Change Management at Ptcl by rkf14055

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									 MAY - JUNE ISSUE 2007




                                 Prime Minister
                                          Launches

                                                 Pakistan
    “Nobody will
   be forced out.
No more disparity
      to be there
    between the
     packages of
        Regular &
         Contract
      employees.
  Our people are
         -
       our asset".

   - Walid       Irshaid




        06                         14                      05
              President Visits      World Telecom Day   'Silent Soldiers' of PTCL
                    Peshawar                     2007               at Waziristan
       Editorial                                                                                                                                Life of a Lineman


CONTENTS
Life of a Lineman                                03
                                                      Let me take this opportunity to thank all of you who have
                                                      appreciated our first issue of Telenews after it was re-launched
                                                      in April 2007. Though it was a humble beginning but the tremendous response it
                                                                                                                                                    Imtiaz Wali
                                                                                                                                                       doesn't leave
Why transfer the Paknet Shop?                    04   got really encouraged us.

In the Line of Duty                              05   Here is the second issue of Telenews. It carries a lot of information about the
                                                                                                                                                                     any work for tomorrow
                                                      Company affairs and about the future course this wonderful organization is
President visits Peshawar                        06   planning to take.                                                                                    PTCL lineman Imtiaz Wali has won the best-lineman award of the Peshawar Cantt.

                                                      On one hand it highlights the harbingers of change in the company, be it new                         Division for the year 2006-2007. Lineman Imtiaz Wali has been given the award on
Broadband Prospects for Pakistan                 08   business relationships or the most modern processes, and on the other hand it                        the basis of his overall performance in the categories of phone installation, fault
                                                      sheds light on the work environment of the company that hints at more
PM Launches 'Broadband Pakistan'                 09   productive management-employee relationship.                                                         control, maintenance work and other technical know how.

Discussion with Former Bosses                    10   To start with we have a Star employee of Peshawar region who is an example of
                                                      how dedicated human resource we have in PTCL. The performers at Waziristan
                                                                                                                                                           Imtiaz Wali belongs to Jamrud in Khyber Agency. After doing his matriculation he
ERP to Redefine PTCL Business                    11   still add another feather in our cap as what they have shown is sheer fearless                       joined PTCL in 1978. During his service he has completed a number of on-job
                                                      responsibility in the most risky terrain of Pakistan.
                                                                                                                                                           trainings such as LM-1, LM-2 and has also done telecommunication technician
Change in PTCL                                   12
                                                      You will find much talk about Broadband in this issue, that is in fact the biggest
                                                                                                                                                           course. On account of his expertise in the field, the PTCL management deputed
                                                      reality of our times. Prime Minister Shaukat Aziz's launch of PTCL DSL 'Broadband
Management - Union Agreement                     13
                                                      Pakistan' reflects the acknowledgment of PTCL's giant leap and Mr. Baqai's                           him as lineman in the Peshawar Cantt. Division. In this capacity Imtiaz Wali is
                                                      comprehensive article on Broadband makes it simple for everyone of us to
World Telecom Day 2007                           14   understand the new thing. Another article by Mr. Zomma Mohiuddin narrates                            supervising 1400 telephone lines in the Peshawar Cantonment area. Not only this,
                                                      Company's policy towards shifting of Broadband from Paknet to PTCL.                                  but he helps marketing section of the company to install new connections in the
   telenews team




               Editor
               Khawar Azhar                           Reports on President's hectic visit to Peshawar and World Telecom Day 2007 form                      area. This, off course, is highly sensitive, demanding and important job.
               GM (Internal Communications)           an interesting reading too. We have also brought a detailed article on Enterprise
                                                      Resource Planning (ERP), a process that will practically revitalized the official
               Editorial Board
                                                      working of PTCL.
                                                                                                                                                           Telenews had a little chat with Imtiaz Wali recently for its readers. He said he
               Ali Qadir Gilani
               EVP Corporate Communications                                                                                                                reached his office at 8:30 am daily but his departure timings were not fixed as he
               Qamar Ahmad                            You will also come across a report on a Discussion Forum with former bosses of
               GM (External Communications)           PTCL that was arranged on the initiative of the President on World Telecom Day.                      mostly carried out work till late. He
                                                                                                                                                           said “I follow very simple and
                                                                                                                                                                                                        PTCL should give
               Regional Coordinators
                                                      We have also covered Management-Union Agreement which signifies CBA's poise
               Karachi        Athar Javed Sufi
                                                      to support management's endeavors to make PTCL an efficient and profitable                           straightforward work-formula in PTCL.
                                                                                                                                                                                                        mobile phone and
               Lahore         Jawad Hasan
               Multan         Imran Gardezi           Company.
                                                                                                                                                           I religiously follow the habit of not
                                                                                                                                                                                                        motorbike facilities to
               Peshawar       Irfan Ashraf
               Quetta         Mehboob Baloch          Wish you happy reading!                                                                              leaving any work for tomorrow”. He
                                                                                                                                                                                                        its entire line staff.
               Mailing Address                                                                                                                             added “this gives me an edge over other fellow colleagues and is the reason of my
               Corporate Communications Department
               PTCL Headquarters, G-8/4, Islamabad.   Khawar Azhar                                                                                         success in the field”.
               Phone: 051-2265032, Fax: 051 2854994   Editor
                                                                                                                                                           Imtiaz Wali told that he was happy with his service in PTCL. However, he hoped that
PTCL to be Lead Sponsor                                            Interflow Communications
                                                                                                                                                           the new PTCL management would take some more steps for the welfare of staff. He
                                                                   to Handle PTCL's Corporate Brand
at ITCN Asia 2007                                                  Interflow Communications Pvt. Ltd. has been                                             said PTCL was giving its linemen enough professional trainings to meet
 PTCL is the lead sponsor of                                       appointed as PTCL's official advertising agency on
 the upcoming ITCN Asia to                                         Corporate Brand. The agreement was signed
                                                                                                                                                           requirements of the job, adding that there was still a need for more trainings in the
 be held at Expo Centre                                            between PTCL and Interflow after the approval of Interflow's                            area of Optical Fiber, Broadband, Customer Care, and other modern technologies.
 Karachi from August 9 to                                          presentation by the Board of Directors, PTCL. Interflow
 11, 2007. This one of its                                         Communications will be working with Corporate Commercial
 kind event attracts the                                           Department for the conceptualization, designing and execution of                        Imtiaz Wali, however, suggested that PTCL should give mobile phone and motorbike
 major telecom operators                                           new corporate branding of PTCL in the coming months. After the
 from all over Pakistan.                                           transfer of management of PTCL to Etisalat it had become                                facilities to its line staff. He said that this would enable them to bring more
                                                                   imperative for the company to change its positioning and brand
 PTCL was key sponsor of                                           identity in order to make a fresh entry into the market.                                efficiency into their work, concluding “fast communication is the key solution to
 ITCN Asia 2005 as well.
 Besides fabricating state of the art stall PTCL intends to                                                                                                many field problems”.
                                                                   Interflow Communications is also the exclusive advertising agency
 take the city branding for a week; before, during and             of PTCL's subsidiary Ufone. Established in 1983 Interflow has been
 after the event. PTCL also plans to create a big media            handling clients like Pepsi, Nestle', Unilevers, UBL, PTC, PTCL, Pak
 hype alongside involving print, radio, TV and outdoor.
                                                                                                                                                                                                                            Syed Irfan Ashraf
                                                                   Gulf (Centaurus), etc.
                                                                                                                                                                                                                Media Coordinator - Peshawar


                                                                                                                         MAY - JUNE 2007   02                                                                                    MAY - JUNE 2007   03
                     Transfer?
                                                                                                                                                                                                                 In the Line of Duty
            Why




Time is not just a healer. When on song,
it is vicious enough to cause mass
oblivion. Only a few years back, talk of
                                                       the Paknet Shop
                                            We in PTCL had already planned on this converged ability by bringing in a
                                            platform that would deliver Broadband and hundred channels of digital
                                            (IP)TV over the PTCL telephone lines that were going into people's
                                            homes. With this ability under its belt, the PTCL group was nevertheless
                                            faced with a strategic decision; it also had Paknet, an independent
                                            company that had been offering data and ISP services in the market for
                                            over six years with the largest network reach across the country. But that
                                                                                                                                               Salute
                                                                                                                                                We
                                                                                                                                                            Our Silent Soldiers in Waziristan
                                                                                                                                          PTCL as the leading telecom operator in Pakistan has been
                                                                                                                                          providing telecom facilities from Karachi to Khyber and
                                                                                                                                          from Northern areas to the coastal belt of Makran in
                                                                                                                                                                                                          of PTCL service in these areas from January to May 2007.

                                                                                                                                                                                                           But the “silent soldiers” of PTCL remained there on duty
every town was the ISP business and         is where it all ended, as its commercial focus (or lack of it) and                            Baluchistan.                                                    even during the showering of bullets and rockets. They tried
everyone that you knew was going to set     consequently performance, image and brand equity were all abysmal at                                                                                          their best to provide smooth service to PTCL customers in the
it up and live merrily ever after in the    best. Despite that downbeat, there was one thing going for the company;                       PTCL network is also available in far-flung mountainous         conflict zone. Hats off to the PTCL staff for their courage in
Bahamas! Eventually there were so           quick decision making due to its smaller size. During the middle of 2006, I                   areas bordering Afghanistan such as North Waziristan,           the line of duty. In some of the severely affected areas, the
many of them that the internet              accepted the challenge of running the affairs of the company for I                            South Waziristan, Kurrum Agency, Bajaur Agency and              PTCL management was left with no other option but to call
consumer thought he had died and gone       believed that real contribution came from fixing a badly broken                               Khyber Agency. People living in these remote and difficult      back its staff. This also caused revenue loss to the Company
to heaven, the bandwidth company had                                                                                                      areas are in touch with their near and dear ones not only in    along with partial destruction of valuable PTCL
                                            machine, that otherwise could become very potent. I requested the
                                                                                                                                          Pakistan but also abroad. It was all due to the                 infrastructure. Above all the PTCL customers suffered during
a ball and the ISP businesses went on the   PTCL management to give me people with proven experience and                                  commitment and devotion of PTCL staff working across
survival trip! Unfortunately amid this      integrity to head two of the historically most suspect areas in the                           the length and breadth of the country that this essential
mayhem, the only survival strategy          company i.e finance and HR and also its best technical expert for an ISP   .                  facility has been extended to these areas.
these businesses could envisage was         With our small PTCL team at the top, we began the cleaning up
'price'. Predictably, bankruptcies after    operations by reducing company's nine NOC's to two, making new market                         PTCL president during his visit to Peshawar termed the
bankruptcies became the norm. The           based inductions and increasing the broadband capacity from a mere                            PTCL staffers as silent soldiers working in conflict zones of
ones that had better financial backing                                                                                                    Waziristan and lauded their exemplary performance.
                                            1500 to 15000 ports as a start. As expected, with a depleted balance
picked their geographical markets and       sheet, this was not easy as there was virtually no financial support for the
stayed afloat. While the ISP industry                                                                                                     Waziristan is a vast hilly area between Pakistan and
                                            company to carry out the change. However with tighter controls and a
was gasping for breath, the voice                                                                                                         Afghanistan, which has been divided into two agencies.
                                            supportive Board we ploughed on.                                                              Miran Shah is the agency headquarters of North Waziristan
businesses also didn't waste any time in
                                                                                                                                          and Wana is that of South Waziristan.
jumping on the unsustainable strategy       In late 2006, only a few months down the line, a decision was made to
of trying to compete on price. With all     offer all voice, internet and data related services through PTCL, after                       In South Waziristan, PTCL operates eight exchanges Wana,
the businesses at the same rock bottom      weighing of all the strategic options available. This also meant                              Sakai, Kani Gram, Ladha, Gazeel Kot, Spin, Tani and Azam
floor price, the only option for these      transferring of Paknet customers and assets to PTCL. If on one side was                       Warsak having a total capacity of 5500 lines, out of which
businesses to survive was by                the quick decision making advantage of Paknet, that could have been                           5000 telephones are in working condition.
having a strategy based on 'unique'         used to run it only as a commercial company for the converged services
differentiation in product and its reach.   under PTCL licenses, then on the other side were the newly restructured                       On the other side 10 exchanges Boia, Datakhel, Edik , Mir
This meant that voice and Internet                                                                                                        Ali, Razmak, Sir Kot, Shawa,Tapi and Spinwarm are
                                            commercial organization in PTCL and the fact that allowing PTCL to offer
could no longer survive alone, without                                                                                                    working in North Waziristan having total installed
                                            this would only put re-engineering of the decision making process in                          capacity of 9500 lines out of which 9000 telephone are
each other. Convergence and 'one stop       PTCL on the fast track. Paknet's brand was poor at best whereas it would                      operational. Four radio Repeaters in Sherwangi,
shop' had become inevitable. If the         give the opportunity to further raise PTCL's brand image.                                     Zakasana, Utmankhel and Alexandra are Playing vital role
mobile companies and PTCL both sold                                                                                                       for uninterrupted communication.                                the whole instability, which has been a matter of concern for
the same product i.e voice, then which      So the principal decision that was taken back in 2006 is about to be                                                                                          the PTCL management.
one were you likely to choose; the one      implemented as PTCL begins to launch its Broadband services. In fact                          After 9/11 situation altogether changed on global level.
that was cheaper to run and gave you        looking at brisk speed in which things have been moving in PTCL lately                        Not only Pakistan but PTCL, being a leading telecom             As the situation improved, the PTCL staff once again resumed
mobility at the same time or the one                                                                                                      service provider, also passed through hard times in the         duties in the restive agencies. The company management
                                            and the upcoming execution of 'speed enhancing' projects such as the
that offered you voice with line rents                                                                                                    conflict zones along Pak-Afghan border. South and North         started repair work on war footing and within a short time the
                                            B&CC and ERP, this was a decision that will only further raise PTCL's                         Waziristan are the apt example in this regard where full        telecommunication system in the area was normalized once
and no mobility? And within the mobile      repute in the country.                                                                        scale war-on-terror has virtually made these areas “no go       again.
operators, which ones would you prefer                                                                                                    zones”.
if all offered relatively the same price
                                                                                                                                                                                                          This all became possible due to the daring staff of PTCL. Most
and product? Amid all this, it is no                                                          Syed Zomma Mohiuddin
                                                                                                                                          In the ongoing fight against militancy in South Waziristan,     of the staffers were not even locals as they belonged to Dera
                                                           The author is the CEO of Paknet Ltd, EVP Corporate Strategy in PTCL;
surprise that the surviving ISPs caught                                                                                                   PTCL installations like Radio Repeaters and Cable network       Ismail Khan, Tank, Bannu, Lakki Marwat etc. The entire PTCL
                                                                            the lead author of the Broadband policy of Pakistan;
the interest of the voice operators with                                                                                                  have been damaged time and again. Exchanges were                pays salute to its “silent soldiers”.
                                                                  and an alumni of Oxford University and Kings College London.
a view to offering bundled services.                                                                                                      made the target of attacks, which resulted in suspension
                                                                                                                                                                                                                                                          Arshad Aziz


                                                                                                                   MAY - JUNE 2007   04                                                                                                                     MAY - JUNE 2007   05
    Yes,            I am biased.
       Because I prefer people
                                                                President & CEO Visits Peshawar




    who                            bring results
                                   to me
                                      - Walid Irshaid

President & CEO PTCL, Walid Irshaid, paid his maiden visit
to Peshawar on 23rd May 2007 after taking charge of his
office at PTCL.

Walid Irshaid addressed the PTCL staff at Telephone
House, Peshawar. A sizable number of PTCL officials and          The PTCL president vowed to follow uniform and
staffers were present on the occasion including Executive        standardized pay scale for the PTCL employees from coming
Vice President Business Pervez Khan, General Manager             fiscal year. However, the PTCL president made it clear that
Asmatullah Khan and Chaudhry Sardar Mohammad, GM                 evaluation of staff would be made strictly on the basis of
Development, North.                                              performance. He admitted “yes I am biased because I prefer
                                                                 people who bring results to me”. He stated, “we don't need
Walid Irshaid said he was very much aware of the needs and       seniority nor do we need kith and kin of any minister and
requirements of his staff serving in the commercial hub like     secretary. We will measure people on the basis of
Peshawar or conflict zones of Waziristan and Parachinar. He      performance”.
termed all those staffers as silent soldiers who could not be
seen and heard but felt everywhere through their work.           The PTCL president, however, asked staffers to work hard on
                                                                 removing line faults. He said, “if I hear anything about faulty
He said that PTCL was passing through transformation stage       lines from media, I take it personally. We should not ignore
in which employees were the main focus of attention. Walid       faulty lines for months”. He said the Company could not
said that the management was working on VSS. However, he         grow in an environment where customers remained
made it clear that this scheme was designed purely on            unsatisfied. He said, “I am seeing a splendid future for
voluntarily basis. “Nobody will be forced out. Each              PTCL”.




individual will be given chance to      “Nobody will be forced out. Each                 The President asserted, “how
develop skills through training and    individual will be given chance to                could we win minds and hearts of
grooming”' he added.                                                                     the people when we fail to
                                       develop skills through training and               deliver”. He asked the PTCL
The PTCL president categorically                   grooming”                             officials to go out of their rooms
said that the employees should not                                                       and visit PTCL offices to check
believe on hearsay. He said, Your                                                        workflow. He added that this was
president is talking to you. You need not to go after rumors.    important in corporate culture to bring officials closer to
People have worked for years and we are not here to send         the subordinates.
them home unceremoniously. We are here to honour them
and utilize their years of experience and hard work”.            In his concluding remarks, the PTCL president Walid Irshaid
                                                                 expressed his mission statement in the words, “my real urge
Walid Irshaid resented employees categorization on regular       is to transform PTCL on the map of Pakistan as a leading
and contract basis. “There is no classification between          telecom service provider”, however, for this, he said, “I
staff”' he maintained, adding, “I promise this anomaly will      need your support”.
disappear and everybody will be judiciously compensated
in terms of salary and privileges”.
                                                                                                           Syed Irfan Ashraf
                                                                                               Media Coordinator - Peshawar


                                                                                                                  MAY - JUNE 2007   06
                                                                                                                                     As fixed broadband penetration expands and consumers           future may bring. Government as such should take certain

                    An                                                                                                               become accustomed for being able to access high speed          steps at fast pace. Time line for actions could be 12-18




  Overview
                                                                                                                                     internet quickly and conveniently whether at home or at        months, list of measures is given below:-
                                                                                                                                     the workplace, there would be growing desire for similar       i) Bring all broadband related imports to zero rate duty and
                                                                                                                                     services on the move. However, Pakistan is one of the few      sale tax (including laptops, Desktops various modem etc)
                                                                                                                                     countries where incumbents did not take any bold
                                                                                                                                     initiatives so far to be the first front line player in this
                                                                                                                                     area.                                                          ii) Get all related wireless frequencies vacated and make
                                                                                                                                                                                                    available through transparent policy for auction (3.5 and 2.5
                                                                                                                                     Today again the telecom industry in Pakistan, can be said
                                                                                                                                                                                                    to 42 Bends + Others)
                                                                                                                                     to be in highly transitional mode. A lot many initiatives,

     of Broadband Prospects for Pakistan                                                                                             for full broadband are yet to unfold, which could depend
                                                                                                                                     on the efficacy of infrastructure, development of content,
                                                                                                                                     broadband governance, involvement of multiple stake-
                                                                                                                                                                                                    iii) Bring policy frame work to compensate vacation and for
                                                                                                                                                                                                    optimal efficient swap/substitution and further release
                                                                                                                                     holders, appropriate model, role of private sector and         allocation of spectrum.
                                                                                                                                     acceptance levels of the civil society to the change
Introduction and Background                                                                                                          process.
                                                                                                                                                                                                    iv) ROW and site acquisition be made easy.

Telecommunication revolution is            wireless transport and access              fixed networks. Until wireless                 Broadband Vision 2015 and Conclusions
taking our world by surprises. While it    alternative methods.                       networks reach the capacity handling                                                                          v) Help fixed and wireless/cellular operators to acquire
                                                                                                                                     The study of service portfolios of fixed line operators in     optimal sizeable frequency slots.
took global telecom development over       Broadband internet connection has          capability of fixed line/fiber                 particular reveal that only dynamic and efficiently
100 years to reach 1,000 Million           become one of the most profound            networks, incumbent operators                  managed fixed line operators in short term may gain
customer marks for fixed line              communication developments ever            would be able to leverage the lead             entering broad-based business. Efficient fixed line            Based on timely steps vision 2015 can ensure better gender
telephony service, it took only about      and the demand for high-speed              and build services around the                  entrants with wireless portfolio of product may do better,     empowerment, connecting the youth and increased ICT
20 years to reach the first billion        internet connections is set to continue    broadband phenomenon. Late comers              sustain and improve up on their business faster in today's     opportunities across the country through a chain of well-
mobile users. The mobile growth was        and future would see a big boom.           in fixed line broadband would face             telecom scene of Pakistan. For fixed line operators,           knitted tele centre under a structure rural ICT uplift
so fast that second billion signed up in   There are about 250 million fixed          fierce challenge from wireless                 broadband will be a savior.                                    program. Vision 2015 would mean 99% telecommunication
just a matter of three years and the       broadband users today and by 2010          broadband in next few years.                                                                                  population coverage and at least 10 Million always on
third billion may take even less time.                                                                                               In terms of economic impacts of broadband, there is need
                                           credible forecast depict the number        Broadband evolution and                                                                                       broadband family units, with thrilling ICT job market and
This is the pace and tempo of growth                                                                                                 for government to acquire a more pro-active posture in its
                                           to reach to about 1.2 billion. The fixed   Challenges in Pakistan                                                                                        thriving economy.
and telecom landscape change. The                                                                                                    support to the industry, motivating partnering of vendors
                                           and mobile broadband share over this       In Pakistan real impact on broadband           with operators ensuring that the customers are better
new wave of high speed internet, the       period of time may become 50% each.        may become visible only when the               educated and network providers are helped and made
broadband penetration, is likely to
                                           Full service broadband: Convergence        government takes head start in e-              fully aware to cope with new challenges whatever the                                                   Noor-ud-Din Baqai
follow similar trends in next 10-years
                                           opens new avenues                          services and either of the two or both                                                                                                 Member Telecom, Ministry of IT&T
in the world. However, the broadband
                                           The technical ability created by           major incumbents comes out with
which will be a powerful tool for
                                           growth of cross network IP                 major initiatives by both mode of
economic growth will need much
                                           technologies, that can deliver voice,      fixed and wireless roll-out at a
support from the government as a
                                           data and multimedia content all at the     large scale. Broadband market

                                                                                                                                     PM Launches Broadband Pakistan
policy maker who has to set vision and
                                           same time, has given rise to an            development process has yet to set
resources for growth. If, we have a
                                           astounding new opportunity for             tempo. The Government needs and
look at Mobile telephony, internet and
                                           incumbent as well as new entrants for      would take major fiscal and monetary
broadband, we find that these are
                                           Full Service Broadband. Full Service       policy initiatives to support and
becoming integral part of today's life
                                           Broadband is the most exciting             contribute significantly eliminating           Prime Minister Shaukat Aziz launched PTCL's DSL 'Broadband Pakistan'
and especially a life style for the
                                           development in recent telecom              import levies and support growth               on the eve of World Telecom Day on May 17, 2007 at a high profile
young.
                                           history and the key word is                through USF process.                           ceremony. Also present at the occasion were Mr. Awais Leghari,
                                           convenience. It helps operators            Pakistan would at best be targeting            Minister for IT and Telecom; Mr. Farrukh Quyyum, Federal Secretary
Shift Towards Broadband:                   differentiate in the market and meet       some thing like 2 to 2.5 million               Ministry of Information Technology; Mr. Noor Ud Din Baqai, Member
The Next Big Thing                         challenges by offering consumers           broadband customers by 2010. An                Telecom, Ministry of Information Technology and Mr. Walid Irshaid,
The next phase in digital revolution       exciting cross platform services on one    optimistic growth forecast for
                                                                                                                                     President/CEO.
which has already started happening is     user device. This new but innovative       Pakistan for fixed and wireless
the swift shift from low-speed internet    venture for fixed operators can build      broadband has been modeled and
                                                                                                                                     PM appreciated the commercial approach of PTCL and how it was
to real high speed broadband               consumer loyalty, attract new              tabulated below for next 5-years.
                                           subscribers and create new revenue                                                        handling competition. He stressed the need of good Customer Care
information and data networks that                                                                                                   and consumer friendly products and services.
leverage strength from both fixed and      streams hence providing a lifeline for


If heavy USF subsidy is injected the growth may be better by a further 25%:                                                                                                                                           After formally inaugurating the Broadband
Broadband Customer Growth Forecast                                                                                                                                                                                    Pakistan with a click PM visited special free
(Figures in Thousand)                                                                                                                                                                                                 DSL kiosks erected to make the visitors
Description                      2007-08     2008-09      2009-10      2010-11   2011-12                                                                                                                              experience the speed of Broadband
Fixed Broadband base                                                                                                                                                                                                  Pakistan. Application forms were also
                                                                                                                                                                                                                      available at these kiosks.
(from existing 100,000)          150,000     275,000      500,000      750,000   1,000,000
Wireless                         50,000      100,000      200,000      500,000   1,000,000
Total Customer base              200,000     375,000      700,000      1,250,000 2,000,000
Note: Total on FY 10-11 would be about 2.5 Million where by FY 11-12 may reach 4.4 million marks. Heavy USF subsidy may
improve growth by 25%.
                                                                                                                                                                                                                                                 Pakistan
                                                                                                              MAY - JUNE 2007   08                                                                                                                  MAY - JUNE 2007   09
                                                                                                                                               A move into the Next Century
PTCL in the Current Market Scenario
                          A DISCUSSION FORUM WITH FORMER BOSSES
                                                                                                                                       ERPto
On the eve of World Telecom Day held on May 17, 2007 PTCL
management decided to arrange another function on the
same day in Marriott Hotel, Islamabad, in which former
                                                              most important area, which warranted immediate attention
                                                              to come up to the customers, expectations. “If PTCL
                                                              continues to introduce new and advance telecom services
                                                                                                                                         redefine PTCL
Chairmen PTCL, former SEVPs & EVPs were invited as no
other day would have been more appropriate than this day
                                                              and extend its network, but do not provide quality services
                                                              to its customers, PTCL will not be able to establish itself as a
                                                                                                                                                 business processes
to have such fruitful interaction. The basic theme of this    distinguished company, he added. Mr. Mahbood Ahmad
exercise was, to acknowledge the valuable contribution of     presented his point of view about international                          ERP is used for the phrase Enterprise Resource Planning.         leading supplier of ERP software. Teams of experts from PTCL
the Ex-PTCL guards, that they made during their stay in       communication section of PTCL and said that PTCL must                    ERP integrates all data and processes of an organization         & Ufone are working closely with Siemens & SAP consultants
PTCL. To pay salute to them for their input, which helped     enhance its horizon internationally especially by extending              into a single unified system. A typical ERP system will use      to ensure that the business needs are understood. The first
building this organization on strong footing that is still    its reach in Central Asian states, which would not only                  multiple components of computer software and hardware            phase of the project, covering aspects of Finance &
leader in Pakistan Telecom sector and to solicit their                                                                                 to achieve integration. A key ingredient of most ERP             Accounting; HR; and Procurement & Inventory will be
valuable views & ideas to retain our market leadership.                                                                                systems is the use of a single, unified database to store        completed around November 2007. Subsequent phases will
                                                                                                                                       data for various system modules.                                                             cover projects, Work Orders,
       Taking the advantage of this August gathering an                                                                                                                                                                             maintenance, and business
informal discussion forum 'PTCL in the Current Market                                                                                  The introduction of an ERP system to                                                         information. These will be
Scenario' was arranged. Welcoming the distinguished guests                                                                             replace two or more independent                                                              delivered in mid-2008.
on this Forum. P & CEO PTCL Mr. Walid Irshaid said “we give                                                                            applications eliminates the need for
great value to the great ex-commanders of PTCL, as due to                                                                              external interfaces previously required                                                    The project has been given the
their concerted efforts and valuable inputs PTCL appears on                                                                            between systems. ERP is useful                                                             name Project A-SURE, where
the top of all telecom organizations of the country”. He                                                                               from standardization and lower                                                             A=Agility, S=Security, U=Unity,
further said “we are here to give serious thoughts to your                                                                             maintenance to easier and greater                                                          R=Reliability, E=Excellence; these
suggestions to make up our decencies in technological as                                                                               reporting capabilities, as all data is                                                     are objectives of the project.
well as administrative fields and will continue to take                                                                                typically kept in one database.
guidance from the old sagas of PTCL”.                                                                                                                                                                                              This project will effectively
                                                                                                                                       For us ERP means a system that will hold                                                    replace the little databases all
      Several distinguished guests including former                                                                                    data across the whole enterprise of                                                         over the company with one
Chairman PTCL, Ch. Masood Ahmad; former Chairman PTCL                                                                                  PTCL / Paknet / Ufone. All the                                                              massive one. And there will be a
Board, Mr. Zafar A.Khan; former President PTCL, Mr. Junaid                                                                             information will be integrated, making                                                      big clean-up of that data before
I.Khan; Member Telecom, Ministry of IT, Mr. Noor ud Din                                                                                access to good quality information easier. Previously the lack   putting it in the ERP system. All the errors and duplications
Baqai; former D.G. (Operations), Mr. Anisul Hasnain Naqvi;                                                                             of integration between various computer systems has limited      will be cleared. The amount of useful information for
former D.G.(I/C), Mr. Mahboob Ahmad; and former                                    increase the revenue of the company                 the useful information for controlling the business and for      decision-making will be vast. The streamlining of data will
G.M ITR, Mr. Arjumand A. Shaikh spoke on the                                       but would also extend the reach of PTCL             decision making.                                                 speed up purchasing process and ease down the job of HR
occasion.                                                                          frontiers. Mr. Arjumand A. Shaikh                                                                                    department.
                                                                                   appreciated the idea of a thought                   When the ERP system is installed, greater agility in meeting
       Ch. Masood Ahmad gave a comprehensive                                       provoking session with former                       the needs of customers, suppliers and staff should be            There will be a huge training schedule. Siemens staff will be
background of PTCL history and said that PTCL had                                  management, which could provide                     possible.                                                        training PTCL trainers, and then PTCL trainers will train the
very solid foundations and he was sure that if                                                some workable solution to                                                                                 frontline staff.
employees of PTCL were taken into confidence at                                               present management for its               In PTCL Siemens Pakistan Ltd is doing the installation, which                                             Khawar Azhar
each stage, this would make the company more                                                  future plans.                            will use specialist software from SAP of Germany - the world's                                 GM (Internal Communication)
progressive. He thanked the present
management for inviting the former                                                             The aim of this exercise was
management to take them on board.                                                             to consult the former
Mr. Junaid I.Khan said “PTCL has very                                                         management of PTCL to                    This project will change the way PTCL does its                    This project will take PTCL right into the 21st
good manpower, they are technically                                                           know the weaknesses and                  daily operations. Things will run so much                         Century in its computer systems. The
sound and have all the capabilities to                                                        strengths of the company                 smoother after the ERP system is installed.                       challenge will be to ensure that the staff are
deliver the goods as per the                                                                  which will help to shape                                                  Walid Irshaid                    properly trained and ready to use the system
expectations of the PTCL                                                                future policies of the company in                                             President & CEO                    when it goes live in November 2007.
management”. The only thing                                                             an effective manner. Thus it
they needed was proper training,                                                        proved to be a beneficial exercise
                                                                                                                                                                                                                                       Dr. Fuad Khan
                                                                                                                                                It is a huge job collecting all the critical                         Project Director and EVP-IT, PTCL
keeping in view the new                                                                 as we were able to get some
technological advancement and                                                           concrete and valuable suggestions                       information that the business needs. Most of it
innovations in telecom sector, he                                                       to improve the working of the                           is sitting in little pockets, and not available for               Many of the boring bits of everyday work will no
added. He also thanked the                                                              company.                                                general use. But when we have gathered it all                     longer be necessary. With an ERP system there
present management for taking                                                                                                                   together, the information will be available to                    is no need to do huge reconciliations of
feed back from the previous                                     At the end the President & CEO Walid Irshaid thanked the                        the whole enterprise to use and interpret.                        accounts each month. The disciplines and
managers. Mr. Zafar A. Khan                                     distinguished guests who made it on just one call from                                                                Niaz Malik                  controls built into the system mean that all the
relating his experiences in PTCL                                PTCL.                                                                                                      Project Manager PTCL                   accounts must always be in balance.
said “I remained associated with this company throughout
                                                                                                                                                                                                                                                      Nadim Kiyani
the privatization process and am confident that PTCL will     The discussion forum was attended by SEVPs, EVPs and
                                                                                                                                                                          Ufone is looking for a lot of flexibility from the               Project Manager Siemens
establish itself as one of the big telecom giant of the       senior members of Advisory Committee of Etisalat.
country”. Mr. Anisul Hasnain Naqvi gave a detailed                                                                                                                        new ERP system. We have to be fast on our feet
presentation of PTCL past, present & future shape. He                                                                                                                     and make decisions quickly in our business.
pointed out that presently the customer care area was the
                                                                                                         Qamar Ahmad                                                                                             Farid Alvi
                                                                                             GM (External Communication)                                                                              Project Manager Ufone


                                                                                                                MAY - JUNE 2007   10                                                                                                                   MAY - JUNE 2007   11
                                                                                                                                          associated with getting disparate companies (PTCL & Etisalat)       expressed in terms of how the company wishes to position
                 The Dynamics of Telecom Industry and Organizational                                                                      to work together effectively.                                       itself within the market. For example:




    Change in PTCL
                                                                                                                                                                                                                  Most innovative services
                                                                                                                                          In corporate business strategies, global alliances are a popular        Fastest response to customer requirements
                                                                                                                                          means of retaining market share and sustaining growth. Inter-           Fastest time to market for new services
                                                                                                                                          government collaboration, particularly in Asia, has been used
                                                                                                                                                                                                                  Highest level of service reliability
                                                                                                                                          as a way of retaining a controlling interest in what is seen as a
                                                                                                                                          strategically important industry.                                       Best value for money


An Overview:                                                       significant ones:                                                         Rapid Rate of Technology Development and Change                  Process of implementing change:
Business is going to change more in the next ten years than in        Complex and highly competitive global market                        (Technology)                                                        In the beginning of privatization the employees offered
the last fifty. If the 1980s were about quality and the 1990s      (External/Environmental)                                               Competitive pressures are driving the pace of technology            resistance by striking off the operation countrywide. The
about re-engineering, then the 2000s will be about velocity. A        Industry consolidation, partnerships, and collaboration             development and change. Alternative technologies, such as           management initiated the process of negotiation and
manufacturer or retailer that responds to changes in sales in      (External/Environmental)                                               cable and wireless, compete for market share. The monopoly          succeeded in resolving the conflicting issues. Seminars and
hours instead of weeks is no longer at heart a product                                                                                    position once enjoyed by the PTCL no longer guarantees              workshops were arranged in the different regions for
                                                                      Rapid rate of technology development and change
company, but a service company that has a product offering.                                                                               business when solutions can be put together through the             establishing effective communication linkage and provided
                                                                   (Technology)
                                                                                                                                          collaboration of a number of niche suppliers. Advances in           the educational guidelines. Furthermore countrywide crash
                                                                      Complex and Highly Competitive Global Market                        technology can negate investment in infrastructure.                 programs were arranged for the facilitation and support of
Nowhere is this pace of change felt more strongly than in the      (External/Environmental)                                                                                                                   employees to meet the upcoming challenges in the
                                                                                                                                          Telephone cables and cable switching technology versus
telecommunications market. If the digital age is the new gold      Several factors have combined to create unprecedented                                                                                      profession. For the surplus and redundant staff
                                                                                                                                          mobile phones and satellite communication is one example.
mine, then telecommunications companies are the suppliers          levels of complexity and competition within the Pak                                                                                        internationally recognized firms of HR consultants were hired
                                                                                                                                          Who knows which technology will dominate? Technology
of the picks and shovels. They are required to deploy new and      telecommunications industry. One of the key business drivers                                                                               to prepare a lucrative voluntary separation scheme (VSS),
                                                                                                                                          redundancy has become a major issue. Improvements in data
innovative technologies within a commercial framework,             has been deregulation within the industry. In Pakistan the                                                                                 which is under progress. As such structuring and other multi
                                                                                                                                          compression, amplification, and multiplexing now permit a
which demands products and services that are faster, better,       Telecommunications Reform Act of 1996 opened the way to                                                                                    dimensional activities are under progress in the organization.
                                                                                                                                          single fiber-optic strand to carry twenty-five terabits of
and cheaper. Survival in this highly competitive global market     increased competition through the elimination of monopoly.             information per second, 25 times more information than the
depends upon agility and flexibility in responding to customer     Comparable legislation in most part of south Asian countries           average traffic load of all the world's communications
requirements. There are only two types of companies, the           has had a similar effect.                                              networks put together. In the Global scenario communications
                                                                                                                                                                                                              Conclusion:
quick and the dead.                                                                                                                                                                                           To ensure survival in a highly competitive global marketplace,
                                                                                                                                          companies are now laying optical fiber networks at the rate of
                                                                                                                                          4000 strand miles per day.                                          telecommunications companies are bound to look at new and
                                                                   Fueled by the Internet, there has been an explosive growth in                                                                              innovative ways to reduce costs and improve efficiency.
This article describes the challenges and market trends facing     the number of 'dot.com' companies offering new and
the telecommunications industry today, the critical success        innovative service applications. While the dot.com revolution
factors required for company leadership, and the ways in
                                                                                                                                          Objectives for Planned Change:
                                                                   may have burst, an expectation has been set for information
which new Internet-based technologies can be applied.                                                                                     To respond effectively to the challenges facing the industry                                 Muhammad Siddiq Khetran
                                                                   services that are reliable, secure, and easy to use. The                                                                                                  Senior Manager Operation & Maintenance-1
                                                                                                                                          requires an appropriate strategy, focused on achieving
                                                                   customer demand for greater bandwidth shows no sign of
                                                                                                                                          specific business objectives. These objectives can be                                         Western Business Zone, Quetta.
In recent years, the telecommunications market has                 slowing down. The competition to develop the 'killer'
experienced unprecedented growth as it has restructured to         application and/or service continues unabated.
meet customer demands. Industry deregulation has provided
opportunities for new companies to enter the market and
compete “head-to-head” with established industry.
                                                                   The information explosion is a global phenomenon. Different            PTCL management & Union reach landmark accord
                                                                   countries have responded to change at different rates, but
                                                                   the market characteristics are similar in most countries.
The main challenge for today's telecommunications                  Where competitive pressures apply, the effect is to reduce
companies is determining how to identify and deliver a             profit margins as companies seek to generate additional
winning business strategy that is capable of sustaining growth     revenue from greater market share. “The cost of sales
and profitability, while remaining agile and responsive to         continues to fall”. Only the strongest and most innovative
unprecedented levels of technological and environmental            companies are likely to survive.                                       PTCL and Pakistan Telecom
change.                                                                                                                                   Employees Union (PTEU)
                                                                                                                                          reached a landmark agreement
                                                                   In a competitive market, companies must continue to seek               on May 25, 2007. It was regarding
Business Drivers:                                                  ways of differentiating their products and services. Being the         fulfilling of provisions of the
                                                                   first to market with new technology, improving process                 Settlement Agreement, signed
Business strategies in Pakistan Telecom industry are driven by
                                                                   efficiency, and being able to respond quickly to change are            at the time of the privatization                                                                       ISLAMABAD, MAY 25, 2007:
fundamental market shifts. For instance:
                                                                   essential to securing market share and delivering continuous           of the Company in 2005. The
    Traffic carrying is becoming a commodity business,             growth and profitability to shareholders. In view of local             union leaders had their                                             redressing their grievances”. “At the same time I would expect
because of massive investment and overcapacity in national         market competitors, PTCL has to strive on arrest the                   reservations that the agreement was not being implemented in        employees to perform even better in the coming days, because
and international broadband cable networks.                        deteriorating quality of service and more focus on the                 its letter and spirit.                                              the prosperity of this Company means prosperity of all of us,
    Corporate markets are increasingly demanding regional, if      expansion of consumer base.                                                                                                                Walid concluded.
not global, end-to-end capabilities, combining backbone and                                                                               The current management, taking cognizance of the matter, had
local infrastructures, hosting and application services, plus                                                                             formed a high-level team comprising senior PTCL officers to talk    Besides President & CEO, SEVP (HR) Ismail Taha, EVP Corporate
                                                                       Industry Consolidation, Partnerships, and Collaboration
network and systems integration.                                                                                                          with the union and sort out all the issues. As result of the        Communications Ali Qadir Gilani, Legal Advisor Dr. Sajid Qureshi
                                                                   (External/ Environmental)
    Residential markets are demanding multiple choices in                                                                                 successful negotiations between the management and the union,       and GM Employees Relations Abdul Sattar Naeem were also
                                                                   In response to the challenges and dynamics of the                      both sides reached an understanding that all provisions of the
high quality, user-friendly services, including entertainment,                                                                                                                                                present from the management. Whereas Union was represented
                                                                   telecommunications market, the trend in recent years has               2005 agreement would duly be complied with.
interactive TV, home shopping, and e-mail - regardless of how                                                                                                                                                 by the Secretary General Rana Tahir, President Zia Uddin and
                                                                   been the fragmentation of large, monolithic organizations
these services are delivered.                                                                                                                                                                                 Chairman Zulfiqar Sangi.
                                                                   into smaller more agile business units focused on competing
    Mobile networks have emerged as international businesses       for and delivering business solutions.                                 Mr. Walid Irshaid, President & CEO of PTCL termed the
in their own right, with a culture all of their own. They need a                                                                          understanding as a step forward towards further prosperity of       The PTEU Secretary General Rana Tahir said that the CBA
global or regional footprint to be able to control their                                                                                  the Company. He said, “employees are our precious asset and we      supported the VSS as it was beneficial for PTCL employees. He
narrowing margins. Smart forward strategies are also needed        Mergers and acquisitions have been used to consolidate                 cannot think of losing this asset”. He added that Union and the     thanked the management for redressing their problems and
to achieve payback on costly 3G licenses.                          compatible capabilities and create the structures needed to            management were part of same family therefore they need to          extend Union's all out support to the management in its
                                                                   compete effectively in specific niche markets. The shakeout            live like family members. “The management is committed to the       endeavors of making PTCL a prosperous, profitable and efficient
Areas of Change:                                                   in the industry continues, as companies develop and refine             welfare of its workers and would leave no stone unturned in         company.
Following three challenges faced by PTCL are the most              their business strategies and start to address the issues


                                                                                                                   MAY - JUNE 2007   12                                                                                                                        MAY - JUNE 2007   13
                                              Ministry of IT
                                                                         World Telecom Day 2007                                                    International
                                                                                                                                                Telecommunication
                                                                                                                                                       Union




"We are poised to bridge the

digital divide"                                                                                                                                                                 "
                                                - Shaukat Aziz
                                                                                                                                            "        -


May 17 marks anniversary of the signature of the
first International Telegraph Convention and the
creation of the International Telecommunication
Union. Named World Telecommunication Day, it has
been celebrated since 1969.

This year World Telecom Day was celebrated in
Pakistan by the Ministry of IT & T with the main
assistance of PTCL as the major sponsor of the
event. The event was presided over by none other
than the Prime Minister Shaukat Aziz whose
presence on the occasion was a proof of the
Government's commitment towards development                          Ministry of Information Technology; Mr. Noor Ud Din Baqai,
of telecom sector in Pakistan.                                       Member Telecom, Ministry of Information Technology; and Mr.
                                                                     Walid Irshaid, President & CEO PTCL also addressed the
This year's theme of the event was 'Connecting the Young: the        gathering.
opportunities of ICT'. Major telecom operators of the country
joined as co-sponsors in the event with PTCL to express their        The Prime Minister in his speech said, “Like other sectors of
commitment and devotion to their mission of empowering the           the economy, our reforms in the information
youth of Pakistan. PTCL believes that this theme has direct          technology and telecom sector have been
relevance to Pakistan, and PTCL, as a leading telecom                under pinned by the principles of
operator, would do its best to fulfill its obligations.              liberalization, privatization, deregulation,
                                                                     separation of policy, regulation and
In his message on the occasion Mr. Hamadoun Touré ITU                operations, and transparent processes as
Secretary-General said, in an increasingly networked world,          compared to opaque practices of the past. We are
the young are not only the beneficiaries but often the driving       moving forward with great speed to bridge the
force behind the latest innovations and practices, and for           digital divide in the country by improving the access
many, the dependence on information and communication                of information and communication technology to low income
technologies (ICT) has come to determine their choice of             groups”.
lifestyle. It is clearly our duty today to provide the
opportunities of ICT to all children and youth, particularly to      Speaking at the occasion Mr. Awais Leghari, Minister for IT and
those who remain unconnected from the ongoing digital                Telecom stated that the tremendous growth in telecom sector
revolution.                                                          of Pakistan was the proof of Government's open policies
                                                                     towards investment in this sector.
He further said, as we celebrate World Information Society
Day, we invite all our stakeholders as well as international         Mr. Walid Irshaid, President & CEO PTCL in his speech, assured
organizations, non-governmental organizations and public             that the Company would do its utmost for the promotion of IT
policy-makers to give children and young people around the           sector in the country. He also highlighted PTCL contribution
world every possible assistance in accessing ICT. This is critical   towards growth of telecom sector in Pakistan and assured the
for the young as a means of learning, sharing information and        audience that every effort shall be made to realize
knowledge, improving their health and nutrition, and                 Government's dream of achieving immense progress in IT field.
communicating with other children and youth.                         Mr. Walid Irshaid thanked the Prime Minister for extending
                                                                     support to PTCL management.
Being the lead sponsor PTCL arranged special supplements on
the occasion besides taking care of the entire event in a highly
professional and efficient manner. Mr. Awais Leghari, Minister                                                     Qamar Ahmad
for IT and Telecom; Mr. Farrukh Qayyum, Federal Secretary                                          GM (External Communication)


                                                                                                                     MAY - JUNE 2007   14                           2007   15

								
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