating of a company.

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General ledger Section

General Ledger division is responsible for developing T-accounts which specify detail of

each account separately, so that provide easy access and accurate information

Treasury Control Section

Treasury Control Section looks after the finances control the budgets and investments

made by country from treasure.

Managerial Accounting Division

The division deals with the accounts management and coordinates with the financial

accounting division in order to carry out the accounting functions at managerial level.

HR DEPARTMENT

HR department is divided into two divisions responsible for

Recruitment Division

Training and Development Division

Compensation and Benefits Division

The above divisions are responsible for Ensuring smooth functioning and deliverables

pertaining to:

Recruitment Process

Interviews

Candidate Assessment

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Training programs for employees

Career Development programs

Timely issuance and record keeping of all salary related employee letters

Timely execution of Payroll and related reporting pertaining to payroll.

Handling of Attendance Management System

Overall operations and management of provident Fund

Handling of Medical (OPD & Hospitalization)

Handling of Life Insurance data and premium payments

Timely payment of internship stipends and up-to-date record of internships

Employee visiting card data verification through system & coordination

Handling of employee advance requests, in coordination with Finance

Execution and activation of new employee joining benefits

Issuance and record keeping of all non-salary related employee letters

Timely conclusion of final settlement and clearance of resigned employees.

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CONCLUSION AND RECOMMENDATIONS

For this simple managerial analysis it is concluded that with some changes at higher

level including hiring of professionals in marketing department they can improve their

marketing strategies in order to compete in the market. Warid Telecom certainly has

potential to capture good market and to give tough time to the competitors, but for this

other then hiring of professionals following steps should be taken to improve their

position in market.

Warid telecom is offering cheap rates for its prepaid and postpaid customers as

compared to its competitors but the main area they are lacking is the way to

communicate it to customers.

Network should be enhanced to much more cities.

There should be consistency of brand ambassadors, jingles, colors and graphics in

their print and electronic media ads to create strong brand recognition.

More regional departmentalization should be there, so as to create strong presence

and market analysis at regional levels.

More staff to should be hired in some departments to meet the requirements.

There should be more decentralization and employees should be encouraged for

their ideas.

Compensation and benefits plans should be revised, as it can be used as a very important tool to create motivation in employees.

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REFERENCES

http://marketingteacher.com/index.htm

http://www.brandchannel.com/

http://www.waridtel.com/

63013584 Warid Management Functions

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Transcript of 63013584 Warid Management Functions