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ORGANISATIONAL STUDY

A REPORT

ON

ORGANISATIONAL STUDY AND EFFECTIVENESS OF

INDUCTION PROGRAMME

FOR

IDEA CELLULAR LIMITED

Submitted to theMahatma Gandhi University

in partial fulfilment of theMaster of Business Administration

Under the Guidance of

Mrs. Susan Abraham

BYReshmi.SFM-351Batch-6

SCMS SCHOOL OF TECHNOLOGY AND MANAGEMENTALUVA,COCHIN,KERALA

IDEA CELLULAR LIMITED - 1 -

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SCMS School of Technology and Management,

Aluva, Cochin, Kerala 683106

CERTIFICATE

This is to certify that the project entitled Organisational Study has been

successfully carried out by Miss Reshmi.S. in partial fulfilment of her Master

of Business Administration during the academic years 2008-2010.

Date: 15-10-2009 Dr. Radha Thevanoor

(Director)

ACKNOWLEDGEMENT


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I extend my sincere thanks to Dr Radha Thevanoor , Director of SSTM,School of Communication and Management Studies , for providing all the

formal facilities to carry out this project.

I also wish to thank Mrs . Susan Abraham ( Internal guide ), for her guidance

and support.

I would like to take this opportunity to express my whole hearted gratitude to

Mr Shashidharan Nair,company HR Manager my organization guide Mr.

Naveen S. Pillai, Manager of HR & TQM for their valuable guidance and

support.

I also express my indebtedness to all the officials !dea Cellular Ltd. for their

help and support.


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DECLARATION

I, the undersigned, hereby declare that this project report entitled

Organisational Study has been written and submitted under the guidance of

Mrs Susan Abraham and is my original work. The empirical findings in the

report are based on information collected by me and not copied from elsewhere.

I understand that detection of any such copying is liable to be punished in

any way the School deems fit.

Date: 15-10-2010 Reshmi .S


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TABLE OF CONTENTS

No: Particulars PageNumber

1. ACKNOWLEDGEMENT3

2. DECLARATION4

3. INTRODUCTION AND THEORETICAL 7 - 25BACKGROUND

4. COMPANY PROFILE26 - 37

5. ORGANIZATIONAL STRUCTURE 38 - 63

6. RESEARCH METHODOLOGY 64 - 68

7. ANALYSIS AND INTERPRETATION 69 - 83

8. CONCLUSIONS AND SUGGESTIONS 84 - 89

9. BIBLIOGRAPHY 90

10. APPENDICES 91 - 93


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CHAPTER ONE:INTRODUCTION AND THEORETICAL BACKGROUND


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With the advent of private telecommunication companies in India, the telecommunication

industry witnessed introduction of mobile telephones into the Indian market and it became

popular amongst the Indian masses in no time. Private Players are dominating the mobile

segment with 78% market share. With technological advancements, Private Players have

brought in WLL, CDMA, and GSM mobile telephony in Indian telecom sector. They are

now in the process of launching 3G technology in India.

Bharti Airtel, Reliance Infocomm, Tata Teleservices, Hutchison Essar, etc, are the

leading Private Players in Indian mobile telephony. They are capturing more and more

customers with their special discount schemes and lower tariffs. They are also offering

many value added services in special rental schemes . One such private player in the

mobile industry is Idea Cellular Limited

The project is an attempt to conduct an analysis on the organisational structure of Idea

Cellular Limited. The organisational study mainly deals with a detailed analysis of the

organisational study considering a detailed analysis of the various functional departments

of the company. The various functional departments of the company are:

1) Marketing

2) Network services

3) Information technology

4) Finance

5) Commercial

6) HR and TQ

New employees face considerable challenges when joining an organisation. They must

learn the skills and behaviours necessary to perform their job effectively while at the same

time learning the norms and expectations of the organisation and workgroup . For this thenew recruits need to socialize with the organisation. And one such tactic for socialising is


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orientation. Yet another method adopted rarely by firms are realistic job previews in order

to assist employees in making the transition to productive and accepted insiders.

Orientation programs are used to introduce new employees to their organisation ,job and

their workgroup. Such programs facilitate socialization by providing employees with

information ,skills and relationships that help them adjust their expectations, understand

group norms and learn their new jobs.

The project deals with the analysis of the induction process and its effectiveness within

the organisation.

On the whole the project deals with a detailed organisational study and an analysis on the

effectiveness of the orientation programme of the company.

INDUCTION

INTRODUCTION

Carefully selecting employees doesnt guarantee theyll perform effectively .Potential is

one thing, performance is another. Even high-potential employees cant do their jobs if

they dont know what to do or how to do it. Therefore soon after placement the next step

is to ensure that your employees do know what to do and how to do it. This is the purpose

of orienting and training employees.

INDUCTION/ORIENTATION

Orientation is the task of introducing the new employees to the organisation and its new

policies, procedures and rules. A typical formal orientation programme may last a day or

less in most organisations. During the time mostly employees are given a theoretical

background of their work environment while in other organisations it is done my attaching

seniors to the new employees , who provide guidance to these employees.

Employee orientation provides new employees with the basic background

information they need to work in the company .

PURPOSE OF ORIENTATION

Employee orientation provides new employees with basic background information they

need to work in your company ,such a s information about company rules.


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At a minimum ,orientation should

accomplish 4 things:

The employee should feel welcome and at ease

He/she should understand the organisation in the broad sense(its past, present,culture and vision of the future).As well as key facts such as policies and

procedures;

The employee should be clear about what is expected in terms of work and

behaviour

The person should have begun the process of becoming socialized into the firms

ways of acting and doing things

However such programmes are moving away from mere discussions of rules ,to

explaining the companys mission and the employees role in accomplishing it. The

assumption is that this will foster self-directed behaviour that is more consistent with the

companys needs.

Never underestimate orientations importance. Without basic information on things like

rules and policies ,new employees may make time-consuming or even dangerous errors.

Furthermore orientation is not just about rules .

It is also about making the new person feel welcome and at home and part of the

team.

ORIENTATION PROCESS

Orientation programmes range from 10 minute discussion to week long programmes (at

firms like Toyota).The human resource specialist (or in smaller firms the office

managers)usually performs the first part of orientation, by explaining the basic matters

like working hours, benefits and vacations. That person then introduces the

new employee to his or her new supervisor. The supervisor continues the orientation by

explaining the organisation of the department, and by introducing the person to his or her

new colleagues, familiarizing the new employee with the workplace, and helping to

reduce first-day jitters.

The orientation typically includes information on employee benefits, personal policies, the

daily routine, company organisation and operations and safety measures and regulations,

as well as a facilities tour. At minimum, new employees should receive print or internet-

based employee handbooks covering matters like these.


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More employers use technology to provide orientation. Some firms provide incoming

managers with preloaded personal digital assistants. These contain information the new

managers need to better adjust to their new jobs, such as key contact information, main

tasks to undertake, and even digital images of employees the new need to know.

Other employers put all or some of their orientation media on the Web. At the university

of Cincinnati for instance, new employees spend about 45 minutes online

learning about their new employers mission, organization, and procedures.

The Employee Handbook .

Note that under certain conditions, courts may find that the employee handbooks contents

represent legally binding employment commitments.

Therefore employers often include disclaimers. These make it clear that statements of

company policies, benefits and regulations do not constitute the terms and conditions of

an employee contract either expressed or implied. Also, companies generally do not insert

such statements such as no employee will be fired without just cause. Indeed ,its best to

emphasize that the employment relationship is strictly at will.

Not all new hires react to orientation in the same way

.Supervisors should therefore be vigilant ,and follow up and encourage new employees to

engage in those activities that will enable each to learn the ropes and quickly become

productive.

OBJECTIVES

Induction serves the following purposes:

a)Removes fears: A newcomer steps into an organisation as a stranger.He is new to the

people, workplace and work environment. He is not sure what he is supposed to do .

Induction helps a new employee overcome such fears and perform better on the job.It assists him n knowing more about :

The job content, policies, rules and regulations

The people with whom he is supposed to interact

The terms and conditions of employment.

b) Creates a good impression: To make the newcomer feel at home and develop a sense

of pride in the organisation .Induction helps him to :


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Adjust and adopt to new demands of the job

Get along with people

Get off to a good start

Through induction programmes a newcomer gets to know more about his job and the

work environment by posing questions and seeking clarifications on issues relating to his

job. Induction is a positive step in the sense, it leaves a good impression about the

company and the people working their in the minds of new recruits. They begin to take

pride in their work and are more committed to their jobs.

c) Acts as a valuable source of information: Induction classifies many things through

employee manuals/handbook. Informal discussions with colleagues may also clear the fog

surrounding certain issues .The basic purpose of induction is to communicate specific job

requirements to the employee, put him at ease and make him feel confident about his

abilities.

INDUCTION PROGRAMME : STEPS

The HR department may initiate the following steps while organising the induction

programme:

Welcome to the organisation

Explain about the company

Show the location or department where the new recruit will work

Give the companys manual to the new recruit

Provide details about various work groups and the extent of unionism within the

company

Give details about pay, benefits , holidays, leave etc

Emphasis the importance of attendance or punctuality

Explain about future training opportunities and career prospects

Clarify doubts ,by encouraging the employee to come out with questions.

Take the employee on a guided tour of buildings, facilities etc. Hand him over tohis supervisor.


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To trainers

To employee counsellor

4)JOB DUTIES

Job location

Job tasks

Job safety needs

Overview of jobs

Job objectives Relationship with other jobs

b) Socialisation: Socialisation is a process which a new recruit begins to understand and

accept the values, norms and beliefs held by others in the organisation. HR department

representatives help new recruits to internalise the way things are done in the

organisation. Orientation helps the new comers interact freely with the employees

working at various levels and learn behaviours that are acceptable. Through such formalinformal interaction and discussion, newcomers begin to understand how the

department/company is run, who holds power and who does not, who is politically

active within the department, how to behave in the company, what is expected of them,

etc. In short, if the new recruits wish to survive and prosper in their new work home, they

must soon come to know the ropes .Orientation programmes are effective socialisation

tools because they help the employees to learn about the job and perform things in a

desired way.

c) Follow up: Despite the best efforts of supervisors, certain dark areas may remain in

the orientation programme. New hires may not have understood certain things. The

supervisors, while covering a large ground, may have ignored certain important matters.

To overcome the resultant communication gaps, it is better to use a supervisory checklist

and find out whether all aspects have been covered or not. Follow up meetings could be

held at fixed intervals, say after three or six months on face-to-face basis. The basic

purpose of such follow up orientation is to offer guidance to employees on various general

as well as job related matters- without leaving anything to chance. To improve orientation,


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the company should make a conscious effort to obtain feedback from everyone involved

in the programme. There are several way to get this kind of feedback: through round table

discussions with new hires after their first year on the job, through in-depth interviews

with randomly selected employees and superiors and through questionnaires for mass

coverage of all recent recruits.

Responsibilities

The supervisors, as stated above, must conduct the orientation programme through the

checklist. To strength formal orientation efforts, a buddy system may be introduced. Here,

an experienced employee takes the worker round the organisation, introduces the

newcomer to the other workers and answers the newcomers questions in a friendly,

informal tone. In case the HR department and the supervisor taking charge of the

orientation efforts, should see that the newcomer is not:

Overburdened with too many forms.

Overwhelmed with too much to absorb in a short time.

Asked to do jobs that are complex and hazardous and with a high chance of

failure.

Pushed into the job with a sketchy orientation.

TIME TO PLAN THE INDUCTION PROGRAMME

The purpose of induction is to ensure the effective integration of staff into or

across the organisation for the benefit of both parties. Research has shown that

tailor-made programmes increase staff retention. Figures of one and a half timed

the annual salary have been quoted if recruits leave within the first 6 months,

and around 13% of new recruits do .So the cost of poor induction add up.

All new recruits, whether full or part time, in large or small

organisations ,need a well planned induction or orientation programme. But the

process just doesnt begin on the first day .

It begins at the recruitment stage and continues into employment. The length and

nature of the induction process depends on the complexity of the job, and the

background of the new employee. A one size fits all approach wont work, as

each employee is different.


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You may not deliver all parts of programme but you will need to ensure that

things happen .so a prepared induction check list will be useful for you and your

employee to tick off things together after the elements have been covered. The

check list could be divided into :

Pre- employment

Health and safety

Organisation

Terms and conditions

Financial

Training

Culture and valuesHow you implement the programme will depend upon you and your

organisation but it is useful to use a range of training methods to appeal to

differing learning styles. Mixing formal induction courses with one to

ones, on the- job training, and e- learning programmes will give variety.

Mentoring or buddying schemes are used in some organisations .Get

feedback from your most recent recruits to see what worked ,what didnt and

aim for improvement!Designing an appropriate and cost-

effective induction package is a complex task. They have to provide all the

information that new employees and others need, and a re able to

assimilate ,without being overwhelming or diverting them from the essential

process of integration into team.

INDUCTION PROCESS ( from day -1 )

PRE INDUCTION

Has a start date been agreed?

Letter sent confirming appointment

Starting instructions

Desk and equipment organised

Other members of team informed

ON THE DAY OF ARRIVAL-FIRST DAY


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Greet and welcome

Introduction to colleagues

Arrangement for tea/coffee/lunch

Confirm acceptance form ,bank details etc Hours of work coffee/lunch breaks

Issue staff identification card

Register on telephone directory

Apply to IT help desk for e-mail address

Tour of organisation

Feedback form

SECOND DAY

Reporting manager and the HR personnel deal are responsible

from second day

Group overview

Business overview

Company overview

Department and job overview

Basic HR policies :

Dress code, office timings, attendance policies

Code of conduct

Travel , leave medical reimbursements

Other HR policies

Presentation by functional heads

Feedback

FROM DAY 3

Meetings with relevant stake holders

Feedback analysis


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CHANGING FORMS OF INDUCTION


COMPANIES EMPHASIS ON :RECENT

ASPECTPatni Familiarisation

Build effective relationship

Clear understanding of

performance deliverables

Subex Awareness amongst employees

Basic HR policies

Performance management

Did you know

series

Cisco Induction kits:

Handbook,

Pre-read material, Profiles

Training material

Innovative

trends of

induction

IBS Employee engagement Presentations

Games

Interactive

sessions

Case studiesInfosys Empowering employees to

become a strong workforce

Structured

programmes

showcasing the

competitive

industryDirecti Buddy and mentoring system Pairing

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Companies are opting for new ways of not only attracting and retaining talent, but are also

presenting them with newer means of knowing about the company and assimilating in it.

The first impression is the ever-lasting impression, it is said. Likewise, in the professional

domain too, companies have to put in additional efforts to make the new joinees feel

special yet at home. The first in-depth point of interaction between the employer and the

employee is the induction program, which provides the employees with a taste of the

companys flavor. This has to be a carefully designed and measured program, which has

considerably changed from the days of know-the-company form of presentation slides.

Giving a human touch and weaving in other elements like team building and

communication skills is the new-day mantra, which will polish employees to assimilate

well into the company as also giving the organization an overview on the employeenature/behavior. Every individual knows about the company he is opting for, so the

induction program should go far beyond the obvious. The company should ensure that the

transition process between the earlier company and the new one is smooth and

unhindered.

PATNI

Rajesh Padmanabhan, Executive Vice President and Global Head of HR, Patni, said,

Today induction process is an assortment of knowing about the company and its intent

directly from senior management, ice-breaking sessions with other colleagues,

participating in trainings and getting warm with the respective teams. Broadly there are

three phases to Patnis induction strategyfamiliarization, building effective relationships

and clear understanding of performance deliverables. The strategy covers new recruits

who are freshers, lateral inductees as well as senior management.

MINDTECK

Shankar Velayudhan, Executive Vice President (India, Europe), Mindteck India quoted a

survey which showed that, Two-thirds (68%) of employers tailor their induction to meet

the needs of particular groups or individuals. This is most likely to happen in small and

medium-sized companies, and in the manufacturing sector. Where this happens,

employers commonly try to ensure that induction is appropriate to the role (74%) or

department (70%) in which the new recruits will be working. Many employers also try to

vary the process for more senior employees.


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SUBEX

In Subex, they have also come up with a Did you know series. These are the frequentlyasked questions that an employee has while new, and it is an auto-generated quiz which

pops up while they log in. Their code of business ethics, highlighting the salient points

has also been included in this. Every employee is given a tape-recorder which directs and

takes the new employee through the organization, and acts as a virtual guide.

The induction should include all the aspects of the

organization and present it for the awareness of the new employee. Emergency

procedures, facilities, safety issues, rights of the employee, harassment policies, equal

opportunity, grievance procedures, employee responsibilities, timings, conduct standards,

job function, dress requirements, organizational structure, how do they fit in, who is their

manager, the functions of different departments, how the employee will be managed, what

the performance management process will involve, and his/her role in that process, are the

few concern areas which would stand out in an induction program.

DIRECTI

Apart from a buddy and mentoring system, Directi has an initiative called pairing. Bhavin

Turakhia, Founder and CEO, Directi, explained Pairing is a practical form of defining

methods. This form of translating important methodologies and processes can be quite

beneficial for new individuals who join a team. This activity consists of having two

individuals work together on a single desk, side-by-side, on a single task. Without getting

into implementation details (which we can cover independently), some of the key

advantages of pairing are information exchange, knowledge percolation, risk reduction by

reduction in errors, out-of-the box thinking, etc.

CISCO


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At Cisco, the induction is co-owned by the respective business unit along with the HR

team. After the first two days of face-to-face induction, they use a variety of online tools

to enable assimilation apart from face-to-face boot camps. Web-based training, Video on

Demand, WebEx sessions, new hire websites and wikis enable faster ramp up, pointed

out Shiny Samuel, Manager, Learning and Development, Cisco India.

For outstation students, having a better know-how of the place (city) assumes as much

importance as knowing the company one is going to work for. The induction at Fractal

Analytics provides useful information for the joinees coming to the city for the first time,

in terms of lodging facilities, travelling tips across the city, emergency numbers, etc.

Apart from the induction kit, they also circulate a training manual which contains detailed

schedule; pre read material for sessions, exercises, speaker profiles, CEOs address,amongst other things. This handbook acts as a guide, a reference material to fall back on

once the job begins.

EXPERTUS

Balaji Chandrakumar, Associate Vice President, Expertus gave a list of how induction

programs should ideally be formulated:

We help people imbibe values first and clarify both in words and actions with

examples.

Working in other teams helps people appreciate every departments efforts to

achieve the organizational goals.

Documenting strengths very early, helps us identify the right kind of job profile

for the person in the future and helps us groom the individual. It also helps us to

identify work areas where his/her strengths can be leveraged to the maximum. Induction is over, only when the individual has been successful !

IBS

Employee engagement is as important in the initial stages as during on-the-job. Mathew

Joshua, General Manager, HR Strategy and Relationships, IBS Software Services, said,

Earlier, in induction, the pace was hurried and the tone mechanical. We use all the

formats of communicationspresentations, games, interactive sessions, case studies and


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hands-on training in case of technical staff. The games get a fun element into the

induction while the case studies give an insight into the success stories in the organization.

TULIP TELECOM

Sandeep Sagar, Head HR, Tulip Telecom, felt that the use of technology in induction

programs will be something exciting and challenging. On one hand, technology wont be

able to replace the human interaction whereas on the other hand, it might even aid in

creating a close well-knit information flow process.

Also, the change from product presentations to people presentations has been a great

relief. It is getting more and more relevant to connect an organizations DNA to the softer

aspects of an individual.

INFOSYS

At Infosys BPO, they believe that induction programs have journeyed beyond company

overviews and joining formalities. It is now structured as a platform to showcase the

competitive advantages and capabilities of an organization in the industry, thereby

providing a window of opportunities for growth to the entrant, empowering them to

become a part of the strong and ethical workforce.

The evolution in their own process earmarks the shift in focus from information download

to providing an experience and partnership in the orientation, stay and growth of the new

entrant.

INDUCTION TRAINING IN INDIA

APTECH

The company takes its new entrants through a structured induction training programme

.The one-day programme includes a briefing on the companys market position, the

business ,its functioning style, its organisational structure and its HR policies. The

entrants are also familiarised with what others do, before being deputed to their own

departments. A six-month behavioural training is also offered in team building, self-

development, customer sensitivity etc. Finally the recruits are put through an appraisal process to gauge fitment and progress.


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MARUTI UDYOG

The company customises its initiation programmes to suit the profile of the new recruit.

For engineers the programme is offered in 4 parts

1) familiarise with various functions and meet division heads

2) work on shop floor

3)work at various departments

4)work finally in department for about 2 months, where they will eventually work.

STANDARD CHARTERED BANK

The management trainees are picked from premium B-schools and undergo induction

training for about 6 months. During this period, the trainees spend time in the various

divisions of the bank top get a holistic view of the banks operations and get a chance to

meet each of the banks business heads. A 2 day session dedicated to team building is

also conducted thereafter. After taking charge of the job , the new recruits have to attend a

review session about the job itself.

SONY INDIA

The company does not follow any uniform policy for acclimatisation. And there is no

specific time-frame given to new comers. To fit in the company gives enough

opportunities to them to understand the process, culture and systems of the organisation-

from 6 months to one year-depending on the kind of work they do. In the case of junior

managers ,new recruits are given less time as compared to the entrants who need to

supervise ,chalk out strategies, and delegate work. People with more experience are given

more time to understand but less to perform. Overall Sony tries to bring out the best in a

person thus allowing the individuals to develop their abilities.

A TWO WAY APPROACH


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Employees no longer have to wait endlessly to hear a response from the company about

their selection; the process is not only much quicker, but also more transparent. HR

personnel should be in touch with candidates even during this phase and keep updating

them on the status quo; if not selected, furnishing them with reasons for betterment as

well. Similarly, in the interim period while the employee is waiting to get into the

company, there is constant interaction between the two parties so that there is no dead air.

So it is not only the induction programs that have changed, but also the approach towards

people as not mere employees or prospective candidates.

On the first day of joining itself, employees no longer have to run helter-skelter to get

things arranged. Business cards to official email ids to welcome kits, everything has been

prepared in advance and placed promptly at the employees desk. The traditional mode of familiarizing them with the company history, hierarchy, evolution, value system,

philosophy, goals, strategy, achievements, work culture and ethics, policies and

procedures, and also employee rights and responsibilities has changed. Instead of sitting

in a room for hours, employees are nowadays taken for a walk-through through the entire

office to get themselves familiarized with the place, the people, the functions and the

resources. All this is a part of induction; only the methodology has transformed from

theory to practicals, from one-sided flow of knowledge to a two-sided approach to sharinginformation.

PITFALLS TO AVOID

Tanveer Saulat, Country Manager, Synechron Technologies gave a headstart on what are

the areas that need to be treaded with caution during inductions:

Providing too much, too soon; the inductee must not be overwhelmed by a mass of information on the first day. Keep it simple and relevant.

Pitching presentations at an inappropriate levelthey should be suitable for

everyone in the audience and for their roles within the organization.

HR rather than local personnel providing all the informationit should be a

shared process.

Creating an induction program which generates unreasonable expectations by

overselling the job.

THE BROADER AIM


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Induction programs should provide a larger view than just basics about the company, its

functions and various departments:

The induction program should also becomes a platform to think about potential

problems and address them before they happen.

An orientation program should aim at creating a positive first impression in the

minds of the new members and get a buy into the organizations culture as these

new members are more likely to be loyal, cooperative and interested in the

organizations success.

An effective welcome and new hire integration process can help ensure a better

retention rate and thus be highly cost efficient.

An induction program should be designed based on the following guidelines:

Be open, frank and honest on your value system, vision, mission and integrity

definition.

Be clear and transparent on organizational strengths and improvement areas in

terms of culture, leadership and business portfolio.

Leverage differenceswe believe in diversity; there can be growth and a

challenge to grow.

Focus on people, rest will follow.

NON-EXISTENT OR BADLY PLANNED STAFF INDUCTION

It can:

Cause new members of staff to adopt an indifferent attitude towards the

organisation

Delay them from settling in and reaching optimum levels of performance

Reduce the chances of them staying long enough to contribute to their full

potential

Cost time and therefore money, in staff turnover as well as creating a poor public

image


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CHAPTER TWO:

INDUSTRY , COMPANY AND PRODUCT PROFILES


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ORGANISATIONAL REPORT

INDUSTRY PROFILE

The telecom industry is one of the fastest growing industries in India. It has

become the lifeline of the rapidly growing information technology industry. India has

nearly 200 million telephone lines making it the third largest network in the world after

China and USA with a growth rate of 45%, Indian telecom has the highest growth rate in

the world. The Bharath Sanchar Nigam Limited was established by Govt. of India by

spreading the operations wing of DOT.

India's telecom sector has shown massive upsurge in the recent years in all respects of

industrial growth. From the status of state monopoly with very limited growth, it has

grown in to the level of an industry. Telephone, whether fixed landline or mobile, is an

essential necessity for the people of India. This changing phase was possible with the

economic development that followed the process of structuring the economy in the

capitalistic pattern. Removal of restrictions on foreign capital investment and industrial

de-licensing resulted in fast growth of this sector. At present the country's telecom

industry has achieved a growth rate of 14 per cent. Till 2000, though cellular phone

companies were present, fixed landlines were popular in most parts of the country.


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With government of India setting up the Telecom Regulatory Authority of India, and

measures to allow new players country, the featured products in the segment came in to

prominence. Today the industry offers services such as fixed landlines, WLL, GSMmobiles, CDMA and IP services to customers. Increasing competition among players

allowed the prices drastically down by making the mobile facility accessible to the urban

middle class population, and to a great extend in the rural areas. Even for small

shopkeepers and factory workers a phone connection is not an unreachable luxury. With

the growth of telecom services, telecom equipment and accessories manufacturing has

also grown in a big way. Major players in the sector are BSNL, MTNL, Bharti

Teleservices, Hutchisson Essar, BPL, Tata, Idea, etc.

COMPANY PROFILE

IDEA Cellular is a publicly listed company, having listed on the Bombay Stock Exchange

(BSE) and the National Stock Exchange (NSE) in March 2007.

IDEA Cellular is a leading GSM mobile service operator with pan India licenses. With a

customer base of over 44 million in 17 service areas, operations are soon expected to start

in Chennai Metro; Kolkata & West Bengal, North East & Assam, and J&K

A frontrunner in introducing revolutionary tariff plans, IDEA Cellular has the distinction

of offering the most customer friendly and competitive Pre Paid offerings, for the first

time in India, in an increasingly segmented market. From basic voice & Short Message


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Service (SMS) services to high-end value added services such as Mobile TV, Games etc -

IDEA is seen as an innovative, customer focused brand.

IDEA 'Women's Card' caters to the special needs of women on the move, and 'Youth

Card' covers the emerging youth segment. IDEA 'My Gang' - the widely popular

community user group product recently bagged the prestigious 'Golden Peacock Award

2008' under the Most Innovative Product category at the "19th World Congress on Total

Quality".

A brand known for many firsts, IDEA was the first to launch GPRS and EDGE in India.

IDEA has partnered with Research in Motion (RIM) to offer Blackberry services on its

network. IDEA 'NetSetter'- Plug & Play, EDGE enabled USB Data Card offers affordable

data connectivity with faster speed and consistency

IDEA has received several national and international recognitions for its path-breaking

innovations in mobile telephony products & services. It won the GSM Association

Award for "Best Billing and Customer Care Solution" for 2 consecutive years. It was

awarded "Mobile Operator of the Year Award - India" for 2007 and 2008 at the Annual

Asian Mobile News Awards

IDEA Cellular is part of the Aditya Birla Group, India's first truly multinational

corporation. The group operates in 25 countries, and is anchored by over 1,25,000

employees belonging to 25 nationalities. The Group has been adjudged 'The Best

Employer in India and among the Top 20 in Asia' by the Hewitt-Economic Times and

Wall Street Journal Study 2007

The chronology of key events of the Company from incorporation is set out below:

History

The chronology of key events of the Company from

incorporation is set out below:

Calendar year Events 2009


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Idea launches services in Tamil Nadu

Idea expanded services into Orissa

2008

Subscriber base as on December 31, 2008: 40,016,153 Idea acquired 9 licences for Punjab, Karnataka,

Tamil Nadu & Chennai, West Bengal, Orissa,

Kolkata, Assam, North East and Jammu & Kashmir

Acquired Spice Communications with the operating circles

of Punjab and Karnataka

Launched services in Mumbai metro in the largest single

metro city launch, ever Launched services in Bihar

2007

Subscriber base as on December 31, 2007:

21,054,027

Won an award for the "CARE" service in the "Best

Billing or Customer Care Solution" at the GSM

Association Awards in Barcelona, Spain Initial Public Offering aggregating to Rs.

28,187 million and Listing of Equity Shares on

the Bombay Stock Exchange and the National Stock

Exchange

Merger of seven subsidiaries with Idea Cellular

Limited

Reached the twenty million subscriber mark

2006

Subscriber base as on December 31, 2006: 12,442,450

Became part of the Aditya Birla Group subsequent to the

TATA Group transferring its entire shareholding in the

Company to the Aditya Birla Group


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Acquired Escorts Telecommunications Limited

(subsequently renamed as Idea Telecommunications

Limited)

Restructuring of debt

Launch of the New Circles

Reached the 10 million subscriber mark

Received Letter of Intent from the DoT for a new UAS

License for the Mumbai Circle.

Received Letter of Intent from the DoT for a new UAS

License for the Bihar Circle through Aditya Birla Telecom

Limited. ABNL, the parent of Aditya Birla TelecomLimited, pursuant to a letter dated November 22, 2006,

agreed to transfer its entire shareholding in Aditya Birla

Telecom Limited to the Company for the consideration of

Rs. 100 million.

2005

Subscriber base as on December 31, 2005: 6,473,962

Reached the five million subscriber mark Turned Profit Positive

Won an Award for the "Bill Flash" service at GSM

Association Awards in Barcelona, Spain

Sponsored the International Indian Film AcademyAwards

2004

Completed debt restructuring for the then existing debt

facilities and additional funding for the Delhi Circle. Acquired Escotel Mobile Communications Limited

(subsequently renamed as Idea Mobile Communications

Limited)

Reached the four million subscriber mark

First operator in India to commercially launch

EDGE services 2005

2003 Reached the two million subscriber mark


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2002

Changed name to Idea Cellular Limited and launched "Idea"

brand name

Commenced commercial operations in Delhi Circle

Reached the one million subscriber mark

2001

Acquired RPG Cellular Limited and consequently the

license for the Madhya Pradesh (including Chattisgarh)

Circle

Changed name to Birla Tata AT&T Limited

Obtained license for providing GSM-based services in theDelhi Circle following the fourth operator GSM license

bidding process

2000

Merged with Tata Cellular Limited, thereby acquiring

original license for the Andhra Pradesh Circle

1999

Migrated to revenues share license fee regime under NewTelecommunications Policy ("NTP")

1997

Commenced operations in the Gujarat and Maharashtra

Circles

1996

Changed name to Birla AT&T Communications

Limited following joint venture between Grasim Industries and AT&T Corporation

1995

Incorporated as Birla Communications Limited

Obtained licenses for providing GSM-based services in the

Gujarat and Maharashtra Circles following the original

GSM license bidding process.

Acquired Escotel, incumbent cellular service provider inHaryana, UP(W) & Kerala and new licensee in HP


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(Nov)2002 Brand IDEA launched Delhi operations commence

2001

Acquired RPG Cellcom, service provider in Madhya

Pradesh (Feb) Awarded

2000

MoU for merger between Birla AT&T and Tata

Cellular Limited Andhra Pradesh signed (Jan)

1997

Birla AT&T commence Cellular operationsMaharashtra & Gujarat

The company is a part of the Aditya Birla Group and all our promoters are companies

belonging to the Aditya Birla Group.

BRAND INFORMATION

The brand Idea

It is almost impossible to disintegrate brand Idea from the corporate Idea. Brand values

are the company values and vise versa.

Brand Vision: It goes without saying that the brand vision of idea mirrors the companys

vision. The brand mission statement is......

To be the most customer-focused mobile service brand, continuously innovating to help

liberate our customers from the shackles of time & space.

IDEA - Brand Values

Innovate . Stimulate . Liberate ....

It is these brand values, which has made the company a formidable player in the telecom

industry. Innovations that stimulate the customer and liberate him from the shackles of

time and space are the core of the brand. This is what they strive for.


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IDEA - Brand Mission

The India footprint Idea

Anywhere connectivity - bringing India closer.

The Technology Advantage Idea

Tomorrow's technology to enrich today.

The Customer Focus Idea

Make a single interaction a lasting relationship.

The Employee Focus Idea

Nurture the roots that nurture our ideas

Brand Initiatives

The aim, through media buying and planning, is to create year round impact. With the

objective of strengthening the brand, they work with strategic communication partners on

campaigns like sponsorship of the Idea International Indian Film Academy awards and the

television programs Idea Rocks India, Idea Star Singer and Idea Andhra Idol. They

seek engagement with subscribers on a variety of levels, from major celebrity fashion

shows to small local events timed to coincide with new product offerings.

Since August 2003, they have commissioned a Brand Track Index Study to evaluate the

health of our brand. The Brand Track Index Study is a monthly study conducted by TNS,

a marketing consultant engaged to evaluate their brand using face-to-face interviews on a

random sample of mobile users a well as those intending to purchase mobiles within thenext three months. According to the study the brand is perceived as reliable/trustworthy

and one that offers cheaper and good promotional offers. They have improved the

rating in the Brand Track Index calculated by the study in the past year reflecting, they

believe, the growing strength of the brand.

The main communication medium for the Idea brand is television, where they seek

strategic Idea brand coverage in various formats. Billboards and hoardings are used as a

secondary medium, customized for specific regional preferences to communicate


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effectively at the local level. They also use other mass communication media such as the

press and radio to communicate price plans and other tactical and customer information.

All the key initiatives are subjected to a rigorous testing and launch process to ensure

accountability for all advertising spend and improve the chances of success of a new

product. This process is followed up with extensive briefing of call center agents and sales

personnel and real-time tracking of the impact of the communication and feedback from

subscriber

MISSION

WE WILL DELIGHT OUR CUSTOMERS WHILE MEETING THEIR INDIVIDUAL COMMUNICATION NEEDS ANYTIME ANYWHERE.

WE SURVIVE BECAUSE OF OUR CUSTOMERS.

VALUES

Integrity - Honesty in every action

At Aditya Birla Group, Integrity is defined as: Acting and taking decisions in a manner

that is fair, honest, following the highest standards of professionalism and also perceived

to be so. Integrity for means not only financial and intellectual integrity, but in all other

forms as are commonly understood.

Key words that connote Integrity are:

Ethical

Truthful

Principled

Transparent

Upright

Respectful

Commitment - deliver on the promise

At Aditya Birla Group Commitment is defined as: On the foundation of integrity, doing

whatever it takes to deliver value to all stakeholders. In the process, taking ownership of


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our actions and decisions, those of our team and that part of the organization that we are

responsible for

Key words that connote commitment are:

Accountability

Discipline

Responsibility

Result -orientation

Self-confidence

Reliability

Passion - energized action

At Aditya Birla Group Passion is defined as: A missionary zeal arising out of emotional

engagement with the organization that makes work joyful and inspires each one to give

his or her best. Relentless pursuit of goals and objectives with the highest level of energy

and enthusiasm, that is voluntary and spontaneous

Key words that connote passion are:

Intensity

Innovation

Transformational

Fire-in-the-belly

Inspirational

Deep sense of purpose

Seamlessness - boundaryless in letter and spirit

At Aditya Birla Group, Seamlessness is defined as:

Thinking and working together across functional silos, hierarchies, business and

geographies. Leveraging the available diversity to garner synergy benefits and promote

openness through sharing and collaborative efforts.

Key words that connote Seamlessness are:

Teamwork


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Integration

Involvement

Openness

Global

Learning from the best

Empowering

Speed - one step ahead always

At Aditya Birla Group, Speed is defined as: Responding to internal and external

customers with a sense of urgency. Continuously seeking to crash timelines and choosing

the right rhythm to optimize organization efficiencies

Key words that connote Speed are:

Response time

Agile

AcceleratedTimelines

Nimble

Prompt

Proactive

Decisive

YEARLY PLANNING MECHANISM

The business planning mechanism is initiated around January every year. The wholeexercise is a 3 month time bound and documented process with identified milestones

resulting in subscriber , revenue,opex and capex targets. A triennial Business Plan is

prepared every budgeting period. The business plan for the current financial year is

prepared on a monthly basis with micro details .The business plan for the next two

financial year is prepared on a annualised basis .There is a periodic interaction and a

feedback mechanism from all stakeholders where views and expectations are integrated

Top Down and Bottom Up (circles).


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Additionally ,a clearly defined accountability and responsibility matrix is developed and

distributed and the plans validated by benchmarking with other players in the industry .

BUSINESS REVIEW MECHANISM

Regular business reviews are ensured by the following means:

Quarterly reviews

These reviews are held by the BOD where the companys performance and plans are

discussed .

Circle Operational Review

There is an operators review meeting held at each circle every month. This meeting is

attended by all the HODS at the circle level and representatives from the corporate office.

The performance for the previous month is discussed and the points to be actioned upon

are identified.

Functional Reviews

These reviews are held with the HODS at the corporate office for each of the functions.

The periodicity of these reviews is later then finalised.

INDUSTRY FORUMS

Idea is represented on several industry forums. In india ,apart from the Cellular Operators

Association of India, they are members of the Confederation of Indian Industries

,Federation of Indian Chambers of Commerce and Industry and ASSOCHAM. In fact idea

cellular is the Co Chair of the Telecom Sub committee of the ASSOCHAM.

Internationally they are the members of the GSM association .Also idea actively

participates in relevant industry events in India and abroad.


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Chapter 3

Functional areas and organisational structure

FUNCTIONAL DEPARTMENTS

The various functional departments within the organisation are explained are as follows.

MARKETING

Marketing departments core role is to be a brand custodian so that subscribers as well as

the prospective of !dea build a relationship with the company deal with. Brand identity

created and nurtured by marketing allows them to create both the scope and the

boundaries of what stands for product range, pricing, service expectations, availability and

emotional connect that the consumer looks for .Marketing also plays a role of identifying


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emerging business opportunity in a competitive/regulatory context, as well as based on the

technology innovations taking place, and in coordinating across the functions to convert

them into a product offer in the market place. In specific terms it is Revenue

enhancement, Acquisition shares, Shared role in churn reduction & creating and

maintaining brand image such that it continues to be relevant to the target audience.

The business includes the following functions:

Roaming : This function handles the roaming business that enables

customers to make and receive voice calls, send and receive

data/messages or access other services when travelling outside the

geographical coverage area of the home network, by means of using a

visited network.

PCO/FWP : This function manages the PCO and the emerging FWP

business.

VAS : It is an integral part of every telecom operators offerings today. It

constitutes all services that fall outside the gamut of core person to

person voice services. Thus service such a SMS , ringtones, dialor tones,

wallpapers, GPRS, voice portal etc., are all categorised as VAS.

Key drivers for VAS growth have been a need to counter the

falling margins on the voice revenues, market development leading to

innovative products in music, imaging and gaming supported by

technology evolution leading to improved handset and network capabilities.

EBU : Postpaid is broadly divided into corporate and individual

customers. Corporate essentially means organisations with large

manpower base and high communication spends. This gives us the

opportunity to focus on acquiring quality customers in bulk and garner

higher revenue. Extending customised solutions ,better quality of

customer service and having dedicated Account Managers are some of

the tools used to increase penetration into the segment. The new

emerging segment is SME

(Small and medium enterprises),which holds tremendous opportunity to

increase revenue and quality subscriber due to the sheer size of the

segment. EBU in this organisation takes care of both the corporate and

the SME segment .It is responsible for creating the strategy to achieve


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the business objective and providing the necessary tools to the cirlce

teams to accomplish them.

FINANCE

The finance department is responsible primarily for the proper financial management of

the company. Financial management is a distinct area of business management and

implies,-Prudent or rational use of capital resources that is proper allocation and

utilization of funds-Careful selection of the source of capital and designing a proper

capital structure for the corporate Goal achievement that is ensuring the achievement of

the business objectives viz., wealth or profit maximization.

Essential function of a typical financial department can be categorised into two broad

functional categories .

1)Recurring finance function &performing the regular finance functions .

2)Non recurring finance functions.

Core activities of the finance department of Idea includes:

Accounts

Treasury and corporate finance materials

Credit control and revenue assurance

Secreterial and Legal

MIS and Budgeting

Investor relations

ROLE OF REVENUE ASSURANCE

RA is a function that identifies critical processes of the company & ensures proper

internal controls are in place for such processes and monitors adherence of such controls.

It is one of the many management control & assurance tools, however unlike other similar

tools like ,internal audit that is an independent review function ,revenue assurance is

structured as part of the process implementation function so as to prioritize & proactively

plug critical revenue leakages. Moreover major characteristics of telecom industry being


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very high volume transactions, such proactive control and assurance tool becomes

essential and indispensable.

SALES

1. Pre-Paid.

2. Post Paid.

3. PCO.

4. EBU

PRE-PAID:

Pre-paid means, customer pays first and uses the service. Steps involved in Pre-paid

operations:

a. Appointment of distributor :

The first step in the pre-paid operation is the appointment of distributor. In order to

appoint a distributor, the criterias that are taken into consideration are the population

of the town, retail universe , number of shops selling FMCG products , the presence of

any other operator .If these criterias are met , then the place is suited for tower roll-out

.

Based on this , there is a need to find a suitable person who has the capacity to invest

atleast Rs 5lacs or above; preferably people with FMCG background are preferred

here.But , given the practice of micro level distribution , any one with the ability and

willingness to invest the said amount is taken fort this job.

b. Appointment of DSE and route mapping :

The second step in pre-paid operation is the appointment of Distributor sales

executive who will be supplying our companys product in the retail outlets..

Route mapping is another issue which is taken up subsequently .Since a DSE is

supposed to have 60 outlets under him , its imperative that the route through which he


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will supply the products to the outlets are made clear. The sale from distributor to the

retail store is called primary sale.

C. Retail outlet acquisition :

Once the first two things are done the next step is to appoint retailers who will sell

the companys product in the market .This type of sales is called secondary sale , done

by the retailers.

D. Monitoring of stock level in the retail stores and at the distributor point :

Monitoring of stock level in these two places is of prime importance. since shortage

at any of the points can harm the market share and reputation , there is a need to

ensure that 7 days stock at the distributor point and adequate stocks at the retail points

is available .Stock means recharge coupons of all denominations , flexi-recharges etc.

E. Scheme communications, disbursal of activation claims, and visibility :

Given the dynamic and competitive nature of the market,it is their duty to inform the

retailers about the benefits that they will get once they activate one SIM connection

.For e.g.; 1 year validity SIM if sold by the distributor , the benefit enjoyed by him is

Rs 120 .So, he needs to be motivated as well as informed about the benefits schemes.

Once the retailer sells the connection, its the departments duty to see that he gets his

due share of benefits; activation claims. If these are not disbursed on time, the

company will loose retailers confidence in IDEA brand and in the future he will

prefer not to sell the products.

Visibility is another prime issue which can increase and reduce the sales. If IDEA flex

-boards, charts and banners are not available in enough quantity, people will tend to

believe that IDEA brand is not having its presence in the area, which indirectly will

bring sales down.

POST-PAID

Post-operations are done through showrooms called MY IDEA . Here in post-paid; theyhave the following types of categorization:


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a. SME : ( Small and medium enterprises) connection where connection is provided to

enterprises whose turnover is more than Rs50 lakhs annually or with an enterprise having

more than 25 employees .

Criteria for opening up a showroom :

a. Any town with a post-paid base of 750 is considered to be the best case for

opening up a showroom.

b. Key people required here, sales executives, customer care executive and out-

bound calls making executive.

c. Any person with the capacity to invest more than Rs6 lakhs is usually taken for

this purpose.

d. Office especially on the road side is preferred here with adequate parking facility

will be added advantage.

Based on the data collected from various sources, the executives make out-bound calls

and sales executives meet them as per their convenience and sell the plans .

Handling the team consisting of these executives is the prime job ,that only can help in

achieving the targets.

The target allotment usually takes into consideration the past performance of the store .If

the stores past six months performance is good, the target allotted to it would be a bit high

compared to the others with low performance.

In post-paid, every effort is done to retain the existing the customers since the number of

post-paid customers is more when compared to the pre-paid ones.

Important documents required :

1. Address proof.

2. ID proof.

3. PAN/ TIN or Services tax number.(In the case of SMEs)

4. Emlpoyee strength are the main documents required for activating a new post-paid

connection.5. Previous month bill of BSNL land phone.


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Once the documents are received at the warehouse, profiling of the customer is done

wherein the credit limit of the customer is fixed based upon the income level of the

person.

The billing date in the case of post-paid is on 1 st, 15 th, 21 st and 28 th.

PCO

The PCO vertical has the following products:

A. Idea Coin box. MRP Rs. 4000 &Rs2500

B. Idea Land Phone MRP: 1999

PCO system is similar to the pre-paid system .The working of PCO system can be

explained in the following ways.

1. Area identification :

The first step in the setting up of PCO is that of identifying a suitable area for the

purpose .Competitor presence , presence of enough retail outlets, a major chunk of people

who are non-users of mobile phones etc are the criterias that is looked in for setting up

the PCO network .

2. Distributor appointment:

Once the area is chosen , the next step in the process is that of appointing a distributor

who will supply the products , service the existing customers incase any problem happens

with the system (coin box ) , recharge the accounts of the retailers etc are the main job of

the distributor .

3. Recruitment of Sales team:

Once the distributor is in place, the next job is to recruit a team leader and sales

executives for the purpose. The target allotted to the distributor is later split among theexecutives who carry out the work as directed by the team leader to meet the set targets .


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4. Motivating the sales team :

Once the team and the distributor is in place ,they have to monitor the whole activities of

the team and provide constant support to them in the form of advice , meeting the hard to

convince customers and providing motivation to the team .

5. Monitoring the system:

To know whether the service provided by the distributor is good and is meeting the

expectations of the retailers, we need to visit the market and see how things are working

there by meeting the existing customers.

EBU (Enterprise Business Unit)

Enterprise business team caters to the requirements of the following types of corporates :

1. Companies with a turnover of Rs50 lakhs and above .

2, Companies with a turnover of more than four crore rupees.

Working of the EBU is as follows:

A. Direct Sales Team :

In EBU, the Key Accounts Manager is assisted by a group of sales executives who are

called Direct Sales Executives who could be 19 or more in number .They are allottedmonthly targets by the KAM and their activities is constantly monitored by the

manager .At times, the manager has to help them out in case the customer is hard to

convince.

B.Corporates with a turnover of more thanRs4 crore

Frequent interaction with the clients, providing them with good plans and ensuring

that the client is not taken away by the competitor are the key responsibilities .HR AND TQM


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HR function at Idea consists of functions like :Human resource operations, Management

Development ,Facilities Management, Total Quality Management,

HR outsourcing and Organisational Development.

HR OPERATIONS

Within corporate- HR operations there are three main areas:

a)Recruitment: This team looks after recruitment process, interview and selection,

manpower planning, corporate HR is responsible for recruitment of AGMs and above

across the organisation.

b)PMS & Compensation: This team is responsible for performance management ,process

guidelines and implementation, compensation ,benefits management, taxability, payroll

management, reward & recognition and HR policies and processes.

c)Employee Relations & HR Operations is primarily responsible for organisation structure

design, employee engagement initiatives ,budgets, HR MIS, job evaluations, joining

,induction and exits.

MANAGEMENT DEVELOPMENT FUNCTIONS

Their function is to identify ,conceive ,organise and execute capability building initiatives

in the organisation. Corporate MDF is responsible for all development initiatives for

Corporate Office and AGMs and above across the company. The Circle MDF managers

are responsible for developmental initiatives for Senior Managers and below in their

respective circles.

PROCESS FOR GETTING NOMINATED FOR TRAINING IS AS FOLLOWS:

Circles- upto Sr.managers

Recommendation from functional head should go to Circle MDF .

Approval from circle HR- Head and Circle Head.

Corporate-AGMs and above

Recommendation from functional head should go to Corp MDF ,

Approval from Head MDF and Chief of HR and TQM.


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The various levels and grades in Idea are:

Vice president

Asst.Vice president

General Manager

Dy .General Manager

Asst. General Manager

Senior Manager

Manager

Asst.Manager

Senior Executive

Executive

TQM

Foster a culture of continuous improvement in the organisation by quality initiatives and

education tools.

Support and streamlining business processes sop as to make them more customer centric

that will help improve productivity.

TQM AS PART OF HR FUNCTION:

TQM in addition to the above roles is also a Culture Initiative

The first phase of TQM involves extensive employee education and engagement

Most of the TQM projects and initiative are cross functional and HR helps in creating

and facilitating the teams.

COMMERCIAL

Commercial department is the face of the organisation to virtually half the outside the

world. They operate on the maxim Add value to every functions operation; this is also

the key importance of the function in the organisation. Their function revolves around :

Procurement of goods and services Contracting and contract management


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Cost Optimization

The commercial department aligns its activities to the function it services by assigning

the work to core role holders to the major areas of work.

CAPEX- It means money spent to acquire or upgrade physical assets such as building and

machinery ,it is also called capita; spending or capital expense. Capex results in a benefit

of enduring nature.

OPEX- It refers to an expense arising in the normal course of running a business, such as

an office electricity bill , etc. This is a recurring expenditure.

Commercial function is one of the Ideas key differentiators ,besides its quality of

services to customers. The function ,controls costs and keeps it below are level of most of

our competitors ; without hampering the quality of goods and services.

INFORMATION TECHNOLOGY

Idea has outsourcing IT support and services to IBM as part of the companys strategic

outsourcing initiatives. This is a 10 year contract and is based on stringent Service Level

Agreements. The commercial department provides robust & secured

Infrastructure for voice, video &messaging communication within the organisation &

within the organization & with external world and also for the other business support

And business enabling applications & systems. It deploys and efficiently operates

business- enabling IT applications in areas like: sales and distribution ,subscriber

activation, revenue assurance, collections, accounting and finance etc.

SDQ

SDQ function is the key interface between customers and rest of the organisation. Post the

sales process SDQ handles the operations from activation of the subscriber ,handling their

daily interactions ,collections, retention, loyalty activities across the product .

The main verticals under SDQ department are:


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a)POSTPAID VERTICAL : Handles activation, verification, document collection ,bill

distribution and payment collection, retention and loyalty activities for all postpaid

customers.

b)PREPAID VERTICAL : Handles document collection service provisioning, retention

and channel support activities.

c)CONTACT CENTRE VERTICAL : Handles all voice bound interactions covering all

in house and outsourced call centres.

d)SERVICE CENTRE VERTICAL : Handles the development of showroom designs,

rollout, self service at showrooms.

e)SERVICE EXCEELLENCE : It is the training vertical with regard products and

services and training on customer dealings.

NETWORK SERVI CES

Network services department is responsible for developing overall plans for design and

build out of the GSM network for all circles of Idea in consultation with circle heads,

marketing, finance to ensure that network meets the organisational requirements. This

includes identifying equipment to be procured for development of the network ,including

new technology identification, review and approval of technical specifications, vendor

identification and evaluation.

OPERATIONS AND MAINTENANCE : The function relates to the operation and

maintenance of the tower , coverage issues relating to the Tower etc.

SWITCHES : Their function is to deal with the mobile switching centre that is making

decisions with regard to towers and routing .

PLANNING : Planning relates to setting of radio frequency ,height of the tower and

decisions relating to the same and frequency planning.

PROJECTS : Projects relating to the electrical and civils & towers are dealt here with

These are the various functional departments of the organisation together with a short

summary mentioning the main functions of the organisation. The diagrammatic

representation of the various functional departments of the company are shown below

together with the various levels and grades in the organisation.


BASIC ORGANISATIONAL

LEVELS AND GRADES

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COO/VICEPRESIDENT

ASST.VICEPRESIDENT

GENERALMANAGER

Dy. GENERALMANAGER

ASST.GENRALMANAGER SENIOR

MANAGER

MANAGER

ASST.

MANAGER

SENIOR EXECUTIVE

EXECUTIVE

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DETAILED ORGANISATIONAL STRUCTURE


COO

HeadSalesDGM

HeadMarketing

DGM

HeadFinanceDGM

Head HR & TQM

DGM

Head NWS

GM

HeadSDQDGM

HeadCommercial

DGM

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ZONAL BUSINESSMANAGER

SALES SDQ NETWORKS FINANCE

PCO

POSTPAID

EBU/CORPORATESALES

PREPAID

DISTRICTTECHINCALHEAD

OPERATIONSANDMAINTENANCEENGINEERS

AREA SALESMANAGER

TERRITORYSALESMANAGER

PREPAID POSTPAID MY IDEA

DISTRIBUTORS &CHANNELSUPPORT

RETAIL

CORPORATE

SHOWROOMS

ZONAL ORGANISATIONAL STRUCTURE

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FINANCE


FINANCE

CREDITREVENUE &ASSURANCE

ACCOUNTS LEGAL

PAYABLESANDRECEIVABLES

AUDIT

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HR AND TQM


HR &TQM

MANPOWER PLANNING &BUDGETING

ICL & ICSL

HR OPERATIONS

ADMINISTRATIONMANAGEMENTDEVELOPMENT

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NETWORK

OPERATIONS &MANTENANCE SWITCH PLANNING PROJECTS


NETWORKS


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SDQ

POSTPAID

PREPAID

CONTACTCENTRE

SERVICECENTRE

SERVICEEXCELLENCE


SDQ


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COMMERCIAL

CAPEXOPEX


COMMERCIAL


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MARKETING


MARKETING

PRODUCT

PREPAID,POSTPAID,

PCO

MARCOMM

BRAND &EVENTS

VAS ROAMING

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SALES


SALES

PREPAID POSTPAID EBU PCO TRAINING

MYIDEA

CORPORA-TESALES

FIELDSALESTRAINERS

DIRECT

SALESTEAM

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DEMOGRAPHIC DETAILS

DEPARTMENT NO: OF EMPLOYEES

SALES 125 NETWORKS 150SDQ 75HR 8COMMERCIAL 6MARKETING 15

FINANCE 30


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Gross Block 8,229.61 12,791.22

Less: Accum. Depreciation 2,637.18 3,123.83

Net Block 5,592.43 9,667.39

Capital Work in Progress 506.52 941.13

Investments 13.83 569.93

Inventories 17.91 27.62

Sundry Debtors 152.48 198.59

Cash and Bank Balance 122.76 147.67

Total Current Assets 293.15 373.88

Loans and Advances 560.82 950.88

Fixed Deposits 1,696.97 349.38

Total CA, Loans & Advances 2,550.94 1,674.14

Deffered Credit 0.00 0.00

Current Liabilities 2,180.21 2,709.98

Provisions 53.84 81.82

Total CL & Provisions 2,234.05 2,791.80

Net Current Assets 316.89 -1,117.66

Miscellaneous Expenses 0.00 0.00

Total Assets 6,429.67 10,060.79

Contingent Liabilities 1,236.57 2,308.87

Book Value (Rs) 8.40 13.44

Financial results

Financial highlights of the consolidated Statement of

Operations of the Company for the year 2007-08 are as

under:

(Rs. in Million)

Particulars 2007-08 2006-07


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Income from Services 67,200 43,664

Other Income 174 209

Total Revenue 67,374 43,873

Operating Expenses 44,682 29,011

EBITDA 22,692 14,862

Depreciation and Amortisation 8,768 6,718

EBIT 13,924 8,144

Interest and Financing charges 2,776 3,051

EBT 11,148 5,092

Taxes 725 70

Net Profit after Tax 10,423 5,022Balance brought forward from

previous year

Accumulated Losses(24,502) (17,088)

acquired onamalgamation of subsidiaries&Leave provisions for earlieryears dueto revised AS-15 - (12,437)

Cumulative Losses (14,079) (24,502)


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The project was conducted to make a detailed analysis on the

organisational structure of the company considering the various

functional departments of the company and an in - depth study of

the functions of the various departments . The analysis mainly

considers an analysis of the induction programme undertaken by

the company and assessing the existing orientation programmes

conducted by the company. The research thus conducted on the

topic is descriptive since the project mainly focuses on describing

further the modes of effectiveness of the induction programme in

the organisation .

LITERATURE REVIEW

A proactive approach to orientation and training will help foster

each employee's commitment to identify their own learning needs

to enable them to quality

(Abruzzese, 1992 ).

Orientation and training will help the project avoid employee

actions that would be improper in any setting (e.g., fraud, waste,

or abuse) as well as other actions that might be inconsequential in

nonresearch settings but could have serious consequences in a

research grant. Small errors in data entry or transcription could

compromise the integrity of the research. All newly hired staff

must be educated about the importance of adhering to the rules of

research. With TQM, the staff, not just the supervisors, shareaccountability and responsibility for quality control. To maintain

quality control, the staff must be provided with the information,

skills, and resources needed to efficiently do their jobs and to

identify and resolve problems proactively. They should be taught

to double-check for accuracy on a regular basis, report their

mistakes, and collaborate to correct the mistakes. Some

individuals may react to the need for accuracy in research by becoming overly fearful of making mistakes, or worse, by

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covering up mistakes. Employees are more likely to respond

favourably to the need for research accuracy and integrity if the

employer fosters a nonthreatening, trusting work environment in

which individuals are respected and occasional mistakes are

viewed as needing correction rather than punitive action.

(Orth, Wilkinson, and

Benfari, 1990 , Rogers, 1969 ).

It is also helpful for staff members to see how their positions

contribute to the scientific aims of the grant. Although traditional

models of management may restrict knowledge of the "big picture" to key personnel, the TQM approach emphasizes the

importance of sharing project goals with the entire staff.

Therefore, all employees should be oriented to the project as a

whole. The types of additional information and levels of detail

needed by specific personnel will vary and should be tailored to

meet the needs of each employee For example, a research

assistant will need the entire grant proposal to understand the

research design, variables, data collection forms, and datasets; an

accounting technician will need the budget justification and

funding agency regulations.

( Phelps, 1990 ) ( Selby,

Donat, and Hubbard, 1992 ).

All employees require information about their specific duties andexpectations for job performance. During orientation and

throughout the life of the grant, employees should be encouraged

to identify their own learning needs to enable them to meet the

desired expectations; training and education, based on these

needs, should be made available.

(McGuire, 1991 ).

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In addition to receiving a thorough orientation to their primary

responsibilities, staff members should be crossed-trained

regarding any secondary responsibilities they may need to

assume. In TQM, cross-training is viewed as a way to offer

opportunities for employees to develop new skills that may

provide an avenue for advancement or promotion, thereby

enhancing employee satisfaction .In the day-to-day life of a

research grant, cross-training helps the project team continue to

perform required activities even when certain members are

absent, and it allows team members to "pitch in" to accomplish

needed tasks when the grant faces tight deadlines.

(Phelps, 1990 ).

SIGNIFICANCE

Merely conducting orientation programmes in organisations for

the new recruits is not an effective way to move forward with the

induction programme. Its always necessary to evaluate and assess

the induction programme once conducted through feedback

forms and considering the valuable feedbacks for the further

orientation programmes. The project thus makes an analysis of

how far the induction programme undertaken by the company has

proved to be effective through a careful study of the

questionnaires and the data collected therefrom.

SCOPE

The project covers the organisational study including the various

functional departments of the company

Idea Cellular Limited. It also considers the assessment of the

effectiveness of the induction programme of the company.

OBJECTIVES

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The main objective is to get an overview of the

organisation Idea Cellular Limited.

To study the working of the various functional

departments of the company.

To analyse the effectiveness of the orientation programme

of the company.

SOURCES OF DATA

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Documents

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