Organization Study at Vodafone South Ltd, Bangalore

VODAFONE SOUTH LIMITED, BANGALORE

A report on the organization study submitted in partial fulfillment

of the requirements for the MBA (Full time) Degree of the

Mahatma Gandhi University

Submitted by,

Jomy Mathew

Reg No:

2014 -2016 Batch

FISAT BUSINESS SCHOOL

Hormis Nagar, Angamaly, Cochin –683 577

May 2015

ACKNOWLEDGEMENT

First and foremost, I thank the lord almighty for his perpetual showers of

blessing, which led to the successful completion of my project report. It gives me

immense pleasure to present this report.

I express my heartiest gratitude to Dr. P A Mathew, Dean and Director, FISAT

Business School, Angamaly for permitting me to do this project at Vodafone

South Limited, Bangalore.

I express my sincere gratitude to Mr. Jose Varghese, Faculty of FISAT Business

School for his valuable guidance for the successful completion of the study.

I wish to express my heartfelt and sincere thanks to Mr. Mahesh S, Deputy

Manager – Marketing Communications, Vodafone South Limited who gave me

the opportunity to do the Organization Study under his guidance.

I would like extend to my heartfelt gratitude to Mr.Jossy Joseph, Senior

Executive – PD & Rewards, and all officials & employees of Vodafone South

Ltd. for being very helpful and suggestive in giving the valuable information‘s,

regarding their jobs and responsibilities in their respective concerns, for the

successful completion of the study.

I also thank my parents, friends and relatives for their help and encouragement.

JOMY MATHEW

DECLARATION

I, Jomy Mathew hereby declare that the Organization Study report entitled

―ORGANIZATION STUDY OF VODAFONE SOUTH LTD.” is a record

of bona-fide work done by me at Vodafone South Limited, Bangalore during

the month of April and May under the supervision of Mr.Mahesh S, Deputy

Manager – Marketing Communications, Vodafone South Limited, Bangalore

and Mr. Jose Varghese, Faculty guide, FISAT Business School, and that no

part of this report has formed the basis for award of any degree, diploma,

associate ship, fellowship or any other similar title or recognition in any other

institution.

Place : Mookkannoor

Date : 29-05-2015 JOMY MATHEW

29-05-2015

CERTIFICATE

This is to certify that the Organization Study Report entitled “AN

ORGANIZATION STUDY AT VODAFONE SOUTH LIMITED” Submitted to the M.G

University in partial fulfillment of the requirements for the award of the MBA

degree is a record of original work done by Mr. JOMY MATHEW during the

year 2014 - 2015 under my supervision and guidance.

Dr.P.A.Mathew Mr.Jose Varghese

Dean & Director Faculty Guide

Organization Study at Vodafone South Limited, Bangalore 1

TABLE OF CONTENTS INTRODUCTION ........................................................................................................................... 7

1.1 Introduction ............................................................................................................................ 7

1.2 Objectives ................................................................................................................................ 7

1.3 Duration Of The Study ............................................................................................................. 8

1.4 Methodology ........................................................................................................................... 8

1.5 Scope Of The Study ................................................................................................................. 8

INDUSTRY PROFILE .................................................................................................................... 10

2.1 Telecommunication ............................................................................................................... 10

2.2 The history of telecommunications ...................................................................................... 10

2.3 An overview transition of Indian Telecom Industry .............................................................. 14

2.4 The Indian telecom sector ..................................................................................................... 14

2.5 Current Scenario.................................................................................................................... 15

2.6 Ministry of Communication .................................................................................................. 20

2.6.1 Department of Telecommunications ................................................................................ 20

2.6.2 Telecom Regulatory Authority of India ............................................................................. 20

2.6.3 The telecom Commission .................................................................................................. 20

2.7 Objectives of the National Telecom Policy............................................................................ 21

2.8 Telecommunication Services ................................................................................................. 22

2.9 Major Players ........................................................................................................................ 23

COMPANY PROFILE .................................................................................................................... 27

3.1 Background............................................................................................................................ 27

3.2 History ................................................................................................................................... 27

3.3 Vodafone India ...................................................................................................................... 28

3.4 Vodafone India: Awards & Achievements ............................................................................. 29

3.5 Vision & Mission of Vodafone ............................................................................................... 31

3.6 Provided Services .................................................................................................................. 32

3.6.1 Voice .................................................................................................................................. 32

3.6.2 Messaging .......................................................................................................................... 32

3.6.3 Data ................................................................................................................................... 32

3.6.4 Fixed broadband ................................................................................................................ 32

3.6.5 Other services .................................................................................................................... 32

Organization Study at Vodafone South Limited, Bangalore

2

3.7 Local markets ........................................................................................................................ 32

3.8 Partner markets..................................................................................................................... 32

3.9 Quality Policy ......................................................................................................................... 33

3.10 Key milestones in the development of Vodafone ................................................................. 34

ORGANIZATION STRUCTURE ...................................................................................................... 37

4.1 Structure of Vodafone India .................................................................................................. 37

4.2 Structure of Karnataka Circle ................................................................................................ 38

4.3 Zonal Structure of Karnataka ................................................................................................ 39

FUNCTIONAL DEPARTMENTS ..................................................................................................... 41

5.1 HR and Administration .......................................................................................................... 41

5.1.1 Administration ................................................................................................................... 42

5.1.2 Recruitment ....................................................................................................................... 43

5.1.3 Talent Management .......................................................................................................... 44

5.1.4 HR Department Structure ................................................................................................. 46

5.2 Technology Department ....................................................................................................... 47

5.2.1 Information Technology .................................................................................................... 47

5.2.2 Network Operations .......................................................................................................... 48

5.2.3 24 x 7 Handling Network failures ...................................................................................... 48

5.2.4 Technology Department Structure ................................................................................... 49

5.3 Sales And Marketing Department ......................................................................................... 50

5.3.1 Sales & Marketing Structure ............................................................................................. 51

5.4 Vodafone Business Services Department ............................................................................. 52

5.4.1 Vodafone Business Service Department Structure ........................................................... 53

5.5 Finance And Accounts Department ...................................................................................... 54

5.5.1 Credit & Collection ............................................................................................................ 54

5.5.2 Supply chain management ................................................................................................ 56

5.5.3 Finance & Accounts Department Structure ...................................................................... 56

5.6 Customer Service Department .............................................................................................. 57

5.6.1 Customer Services Department Structure ........................................................................ 58

5.7 Legal Department .................................................................................................................. 59

5.7.1 Legal Department Structure .............................................................................................. 60


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SWOT ANALYSIS ........................................................................................................................ 62

6.1 Strength ................................................................................................................................. 62

6.2 Weakness .............................................................................................................................. 64

6.3 Opportunity ........................................................................................................................... 65

6.4 Threat .................................................................................................................................... 66

LIMITATIONS ............................................................................................................................. 68

FINDINGS & SUGGESTIONS ........................................................................................................ 70

6.5 Findings ................................................................................................................................. 70

6.6 Suggestions............................................................................................................................ 70

CONCLUSION ............................................................................................................................. 71

BIBLIOGRAPHY .......................................................................................................................... 72


4

LIST OF FIGURES

Figure 1: Highlights of Telecom subscription data .................................................... 16

Figure 2: Total Telephone subscribers ..................................................................... 16

Figure 3: Overall Tele-density .................................................................................. 17

Figure 4: Overall Tele-density (Circle wise) .............................................................. 17

Figure 5: Total wireless subscribers ......................................................................... 18

Figure 6: Wireless Tele-density ................................................................................ 18

Figure 7: Market share in wireless subscribers ........................................................ 19

Figure 8: Vodafone network summary ...................................................................... 31

LIST OF GRAPHS/CHARTS

1. Structure of Vodafone India .......................................................................................... 37

2. Structure of Karnataka Circle ......................................................................................... 38

3. Zonal Structure of Karnataka ......................................................................................... 39

4. HR Department Structure .............................................................................................. 46

5. Technology Department Structure ................................................................................ 49

6. Sales & Marketing Structure .......................................................................................... 51

7. Vodafone Business Service Department Structure ....................................................... 53

8. Finance & Accounts Department Structure ................................................................... 56

9. Customer Services Department Structure ..................................................................... 58

10. Legal Department Structure .......................................................................................... 60


5

LIST OF ABBREVIATIONS

B.D.M : Business Development Manager

C.C.O : Chief Commercial Officer

C.E.O : Chief Executive Officer

C.F.O : Chief Financial Officer

C.O.O : Chief Operating Officer

DoT : Department of Telecommunications

F.A : Financial Analyst

FP n A : Financial Planning and Analysis

H.R : Human Resource

H.R.B.C : Human Resource Business Consultant

MoC : Ministry of Communications

S.M.E : Small Medium Enterprise

S.P.M : Service Partner Management

V.B.S : Vodafone Business Services

V.B.S C.S : Vodafone Business Services – Customer service

V.G.E : Vodafone Global Enterprise

V.M.S : Vodafone Mini Store


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CHAPTER 1

INTRODUCTION


7

INTRODUCTION

1.1 Introduction The Indian telecommunication industry is the third largest telecommunication network in the

world and the second largest in terms of number of wireless connections. The Indian telecom

industry is one of the fastest growing in the world and is projected that India will have 'billion

plus' mobile users by 2017. Projection by several leading global consultancies is that India‘s

telecom network will overtake China‘s in the next 10 years. India's mobile phone market is

the fastest growing in the world, with companies adding some 19.1 million new customers

added in December 2009. India has become one of the fastest growing mobile markets in the

world. India ranks second in mobile phone usage to China, with 996.49 million users as of

March 2015. Telecommunication is the lifeline of the rapidly growing Information

Technology industry. The total subscriber base for internet users in India is 99.20 million as of

March 2015. The number of broadband connections in India has seen a continuous growth

since the beginning of 2006. Thriving telecommunication industry has opened up door for

huge business opportunities by way of telecommunications global projects, international

projects, International Bids, ICBs, public projects, online projects, government telecom

projects and project news worldwide.

1.2 Objectives

The present organization study was conducted in the Vodafone South Limited, Bangalore

with the following objectives:-

1. To study the various functions executed by different divisions in the organization.

2. To understand the divisional structure of each department of the organization.

3. To study the relevance of each department operating in the organization and how it

coordinates its activities with other departments.

4. To carryout SWOT analysis to understand the Strengths, Weakness, Opportunities and

Threats of the organization.


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1.3 Duration Of The Study

The study was conducted for 45 days.

1.4 Methodology

Both primary and secondary data were collected and the same were used for the completion of

the organization study.

Primary Data

Primary data were collected through personal interview and observation. Personal interview

were conducted with different department heads of Vodafone South Limited and the

observation method was used to study production process.

Secondary Data

Secondary data were collected from journals, annual reports, quality manual, websites and

existing records of the company.

1.5 Scope Of The Study

From the Organization point of view, the organization study helps the organization to

understand the efficiency of each department and the relevance of each department in attaining

the overall purpose of the organization. It helps the organization to hold each department

responsible for the activities entrusted on them. As a student, I was able to have a practical

knowledge and understanding about the functioning of the organization. By conducting

SWOT analysis, the company could understand its Strength, Weakness, Opportunities and

Threats. By identifying a problem of a particular department it helps the organization to

analyze and take corrective actions to solve that problem.

Secondary Data Primary Data

Sources of Data


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CHAPTER 2

INDUSTRY PROFILE


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INDUSTRY PROFILE

The industry selected for the study is telecommunication industry.

2.1 Telecommunication

Telecommunications refers to long-distance Communication, which is derived from the

Greek word ―Tele‖ means ―far off‖ at present such communication is carried out with the aid of

electronic equipment such as the Radio, Telegraph, Telephone, and Television. In earlier

times, however, smoke signals, drums, light beacons, and various forms of semaphore were

used for the same purpose. The information that is transmitted can be in the form of voice,

symbols, pictures or data, or a combination of these. The physical equipment for a

telecommunications system includes a transmitter, one or more receivers, and a channel or

means of communication such as the air, water, wire, cable, communication satellite, or some

combination of these.

Telecommunication is the transmission, emission or reception of signals, images,

sounds or information over wire, radio, optical, microwave, or other electromagnetic system.

2.2 The history of telecommunications

The word telegraphy comes from Greek ―Tele‖ means distant and ―graphic‖ to write. So

the meaning is writing at a distance. It's a possibility to send news over a long distance. The

inventor of the first electric telegraph was Samuel Finely Breese Morse a North inventor and

painter. He had the idea for the concept when he returned to America from Italy on board the

―sully‖. In his studio at New York University he needed about six years to finish this invention

and received a patent for it in 1938.

The first message from Washington to Baltimore

The 24 of May in 1844 was a very important day in the history of the United States: the

first telegraph line was opened twelve years after Samuel Morse got the idea on board the

―sully‖. The inventor of the telegraph himself sat in the High Court of justice in Washington and

sent the first message out the Baltimore & Ohio railway station in Baltimore where many

illustrious people were waiting. The content was a quotation of the bible and said: ―what hath

God wrought‖. The message reached Alfred Lewis Vail, the collaborator of Samuel Morse, in

Baltimore, who sent it back at once. Beginning this day preparations were to expand the lines to

Philadelphia, New York, Boston and to other cities and areas.


11

Most people were enthusiastic about this invention but not everyone. Farmers destroyed

lines in South Kentucky in 1849. They said that the wire would remove the electricity from the

air so it would not rain and there would be only crop failures.

Mr. Robinson, an American gentleman, brought the Morse Telegraph to Europe in 1847;

England and France were not interested in it. In Germany, Morse found a fair customer. The

"Hannoversche Staaatsbahn'Nvas the first in this country that used the Morse Telegraph. The next

year, the telegraph line between Hamburg and Cuxhaven was opened. The first inspector was

Friedrich Clemens Gerke who improved the Morse code. The American version still comprised

signs with different length. Gerke cleared it up and fixed that three points result in one line. This

alphabet is valid until today. Anyway he made rules for the distance between the signs and sign

groups. He discovered a system that the most used letters got the shortest signs so that they could

be transmitted very fast.

Hiram Sibley's company: In 1851 Hiram Sibley founded a company with a group of

businesspeople that built the telegraph line in the Midwest. The name was registered as Western

union Telegraph & Co in 1856.

The Pony Express

While the lines were spreading slowly through the whole country the very spectacular

express rider service came into existence in April 1860. The pony express was born. Six hundred

broncos, especially chosen for fleetness, toughness and endurance were bought. On 3rd

of

April the first rider named Henry Wallace left St Joseph, Missouri and after 10 days 3210

kilometers the last rider reached Sacramento, California.

For this job they needed brave young men, preferably orphans, because it was a

dangerous, adventurous life. They had to shoot very well, be excellent riders and to nave no

fear of Indian attacks. Every rider had to ride sixty miles at top speed. He had to do this

distance in six hours with six different ponies. Each day except Sunday, a messenger left

St.Joseph at noon. The one form Sacramento arrived at 8 o‘clock in the morning. The pony

express existed only for one and a half year then it was dead. The reason was the completion

of the transcontinental telegraph line between.

Telecommunications is a fascinating, fast paced industry that influences every aspect

of our daily life like normal voice phone calls, connectivity to the Internet, satellite

communications, surfing the web, fax transmissions, video conferencing, high speed data

communications, and cable TV. It started with first public demonstration of Morse's electric


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telegraph, Baltimore to Washington in 1844. In 1876 - - Alexander Graham Bell files his

patent application. First telephone patent (U.S. No. 174,465) allowed and issued to Bell on

March 7th. - - March 10th, Bell speaks the first complete sentence transmitted by variable

resistance transmitter ... ―Mr.Watson, come here. I want you!‖ The world's first two way long

distance telephone conversation over an outdoor wire (borrowed telegraph line) takes place

between Cambridge port and Boston, Massachusetts between Bell and Watson.

The field of telecommunication is no doubt one of the most exciting occupational

fields that modern society has to offer. New technology is constantly being developed and

finds its applications in the technical systems that make up a telecommunications network.

This creates opportunities for developing existing services further, and introducing completely

new ones - for the benefit of customers and society as a whole. The telecommunication

industry is often referred to as an "enabling industry". That is, it creates opportunities for

societal development in the broadest sense.

In the current day scenario, there is lot of Tele-communications technologies

evolved and used by people all over the world. Wireless technologies are like GSM, CDMA,

TDMA, UMTS, GPRS and latest technology 3G and 4G growing at a fast pace promising

high speed data communications.

The two-way communication

The progress in Europe went on, too. While the Americans filled their country with

lines, there were important inventions in Austria and Germany. Telegraphy became more and

more popular form day to day. Sometimes there was no more possibility to install new lines.

Anyway the rates for the lies were very high. It was necessary to use the lies better.

Improvements were introduced.

The first essential step however was the invention to use one line for different telegrams at the

same time and to send signs in both directions (e.g. from Boston to New York and the other

way around at the same time). The Austrian physicist Julius Wilhelm Gintl was the father of

the two batteries. Gintl's method was called themethod of compensation. He got the golden

Medal of Honor at the exhibition of industry of industry in Paris in 1855.

The telecommunications industry is responsible for radio, television, voice

communications, and broadband services. The growth and innovation of the telecom industry

has enabled people to communicate across the globe and access endless amounts of

information over the internet. Broadband services are becoming faster and easier to access

http://www.wikinvest.com/wiki/Broadband_Technologies


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with fiber optic networks and wireless services like WiMax and CDMA. Many of the major

telecom companies have merged over the last 10 years in order to offer massive product and

service portfolios, as well as further capitalize on bundled media packages (‗triple play‘).

These new technologies and growth through mergers are enabling these companies to find

new revenue sources and growth opportunities in a mostly mature market.

World‘s telecom industry is an uprising industry, proceeding towards a goal of

achieving two third of the world's telecom connections. Over the past few years information

and communications technology has changed in a dramatic manner and as a result of that

world telecom industry is going to be a booming industry.

Substantial economic growth and mounting population enable the rapid growth of this

industry. The leading telecom companies like AT&T, Vodafone, Verizon, SBC

Communications, Bell South, Qwest Communications are trying to take the advantage of this

growth. These companies are working on telecommunication fields like broadband

technologies, EDGE(Enhanced Data rates for Global Evolution) technologies, LAN-WAN

inter networking, optical networking, voice over Internet protocol, wireless data service etc.

The telecom industry is taking a crucial part of world economy. The total revenue

earned from this industry is 3 percent of the gross world products and is aiming at attaining

more revenues. One statistical report reveals that approximately 16.9% of the world

population has access to the Internet.

The telecom industry has grown and evolved at an incredible pace for the last 20

years, dramatically changing the way people communicate and transforming everyday life

along the way. Mobile broadband subscribership has topped 200 million worldwide. And the

rollout of 3G networks in emerging markets means there is the potential for mobile broadband

subscribers to outnumber wire line broadband subscribers within the next decade.

This rapid growth has created a dynamic and competitive industry climate with

continually evolving technology and staggering financial stakes. The shift of revenue from

fixed to mobile and from voice to data is accelerating. Data and media are being untethered

from specific devices or networks. Powerful new mobile devices deliver a combination of

functions previously available only from multiple tools.

http://www.wikinvest.com/wiki/Fiber_Optics

http://www.wikinvest.com/wiki/WiMAX_vs_WCDMA

http://www.wikinvest.com/wiki/Bundle_media_package


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The telecommunications industry was comprised of a club of big national and regional

operators. Over the past decade, the industry has been swept up in rapid deregulation and

innovation. In many countries around the world, government monopolies are now privatised

and they face a plethora of new competitors.

2.3 An overview transition of Indian Telecom Industry

The history of the Indian Telecom sector goes way back to 1851, when the first operational

landlines were laid by The British Government in Calcutta. With independence, all foreign

telecommunication companies were nationalized to form Post, Telephone and Telegraph, a

monopoly run by the Government of India.

The Indian telecommunications industry is one of the fastest growing in the world.

Government policies and regulatory framework implemented by Telecom Regulatory

Authority of India (TRAI) have provided a conductive environment for service providers.

This has made the sector more competitive, while enhancing the accessibility of

telecommunication services at affordable tariffs to the consumers. In the last two decades, the

Indian Telecom Sector and mobile telephony in particular has caught the imagination of India

by revolutionizing the way we communicate, share information; and through its staggering

growth helped millions stay connected. This growth, however, has and continues to be at the

cost of the Climate, powered by an unsustainable and inefficient model of energy generation

and usage. Simultaneously, this growth has also come at significant and growing loss to the

state exchequer, raising fundamental questions on the future business and operation model of

the Telecom sector.

The Indian Telecom Sector, like most other infrastructure sectors is controlled by the state.

The Department of Telecommunications (DoT), reporting to the Ministry of Communications

(MoC) is the key body for policy issues and regulation, apart from being a basic service

provider to rest of country. By an act of Parliament, the Telecom Regulatory Authority of

India (TRAI) was formed to be the regulatory agency.

2.4 The Indian telecom sector

India's telecommunication network is the third largest in the world on the basis of its customer

base and it has one of the lowest tariffs in the world enabled by the hyper-competition in its

market. Major sectors of the Indian telecommunication industry are telephony, internet and

http://www.investopedia.com/terms/d/deregulate.asp

http://www.investopedia.com/terms/m/monopoly.asp


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broadcasting. The Telephonic network in the country, employs an extensive system of

network elements such as digital telephone exchanges, mobile switching centres, media

gateways and signalling gateways at the core, interconnected by a wide variety of

transmission systems using media, such as optical fibre or Microwave radio relay.

The Indian telecom industry underwent significant market liberalization in the 1990s,

and it has now become one of the most competitive telecom markets in the world. India has

the world's second-largest mobile phone user base with over 996.49 million users as of March

2015.

2.5 Current Scenario

Telecommunication services are globally recognised as one of the driving forces for overall

economic development in a nation. They are also one of the prime support services needed for

rapid growth and modernisation of various sectors of the economy. The Government of India

recognises this fact and hence, has taken several major initiatives to provide a business

friendly environment for companies in this sector.

Driven by 3G and 4G services, it is expected that there will be huge machine-to-

machine (M2M) growth in India in 2016-17, according to UST Global. There is also a lot of

scope for growth of M2M services in the government's ambitious US$ 1.1 billion Smart City

program The rapid strides in the telecom sector have been facilitated by liberal policies of the

Government of India that provide easy market access for telecom equipment and a fair

regulatory framework for offering telecom services at affordable prices. According to a study

by GSMA, it has been expected that smartphones will account for two out of every three

mobile connections globally by 2020 and India is all set to become the fourth largest

smartphone market.

Telecommunication has supported the socioeconomic development of India and has

played a significant role to narrow down the rural-urban digital divide to some extent. The

telecom sector in India is undergoing a major change with regards to growth drivers. Revenue

from voice is going to stabilize and with recent 20% hike in price by major telecom

companies, the tariff war over call rates may be coming to an end. As the telecom industry is

showing signs of slowing down in terms of subscriber growth, companies are looking at other

revenue streams to supplement their core services. Telecom operators are focusing on

innovative m-VAS services such as m-commerce, m-health, and m-education.


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Figure 2: Highlights of Telecom subscription data

The number of telephone subscribers in

India increased from 987.30 million at the end of

Feb-15 to 996.49 million at the end of Mar-15,

thereby showing a monthly growth rate of 0.93%.

The urban subscription declined from 578.75

million at the end of Feb-15 to 577.18 million at the

end of Mar-15, whereas the rural subscription

increased from 408.55 million to 419.31 million

during the same period. The monthly growth rates

of urban and rural subscription were -0.27% and

2.63% respectively.

Figure 1: Total Telephone subscribers


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The overall Tele-density in India increased from 78.73

at the end of Feb-15 to 79.38 at the end of Mar-15. The

Urban Tele-density declined from 149.25 to 148.61,

whereas Rural Tele-density increased from 47.16 to

48.37 in the month of Mar- 15. The shares of urban

subscribers and rural subscribers at the end of Mar-15

were 57.92% and 42.08% respectively.

Figure 3: Overall Tele-density

Figure 4: Overall Tele-density (Circle wise)


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Total wireless subscriber base increased from 960.58

million at the end of Feb-15 to 969.89 million at the

end of Mar-15, thereby registering a monthly growth

rate of 0.97%. The Wireless subscription in urban

areas declined from 557.27 million at the end of Feb-

15 to 555.71 million at the end of Mar-15, whereas

wireless subscription in rural areas increased from

403.31 million to 414.18 million during the same

period. The monthly growth rates of urban and rural

wireless subscription were -0.28% and 2.70%

respectively.

The Wireless Tele-density in India increased from

76.60 at the end of Feb-15 to 77.27 at the end of Mar-

15. The Urban Wireless Tele-density declined from

143.71 to 143.08, whereas Rural Wireless Tele-

density increased from 46.56 to 47.78 in the month of

Mar-15. The shares of urban and rural wireless

subscribers were 57.30% and 42.70% respectively at

the end of Mar-15.

India saw the fastest growth in new mobile-phone

connections with 18 million net additions in the first

quarter of 2015, according to a report by Swedish mobile network equipment maker Ericsson.

The number of smart phones, which account for just 37 per cent of all mobile-phone

subscriptions, will reach 3,200 million by 2016, and growing at 15 per cent compounded

annual growth rate, will cross 6,100 by 2020. The falling cost of handsets, coupled with

improved usability and increasing network coverage, are factors that are making mobile

technology a popular phenomenon in the country. The broadband services user-base in India

Figure 5: Total wireless subscribers

Figure 6: Wireless Tele-density


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is expected to grow to 250 million connections by 2017, according to GSMA. It also expects

to see increased mobile broadband penetration in India, with over 250 million on either 3G

/4G by 2017.

Composition of telephone subscribers in India -The wireless segment (96.9 per cent of

total telephone subscriptions) dominates the market, while the wireline segment accounts for

the rest.

In the month of March, 2015, 3.84 million subscribers submitted their requests for

Mobile Number Portability (MNP). With this, the cumulative MNP requests increased

from 150.01 million at the end of February, 2015 to 153.85 million at the end of

March, 2015.

Number of active wireless subscribers on the date of peak Visitor Location Register in

March, 2015 was 862.63 million (88.94% of the total wireless subscriber base).

Figure 7: Market share in wireless subscribers


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2.6 Ministry of Communication

All the operations of this sector come under the control of MoC. It is responsible for all major

policy changes, planning, supervision, spectrum control, etc.

2.6.1 Department of Telecommunications

DoT was formed in 1985 when the Department of Posts and Telecommunications was

separated into Department of Posts and Department of Telecommunications. Till 1986, it was

the only telecom service provider in India. It played a role beyond service provider by acting

as a policy maker, planner, developer as well as an implementing body. In spite of being

profitable, non-corporate entity status ensured that it did not have to pay taxes. DoT depends

on Government of India for its expansion plans and funding. Its pivotal role in the Indian

telecom sector has got diluted after formation of TRAI- Telecom Regulatory Authority of

India.

2.6.2 Telecom Regulatory Authority of India

TRAI was founded to act as an independent regulatory body supervising telecom

development in India. This became important, as DoT was a regulator and a player as well.

Founded by an Act of Parliament, the main functions of the body was to finalize toll rates and

settle disputes between players. An independent regulator is critical at the present situation as

the sector witnesses‘ competition. The operations of this sector are determined as under the

Indian Telegraph Act of 1885 – A document buried in the sands of time. The next major

policy document, which was produced, was the National Telecom Policy of 1994, a

consequence of the on-going process of liberalization.

2.6.3 The telecom Commission

The Telecom Commission was set up by the government of India vide Notification dated

April 11, 1989 with administrative and financial powers of the government of India to deal

with various aspects of Telecommunications. The Telecom Commission and the DoT are

responsible for policy formulation, licensing, wireless spectrum management, administrative

monitoring of PSUs, research and development and standardization or validation of

equipment, etc. The multi-pronged strategies followed by the Telecom Commission have not


21

only transformed the very structure of this sector, but also have motivated all the partners to

contribute in accelerating the growth of the sector.

The other entities in the sector under the control of MoC are the two public sector

telecom equipment manufacturers, namely Indian Telephone Industries (ITI) and Hindustan

Tele printers Ltd. (HTL). Both these companies are facing financial problems because of

product obsolescence, poor management and over staffing. Telecommunications Consultants

India Ltd. (TCIL), another PSU was founded in 1978 to undertake consultancy services in the

field of telecom. (Source: www.dotindia.com.)

2.7 Objectives of the National Telecom Policy

The objectives of the NTP 1999 are as under:

Access to telecommunications is of most importance for achievement of the country‘s

social and economic goals. Availability of affordable and effective communication for

the citizens is at the core of the vision and goal of the telecom policy.

Strive to provide a balance between the provision of universal service to all uncovered

areas, including the rural areas, and the provision of high-level services capable of

meeting the needs of the country‘s economy.

Encourage development of telecommunications facilities in remote, hilly and tribal

areas of the country.

Create a modern and efficient telecommunications infrastructure taking into account

the convergence of IT, media, and telecom and consumer electronics and thereby

propel India into coming an IT superpower.

Convert PCOs, wherever justified, into Public Tele information centres having

multimedia capability like ISDN services, remote database access, government and

community information systems, etc.

Transform in a time bound manner, the telecommunications sector to a greater

competitive environment in both urban and rural areas providing equal opportunities

and level playing field for all players.

Strengthen research and development efforts in the country and provide an importance

to build world-class manufacturing capabilities.

Achieve efficiency and transparency in spectrum management.

Protect defence and security interests of the country.


22

Enable Indian telecom companies to become truly global players.

2.8 Telecommunication Services

Today tariff for telecommunication services in India is one of the lowest in the world. The

Indian consumer has immensely benefited from such lower tariffs which has also been a

major factor for explosive growth in the sector. Following is the list of services offered by

both GSM and CDMA operators:

Telephone services

NSD/ISD services

Computerized trunk services

Pay phones

National & international leased lines circuits

Telex

Telegraph services (manual & automatic)

X-25 based Packer Switched Data Network (NET)

Gateway Packet Switched Data Services (GPSS)

Gateway Electronic Data Interchange Service (GEDIS)

Gateway E-Mail and Store & Forward FAX Service (GEMS-400)

Concert Packet Service (CPS)

Satellite based remote area business message network

Electronic Mail

Voice

Audio-text

Radio paging

Cellular mobile telephone

Public mobile radio trunked service

Video-text

Video conferencing

Internet

ISDN

INMARSAT mobile service

INMARSAT data service


23

Home country direct service

Intelligent Network (IN) services

2.9 Major Players

There are three types of players in telecom services:

State owned companies (BSNL and MTNL)

Private Indian owned companies (Reliance Infocomm, Tata Teleservices,)

Foreign invested companies (Vodafone, Bharti Aitel, Idea Cellular,

Communications)

BSNL

On October 1, 2000 the Department of Telecom Operations, Government of India became a

corporation and was renamed Bharat Sanchar Nigam Limited (BSNL). BSNL is now India‘s

leading Telecommunications Company and the largest public sector undertaking. It has a

network of over 45 million lines covering 5000 towns with over 35 million telephone

connections. The state-controlled BSNL operates basic, cellular (GSM and CDMA) mobile,

Internet and long distance services throughout India (except Delhi and Mumbai). BSNL will

be expanding the network in line with the Tenth Five-Year Plan (1992-97). The aim is to

provide a telephone density of 9.9 per hundred by March 2007. BSNL, which became the

third operator of GSM mobile services in most circles, is now planning to overtake Bharti to

become the largest GSM operator in the country. BSNL is also the largest operator in the

Internet market, with a share of 21 per cent of the entire subscriber base.

Vodafone

Vodafone, previously Hutchison Essar is a cellular operator in India that covers 23 telecom

circles in India. It offers both prepaid and postpaid GSM cellular phone coverage throughout

India with good presence in the metros. Vodafone provides 2.75 G services based on 900

MHz and 1800 MHz digital GSM technology, offering voice and data services in 23 of the

country's 23 license areas. It is among the top three GSM mobile operators of India.


24

Bharti Airtel

Established in 1985, Bharti has been a pioneering force in the telecom sector with many first

sand innovations to its credit, ranging from being the first mobile service in Delhi, first

private basic telephone service provider in the country, first Indian company to provide

comprehensive telecom services outside India in Seychelles and first private sector service

provider to launch National Long Distance Services in India. Bharti Tele-Ventures Limited

was incorporated on July 7, 1995 for promoting investments in telecommunications services.

Its subsidiaries operate telecom services across India. Bharti‘s operations are broadly

handled by two companies: the Mobility group, which handles the mobile services in 16

circles out of total 23 circles across 19 the country; and the Infotel group, which handles the

NLD, ILD, fixed line, broadband, data, and satellite-based services. Together they have so

far deployed around 23,000 km of optical fiber cables across the country, coupled with

approximately 1,500 nodes, and presence in around 200locations. The group has a total

customer base of 6.45 million, of which 5.86 million are mobile and 588,000 fixed line

customers, as of January 31, 2004. In mobile, Bharti‘s footprint extends across 15 circles.

Bharti Tele-Ventures' strategic objective is ―to capitalize on the growth opportunities the

company believes are available in the Indian telecommunications market and consolidate its

position to be the leading integrated telecommunications services provider in key markets in

India, with a focus on providing mobile services‖.

MTNL

MTNL was set up on 1st April 1986 by the Government of India to upgrade the quality

of telecom services, expand the telecom network, and introduce new services and to raise

revenue for telecom development needs of India‘s key metros – Delhi, the political capital,

and Mumbai, the business capital. In the past 17 years, the company has taken rapid strides

to emerge as India‘s leading and one of Asia‘s largest telecom operating companies. The

company has also been in the forefront of 5 technology induction by converting 100% of its

telephone exchange network into the state-of-the-art digital mode. The Govt. of India

currently holds 56.25% stake in the company. In the year 2003-04, the company's focus

would be not only consolidating the gains but also to focus on new areas of enterprise such

as joint ventures for projects outside India, entering into national long distance operation,

widening the cellular and CDMA-based WLL customer base, setting up internet and allied

services on an all India basis. MTNL has over 5million subscribers and 329,374 mobile


25

subscribers. While the market for fixed wire line phones is stagnating, MTNL faces intense

competition from the private players—Bharti, Hutchison and Idea Cellular, Reliance

Infocomm—in mobile services. MTNL recorded sales of Rs. 60.2 billion ($1.38 billion) in

the year 2002-03, a decline of 5.8 per cent over the previous year‘s annual turnover of Rs.

63.92 billion.

IDEA

Indian regional operator IDEA Cellular Ltd. has a new ownership structure and grand

designs to become a national player, but in doing so is likely to become a thorn in the side of

Reliance Communications Ltd. IDEA operates in eight telecom ―circles,‖ or regions, in

Western India, and has received additional GSM licenses to expand its network into three

circles in Eastern India --the first phase of a major expansion plan that it intends to fund

through an IPO, according to parent company Aditya Birla Group .


26

CHAPTER 3

COMPANY PROFILE


27

COMPANY PROFILE

Vodafone name being derived from the firm's goal of establishing a voice and data services

over cellular telecommunication networks. Hence VO represented voice and DA symbolized

data — yielding the name Vodafone.

3.1 Background

Vodafone Group Is a British multinational telecommunications company headquartered in

London and with its registered office in Newbury, Berkshire. It is the world's 2nd-largest

mobile telecommunications company measured by both subscribers and revenues (in each

case behind China Mobile), and had 434 million subscribers as of 31 March 2014.

Vodafone owns and operates networks in 26 countries and has partner networks in

over 50 additional countries. Its Vodafone Global Enterprise division provides

telecommunications and IT services to corporate clients in over 65 countries. Launch of

Vodafone Essar, Vodafone is the world‘s leading international mobile communications

company.

Company provides a wide range of telecommunication services, including voice, messaging,

data across mobile and fixed networks. Vodafone have more than 438 million mobile

customers and 11 million fixed broadband customers.

3.2 History

In 1982 Racal Electronics plc's subsidiary Racal Strategic Radio Ltd. won one of two UK

cellular telephone network licenses. The network, known as Racal Vodafone was 80% owned

by Racal, with Millicom and the Hambros Technology Trust owning 15% and 5%

respectively. Vodafone was launched on 1 January 1985. Racal Strategic Radio was renamed

Racal Telecommunications Group Limited in 1985. On 29 December 1986 Racal Electronics

bought out the minority shareholders of Vodafone for GB ￡110 million. In September 1988

the company was again renamed Racal Telecom and on 26 October 1988 Racal Electronics

floated 20% of the company. The flotation valued Racal Telecom at GB￡1.7 billion.

On 16 September 1991 Racal Telecom was demerged from Racal Electronics as

Vodafone Group. In July 1996 Vodafone acquired the two thirds of Talkland it did not

already own for ￡30.6 million. On 19 November 1996, in a defensive move, Vodafone

purchased Peoples Phone for ￡77 million, a 181 store chain whose customers were

http://en.wikipedia.org/wiki/Multinational_corporation

http://en.wikipedia.org/wiki/London

http://en.wikipedia.org/wiki/Newbury,_Berkshire

http://en.wikipedia.org/wiki/China_Mobile


28

overwhelmingly using Vodafone's network. In a similar move the company acquired the 80%

of Astec Communications that it did not own a service provider. In 1997 Vodafone introduced

its Speechmark logo, as it is a quotation mark in a circle; the O's in the Vodafone logotype are

opening and closing quotation marks, suggesting conversation. On 29 June 1999 Vodafone

completed its purchase of AirTouch Communications, Inc. and changed its name to Vodafone

airtouch plc. Trading of the new company commenced on 30 June 1999. To approve the

merger, Vodafone sold its 17.2% stake in E-Plus Mobilefunk. The acquisition gave Vodafone

a 35% share of Mannesmann, owner of the largest German mobile network. On 21 September

1999 Vodafone agreed to merge its U.S. wireless assets with those of Bell Atlantic Corp to

form Verizon Wireless. The merger was completed on April 2004.

In November 1999 Vodafone made an unsolicited bid for Mannesmann, which was

rejected. Vodafone‘s interest in Mannesmann had been increased by the latter's purchase of

Orange, the UK mobile operator. Chris Gent would later say Mannesmann's move into the

UK broke a "gentleman's agreement" not to compete in each other's home territory. The

hostile takeover provoked strong protest in Germany and a "titanic struggle" which saw

Mannesmann resists Vodafone‘s efforts. However on 3 February 2000 the Mannesmann

board agreed to an increased offer of ￡112bn, then the largest corporate merger ever. The EU

approved the merger in April 2000. The conglomerate was subsequently broken up and all

manufacturing related operations sold off.

3.3 Vodafone India

Vodafone India is a 100% subsidiary of Vodafone Group. It commenced operations in

1994 when its predecessor Hutchison Telecom acquired the cellular license for Mumbai.

Brand Vodafone was launched in India in September 2007, after Vodafone Plc. acquired a

majority stake in Hutchinson Essar in May 2007. From a single operation base with 31

million customers, the company has expanded its operations across the country to cover all 23

telecom circles and service 180 million customers.

Hutchison Telecom announced that it had entered into a binding agreement with a

subsidiary of Vodafone Group Plc. to sell its 67% direct and indirect equity and loan interests

in Hutchison Essar Limited for a total cash consideration (before costs, expenses and

interests) of approximately $11.1 billion. In 2014 ownership of Vodafone India and Italy

increased to 100%.


29

Vodafone India is a member of the Vodafone Group and commenced operations in

1994 when its predecessor Hutchison Telecom acquired the cellular license for Mumbai. The

company now has operations across the country with over 180 million customers. Vodafone

India has firmly established a strong position within the Vodafone Group too, making it the

largest subscriber base globally. This journey is a strong testimony of Vodafone‘s success in a

highly competitive and price sensitive market.

Vodafone India has been awarded the Most Admired Telecom Operator and Best 3G

Operator at the recent Telecom Operator Awards 2012. The company has also received the

globally recognized prestigious ‗Product of the Year 2012‘ consumer award for Vodafone

Apps Store in the Mobile Services Category. In another survey conducted by Nielsen,

Vodafone India was the only telecom player in the Top 10 ‗Most Exciting Youth Brands‘ in

India. Vodafone India also features in the Top 10 ‗Most Trusted Brands in India‘ for 2011, in

a survey conducted by a leading financial daily.

Serving the needs of an enterprise, Vodafone Business Solutions is a total

communications offering that caters to all their voice and data, wireless and Fixed-line

requirements. With the advantage of global expertise and experience and the knowledge of

local markets, the business is run through the following verticals – Vodafone Global

Enterprise, SME division, National corporate and key accounts. Since its inception, Vodafone

Business Solutions has garnered over 3 million corporate customers in India and currently

provides services to over 6000 Global and national accounts equipped with a robust and

superior network infrastructure and a 24x7 NOC. Vodafone has been recently awarded the

'Enterprise Mobile Service Provider of the Year' at the 2012 Frost & Sullivan India ICT

Awards.

3.4 Vodafone India: Awards & Achievements

2007

Acquires a 67% stake in Hutchison Essar for $11.1 billion with a subscriber base of 30

mn.

The company is renamed Vodafone Essar and ‗Hutch‘ is rebranded as ‗Vodafone‘.

Vodafone launches in India with massive multi-media campaign.


30

2008

Vodafone crosses 50mn subscribers.

Vodafone forays into enterprise and carrier business (Vodafone Business Services) in

India.

Acquires the licences in remaining 7 circles – Orissa, Bihar, North East, Assam, J&K,

HP, MP – becomes a pan India player.

2010

Vodafone crosses 100mn subscribers

Vodafone acquires spectrum for 9 circles in India in the auction for 3G spectrum

Soft launch of 3G in India

2011

Vodafone commences launch of 3G in India in phased manner

Vodafone India revenues stand at INR 27,000 ceores

Vodafone Group buys out its partner Essar from its Indian mobile phone business.

Vodafone Essar Limited becomes Vodafone India Limited.

2012

Vodafone India is INR 32,000 crores in revenues, crosses the 150mn subscriber mark.

Vodafone India recognized as the ‗Best marketing Company in India‘ by an Economic

Times survey.

Vodafone India announces a strategic alliance with ICICI Bank to launch- mpesa-

unique mobile money transfer and payment service- facilitate financial inclusion.

Vodafone India acquires additional spectrum in circles in the 2G auction.

2013

Vodafone receives FIPB clearance to increase stake to 100% in India unit

GSMA Innovation Fund Award for credibility in social innovation and impact

Ranked 2nd in ‗Best Company in Telecommunications Industry‘ –

Ranked 4th in ‗Best Company in Large Organisations‘ (more than 10,000 employees)

Ranked 24th ‗among the Top 100 Companies in India‘

2014

Vodafone India is fully owned by Vodafone Group.


31

GSMA Global Mobile Award for Best Mobile Product, Initiative or Service in

Emerging Markets to the RUDI Sandesha Vyavhar (RSV) project in association with

the Self Employed Women‘s Association (SEWA) and the Cherie Blair Foundation

for Women (CBFW)

Vodafone is ‗India‘s Most Admired Marketer‘ –recognised by Economic Times –

Brand Equity Agency Reckoner Study 2014.

Vodafone India received Award for Excellence in Talent Management (exemplary

work ethic & HR practices) at Economic Times HR Excellence Summit.

‗Retailer of the Year‘ at the Asia Retail Congress

3.5 Vision & Mission of Vodafone

Vision:

To lead the industry in responding to public concerns regarding mobile phones, masts

and health by demonstrating leading edge practices and encouraging others to follow.

To enrich our customer's lives through the unique power of mobile communication

Mission:

We will be the communications leader in an increasingly connected world

Figure 8: Vodafone network summary


32

3.6 Provided Services

3.6.1 Voice

Vodafone carried 1.2 trillion minutes of calls over our network last year – that‘s the

equivalent of everyone around the world talking for two and a half hours.

3.6.2 Messaging

Vodafone network carried 337 billion text, picture, music and video messages last year.

3.6.3 Data

Over 544 petabytes of data were sent across our network last year – that‘s enough data for

over 100 billion one minute video clips.

3.6.4 Fixed broadband

Vodafone have 9.3 million fixed broadband customers, mainly in Germany, Spain and Italy.

3.6.5 Other services

Includes revenue from mobile virtual network operators (‗MVNOs‘) using Vodafone network

in their markets and from operators outside their footprint using their products and services as

part of Vodafone partner market network that spans 48 countries.

3.7 Local markets

Vodafone Group Plc is one of the world's leading telecommunications groups, with a

significant presence in Europe, the Middle East, Africa and Asia Pacific through the

Company's subsidiary undertakings, joint ventures, associated undertakings and investments.

3.8 Partner markets

Vodafone Group has entered into arrangements with network operators in countries where the

Group does not hold an equity stake. Under the terms of these Partner Market Agreements,

Vodafone and its partner operators co-operate in the marketing of global products and

services with varying levels of brand association.


33

This strategy enables Vodafone to implement services in new territories and to create additional value

to their partners' customers and to Vodafone's travelling customers without the need for equity

investment in these countries.

Similar agreements also exist with a number of the Group‘s joint ventures, associated

undertakings and investments.

Highlights

Unified communications strategy: acquisition of Kabel Deutschland and proposed

acquisition of Ono – two leading cable companies, ongoing fiber build in Spain and

Portugal, with Italy to commence this year.

Project Spring underway, initially with increased network investment in India and

Germany.

4.7 million 4G customers in 14 markets; early 4G data usage more than double that of 3G

data usage.

European smartphone penetration 45%, up 7 percentage points year-on-year.

Vodafone Red now in 20 markets; 12 million customers as at 31 March 2014.

M-Pesa now in 10 markets, 17 million customers.

3.9 Quality Policy

Vodafone has a reputation for integrity, built through their business principles which they

apply in all of their business activities. Employing the business policies with every supplier

they work which ensures their business principles are put into practice.

International Standards

ISO 14001: Environmental management systems. Requirements with guidance for

use

ISO 9001: Quality management systems

TL 9000: Requirements with Handbook and measurements handbook

ISO 27001: Specification for the management of information security


34

ISO 20000 IT Service Management Standard: Specification for service

management/ IT service management standard: Code of practice for service

management.

OHSAS 18001: Occupational health and safety management systems. Requirements

BS25999: Business continuity management. Code of practice/ Business continuity

management. Specification

SA 8000: Social accountability

PCI DSS: Payment Card Industry Data Security Standard

3.10 Key milestones in the development of Vodafone

1982 As Racal Telecomm, awarded the first mobile license in the UK

1984 Incorporated as Racal Strategic Radio Limited

1985 First mobile analogue call in the UK

1987 Launched Vodapage, a paging network covering 80% of the country

1988 20% of the group floated on the London Stock Exchange as Racal Telecom Plc

1991 Separated from Racal Electronics and since then quoted as Vodafone

1993 Introduction of digital mobile services in the UK and first international

partnership.

1999 Merged with Air Touch Communications, producing a new company,

Vodafone Air touch plc

2000 Began operating as the Vodafone group Plc

2002 Introduced Vodafone Live!

2004 Commercially launched its 3G services in Europe

2005 Launched fixed mobile convergence product in Germany called Zuhause.

2006

Sold its Japanese unit to Softbank and Swedish unit to Telenor.

Acquisition of Telsim (Vodafone Turkey) for £2.6bn

2007

Entered the India mobile market and acquired a controlling stake in Hutchison

Essar for £5.5bn

Acquired Tele2 fixed line operations in Italy and Spain.


35

2009

Vodacom Group became a subsidiary following the purchase of an additional

15.0% stake for £1.6bn.

Vodafone Australia merged with Hutchinson 3G Australia to form a 50:50 joint

venture trading as Vodafone Hutchinson.

2010 Disposal of our 3.2% interest in China Mobile for £4.3bn

2011

Acquired a further 11.0% of Vodafone Essar for £3.1bn

Vodafone Group buys out its partner Essar from its Indian mobile phone business.

Vodafone commences launch of 3G in India in phased manner

Vodafone Essar Limited becomes Vodafone India Limited.

2012

Verizon Wireless pays $10bn dividend, £2.9bn received by Vodafone


36

CHAPTER 4

ORGANIZATION STRUCTURE


37

ORGANIZATION STRUCTURE

Every company has its own organizational structure. Vodafone South Limited has a well-

defined structure, with the following major departments namely HR, Technology, Sales &

Marketing, VBS, Finance & Accounts, Customer Service & Legal.

4.1 Structure of Vodafone India

Vodafone Global UK

Vodafone India

Directors

Sunil Sood

MD & CEO

HR

C.C.O

C.O.O

V.B.S Technology

External Affairs

& Regulatory

General

Councel

mPesa

O.D

South

O.D

West

O.D

East

O.D

North

Business Head

B.D.M

F.A

1. Karnataka

2. Andhra Pradesh

3. Kerala

4. Tamil Nadu

C.F.O


38

4.2 Structure of Karnataka Circle

Business Head

HR Technology Sales &

Marketing

Vodafone

Business

Services

Finance &

Accounts

Customer

Service

Learning &

Development

HR

Operations

(HR BC 1)

Recruitment

Performance

Dialogue &

Rewards

Associate

Management

Properties &

Facilities

Management

I.T

Network

Operations

Zonal Heads

Sales Head

Marketing Head

Retail Head

mPesa Head

National

Corporate

SME

VGE

VBS CS

Government

A/C

Solutions

Financial

Accounting

FPNA

Credit &

Collection

Supply Chain

Management

Retention & Relation

Customer

Support

Group

Quality SPM Training

Marketing


39

4.3 Zonal Structure of Karnataka

Karnataka has 8 zones

1. Bangalore East

2. Bangalore West

3. Davangere

4. Tumkur

5. Gulbarga

6. Mysore

7. Mangalore

8. Hubli

Zonal Manager

Distribution

Lead

Zonal

Marketing

Executive

Zonal Credit

& Collection

Zonal Retail

Lead

Zonal

Customer

Service Lead

Distribution Area Manager

Channel Manager

Channel Manager



Activation

Officers

Store In

charges (SIC)

VMS Leads

mPesa

BDM


40

CHAPTER 5

FUNCTIONAL DEPARTMENTS


41

FUNCTIONAL DEPARTMENTS

5.1 HR and Administration

The importance of human resources within the organization is becoming increasingly

understood in today‘s rapidly changing and uncertain business environment. In order to assist

employees in helping an organization to reach its strategic business goals, effective human

resource managers often gather job related information in a job analysis and job description,

which is vital to creating or re-designing jobs which provide employees with a high level job

satisfaction.

While empowering the employees, they focus on optimizing the roles of their key

touch point – the Human Resources function. Vodafone have implemented the HR Business

Partner for each function at corporate, to focus on the business strategy and launch of the HR

Shared Services for all employee queries and our Centre of Expertise (COEs) that brings in a

specialist experience in the HR functional domain, in areas of Rewards, OE (organization

effectiveness) and Talent.

Vodafone have an employee portal –Ask HR as a one-stop-shop for all employee

communication needs like HR Updates, Policies, Processes, Employee Self Service and

Manager Self Service. On an average, they have 15,000 hits per month, thus bringing in

complete transparency on all HR processes. Since the launch of the Ask HR portal in April

2011 till March 2012, company have recorded 157,724 hits on the website and registered

45,320 queries (calls and emails) to the service centre. Also their HR Systems enable

employee self-service in travel, medical claims, performance dialogue, leaves etc. Their

employee CSAT on HR services is at 85%+ on speed, quality and overall services, the team

provides to all the stakeholders.

The Human Resource Department is placed with the responsibility of ensuring that

it plans adequately for all the organization‘s future engagements that will involve people. One

important aspect of this is planning for employees in the organization. It is important that the

organization ensures that all the employees under its wing are just enough to increase value to

the organization.


42

The H.R department of Vodafone South Limited performs many important functions. The

Major functions include:

Attract bright and relevant talent.

Develop continuously by providing opportunities.

Excite by creating a culture that is invigorating and creatively innovating.

Retain the best talent by creating an environment of trust and bonding.

Recruit right resources at the right cost and time.

Develop overall organization human resources capabilities through relevant

interventions.

Facilitate HR and Administration process and systems so as to enhance staff retention.

Facilitate and sustain employee engagement through purposeful organization

communication process.

5.1.1 Administration

The major function of administration department is to maintain and to ensure a function of

high standards that conforms to workplace Ergonomics by adhering to:

Cleanliness

Comfort

Aesthetics

Hygiene

Safety

Their overall responsibility includes maintenance of:

Building / facilities

Housekeeping

Staff welfare

Travel / Transportation

Power / Infrastructure

Printing

Courier

Concierge

Hotel booking / conferences

Support / Maintenance


43

5.1.2 Recruitment

This is one of the most fundamental roles of the HR department. This function ensures that

the Company under consideration selects the most skillful and competent person from a sea of

applicants at that time. This function involves evaluation of ability and competency of

potential employees in relation to what the Company needs. This role falls under the Staffing

role of management. If this function is performed well, then the organization will increase

value consequently being on the right pathway to achieve its organizational and departmental

goals and objectives.

Job sites

Consultants

Referrals

Campus recruitment

Selection process

Sourcing CV

Shortlisting

Interview schedule

Interviews

Face to face interview

Video conferencing

Telephonic interview

Offer

Medical examination

Joining formalities

Appointment

Performance Dialogue

Mid-year performance dialogue

Annual performance dialogue- its process

Goal setting

Goal approval

Self-assessment


44

Manager assessment

Communication of rating

Employee feedback

Survey

5.1.3 Talent Management

Vodafone recognise that it is necessary to create a sustainable environment for their

people so that they continue to be relevant to the business, as they grow. As a part of

Vodafone talent management initiatives, they primarily work on building sustainable

environment to manage succession plans for critical roles and groom the people for these

roles. They provide customised training programmes and plan career paths for their

employees, based on their potential, talent and performance. An employee with high

potential is groomed via development journeys that enable them to fast-track his/her

career within the function. Some of the flagship talent management programmes are:

Senior Leadership Acceleration Series

Building Leaders of Tomorrow

Young Leaders Program

In acquiring, nurturing, integrating and retaining talent, Vodafone focus is not only around

‗what‘ of performance but also around ‗how‘ of performance, bringing a more mature

performance management system with a visible linkage to the Vodafone Way of Speed,

Simplicity and Trust. It is not just appraising their employees, but also about letting them set

SMART goals, coaching them for superior performances and ensuring continuous

development, through regular feedback and review – empowering them at every step.

Towards a Safer work Place

Safety of their employees is at the core for them. Vodafone believe that senior

management commitment is essential to make their work environment injury free and safe for

every individual associated with them. Senior Management Tours are conducted on a regular

basis to encourage safe working conditions and practices. Moreover, they are in the process of

establishing various standards and work practices for sustained safe working. Also Vodafone

believe in an open culture in incident reporting across all levels.


45

Employee Recognition

Vodafone value their employees and value their contributions. Vodafone workforce is

their strength and they want their employees to feel valued and realise that their work does

make a difference. At Vodafone, one of the best companies to work for in India as per a study

by The Economic Times, they acknowledge the priceless contributions made by their

employees under the following categories:

Target or performance driven recognition programme

Culture driven recognition programme

Some of the culture driven recognition programmes are:

Vodafone Global Heroes

The Vodafone Way is about a consistent way of working, with Speed, Simplicity and

Trust. Vodafone Global Heroes is a quarterly initiative that identifies and recognises

employees (in band G and below) who contribute to and embody ―The Vodafone

Way‖.

Vodafone sSTars

A sSTar is someone who operates with Speed, Simplicity and Trust. This programme

recognises the employees‘ contribution at three different levels:

Level 1: SSTars

An on-going exercise, it celebrates the demonstration of Speed, Simplicity and Trust

at work with a special SSTars e-card. Any employee can recognise a colleague or team

member across functions and circles through an instant SSTars e-card, any number of

times.

Level 2: SuperSSTars

A monthly exercise which celebrates the exemplary demonstration of Speed,

Simplicity and Trust at work. The chosen employee is awarded points from the

functional kitty that can be redeemed against gifts. Any functional or cross-functional


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colleague or Line Manager across circles can nominate an employee with a proper

justification, any number of times during the month.

Level 3: MegaSSTars

A quarterly exercise which celebrates the consistent and outstanding demonstration of

Speed, Simplicity and Trust at work. The MegaSSTar finalist is shortlisted by the

Recognition Board comprising Business Head, HR Head and Functional Heads, every

quarter in every circle. The winner is awarded a lapel pin, a certificate and points that

can be redeemed against a pre-decided gift voucher.

5.1.4 HR Department Structure

HR Head

HR

Operations

Associate

Management

Learning &

Development Administration

Recruitment

Performance

Dialogue &

Rewards

HSW &

Security

Facility

Management


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5.2 Technology Department

5.2.1 Information Technology

The I.T department has been contracted to IBM. The main functions include:

Providing IT support to all departments in order to meet business requirement.

Understand business requirement, changing time to time, and provide automated

solutions to meet and compete in the market.

Understand technology trends and apply to enhance efficiency and advantage to

business.

Ensure I.T applications and systems availability and scalability to meet growth and

industry/market challenges.

Participate in management to understand business goals and challenges and explore

and deploy technology.

Define service levels (SLA) for centralized applications to meet business objectives,

monitor, review and enhance time to time.

Define, monitor, review and enhance scope of work (SOW) SLA with service

partners/providers.

Ensure alignment to national processes, with least compromise to circle business

needs.

Participate in business projection process and prepare capacity planning, capex and

opex requirement and architecture to I.T preparedness in time for growth.

Data security and IT process compliance to IT/Company policies and legal &

regulatory requirement.

Understand end customer experience and influence central IT team to provide IT

solutions to enhance end customer experience.

Prepare IT capacity, service and consumable plan for the year based on inputs from

functional heads.

Influence service partner/ Central IT team verticals with circle business trends

requirement to provide solutions.

Plan and deploy equipment capacities to meet requirement.

Review existing and new IT infrastructure needs with service partner and enhance

systems availability and capacity.


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5.2.2 Network Operations

The network operation department performs the functions of designing and getting the IP

MPLS network implemented as per the specifications provided by corporate. Their functions

are:

Maintaining the MPLS network once it is commissioned for the carrying the circle

enterprise business (data & voice) traffic

Timely site readiness, physical installation of PoP, acceptance test & commissioning

of Vodafone MPLS/Voice network.

Perform the operation & maintenance of MPLS PoP.

Execution of work order for network & customer circuit provisioning in coordination

with all stakeholders.

Performance, capacity & network change management of MPLS network

Maintenance of network & customer SLA as per the target

Prepare and organize the strategy for Zonal – O & M setup

Planning resources requirement for various sub functions like Manpower (employee +

outsource staff), cell sites logistics/ spare materials, test equipment etc…

5.2.3 24 x 7 Handling Network failures

To ensure fault free operation of network cell sites and network subsystem through preventive

maintenance. Managing 24 x 7 zonal and centralized level maintenance shift operation for

speedy network fault resolution. Their functions are:

To ensure high network reliability/availability.

Constant interactions with system vendors and sub-contractors for day to day

operational issues.

Managing faulty spares repair and return process for various network sub systems

through various vendors.

To handle and manage the catastrophic network failures due to various calamities

condition.

To ensure fast recovery of network during unexpected/ uncertain scenario.

Optimum utilization/ mutilation of zonal O &M resources for efficiently handling the

crisis.


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Planning day to day O & M cost saving/ reducing technique.

Handling O&M related contractual/ outsourcing in lowest possible cost to produce

productive results in terms of cost /time and quality.

Monitoring & tracking O&M process cost.

Optimal and efficient utilization of available centralized /zonal O&M staff/ contractual

staff.

Cell sites logistic / Spares materials and test equipment‘s usages and control

To create better understanding and interpersonal relationship among the remotely

located zonal team members and sub functional centralized team members by way of

regular interaction / discussion with each individual team member.

To drive synergies among all O&M zonal subgroup and other department for smooth/

flaw less handling of network operational issues.

To provide technical direction to subordinate for fast network problem resolution and

root cause problem analysis.

5.2.4 Technology Department Structure

Technology Head

IT Projects

Switch

Transmission

Operations &

Management

(O&M)

Career

Business


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5.3 Sales And Marketing Department

Sales and marketing is one of the most important department at Vodafone south ltd.

Marketing is the process by which companies create customer interest in products

or services. It generates the strategy that underlies sales techniques, business

communication, and business development. It is an integrated process through

which companies build strong customer relationships and create value for their customers

and for themselves.

They form the back bone of the entire organization. They are responsible for the

function of carrying out the function of marketing activities all around Karnataka. They

manage and monitor the entire sales force of VSL. The entire Karnataka state is divided into 8

zones. They are Bangalore East, Bangalore West, Mysore, Hubli, Gulbarga, Davangre,

Tumkur, Mangalore.

The main responsibilities of the marketing team are to:

To define and manage the customer needs and expectations

Deliver innovative products and services

To implement business models for new products and services including capex spend

To constantly design, deploy and manage campaigns for revenue management of both

voice and data product and services

To develop strategic alliances in the circle to help SME business growth in the circle

To develop and implement the tariff plans

To identify the business solutions needs for SME in the circle and provide input for

solutions development.

To support product penetration of accounts through targeted acquisitions.


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5.3.1 Sales & Marketing Structure

Sales & Marketing Head

Marketing Retail Sales Zonal

managers

Value added

services

Roaming

Campaign

Management

UNR

Data

Services

Sales

MIS

Projects

Sales

Program

Management

MIS

Modern

Trade

Distribution

Direct Sales

Marketing

Communications


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5.4 Vodafone Business Services Department

The main function of Vodafone Business Services department is to manage and implement

the service strategy among corporates and Vodafone global enterprises customers in

Karnataka and attain high level of customer satisfaction through the cross functional teams,

service managers & channel partners whilst complying with agreed budget, timescales and

agreed policy guideline as also with all regulatory norms. Innovate and drive appropriate

changes in service delivery depending on market realities and demands. They must also align

with cross functional teams across circle and central. Back office matrix in terms of complaint

management resolutions and achieve customer satisfaction. Manage complaints from

customers within an agreed SLA.

They are responsible for:

Service management in the accounts through team of service manager and channel

partner for servicing.

Drive customer retention and comply to customers with customer credit policies.

Engage in formal service reviews with corporates and VGE accounts and customer

forums.

Provides feedbacks on evolving service needs.

Set goals and targets for the service team in consultation with the head

Monitor the performance of the teams periodically.

Responsible for service communication for the corporates and VGE customers

handled in the allocated territory.

Responsible for aligning and implementing norms and process laid.


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5.4.1 Vodafone Business Service Department Structure

VBS Head

Customer

Operations

VBS

Solutions

VBS

Marketing

VGE

Small &

Medium

Enterprises

Government


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5.5 Finance And Accounts Department

The finance department forms the backbone of every organization. The finance department

has a team of professionals which regularly review the company‘s practices and converts

personal skills into efforts to continually improve the financial statements of the company.

Through effective management practices and creative ideas, financial department team strives

to build a working environment that enables to use financial resources and capabilities to

serve customers better. The finance department staff shares the company‘s dedication to

customer satisfaction.

The major functions of the finance department include:

Finalization of accounts.

Cash flow (in flow) projections

Supervision of billing, collections, banking, statutory compliances

Periodical MIS

Budgeting

Returns filling

Correspondence to bankers on financing

Debt management

Agreements and dispute resolution

Supervision of costing

Supervision of individual and functional performance

Internal audit

5.5.1 Credit & Collection

Objectives

Act as a catalyst for growth in revenue and subscriber base

Balance risk v/s revenue

Bring more customer focus and intelligence into the C & C processes

Strive to reduce bad debts

Equip credit and collections teams to be in line with business growth


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1. Credit Team

The respiratory system of the Vodafone body. They do this by:

Reviewing subscriber‘s credit worthiness before letting them into our system.

Monitoring subscriber‘s dues.

Retaining good subscribers and optimizing their usage.

Process in Credit

Duplicate tracking

Fraud Control

Credit monitoring

Return bill management

Credit rating update

2. Collections Team

The blood circulatory system of the Vodafone body. They do this by:

Ensuring customers, get their bills

Giving reminders and collecting payments.

Posting payments on time

Informing customers who have overdue payments

In field, understand subscriber issues, resolve issues

Processes in Collection

Billing operations

Bill payment processing

Dunning

Tele-calling agency

Field collections


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5.5.2 Supply chain management

Vodafone India has always taken adequate measures to ensure that the supply chain is

efficient, and has developed systems to optimize every step of the supply chain including

procurement, inventory management and effective waste disposal. Moreover, they have also

established processes that enable them to observe safety rules and conduct business

responsibly.

5.5.3 Finance & Accounts Department Structure

Finance & Accounts

Head

Finance

Planning &

Analysis

Financial

Accounting

Credit &

Collection

Supply Chain

Management

Zonal

Accounting

Tax


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5.6 Customer Service Department

The Customer service department fulfills an important role for an organization. Customer

service is often the main point of contact for a customer, so representatives can paint the

company in a positive light by providing friendly and prompt service. In some cases, the

customer service department can even generate additional sales for the company. Customer

service requires a great deal of patience since customers may be rude or demanding at times.

The main focus of a customer service department should be to attempt to satisfy the

customer‘s needs.

The customer service department also includes the department of Retention and Relation.

They are responsible for:

Reducing voluntary subscriber churn.

To ensure recruitment, training, performance of all retention executives.

To ensure communication of empowerment and approval matrixes at all touch points

for customer retention.

Process management of store retentions.

To increase first level retention at stores.

Ensuring all retention executives are trained.

To record all correct information and closure of retained/ not retained customers.

Ensuring all support from the stores team to the retention executives.

R & R are responsible for e-mail retention process – allocation, closure, performance,

as per set targets.

Ensuring all cancellation requests are closed within the agreed SLA‘s by the retention

agents.

Driving customers win back post cancellation through tele-calling and field and

ensures the targets are met.

Driving the base management of the selected high ARPU base through the team of

relationship managers and ensuring the targets on customer visits, retention,

complaints, collection, churn etc are met.

Drive the team‘s performance in productivity, training retention skills, performance,

quality, validation and settlement of invoice.


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5.6.1 Customer Services Department Structure

Customer

Service Head

Retention &

Relation

Quality

Customer

Support

Group

Service

Partner

Management

Training


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5.7 Legal Department

The Legal department is responsible for maintaining and protecting the interest of the

company to the fullest extent. Take disciplined actions & focus on business needs and

requirements. They must adopt best practices and easy ways and means while resolving

issues. They must access and manage all types of risks and handle crisis effectively and

efficiently.

The functions performed by the legal department are:

Provide high quality legal services.

To ensure situations are handled and controlled to meet end users requirements.

Monitoring and focusing on driving the process as to collection against defaulters of

cheque bounces.

Handling uncertain, complex situations and speedily resolve the issues.

Defending the coercive actions taken by the government authorities for collecting

revenue is set aside.

Defending the litigations filed against the company and ensuring the customer is not

paid any compensation as claimed for.

Manage the risks and deliver results timely always, do not look for short term benefits

but long term solutions always.

Manage to move with the entire industry always.

All end users requirements have to be met timely so that business remains un-

hampered.

Taking the right decisions at the right time is important and implementation of the same is

also very critical aspect from business point of view in case of the legal department. Timely

action has to be taken against defaulters of cheque bounces and ensure that revenue is

enhanced for the company

At Vodafone, they have several functions that are a part of the control environment including

Internal Audit

Revenue Assessment

Information Security


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Privacy

Sarbanes- Oxley (SOX - also known as Corporate and Auditing Accountability and

Responsibility Act)

Enterprise Risk Management (ERM)

Fraud Risk and Security (FRS) and Compliance

However, recognizing the need for developing a simplified system for remaining compliant to

the large number of laws and regulations affecting them, they are in the process of creating a

framework encapsulating all the key laws and regulations that each circle is required to adhere

to in all situations.

5.7.1 Legal Department Structure

Legal Head

Assistant Manager


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CHAPTER 6

SWOT ANALYSIS


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SWOT ANALYSIS

6.1 Strength

1. World’s second largest mobile telecommunications company measured by both

subscribers and revenue.

Vodafone is the world's second-largest mobile telecommunications company

measured by both subscribers and revenues (in each case behind China Mobile).

Vodafone is either the market leader or is among the top 3 service providers in every

country. Such strong position often implies financial leverage, larger capacity to

absorb risks and greater capability to steer the market direction. Vodafone had 434

million subscribers and revenue of £43.6bn as of 31 March 2014.

2. Geographically diversified business.

It‘s easy to think of Vodafone as simply a European company, with its headquarters in

the UK, but the reality is that one third of their revenue comes from countries outside

Europe and most of this is in fast-growing emerging markets where data demand is

taking off. The company owns and operates networks in 26 countries and has partner

networks in over 50 additional countries. The Vodafone Global Enterprise division

provides telecommunications and IT services to corporate clients in over 65 countries.

Vodafone is the world‘s leading international mobile communications company.

3. Strong advertising and marketing strategy (Eg:Zoo Zoo concept).

Innovation is always a part of advertisements and the advertising agencies reach out

for new ways to capture the prospective consumer's heart. Vodafone capitalizes on the

innovative ideas and always came with the new advertisements that took the brand on

heights always.

O&M (Ogilvy and Mather) the mastermind behind Vodafone advertisements

and the main objective was to set the position of Vodafone as an innovative leader in

the mobile services sector. The promotion strategy was to hit massive levels by

maximizing the target audience.

http://en.wikipedia.org/wiki/China_Mobile


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Out of all the commercials launched by Vodafone, ZOOZOOZ are the best.

IPL-2 was the best option for Vodafone to do go for. The advertising strategy behind it

proved itself from the fact that the name Zoozooz got coupled with the brand

Vodafone and gathered more publicity and reception than IPL. Repetition of the

advertisements of Zoozooz may bore the viewers, so O&M came up with new

Zoozooz Ad every day. Zoozooz were the new brand ambassador for Vodafone, has

created a furore in the advertising industry. Zoozooz succeeded in giving the exact

makeover Vodafone was looking for along with amazing brand presence.

4. Vodafone’s leadership position and Strong brand recognition

Aggressive strategy, creative advertising, decent customer service and employee-

friendly policies have helped Vodafone in cementing its place among the better brands

of the world. This makes it easy for them to win new customers and retain the existing

base.

5. Developed and advanced network.

While not necessarily the trailblazer of LTE network launch in its areas of operation,

Vodafone deployed LTE and high-speed wireless networks in most of its markets

within a few years of spectrum allocation or ecosystem stabilization. In 2010,

Vodafone had LTE running in Germany for the first time. Within the next 2 years,

they followed it up by launching LTE in Portugal, Romania, Spain, UK, Australia,

South Africa and many other nations. Networks in India, Egypt and Turkey are also in

the process of upgradation. Similarly, in the first half of the last decade, the operator

was aggressive in providing 3G services. The overall perception of Vodafone‘s

wireless network is positive in most countries.


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6.2 Weakness

1. High customer churn.

Customer churn happens to be the most challenging issue for mobile industry

irrespective of its rapid growth. India has more than 15 mobile operators in a highly

competitive, predominantly pre-paid market. About 96% of all mobile subscribers are

constantly transitioning between mobile service providers to realize incrementally

lower prices. The monthly churn rate in India averages approximately 6%. Reasons for

disloyalty vary for different operators as this market is highly competitive. Customer

loyalty generally declines and willingness to churn increases as market is subjected to

technological changes. Recent churners often switch because of promotional offers

from competing providers. The churn is very high especially in the youth segment.

Customer retention is a challenge as churn takes place in the short period of less than

24 months. Globally, India stands first in youth population. According to the recent

telecom statistics of 2014 young adults tend to churn in a higher rate when compared

with other age category. This is mainly due to their level of expectations and

preferences are varying according to the mobile market trend. Hence it is very difficult

even to Vodafone, a market giant to cut down churn.

2. 3G service is not available in all circles.

Out of the 23 telecom circles in India, Vodafone has acquired 3G spectrum only for 9

circles. For example, in Karnataka 3G is provided through the Airtel network and in

Kerala it is through Idea network. In order to resume offering 3G services in circles

where they do not have spectrum, Vodafone, invests a huge amount of over INR 280

crores per annum for ramping up network and distribution by taking up circles for

rent.

3. No proper network in rural areas.

This is due simply to limitations of technology. Customers can be tens of miles apart

in rural areas, making it difficult to propagate a signal to many homes around a base

station. Though the customers in the rural areas is a potential market for Vodafone, the

fact that homes are so sparse in rural areas also hinders from making the investments

necessary to supply rural areas with quality mobile network.


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6.3 Opportunity

1. Fast expanding cellular market / Strong demand from emerging markets

The demand for mobile services continues to grow strongly. In the last three years the

number of users increased by an average of 9% each year. In 2009 global mobile

penetration was only 69%, and by 2013 it had risen to 98%. Emerging markets have

the most potential for future mobile customer and revenue growth driven by rising

populations, strong economic growth, lower mobile penetration and a lack of

alternative fixed line infrastructure. According to industry analysts, by 2017 there will

be 1.7 billion new mobile users across the globe, and most will be from emerging

markets. As a result by 2017, 77% of the world‘s mobile users will be from these

markets.

2. Good tariff packages.

Mobile service providers have the power to fix/give offers to the customers.

Vodafone‘s 3G data portfolio includes a variety of weekly packs, night packs and

monthly packs with limited and unlimited 3G data benefits, ranging from Rs 27 to Rs

1499.They are able to give such a wide and attractive packages while adhering to the

norms and rules of TRAI.

3. Growing importance of data and other new revenue areas

Mobile voice and texts are the traditional revenue sources for all telecom companies.

One of the major future growth opportunity revenue areas is data. It is estimated that

between 2013 and 2017 data revenue for the telecommunications sector is set to grow

by US$128 billion, compared to a US$38 billion decline in voice revenue over the

same period. The demand for data will continue to be driven by rising smartphone and

tablet penetration and usage, and improvements in mobile network capability. As the

demand for data grows, mobile networks have to be reconfigured to data, while still

meeting the need for traditional texts and calls. Already 91% of the world‘s total

traffic on mobile networks is data. The data services most used are video streaming

and internet browsing which require high speed networks.

New applications for mobile services are the use of mobile beyond everyday

communication and deliver new revenue streams, such as mobile payments via a


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handset or machine-to-machine services, including the location monitoring of

vehicles, through a SIM card embedded in the vehicle.

6.4 Threat

1. New entrant’s and low price offering.

The high level of competition among established MNOs is expected to continue.

However, there is also a wider pool of new competitors. Alternative communication

technologies, such as instant messaging services which use data, rather than traditional

voice and text, are increasingly used by mobile consumers. In response, operators have

begun to replace per unit charges for voice and text services with unlimited bundles,

and combine this with a fixed fee for data usage. Meanwhile MVNOs which offer low

prices, but have little capital invested, have in recent periods taken share from

established capital intensive operators. However, the move to 4G and unified

communications presents an opportunity for the major operators to differentiate the

quality of their networks and services.

2. TRAI interference and regulations.

The mobile industry is very heavily regulated by national and supranational

authorities. The industry is expected to see continued downward revenue pressure

from regulation. Vodafones largest emerging market, India, the regulatory framework

is becoming clearer and that will affect the overall industry.

3. Increasing range of competitors

The mobile industry is highly competitive, with many alternative providers, giving

customers a wide choice of supplier. In each country there are typically at least three

to four mobile network operators (‗MNOs‘), such as Vodafone. In addition, there can

be numerous mobile virtual network operators (‗MVNOs‘) – suppliers that rent

capacity from mobile operators to sell on to their customers. There can also be

competition from internet-based companies and software providers that offer

alternative communication services such as voice over internet protocol (‗VoIP‘) or

instant messaging services.


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CHAPTER 7

LIMITATIONS OF THE STUDY


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LIMITATIONS

The following are the limitations that I faced during my work:

1. As the organization is an autonomous body, it is very difficult to conduct a

detailed study about every aspect of functioning within a span of 45 days

2. It is also difficult to identify a particular problem faced by a department and to

suggest solutions for it.

3. Inadequacy of updated secondary data

4. Since the officials work in a tight schedule, it is difficult to spare their time for a

detailed discussion.


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CHAPTER 8

FINDINGS & CONCLUSION


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FINDINGS & SUGGESTIONS

6.5 Findings

The following are the important findings from the organization study:

Vodafone South Ltd has a flat type of organizational structure, which supports its

philosophy of delegation and participation of employees.

Vodafone gives a lot of attention towards ensuring that the senior leaders of

organization remain focused on achieving the organizational vision and exceed the

expected levels of performance. It believes in measuring organizational performance,

creating an atmosphere conducive for ethical behavior and developing future leaders

for attaining excellent performance.

It emphasizes on planning the actions, implementing those plans and ensuring the

objectives are met and achievements are measured and sustained for improving the

functioning of business. While it is important to resolve smaller key strategic issues

faced by Vodafone, it is control the competitive environment.

It places a great importance on developing and maintaining relationships at corporate

and business levels through effective listening, participative learning, and performance

excellence. Vodafone understands its customers well.

Vodafone through its process management identifies its core and distinctive

competencies and managing them in a manner, which helps it to achieve effective

design for organizational learning and continuous improvement of business processes.

6.6 Suggestions

The following are the important suggestions to Vodafone according to the organization study:

Achieving competitive advantage over its competitors, Vodafone South Ltd will need

to achieve and sustain better operational effectiveness. This is attainable given the

resources and capabilities inherent in the organization‘s strategy.

Vodafone should remain dedicated towards creating value added propositions by

investing and committing to the cause of Research and Development.


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CONCLUSION

The intention behind this study was to get better idea about the organization and its

different departments, responsibilities of key personnel and its competitive performance with

respect to operational parameters. The study helped me in practically understanding what the

company is all about and the Company`s functioning, various aspects of business and to relate

theory with practice. Vodafone South Limited is always trying its level best to maintain its

consistency, quality and services.

Project helps the organization to know the departmental details from the view of an

outside person and it would help the organization to respond with improvement in service

quality, performance level, etc. It can also be used as the wanted improvements of company's

product and services. Effective and efficient steps shall be taken to achieve and maintain good

reputation to the organization.

The activities of all departments are functioning at the impressive standards for

achieving the organizational objectives. Flexibility, work culture and the management

approach towards the employees are the main factors which drives satisfaction to each of the

employee at Vodafone South Limited. A real life experience which was enough for figuring

out the structure and functioning of the organization.


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BIBLIOGRAPHY

REFERENCES

Annual report of Vodafone of the year: 2014-2015

Sharma Seema and LokeshSingla (2009), Telecom Equipment Industry: Challenges

and Prospects‖

WEBSITES AND URL

http://www.vodafone.in

http://www.dotindia.com

http://www.dot.gov.in

http://www.trai.gov.in

Organization Study at Vodafone South Ltd, Bangalore

Education

Transcript of Organization Study at Vodafone South Ltd, Bangalore