Reliance communications report 2


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Reliance communications report 2

  1. 1. SUMMER TRAINING REPORT SUBMITTED TOWARDS THE PARTIAL FULFILLMENT OF POST GRADUATE DEGREE IN INTERNATIONAL BUSINESS Comparative Study of Voice and Data Products of Reliance in India SUBMITTED BY: Shrey Arora MBA-IB (2009-2011) Roll No. : A1802009219INDUSTRY GUIDE FACULTY GUIDEMr. Navneet Rai Mr. Roopak Kumar GuptaCustomer Operations Manager Amity InternationalReliance Communications Business School AMITY INTERNATIONAL BUSINESS SCHOOL, NOIDA AMITY UNIVERSITY – UTTAR PRADESH 1Amity International Business School
  2. 2. Company Certificate (LETTER HEAD of the Company) TO WHOM IT MAY CONCERNThis is to certify that _____________________, a student of AmityInternational Business School, Noida, undertook a project on“___________________” at ________________________from __________to _____________.Ms./Mr.________________ has successfully completed the project underthe guidance of Mr./Ms.____________________. She/He is a sincere andhard-working student with pleasant manners.We wish all success in her/him future endeavours.Signature with date(Name)(Designation)(Company Name) 2Amity International Business School
  3. 3. CERTIFICATE OF ORIGINThis is to certify that Mr. Shrey Arora, a student of Post Graduate Degree inMBA(International Business), Amity International Business School, Noida hasworked in the Reliance Communications, under the able guidance andsupervision of Mr. Navneet Rai, Customer Operations Manager, RelianceCommunications. The period for which he was on training was for 4 weeks,starting from 3rd May, 2010 to 2nd July, 2010. This Summer Internship reporthas the requisite standard for the partial fulfillment the Post Graduate Degree inInternational Business. To the best of our knowledge no part of this report hasbeen reproduced from any other report and the contents are based on originalresearch. (Student)Mr. Roopak Kumar Gupta Shrey Arora 3Amity International Business School
  4. 4. ACKNOWLEDGEMENTI express my sincere gratitude to my industry guide Mr. Navneet Rai, CustomerOperations Manager, Reliance Communications, for his able guidance,continuous support and cooperation throughout my project, without which thepresent work would not have been possible.I would also like to thank the entire team of Reliance Communications, for theconstant support and help in the successful completion of my project.Also, I am thankful to my faculty guide Mr. Roopak Kumar Gupta of myinstitute, for his/her continued guidance and invaluable encouragement. Shrey Arora 4Amity International Business School
  5. 5. TABLE OF CONTENTSChapter No. Subject Page No.1.0 EXECUTIVE SUMMARY 62.0 INTRODUCTION 83.0 RESEARCH METHODOLOGY 10 Primary Objective Scope of the Study Sampling4.0 CRITICAL REVIEW OF LITERATURE 13 After-Sales Service Revenue Can Yield Even Bigger Returns Teaching Good Customer Service5.0 INDUSTRY PROFILE 19 Introduction to Indian Telecom Industry Market Structure for telephony and wireless services Opportunity for companies Regulatory Framework Major Players in different segments of Indian telecom industry Market SWOT Analysis6.0 COMPANY PROFILE 32 Reliance Group Vision Board of Directors Company Roadmap Milestones Voice Solutions Data Solutions7.0 ISSUES AND CHALLENGES FACED BY THE ORGANIZATION 618.0 DATA COLLECTION 64 Primary Data Secondary Data9.0 ANALYSIS OF QUESTIONNAIRE 6610.0 REFLECTIONS ON WHAT HAS BEEN LEARNED DURING THE PLACEMENT EXPERIENCE 7211.0 RECOMMENDATIONS 7412.0 BIBLIOGRAPHY 7613.0 ANNEXURE 7814.0 CASE STUDY 8615.0 SYNOPSIS OF THE PROJECT 90 5 Amity International Business School
  6. 6. 1. EXECUTIVE SUMMARY 6Amity International Business School
  7. 7. 1.0 EXECUTIVE SUMMARYThese days, organizations are looking forward to obtain competitive edge over theircompetitors through highly developed employee skills, distinctive organizationalcultures, management processes and systems which are in contrast to traditional emphasison transferable resources such as equipment that can be purchased any time by thecompetitors.In Reliance Communications, much work is done to develop competencies so as to havebetter results. In this context apart from the various departments, the Customer Assurancedepartment has got a crucial role to play.In my study I have tried to study the various factors which are responsible for making acustomer loyal and retaining him forever. For this I had to contact many corporate customersto find out what they actually think of the services given by the company and how satisfiedthey are with those services.The research gave me an opportunity to obtain feedback and suggestions from the enterprisecustomers who use business services like leased lines, VPNs, PRIs etc. and demandexceptional quality of experience from Reliance Communications.The study I conducted involved designing a questionnaire, which was not easy as I was notaware upto what horizon the customers are facing and in what categories. So, to design thequestionnaire, I contacted 10 random enterprise customers of Reliance Communications andasked them open ended questions like feedbacks, suggestions, any other problem with majorservices like leased lines, VPNs and also referred a previous questionnaire which was quitegeneric in nature and did not include specific issues. The output of this interaction gave methe problem areas. Then based on these issues, I designed a questionnaire which was sent tomore than 100 enterprise customers via email and text messages which contained the link tothe questionnaire.The responses which were received were quite less in number i.e. 50. This was expected ascorporates are very busy to respond to such feedback surveys and cannot be forced orspammed to fill up the form. Another reason for fewer responses was the number of questionsin the questionnaire which were quite much compared to a general questionnaire. As thequestionnaire was not general so it was mostly sent to technical department of companies andnot to masses.The results of the questionnaire were forwarded via department heads to the top level. Therewas a confidentiality factor as this included many of the company clients which are even thecompetitors of the company in the market. So, the names of the clients could not be revealedin the report. 7Amity International Business School
  8. 8. 2. INTRODUCTION 8Amity International Business School
  9. 9. 2.0 INTRODUCTION2.1 Objectives 1. To get a practical Corporate Exposure. 2. To study the company products, and services solutions offered by Reliance Communications in Enterprise Sector. 3. To understand the telecom terms, working, designations, strategies, teams used in company. 4. To interact with Reliance Communications’ corporate customers over the phone. 5. Making client visits with industry guide. 6. Business process learning 7. Gathering information from corporate customers like their issues/problems with the services Reliance Communications offers like leased lines, VPNs, PRIs etc. This information gathering also included any suggestions or feedback they liked to give regarding the Reliance Communications services. 8. Understanding the importance service. 9. Working towards increasing customer satisfaction. 10. Understanding the feasibility and implementation of deliveries. 11. To get maximum exposure about the working of the service assurance team. 12. To proceed with 1-2-1 interaction with more corporates. 13. To know and help the company improve company’s products and services in the following five aspects: • Billing, • Sales, • After-Sales/Assurance, • Delivery 9Amity International Business School
  10. 10. 3. RESEARCH METHODOLOGY 10Amity International Business School
  11. 11. 3.0 RESEARCH METHODOLOGY3.1 Primary ObjectiveCustomer satisfaction and retention is a strategy whose objective is to keep a company’scustomers and to retain their revenue contribution. It costs less to keep an existing customerthan to acquire a new one.Thus the primary objective was to prepare an effective questionnaire which reflected all theissues and problems faced by the customers of the company. And hence implement strategiesto improve customer satisfaction and retention.And the secondary objectives are: • Improving the perception of the company to customers. • Implementing proper co-ordination between various teams like Sales, Delivery, Billing, After-sales etc.3.2 Scope of the StudyThe research was carried out on random 10 customers to know about the technicalities todesign the questionnaire. Then the questionnaire was designed considering all the aspects.3.3 SamplingSampling procedure:The sample is selected in a random way. Data was collected through the questionnaires sendto the clients. The questionnaire has questions related to each and every aspect like sales,delivery, after-sales, overall experience with Reliance etc. The clients rated Reliancecommunications on a scale of 5. Then percentage was calculated of satisfied customers ineach aspect.Sample size:Though the questionnaire was sent to more than 100 customers, but only 50 respondedproperly. So, only 50 responses were considered for the analysis.Sample design:The customers rated us on the scale of 5. To present the result efficiently, these average foreach question was taken and was converted into percentage. This data has been presented inthe form of bar chart. 11Amity International Business School
  12. 12. Limitations:1. Corporates are busy mostly and cannot be forced to fill the questionnaire.2. The sample size was very less as these were Reliance Communications’ customers whohave been using the service for a quite reasonable period of time.3. Maybe a few of the forms were filled by non-technical persons in the organizations whodid not have a proper idea of the issues and technicalities. This could have contributed slighterroneous analysis. 12Amity International Business School
  13. 13. 4. CRITICAL REVIEW OF LITERATURE 13Amity International Business School
  14. 14. 4.0 CRITICAL REVIEW OF LITERATURE4.1 After-Sales Service Revenue Can Yield Even Bigger ReturnsKevin KeeganMarch 1, 2004Unfortunately, managing global spare-parts inventory is too often not given a spare thoughtby senior management teams. Theyre likely to pay attention to this issue only if an importantcustomer threatens to take its business elsewhere, or a significant inventory write-off occurs.Yet, effective management of spare (service) parts impacts the margin contribution comingfrom after-sales services (30 percent of a typical manufacturing companys total revenue, andupwards of 40 percent of its profit).This has become an important business issue because after-sales service revenue has beenincreasing as a percent of total revenue in recent years given product price erosion, customerskeeping equipment for longer periods of time, and the extension of product service life forcompetitive reasons (now over seven years after the initial sale of equipment).In effect, good margins from after-sales revenue have masked the opportunities to reduceservice-parts costs. Still, manufacturers lose as much as 10 to 20 percent of their warrantyand extended service contracts because of poor spare-parts management. These companieshave a hard time finding a way to balance between delivering excellent service to theircustomers and controlling the material cost of these operations. Why? Because they do notnormally think about this aspect of their business as an integrated set of global activities.A recent PRTM survey defines the opportunity in clear terms. The companies that payattention to managing their global service-parts activity, employing best practices here, enjoya wide margin of customer service and operational cost advantage over average-performingcompanies: • 75 percent lower inventory per dollar of installed base • 15 percent higher fill rates • 15 percent more on-time service-parts deliveryAchieving control in global service-parts management is no easy matter, for several reasons.The processes, information systems, accountabilities, and policies are most often selected andmanaged by a local sales team or by product line management, and not by the service supplychain team. Additionally, service parts are often managed as a cost of warranty and notmanaged as a business, with a mix of local and global performance goals even when there arespecific strategies for things like repair centers, warranty pricing, and product lifecycles. 14Amity International Business School
  15. 15. Figure 1: The Efficient FrontierA driving issue of underperformance in global service-parts management is that businessleaders typically do not have an efficient way to see total service-parts inventory positions ateach echelon, or to see where service misses are about to occur. Nor do they see where profitis leaking from service-parts operations.Best performers have put the systems and practices in place to gain this visibility and havealigned local policies, procedures, and accountabilities around specific local and globalservice and cost goals. Specific practices of top performers in this realm include: • Using or moving to a single instance global service-parts planning and execution information management tool. This tool will have integrated planning and execution functionality and will have regional but globally aligned security, business rules, reporting, and so forth. • Managing to a single set of policies for service-parts sourcing, purchasing, stocking, moving, and write-off decisions. • Implementing consistent regional accountabilities for delivery and inventory performance.Some good examples: One wireless handset company has developed the capability tocoordinate last-time purchase and end-of-manufactured-life and end-of-service-life decisionswith an understanding of global service-parts inventory positions. This capability allows it toefficiently move service-parts inventories where needed to support warranty obligations andto minimize excess and obsolete service-part write-offs.A company that makes large-scale industrial engines provides another example of a bestpractice: It is able to review trends on where spare parts are received and used in Europe,North America, and South America in order to help support foreign exchange hedge goals.This information also helps it minimize inbound and outbound freight and duty costs, reducelead times, and periodically restructure its set of service-parts suppliers. 15Amity International Business School
  16. 16. Figure 2: The New Efficient FrontierBased on our survey, we have confirmed that the best performers manage service parts like aglobal business or as part of a global post-sales-services business. The top companiesconsistently calculate the amount of inventory investment needed to meet fill rates by productand customer and then roll up these investments across geographies to establish the minimumamount of total (global) investment to achieve targeted fill rates. In doing so, they create ahigh-level efficient frontier (see Figure 1). From here, they can compare inventory positions(from regional stock to trunk stock, carrying costs, duty costs, and so forth) in and acrossechelons, spare-parts logistics partners, and geographies. The purpose of the comparison is todetermine whether these inventories need to be redistributed (increased or decreased) in orderto optimize the total actual global inventory investment relative to achieving good andconsistent local service-parts fill rates.To make these changes sustainable, they set priorities to move to the efficient global frontier,locality by locality. They also regularly evaluate the basis of competition for fill rates andmake needed adjustments to the efficient frontier, the service-parts replenishment network,and their total managerial approach (see Figure 2). Top global performers leverage anintegrated spare-parts planning and execution system that can automate location analysis, flagand help manage shortages before they happen, and identify unprofitable service supply chainoperations.Many companies understand and desire to achieve consistently high levels of post-salesservice for regional and global customers. Some are beginning to understand the service-partscost associated with providing this service. Only a few manufacturing companies, however,have embarked on a path to provide excellent customer service at best-in-class operationalcosts. These see service-parts as a global business that needs management using integrated ITarchitectures, consistent practices, and management disciplines that regularly review progresstoward the targeted efficient frontier. 16Amity International Business School
  17. 17. 4.2 Teaching Good Customer ServiceBy David JavitchMarch 07, 2005Is customer service important? Is customer service every employees responsibility?The clear answer to both of these questions is a resounding yes! And more important, themajor responsibility for creating a customer friendly atmosphere begins with you, the boss.Not only are you responsible for teaching first-ratecustomer service skills, but as their leader,you must demonstrate these behaviors and be a role model for your employees. Withoutpositive examples from you, theyre not likely to improve.But just why is customer service so crucially important to the success of your company?The Alternative BoardWhether or not your employees work specifically as customer service people, as the head ofyour organization, you must instill in all your employees one key strategic thought anddirection: If youre going to create a positive and productive business environment, everyonemust speak and relate to customers and potential customers as if each person were theirpaycheck. Because, in fact, they are.Tell your employees to seriously consider this startling truth: If customers dont keep comingback and purchasing your companys products or services, there will be no company. Andobviously, if theres no company--or if youre forced to downsize--many of the peopleworking for you now may lose their jobs.I bet youll have your employees complete attention.So just what is optimal customer service? Simply stated, its a positive way of relating topeople that lets them know you care about them, their actions, their purchases and the buyingprocess, no matter how expensive, intricate or involved it is. Your main goal is to have eachcustomer leave with a smile on their face and a feeling of having been well taken care of byyou and your employees--and for having purchased just what they needed or wanted.But why is optimal customer service so crucial? Wont customers keep coming back if yourprice is right? Not necessarily. If you want your customers to come back again and again,youve got to satisfy them by making it easy for them to do business with you, which will getthem to return for more. Understand that if they arent treated properly, they wont becomethose coveted return customers.Here are four powerful points you need to model and impart to your employees in order forthem to provide top-notch service to the purchasing public.Optimal customer service means:1. Your employees can keep their job. Remember, no customers equals no business and no employees.2. Youve created a positive buying atmosphere for both first-time and repeat customers.3. Youre able to satisfy the information or buying needs of your potentialcustomers.4. Youre able to transform prospects into happy, satisfied customers. And happy, satisfied 17 Amity International Business School
  18. 18. customers come back for more.Your next step is to teach and motivate your employees to demonstrate the followingsuccessful customer service behaviors:• Stop talking with colleagues and get off the phone whenever a potential customer approaches.• Look up and at the person, smile and welcome your potential paycheck.• Ask how you can help or assist your potential customer.• Provide information in a pleasant manner, always remembering to smile.• Ask, in a friendly way, if youve been of assistance to the customer. If the answer is no, continue to serve your customer until youve satisfied their needs.• Ask if theres anything else you can do to help them make the right decision.• Smile and say goodbye, encouraging the customer to return with other questions.• Mean what you say and mean what you do.And dont forget that the most important features of an interaction that potential buyers willremember are how helpful the employee was and how delighted or satisfied the customers arewith the product and the process of purchasing.Undoubtedly, these satisfied customers will return over and over. And this result is due to theattitude, politeness and willingness to assist that your employees express.Bingo, they just earned their paychecks!David G. Javitch, Ph.D., is an organizational psychologist and president ofJavitchAssociates, an organizational consulting firm in Newton, Massachusetts. With more than 20years of experience working with executives among various industries, he is aninternationally recognized author, keynote speaker and consultant on key management andleadership issues. Dr. Javitch utilizes field-proven managerial and psychological methods toincrease organizational success. His unique approach focuses on employee development toensure organizational success. 18 Amity International Business School
  19. 19. 5. INDUSTRY PROFILE 19Amity International Business School
  20. 20. 5.0 INDUSTRY PROFILE5.1 Introduction to Indian Telecom Industry • The Indian Telecom sector is third largest network in the world. • Subscriber numbers already crossed 250 million. • Average growth rate of over 40% in respect of subscribers. • Monthly additions of above 7 million phones. • Growth impetus from wireless segment with 84% wireless and 16% wired. • National teledensity at 26%. • Rural teledensity stands at 7%, while the urban at 57%. • Further access is provided by 54 lakh PCOs and 5 lakh VPTs. • 9 million Internet and 2.5 million broadband subscribers. • More than a thousand cities have been provided with broadband connectivity out a total of five thousand cities5.2 Indian Telecom Industry – A Lucrative OptionIn recent years, the Indian telecom industry has witnessed phenomenal growth. A conducivebusiness environment, favourable demographic outlook and the political stability enjoyed bythe country have contributed to the growth of the industry. India achieved the distinction ofhaving the worlds lowest call rates (2–3 US cents), the fastest sale of million mobile phones(1 week), the worlds cheapest mobile handset (USD 19) and the worlds most affordablecolour phone (USD 31).5.3 Indian Telecom Industry – Facts One of the fastest growing cellular markets in the world in terms of number of subscriber additions – 261.07 million (March 2008) Expected to reach total subscriber base of about 500 million by 2010 (i.e., more than one phone for every household) Annual growth rate of the telecom subscribers – 42 percent (2007–08) More GSM subscribers than fixed-line subscribers 20Amity International Business School
  21. 21. Total telecom subscribers – 300.49 million (March 2008 Cellular + Fixed Line ) Tele density – 26.22 percent (March 2008) Number of new mobile subscribers added last quarter – 27.62 million (March 2008) ARPU for GSM – USD 5.28* (USD./sub/ month) Telecom equipment market – USD 34,100 million (2007–08) Handset market – USD 7,250 million (2007–08) (Data Source TRAI 2008 Report)5.4 Telephony services (mobile and basic) and Internet servicesdominate the Indian telecom servicesThe Indian telecom market generated revenues of approximately USD 32 billion in 2007–08.It registered a CAGR of approximately 32 percent from 2002–03 to 2007–08. The CAGRfrom 2008–08 to 2011–12 is expected to stabilise at 21 percent. Apart from mobile telephonyservices, other value-added services are also gaining importance.The Indian telecom services can be divided predominantly into basic, mobile and Internetservices. It also comprises smaller segments, such as radio paging services, Very SmallAperture Terminals (VSATs), Public Mobile Radio Trunked Services (PMRTS) and GlobalMobile Personal Communications by Satellite (GMPCS).The growth witnessed in the mobile services and Internet services segments was much higheras compared to other services, such as basic services and radio paging services which arenominal in terms of numbers.5.5 Market Structure for basic telephony services segment (FixedLines) Basic services include fixed wireline and wireless in local loop (WLL-fixed). In 2007–08, basic services subscribers exceeded 60 million. 21Amity International Business School
  22. 22. Fixed wireline services hold a major market share of 83 percent in basic services. BSNL and MTNL are market leaders in this segment. Although the government-owned BSNL dominates the segment in terms of subscriber base and market share, private players have registered a notable growth.5.6 Market Structure for Wireless Service (GSM) • Divided into 22 circles – 4 metros – 19 circles • Further divided into A, B and C category based on economic parameters and revenue potential • Each circle has a licenses – Four operators per circle are allowed – Licenses are saleable Source: COAI & TRAI 22Amity International Business School
  23. 23. 5.7 Mobile telecom services provide an unprecedented growthopportunity for companiesMobile services have led to a spectacular growth in the Indian telecom industry. Currently, 12players are active in this segment. The total number of wireless subscribers escalated to261.07 million at the end of March 2008, with a monthly addition of more than 6 millionwireless subscribers. Despite the decreasing ARPU*, the minutes of usage is on a rise, whichprovides impetus to the mobile services growth in India. Despite a low teledensity of approximately 19 percent, India has the second highest minutes of usage per month. This offers huge growth opportunity to telecom companies. The declining ARPU implies that India Inc. is tapping a large market at the bottom of the pyramid by reducing tariffs; thereby, enhancing affordability. • Data Source TRAI 2008 Report5.8 Number of mobile subscriber will propel the total subscriberbase to 500 million by 2010 The telecom subscriber base has witnessed an explosive growth; the additions in the current year registered a growth of approximately 47 percent over the previous year. The subscriber base registered a CAGR of 40.4 percent 23Amity International Business School
  24. 24. for 2002–03 to 2007–08. The state-owned BSNL was the second largest service provider after Bharti Airtel (23 percent) in the Indian wireless telecom market with a market share of approximately 19 percent for the year ending March 2008.5.9 Various other services emerged by leveraging the telecomservices industry:Public Mobile Radio Trunked ServicesPMRTS have not grown to their expected potential inIndia. The high licence fee leaves a very thin margin forservices providers; thereby, inhibiting its growth. About31,000 subscribers are currently availing this service inIndia from 12 different operators.Radio PagingIn 1995, radio paging services emerged as apromising segment in India. However, this segmentcould not compete with cellular services in generaland SMS technology in particular, and is currentlyshrinking. At present, only four radio pagingservice providers are present in the Indian market.GMPCS: Global Mobile Personal Communication by SatelliteGMPCS services were launched in India in 1999. Theseservices allow a subscriber to communicate from any pointon earth through a handheld terminal. Moreover, thetelephone number remains unchanged, irrespective of thesubscriber’s location. 24Amity International Business School
  25. 25. Very Small Aperture Terminals (VSAT)The market for VSAT services increased by 5.73 percentduring the quarter ending in December 2006, and thesegment had a total subscriber base of 55,070. HCLComnet is the largest of the eight players functioning inthe market.5.10 Broadband services to drive Internet penetration in IndiaThe emergence of private players and newtechnologies have provided a strong impetus to thegrowth of Internet and broadband services. Thequality and penetration of these services haveundergone changes, with significant improvementin the telecom infrastructure. The Internetsubscriber base registered a CAGR of 60 percentfor the period 1997–98 to 2007–08. • BSNL and MTNL caters to more than two- thirds of Internet subscribers in India. • The total no. of Broadband Subscribers of these 13 Service Providers have increased from 3.1 million to 3.82 million by adding 0.72 million (23.35%) subscribers in the quarter ending March, 2008. • Private players are catching up fast due to increased penetration of Internet and broadband services in India. • The telecom market will experience high penetration of Internet services with the support from government policies and introduction of novel technologies in India.5.11 India: An Ideal Destination for Investments in TelecomSector • World’s largest democracy • Independent judiciary • Skilled and competitive labour force 25Amity International Business School
  26. 26. • Fifth largest telecom network in the world; second largest among the emerging economies after China • On an average, about 6–7 million new users added per month, making India the world’s fastest growing wireless services market • Liberal Foreign Investment Regime–FDI limit increased from 49 percent to 74 percent; the rural telecom equipment market is also open to large investments • Among the countries offering the highest rates of return on investment • The large untapped potential in India’s rural markets–1.9 percent teledensity in rural markets as compared to the national level of 18 percent • Expected to become the second largest telecom market by 2010 • The government promoting telecom manufacturing by providing tax sops and establishing telecom specific Special Economic Zones • Fully repatriable dividend income and capital invested in telecom equipment manufacturing5.12 Increasing mobile subscriber numbers and low level ofteledensity offers large opportunities to Indian companies The telecom subscriber base has witnessed an explosive growth; the additions in year 200-08 registered a growth of approximately 52 percent over the previous year. The subscriber base witnessed a CAGR of 42 percent during 2002–03 to 2007–08. The impressive growth in the subscriber base has resulted in a significant increase in teledensity. In 2007–08, India has a teledensity of 26.22 percent, as compared to year 2006-07 figure of 18.23 percent, signifying a growth of percent.Even though the Indian telecom industry hasexceeded a subscriber base of 200 million,its teledensity is only 18 percent. Thus, theIndian market provides telecom serviceproviders with a large untapped potentialdue to the country’s increasing populationand its low teledensity. The government hasplans to raise teledensity to 40–45 percentby 2010; thereby, offering greater growthopportunities for service providers. 26Amity International Business School
  27. 27. 5.13 Regulatory Framework provides level playing field for alloperatorsThe Department of telecommunications (Government of India) is the main governing bodyfor the industry. Telephone Regulatory Authority of India (TRAI) assists the Government ofIndia (GoI) to take timely decisions and introduce new technologies in the country.5.14 FDI and other M&A activities increasing in numberMajor trends in the telecom sector is increasing M&A activity, de-regulation of telecompolicies and growing interest of international investors.FDI in Telecom SectorThe Indian telecom industry has a 74 percent FDI 700 680limit in the telecom services segment. The GoI 521 FDI (USD million) 500has permitted 100 percent FDI in manufacturingof telecom equipment in India. The Indian 300telecom industry has always attracted foreign 116 129 100investors. In fact, the cumulative FDI inflow, 2003–04 2004–05 2005–06 2006–07during the August 1991 to March 2007 period, in thetelecommunication sector amounted to USD 3,892 million. It is the third largest sector toattract FDI in India in the post-liberalisation era.FDI calculation takes into account radio paging, cellular mobile and basic telephone servicesin the telecommunication sector.Past Deals in Telecom Sector Vodafone purchased stake in Hutch from Hong Kongs Hutchison Telecom International for USD 11.08 billion. 27Amity International Business School
  28. 28. Reliance Communications Limited has sold a five percent equity share capital of its subsidiary Reliance Telecom Infrastructure Limited to international investors across the US, Europe and Asia. The deal was worth USD 337.5 million. Telekom Malaysia acquired a 49 percent stake in Spice Communications for USD 179 million. Maxis Communications acquired a 74 percent stake in Aircel for USD 1.08 billion. Ericsson to design, plan, deploy and manage Bharti Airtel network and facilitate their expansion in the rural areas, under a USD 2 billion contract. 5.15 Major Players in different segments of Indian telecom industry Basic Services Internet Services OperatorsBSNL BSNLMTNL MTNLReliance Reliance TTSLTTSL Airtel GSM Services CDMA Services Operators Airtel RelianceVodafoneIdea TTSLReliance BSNLBSNL 28 Amity International Business School
  29. 29. 5.16 Market SWOT Analysis Strengths Weaknesses• Huge wireless subscriber potential • Lowest call tariffs in the world• Fastest growing mobile market in the world • Market strongly regulated by Government• Consumers are ready to pay for cutting edge body – Governing both ISP and Telecom services sectors• Government proposes to hike FDI limit in • Too many authorities ruling the sector Telecom to 74% • Huge potential for low end and cheap• Unified license regime handsets • Wide scale Consumer churn in Telecom and ISP • Wide spread VAS deployment is restricted due to language and literacy problems • Primarily a voice based market Opportunities Threats• To offer value added services on GSM, CDMA • Low cost service providers – no and IP possibility of breaking even in short• Language independent services term• Mobile Marketing concepts • Weak IPR protection• Content influenced by local culture and Global • Software and digital content Piracy success stories • Political instability• M-Commerce • Regulatory interference• Unified messaging platforms• Foreign investment in form of equity or technology 5.17 India presents a host of opportunities for telecom companies: 29 Amity International Business School
  30. 30. Infrastructure sharing offers the following advantages: Improved service quality Increased affordability for customers Faster roll out of services in rural and remote areas Significant reduction in initial set up costs Increased environmental aesthetics Lower operating costs for service providersVirtual Private Network is a private data network that provides connectivity within closeduser groups via public telecommunication infrastructure. Competition is likely to heat up inthe VPN segment as DoT has relaxed the norms for private players.Managed services is another segment that is attracting telecom companies. On account of therapidly growing subscriber base, service providers find it difficult to manage theirinfrastructure and network management operations. In such cases, they completely orpartially outsource their infrastructure or network management operations.Enterprise Telecom Services includes key services, such as voice over Internet protocol(VoIP), dedicated telecom communication systems, IT infrastructure enabled unifiedcommunication services, etc. Telecom service providers are increasingly targeting enterprisesby providing dedicated services and is expected to witness major developments in nearfuture.3G Services The Indian government had auctioned the spectrum for 3G services by invitingbids from domestic as well as foreign players, and creating a competitive environment thatoffers better services to consumers in January 2008. Therefore, the 3G spectrum is among themajor investment opportunities and growth drivers of the telecom industry. The immense potential for 3G is reflected by the 30–40 percent annual growth in Value-Added Services. Cell phone manufacturers are striving to develop USD 100 priced 3G handsets for the Indian market. India expects to replicate its 2G growth in 3G services. MTNL has soft launched its 3G service and calls it MTNL 3G Jadoo.WiMAX has been one of the most significant developments in wireless communication inthe recent past. Since this mode of communication provides network access in inaccessiblelocations at a speed of more than 4 Mbps, it is expected to be a major factor in drivingtelecom services in India, especially wireless services. Thus, it will lead to the increased use 30Amity International Business School
  31. 31. of telecom services, Internet, value-added services and enterprise services. WiMAX isexpected to accelerate economic growth and assist in providing better education, healthcareand entertainment services. It is estimated that India will have 13 million WiMAX subscribers by 2012. Aircel is the pioneer in WiMAX technology in India. The state-owned player, BSNL, aims to connect 74,000 villages through WiMAX. Bharti, Reliance and VSNL have acquired licenses in the 3.3GHz range to utilise the opportunities offered by this domain.Value Added Services(VAS)The VAS industry was worth USD 632 million in 2007–08.The industry is estimated to grow by 60 percent in 2008–09and become an USD 1,011 million opportunity.The VAS industry is currently focussing on theentertainment sector, such as the Indian film industry andcricket; however, there is scope for growth in other avenuesas utility-based services, such as location information andmobile transactions.Rural TelephonyAs the government targets to increase rural teledensity fromthe current 2 percent to 25 percent by 2012, rural telephonywill require major investments. This segment will boost thedemand for telecom services, equipment, Internet servicesand other value-added services; thereby, offering greatmarket opportunities for telecom players. 31Amity International Business School
  32. 32. 6. COMPANY PROFILE 32Amity International Business School
  33. 33. 6.0 COMPANY PROFILE6.1 Reliance GroupReliance – Anil Dhirubhai Ambani Group, an offshoot of the Reliance Group founded byShri Dhirubhai H Ambani (1932-2002), ranks among India’s top three private sector businesshouses in terms of net worth. The group has business interests that range fromtelecommunications (Reliance Communications Limited) to financial services (RelianceCapital Ltd) and the generation and distribution of power (Reliance Infrastructure Limited).Reliance – ADA Group’s flagship company, Reliance Communications, is Indias largestprivate sector information and communications company, with over 100 million subscribers.It has established a pan-India, high-capacity, integrated (wireless and wireline), convergent(voice, data and video) digital network, to offer services spanning the entire infocomm valuechain.Other major group companies — Reliance Capital and Reliance Infrastructure — are widelyacknowledged as the market leaders in their respective areas of operation.6.2 Our Founder: About Sh. Dhirubhai Ambani Few men in history have made as dramatic a contribution to their country’s economic fortunes as did the founder of Reliance, Sh. Dhirubhai H Ambani. Fewer still have left behind a legacy that is more enduring and timeless. As with all great pioneers, there is more than one unique way of describing the true genius of Dhirubhai: the corporate visionary, the unmatched strategist, the proud patriot, the leader of men, thearchitect of India’s capital markets, the champion of shareholder interest.But the role Dhirubhai cherished most was perhaps that of India’s greatest wealth creator. Inone lifetime, he built, starting from the proverbial scratch, India’s largest private sectorenterprise.When Dhirubhai embarked on his first business venture, he had a seed capital of barely US$300 (around Rs 14,000). Over the next three and a half decades, he converted this fledglingenterprise into a Rs 60,000 crore colossus—an achievement which earned Reliance a place onthe global Fortune 500 list, the first ever Indian private company to do so.Dhirubhai is widely regarded as the father of India’s capital markets. In 1977, when RelianceTextile Industries Limited first went public, the Indian stock market was a place patronisedby a small club of elite investors which dabbled in a handful of stocks. 33Amity International Business School
  34. 34. Undaunted, Dhirubhai managed to convince a large number of first-time retail investors toparticipate in the unfolding Reliance story and put their hard-earned money in the RelianceTextile IPO, promising them, in exchange for their trust, substantial return on theirinvestments. It was to be the start of one of great stories of mutual respect and reciprocal gainin the Indian markets.Under Dhirubhai’s extraordinary vision and leadership, Reliance scripted one of the greatestgrowth stories in corporate history anywhere in the world, and went on to become India’slargest private sector enterprise.Through out this amazing journey, Dhirubhai always kept the interests of the ordinaryshareholder uppermost in mind, in the process making millionaires out of many of the initialinvestors in the Reliance stock, and creating one of the world’s largest shareholder families.6.3 A dream come true The late Dhirubhai Ambani dreamt of a digital India — an India where the common man would have access to affordable means of information and communication. Dhirubhai, who single-handedly built India’s largest private sector company virtually from scratch, had stated as early as 1999: “Make the tools of information and communication available to people at an affordable cost. They will overcome the handicaps of illiteracy and lack of mobility.” It was with this belief in mind that RelianceCommunications (formerly Reliance Infocomm) started laying 60,000 route kilometres of apan-India fibre optic backbone. This backbone was commissioned on 28 December 2002, theauspicious occasion of Dhirubhai’s 70th birthday, though sadly after his unexpected demiseon 6 July 2002.Reliance Communications has a reliable, high-capacity, integrated (both wireless andwireline) and convergent (voice, data and video) digital network. It is capable of delivering arange of services spanning the entire infocomm (information and communication) valuechain, including infrastructure and services — for enterprises as well as individuals,applications, and consulting.Today, Reliance Communications is revolutionising the way India communicates andnetworks, truly bringing about a new way of life. 6.4 Think big. Think different. Think ahead. Dhirubhai preached — and personally practised — one mantra throughout his life: Dream with conviction. He built the Reliance empire from scratch and, in a short span of 25 years, it catapulted to become one of the top Fortune 500 corporations of the world — an achievement unparalleled 34Amity International Business School
  35. 35. in history.He was deeply rooted in traditional Indian values, and at the same time, Dhirubhai possesseda very modern outlook - truly that of a 21st century person. His corporate philosophy wasshort, simple and incredibly effective: “Think big. Think different. Think fast. Think ahead.Aim for the best.” This was clearly reflected in his passion for mega-sized projects, as well ashis fascination for cutting-edge technology and desire to always achieve the highest possibleproductivity. At Reliance, Dhirubhai was a pillar of inspiration for one and all. By practicingwhat he preached, he inspired and encouraged everyone to surpass the best in the world.Dhirubhai fully realised that true empowerment of the people is possible only througheducation. Being an effective communicator, he continued to inspire, guide, educate andmotivate everyone through his communications. He was a firm believer in the power ofinformation and communication, and how it can be utilised and turned to the advantage ofone and all, by making time and distance irrelevant.He would always say that if a telephone call could be made cheaper than a postcard, it wouldtransform every home, empower every Indian, remove every obstacle to opportunity andgrowth, and tear apart every barrier that divides Indian society. He was convinced thatinfocom could energise enterprises, drive governance, and render learning an interestingexperience, apart from making life exciting.Keeping his conviction as our credo, Reliance Communications is committed to transformDhirubhai’s dream into a reality.6.5 Vision“We will leverage our strengths to execute complex global-scale projects to facilitate leading-edge information and communication services affordable to all individual consumers andbusinesses in India.We will offer unparalleled value to create customer delight and enhance businessproductivity.We will also generate value for our capabilities beyond Indian borders and enable millions ofIndias knowledge workers to deliver their services globally.”6.6 Chairman’s ProfileAnil D. Ambani Regarded as one of the foremost corporate leaders of contemporary India, Shri Anil D Ambani, 50, is the chairman of all listed companies of the Reliance ADA Group, namely, Reliance Communications, Reliance Capital, Reliance Energy and Reliance Natural Resources limited. 35Amity International Business School
  36. 36. He is also Chairman of the Board of Governors of Dhirubhai Ambani Institute of Informationand Communication Technology, Gandhi Nagar, Gujarat.Till recently, he also held the post of Vice Chairman and Managing Director of RelianceIndustries Limited (RIL), India’s largest private sector enterprise.Anil D Ambani joined Reliance in 1983 as Co-Chief Executive Officer, and has beencentrally involved in every aspect of the companys management.He is credited with having pioneered a number of path-breaking financial innovations in theIndian capital markets. He spearheaded the country’s first forays into the overseas capitalmarkets with international public offerings of global depositary receipts, convertibles andbonds. Starting in 1991, he directed Reliance Industries in its efforts to raise over US$ 2billion. He also steered the 100-year Yankee bond issue for the company in January 1997.He is a member of: Wharton Board of Overseers, The Wharton School, USA Central Advisory Committee, Central Electricity Regulatory Commission Board of Governors, Indian Institute of Management, Ahmedabad Board of Governors Indian Institute of Technology, KanpurIn June 2004, he was elected for a six-year term as an independent member of the RajyaSabha, Upper House of India’s Parliament a position he chose to resign voluntarily on March25, 2006.Awards and Achievements: Conferred the ‘CEO of the Year 2004’ in the Platts Global Energy Awards Rated as one of ‘India’s Most Admired CEOs’ for the sixth consecutive year in the Business Barons – TNS Mode opinion poll, 2004 Conferred ‘The Entrepreneur of the Decade Award’ by the Bombay Management Association, October 2002 Awarded the First Wharton Indian Alumni Award by the Wharton India Economic Forum (WIEF) in recognition of his contribution to the establishment of Reliance as a global leader in many of its business areas, December 2001 Selected by Asiaweek magazine for its list of ‘Leaders of the Millennium in Business and Finance’ and was introduced as the only ‘new hero’ in Business and Finance from India, June 1999. 36Amity International Business School
  37. 37. 6.7 Board of Directors Shri Anil D. Ambani - Chairman Promoter, non-executive and non-independent Director Prof. J Ramachandran Independent Director Shri S.P. Talwar Independent Director Shri Deepak Shourie Independent Director Shri A.K.Purwar Independent Director6.8 Why RComNetwork infrastructure • PAN India convergence ready broadband network • Largest scalable and restorable global NGN footprint • Largest MPLS enabled CORE data network • Integrated BSS-OSS to support complex suite of services • Largest MEN network - with services certified by MEF forum • Only provider of end-to-end connectivity on fiber • Largest data centre service provider in India - 48% of total market share • Only data centre to have all the three ISO 9001:2005, ISO 20000-1, and ISO 27001 certification • Ability to offer end to end solutions in voice and data services to enterprise customers, helping them to outsource all their telecom services and infrastructure needs. Customer experience and account management • Customer experience management - Is covered under 3 extensively organised programmes: Program Management (for Customer Life Cycle Management), Tech Check (for complete health check of customers network) and CNMS ( a tool which gives Network view tool for SLA based customers). • Tech Check - Periodic sharing of customer specific/ circuit specific service uptimes, number of faults, action plan for repeat faults, advise on improving customer’s network infrastructure. 37Amity International Business School
  38. 38. • Managed Solutions - To enable you to focus on your core area, the service covers Monitoring & Alarm Management, Service Management, Fault Management, Configuration Management, Change Management, Performance Management and Network Engineering Service (Network Planning & Design, Network Optimisation, Network Migration Service & Network Implementation & Integration Service).Innovative solutions • Reliance has been always on the forefront of cutting edge technology and has been a pioneer in bringing products and services to its customers. Some of the unique firsts that came from us to India:- • Speed Select – First time in India, an Internet consumer can select his bandwidth while surfing. • OneOffice Duo - India’s first fixed mobile convergence solution, offering a nationwide VPN across Reliance Landline, Fixed Wireless and Reliance Mobile services. • Tech Check – Another first from Reliance, part of Reliance’s three pronged Customer Experience Management. It is done to check the complete health of the customer‘s network. • Aggregated Internet – Optimal utilisation of bandwidth across multiple locations in a city is done by aggregating the bandwidth at one central location. • Remote wireless based access to corporate VPN - Using a 3G1XCDMA wireless data solution, remote site users can access a secure VPN access without any exposure to Internet • Smart PRI – Introduced for the first time in India by Reliance, to provide better visibility and control to customer. It not only provides extension wise bill for each DID number but also eliminates the need for additional investment in PBX billing software and PC. • Another first in India, use of Ethernet-based circuits eliminating the need for routersSystem and process efficient • Automated processes throughout the lifecycle of product. • The systems and processes ensure uniform service experience across the country. • Centralized NOC that monitors the services round the clock, ensuring proactive actions in the area of change management, performance management, fault notifications and resolutions and SLA monitoring. 38 Amity International Business School
  39. 39. 6.9 Company RoadmapFull range of managed service offeringsBusinesses are becoming increasingly competitive and demands complete focus. RelianceManaged Services portfolio enables the organisations to get optimal performance from theresources, yet focusing on their core activities. Reliance Communications has a wideportfolio of managed services like Managed WAN service, managed firewall, ManagedSecurity, managed voice. It is the endeavors of RCOM to extend this all the products andservices across voice, video, data and collaborative services to achieve managedcommunications for customer.Convergence solutions for the need of tomorrow Today, Enterprises are using multiple disjointed tools for business, these include email, deskphones, email, mobile phones etc.. . With the advent of IP communications and its increasingadoption, it is possible to have a common synergized platform for delivery of all theseservices. This will not only result in simplified operations and service from service providerside, but will lead to next generation of Enterprise tools, enhancing the productivity multipletimes.Launching of new data center to other major citiesReliance data centres are specialized IT infrastructure facilities that house mission-criticalapplications and business data of enterprises which need extraordinary security, availability,reliability, scalability and manageability. Currently we are operating with four world classLevel-3+ data centres at Mumbai and Bangalore, aggregating to over 200,000 sq. ft. offacility space. More facilities are being built in other prominent cities namely Delhi, Chennai,Hyderabad and Kolkatta, that would result in aggregate facility space of over 500,000 sq. ft.6.10 Milestones2009 • RCOM launches pan India roll out of GSM • Reliance Mobile and Microsoft to launch fourth edition of National Digital Elocution Contest(NDEC) in India • RCOM ties up with Swanbaytech , UK to bring ad-funded videos on Reliance Mobile Phones • Reliance Mobile launches GSM service in Delhi • RCOM announces a record of five million news subscribers in January 2009 • ICRA assigns LAAA rating to RCOM’s NCD Program and enhanced Bank Lines; existing rating reaffirmed. • RCOM ties up with FLYTXT, implements new mobile marketing platform 39Amity International Business School
  40. 40. • Reliance Communications launches Netconnect Broadband Plus- India’s fastest wireless internet service • Reliance Communications announces adding a record of 3.3 million wireless customers in February 2009 • Reliance Communications clocks 11.3 million subscribers in January- March 2009 • Reliance Mobile to go LIVE with all ICC World Cup T 20 matches on R World VAS Deck • RCOM shareholders approve scheme of arrangement of demerge of fiber optic division • Reliance BIG TV expands channel bouquet with ten new channels • Reliance BIG TV can get live in-stadia experience on interactive cricket • RCOM Infrastructure & KRIBHCO forge rural marketing joint venture • Reliance Mobile offers BlackBerry service for Rs. 299 per month • Reliance Mobile in alliance with Aaj Tak to offer video news alerts. • Alcatel Lucent, Reliance Communications Managed Network Services Joint Venture completes One year • Reliance BIG TV launches iStock India’s first portfolio tracking service on a DTH platform • Etisalat DB Telecom & Reliance Communications Announce A Long-Term Strategic Telecom Infrastructure Sharing Agreement • Reliance Mobile in pact with US-based Gameloft for Paris Hilton’s exclusive game • Good Response to Five PG Certificate Programs Offered By Reliance World & XLRI Jamshedpur • Reliance Communications Signs Strategic Tie-up With Kodiak Networks For Nationwide Roll-out Of Mobile Conferencing Service • Reliance Mobile introduces Antakshari service on GSM & CDMA networks • Reliance Mobile plans unique contest based on ICC Champions Trophy • RCOM targets rural customers with new services & sachet pricing for mobile Internet access • Department of Telecommunications allots 8055 series to Reliance Communications for Maharashtra & Goa • Reliance Mobile launches BIGMaps on GSM Network • Reliance Mobile introduces job-search service for blue-collar employment seekers • Reliance Communications redefines Telecom Industry benchmarks • Reliance Webstore signs strategic distribution agreement with Coolpad Communications • Reliance Mobile offers personalized Call Manager service on GSM network • Reliance Communications expands its ‘Simply Reliance’ Initiative 40Amity International Business School
  41. 41. 2008 • Reliance Communications receives start-up GSM Spectrum. • Yahoo partners with Reliance Communications to provide Yahoo One Search for its CDMA and GSM customers. • RCOMs Q 3 net profit increases by 48.5% and revenues up by 29.8 %. Remains the most profitable telecom company in India. • Reliance Communications offers Lifetime Validity at Rs 199. RCOM’s subsidiary Infratel files Draft Red Herring Prospectus with SEBI. • Reliance Mobile strengthens its religious content portfolio on mobile by tie-up with Sadhana TV. • RCOM in partnership with CanvasM, launches Mulitplayer Mobile Games. • HDFC Bank ties up with RCOM, turns every Reliance Mobile into a credit card. • Reliance Communications consolidates Global Telecom Business under ‘Business Globalcom’. Reliance Communications forays into International Mobile Market with GSM licence in Uganda. • Reliance Communications drops prices of Internet data cards. • Reliance Communications announces ESOPs for over 20,000 employees. • Reliance Communications and HTC forge strategic alliance. • Corporation Bank launches banking services on Reliance Mobile World. • Reliance Communications forays into IT space, launches Reliance Technology Services Company. • RCOM launches educational portal on Reliance Mobile phones. • Reliance Globalcom unit Reliance Infocom BV, Netherlands acquires Global WiMAX Operator eWave World. • Reliance Communications announces unlimited free STD calls. • Reliance Globalcom launches Passport Global SIM. RCOMs net profit up by 70.8% to Rs 5,401 crore. • Reliance Communications’ net profit up by 70.8% to Rs 5,401 crore (US$ 1,350 million), revenues higher by 31.8% to Rs.19, 068 crore (US$ 4,765 million) and EBIDTA increases by 43.3% to Rs.8, 199 crore (US$ 2049 million). • Reliance Communications and Alcatel form joint venture to offer Managed Network Services to telcos across the globe. • Reliance Globalcom acquires UK based VANCO Group Limited. • Reliance Globalcom, Stealth Communications forge strategic alliance to extend VOIP Network across 50 countries. • CA exam results on Reliance Mobile. • Reliance Communications Mobile subscriber base crosses 50 Million. • CA professional exam results on Reliance Mobile. • Reliance Communications (RCOM) announces its financial results for the first quarter ended June 30, 2008. Net profit up by 23.9% to Rs. 1,512 crore (US$ 352 million). • Reliance Communications Launches BIG TV DTH Service. • Reliance Mobile World Brings ‘Janmaashtami’ Celebrations. • Reliance Mobile Launches Prepaid Blackberry Services in India. RCOM & BBC News Enter A Strategic Agreement For Mobile Content • Reliance Mobile Brings ‘Navratri’ & ‘Durga Pooja’ Celebrations 41Amity International Business School
  42. 42. • RCOM’s Festival Bonanza For Desktop & Laptop Computer Users • Reliance Mobile Offers A Lifetime of Attractive Call Rates • Reliance Mobile –ICC ODI Women’s Rankings Launched In Mumbai • BIG TV Gains 500,000 Subscribers Within Two Months Of Launch To Emerge As The Fastest Growing DTH Players In India • RCOM Joins Hands With Intel, Acer, Asus, HCL And Lenovo To Offer Free Laptop With Reliance Netconnect-Internet Data Cards. • RCOM-HTC Corporation Launch HTC Touch Diamond CDMA In India • RELIANCE MOBILE WORLD Launches ‘JEEVANSATHI on MOBILE’SERVICE • RCOM launches ‘Quick Search’ service on Reliance Mobile World. • Reliance BIG TV DTH Service clocks one million subscribers in 85 days. • RCOM Ties Up with ZMQ to develop mobile games based on UN’s themes. • Reliance Mobile launches Text News Service in Nine Regional Languages. • RCOM launches GSM service across India2007 • Reliance Communications adds a record 1.4 million subscribers in December ’06. • Reliance Communication launches unique "Simply 2030" plan on Reliance Hello. • Reliance Communications promotes Roger Waters music concert. • RCOM shareholders approve tower business demerger with a 99.99% overwhelming majority. • Overwhelming response to Reliance World’s national digital elocution competition. • Reliance joins Lenovo and Intel for ‘Internet on the Move’. • Reliance Communications’ market capitalisation tops Rs 1 lakh crore ( 1 trillion rupees or 24.39 billion US dollars) on Bombay Stock Exchange. • Reliance Communications offers best value on roaming. • Search jobs & classified ads from Reliance Mobile World - Reliance Communications ties up with • Reliance Communications ushers in ‘Virtual Global Conference Network’. • DHIRUBHAI AMBANI – THE MAN I KNEW By KOKILABEN Book on Founder Chairman launched. • Reliance Communications launches ‘Roam Jamaica’ on Reliance Mobile. • Reliance Mobile launches Suno Zee’. • Demerger of Passive Infrastructure division Reliance Communications & Reliance Telecom approved by the Bombay High Court. • Reliance World offers programme to help students ’Crack Admissions in Colleges Abroad’. • Govt’s Rural Telephone Scheme (RDEL)through Reliance Communications successfully closes by March 31,2007. • Booking train ticket from Reliance Mobile Phones becomes more easy now… with ITZ Cash Cards. • Reliance Communications unleashes the power of mobile advertising. • Reliance Communications acquires 1.2 million subscribers in March 2007. • Sunny days and nights for Reliance Mobile subscribers as Reliance Communications ties up with SUN TV to offer video streaming of all SUN 42Amity International Business School
  43. 43. TV programs online 24x7. • Reliance World launches summer e-camp for school kids. • RCOM first listed Indian telecom company to reward shareholders. • A Classic Bonanza – Reliance Communications unveils handsets @ Rs 777. • RCOM bags West Bengal e-governance project. • Reliance sets a new record, one million classic handsets sold in just one • Reliance Communications slashes rate to US and Canada. Its now just Rs 1.99 per minute. • Reliance Communications launches Classic Colour Bonanza - Colour handsets @ Rs 1234. • RCOM kick starts worlds fastest and largest rural infrastructure rollout on World Telecom Day. • Reliance Communications Launches Lifetime Validity Recharge @ Just Rs.499. • RCOM slashes roaming rates by as much as 70 percent. • Reliance Communications launches unlimited calling. • RCOM hosts seminar on ‘Emerging Trends in Mobile Applications Development’. • Reliance Communications adds 1.4 million new mobile subscribers in May2007. • Reliance Classic Makes Music - FM Radio Phones Launched at just Rs.1888. • Reliance World, BIMTECH & Philadelphia University unveil executive program in retail management (EPRM). • Reliance Communications ties up with Cisco to launch Business Internet Services for SMEs in Pune. • Bengali movie ‘Anuranan’ on Reliance Mobile World. • RCOM and QUALCOMM Collaborate on CDMA2000 Expansion. • Reliance Communications awards Alcatel-Lucent a Next-Gen network expansion contract. • Reliance Communications awards Huawei all IP Next-Gen network expansion contract. • RCOM announces sale of equity stake in its Tower Company-Reliance Telecom Infrastructure Limited. • RCOMs AGM on Reliance Mobile World. • Reliance Communications launches Passport Calling Solutions. • RCOM join hands with for air and hotel bookings. • RCOM offers Live Mandi Prices on Reliance Mobile World. • Reliance Communications , the official global partner for the first edition of ICC Twenty 20 World Cup Championship 2007 in South Africa unveils the coveted Trophy in Mumbai and announces Dhoni - Dhanadan Pack. • Reliance Communications launches money transfer on Reliance Mobile phones. • RCOM launches BlackBerry 8830 World Edition Smartphone. Bloomberg Professional now on Reliance Mobile. • Reliance Communications ties up with to offer local search on Reliance Mobile World. • Strategic partnership with Vanco. • Reliance Communications announces Classic Celebrations- Classic Handset sales top 10 million- Colour Handset @ Rs.999. • Reliance Communications to launch nationwide GSM Services under existing Unified Access Service Licences. • Reliance Communications brings Durgotsav Live videocast on mobile. • Reliance Communications Launches Diwali Dhamaka. 43Amity International Business School
  44. 44. • RCOM launches Rural Mobile Application Contest. • Fair & Lovely Scholarship on Reliance Mobile World is winner at the MMA awards, USA. • FLAG and GlassHouse ink landmark partnership. • Reliance Communications adjudged World’s Top CDMA Operator at the Global CDMA Industry Achievements Awards Fete. • Reliance Communications completes Yipes’ acquisition. • RCOM announces special offers for Christmas and New Year.2006 • Reliance Infocomm launches "One Nation, One Tariff" to enable Reliance IndiaMobile prepaid users to call anywhere in India at Re one per minute. • Reliance Demerger adds record Rs.55, 000 Crore to shareholder wealth. • TIMES NOW launched on Reliance Mobile Phones, making it the world’s first TV channel to be launched on a mobile phone. • Reliance Communications Ventures Ltd. (RCVL), Indias leading integrated telecommunications company, a member of the Reliance - Anil Dhirubhai Ambani group, lists on the Bombay Stock Exchange and National Stock Exchange. • Reliance Infocomm introduces R World in Hindi to become the worlds first operator to offer mobile data services in more than one language on the same handset. This will make it possible for millions of Indians to access the popular R World with hundreds of every-day-use applications in the national language. • Reliance-Anil Dhirubhai Ambani Group signs up Indian crickets whiz kid and heartthrob of millions Mahendra Singh Dhoni as the brand ambassador for Reliance Communications Ventures Ltd. • Reliance Infocomm becomes India’s first telecom operator to launch seamless inter- standard international roaming service - 1World.1Number, with single number on international CDMA and GSM networks. • Reliance Communications launches India’s first Talking Message Service (TMS) enabling its mobile users to send voice messages to not only other mobiles but also fixed wireless phones (FWP) and landlines. • Reliance Communications ties up with Disney to offer on Reliance Mobile World Indias first 3D animation on mobile. • Reliance Communications launches Hello Capital Plan to enable its subscribers in 19 state capitals to call each other at the local call rate of 40 paise per minute. • Reliance Communications slashes ILD rates by up to 66%. • T-Com signs contract with FLAG Telecom for Europe-US bandwidth. • Union Communications & IT Minister Thiru Dayanidhi Maran inaugurates Reliance Communications’ FALCON Cable System. • Reliance Communications launches Free Group Term Life Cover for its CDMA subscribers. • Reliance Communications’ FLAG Telecom announces FLAG Next Gen to cover 60 countries. 44Amity International Business School
  45. 45. 2005 • Reliance introduces first e-recharge facility in CDMA in India. • Reliance IndiaMobile announces mega rural plan to cover 4 lakh villages and 65 crore Indians by December 2005. • Anil Ambani appointed Chairman of Reliance Infocomm. • Air Deccan and Reliance WebWorld join hands to offer air ticket booking facility at Reliance WebWorld . • XLRIs Post-Graduate Certificate programme in Logistics Supply Chain Management (PGCLSCM) launched on Reliance WebWorlds virtual classroom platform. first of its kind e-learning programme in India. • Reliance Infocomm rolls out international roaming facility across several countries to become the first Indian CDMA operator to offer its customers such a service. • Reliance Infocomm tied-up with the Bombay Stock Exchange to make available live stock quotes on its mobile phones. • Reliance Communications, UK launched Reliance IndiaCall service in England and Wales enabling callers to make high-quality calls to India from any landline or mobile phone at economical rates. • Apollo Hospital and Reliance Infocomm join hands to provide top class healthcare service to millions of Indians in over a hundred Indian cities. • Reliance WebWorld wins Frost & Sullivan Market Leadership Award for Video Conferencing services. • Reliance Infocomm hosts the 4th global CDMA Operators Summit. • Reliance Infocomm joins hands with Indian Airlines to offer Indias first mobile booking of domestic airline ticket. • Reliance Infocomm introduces MOREbile, redefines customer rewarding with 33 % more talk time on prepaid recharges of Rs 315 denomination and above and much more. • Reliance Infocomm and China Telecom sign agreement for telecom services to provide direct telecommunication service, including a global hubbing service, to subscribers in the two countries.2004 • International wholesale telecommunications service provider, FLAG Telecom amalgamates with Reliance Gateway, a wholly owned subsidiary of Reliance Infocomm • Launches RIM Prepaid with attractive offer - For Rs 3500 get a Motorola C131 mobile phone and Rs 3240 worth of re- charge vouchers instantly and stay connected for 1 year. • Reliance subsidiary Flag Telecom announces FALCON Project - a major new Middle East Loop Terabits Submarine Cable System with links to Egypt and Hong Kong via India. • Reliance Infocomm launches multi-player gaming on RIM handsets - a first in India. • Reliance IndiaMobile introduces International Roaming facility to 172 countries, 300 networks. 45Amity International Business School
  46. 46. • Reliance Infocomm introduces first ever auction facility on Mobile phones through R World. • Reliance Infocomm receives the Most Promising Service Provider of the Year 2003 (Asia Pacific) award at the Asia Pacific Technology Awards instituted by Frost & Sullivan. • Reliance Infocomm introduces World Card - a Prepaid International calling card for affordable and convenient ISD calls from India. • Announces Indias First MPLS Global VPN Solution in partnership with MCI. • Launches the first regional customer contact centre in Chennai. • Mukesh D. Ambani, Chairman, Reliance Infocomm, receives Voice & Data ‘Telecom Man of the Year’ award. • Introduces railway ticket booking from R World data applications suite of Reliance IndiaMobile. • Mukesh Ambani voted the world’s most influential telecom person by UK-based publication Total Telecom. • Reliance Infocomm bags the CDMA Development Groups 3G CDMA Industry Achievement Award for International Leadership.2003 • Introduces Dhirubhai Ambani pioneer offer for Reliance IndiaMobile service. • Launches Reliance WebWorld in top 16 cities. • Launches International Long Distance Services. • Commissions all backbone rings. • Introduces colour handsets. • Launches Reliance IndiaMobile Service commercially in top 92 cities with one million customers. • Launches Indias first wireless Point of Sale (POS). • Introduces "Monsoon Hungama" Offer: Instant multimedia mobile phone and connection for just Rs 501. • Sets world record - acquires one million customers in 10 days. • Launches R Connect Internet connection cable. • Introduces Reliance IndiaPhone Fixed Wireless Phone and Terminal. • "Navratri" a data service in R-World posts a world record of 10 million downloads on the first day of the launch. • R World clocks a phenomenal 1 billion hits in 1 month. • Launches integrated broadband centre at Reliance WebWorld, Bangalore. • Deploys pilot of Home Netway in Mumbai. • Reliance becomes Indias largest mobile service provider within 7 months of commercial launch. • Customer base touches 5 million. • Migrates to Unified License Regime. • Launches national roaming. • Launches international SMS to 159 countries. • Adds 4500th Contact Centre Executive. 46Amity International Business School
  47. 47. Contact Centre becomes the largest such facility deployed by any single Indian Service Provider2002 • First Base Transceiver Station (BTS) made ‘Ready for Electronics’. • Obtains international long distance licence from Govt. of India. • Commissions 1st Optic Fibre backbone ring. • Establishes 1st Point of Interconnect (POI) in New Delhi. • Honble Prime Minister of India, Atal Behari Vajpayee e-inaugurates Reliance Infocomm Honble Union Minister for Parliamentary Affairs, Information Technology and Communications, Pramod Mahajan, inaugurates NNOC.2001 • First Media Convergence Node made ‘Ready for Electronics’ at Jaipur.2000 • Optic fibre laying process commences in Gujarat, Andhra Pradesh & Maharashtra.1999 • The Dream: "Make a phone call cheaper than a postcard and you will usher in a revolutionary transformation in the lives of millions of Indians" - Dhirubhai Ambani • The Reality: Reliance Infocomm begins project planning. 47Amity International Business School
  48. 48. 6.11 Voice Solutions 1. Office Centrex Hassle-free, flexible telephone exchange Your office can now get the digital PBX functionality without having to invest in and maintain any equipment. Introducing the Reliance SmartOffice - a Business-class Centrex - which offers carrier grade reliability and scalability coupled with the benefits of outsourcing. Features Call Management - You can keep an ongoing call on hold or transfer it as you wish. For better call management you can also forward your incoming calls to any Reliance number or to the Voice Mail Service:• Call Forward on Busy• Call Forward on No reply• Forward all incoming calls Voice Mail – Voice mailbox for every user - with an option to personalize the welcome greeting. And you can access your voice mail even when you are not in the office. Absentee Subscriber Service - If you are out of office, this facility will play a pre recorded message to indicate that you are not present on your desk - & give the reason for the absence as chosen by you. 10-party conference - Conferencing is not limited to 3 or 5 parties anymore. Up to 10- party conferencing is possible with the Reliance SmartOffice. Manager-Secretary Working - Allows a secretary to screen the calls for managers before transferring. Call Pick up groups - With this feature, a ringing phone on any desk can be picked up from any other extension in the same department just by dialling a simple code. PC based Attendant Console - You can also opt for a PC based Attendant console to receive the calls coming on your Board number. All this comes with the Superior Reliance Phone experience NextGen Caller ID - The Reliance FLP displays the name of waiting caller (for calls coming from outside the SmartOffice group) during an ongoing conversation. If the name of the caller is not stored in the phonebook, then it displays the callers number. 48 Amity International Business School
  49. 49. SpeakerPhone – Lets you talk and work during a phone call. Also two or more people cantalk simultaneously.Mobile Phone Features - Phone Book, Call History, Dial back from Caller ID, MissedCalls, etc are easy to use phone features now available on a landline.Delayed Hotline - Automatically connects to a number of your choice within 7 secondsafter the handset is picked up or when the speaker is put "ON".Quick Dialling - Enjoy the convenience of calling up to 10 frequently called numbers bypressing two keys on your Reliance Phone.Line Locking - Secure your phone from unauthorised usage.2. E1-DIDA direct line for every userThe Reliance E1 DID service gives you 30 digital channels over a 4-wire system. Eachchannel can be configured as incoming, outgoing or two-way, allowing highly effectivemanagement of voice traffic.BENEFITSDirect Line for every userEach extension on your EPABX is assigned a unique telephone number by virtue of theDirect Inward Dialling (DID) feature. This means every employee gets a direct line on whichhe/she can be contacted from anywhere, without having to go through any operator.Digital qualityYou can enjoy the benefits of digital voice quality, thats clear and distortion-free. Moreover,a digital service means that your line is tamper proof and hence unauthorised people cannottap it.Saving on recurring costsYou get a direct line for every employee, without paying regular rentals for every line. Sincecallers can now reach the employees directly on their extensions, lesser number of operatorsare required. 49Amity International Business School
  50. 50. Lesser wires, higher uptimeHassles associated with managing a complicated jungle of wires (as in analogue trunking) area thing of the past. Now with E1 DID solution, you get only four wires for every 30 channels.So, the wiring at your EPABX becomes simple, clean and easy to manage, leading to higheruptime as outages reduce significantly.Direct Line Number Display (DLND)Today when you call from your EPABX, the CLI that goes out is your board number, thusmaking it difficult for the called party to identify you. E1 DID service comes pre-enabledwith DNLD feature so that your direct phone number is displayed to the caller.Enhanced service AvailabilityPerformance and availability is no longer a cause for concern. Reliance Communications hasinvested in the state of the art fibre optic network with ring architecture right up to thebuilding, to provide automatic recovery of traffic, in case of failures.No congestion or busy signalsNo congestion or busy signals for your callers. E1 DID ensures that a call will be connectedthrough the first available free channel from a group of channels. You also get the reports ofthe voice traffic helping you to plan for resources early.3. OneOffice Duo 50Amity International Business School
  51. 51. Features and BenefitsConverged Voice Solution: Reliance OneOffice Duo offers a nationwideVPN across Reliance Landline, Fixed wireless and Reliance Mobileservices. Benefits include:OneOffice Experience - Users across the country experience as if they work atOne Office, as in case of a IP communications solutionOne Bill - A single bill for the OneOffice Duo VPN helps in reducing overhead costsassociated with multiple bill payments and provides visibility of spend on total inter-officecalls. Enterprises can avail bulk spend benefits and preferential rates for both Short DigitDialing (SDD) & Long Digit Dialing (LDD) callsOne Number - Same short digit number with a different prefix works across landline andMobile. Moreover, this short digit number can remain unchanged even if the RelianceLandline or Mobile number changes ensuring SDD number portabilityFree of CapexSave on large capex required for networking voice across offices.Eliminate separate investment in PBX/IP communication solution for setting up voice VPN.Administration ConvenienceAn online self- service portal allows enterprise administrators to manage the OneOffice DuoVPN for addition, deletion or modification of VPN member service profiles. Offers unifiedand integrated administration as against the distributed administration today, thus reducingthe overhead cost and bringing in standardization. 51Amity International Business School
  52. 52. 4. Audio ConferencingEnterprise are going global. A given task needs skill sets that are not available at one placeand in one company. Travel is expensive, time consuming and tiring. Collaboration acrosstime zones has become a necessity.No matter what type of meeting an enterprise needs to hold,Reliances Audio ConferencingService offers you a plethora of features supported by expert service from our conferencemanagers.From having to access an instant anytime conference to working with ourknowledgeable staff who help you conduct a global investor relations call, you can count onour feature rich audio conferencing solutions.Own a Virtual Audio BridgeEvery functional owner in an enterprise can own a virtual conference bridge. The owner getsa permanent Conference Code and Dial In Number which gives him the convenience ofconducting a conference for project updates, partner meetings and other such applicationsanytime, anywhere without any prior reservation. Some other capabilities of this serviceinclude:Separate access codes for chairperson & participant - Ensures exclusive rightsto the chairperson to control the conference using commands like conference lock, lecturemode among others. This feature also helps maintain safety & security of conferences andallows the chairperson to change passwords as well.Conference Lock – To prevent the admission of new or unknown participants; achairperson can lock the conference.Lecture Mode – Giving training or addressing all participants is very easy now! With asimple command the chairperson can mute all participants & get into a lecture mode..No conference without chairperson – The conference will start only when thechairperson joins alternatively you can opt for the ‘quick start’ feature which enables you tostart the conference with out the chairperson.Private Roll Call – Allows checking attendance of participants in a conferenceOther Features –Conference RecordChair HangMute – Group/ParticipantPrivate Participant Count 52Amity International Business School