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    Internal resources audit of Airtel found strong human resources with a young average age of 26 and good training programs. Financially, Airtel has over $1 billion in profits, $8 billion in fixed assets, pays 20% dividends, and has received international investments. Physically, Airtel has over 110 million customers, licenses in India and Sri Lanka, and a strong distribution network. Intangually, Airtel has strategic partnerships with Google and goodwill. Using Porter's value chain analysis, Airtel's core competencies are its wide network coverage through owned infrastructure, innovative mobile services, and unique marketing strategies. Its corporate governance aims to serve customers and maximize long-term share

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    Internal resources audit of Airtel found strong human resources with a young average age of 26 and good training programs. Financially, Airtel has over $1 billion in profits, $8 billion in fixed assets, pays 20% dividends, and has received international investments. Physically, Airtel has over 110 million customers, licenses in India and Sri Lanka, and a strong distribution network. Intangually, Airtel has strategic partnerships with Google and goodwill. Using Porter's value chain analysis, Airtel's core competencies are its wide network coverage through owned infrastructure, innovative mobile services, and unique marketing strategies. Its corporate governance aims to serve customers and maximize long-term share

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    Internal resources audit of Airtel found strong human resources with a young average age of 26 and good training programs. Financially, Airtel has over $1 billion in profits, $8 billion in fixed assets, pays 20% dividends, and has received international investments. Physically, Airtel has over 110 million customers, licenses in India and Sri Lanka, and a strong distribution network. Intangually, Airtel has strategic partnerships with Google and goodwill. Using Porter's value chain analysis, Airtel's core competencies are its wide network coverage through owned infrastructure, innovative mobile services, and unique marketing strategies. Its corporate governance aims to serve customers and maximize long-term share

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    83 views13 pages

    Sfi

    Uploaded by

    Kanchan Vardhani
    Internal resources audit of Airtel found strong human resources with a young average age of 26 and good training programs. Financially, Airtel has over $1 billion in profits, $8 billion in fixed assets, pays 20% dividends, and has received international investments. Physically, Airtel has over 110 million customers, licenses in India and Sri Lanka, and a strong distribution network. Intangually, Airtel has strategic partnerships with Google and goodwill. Using Porter's value chain analysis, Airtel's core competencies are its wide network coverage through owned infrastructure, innovative mobile services, and unique marketing strategies. Its corporate governance aims to serve customers and maximize long-term share

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    of 13

    Internal Analysis of Airtel

    Resource Audit: unique Resources Core Competencies: Porters Value Chain Frame Work

    AIRTEL Resource audit (unique resources) Internal Analysis


    Human resources
    well defined rewards and recognition system Young team - Average age is 26years Employees decide their training needs. A state-of-the-art learning centre and training practices adopted from British Telecom PACE (Progressive Assessment of Culture and Environment) feedback taken from employees used for companys strategy

    Financial
    Profit crosses US$1 bn Fixed asset (09) $ 7,986,254,556 Dividend offered for 2008-09 is 20% of the face value of each share Received US$1.275 bn investment from international investors in Bharti Infratel. Ability to raise funds

    Physical
    Over 110 million customers Received license to provide 2G ad 3G in Sri Lanka First Telecom operator in India to offer MS Windows Mobile 5.0 Strong Distribution channel.

    Intangible
    Strategic partnership with Google. Goodwill & Reputation Facility based Operator license in Singapore.

    Value Chain Analysis Conclusions & Recommendations


    wide network coverage as they own their network infrastructure Inbound Logistics Operations Aero mobile, MATE, GPS tracking device for B2B M-commerce

    Output

    Android platform based HTC mobile unique marketing strategy, low STD rates Trend setters

    Marketing & Planning Value Chain Outcome - 37% PM

    Bill payments and Indian rail tickets using m commerce

    Post Sale

    Outsourcing Sources
    LOW

    Porters Generic Matrix


    Narrow market Scope

    Broad market Scope

    Uniqueness Competency

    Low Cost Competency

    1.Vodafone adopt differential strategy.2. Airtel adopt cost leadership.

    Porters Generic Strategy (Cont.)

    BROAD MARKET
    L O W Own Tower Infrastructure Operator in 23 circles in india Huge Distribution Network High Customer Base Huge Economy of scale

    NARROW MARKET
    Low cost Mobiles on Postpaid & prepaid Lowest fare International Calling cards

    C O S T
    U N I Q U E N E S S

    First in class Value added services, Mobile web- internet on mobile, Hello Tunes, MATE - mobile application tool for enterprise.

    Aero mobile- the In-flight connectivity iphone and Blackberry Phones.

    Definition of Corporate Governance


    The governance frame work describes whom the organization is there to serve and how the purposes and priorities of the organization should be decided.

    Corporate Governance of Airtel


    Bharti Airtel firmly believes in principles of Corporate Governance Committed to conduct its business in manner, which will ensure sustainable, customer efficient and long term growth. Long term growth thereby maximizing value for its shareholders,customers,employess and society at large. Companys policies are in line with Corporate Governance guidelines prescribed under listing Agreements' with stock Exchange . The company ensure that various disclosure requirements are compiled to letter and spirit for effective corporate governance

    Cont:
    Airtel got 1 level rating by CRISILfor Govarnance and Value Creation(GVC) Following things should kept in accordance with the effective planning1.Human Resource Development 2.Memorandum of Association 3.Article of Association. 4.Audit Committee. 5.Remuneration Committee. 6.Board of Directors 7.Investor Grievance Committee 8.Corporate Social Responsibility

    Note: Functional retorting to chairman and MD and also reports to Chairman, Audit committee for Governance

    Corporate Governance
    Citizens never support a weak company and birds do not build nests on a tree that does not bear fruits -Chanakya

    Arthshastra

    Corporate Responsibility at Bharti Airtel


    To be responsive to the needs of our customers To trust and respect our employees To continuously improve our services innovatively and expeditiously To be transparent and sensitive in our dealings with all stakeholders

    Responsibility towards employees


    Employees is one of the most important drivers of growth and success for any organization is its people. At Bharti Airtel, his Mantra for employee delight focuses on 5 Ps People, Pride, Passion, Processes and Performance

    Social responsibility
    Bharti Airtel has a nation-wide presence that has grown at an exponential rate in the recent years. Bharti Airtels response to Tsunami Disaster. Bharti Airtel during Mumbai Floods. Bharti Airtels response to Kashmir earthquake. Other initiatives.

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