STRATEGIC MANAGEMENT
          OF
OVERVIEW
• Bharti Airtel Limited, commonly known as Airtel, is an
  Indian telecommunications services company headquartered at New
  Delhi, India.
• Bharti Airtel Limited is a leading integrated telecommunications
  company with operations in 20 countries across Asia and Africa.
• The company ranks amongst the top 5 mobile service providers
  globally in terms of subscribers. In India, the company's product
  offerings include 2G, 3G and 4G services, fixed line, high speed
  broadband through DSL, IPTV, DTH, enterprise services including
  national & international long distance services to carriers
• Airtel is the world's fourth-largest mobile telecommunications
  company with over 261 million subscribers across 20 countries as of
  August 2012.
• It is the largest cellular service provider in India, Ithad over 246
  million customers across its operations at the end of February 2012.
VISION
     To be globally admired for telecom services that delight
     customers


                           MISSION
"A spirit charged with energy, creativity and a team
driven "to seize the day" with an ambition to become the
most admired telecom service provider globally".
HIGHLIGHTS
 Bharti Airtel becomes the fourth largest mobile
  operator in the world
 Airtel rolls out Maharashtra's first 4G service in Pune
 F1 now on your fingertips with Airtel India Grand Prix
  mobile application
 Ace designer Michael Foley creates trophy for 2012
  Airtel Indian Grand Prix
 Bharti airtel to Observe Silent period from September
  30, 2012airtel launches Smart Drive, a voice based real
  time navigation service
STRATEGIES ADOPTED BY AIRTEL
 Business Process Outsourcing
 Airtel follows the strategy of outsourcing the non-core
  activities and focus on the core.
 Airtel is known for being the first mobile phone company in
  the world to outsource everything except marketing and sales.

 The firm outsources many of its most fundamental functions
  and
  infrastructures, including its information technology (IT) opera
  tions to IBM, Nortel and Wipro;
 Its communications networks to Ericsson and Nokia Siemens;
  and
 Its contact centre operations to Nortel and Wipro and recently
  with Cisco and Servion to provide hosted contact centre
  services.
INNOVATION IN VALUE ADDED SERVICES


 Airtel has separate value added services for consumers, s
  mall business and business enterprises.
 Airtel’s online desktop for airtel broadband users
  provides free online space for storing , editing
  and sharing data .
 It also provides free antivirus package, free software and
  updates on rental basis for small businesses and this is
  one of the VAS which is not provided by other service
  providers.
M-Commerce
 Airtel has an idea of introducing m-commerce as one of its
  value added service.
 According to its CEO Sanjay Kapoor there is an 80 to 85 per
  cent of the population which is still unbanked and looking to
  do financial transactions using mobile technologies.
 By providing m- commerce Airtel plans to bring a revolution
  by making mobile phones work as ATM machines.
  Network
 Airtel packs a punch when it comes to network coverage. The
  aim of Sunil Bharti Mittal was to create a network which is
  clear even when in the basement. Airtel has done just that
  and beyond.
Declining ARPU
 With more than 10 million subscriber additions a
  month, the Telecom Sector continues to maintain its
  growth momentum.
 Due to the entry of new players in the market a high
  level of competition prevails and this has lead to a
  decrease in the Average Revenue Per User.
 Thus in order to sustain its competitive position Airtel
  has started focusing on increasing the revenue from
  Minutes of Usage MoU
PORTER’s FIVE MODELS
Threat of New Entrant
• 12 major number of players in India
• The concept of per second billing brought in
  bt Tata docomo
• Uninor’s variable pricing has left feathers
  ruffled
• Challenges have also been posed by inclusion
  of 3G technology
Power of Suppliers
• There is a large number of equipment makers
  around which dilutes the bargaining power of
  suppliers
• There is monopoly with the government in
  allocation of bandwidth
• The system lacks transparency which leads to
  several losses
• The limited pool of talented managers and
  engineers
Power of Buyers
• The end user is the happiest as the price wars are
  prevelant
• Telecom in the present day holds low brand loyalty
Availabiity of Substitutes
• Advent of internet into the domain of mobile
• Due to high speed internet on mobiles the role of
  phone calls and short messages has diminished
• Chief source of revenue is the inclusion of internet
Competitive Rivalry
• Indian telecom is a big pie being shared by many
  people
• The impact made by newer companies has led to a
  major price war among all the players
• The changes being brought forward are too many and
  those who adapt will survive
• Competitors of Airtel are flanking it from the side by
  trying out newer ways to woo the customer
• Airtel works very similar to a bank which likes to have
  more money coming in through valued customers
  rather than low cost urban connections
SWOT Analysis
Strengths                                 Weakness
• Largest wireless network and market     • Reduced profit margin
  share                                   • Increased debt
• Effective Value added services          • Penetration into rural market
• Looking forward into the domain of
                                          • Charging for customer care
  cloud computing
• Partners with leading Phone
  manufacturers for distribution



Opportunities                             Threats
                                          • Too many players
• The entry into the newer markets of
  Africa                                  • Internet based services taking over a
• Telecom is looked upon as a             • part of the telecommunications Domain
  commodity so higher quality at a        • Government regulations over the
  lesser price is needed                    bandwidth
• Large section of the population which   • Customer preference of price over
  is not exposed to internet and need       performance
  better connectivity                     • Failure of expansion operations
• Mobile Banking Services
Strategic management
Strategic management
Strategic management

Strategic management

  • 1.
  • 2.
    OVERVIEW • Bharti AirtelLimited, commonly known as Airtel, is an Indian telecommunications services company headquartered at New Delhi, India. • Bharti Airtel Limited is a leading integrated telecommunications company with operations in 20 countries across Asia and Africa. • The company ranks amongst the top 5 mobile service providers globally in terms of subscribers. In India, the company's product offerings include 2G, 3G and 4G services, fixed line, high speed broadband through DSL, IPTV, DTH, enterprise services including national & international long distance services to carriers • Airtel is the world's fourth-largest mobile telecommunications company with over 261 million subscribers across 20 countries as of August 2012. • It is the largest cellular service provider in India, Ithad over 246 million customers across its operations at the end of February 2012.
  • 3.
    VISION To be globally admired for telecom services that delight customers MISSION "A spirit charged with energy, creativity and a team driven "to seize the day" with an ambition to become the most admired telecom service provider globally".
  • 4.
    HIGHLIGHTS  Bharti Airtelbecomes the fourth largest mobile operator in the world  Airtel rolls out Maharashtra's first 4G service in Pune  F1 now on your fingertips with Airtel India Grand Prix mobile application  Ace designer Michael Foley creates trophy for 2012 Airtel Indian Grand Prix  Bharti airtel to Observe Silent period from September 30, 2012airtel launches Smart Drive, a voice based real time navigation service
  • 5.
    STRATEGIES ADOPTED BYAIRTEL Business Process Outsourcing  Airtel follows the strategy of outsourcing the non-core activities and focus on the core.  Airtel is known for being the first mobile phone company in the world to outsource everything except marketing and sales.  The firm outsources many of its most fundamental functions and infrastructures, including its information technology (IT) opera tions to IBM, Nortel and Wipro;  Its communications networks to Ericsson and Nokia Siemens; and  Its contact centre operations to Nortel and Wipro and recently with Cisco and Servion to provide hosted contact centre services.
  • 6.
    INNOVATION IN VALUEADDED SERVICES  Airtel has separate value added services for consumers, s mall business and business enterprises.  Airtel’s online desktop for airtel broadband users provides free online space for storing , editing and sharing data .  It also provides free antivirus package, free software and updates on rental basis for small businesses and this is one of the VAS which is not provided by other service providers.
  • 7.
    M-Commerce  Airtel hasan idea of introducing m-commerce as one of its value added service.  According to its CEO Sanjay Kapoor there is an 80 to 85 per cent of the population which is still unbanked and looking to do financial transactions using mobile technologies.  By providing m- commerce Airtel plans to bring a revolution by making mobile phones work as ATM machines. Network  Airtel packs a punch when it comes to network coverage. The aim of Sunil Bharti Mittal was to create a network which is clear even when in the basement. Airtel has done just that and beyond.
  • 8.
    Declining ARPU  Withmore than 10 million subscriber additions a month, the Telecom Sector continues to maintain its growth momentum.  Due to the entry of new players in the market a high level of competition prevails and this has lead to a decrease in the Average Revenue Per User.  Thus in order to sustain its competitive position Airtel has started focusing on increasing the revenue from Minutes of Usage MoU
  • 9.
    PORTER’s FIVE MODELS Threatof New Entrant • 12 major number of players in India • The concept of per second billing brought in bt Tata docomo • Uninor’s variable pricing has left feathers ruffled • Challenges have also been posed by inclusion of 3G technology
  • 10.
    Power of Suppliers •There is a large number of equipment makers around which dilutes the bargaining power of suppliers • There is monopoly with the government in allocation of bandwidth • The system lacks transparency which leads to several losses • The limited pool of talented managers and engineers
  • 11.
    Power of Buyers •The end user is the happiest as the price wars are prevelant • Telecom in the present day holds low brand loyalty Availabiity of Substitutes • Advent of internet into the domain of mobile • Due to high speed internet on mobiles the role of phone calls and short messages has diminished • Chief source of revenue is the inclusion of internet
  • 12.
    Competitive Rivalry • Indiantelecom is a big pie being shared by many people • The impact made by newer companies has led to a major price war among all the players • The changes being brought forward are too many and those who adapt will survive • Competitors of Airtel are flanking it from the side by trying out newer ways to woo the customer • Airtel works very similar to a bank which likes to have more money coming in through valued customers rather than low cost urban connections
  • 13.
    SWOT Analysis Strengths Weakness • Largest wireless network and market • Reduced profit margin share • Increased debt • Effective Value added services • Penetration into rural market • Looking forward into the domain of • Charging for customer care cloud computing • Partners with leading Phone manufacturers for distribution Opportunities Threats • Too many players • The entry into the newer markets of Africa • Internet based services taking over a • Telecom is looked upon as a • part of the telecommunications Domain commodity so higher quality at a • Government regulations over the lesser price is needed bandwidth • Large section of the population which • Customer preference of price over is not exposed to internet and need performance better connectivity • Failure of expansion operations • Mobile Banking Services

Editor's Notes

  • #3 Bharti Airtel Limited is a leading integrated telecommunications company with operations in 20 countries across Asia and Africa. Headquartered in New Delhi, India, the company ranks amongst the top 5 mobile service providers globally in terms of subscribers. In India, the company's product offerings include 2G, 3G and 4G services, fixed line, high speed broadband through DSL, IPTV, DTH, enterprise services including national & international long distance services to carriers. In the rest of the geographies, it offers 2G, 3G mobile services. Bharti Airtel had over 246 million customers across its operations at the end of February 2012.
  • #4 The mission statement of AirtelThe original mission statement for Airtel was to be, "A spirit charged with energy, creativity and a team driven "to seize the day" with an ambition to become the most admired telecom service provider globally". This quote can be found on the Airtel website in the 'About Bharti Airtel' sectioAirtel claim that they have now achieved these goals so their mission statement will now be to maintain the position.n.Customer service focusEmpowered employeesInnovative servicesCost efficiency