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Quality mgt practices in airtel

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  • 1. Quality Management Practices inBharti Airtel Limited
  • 2. Table of ContentPage No. Acknowledgement I Table of Content II01 Objective 0102 Bharti Airtel Limited 0203 Service Quality 0304 Quality Implications at Airtel 0505 Quality Issues & Recommendations 1106 Quality Related News 12
  • 3. 01.ObjectiveThe main objective of this assignment is to follow the actions and news ofselected multinational company in terms of quality improvements and qualityrelated problems and critically analyze them by applying literature learned inTotal Quality Management Subject. Therefore thorough this report it enable toidentify above quality management practices apply in Bharti Airtel Limited.
  • 4. 02.Bharti Airtel Limited―Enriching lives means putting the customer at the heart of everything we do. We will meettheir needs based on our deep understanding of their ambitions, wherever they are. By havingthis focus we will enrich our own lives and those of our other key stakeholders. Only then wewill be thought of as exciting, innovation, on their side and a truly world class company."Bharti Airtel Limited, which commonly known as Airtel, is a leading integrated Telecommunications company with operations in 20 countries across Asia (India,Bangladesh, and Sri Lanka) and Africa (Burkina Faso, Chad, Democratic Republicof the Congo, Gabon, Ghana, Kenya, Madagascar, Malawi, Niger, Nigeria, Rwanda,Seychelles, Sierra Leone, Tanzania, Uganda, Zambia and etc). The headquarter ofAirtel is located in New Delhi, India and the company ranks amongst the top 5 mobile serviceproviders globally in terms of subscribers.Airtel has GSM network in all countries in which it operates, providing 2G, 3G and 4Gservices, fixed line, high speed broadband through DSL, IPTV, DTH, enterprise servicesincluding national & international long distance services by depending upon the country ofoperation. Bharti Airtel had over 246 million customers across its operations at the end ofFebruary 2012.Airtel is credited with pioneering the business strategy of outsourcing all of its businessoperations except marketing, sales and finance. As the vanguard of the telecom industry, Airtelhas reached its peak in terms of the high quality value and service delivering to its customers.B
  • 5. 03.Service QualityService Quality means:An assessment of how well a delivered service conforms to the clients expectations. Servicebusiness operators often assess the service quality provided to their customers in order toimprove their service, to quickly identify problems, and to better assess client satisfaction.Dimensions of Quality ServiceEvery company owner wants to get loyal customers which add to repeating purchases and ofcause increasing their maximum revenue. But to get there they need to know about the 5Service Quality Dimensions which expressed through the SERVQUAL Model.Tangible:Refers to the appearance of the physical surroundings and facilities, equipment, personnel andthe way of communication. In other words, the tangible dimension is about creating first handimpressions. Airtel should want all their customers to get a unique positive and neverforgetting first hand impression, this would make them more likely to return in the future.E.g.: Physical appearance of Airtel environment – Interior Deco, Uniform of employees,Attractive Building, Behavior Quality of employeesReliability:Refers to how the Airtel is performing and completing their promised service, quality andaccuracy within the given set requirements between the company and the customer. Reliabilityis just as important as a goof first hand impression, because every customer want to know iftheir supplier is reliable and fulfill the set requirements with satisfaction.E.g.: Time taken to paying bill, Handle customer inquiry etc...Responsiveness:Refers to the willingness of Airtel to help its customers in providing them with a good, qualityand fast service. This is also a very important dimension, because every customer feels morevalued if they get the best possible quality in the service.E.g.: Friendly treating of customers, delivering a service in fast.Assurance:Refers to the Airtels employees. Are the employees skilled workers which are able to gain thetrust and confidence of the customers? If the customers are not comfortable with theemployees, there are a rather large chance that the customers will not return to do furtherbusiness with the company.
  • 6. E.g.: Every Manager and employees should have Proper knowledge regarding to every aspectwhen dealing with customersEmpathy:Refers to how the Airtel cares and gives individualized attention to their customers, to makethe customers feeling extra valued and special. The fifth dimension are actually combining thesecond, third and fourth dimension to a higher level, even though the really cannot becompared as individuals. If the customers feel they get individualized and quality attentionthere is a very big chance that they will return to the company and do business there again.Airtel pay more attention to customer satisfaction through providing quality service because,- Meting the customer is the underlying rationale for the existence of community serviceorganization. Customers have a right to quality services that deliver outcomes.- Organizations that strive beyond minimum standards and exceed the expectations oftheir customers are likely to be leaders in their sector.- Customers are recognized as key partners in shaping service development and assessingquality of service delivery.- The process for measuring customer satisfaction and obtaining feedback onorganizational performance are valuable tools for quality and continuous serviceimprovement.
  • 7. 04.Quality Implications at AirtelAirtel one of the most admiring brand in India and other operating countries which is loved bymost of customers, tries to enhance their customer satisfaction through marketing innovations,continuous technological up gradation of the network, introduction of new generation valueadded service and the highest standard of customer care. They always think in fresh andinnovative ways about the needs of their customers and delight them by fulfilling theirrequirements.01. Customer CareAirtel maintain high quality in all the fields that they deal in and Airtel customer care is alsoprovide speedy trouble shooting and practice excellent customer friendly methods of solvingproblems. Every complaint against Airtel is taken very seriously and it is studied in detail. Thisensures that the best solution is provided and the customer is left happy and satisfied.Using internet Airtel can gain best advantages. Their customer can gather more informationfrom the Airtel site, check out their status with respect to their television and mobile accountsand they can also pay their bills through online. This ensures speedy and easy payments andhelps Airtel to remain on top of the popularity charts.02. Billing and Order Management SystemComverse Kenan ® Billing and Order Management Systems facilitated decentralization ina comprehensive enterprise-wide billing system. With Comverse, operators can manage anypart or all of their billing and customer care infrastructure through on-site or service bureaumodels.The Comverse Kenan services made numerous enhancements to Airtel operations, includingimproved operational efficiencies and quality of customer service:Rating Timeliness Increased by 90% and enables Airtel to access current details onwhat the customer has spent, giving the operator better capabilities to manage fraudand bad debt.Zero Billing Delay EnvironmentQuick Order Times results to reducing the level of communications required betweenordering systems and the network.Operational Intelligence:- Automated tools improved business reporting intelligence — reducing thenumber of daily reports from 1,300 hard copy reports to just 83.Sharpening the Competitive Edge:
  • 8. - The sales and marketing teams developed strategies to significantly improveAirtels competitive advantage at little to no additional cost by using tools suchas rate plans, discounts, payments, and revenue treatment.Improved Cash Flow and Resource Utilization:- The professional services team reduced the number of bill cycles by 80% andengineered on-time billing delivery pan-India.Implemented Industry Best Practices:- Via on-the-job training and an effective knowledge transfer program, Airtelnow has in place a sophisticated internal billing operations team trained tooptimize system performance and fully tap system capabilities. In addition tooperational efficiency and cost-savings, this also speeds time-to-market forinnovative market offerings.03. Partner Performance ManagementPartner performance is a key factor in Bharti Airtel‘s performance and ability to satisfy itscustomers. It is important to assess their performance based on the role that they are playing. Ifa partner is playing multiple roles, its performance should be measured independently withineach role.The partners performance management is carried in two methods:Partner Score CardPartner AuditPartner Score CardBharti Airtel will issue a six monthly Partner Score Card to selected partners. This score cardwill provide feedback to the partner about their performance. Partners who consistently havepoor performance could be notified of Bharti Airtel‘s intention to re-evaluate the partner andpotentially place the partner on a "conditional" status until performance improvement isdemonstrated. Partners would be required to provide a documented action plan for correctiveaction. Failure to improve performance within the time would lead to a partners ineligibility toquote new business; removal from Bharti Airtel‘s approved partner list, and/or being resourcedon their current business.Bharti Airtel expects that the partners would incorporate the partner score card into theircustomer satisfaction and management review processes.
  • 9. Partner AuditThis process checks the effectiveness and compliance of systems & processes running at thepartners premises. The process would be carried out by supply chain team with help fromfunctional users (technical aspects) and governance team.An audit would cover the following areas:- Management Systems: Management reviews, Change management, Labormanagement, Environment, health and Safety management systems.- Quality System: Compliance to quality certifications, Technical documentation,Management of equipments – calibration, Incoming quality control, In process control,Change control mechanism, Failure Mode Effect Analysis(FMEA) for process anddesign, Implementation of preventive and corrective action mechanism, ChangeManagement and Rejection Control Mechanism.- Production Capability : Factory infrastructure, layout and location, Equipmentmachinery, Production Planning, Preventive maintenance, Spare parts Management,Partners Management, Inventory Control, Warehouse management, Identification andtraceability- Research and Development: Innovation, Design capability, Design Structure,Financial back up for R&D, TrainingThe audit score and findings would be tabulated by the audit team. Key findings of the auditand summary report would be discussed with the partners management team.04. Partner Relationship ManagementBharti Airtel partner engagement strategies focus on selecting the most capable partnersworldwide and continuously working with them to enhance their capabilities of providingconforming goods or services, on time. The fundamental criterion for selecting and developinga long-term relationship with our partners is Best Value. Best Value applies not only to productcost, but also to costs and risks of acquisition and materials handling. Best Value, thereforeincludes the partners service level, contribution to initiatives, and conformance to quality onall the requirements outlined in this manual.Bharti Airtel‘s PRM Process comprises of the following stepsCategorization - Business Size, Business Model, Type of product, TechnologyRewards & recognition – Based on the Partner Performance Score CardSatisfaction level – Measure through conducting the surveyCommunication – Two way CommunicationGrievances – Using Partner Portal and E –mails to helpdesks try to solve grievancerelated to Payments, Dispute/Disagreement in business and Unethical / Integrity / Codeof Conduct violations
  • 10. 05. Supply Chain Management at AirtelBharti Airtel understands the importance of partners to remain competitive in a dynamicbusiness environment. As a step in that direction, the Supply Chain (SCM) function has beencreated with a mandate to develop partner relationships to maximize mutual opportunities forgrowth and profitability. At the center of Bharti Airtel‘s Supply Chain Philosophy ispartnership and collaboration. The Supply Chain characteristics have therefore been definedusing the same approach, shown in the table below.Supply Chain Characteristics Bharti Airtel ApproachNumber & Structure Fewer; ClusteredProcurement personnel LimitedOutsourcing StrategicNature of Interactions Cooperative, positive-sumRelationship focus Mutually-beneficialRelationship focus PerformanceContract length Long-termPricing practices Target costingPrice Changes DownwardQuality Designed-inDelivery Smaller Quantities (JIT)Inventory buffers Minimized, eliminatedCommunication Extensive; multi-levelCommunication Collaborative; two-wayRole in development SubstantialProduction flexibility HighTechnology sharing ExtensiveDedicated investments SubstantialMutual commitment HighGovernance Self-governingFuture Expectations Considerable06. Payment ProcedureBharti Airtel ensures partners to get the best payable procedures to ensure invoices areprocessed effectively through the electronic payment transfer to ensure rapid, timely, andaccurate payment to partners. For this, partners are required to submit the account details at thetime of contract finalization.07. Improve Service Management through the Tivoli Soft wareBharti Airtel realized the need for removing silos amongst individual processes byimplementing an integrated suite of tools to improve service management. The company‘s
  • 11. primary consideration was to deploy a solution which could be scaled-up ‗on-the-fly‘ to matchBharti Airtel‘s growth, comply with ITIL framework, automate processes, and reach aproactive mode of operations.Airtel, along with IBM, conceptualized a Service Management framework using the Tivolisuite which had the facilities to address the needs of the business and bridge existingtechnology gaps by;Enhance the productivity.Several processes were automated using the TSRM workflow engine.Helped in discovering assets and their relationships.Faster problem resolution with an end-to-end service view being made available inTivoli Business Service Manager (TBSM).Powered and subsequently supported growth from 5 core subscribers to 13 coresubscribers.Standard based monitoring procedures and framework in place helped scaling ofinfrastructure.Application downtime reduced.08. Application Quality ManagementAirtel offers end – to – end managed AQM (Application Quality Management) solutions whichenable optimum performance of your applications and hence, improved response time. Thiseliminates the side effects of unpredictable application deployment by streamlining Layer 2 toLayer 7 on OSI model, ensuring optimal application and WAN performance. This techniquealso enables a service provider to move from providing a conventional ―Network Centric SLA‖to ―Application Centric SLA.‖Through this can;Accelerated Mission critical Applications.Seamless application delivery across WANCost Saving, by consolidation of remote servers to data centers.Reduced risk of data loss through can accelerated recovery process.Visibility of application performance allowing for better WAN Planning.09. VQE - Voice Quality EnhancerIt is a revolutionary new system that spectrally reduces background noise. It eliminatesacoustic echo, adjust speech levels in both directions and does away with low or distortedspeech so that every word of yours can be heard clearly, wherever you may be speaking.
  • 12. The VQE technology has been sourced from Tellabs of USA, a world leader on voice qualitytechnology. This technology removes high back ground noise from the wireless side of the callthus delivering near wire line clear call quality on mobile phones.10. Application of Six Sigma and Other Quality ToolsSix Sigma enables organizations a new way of doing businesses. In 2002 Bharti Group(Airtel) launched Six Sigma and it has successfully applied six sigma in all its businesses andhas realized saving worth of billion of rupees. Six Sigma is an Integral part of its DNA with adedicated team at each of its circles. Airtel basic service businesses yielded 250% return oninvestment in the first year of implementation of itself. There are more than 150 Black beltsworking in the entire group.Not only that they use quality tools such as QC Charts, Fish Born Charts, Flow Charts,Histograms, Flow Charts and Scatter Diagrams to identify and prevents defects related toQuality to provide better service to their customers.Application of 5s Concepts within Airtel generate more economical benefits to them.
  • 13. 05.Quality Issues at AirtelValue Added services are lesser than other network providers.- E.g.: Credit Transfer offers, Loan OffersStill some areas have problem with quality of signal.Internet speed is little bit lower when comparing to other service providers.Lack of worldwide coverage.Due to the lack of training some employees treat their customers in ill mannered way.RecommendationsIn Line with new technologies.Expand the coverageProvide more benefits to customers.Increase the service offer by their customer care.Give proper training to their work force.
  • 14. 06.Quality Related News in AirtelCiting excessive spam, India’s top operator, Bharti Airtel, shuts out text messages fromrival networksIndia‘s mobile industry has seen its fair share of chaos — February‘s cancellation of thecountry‘s 122 telecom licenses springs to mind — but top dog Bharti Airtel has taken things astep further with the rather extraordinary decision to close its network to incoming textmessages from users of rival operators Aircel and Reliance.Reported by the Economic TimesPoor Network CoverageHad very poor network coverage problem for more than 7 month. I call many time customercare but representative DID not take any complain. I‘m getting 0 and 1 point signal on myhandset. Voice quality is very bad. Airtel customer care representative are not able to provideany resolution.Customer of AirtelImplementation of Six Sigma ModelBharti Airtel won the first prize for Six Sigma implemented in Transport network to enhancevoice quality in its network. ―Quality is an integral part of a company‘s strategy while themechanism to achieve quality is a matter of choice. The quality deliverables should be drivenfrom the top and Airtel takes pride to call itself a quality company, ―stated Mr. Sanjay Kapoor,Deputy CEO, Bharti Airtel Ltd.The Six Sigma project implemented by Bharti helped the company increase the vice minutesusage to 700-800 million minutes translating into Rs 200 corer while the mechanism providedby the Six Sigma implementation increased the customer satisfaction index from 61 % to 82 %.

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