Paktel

History & Background
CHAPTER-1 HISTORICAL BACKGROUND

INTRODUCTION & BACKGROUND:

PAKTEL Limited is the leader in terms of coverage,
network quality, customer services and value added
services. It is currently offering its cellular services in
22 cities of Pakistan. At present it is the fastest growing
cellular network in the country accompanied by the highest
growing customer base. It is a company that believes in
providing only the best to their customers.

PAKTEL's customer focused policy is what makes the company
better than others. They are always striving to give their
customers the services they deserve.

WHY PAKTEL:

PAKTEL offers an impressive array of useful services with
real utility, designed to make life easier and
communication more powerful. Lets take a look at why
PAKTEL's services offer greater value for money and why so
many have already subscribed to them.
PAKTEL’s mission is

Plain & Simple

…Our Customers Come First!

Being the first and foremost cellular company in Pakistan
and the preferred choice of Customers, PAKTEL offers the
very best in voice communications. Care is their tradition
they keep a constant watch over its customers and to guide
them with PAKTEL services our 24-hour Customer Service
Staff is just one call away from its customers.
They value customer support and are constantly striving to
serve them with the highest level of Value Added and
Customer Services, as part of PAKTEL’s ongoing Customer
Satisfaction Program.

PAKTEL AND MIC1 (Millicom International Company)

Millicom acquired PAKTEL in year 2000 PAKTEL claims that
Nielson Research Company does all its market research and
makes it aware of the changing market trends and customer
needs. Either it needs to change its research organization.

1
Parent company of Paktel
Strengths:

PAKTEL has the following strengths:
1. first mobile company in Pakistan
2. The Organizations main strength is that they have
prestige to its customers. It’s a totally customer focused
organization.
3. The quality of service is improving day by day. It has
a well-trained Workforce. PAKTEL has a very qualified base
of employees who are skilled in their areas of work and
have proved their competence 4. The 4. research
department is well equipped and has highly skilled
researchers.

1. The company has targeted the class of customers that was
previously being neglected by other cellular
2. operators. Therefore it has been able to develop a niche
of low-income mobile phone users.
7. PAKTEL is offering its products and services at a
price that is making it difficult for other cellular
operators to offer. Thus it has the strength of having the
lowest prices being offered in the market.

Or its strategy for if Neilson did their Job right in
identifying what the consumer so desperately required, why
PAKTEL persisted in pursuing in exact opposite.

With the first cell phone operation PAKTEL had an enormous
branding leverage. Almost all practitioners and academics
agree being there first is the single most integral and

8. PAKTEL has the largest network then any other company
has in Pakistan

Weaknesses:

1. Well-established in GSM technology competitors already
exist in the industry.
1. As the company is new in GSM technology it has yet made
large investments. It will take some time before it
starts generating profits
2. PAKTEL is not spending too much on advertisement
3. PAKTEL has to go through the stages that these
companies have already completed

Opportunities:
1. Improvement in technology has enabled PAKTEL to
provide quality services.
2. Consumers attitude towards the mobile services have a
positive impact on the company, as they demand quality
services from PAKTEL.

inextricable part of the branding process. It renders the
some natural advantage of scoring more runs in a career if
one opens the batting over the one who comes at NO.10
bureaucratic structure technology that almost went absolute
in the stone age,

3. The target market has vast potential.
4. The target market is largely untapped.
4. There are very few competitors, in reality only two i.e.
Mobilink and U-fone
5. PAKTEL can become a market leader in a very short time
period.
7. PAKTEL can enter areas in which there is little or no
development and become a leader through providing
innovation and entering these areas before its competitors.
8. PAKTEL has the opportunity of being able to capture
potential customers who have not been targeted as yet
by its competitors.

THREATS:

1. The biggest threat that PAKTEL faces is that the PTCL
monopoly will be broken in 2005. This will result in new
competitors entering the telecommunication industry
accompanied by new competitors in the cellular industry of
Pakistan.
2. There are several Govt. regulations and laws that the
company has to consider and abide by, which sometimes may
lead to delays and inconvenience.
3. There are competitors that are already established in
GSM technology

UFONE caught PAKTEL comfortably sleeping with the research
reports in their face and entered a market segment
virtually unoccupied with the largest growth potential.

ANALYSIS OF CUSTOMER

PAKTEL’s total outlook is in one word “Customer Oriented”.
Following this they pay special attention to

 Types of customers
 What customers expect
 What present image of mobile services exists in
their minds?

Types of customers included analyzing such facts as how
many people already use mobiles, how many desire to be able
to access such services and what income group level of
customers could be turned into mobile phone users.

What customers expected cover the idea of bringing to
surface how the present market viewed the mobile i.e.

4. The unstable economic conditions create problems as
well as the company’s investment decisions are affected.
5. The political instability and changing Governments
make it difficult to comply with the changing Govt.
Policies.
6. PAKTEL faces consistent and intense competition from
its competitors through innovation and price along with the
variety of packages and services being offered. This
results in a continuous threat of the competitors grasping
market share from PAKTEL.
7. Increased customer awareness has made it imperative for the
company to maintain quality of service otherwise the company can lose
its customers

 In terms of status symbol
 In terms of an affordable commodity.

PAKTEL conformed to the fact that in the market mobiles
were luxury item meant to represent a typical class of
society and as a result of customer analysis PAKTEL set out
to break down the existing image and bring about a more
positive attitude in terms of mobiles and its services.

In such circumstances PAKTEL was striving to launch their
mobile communication services under the slogans of
affordability “is say sasti sirf khamooshi”.

Making a biased customer ready to push back his previously
conceived notions and adapt to a whole new set of ideas is
not an easy task to barriers, which stood in their way, were

Value added services:

Call centre:

A Call Center is a sophisticated voice operations center
that provides a full range of high-volume, inbound or
outbound call handling services, including customer
support, operator services, directory assistance,
multilingual customer support, credit services, card
services, inbound and outbound telemarketing, interactive
voice response and web-based services10.
A call center can be used for telemarketing, sales,
customer support, or center may contain a few or hundreds
of agents who handle calls to relay business information.
Call center consists of a complex of
Telecommunication infrastructures, computer supports and
human resources organized to manage effectively and
efficiently the incoming and outgoing telephone calls of a
given organization. The activity of a call center is

performed chiefly by skilled operators who, using telephone
and computer, interact with the exterior making or
receiving calls to manage various services.
((10 Source: www.firstdata.com/abt_gloss_C.jsp;
www.cashflowspecialistsinc.com/glossary/
Settttiing Up Callll Centters iin Pakiisttan Page 12 off 43
A Guiide ffor Locall Enttrepreneurs and Busiinesspersons)

In Paktel they say taht All Your Needs are Just a Call Away

Simply call 111-222-111 from a landline or 304 from Paktel
GSM mobile to access our Call Centre.

Paktel’s state-of-the art, toll free call centre is
equipped with the most sophisticated technology in
Pakistan. However that is not cutting edge. It is well-
trained and cordial staff present round-the-clock to assist
you with all your cellular needs whenever and wherever you
need, that makes Paktel Call Centre so special.

Personal Identification Number(PIN) & Personal/PIN
Unlocking Number(PUK)

Paktel provides added security to our valuable subscribers.
Whenever you switch on your mobile, feed in the Personal
Identification Number(PIN) code 0000.

If an incorrect code is punched you will be required to
punch in a Personal/PIN Unlocking Number(PUK) code. You can
request for the PUK code from Call Centre by dialing
111-222-111 or visiting your nearest Paktel Sales &Customer
Services Centre.

You can change your PIN code(from your handset) whenever
you want for added security. Paktel PIN & PUK Codes-another
Value added feature – introduced by the pioneers of
Cellular Industry in Pakistan

International SMS:

Paktel GSM mobile connection is the most powerful
communication tool in your hand. Want to stay in touch with
your loved ones living abroad, want to wish your dad,
brother working in the U.S, U.K, or Saudi Arabia…. You can
do all that with Paktel GSM International SMS. Its
procedure are very simple to send SMS internationally that
are as follow

To send an international sms, please follow the simple
steps:

• Write your message
• Enter recipient’s number as described below:

(00)(Country Code)(Subscriber Number)

• Send

Country Codes:

Conference Calling:
Paktel GSM mobile is meeting room. With Conference Calling
you can talk to two different people on two different
numbers at the same time. It's just like having a meeting
on phone, saving your precious time and money.
Its method is

Place first call and wait for the answer, while the first
call is on the line, dial second number and press send/yes

• Press 2 send/yes to alternate between two callers
• Press 3 send/yes to have a three party conversation
• Press 1 send/yes to release the active party, or
simply press end/no while talking to the party you
wants to release.

Call Waiting / Call Hold

Now you never have to miss an important call. If you are
already on a call and someone else calls you, your phone
will indicate through a beep and CLI that another caller is
trying to reach you.

You can then choose to place the current caller on hold and
answer the new call. If you choose not to attend the call
it will automatically be diverted to your Voice Mailbox.

Activate: * 43 # (One Time)
Deactivate: # 43 #

How to Toggle between 2 Calls?

• Press 2 send/yes to alternate between two callers
• Press 1 send/yes to release the active party, or
simply press end/no while talking to the party you
wants to release.

Voice Mail

Paktel GSM offers you Voice Mail services. Whenever you are
unable to attend a call, your caller can leave a message
with Paktel GSM Voice Mail.

So now you can relax because even if your phone is
switched off, in use or out of a coverage area, callers are
directly diverted to your Paktel Voice mail facility where
they can leave a message.

Voice Mail is your one stop solution:

• No activation charges
• No monthly charges
• Rs. 1.5 per message retrieval

Call Forwarding:
Call Forwarding allows you to divert your incoming calls to
another Paktel number,

when your mobile's off, unreachable or you don't want to
be disturbed. For details please call 304 from your Paktel
GSM mobile.

Caller Line Identification

Caller Line Identification enables you to see the number of
the caller on your mobile screen before you answer the call

This way you can identify the caller and choose to either
attend or ignore the call. With most handsets, the name of
the caller is also displayed if you have it stored on your
handset. The power of communication is in your hands.

Feedback

Paktel is also taking feed back from customer on web
through they ablw to know the need of customers and able to
satisfy the customers
The form of customer as follow.

Your Name:
Your E-Mail:
Mobile Number:
Subject: Priority:
Your Comments:

Hardware infrastructure of Paktel:

Paktel is using different types of software and hardware
that are essential part to develop and run any information
system.
Some hardware’s are as under,
 Intel base as server for windows
 Acquire UNIX server for Linux operating system but
still is not in use.

 Solaris server.
 HP for Client and monitor of Philips and Samsung
 Sun for Linux
Harware using in Human resource Department:
• Intel based servers
• hp and dell computers.
Software infrastructure of Paktel:
Some software’s are as under.
 Oracle server engine for database.
 Oracle developer.
 Windows XP professional.
 Windows 2000 for server.
 Windows 2000 professional for clients.
 Office XP
 Acrobat reader.
 MacAfee antivirus.
 VB.Net

Involvement in information system development:

Flow of information from one end to other end by the
combination of hardware, software’s and people.

As the case of their involvement in information system
development they see their need and develop different
systems, for example now their customers are going to
increase they are moving toward the development of CRM and

to save the time they are thinking to develop ERP and
procurement systems.

If we compare it Mobilink its involvement in development of
information systems are very low than Mobilink.

They must develop a system that links them to their
franchisers because they only provide them simple login to
franchiser on internet
.
They must develop their procurement system to save time and
cost and also develop marketing system for best marketing
strategies.

If we see in market there are now many players that can
kick out it from market on the bases of technology and good
services so they must put their effort on development of
CRM which is basic strategy or tool to satisfy the
customers.

Information System Framework
Information system frame work contain the combination of
the software and the hardware which are as follows
Hardware infrastructure of Paktel:

Paktel is using different types of software and hardware
that are essential part to develop and run any information
system.

Some hardware’s are as under,
 Solaris server.
 Sun for Linux

Software infrastructure of Paktel:
Some software’s are as under.
 Office XP
 Acrobat reader.
 VB.Net

Information system components
People:They are facilitating to people with the help of web
site to provide best communication quality to its customers
and they are also providing the facility of on line billing
system through which a customer could easily activate its
account without going any where with the help of credit
card.
End users: They are providing a best facility to their
customers by providing them the GSM Sims.

Specialist: They have full IT department for the
development of their softwares and also to solve any
problem in their software including development of ERP.
Hardware resources: Their hardware resources include
 Solaris server.
 Sun for Linux
Software resources: Their software resources includes
 Office XP
 Acrobat reader.
 VB.Net
Data resources:
To manage the data effectively they have the data base
management system. They have full record in this database
system and whenever any one whether customer or any manager
needs any information he concerned with this data base
management system and with in no time he gets the data.
Networking:
For the communication purposes the networks which they are
using are the LAN, WAN and the topology which they are
using is the star.
Also they are using the

 Internet
 Intranet
 Extranet
Internet:
Internet facility is availing by the customers in the shape
of their website and also providing the facility of free
messages through their website to their customers.
Recommendations:
They should provide the following facilities to their
customers as the mobilink is providing through internet
 Online billing facility
 Customer to customer mobile selling facility
 Online banking facility
Intranet:
 By management
 By employees

By management:
Information about any decision that has been taken by top
management it flows through intranet to all their offices
by using e-mail. The excess of this e-mail could be access
by the employees of the organization. The employees are
allotted username and password through which they could
access the intranet of the Paktel.
By employees:
Employees can excess over their related information about
their jobs profile from any where of the world by using the
unique password which are given to them by the organization.
Extranet:

 For Suppliers
 For Other stakeholders

Suppliers
For the linkage between suppliers and the company they are
using extranet. With the help of extranet all the processes
of purchases and other transaction are done through this
system and now no need to go and wait for the delivery
simply with in no time could easily interact with the
suppliers.
Other stakeholders
Also for the linkage with their customers and other
stakeholders such as competitors and shareholders they are
using the extranet. Organization is providing information
to its shareholders step by step and with the help of
extranets now shareholders could see the information easily.

Strategic information system with their value chain
They are doing as such basic activities that add value to
its products and services as follows
 Products
 Services
Products
The product of Paktel is sim and to add value in their
product they are using following techniques
 CAD
 CAM
Services:
To provide excellent services to their customers to add
value in their business they are using different logistics

 Inbound logistics
 Outbound logistics
 Just In Time(JIT)
Recommendations
They should use following techniques to add value in their
business and to provide on time best services to their
customers are as follows
 Computer aided engineering
 On line market place for a firm `s suppliers
 Just In Time warehousing system to support in bound
logistics

Database management features
For the purpose of managing their data base and for
effective decision making they are using
 User database
 Billing system database
Total size of database in paktel is about 500 Giga Bytes
that can retrieve 10000 records per second.
The entire data base centrally located at the head office
of Paktel in Islamabad and all the other main offices
located at Karachi and Lahore can access the entire data
base from head office by using Data Base Management System
(DBMS).This data base is using by the following departments
 Purchase department

 Marketing department
 Human resource department
Advantages of DBMS
The main purpose to manage data base system is to avoid the
security risk and the only related departments can easily
access from the data base .
Tools
 Oracle self developer used for user data base
 VB.Net used for system linkage to database

Telecommunication Network Model:

The telecommunications network - the largest and most complex technical system
that makes up a substantial part of a country's infrastructure and is vital role in any
telecommunication service provider company’s network.
Every company provides relevant telecommunication services, based on the
telecommunication network.

We will describe the telecommunication network model of Paktel and other
competitive companies in the following five heads.

1- Terminals:
With the help of Nodes and Links that has been created for connectivity between
network and terminals.

In this network information travel from one node to other, that supported by
different links including optical fiber methods.

2- Telecommunication Processors:

By telecommunications we mean here all processes that render it possible to
transfer,
• voice,
• data and
• video
with the help of some form of electromagnetic system, including optical transfer
methods.
A special technique called packet switching has been developed to expand the
degree of utilization in data networks when traffic sources ( computers) are only
sending satellite information.

Each data traffic packet has an address that controls the switching process in the
exchanges. (Nodes)

Asynchronous Transfer Mode (ATM) technique is used for packet switching.
To create link and integration between network, Paktel is currently using the
switches of Chinese telecom. Co. ZTE. Those are outsourced.

3- Telecommunication Channels:

For the purpose to interconnect the other components of telecommunication
network, Paktel is using following channels, that are.
• Microwave
• Satellite
• Fiber Optics
Those help to create interconnectivity in efficient manners between other
components of network.

Data Warehouse
They are manually using the relevant data from data ware
house.
The manually process run through generating RFI (Request
for information) from related person to IT department then
the information provided to the relevant person by IT
department.
Recommendation:
In Mobilink the access to the data ware house is directly
access by any person through password. Every person in the
organization have the computer through which he can access
to the data warehouse.

DSS (Decision Support System Of Paktel)
Decision Support system of Paktel helps the managers to
take decisions and also it is helpful to see the financial
position of the Paktel.
Paktel is using SUN FINANCIAL in the finance department to
take effective and efficient decision related to finance.
In this SUN FINANCIAL they generate the reports of the
finance and then through intranet they send the reports to
the top management to take necessary decisions.

EIS (Executive Information System)
After receiving the reports generated by the different
departments they make decisions and then send the decision
to the relevant departments.
Cross functional system:

• Suppliers
In Paktel the cross functional system is based on
the steps. The first step is request generated from
the company, secondly Approval is made on the
request and the third step that they calls to vender
and ask them to submit their quotations on the given
date by the Paktel and then after receiving the
quotations the last step is Purchase department of
Paktel makes decision on the favorable quotations
deposited by the vendors.

• Tools
They are using ML580 Information system to integrate
with their suppliers. It is a server based
information system.
• Software
They are using oracle 11i software to support their
information system in sharing the information with
their suppliers.
• How venders receive the information and request
of quotations:
The vendors receive the information and request of
the quotation by the organization through mails.
• CRM (Customer Relationship Management)
Paktel do not contain CRM in their operations but
they are using alternatives such as they are using
customer care system and also they have billing
system for the facilities of their customers. In the
billing system they have very interesting thing
which differs them from other services like Ufone
and Mobilink like if some one calls to the Paktel
user the long time he will call the more money will
be included in the account of the customer.
Auto responders as CRM:
Paktel is not currently using CRM technique to connect with
customers and solve their problems they are using auto
responders in their call center that are located at
• Karachi
• Lahore

Tools:
They are using ZR chi as a tool in the auto responders they
are also providing customer facility of sms services through

• Instaphone.com

• Paktel.com (for only digital)

What is CRM and what are its benefits are as follow, before
adopting Paktel must think about following measures

Customer Relationship Management - CRM

The generally accepted purpose of Customer Relationship
Management (CRM) is to enable organizations to better serve
its customers through the introduction of reliable
processes and procedures for interacting with those
customers.

In today's competitive business environment, a successful
CRM strategy cannot be implemented by only installing and
integrating a software package designed to support CRM
processes. A holistic approach to CRM is vital for an
effective and efficient CRM policy. This approach includes
training of employees, a modification of business processes
based on customers' needs and an adoption of relevant IT-
systems (including soft- and maybe hardware) and/or usage
of IT-Services that enable the organization or company to
follow its CRM strategy. CRM-Services can even redundantize
the acquisition of additional hardware or CRM software-
licences.

Major areas of CRM focus on service automated processes,
personal information gathering and processing, and self-
service. It attempts to integrate and automate the various
customer serving processes within a company.

There are three parts of application architecture of CRM:

• operational - automation to the basic business processes
(marketing, sales, service)
• analytical - support to analyse customer behaviour,
implements business intelligence alike technology
• Cooperational - ensures the contact with customers
(phone, email, fax, web...)

Improving customer relationships

CRMs are also claimed to be able to improve customer
relationships . Proponents say this can be done by:

• CRM technology can track customer interests,
needs, and buying habits as they progress through
their life cycles, and tailor the marketing effort
accordingly. This way customers get exactly what
they want as they change.

• The technology can track customer product use as
the product progresses through its life cycle,
and tailor the service strategy accordingly. This
way customers get what they need as the product
ages.

Technical functionality

A CRM solution is characterised by the following
functionality:

• scalability - the ability to be used on a large
scale, and to be reliably expanded to what ever
scale is necessary.

• multiple communication channels - the ability to
interface with users via many different devices
(phone, WAP, internet, etc)

• workflow - the ability to automatically route work
through the system to different people based on a
set of rules.

• database - the centralised storage (in a data
warehouse) of all information relevant to customer
interaction

• customer privacy considerations, e.g. data
encryption and the destruction of records to
ensure that they are not stolen or abused

Setting up a framework for CRM

• When you start setting up your CRM segment for
your business you first want to see what profile
aspects you feel are relevant to your business.
Which information will provide you the keys to
serve your customers in the best way possible? You

can look to your financial history for this
information what would you have liked to know
about your customers in the past? What would have
been the effects? And what information is not
useful? Being able to eliminate unwanted
information is a big aspect in implementing your
CRM systems

One idea is to keep in mind of who you are thinking of, you
want to be more extensive on your information because these
are the high-margin customers. While you still want to keep
you ?low-margin? customers in mind you may not want to be
so extensive in your relationships with them.

Recommendations
They should use Inventory Control system in CRM.and it
should be self designed.
Features of Inventory Control System:
• Efix and CRM both are combine
• CRM based on Digital Certificate
Why the competitor of Paktel is using CRM:
• Because if anyone account is block or anyone wants to
change the dial number then Mobilink can do this with
the help of this system.
• If anyone forgets his password or anyone’s sim blocked
due to any reason this software helps their customer
to break the password.

• Internally they are using Epoint.
Modules of CRM:
• They have three modules of Oracle Fix
• They have the module of Procurement.
Note: A module which they are using is internally purpose
not as a whole.
ERP (Enterprise Resource Planning)
Still the ERP in Mobilink is not completed yet and they are
doing some modification. And they have outsourced from
Oratech.
Currently they are using three modules of ERP which are :
• HRMIS ( Human Resource Management Information System)
• Finance
• Procurement

E-services ( web services provided to the customers by
the organization)

Open the site of Paktel and then see what services they
are using.

Paktel Experts System:
The calls centers of Paktel are used as an expert system.
The feature of this system is that automatically answer
the questions of the end users (customers).
They have 2 call centers located in Karachi and Lahore.
In Karachi center they have 100 agents that are fully
train that they can satisfy every kind of customer, same
as Lahore they have 50 agent on their centre.
They are using ZRG application for the auto respondent
through call centers. This application is also used
for connectivity with Islamabad.
Recommendations:
• Efix to franchise
• Ivs servers for automatically call route through
servers.
• Online banking which Mobilink is about to start.

Human Resource Information System:
HRSystem:
They are using in human resource department the system in
which there contains the information about the employees
like when they come in the company, when they are about
to take training and when they will get retirement and
which type of benefits the employees are getting and
about the blood groups of each employee and extra salary
benefits in future.
• Softwares using in HRIS
The softwares which they are using are oracle.
Recommendations:
• Tools:
Oracle built in module
Oracle live server 8i
Oracle fix

OLAP (Online analytical Processing)

Re-engineer and Re-designing
Re-designing
• They are using Customer care system currently and
now they are going to switch over to CRM.
• Before they were using the connections which
installed in the mobile sets and the customers were
feeling very difficulty as they can change the sets
once in which the connection was installed and now
they switched over to GSM as it was required by the
customers of Paktel.
• They changed their softwares from old to new.
Recommendations:
AMS online
Mobilink are changing their fix to efix.
They are upgrading their CATS which are in process.
They are using Dos-Modes for their softwares
Mobilink is going to increase the frequency so Paktel
should also increase the frequency so that customers of
Paktel can easily and with a quality communication talk to
each other any where in Pakistan at least.
The tool which mobilink is using to increase the frequency
is customize

Re-engineering:
They are now going to adapt ERP for their activities.

BPO (Business Process Outsourcing)

What is business process outsource

Globalization has not only broken the traditional business
boundaries across countries but also opened vast markets
for companies. Enterprises are now looking to focus on a
core set of competencies that have the greatest positive
impact on their business models and are seeking new ways to
streamline processes, realize further cost reductions and
decrease time to market. One of the main outcomes of these
trends has been the rise of business process outsourcing
among leading companies to achieve significant growth and
bottom line benefits. Business Process Outsourcing (BPO) is
the delegation of one or more business processes to an
external entity that in turn owns, administers and manages
the outsourced process based on defined and measurable
performance criteria. Such back end functions may include
anything that can be moved over the bandwidth and include
Services such as customer support through call centers,
accounting, order processing, insurance claim processing,
procurement or
Other logistic functions. On the other hand, offshore IT
outsourcing is the relocation of activities, tasks and
processes to entities in countries with lower overall
operational cost in order to reduce the total cost of
developing and maintaining IT software, systems and
infrastructure.
One of the leading firms conducting research in the field
of IT, Forrester Research, has referred to global
outsourcing as the “trend of the decade” while Gartner
Group refers to it as a “mega-trend”.

Outsourcing has demonstrable, quantifiable benefits. It
gives companies access to state of- the-art technology
without the overheads and risks associated with developing
in-house solutions. “Companies can save as much as 41% in
hidden costs by outsourcing” - U.S. Chamber of Commerce.
According to Michael Dennis (Vice President, Services,
Avaya Group)
“Outsourcing allows us to put company energy into
activities which generate higher value for our customers.”
BPO is gaining ground because of the
following main factors:
• Factor Cost Advantage
• Superior Competency
• Utilization Improvement
• Economy of Scale
• Business Risk Mitigation
Availability of highly qualified skill pool and faster
adoption of well-defined business processes leads to higher
productivity gains without compromising on quality.
Customers across verticals like Insurance,

Banking, Pharmaceuticals, Telecom, Automotive and
Airlines seem to be the early adopters of Business Process
Outsourcing. Insurance and banking industries are major
beneficiaries of the outsourcing trend as they can achieve
significant savings by virtue of the large proportion of
processes that can be outsourced. These include claims
processing, loans processing and client servicing through
call centers. Improvements in cost, quality and
productivity have encouraged customers to rapidly scale up
their offshore operations. It is no longer seen as a one-

time cost reduction or process improvement but customers
are demanding year-on-year improvements in process metrics.

In Paktel they are out sourcing

• They are using switches in their networking and these
switches are outsourced from ZRG. And the softwares
which they are using in these switches are also
outsourced by ZRG.
• The data warehouse of the Paktel in which all the
record and data of the Paktel is laying is also
outsourced.
• The towers which are used for the communication
purpose among the customers are also outsourced.
• Cables with in the organization and also which is
used externally are also outsourced by the Paktel.

Business to Business:
Defining B2B Commerce

 Before Internet, B2B transactions called just trade or
procurement process
 Total inter-firm trade: Total flow of value among firms
 B2B commerce: All types of computer-enabled inter-firm
trade
 B2B e-commerce (Internet-based B2B commerce): That
portion of B2B commerce that is enabled by the Internet

The Evolution of B2B Commerce

 B2B commerce has evolved over a 35-year period
 1970s: Automated order entry systems used telephone
modems to send digital orders (e.g., Baxter Healthcare)
 Seller-side solution (owned by suppliers, seller-
biased, show goods only from single seller)
 Late 1970s: Electronic data interchange (EDI) --
communications standard for sharing business documents
and settlement information among a small number of
firms
o Buyer-side solution (owned by buyers, buyer-
biased, aim to reduce procurement costs for buyer)
o Often referred to as hub-and-spoke system
o Generally serves a vertical market

 1990s: B2B electronic storefronts -- online catalogs
of products made available to the public marketplace
by a single supplier
 Late 1990s: Net marketplaces – bring hundreds to
thousands of suppliers and purchasers into a single
Internet-based environment to conduct trade
 Late 1990s: Private industrial networks – Internet-
based communication environments that extend beyond
procurement to encompass collaborative commerce

The Growth of B2B E-commerce 2001-2006

 B2B e-commerce
o 2001: $466 billion
o 2005: estimated $4.11 trillion
 Net marketplaces growing at faster rate than private
industrial networks, but even so, in 2006 private
industrial networks still expected to be twice the
size of Net marketplaces
 Not all industries will be similarly affected by B2B
e-commerce
o Computer, automotive, aerospace and defense, and
industrial equipment industries likely to move
first and fastest to B2B utilization

Industry Forecasts for Internet-Based B2B Commerce 2001-2006

In B To B paktel are doing two types of dealings such as
They are dealing with the banks to provide online billing
services to their customer.
For this purpose they have provided to banks an interface
which is base on oracle.
The banks are as follow

Muslim commercial bank

ABN Amro bank

Allied bank

And they also have provide to courier service that is

TCS express center.

Secondly they are selling the Sims with the help of
franchisee and the franchisee is selling the Sims to the
customers.
To connect with franchisee they have provided them a login
that a franchisee can access through internet by using
modem, is protected through firewall.

Business to customers:

This focus on to attract customers by attractive prices,
transact goods and services build customer loyalty. This is
based on realistic profitability.
Business t o customer is as follow

B2C Business Models
 Portal
o Offers powerful search tools plus an integrated
package of content and services
o Typically combines
subscription/advertising/referral/transaction fee
revenue model
o May be general
 Ex: AOL, MSN, Yahoo
o or specialized (vortal)
 Ex: Sailnet

A Portal Example
 Google
o Founded in 1998 by 2 Stanford grad students
o Focused solely on search engine business in
contrast to Yahoo, MSN, AOL
o Almost missed major market shift in way companies
advertise on Web – paid search listings,
pioneered by GoTo.com (now Overture.com) in 1999
o 2000, introduced tiny paid advertising boxes on
the right of Search Results page; Feb 2002, began
to allow firms to bid for placement and added
sponsored links at top of Search Results page
o 2003, Yahoo buys Inktomi and Overture (which owns
AltaVista) – new questions as to whether Google
will remain the leading search engine

B2C Business Models
 E-Tailer
o Online version of traditional retailer
o Sales revenue model
o Types include:
 Virtual merchants: online retail store
only
o Ex: Amazon.com, MarthaStewart.com
 Clicks and bricks: online distribution
channel for a company that also has
physical stores;
o Ex: Barnes&Noble, WalMart, Staples
 Catalog merchants: online version of
direct mail catalog

o Ex: LLBeane
 Manufacturer-direct: manufacturer selling
directly over the Web
o Ex: Columbia.com

B2C Business Models
 Content Provider
o Information and entertainment companies that
provide digital content over the Web
o Ex: WSJ.com, CNN.com, Rhapsody.com
o Second largest source of B2C e-commerce revenue
in 2002
 15% of online sales
 More Internet users go to on the Web to
retrieve information than to purchase
goods (80% vs 53%)
 Typically utilizes an subscription, pay for download,
or advertising revenue model
B2C Business Models
 Transaction Broker
o Processes online transactions for consumers
o Primary value proposition – saving of time and
money
o Typical revenue model – transaction fee
o Industries using this model:
 Financial services (E-Trade)
 Travel services
 Job placement services (Monsters.com)

B2C Business Model
 Service Provider

o Offers services online
 Ex: FreshDirect, xDrive.com
o Value proposition – valuable, convenient, time-
saving, low-cost alternatives to traditional
service providers
o Revenue models – subscription fees or one-time
payment
B2C Business Models
 Community Provider
o Sites that create a digital online environment
where people with similar interests can transact,
communicate, and receive interest-related
information.
o Typically rely on a hybrid revenue model
o Examples:
 Epinions.com
 Oxygen.com
 About.com

For this purpose paktel is providing facility to its
customer to purchase hand set of

• Samsung
• Motorola
• Nokia
• Panasonic
• LG
• Siemens
• Sony Ericsson

They provide to their customer facility to brows from any
city of Pakistan the interface as follow

Handset:

Price Range:

City:

They are also providing facility to purchase a equipment
for this purpose they are also providing same interface to
its customers that is as follow

Select a City

Procurement System:
Paktel do not have any Procurement department but they have
alternative of this department which is purchase department.
The activity which is performing in this department is
totally manually.
The first step is request generated from the company,
secondly Approval is made on the request and the third step
that they calls to vender and ask them to submit their
quotations on the given date by the Paktel and then after
receiving the quotations the last step is Purchase

department of Paktel makes decision on the favorable
quotations deposited by the vendors. At the end Fill the
GRN and their GRN is through system.
• What GRN system is performing:
GRN maintains the files and maintains the record of the
routes of suppliers and oracle is used at the back end
and sun financial is using in the front office and both
systems are customize.
Recommendations
They should use the Procurement department as mobilink
is using this instead of purchase department. The purchases
of mobilink is totally through system based while in Paktel
there are manually work in purchase department. Whenever
the employee requirement generates the employee enter that
requirement in the system and it automatically reaches in
the procurement department and after analyzing the
requirement they ask for the process of the purchasing
which is mentioned above.
Software’s
There are two software’s using in the procurement
department of Mobilink
• Oracle financial
• Oracle e-business
Hardware’s
Mobilink is using
• Hp system
• Oracle Financial servers
• ML3810
• ML5810
• Rx 2 server in future

Paktel also should use this system as it is new
technological systems.
Recommendation for E- procurement system:
More comprehensive procurement system is as follow that we
can purpose to paktel to adopt this system because it has
more feathers and reliable than Mobilink, it can also be
said E-procurement system.

Purchase Order Software Module

Run the purchase order software module as a stand-alone
unit or use it with PMX's other modules as part of a fully
integrated system. Complete vendor and material file
management capabilities are built into the purchasing
module.

Stay in control of what you buy and from whom you buy it
with PMX's
e-procurement and purchase order software. PMX's
purchasing module
( e-procurement ) was designed to work the way purchasing
professionals think and can have you up and running in
days.

Creating A Purchase Order

You can quickly create purchase orders from requisitions,
requests for quotations and previous purchase orders. When
none of these sources is available, you create a purchase
order by specifying the vendor you want to buy from and
the materials or services you want to purchase. This is
done on two screens--the Purchase Order Header screen and

the Purchase Order Line Items screen (Both screens are
shown below.).

On the Purchase Order Header screen, you specify the
desired vendor by entering the vendor number. PMX draws the
standard default information from the Vendor File and
enters it for you. PMX also enters for you:

• Tax percent
• Ship-to Address
• Bill-to Address
• Primary Buyer name
• Payment Terms and

• Prepaid Freight Option

You may override any default information with your own
data. You may also include:

• Delivery date
• Job number
• Project number and
• G/L account codes

In the P.O. header to apply to the order as a whole, or
enter this data individually for each P.O. Line Item

Special Features

Assign P.O. Numbers

Assign your own P.O. numbers or select a Control File
operating rule that instructs PMX to automatically assign
P.O. numbers for you.

On-line Search Facility

Use the button next to Vendor Number field on the Purchase
Order Header screen to search through the Vendor File and
select the desired vendor. Search for vendors by entering
the first few characters of the vendor's name, or search
for all authorized vendors for a specific commodity group
or material item. Once you select the vendor, PMX
automatically returns you to the P.O. screen and enters the
appropriate vendor data for you

Free-form P.O. Instructions & Standard Text Paragraphs
Enter up to 30,000 characters of free-form Purchase Order
instructions on each purchase order. Also, select up to
five pre-stored standard text paragraphs for insertion on
each order. Both the Purchase Order instructions and pre-
sorted standard paragraphs are printed on your purchase
order as instructions relating to the order as a whole.

Item Search

Use the button next to the Item Number field on the
Purchase Order Line Items screen to search through the
Material File and select the items you want to purchase.
You can search for items by entering the first few
characters of the material description, or you can search
for all items in a specific commodity group or catalog.
Look over the list of items, select the items you want to

purchase and PMX routes you back to the Purchase Order Line
Items screen.

Print, Fax & E-mail

After creating a Purchase Order, you can immediately print,
fax or e-mail it directly to your vendor. In the event a
Purchase Order is lost or destroyed, new copies can easily
be reprinted or retransmitted

Adaptable to Your P.O. Form

Print purchase orders on our standard form or have us
customize the print format to suit your needs.
Customization includes aligning the purchase order data to
fit your current (or planned) P.O. form.

Repeat Purchases

After purchasing an item for the first time, subsequent
buys become much faster. PMX maintains detailed historical
information on all previous orders and gives you a variety
of search options for locating and listing these orders.
Simply look over the list of previous purchases and select
the P.O. you want to duplicate.

Blanket Orders & Releases

You can create blanket orders for specific items or
general categories (such as office supplies) without
specifying quantities, unit prices or delivery dates. Once
the blanket information is entered, the blanket order can
be printed or faxed directly to your vendor.

All delivery activity for blanket orders is controlled by
blanket releases. Create the release simply by identifying
the blanket P.O. number along with the minimum ordering
information for each blanket line item you are releasing.
All the vendor information is already in the system and is
automatically applied to the release. After entering the
release information, print or fax the release order
directly to the vendor.

Change Orders

To change any P.O., just display the order on your screen
and edit the necessary information. You can also add new
items or delete existing items before printing the change
order or faxing it directly to your vendor.

Management Reports

A complete set of management reports lets you analyze your
total purchases by vendor, item, commodity, job, account,
project, buyer, etc. -- over any time period.

CMM / ISO Certificates Followed by Paktel.

For the purpose to maintain quality standards in their
processes and services Paktel is not following Capability
Maturity Model (CMM).
Currently they are using Sox 404 standards to maintain
international quality standards in their services and
processes.

Recommended the Standards to Follow by Paktel:

The Paktel should also be followed the following standards
and levels that are followed by the Mobilink to maintain
quality in their standards and to improve the quality of
services and to match with the international standards to
compete their big giant competitors in telecommunication
sector in this global arena.
As such standards are given below.

Quality Manual:

Scope and Purpose:

This manual documents the organization, responsibilities
and methods employed to implement a quality system covering
the activities of Mobilink Telecom, Inc. The quality system
addresses all requirements as defined in ISO-9001:1994.

Responsibilities:

The VP of Operations is responsible to ensure that a
Quality System is in place and implemented. Function
managers are responsible to ensure the correct processes
are in place and implemented in their respective areas.

Management Responsibility:

Quality Policy

Mobilink Telecom, Inc, is committed to exceeding the
expectations of its most demanding customers for quality,
reliability and functionality through innovation and
rigorous productization. All employees are empowered to
take whatever action they deem necessary to achieve this
goal.

Management Representative:

The Vice President of Operations is the Management
Representative has authority and
responsibility to ensure the Mobilink Quality System’s
requirements are established, effectively implemented, and
maintained in accordance with the Quality Policy and all
ISO 9001 criteria.

Management Review:

The quality system is reviewed, at a minimum of twice per
year, by executive staff. Topics considered during the
review (below) may be included in whole or in segments;
however, all aspects of the quality system are always
addressed within each twelve-month period.
aCustomer Issues
aQuality and Reliability performance
aManufacturing (subcontract) performance (Yields, and
other significant trends)
oInternal Audit results
oCorrective and Preventive actions.

Management reviews are chaired by the Management
Representative, and attended by Executive staff members (or
designees).

Quality System:

The Mobilink Quality System meets all requirements of ISO
9001 and is approved by all affected organizations.
Mobilink maintains appropriate documented procedures for
each element and the Mobilink Quality Manual provides

reference to these documents. Continued compliance is
assessed through internal audits.

Quality Planning and Quality Plans:

Quality planning is completed for all shipping products
through the Manufacturing Review process, which establishes
quality objectives and ensures all intermediate goals and
plans are in place to achieve the goals.
pIdentification of controls, processes, equipment,
resources and skills required
rAssessment of design, production process, and inspection/
test procedure compatibility,
identification of suitable verification methods at all
appropriate stages, clarification of
standards of acceptability
sThe plans generated as a result of Manufacturing Review
are contained within the individual Manufacturing
Specifications.
SThe Manufacturing Specification also forms the basis for
engineering change review and planning.

Contract Review:

Sales and Marketing are responsible to ensure an effective
process to review customer contracts, ensure scope and
requirements are documented and understood, that the
capability for fulfillment exist and that differences are
identified and resolved. Records are maintained for review,
contract amendment, and record keeping.

Design Control:

Three detailed procedures control Mobilink design, ASIC
design, Software design and Handset design. They assure
that all key design elements including design and
development planning, organization and technical
interfaces, design input and output, design review, design
verification and design validation are met. In addition,
the documentation provides a method to address design
changes and specifies all necessary records and their
controls.

“ASIC” Design Flow – covers the following:

–Design input and planning
–ASIC design
–ASIC Verification
–Library verification
–Tape out process
–First Silicon validation – From Design Input

Software Design Flow – covers the following.

–Design input and planning - Requirements Traceability
–Coding standards
–Verification – peer reviews, walkthroughs
–Configuration management – version control, problem
report and tracking.
rSoftware Change Control Board
rTesting - Unit Test, Integration Test, Functional Test,
Performance Test, Field Test
PExternal Distribution

Does not currently implement ISO9000-3 standard.

Document and Data Control:

Document Control, under direction of Reliability and
Quality Assurance, is responsible for maintaining control
all documents, including documents and data of external
origin.

To Maintain Quality Standards for Document Structure:
Paktel should follow the different levels to maintain
quality standards for document structure of different
processes as followed by mobilink.

Levels of Documentation of Processes:

The overall hierarchical structure of Mobilink
documentation supporting the quality system is represented
as follows:

Level 1
Quality Manual
Level 2
Process Procedures
Level 3
Product Specifics
Level 4
Other documentation/Records/ Instructions and training
materials

Handset Design Flow – covers the following:

Design input and planning
Reference phone design, Handset design, PC Card design or
any related system design.
aDesign control
aComponent selection and verification
aExternal Certifications – Type approvals

Document and data approval and issue:

The review and approval of documents is specified at
Mobilink, and a master list is maintained indicating
current revisions. The system provides ready access for
necessary documents at all required locations and assures
invalid or obsolete documents (other than for legal and/or
knowledge-preservation purposes) are never used.
All changes are reviewed and approved by designated
personnel; a change history is maintained.

Purchasing:

Purchasing has responsibility to assure all purchased
material and services meet Mobilink
requirements.

The Purchasing Process provides procedures for the
following;

Evaluation of subcontractors and suppliers:

Suppliers and subcontractors are selected on a basis of
their ability to deliver products and/or services in
accordance with Mobilink Quality System requirements.

aPurchasing Data:

Purchasing procedures clearly describe the product or
service ordered as well as the process for requisition and
tracking.

tVerification of purchased product:

The Mobilink purchase order terms and conditions defines
its ability and the customers right to verify purchased
product/services at suppliers/subcontractors premises.

pSupplier Verification at subcontractor’s premises.

Mobilink may elect to verify purchased product at our
supplier’s/subcontractor’s facilities.
Such acceptance is not used as evidence of acceptable
supplier/subcontractor’s control.
Customer verification of subcontracted product.
When contractually specified, the customer is afforded the
right to verify product at our
suppliers/subcontractors premises. Verification by our
customer does not provide Mobilink evidence of effective
supplier control. It also does not absolve Mobilink of
responsibility for providing acceptable product to
customers nor does it preclude subsequent rejection by
customers.

Control of Customer Supplied Product:

“Control of Customer Supplied Material defines procedures
to ensure the following:
tItems are received intact
tItems are stored correctly
tIssues are recorded and reported.
tOwnership and responsibility is clearly defined and
understood.

Product Identification and Traceability:

Mobilink maintains a system to provide identification and
traceability of materials at all appropriate stages of
manufacturing.

Process Control:

All manufacturing processes occur at designated subcontract
facilities. Mobilink assures that all such processes
including: wafer fabrication, die assembly and test,
handset assembly and test, storage/warehousing and
shipping, are suitably controlled to assure maintenance of
quality standards.

All key process equipment must be adequately controlled by
a system that at a minimum includes planned P/M activities
and Scheduled maintenance.
Process Capability data from subcontract manufacturing
facilities are requested reviewed and evaluated.

Corrective and Preventive Action System

Mobilink assures corrective and preventive actions are
assigned to affect root cause solutions and prevent problem
recurrence. The system addresses both actual and potential
problems that can affect Quality.

Control of Quality Records:

Quality Records demonstrate conformance to specified
requirements and effective operation of the Quality System.
Document Control provides a list of those Quality Records
under its control; all other records are maintained by
individual responsible departments.

Internal Quality Audits:

The Quality function is responsible for establishing and
maintaining an internal audit procedure to verify quality
activities comply with planned arrangements and to assess
Quality System effectiveness.

Training:

Each supervisor has responsibility for identifying the
quality-related responsibilities of each employee and
supports their training needs. Each department maintains
training records.
Personnel performing specific tasks may be qualified on the
basis of experience and/or education.
Employee training requirements are referenced and defined
within, “Employee Training and Documentation.”

Servicing:

Currently Mobilink does not engage in servicing. In the
event that such activities are established, an appropriate
system of control will be documented and maintained.

Statistical Techniques:

Appropriate statistical techniques for controlling
processes, sampling, and determining capabilities.
Procedures apply to subcontract manufacturing and test as
well as other areas, when designated. Statistical results
are reviewed and appropriate actions taken.

RECOMMENDATIONS:
• They need professional from recipients to manager.

• They should provide proper working environment.

• They should also adopt a customize software in the

place f ERP because their setup is not very big.

• They should also adopt CRM to attract, retain the

customers.

• They should also expand their network coverage as soon

as possible./

• They should also work on to provide Web sms service on

GSM network.

• They should also improve business to business network

and also expand it, and also improve their Business to

customer commerce.

• They should also adopt procurement system and need of

supply chain.

Paktel

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