Capstone

Project

Introduction

Etisalat is intent to create value for the participating OpCos and

Etisalat Group through greater scale and focus.

It wishes to expand the level of services on the international

wholesale services market.

Companys operational data is stored at a place

frequently used.

Issues in planning strategies for global competitiveness because

of the fragmented operational data and force.

where it is

Company Profile

About Etisalat

Etisalat
was
branded
by
Telecommunications Corporation.

Etisalat is a MNC dealing in telecommunications

services. At present the company is providing
services in around 15 countries in Asia, Africa and
Middle East.

It is amongst the twelve largest mobile network

companies.

the

Emirates

Around 150 million customer consume the product.

In the month of march,2014 NET REVENUE of the

company was recorded of around of USD $10.6 billion

In middle East countries Etisalat is a big internet hub.

The company is providing telecommunication
connectivity to many regions. It is amongst the
largest international voice transfer of Middle East.
4

Background of the
problem
.....

Functions are fragmented

which makes the control
over the data difficult.
Etisalat OpCos , in United
Arab
Emirates
have
undergone several changes
over the years.
.....

Etisalat OpCos are currently

working
in
fragmented
manner

Source: ....

.....

Because of the fragmented

operational
activities
performance at global level gets
affected because it requires
integrated data from different
sites.

.....

In the current scenario Etisalat

OpCos is finding it hard to carry
out
functional
database
transfers
owing
to
the
fragmented
operational
activities. This made it difficult
for Etisalat OpCos to achieve5

Purpose of the study

1

The purpose is to understand the consequences of

fragmented operations in Etisalat so that a value can
be created for Etisalat.

The project helps in increasing the scale and

identifying the solutions to their fragmentation issue
in the international wholesale services market, rather
than individual working by the participating groups.

Opportunities to leverage the group on the

international wholesale services market that is driven
by scale.

EIW shall be the primary customer interface to all

international carrier customers outside the OpCos
footprint.

Source: ....

Literature review

According to Booz&Co. journal(Rethinking Wholesale Five Key

Strategies for MENA Telecom Operators), the operators of
telecom industry in Middle East are engaged in lucrative facility
leasing.
Moreover, a compilation of new service, new
competitors are transforming the sector.

As per IMF Staff Discussion Note(Subsidiaries or branches does

one fit all), the advantages of wholesale are less in case of
subsidiaries so it is advantageous to have a separate unit.
Parent company and all the units are managed in integrated
manner.

A paper by Robert A. and Riegler discusses that most of the UK

business changed from fragmented operations to integrated
one. The paper explains the effects of fragmentation on labor
and productivity. The author explains the different dimensions
of fragmentation.

Research Methodology
The primary research will be
carried out by means of survey
questionnaire. In this research
probability
sampling
and
convenience technique will be
used.

In
convenience
sampling
technique those respondents are
selected who are easy to access.

Sampling is used as a subset of

population. This is done to .....
save
time and reduce complexity.

This questionnaire will be aimed at

identifying the problems faced by
Etisalat.

Descriptive research design has

been used for this purpose.
Descriptive research, describes
the basic characteristics of a
population being studied.

This study is done without changing

the environment. This study is not
experimental
in
nature.
In
Descriptive study researcher interact
with the participant to collect
necessary information.

Source: ....

Questionnaire was created by

the researcher. These questions
relate to the problem directly or
indirectly.
A description about the
objective of questionnaire was
attached with the document
.....to
make
the
respondent
understand the research.
In
convenience
sampling
technique those respondents
are selected who are easy to
access. Sampling is used as a
subset of population.

Source: ....

Questionnaire was sent to the

informants with a formal request
to answer them and send them
back.
In
this
research
probability
sampling
and
convenience
technique was used.

This is done to save time and

reduce complexity.

250questionnaireswere sent.

It was simple percentage formula

used for calculating the response
rate

.....

Out of which 150 questionnaire

were selected which were
properly
filled,
giving
the
response rate around 60%.

Source: ....

The data collected by means of the

survey
questionnaire
will
be
compiled and analysed by means
of MS Excel. Also, the findings of
the survey will be presented
graphically by means of pie-charts.

Data Analysis
Workload Of Fragmentation
45%
40%

40%

35%
30%

Workload Of Fragmentation

25%
20%

20%
17%

15%
10%

10%

8%

5%
0%
0-5 min

5%
5-10 min

10-15min

15-20min

20-25min

25-30min

The load is very high in the first five minutes though the effect
decreases as time goes but the effect remains which affects
the productivity.

What are the aims of EIW ?

40%
60%

Process evaluation
Product Evaluation

The pie chart shows that the aims are tilted towards process evaluation
more.

Which Organizational Functions Are

Involved In the EIW Initiatives?

7%

5%

5%
40%

12%

Operations
Customer
Planning
Human Resource

17%
7%

7%

Facility Maintenance
Finance
Administration
No response

40% of the operational activities are involved in EIW initiatives. This

being done to strengthen the quality of operation.

What type OF performances are the

Etisalat initiatives to improve?

10%
15%

40%

Customer satisfaction
Quality Of Work Life

12%

Effectiveness
12%

Effeciency
11%

Work Processes
No response

According to respondents the EIW initiative will improve the customer

satisfaction level with better services and quality.

Problems In Etisalat Company

30%
40%

30%

Etisalat is going through few problems and the major one are
monopolization of one network and costly memory management
algorithms.

Challenging Places For Etisalat

14%
40%

12%
Response rate to customer
settlement
19%
15%

Connectivity
Regulatory Reporting
Operations

Operations is a challenging activity for Etisalat and with that

connectivity in networking, activities, process and participants is also
a big challenge.

Advantages Of Group Wide Collaboration On International Wholesale

15%
15%

50%

Cost advantage
Enhanced credibility and weight

20%

Focus and speed

Increased volumes

Group Wide Collaboration on International Wholesale will

benefit the company on the terms of cost advantage mainly.
The trust of participants and customers will increase in the
company.

Benefits To Particiapants

30%

35%

Procurement of international
wholesale services
Sales and business development of
international wholesale services.

35%

Marketing by Participants of of
selected next-generation wholesale
services

EIW will benefit the participants in sales and development,

procurement of international services and marketing of nextgeneration services.

What are the ways you think for wholesale service provider?

10%
15%

35%
Value creation
Integrated functions
40%

Transparency
Control on methods

By integrating functions and by creating value the ways for wholesale

servicing can be made.

How Can Access To EIW be Improved

15%

25%
Qualified network
15%

45%

Dedicated resources
Integrated Operational Activities
Spending Time with Participants

Access to qualified network can be improved with dedicated resources,

interaction with participants and systematic networking.

Findings
According to the respondents the basic problem was intervened in the
working process and it was identified that fragmentation is the biggest
problem in the organization because of which networking is affected ,
quality level is affected, cost is increasing and many other factors.
Thirty percent of the respondents feel that the Etisalat Company is going
through monopolization one network which increases the workload pressure
on the operational staff members thereby reducing the efficiency of the
quality work.
Local partnership designed solutions to harness mainstream activities and
expenditures
The ultimate outcome is increase in the level of cost, which around forty
percent of the respondent feels.
SWOT analysis should be done before any expansion so that the industry
people are having an idea of external environment also.
Programs should be organized to have people focused on integration. The
strategy department should look after this process specially.

Another problem with the operational activities is that the bandwidth is

larger and because of fragmentation it has become disadvantageous.
As per the respondents with the help of proper integrated network of
customer service the access to EIW thought can be improved.
Because of ineffective integration of process people find it laborious to
tackle with this communication process and they decide to give up the
idea.
Such conflicts affect the mindset of the employees and create an
unpleasant atmosphere in the organization which directly or indirectly
affects the productivity and creativity of the company.
Etisalat international wholesale Company will benefit the participants in
procurement of global services.

Conclusion
The step of moving towards
international wholesaling in a
separate unit with the participatory
firms will offer the company more
attention than it could have got of
being a secondary part of a retail
operation.
The company is planning to opt for
the strategy of transferring the
staff
members
from
the
participatory firms to the new
international wholesaling firm.
The routers may be needed to be
transferred
to
Etisalat
International Whole sale service
in future.

When the company will have its

dealing with global companies
around the world its brand image
will increase and this benefit the
OpCos directly and indirectly in
both ways.
The staff people of participating
firms who are currently into
global
wholesale
shall
be
transferred
to
Etisalat
International Whole sale.
In the coming future time Op Cos
will be providing capacities if
needed
by
the
Etisalat
International Whole sale service.

Implications

The solution to the emerging problem can be the implementation of

Establishingnew entity named "EIW" to consolidate and centralize Etisalat OpCos sca

Increased
customer
loyalty
Cost control

Reduce the
rising traffic
crashes.
key benefits of EIW implementation-

Integration between IDD

wholesale voice, International

capacities, IP Transit, IPLC Bends, IP-VPN B-ends

Service
improvemen
t

Functions of Etisalat
International Wholesale
Procurement of
international
wholesale
services.
Sales
and
business
development of
international
wholesale
services

Source: ....

Functions
Etisalat
International
Wholesale

of

Development of
selected nextgeneration wholesale
services that run on
the international data
network and can be
marketed by OpCos
It is cross organized
and integrate different
activities of the
system

The intent is to pool negotiations

and operational management of
international wholesale activities of
Etisalat Groups OpCos into a new
entity under the group.

Steps for the

Implementing

first phase the Etisalat international wholesale will be operating

ering it as a service centre for all partnering firms whenever dealing with the third pa
viding this service the company will be demanding a fee for the operational expenses
expense

The basic task of Etisalat international wholesale business will be procuring th

services from the third party and providing it to the partnering firms with a
nominal fee as per the contract

The Etisalat international wholesale company will be selling

the products at a price decided by the partnering firm with EIW

The EIW will be earning revenue with

the fees charged
Source: ....

26

Steps for the

Implementing

he second phase, the Etisalat international wholesale service business will try hard to
duce the cost for all the services which is incurred by the partnering firms

The company will try to mandate this point by price caps

In third phase management scorecards will be framed

Source: ....

27

Basis of Scoring in Third Phase

Procurement of low cost service

Generating maximum revenues from the existing

services
The basis of scoring
will be

Maximizing revenue with new services.

Improving the quality standards of services and

satisfaction of third parties and partnering firms

Anticipated Outcomes

Increased customer satisfaction

Increased productivity

Anticipated Outcomes

Reduced cost

Increased ridership

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Thank You