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presentation FCC gov Powered By Docstoc
					December 5, 2003

  Team 3 Project 7
   Mike Lindamood
    John Pallotta
       Jeff Plitt
Jennifer Yontz-Orlando
         MCI:
“Rebuilding the Brand”
                Overview

   Global Ethernet Backbone
   Industry / Competition
   Strengths
   Stakeholder Management
   Recommended Business Strategy
   Implementation Plan
             Communication Solutions
               wan



                                                 1   2   3
                                                                  Product
                                                 4   5   6
                                                 7
                                                 *
                                                     8
                                                     8
                                                         9
                                                         #        Reach

       Internet Services:
         Web-hosting,                      VoIP
       networking, WAN/
              LAN
                                                              Telephone
                                                             Network/DSL
                      Corporate Services




  MCI’s Global Ethernet Backbone


                      Consumer Services



                                                                      1   2   3
                                                                      4   5   6
                                                                      7   8   9
                                                                      *   8   #




              Internet Connectivity   SkyTel
                (Dial-Up, WiFi Hot    Division
                    Spots, T1)                                Future VoIP
                                                              & Wireless
                                                               telephone
Outside Broadband
                                                              services/G3
 Cable Network
                Industry Trends
   Bundling of Telecom Services
    – Local , LD, Caller ID, Voice Mail, E-mail

   Internet Calling (VoIP & Telephony)

   Broadband (Fiber Optic Technology)
    – DSL, High Speed Data Transmission

   Wireless (Wi-Fi) Technology
    – Wi-Fi Hot Spots, Text messaging, etc.

   International Growth
        Emerging Technology
   VoIP
    – Web Conferencing
    – Cost Savings
    – $20B Annual Growth Industry


   Barriers between IT and Telecom Blurring
 Domestic Competition within Industry
            MCI   AT&T   Sprint   Verizon   SBC   BellSouth
VoIP        X     X       X         X       X       X
Broadband         X                 X       X       X
Mobile            X       X         X       X       X
Long        X     X       X         X       X       X
Distance
R&D               X       X
Market            X
Share
Network     X
Global      X      X
Presence
Cash        X                               X
       Top Ten Ranked by Sales

1. Nippon Telegraph and Telephone Corporation (NTT)
2. Verizon Communications Inc. (VZ)
3. Deutsche Telekom AG (DT)
4. France Telecom SA (FTE)
5. SBC Communications Inc. (SBC)
6. AT&T Corp. (T)
7. MCI Corp.
8. Telecom Italia S.p.A. (TI)
9. Telefónica, S.A. (TEF)
10. BT Group plc (BTY)
         Domestic LD Service

1.   AT&T
2.   MCI
3.   Verizon
4.   Sprint FON Group
5.   Quest Communications
              Mobile Services

1. NTT DoCoMo, Inc. (DCM)
2. Vodafone Group PLC (VOD) - Verizon
3. Cellco Partnership - Verizon
4. Cingular Wireless LLC
5. Orange SA
6. AT&T Wireless Services, Inc. (AWE)
7. T-Mobile International AG
8. China Mobile (Hong Kong) Limited (CHL)
9. Telecom Italia Mobile SpA
10. Telefónica Móviles, S.A. (TEM)
              Risks for MCI
 Decrease of Local and LD rates
 Govt. Regulation of Internet Calling Process
 Small Companies Entering Market and
  Diluting Customer Base
 MCI’s Limited Wireless Presence
 Cable Offering VoIP Via Cable Networks
 Federal Court Mandates to Share Networks
 Competitive Rivalry Between Existing
  Players: Legal action by AT &T and Verizon
             Strengths of MCI

1.   UUNET
     –   Largest Global IP Portal
     –   50% of Global On-line Traffic
2.   Loyal Customer Base
3.   Government Business ($1B per year)
              Stakeholders

 New Investors
 Wall Street and Media
 Customers
    – Consumers
    – Business & Government
 Employees
 Lenders
            Business Strategy

 Core Competency: UUNET / Backbone
 Local / LD Cost Reduction (# 2)
 Utilization of Cash Reserves
    – IP technology
   Convergent Technology
    – Alliances
   Government Business
        Implementation Plan

 Management
 Strategic Flexibility
 Organizational Structure
 Ethical and Governance
           Management

 Continuous Mission Statement
 “Flat” Communications
 Role Model for Values
 Cross-functional Groups
      Strategic Flexibility

Proactive strategic flexibility will be
  established throughout the MCI
      organizational structure.
                                 Code of Ethics
                                   Optimal Organizational Structure




                                                                                     Obligations
Responsibility




                                Information Systems                     CONSUMER
                                   & Engineering


                                                            Marketing



                                 Quality Assurance                      GOVERNMENT
                 Management



                                                              Sales

                              Research & Development                    WHOLESALE



                         Good Corporate Governance
         Ethics and Governance
   Breeden Report
    – Continued compliance and implementation
    – Internal ethics training
    – Zero tolerance for non-compliance

 All Operations within Code of Ethics
 Internal and External Communications will
  use “Sharing the Commitment to Integrity”
     Additional Implementation
   Knowledge Mgt.
    – Ability to share internal knowledge
    – Employee participation in decision making
    – Establish incentive programs


   Organizational Learning
    – Continuous process of growth
    – Feedback from participants
    – Able to overcome previous attitudes and behaviors
       Conclusion / Summary


 Rebuilding the Brand
 Ethernet Backbone
 Organizational Structure
 Ethical Operations - Globally

				
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