Grameenphon company's case study

1. 1
A CASE STUDY ON
OVERALL AND OVERALL OF GRAMEENPHON COMPANY
Submitted to:
Nusrat Fatema
Lecturer
Department of Business Administration
Stamford University Bangladesh
Submitted By:
Name ID
Niloy Saha BBA 054 16669
Rimon Khan BBA 054 16679
Sonia Akter Tumpa BBA 054 16690
Saiful IslamSaif BBA 054 16695
Submitted Date: 08/08/2015
STAMFORD UNIVERSITY BANGLADESH

2. 2
Dated: 08th
August, 2015
Nusrat Fatema
Lecturer
Department of Business Administration
Stamford University Bangladesh
Subject: Submission of a Case Study regarding overall and overview of Grameen Phone.
Dear Madam.
With due regards and respect GP state that GP are very thankful to you as you assigned us this
Case Study on “overall and overview National or Multinational organizations”. It is a great
opportunity for us to acquire theoretical and practical knowledge about Strategies that
makes a Company Successful. GP have tried our best to gather what GP believe to be the most
complete information available. Your kind acceptance and any type of appreciation would surely
inspire us. GP would always be available and ready to explain further any of the context of the
whenever asked.
Sincerely yours,
On behalf of the Group
Niloy Saha
ID: BBA 054 16669
Batch: 054 (D)
Stamford University Bangladesh.

3. 3
CONTENT…
No: Name Page No
1 Introduction 4
2 Company Overview 4
3 SWOT Analysis 10
4 Functions of Management 11
5 Problem Identification 13
6 Recommendation 14
7 Conclusion 14

4. 4
Introduction:
Grameenphone (Bengali: গ্রামীণফ ান) (DSE:GP, CSE:GP), widely abbreviated as GP, is the
leading telecommunications service provider in Bangladesh. With more than 50 million
subscribers (as of October 2014), Grameenphone is the largest mobile phone operator in
the country. It is a joint venture between Teleport and Grameen Telecom Corporation, a
non-profit sister concern of the internationally acclaimed microfinance organization and
community development bank Grameen Bank. Telenor, the largest telecommunications
company in Norway, owns 55.8% shares of Grameenphone; Grameen Telecom owns
34.2% and the remaining 10% is publicly held.
Grameenphone was the first company to introduce GSM technology in Bangladesh. It also
established the first 24-hour Call Center to support its subscribers. With the slogan Go
Beyond, Grameenphone promises its customers to bring the best of communication
technologies so that they can Go Beyond.

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Company Overview:
MainHistory of Grameenphone:
The idea of providing universal mobile phone access throughout Bangladesh, including its rural areas, was
originally conceived by Iqbal Quadir, who is currently the founder and director of the Legatum Center for
Development and Entrepreneurship at MIT. He was inspired by the Grameen Bank microcredit model and
envisionedabusinessmodel where acell phone canserve asa source of income.
After leaving his job as an investment banker in the United States, Quadir traveled back to Bangladesh, after
meeting and successfully raising money from New York based investor and philanthropist Joshua Mailman, and
worked for three years gaining support from various organizations including Nobel Peace Prize laureate
Muhammad Yunus of Grameen Bank and the Norwegian telephone company, Teleport. He was finally successful in
forming a consortium with Telenor and Grameen Bank to establish Grameenphone. Quadir remained a
shareholderof Grameenphone until 2004.
Grameenphone received a license for cellular phone operation in Bangladesh from the Ministry of Posts and
Telecommunications on November 28, 1996. Grameenphone started operations on March 26, 1997, the
Independence DayinBangladesh.
Grameenphone originally offered a mobile-to-mobile connectivity (widely known as GP-GP connection), which
created a lot of enthusiasm among the users. It became the first operator to reach the million subscriber
milestoneaswell astenmillionsubscribermilestonesinBangladesh.
Changing logo:
On the November 16, 2007 GP formally changed its logo to match its parent company Telenor's logo. According to
GP the new logo symbolizes trust, reliability, quality and constant progress. The name Grameenphone was kept as
part of the new identity because the name Grameenphone carries with it all of the heritage, success and values of
the company'spast, addedthe then CEO of GP.
Numbering scheme:
Grameenphone usesthe followingnumberingschemeforitssubscribers:
+880 17 XXXXXX24 , 880 is the ISD code for Bangladesh and is needed only in case of dialing from outside
Bangladesh (otherwise, it may be substituted by a 0, making the prefix 017). 17 is the prefix for Grameenphone as
allocatedbythe governmentof Bangladesh.The eight-digitnumberXXXXXXXXisthe subscribernumber.
Network:
Accordingto Grameenphone,ithasinvestedmore thanBDT259 billion(USD3.27 billion)tobuildthenetwork
infrastructure since 1997. It investedoverBDT15 billionin2014 alone.
Grameenphone hasbuiltthe largest cellularnetwork inthe countrywithover8,000 base stations.Asof presently,
over99 percentof the country'spopulationiswithinthe coverageareaof the Grameenphone network.
The entire Grameenphonenetworkisalso GPRS/EDGE/3Genabled,allowingaccesstodial-upquality
speed Internetanddataservicesfromanywhere within the coverage area.There are over10 million
GPRS/EDGE/3G usersinthe Grameenphone network.Alsohas3Gnetworkat mostof the urban andsub-urban
area.

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Products offered:
Mobile telephony:-
Grameenphone was the first operator to introduce the pre-paid mobile phone
service in Bangladesh in September 1999. It offers the pre-paid subscription
under the name Easy Prepaid which is currently called "Nishchinto,
Amontron, Shohoj, Bondhu, Aapon, Smile, Spondon, Business Solution
prepaid". Besides Nishchinto, Amontron, Shohoj, Bondhu, Aapon, Smile,
Spondon, Business Solution, Grameenphone also offers a youth based mobile to mobile connectivity within
Bangladeshnamed djuice'.
Grameenphone also offers postpaid mobile service. Xplore Postpaid is the name of its
post paid service. Grameenphone also provides several other packages which can be
selected based on the type of tariff or features like pulse, sms, internet. Detailed
information about packages provided by Grameenphone can be found dialling 121 from
your Grameenphone number and can also be found using the official Grameenphone
android app available for free download on Google Play Store.
Other services:-
 Internet:Grameenphone providesinternetserviceinitscoverage area.Asithas EDGE/GPRS/3G enabled
network,anysubscribercanaccessto internetthroughthisnetwork.Grameenphone wasthe firstmobile
operatorinBangladeshtoofferEDGE and3G servicestoitssubscribers.
 Bill Pay: A service toenable userstopaytheirutilitybillsElectricity/Gasthroughmobile.
 Ekhanei.com: A service (formerlyknownasCellBaazar) toenable userssell orbuyproductsthrough
mobile orinternet.Anditisfree touse for all Grameenphone customers.
 VariousotherserviceslikeStockInformation,InstantMessaging,SMSBasedAlerts/Services,Voice-based
Services, Downloads, Music,CricketUpdates, WebSMS,Mobile Backupetc.
Corporate social responsibility:
Grameenphone has several projects related to social responsibility. These include:
1. Online School:Currently10online schoolsare operatingaroundthe country,where childrenare being
educatedthroughvideoconference bythe teachersstationedinDhaka.
2. Safe Motherhood& InfantCare Project- More than 1.7 millionfreeprimaryhealthcare servicesto
underprivilegedpregnantmothers&theirinfants.
3. Free eye care supportfor around28,780 people- 3,458 eye sightsrestoredsofar.
4. Awarenessbuildingonvariednational issues- AIDS,National ImmunizationDay.
5. Informationboatswithdigitized livelihoodcontentsandinternalaccessforremote riverinecommunities.
6. Economicfreedomformore than400,000 Village PhoneOperators.
7. More than 500 CommunityInformationCenters- connectinglifeandlearning.
8. Proudsponsorof BangladeshSpecialOlympicsteam.
9. Proudsponsorof BangladeshNationalCricketteam.
10. Employmentopportunitytoacidsurvivors.

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11. Scholarshipforunderprivilegedmeritoriousstudents.
12. BlooddonationcampsforunderprivilegedThalassaemia
patients.
13. Establishmentof BloodBankat Bogra for underprivileged
patients.
14. Emergencyrelief effortinnatural calamities.
Other activities:
1. Village phone:-
With the help of Grameenphone, Grameen Telecom operates the national Village Phone programmed, alongside
its own parent Grameen Bank and the International Finance Corporation (IFC), acting as the sole provider of
telecommunications services to a number of rural areas. Most Village Phone participants are women living in
remote areas. Village Phone works as an owner-operated GSMpayphone whereby a borrower takes a BDT 12,000
(USD 200) loan from Grameen Bank to subscribe to GP (Grameenphone) and is then trained on how to operate it
and how to charge others to use it at a profit. As in September 2006, there are more than 255,000 Village Phones
in operation in 55,000 villages around Bangladesh. This program has been replicated also in some other countries
includinginUgandaand RwandainAfrica.
2. Community Information Centers:-
Community Information Center (CIC) or GPCIC is aimed at providing internet access and other communications
services to rural areas. In February 2006, 26 CICs were established across the country as a pilot project. In this
project, Grameenphone provides GSM/EDGE/GPRS infrastructure and technical support and other partners
Grameen Telecom Corporation and Society for Economic and Basic Advancement (SEBA), are involved in selecting
and training entrepreneurs to run the village centers. The computers in these centers in the pilot project are used
by an average of 30 people a day, who pay a small fee to access email or Web pages. These CICs are used for a
wide variety of business and personal purposes, from accessing health and agricultural information to using
government services to video conferencing with relatives overseas. Grameenphone also trains the entrepreneurs
so that theycan give people adviceonhow toset upan e-mail accountand bestmake use of the Internet.
CIC project is giving up to 20 million people the chance to use the Internet and e-mail for the first time. Followinga
successful pilot project, Grameenphone is going to set up approximately 560 centers in communities throughout
Bangladesh by the end of 2006. The centers will be located in each Upazila (sub-district) of Bangladesh. As a result,
up to 15 villages containing up to 40,000 people will be within reach of each CIC. In this information center, there
will be personal computers connected to Grameenphone existing GSMmobile network, which has been upgraded
withEDGE technologytoofferdatatransferspeedsof upto16 kilobytespersecond.
Grameenphone Centers:-
A Grameenphone center (GPC) serves as a "one stop solution" for customers, with all telecommunications
products and services, under a single roof. A Grameenphone center also sells phones from vendors like Nokia,
Samsung, Motorola, Sagem and Benq. EDGE/GPRS modems and accessories such chargers and headphones are
alsosoldat GPCs.

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As of February 2013, there are 85 GPCs and they are strategically located at all major locations of the country is
operated by Grameenphone. As of late most of the newly opened gpc's are franchised. Most of these franchised
outletsare innon-metropolitanareas.
The GPCs also provide the flexi-load service without charging extra for small denominations unlike many retailers
in the country. Thus making the gpc's and ideal place for many for such a service. Every once a while, the GPCs tie
up with handset manufactures and start a nationwide marketing scheme by selling the specific vendors products
at a price lowerthanthe market'sor inbundle witha Grameenphone connectionloadedwithfree minutes.
Awards:
1. Grameenphone received the GSM in the Community Award at the global GSM Congress held in Cannes,
France in February2000 forits Village Phone initiative.
2. In 2002, Grameenphone was adjudged the Best Joint Venture Enterprise of the Year at the Bangladesh
BusinessAwards.
3. Grameenphone was presented with the GSM Association's Global Mobile Award for ‘Best use of Mobile
for Social and Economic Development' under Bridging the digital divide category at the 3GSM World
CongressheldinSingapore,inOctober2006, for itsCommunityInformationCenter(CIC) project.
4. In the next year, 2007, Grameenphone was again presented
with the same award for its `Health Line Service' at the 3GSM
WorldCongressheldinBarcelona,Spain,inFebruary.
5. Grameenphone received Green Mobile Award at Mobile
World Congress 2014 for its extensive climate change
program.
Criticism:
In October, 2007 the Government of Bangladesh fined
Grameenphone USD 24.5 million for illegally depriving the
government of revenue by ignoring laws requiring private operators
to use the state-owned BTTB land phone network for international calls by its subscribers, when they used Voice
OverInternetProtocol (VoIP)toreceive suchcalls.
It soon emerged that GP was making a bigger business out of VoIP operations than initially stated. They were
providing a host of ISPs and operators services that enabled VoIP. In December 2007, Grameenphone's corporate
office was raided by government agencies and documents were confiscated. This was in connection to
Grameenphone providing VoIP equipment and services to an ISP, AccessTel. This fact was not disclosed by
Grameenphone when it was fined just two months ago. Grameenphone representatives commented “some
additional irregularitieswere found”regardingGrameenphone providingspecial servicestoillegalVoIPoperators.
In January 2008, Bangladesh Telecommunication Regulatory Commission has filed a case against GP's two former
CEO's and other officials for involvement in illegal VoIP business.Bangladesh Telecommunication Regulatory
Commission (BTRC) has fined Grameenphone Tk 2500 Million for illegal VoIP business, the second time the
country's largest mobile phone operator has been penalized for such rogue activities, the telecoms regulators
announcedinAugust2008.
Highest Call Rate:
e 12pm-4pm 4pm-12pm

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On-net BDT 0.49 BDT 0.99
Off-net BDT 0.99
Community BDT 0.75 (VP-VP)
Pulse 1 second
SMS 24 hours at BDT 0.50/SMS (within 160 character space)
Other Operator call rate between GP:
Call type time window paisa/10 sec
(excl. vat)
All operators 24 hours 10
special fnf 24 hours 5
sms type time window paisa/ sms
(excl. vat)
all local sms 24 hours 50

10. 10
SWOT Analysis:
STRENGTHS:
LargestGeographical Coverage
LargestInternational roamingService
StrongDistributionChannels
Pre-Paidservicethatare so Flexible
Low price handsetswithqualityandvariabilityforrural people
Lease of Fiber-Opticcable fromBangladeshRailway
Market Leadership&financial soundness
Good OwnerStructure
Competitive Price
DynamicManagementTeam
24 Hours CustomerServices
SkilledHumanResource
Accessto the WidestRural DistributionnetworkthroughGrameenBank
More Attractive VAS(Value AddedServices)
OPPORTUNITIES:
Unmet demand
Possibilityof furthernetworkexpansion
IncreasinginterconnectionwithBTTB
Favorable RegulatoryAuthority
Possibilityof innovative productsandservices
WEAKNESS:
Billinginflexibility
Growingcustomerdissatisfaction
Lack of follow-upfromcustomers
Deviationfromoriginal businessplan
Marketingplan.
THREATS:
Introduction of BTTB mobile phones
Aggressive marketingbycompetitors
Possibilityof newentrancesusingGSMTechnology.
Betterrelationshipof competitorswithregulatorybody.

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Functions of Management
 Planning
 Organizing
 Staffing
 Directing
 Controlling
Our Management functions:
 A manager who happens to manage a farm or horticultural business.
 A manager challenged to make efficient use of resources.
 A manager challenged with getting things done through people.
 A manager who has opportunity to use of all the tools of management that any other manager
uses.
 A manager who has a way of life like any other manager.
Management functions are about changing
people not about changing businesses. We
change people by helping them improve their
management skills. Our expectation is that with
these tools, they are then likely to change their
businesses.
Management:
In Management Function, we start with an
assumption of the universality of management.
Management is management. Management is
generic. Management principles are general
rather than specific to a type of firm or
organization. However, management is universal
only if the manager has become familiar with the
specific situation in which it is applied.
Production technology, customer characteristics
and the culture of the industry are examples of
specifics that managers need to learn to be
effective in applying their generic management
skills.
A definition:
Management is creative problem solving. This creative problem solving is accomplished through four
functions of management: planning, organizing, leading and controlling. The intended result is the use
of an organization’s resources in a way that accomplishes its mission and objectives.
In Management Function, this standard definition is modified to align more closely with our teaching
objectives and to communicate more clearly the content of the organizing function. Organizing is
divided into organizing and staffing so that the importance of staffing in small businesses receives
emphasis along side organizing. In the management literature, directing and leading are used
interchangeably.
Planning:

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Planning is the ongoing process of developing the business’ mission and objectives and determining
how they will be accomplished. Planning includes both the broadest view of the organization, e.g., its
mission, and the narrowest, e.g., a tactic for accomplishing a specific goal.
Organizing:
Organizing is establishing the internal organizational structure of the organization. The focus is on
division, coordination, and control of tasks and the flow of information within the organization. It is in
this function that managers distribute authority to job holders.
Staffing:
Staffing is filling and keeping filled with qualified people all positions in the business. Recruiting, hiring,
training, evaluating and compensating are the specific activities included in the function. In the family
business, staffing includes all paid and unpaid positions held by family members including the
owner/operators.
Directing:
Directing is influencing people’s behavior through motivation, communication, group dynamics,
leadership and discipline. The purpose of directing is to channel the behavior of all personnel to
accomplish the organization’s mission and objectives while simultaneously helping them accomplish
their own career objectives.
Controlling:
Controlling is a four-step process of establishing performance standards based on the firm’s
objectives, measuring and reporting actual performance, comparing the two, and taking corrective or
preventive action as necessary.
Each of these functions involves creative problem solving. Creative problem solving is broader than
problem finding, choice making or decision making. It extends from analysis of the environment within
which the business is functioning to evaluation of the outcomes from the alternative implemented.
An Important Qualification to Success:
Management success is gained through accomplishment of mission and objectives. Managers fail
when they do not accomplish mission and objectives. Success and failure are tied directly to the
reasons for being in business, i.e., mission and objectives. However, accomplishing mission and
objectives is not sufficient. Success requires both effectiveness and efficiency. Managers who
accomplish their mission and objectives are said to be effective. Efficiency describes the relationship
between the amount of resources used (input) and the extent to which objectives were accomplished
(output). If the cost of accomplishing an objective is prohibitive, then the objective is not realistic in the
context of the firm’s resources. Additional planning is necessary.
Management Skills:
Management Function concentrates on building management skills. There are three basic
management skills: technical, human and conceptual. A technical skill is the ability to use tools,
techniques, and specialized knowledge to carry out a method, process, or procedure. Much of the
technology that farmers know and can use so well comes under this management skill. Human skills
are used to build positive interpersonal relationships, solve human relations problems, build
acceptance of one’s co-workers, and relate to them in a way that their behavior is consistent with the
needs of the organization. Conceptual skills involve the ability to see the organization as a whole and
to solve problems in a way that benefits the entire organization. Analytical, creative and intuitive
talents make up the manager’s conceptual skills.

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Problem Identification
Broad Statement
To identify what factor is important for usage of Grameen Phone (GP) Internet.
Objectives
Determine the satisfaction of Grameen Phone Internet Service user.
Identify of the effectiveness of every factors to each other.
Identify the factors responsible for Internet Users.
Variables:
Dependent Variable:
Usage of GP Internet
Independent Variables:
1. Speed
2. Internet Service Charge
3. Promotional offers
4. Customer Care
5. TV commercials
6. Network coverage
7. Connectivity
8. Off time Service Charge
9. EDGE Service vs. GPRS Service
Approaches to the Problem
The research has been started with some secondary data available in the market. Then an
exploratory type research has been conducted to identify the problem which includes qualitative
investigation among the Internet User of the Grameen Phone (GP). Some of the factors have been
pointed out which may influence to be satisfied on the job. These are mainly Speed, Internet Service
Charge, Promotional Offers, Customer Care, TV Commercials, Network Coverage, Connectivity, off
time Service Charge, EDGE Service vs. GPRS Service etc.
By considering all of this issue the researcher tried to learn the following things:
Who are the Users of the Grameen Phone?
What are the factors involved for the usage of Grameen Phone Internet Service?
Why the customers use the Internet Service?
When to use the Internet Service?

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Where to use the Internet Service?
What are the ways to use the Internet Service?
Based on the above I have designed the research, collect the data and analysis accordingly.
RECOMMENDATION
Basedon the findings&analysis,some realisticrecommendationsare mentionedinthe following:
QA departmentisstronglyworkingbutthe departmentshouldgive more concentrationon
contractual employeesinmakingthempermanenttomake fastergrowth of GP than the present
time.
Besidesexistingcustomers,othercustomersshouldbe stronglytargeted.
Performance appraisal systemshouldbe controlledandfollowedtomeasure the performance of
each employee.
Shouldgive more concentrationonadvertising&sponsorship.
GP shouldincrease the service quality/aftersalesservice.
CONCLUSION
Grameenphone Companyisstill agrowingcompanyinspite of all the successithas achievedsofar.It holdsa kind
of a monopolypositioninthe mobiletelecommunicationsmarket.Completionisalwaysonthe lookoutfornew
ideasandschemes.Inorderto maintainno:1 positionGPuse tofollow manystrategieslike businesslevel
strategies,functional level strategies,global level strategies&corporate level strategies.
From the survey on measuring the level of satisfaction of the GP BS segment, it has found that the level of
satisfaction is very high. In addition, it has found at the time of collecting information that some subscribers are
very muchloyal to the organization. This is for the reason that the subscribers are getting adequate support and
facilities from the company. Most of the respondents are not feeling any sort of problem for using business
solutions with GP. Some, who are facing a little problem, is the creation of their own. In addition, GP authority is
takinginitiativesforthisproblem.
The findings of the comparison of the Business Sloutions of GrameenPhone with other 3 BS segment (Banglalink,
Robi & Citycell) is that GP BS segment if the most effective and easiest communication. The comparison was
among the companies & the opinion standard. The opinion standard is the average outcome of the opinion of
the ‘Head of Region of GrameenPhone (Dhaka region), ‘Regional Commercial Head’ Banglalink (Dhaka region)
and Regional Sales Manager’ Warid telecom (Dhaka region). The finding is that GP is holding more points than
the opinion standard. Rests of the companies are below the standard though the position of Banglalink is good.
However, in comparison the effectiveness of the BS segment of Robi & Citycell is very poor, where Citycell is
holdingthe lowestposition.
So finally it is to say that among the four BS segment on which a have conducted my study GrameenPhone
BusinessSolutionisthe best.