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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
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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
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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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ORGANISATIONAL STUDY
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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ORGANISATIONAL STUDY
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.
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BASIC ORGANISATIONAL
LEVELS AND GRADES
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ORGANISATIONAL STUDY
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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
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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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ORGANISATIONAL STUDY
FINANCE
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FINANCE
CREDITREVENUE &ASSURANCE
ACCOUNTS LEGAL
PAYABLESANDRECEIVABLES
AUDIT
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HR AND TQM
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HR &TQM
MANPOWER PLANNING &BUDGETING
ICL & ICSL
HR OPERATIONS
ADMINISTRATIONMANAGEMENTDEVELOPMENT
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NETWORK
OPERATIONS &MANTENANCE SWITCH PLANNING PROJECTS
ORGANISATIONAL STUDY
NETWORKS
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SDQ
POSTPAID
PREPAID
CONTACTCENTRE
SERVICECENTRE
SERVICEEXCELLENCE
ORGANISATIONAL STUDY
SDQ
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COMMERCIAL
CAPEXOPEX
ORGANISATIONAL STUDY
COMMERCIAL
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ORGANISATIONAL STUDY
MARKETING
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MARKETING
PRODUCT
PREPAID,POSTPAID,
PCO
MARCOMM
BRAND &EVENTS
VAS ROAMING
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ORGANISATIONAL STUDY
SALES
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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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ORGANISATIONAL STUDY
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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ORGANISATIONAL STUDY
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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ORGANISATIONAL STUDY
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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