Md. Musharrof Hossain Adjunct Faculty, Department of Business Administration Faculty of Administrative Science International Islamic University Chittagong.D.C Subject: Submission of the internship research paper Dear Sir, I have the pleasure to submit herewith the internship research paper on the topic”Assessment of Customer Satisfaction: A Case Study of GrameenPhone Ltd. in order to meet the requirement of internship as an integral part of the MBA program. Basically I worked in this paper to give a broad view”Assessment of Customer Satisfaction” in the context of GrameenPhone Ltd. The information used in this paper comes from various sources. This preparation of the paper was an experience which made me known a lot about the telecommunication sector. It would be a great honor for me if you require me to explain any sort of query. 1
Transcript
Md. Musharrof Hossain
Adjunct Faculty,
Department of Business Administration
Faculty of Administrative Science
International Islamic University Chittagong.D.C
Subject: Submission of the internship research paper
Dear Sir,
I have the pleasure to submit herewith the internship research paper on the
topic”Assessment of Customer Satisfaction: A Case Study of GrameenPhone Ltd. in order to meet the requirement of internship as an
integral part of the MBA program.
Basically I worked in this paper to give a broad view”Assessment of Customer Satisfaction” in the context of GrameenPhone Ltd. The information used in this
paper comes from various sources.
This preparation of the paper was an experience which made me known a lot
about the telecommunication sector.
It would be a great honor for me if you require me to explain any sort of query.
Sincerely yours,
………………...................Hasan Mahmud RummanMatric No-M-061327
Section-D
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Acknowledgement
All praise to Allah, the almighty, and the merciful. Without his blessing and
endorsement this report would not have been accomplished.
I would then recall my honorable faculty member and the Internship supervisor
Md. Musharrof Hossain whose guidance and inspiration helped me completing
my report on “Assessment of Customer Satisfaction” in the context of
GrameenPhone. I would also put on record my sincere appreciation to the
organization supervisor Yeasir Mahmood Khan, Manager, Customer Service,
GrameenPhone Ltd. for his guidance and support in preparing the report.
This report also has the blessing of many individuals who took part in preparing
the questionnaire survey who are the agents. Without the help and assistance
this report would not have been accomplished.
I am also grateful to Customer Service of GrameenPhone to find out time from
their busy schedule. I thank to my family members for their patience which they
shown during the whole course work.
At last but not the least I am thankful to all of my class mates for giving us the
energy during the course work and creating a learning environment.
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EXECUTIVE SUMMARY
GrameenPhone Ltd. - the leading organization of mobile telecommunication
industry of Bangladesh is now operating its business all over the country with a
subscriber base of about 13 million. The project is designed to assess the
satisfaction level of GP’s subscribers. The hypothesis is “Present service quality
has satisfied customer that increase the number of subscribers.”
The organization is still growing rapidly and the present scenarios of the
organization have been described in the Organization Part of this report. The
initial Part describes organization’s mission, vision, objectives, products,
services, market share, and industry analysis. The later part contains the
essence of the report, describes the research problem, which is the study of the
customer perceptions about the Customer service provided by GrameenPhone.
In the data collection method I have used primary sources and secondary
sources. In broad sense subscribers satisfaction depends upon many factors,
like Internet speed should be faster, Product Tariff, Help line is accessible for the
customer. Employee satisfaction is one of them. So management should concern
about it.
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Table of content
Letter of transmittal
Acknowledgement
Organizational PartChapter: One
Origin of the Report 5-11
Historical Background of GrameenPhone 12-13
Company Overview
Shareholder of GrameenPhone 13-14
Vision 14
Mission Statement 14
Objectives of the organization 15
Corporate strategy 15
Purpose 16
Technology 17
People 17
Service 17
Organ gram of GP 18
Product and services Offered by GP 19
GSM features of GP 24-28
Other Important services and aspects 28
Present State of GP 28-29
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Corporate Responsibility 30
Corporate Business Strategy 30
Achievement 32
SWOT Analysis of GP 33-39
Chapter: Two
Telecommunication Industry OverviewTelecommunication Industry in SAARC Countries 39-40
Telecommunication Industry in Bangladesh & Market
share
40-41
Project PartChapter: Three
Survey result on customer satisfaction 41
Research reporting 41
Presenting the Survey Results in Graphical mood 43-48
Analysis of the Survey 49-50
Recommendations 51
Appendix:
Sample Questionnaire 51-53
Reference 54
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Introduction
GrameenPhone has been recognized for building quality service with widest network
coverage, different services. It is the leading telecommunications service provider in the
country with more than 12 million subscribers across the country while offering
innovative products and services and committed after-sales service. GrameenPhone can
retain this present position only when they do continuous research on customer
satisfaction and alleviate the lacking. So for the greater interest of GrameenPhone I
would like to prepare my report on “Assessment of Customer Satisfaction: A case study of GrameenPhone Limited”
Objectives:
Broad objectives:
To measure, understand and analyze the current level of consumer satisfaction
of GrameenPhone subscribers regarding the customer service provided by GP.
Specific objectives:
Attaining a preliminary idea on GP’s approach: “In meeting the needs of rapidly
expanding customer base in pace with the ever changing business environment
in alignment with the vision & objective of the corporate”.
Market share of GrameenPhone Ltd.
To find the potential areas for GP coverage and areas where improvement is
required.
SWOTof the Corporate in present market scenario.
To make recommendations
Implementing the approach in professional life.
Significance of the study
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The present study is worthwhile in various aspects. Nowadays unexpected competition
is prevailing in telecommunication arena. So many mobile companies (banglalink, aktel
etc) are doing their operation. All the mobile service providers are trying their level best
to achieve customer acceptance with providing different services. At present GP is
controlling the communication sector with a huge lead of 63 % market share and the
present yearly growth trend is more than 3%. In a competitive business scenario this
trend is not only high, considering the consumers’ average earning level and the high
call charge of GP, it is remarkable. However, in this era of free market economy and
competitive business, it is very difficult to maintain this monopolistic approach without
mitigating the day-to-day problems in the structural and operational segments and
making demand-driven improvements. Corporate therefore need to come up with new
ideas for business development.
They believe that after 5 years all of the telecommunication companies of Bangladesh
will be in a same row. At that time their survival will mostly depend on the customer
service and customer satisfaction. To know, present services are useful to the
customers, how much motivated they are, can it actually retain customers and influence
and attract other customer, research & continuous monitoring on customer satisfaction is
inevitable. Customer loyalty is usually demonstrated in the form of satisfaction.
Considering the forthcoming business competitions from Global Leaders in
telecommunication technology, WARID TELECOM which has already invested an
amount of Tk. 50000 million subsequent to that GP is going face the most challenging
business situation in the communication sector of Bangladesh. Considering the near
future challenges GP is more focused on securing a loyal customer base by assuring
customer satisfaction to mitigate the business risk factors prior to the start of operation of
WARID TELECOM.
The present study is going to aid the GrameenPhone management to ensure better
service & understanding about the existing customer needs and wants.
Hypotheses:
Present service quality has satisfied customer that increase the number of subscribers.
Methodology:
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In this report I have used both primary data and secondary data.
Primary Data Collection
In this report I have used primary data that was collected through direct survey even
though Customer Satisfaction is a vague term and can not be converted in numerical
form to have any assumption on the over customers view. However, a close ended
questionnaire was prepared for survey. There are few open-ended questions too and
some questions are even a blend of open and closed-ended. Moreover, direct interaction
with the customers assisted to assume the over all feed back of the customer base.
Secondary Data CollectionApart from primary data, secondary data is very essential for this study. Secondary data
are of two kinds, Internal and External. Internal secondary data was gathered from the
organization itself and it includes Image Guide Book, Bulletin board and intranet of GP to
find the annual company report, papers developed by company personnel etc. External
secondary data was gathered by the sources outside the organization such as internet,
newsletters, leaflets etc.
Even though Customer Satisfaction is a vague term and can not be converted in
numerical form to have any assumption on the over customers view. However, a close
ended questionnaire was prepared for survey. More over, direct interaction with the
customers assisted to assume the over all feed back of the customer base.
The Target Population is GrameenPhone Subscribers aged between 18-50.The
Sampling Frame is GrameenPhone Subscribers residing in Dhaka Metropolitan City.
The Sample Size is 100. Information is collected through direct interviews with the
subscribers.
Tabulation and data analysis
Data are useful only when I analyze them. After we collect the required data I will do the
tabulation and then analyze the findings from the research. The findings of the paper
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would be analyzed through MS WORD, EXCEL and SPSS.
Errors Doing a research of such proportions may have resulted in errors. This potential error
may be minimize by random selection of sample and avoid biasness on data collection
and analyze.
Limitation of the study:
The scope of the study is not limited within the periphery of telecommunication sector.
Customer satisfaction is the ultimate word in revenue generation. Thereby, this
experience can easily be customized in any revenue generating, profit oriented
organization.
There are some limitations. These are –
The Study results might not be completely representative or all-inclusive as the
survey area is limited to Dhaka city only.
It was not possible to get all required internal information of the company as
these are treated as confidential to the company.
Some subscribers were not interested to convey information due to lack of
availability of time and other constraint.
Getting all required information of other company was not possible.
The time constraint
Customer Satisfaction:
Actually customer satisfaction is a vague term. It is very difficult to identify actual
satisfaction level because some customers are price sensitive and some are quality
sensitive. Depends upon the sensitivity customer satisfaction factors are different.
The Customers are in the mainstream of sales oriented services. The success of such
companies mostly depends on the satisfaction of the customers .The buyers are happy if
the product and/or the services perceived value meet their expectations and the vice
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versa. Customer usually build expectation level through past buying experiences, the
suggestion of reference group, sales people, various media information means
advertisement, competitor information and promises lead to the expectations. Marketer
must be careful to set the right level of expectations. If they set expectations too low,
they may satisfy those who buy but fail to attract enough buyers. In contrast, if they raise
expectations too high, buyers are likely to be disappointed. Dissatisfaction can arise
either from a decrease in product and service quality or from an increase in customer
expectations. In either case, it presents an opportunity for companies that can deliver
superior customer value and satisfaction. So, the marketer main task is to match the
product’s perceived value with customer expectation.
To-day most successful companies have taken the strategy of are raising expectations
and delivering performance to match. Such companies track their customers’
expectations, perceived company performance, and customer satisfaction. Highly
satisfied customers produce several benefits for the company. Satisfied customers are
fewer prices sensitive remain customers for a longer period and talk favorably to others
about the company and its products and services.
A company can always increase customer satisfaction by lowering its price and
increasing its services, but it may result in lower profits. Thus, the purpose of marketing
is to generate customer value profitably.
It is also important for the company to know about the satisfaction level of the
customers. When any problem is identified, it becomes easier to solve the problem. The
next part of this paper has been focused on the “Customer Satisfaction Factors of GrameenPhone”. It is done through a research survey to find out the customer
satisfaction level of GrameenPhone.
Customer Satisfaction Factors of GP:GrameenPhone is a fast growing mobile company. In mobile telecommunication
industry, there are direct and indirect factors that influence customer satisfaction. Here
focus on the most important factors that influence customer satisfaction.
Airtime:Air time is the core offering of GrameenPhone, So, quality of communication network
availability, etc, are the most important customer satisfaction factors, quality of airtime
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depends on the ratio of subscribers and transmission base station. It the numbers of
subscribers are increased without developing the network, quality of airtime goes down
After Sales Services:After sales services is very important in the mobile telecommunication industry. GP has
extensive after sales customer care tools. Here focus on these step by step.
1. Helpline:GrameenPhone has introduced some hotline through which Subscriber can get 24 hours
customer service from GP. In this hotline Subscribers can talk in Bangle and English
language. For the greater interest of Subscriber GP also introduced dialect base
language. In this dialect Subscribers are served in regional language. So, this service
keeps a continuous relationship with the subscribers
A GP subscriber needs to dial 121 to reach GrameenPhone Helpline. It is a computer
aided information base to afford immediate access to the information about the
subscribers, but the operations are done manually. After dialing 121, subscribers are first
welcomed by an automated and standarilized process. Then he needs to wait for few
seconds. After that the subscriber reaches the Customer Manager. CM starts the
conversation with a greeting. The subscriber explains his/her problems to the CM.
If the inquiry is regarding general information, the customer relations officer does not
need to take help of information system. She/he just provides the information and the
subscriber keep the phone.
There are some queries that are much more personalized and the CM needs to get into
the account of that particular subscriber to provide the service. In some case, the
subscriber just keeps the complaint/ request and later action is needed to be taken.
Customer need to pay TK. 2 per minute to take the service from helpline.
2. Information Centers:Most of the problems of the subscribers are solved by the helpline service. But there are
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some problems that can not be solved by over phone. Subscriber need to come
physically to deal with those problems. GrameenPhone has 18 GPC and 602 GPSDs
which provide services all over the country.
These Customer Relation Centers are situated in the prime divisional head quarters like
Dhaka, Chittagong, Sylhet, Rajshahi and Khulna and GPSDs situated all most
everywhere in Bangladesh. In these information centers the subscribers can come
directly with their problems like billing, address change, SIM change, edge problem etc.
These after sales services are very crucial to keep subscribers satisfied regarding
GrameenPhone.
Historical Backdrop of GrameenPhoneGrameenPhone Ltd. is the market leader in the telecommunication sector in
Bangladesh. With the beginning of 2006 the company completed its ten years of
business. The company achieved remarkable success during this period. It is now able
to say that it has the largest network, the widest coverage, the biggest subscriber base
and more value added services than any other mobile phone operators in Bangladesh.
GP has a very strong competitive position in the telephone industry in the country.
GrameenPhone: The Beginning
1 November 28, 1996: GrameenPhone was offered a cellular license in
Bangladesh by the Ministry of Posts and Telecommunications.
2 March 26, 1997: GrameenPhone launched its service on the Independence Day
of Bangladesh.
3 After ten years of operation, GrameenPhone has almost 13 million subscribers
as of January 07 and the present growth rate is 3.
GrameenPhone Ltd. (GP) is the market leader in the mobile telecommunication industry
of Bangladesh. GP is a joint venture between Bangladesh and Norway.
Principally GP was established in 1995. However, due to some revisions of government
policy, GP was not permitted to start the operation. The license agreement was signed
on October 31, 1996.
GP started developing the infrastructure facilities in the country, and started the
commercial operation on March 26, 1997 with an initial customer of 5,000 in seven
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districts. This turn around time is also considered as one of the land mark in
telecommunication sector of developing countries.
Bangladesh is a developing country with a per capita income of US $ 300. Access to
telecommunication was considered as luxury than a necessity. In this socio-economic
situation GP started their operation.
GP’s aim was to develop one GSM (Global System for Mobile Communication) cellular
mobile communications network in Bangladesh in competition with two other GSM
operators and one AMPS (Advanced Mobile Phone System) operator. GP aims to
provide the best possible technical quality, customer service, and coverage also in the
rural areas at the most reasonable prices, to as many customers possible in
Bangladesh.
GP had its success from the very beginning of their operation and has successfully
maintained the consistency of success through out the decade due to its strong
customer’s service and relationship.
Company Overview
Shareholders of GrameenPhone
The shareholders of GrameenPhone contribute their unique, in-depth experience in both
telecommunications and development.
TelenorMobileCommunicationsTelenor is the leading Telecommunications Company of Norway listed in the Oslo and
NASDAQ Stock Exchanges. It owns 62% shares of GrameenPhone Ltd. Telenor have
played a pioneering role in development of cellular communications. It has substantial
international operations in mobile telephony, satellite operations and pay Television
service.
GrameenTelecomGrameen Telecom, which owns 38% of the shares of GrameenPhone, is a not-for-profit
company and works in close collaboration with Grameen Bank. The internationally
reputed bank for the poor has the most extensive rural banking network and expertise in
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microfinance. It understands the economic needs of the rural population, in particular the
women from the poorest households. Grameen Telecom, with the help of Grameen
Bank, administers the Village Phone Program, through which GrameenPhone provides
its services to the fast growing rural customers. Grameen Telecom trains the operators,
supplies them with handsets and handles all service-related issues.
Figure: Share holder of GrmeenPhone
The international shareholder brings technological and business management expertise
while the local shareholder provides a presence throughout Bangladesh and a deep
understanding of its economy. Both are dedicated to Bangladesh and its struggle for
economic progress and have a deep commitment to GrameenPhone and its mission to
provide affordable telephony to the entire population of Bangladesh.
Vision:
Grameen Phone’s vision is “We are here to help”“We are here to help”
Mission:
1 Knowing customer expectations
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2 Satisfying Customers in accordance to the identified expectations3 Knowing us4 Organizing us
Slogan:
"Let's not expect the customers to travel to get the service rather let service travel to the
customers"
Objective of the Organization:
The objective of GP is in two folds: To generate revenueTo generate revenue & To contribute in theTo contribute in the
economic development of Bangladesh where telecommunications can play aeconomic development of Bangladesh where telecommunications can play a
critical role.critical role. This is why GrameenPhone, in collaboration with Grameen Bank, is aiming to place one
phone in each village to contribute significantly to the economic uplift of those villages
through Village Phone.
The Corporate Strategy
GrameenPhone’s basic strategy is ensuring services. The preliminary step in assuring
this service is wide network coverage in both urban and rural areas. In contrast to the
“island” strategy followed by other operators, which involves connecting isolated islands
of urban coverage through transmission links, GrameenPhone builds continuous
coverage, cell after cell. While the intensity of coverage may vary from area to area
depending on market conditions, the basic strategy of cell-to-cell coverage is applied
throughout Grameen Phone’s network.
Thereby a massive network expansion can be located in past years of GP. As a matter
of fact to ensure customer satisfaction GP has invested a huge amount in network
expansion comparatively which is more than any other operator. The ultimate result is
reflected in the following chart:
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GP has largest network coverage with 61 districts out of 64 districts, 506 Thana indoor
and highway coverage.
Due to this huge investment in network expansion, it took 5 years for GP to cross the
break even point. According to Anders Jenson, the CEO of GP, this investment was
mandatory to ensure a satisfied and strong customer base. This is reflected in the
interview of CEO of GrameenPhone with BBC World’s Asia Business Report. The recent
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Rajshahi
Dist: 16
Upa: 134
Khulna
Dist: 10
Upa: 66
Barisal
Dist: 6
Upa: 41Chittagong
Dist: 8
Upa: 82
Sylhet
Dist: 6
Upa: 41
Dhaka
Dist: 17
Upa: 144
fall in SIM taxes and taxes on mobile hand sets, Anders Jenson added that the taxes
need to drop even further as the initial cost of getting connected and price of handsets
are still major barriers for new subscribers.
Notably GrameenPhone has already added more 1000 base stations to its network in
the last six months, bringing the total number of base stations to 4500. "We are looking
to roll out another 1000 for the rest of the year. And we believe in a good growth for the
country and a good growth of this industry and we will invest to cover for the growth," the
GP CEO added.
The Resource
PeopleThe people who are making it happen – the employees – are young, dedicated and
energetic. All of them are well educated at home or abroad, with both sexes and minority
groups in Bangladesh being well represented. They know in their hearts that
GrameenPhone is more than just about phones. This sense of purpose gives them the
dedication and the drive, producing – in about three years – the biggest coverage and
subscriber base in the country.
Technology
GrameenPhone’s Global System for Mobile or GSM technology is the most widely
accepted digital system in the world, currently used by over 300 million people in 172
countries. GSM brings the most advanced developments in cellular technology at a
reasonable cost by spurring severe competition among manufacturers and driving down
the cost of equipment. Thus, consumers get the best for the least.
The Service:
GrameenPhone believes in service, a service that leads to good business and good
development. Telephony helps people work together, raising their productivity. This gain
in productivity is development, which in turn enables them to afford a telephone service,
generating a good business. Thus development and business go together. To assure
complete satisfaction of the customers GP formulated a separate Customer
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Management Division which goal is to:
ORGANIZATIONAL STRUCTURE OF GRAMEENPHONE LTD.
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N K A MOBINDIRECTOR, PROJECTS
MD. ARIF AL ISLAMDIRECTOR, FINANCE
EMAD UL AMEEN DIRECTOR, HUMAN RESOURCES
FARHAD F AHMADHEAD OF INTERNAL AUDIT
FRANK FODSTAD DEPUTY MANAGING DIRECTOR
STEIN NÆVDAL-LARSENCHIEF MARKETING OFFICER
AHMED RAIHAN SHAMSI DEPUTY DIRECTOR, COMPANY SECRETARY
Smile M2MSmile M2M is a pre-paid product with mobile-to-mobile connectivity. Any one can make
and receive calls to and from all mobiles (within GP coverage) using Smile M2M Pre-
paid. It has network mobility feature, with which any one can move around the country
with his GP mobile phone (within GP coverage). Here access fee and bill cycle is not
applicable.
Smile PSTNSmile PSTN is a pre-paid product with mobile-to-mobile, isd incoming outgoing
connectivity. Any one can make and receive calls to and from all mobiles using Smile
PSTN Pre-paid. Here access fee and bill cycle is not applicable.
Djuice
Another popular product of GrameenPhone is Djuice, which was specially launched
recently. This product is mainly designed for the young generation.
Xplore PackageXplore Package 1 is the prime post-paid products of GrameenPhone. This phone can
connect all mobiles within the home zone and all GP mobiles throughout GP’s coverage
area as well as all BTTB fixed line telephone connections. It has National Roaming
facility.
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Xplore PackageXplore Package 2 is the prime post-paid products of GrameenPhone. This phone can
connect all mobiles within the home zone and all GP mobiles throughout GP’s coverage
area as well as all BTTB fixed line telephone connections. It has National Roaming
facility. It has 1000 Commitment fee.
GPPP GPPP is the prime post-paid products of GrameenPhone. It is designed only for
business purpose. This phone can connect all mobiles within the home zone and all GP
mobiles throughout GP’s coverage area as well as all BTTB fixed line telephone
connections. It has National Roaming facility. It has 1200tk Commitment fee without vat.
GSM (Global System for Mobile communications) Features of GrameenPhone
GrameenPhone subscribers enjoy the following GSM features without bearing any
additional costs:
Caller ID: Display of the phone number of an incoming call in from one’s handset before the call is
answered.
Call Waiting: While talking to the first caller, customer will hear a special tone informing him/her about
the second call on the line. At that moment he/she can put the first caller on hold and
talk to the second caller.
Call Conference: Receiving calls from multiple callers can be supplemented by joining these multiple
callers so as to enable them to talk to each other. He/she will be able to communicate
with a group consisting of maximum five callers.
Call Divert: Call Divert lets you redirect or re-route one’s call to another GrameenPhone mobile or
any other fixed (if you have BTTB connectivity) or mobile phone.
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Call Barring:Enables one’s to restrict certain types of calls to be made from one’s mobile. This
feature is especially important for security purposes.
Value Added ServicesThe following additional services are available upon request:
Voice Mail Service (VMS): VMS is a unique answering machine. It provides a subscriber with a personal electronic
mail box in our voice mail center. It records your personalized greetings as well as stores
your incoming voice messages. It records incoming voice messages if you are:
1. Outside GP's coverage area or
2. Busy or
3. Simply switched off your mobile.
Short Message Service (SMS):SMS in your mobile acts like an advanced pager. One can send and receive text
messages of up to 160 characters, directly from one GP mobile to another GP mobile.
Fax and Data Service (currently available only to corporate clients): One can use your
mobile phone attached to a computer to send faxes or transfer data. No need to have
connection with a fixed line. One can use this service even when you are on the move
within GP’s coverage area.
Wireless Application Protocol (WAP) Service:
WAP provides easy, secure access to the Internet in text format through the mobile
phone within the GP coverage area.
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Fax and Data Service (Available only to corporate clients):One can use his mobile Phone attached to a computer to send faxes or transfer data. No
need to have connection with a fixed line. One can use this service even when he/she is
on the move within GP’s coverage area.
This is a tool to access WAP-enabled information from the Internet through GP mobile
phones. You can also access your yahoo e-mail account through GP WAP service.
WAP stands for Wireless Application Protocol. Very recently they have launched this
service. This value added service provides easy, secure access to the Internet in text
format through one’s mobile phone within GP coverage. All GrameenPhone users can
avail the service provided who have WAP enabled hand-set and Data enabled SIM card.
Initially GP is planning to launch WAP service in the contents like: E-mail, News,
Entertainment, City Guide, Travel, Emergency, Games/ Puzzles, Fashion/Beauty, and
so on.
Key benefits for a subscriber are of WAP:
1. Easy to use.
2. The possibility of having personalized services.
3. Portability. You do not have to entail separate investment for WAP.
4. Access to a wide variety of services on a competitive market.
5. Fast, convenient and efficient access to services.
Thank youA Grameenphone connection is not just simply a mobile connection; it is the beginning of
a new relationship. Since the start of our operations in 1997, we believe that a special
relationship is formed with each new connection – a time-nurtured attachment that
deepens with every call you make and receive.
Thank you is our way of expressing our gratitude, because not only has your loyalty
touched us but has also made us the preferred mobile operator. Our thankyou program
provides you with a number of rewards that will make your mobile phone experience with
us even more satisfying. But this offer is unavailable at this moment.
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Discount on Voice Calls:As part of the Thankyou program, you will receive discounts and bonus talk-time for Post-paid and Pre-paid voice calls respectively, based on a combination of your total voice call bill and the number of years you have been with GrameenPhone.
Discount through SMSWith Thankyou SMS Discounts, there are shopping surprises with every SMS. Shop with
any one of our Thankyou Partners and send us an SMS (with the store code) at the cash
counter to receive an immediate discount at the store.
Thankyou Crown Grameenphone offers the prestigious Thankyou crown membership to especially cater
to subscribers. Thankyou crown membership offers subscribers special personal service
and care. They will also enjoy exceptional service at all our customer touch-points.
Cell E-mail: Cell E-mail is a state-of the art Technology which offers e-mail service through SMS. It
possesses almost all the aspects of standard web mail and most importantly it is
compatible with almost all GSM handset. Thus providing a way to use email to the
subscribers who don’t have access to Internet. Inforev Limited a local ICT solution
Provider company is providing the solution on behalf of GrameenPhone Ltd.
Exclusive Discounts
Enjoy a wide variety of wonderful discounts with your thank you crown membership at
various exclusive local and International thank you crown partners. As an esteemed
crown member, you will enjoy special discounts at Seagull Hotel, Cox's Bazaar as well
as various International Hospitals, including Bangkok Medical Centre, Thailand and the
Raffles Hospital, Singapore, with many more to come. You will also enjoy wonderful
discounts at more than 200 Thankyou partner locations in Bangladesh.
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News Service (2221/2222): This is a news broadcasting service jointly provided by
Prothom Alo and The Daily Star. A subscriber can call 2221 (Bengali)/2222 (English)
from his/her GP mobile phone and listen to the latest news highlights.
Channel-I Program Schedule (2525): 2525 is a Channel -I Program schedule service.
A subscriber can call this number from his/her GP mobile phone and listen to Channel I
program (daily) highlights.
Channel-I GP Information Services (2626): 2626 is Channel -I and GP information
service whereby a subscriber can avail information on news, events of the day, transport
schedule and horoscope.
Event Based Sports Update (2002): This is an event based Sports Update service. In
respect to special sport's events for Ex. international and national Cricket events,
GrameenPhone updates the latest news, which can be accessed by dialing 2002.
EDGE: GrameenPhone brings you EDGE an advanced mobile technology which enables high-
speed mobile Internet and data services. It is up to 8 Times Faster Than GPRS
Benefits of EDGE:With EDGE, any one can
1 Get Internet access any time, remain connected all the time wherever he or she
is, and have a great Web surfing experience
2 Surf the Internet with super-fast speed from his/her handset
3 Browse contents more easily on his/her mobile phone
4 Send and receive e-mails through his/her mobile phone
5 Send and receive multimedia (pictures, sounds) messages
6 Download better quality content: high-quality ring tones, wallpapers, songs,
movie clips, videos, animated logos, and themes that let his/her customize
his/her handset in many ways.
7 Receive telephone calls even while browsing. Once the call ends, his/her data
transfer will resume automatically.
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What are the EDGE services?GrameenPhone offers the following services:
1 Web surfing (yahoo, Google, etc.)
2 Send and receive MMS (pictures, sounds, video clips, text)
3 Download games, animations, wallpapers, video and audio clips, polyphonic
tones, true tones, themes, color logos etc.
In addition, any one can also use his/her handset as a dial-up modem.
Other Important Services and Aspects of GP:
International Roaming About GP International Roaming: GrameenPhone has been offering International
Roaming facility to its subscribers since March 1999. GrameenPhone is the first Cellular
Operator providing this premium service to its valued subscribers and till today it is the
only company offering International Roaming Service in Bangladesh.
While traveling abroad, a GP IR subscriber can use and enjoy all the operators’ network
coverage and other facilities (with whom GP has International Roaming Agreement).
Subscribers of those Roaming Partner Operators’ can also enjoy network coverage and
facilities of GrameenPhone while visiting Bangladesh.
Currently GrameenPhone has 311 International Roaming partners with networks spread
across115countriesasofFebruary2007.
GrameenPhone is a GSM 900/1800 network and most of its Roaming Partners have
GSM 900 or 1800 networks. However GrameenPhone also has some GSM 1900,
CDMA, 2.5G, 3G and other types of operators as Roaming Partners.
Benefits of Roaming:
1. Using the same mobile number
2. Reachable at one number
3. Same mobile handset
4. Reduce high bill
5. Tensionless traveling around the world
6. Move anywhere, anytime without any notice
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Billing Format and Credit Policy:
GrameenPhone Limited has its own billing format and credit policy. This billing format
describes the different types of charges. The bill has three perforated sections, allowing
payment in a GP partner bank without a deposit slip. The upper portion is to be retained
by the subscriber while the two bottom portions are to be kept by the bank and GP
respectively, with a “paid” stamp placed by the bank on all three portions. The corporate
client of GP receives the total charges of all the mobile phones under the account on the
first page while the details of the charges for each individual mobile phone are provided
in the subsequent pages.
According to the Credit Policy, introduced from January 1, 2000, the credit limit of a
subscriber will be equal to Tk. 1000 plus the amount of security deposit, if any. Once the
total charges (billed or to be billed) exceeds the Credit Limit, the connection will be
automatically barred at any period of the month. The barring will come into effect the
moment the Credit Limit is exceeded. The barring is not related to the monthly bills. It
can happen any time after the Credit Limit is crossed.
The service will be restored immediately after receiving the payment information. A
subscription will be permanently disconnected if the outstanding dues are not paid within
three months of barring of the services.
But now, GrameenPhone subscribers enjoy the new flexible credit policies and online
banking service:
The Services provided for rural subscribersGrameenPhone believes in service, a service that leads to good business and good
development. Telephony helps people work together, raising their productivity. This gain
in productivity is development, which in turn enables them to afford a telephone service,
generating a good business. Thus development and business go together.
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Service for the Rural Poor People:
Establishing a nation wide network gives fair access to all geographical areas. From a
business point of view, this strategy serves the long distances as well as the rural
markets. This emphasis on rural coverage brings a much needed infrastructure in the
underdeveloped rural areas. In collaboration with Grameen Bank, which provides micro
credit only to the rural poor, GP utilizes the bank borrowers to retail telecom services in
the rural areas. Leveraging on Grameen bank borrowers reduces the distribution costs
of GrameenPhone rural services, contributing to the profitability of this segment. By
bringing electronic connectivity to rural Bangladesh, GrameenPhone is bringing the
revolution to the doorsteps of the rural poor and unconnected.
Village Phone Program
The Village Phone program is GrameenPhone's unique method of bringing connectivity
to the rural areas of Bangladesh. This program enables Grameen Bank's borrowers to
retail telephone service in their respective villages, and has the potential to penetrate the
rural areas rapidly and effectively. A typical Grameen Bank borrower takes a loan of Tk
6000 without collateral from the Bank to purchase, say, a cow. The cow would then
produce milk that the borrower could sell to her neighbors enabling her to make a living
and pay off the loan. The process allows the poorest of the poor to stand up on their
feet. In the case of Village Phone, a telephone also acts as an income generating
mechanism for a borrower; a telephone serves as another "cow." A woman borrows
about Tk 20,000 from the Bank and purchases a handset and sell telephone services to
the villagers, making a living and thus paying off her loan. It creates a self-employment
opportunity in each village and provides access to telephones to all. Grameen Telecom,
Grameen Bank's arm for administering the Village Phone operators, typically selects
women by considering past borrowing records with the Bank. There are 2144 Village
27
Phones in operation today and soon thousands of Village Phones around the country
are expected across rural Bangladesh.
Health Line:Health Line service is the most key concern service provided by the GrameenPhone. For
this service GrameenPhone has got the GSM award. Health Line is the Health
Information Service (HIS) for the GrameenPhone (GP) valued subscribers. GP
subscribers will get medical information and services from Health Line medical call
center. Health Line program will deliver medical advice/consultation for both adult and
pediatric patients over mobile phone using:
-- Standard and internationally used medical triage software
-- Pharmacy & Laboratory Information System software
The hotline number for Health Line that will act as the "First Point of Contact" both for
emergency and non-emergency medical needs of GP subscribers.
Product and Service:• Doctor and Medical Facilities Information
• Drug and Pharmacy Information
• Laboratory Test Interpretation
• Medical Advice/Consultation (Member’s Only)
GP’s present State:
At 1997 March 26, 1997 GrameenPhone launched its service on the Independence Day
of Bangladesh. After ten years of operation, GrameenPhone has almost 13 million
subscribers as of January 07 and the present growth rate is 3 & current market share is
63%. From 1997 to 2007 market growth and customer base can be shown in the follows
figure;
28
29
SUBSCRIBER BASE (1997- EOY January ‘07)
Growth: 100%
Growth: 219%
Growth: 146%
Growth: 64%
Growth: 67%
Growth: 109%
Growth: 47%
Growth: 132%
Growth: 94%
Growth: 3%
18,00030,000 60,000191,690
471,371774,881
1,140,531
2,388,158
5,542,362
10,758,708
11,076,921
0
2,000,000
4,000,000
6,000,000
8,000,000
10,000,000
12,000,000
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
Year
The Corporate Responsibility:
The shareholder of GrameenPhone believes that “Good business is good development”.
Since its inception, GrameenPhone has always considered Corporate Social
Responsibility (CSR) to be an important function of the company.
Along with providing telecommunication service to almost 13 million people, providing
direct income earning opportunities to a large number of people and being one of the top
corporate taxpayer in the country, GrameenPhone has an extensive CSR program.
GrameenPhone has developed a very strong CSR program over the years, some of
which are highlighted below:
The Village Phone Program of GrameenPhone is a unique initiative which provides
access to telecommunications facilities in remote rural areas where no such service was
available before. The Program enables mostly poor village women to own a Village
Phone subscription and retail the phone service to her fellow villagers while providing
them with a good income-earning opportunity. It is administered by Grameen Telecom in
cooperation with Grameen Bank, the internationally renowned micro-credit lending
institution.
GrameenPhone supports a number of national socio-cultural activities including
sponsoring the national book fair (Ekushey Boi Mela), National Poetry Festival,
Children’s art competitions, and other events.
GrameenPhone actively participates in development of cricket in the country and is
presently the official sponsor of the Bangladesh National Cricket Team. It has also
sponsored the national under -17 team, Premier cricket league etc. GrameenPhone also
sponsors the President’s Cup Golf tournament and other sports events.
The company takes an active interest in spreading IT education through both urban and
rural schools. Over the years, GP has donated more than 100 computers to a number of
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mostly rural schools, benefiting thousands of poor students.
During the floods of 2004, GP was actively involved in helping flood- affecting people by
donating and supplying medicine, drinking water and arranging health camps.
A donation of BDT two million was made to the Bangladesh Red Crescent Society’s
earthquake preparedness and awareness program.
The company actively participates in the city beautification program initiated by Dhaka
and Rajshahi City Corporation and supports improvement of the traffic systems in major
cities.
GrameenPhone supports the Acid survivors Foundation and a project for austistic
children by providing supports for their education and improvement of earning ability.
Moreover, GP has also restored the exterior of the historic Old Railway Station Building
in Chittagong as per its original architectural design. It has sponsored a scholarship fund
for the poor and meritorious students of the Finance and Banking Department of Dhaka
University in cooperation with the Finance and Banking Alumni Association. GP has also
donated 16 computers to two schools for underprivileged children.
The Corporate Business StrategyGrameenPhone's basic strategy is coverage of both urban and rural areas.
GrameenPhone builds continuous coverage, cell after cell. While the intensity of
coverage may vary from area to area depending on market conditions, the basic strategy
of cell-to-cell coverage is applied throughout GrameenPhone's network.
To assure Customer Satisfaction, GrameenPhone had expanded the resources and
extended its services in accordance to its inclining customer segments and needs as a
mandatory requirement:
Resources Vs Customers 2002 2003 2005 June'06
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Subscriber (Figure in '000) 775 1,200 5000 9634
No. 0f Employee 695 795 2100 3953
Base Station 500 590 1515 1750
Roaming Partners 127 199 275 317
Achievement:GrameenPhone has been recognized as the market leader with 12832374 upto march
29, 2007 among them prepaid subscribers are 12248824 and post paid subscribers are
583550. This is the great achievement of GP. As a telecommunication service provider
GrameenPhone Ltd. plays a very important role in the economic development of
Bangladesh. National Board of Revenue (NBR), Ministry of Post and
Telecommunication, Bangladesh Telephone and telegraph Board (BTTB) and
Bangladesh Railway (BR) are Government bodies that are directly or indirectly benefited
by Grameen Phone Ltd.
Now people are able to get communication benefit from GrameenPhone. By bringing
electronic connectivity to rural Bangladesh, is brining the digital revolution to the
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doorsteps of the poor and unconnected. Grameen bank borrowers are engaged in a
business by providing valuable phone service to their fellow villagers. For them mobile
phone is a weapon against proverty
SWOT analysis of Grameenphone at a glance
The overall evaluation of a company’s strengths, weakness, opportunities and threats is
SWOT. As a key tool of analyzing internal and external environment of the company
almost all the companies of modern age frequently use SWOT.
Strength:
Capital
Grameenphone was started their operation with huge amount of capital mainly invested
by the shareholders. The Capital size is $191 million. In fact, world famous institutions
like IMF, World Bank, senior lender etc. have sanctioned loan for GP. Besides this,
Grameenphone is going to enter into capital market to ensure more investment. This
capital is about 4000 core Tk. It indicates a strong capital background of
Grameenphone.
Good Owner Structure
GrameenPhone has the best owner structure in the telecommunication industry of
Bangladesh. Telenor is one of the largest company, which is operating in different
countries around the world. Again, in Bangladesh, Grameen Bank is one of the largest
NGO, which has the better communication all over the country.
Network Availability
GP get the recognition as a market leader with almost 13 million for their emerging
network coverage. GP has installed network in 61 out of 64 districts and 506 thana in the
country. In every day the network is being developed. That’s why the company can
provide better connectivity in most of the area of the country.
Optical fiber network
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GP is using the optical fiber network of Bangladesh Railway. There is a contract
between GrameenPhone and Bangladesh Railway that GP will use this network for the
next 25 years. This advantage enables GP to set a Nations Wide Network in a very
competitive cost.
Market Leader
GrameenPhone is the first organization in Bangladesh, which have reached to the
general people. Though City Cell had started their operation beforehand, but they were
unable to reach the general people. So, the people are being used to with
GrameenPhone. This is a huge advantage of GrameenPhone.
Active Management Team
4,574 Motivated Employees at different age groups are involved in doing different
operation in Grameenphone. They always involve in active participation in decision
making. So, we can say that Grameenphone has a dynamic management team that
consists of expert from both home and abroad. This helps GP to always remain on
leading position and move forward at a consistent rate.
Effective Support Organization
GrameenPhone have shared the idea from the employees of Bangladesh Railway and
Grameen Bank, who are experienced and were able to provide precious guideline for the
operation of GrameenPhone.
Innovative
For the continuous improvement, GrameenPhone is opened to receive new ideas. They
continuously find new and better ways to serve subscriber through technology and
service and have even introduced products that did not exist in the telecommunication
industry previously.
THE CULTURE
GrameenPhone has a conducive and safe working environment. Besides focusing on
customers and communities, they are committed to treating their employees with
integrity, dignity and respect. The organization’s intent is to establish good working
relationship through a mutual understanding of expectations.
GrameenPhone believes in working in a team and demonstrate the team spirit to
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maximize and excel in standard quality service to their valued subscribers in the area of
telecommunication. Beside this, employees work in an environment where they feel
valued, responsible and supported by the authority as well as by their colleagues.
High Ethical Standard
To keep the quality of service, GrameenPhone is strict to follow its ethical standard.
International Roaming
GrameenPhone has inaugurated a new era in international roaming facility for GP post
paid subscribers. These subscribers can avail this facility after fulfilling some
requirements. Currently GrameenPhone has 311 International Roaming partners with
networks spread across 115 countries as of February 2007. GP promotes international
roaming with internet access.
24 hours customer services:
GrameenPhone has introduced some hotline through which Subscriber can get 24 hours
customer service from GP. In this hotline Subscribers can talk in Bangle and English
language. For the greater interest of Subscriber GP also introduced dialect base
language. In this dialect Subscribers are served in regional language. So, this service
keeps a continuous relationship with the subscribers
Face to Face Service
GrameenPhone subscribers can get prompt and instant service from GPC, GPSD,
GPCF etc. Nevertheless platinum crown member subscribers can get better service
stay at home. GrameenPhone has opened 18 GPC and 602 GPSD for providing face to
face better service.
Weakness:
Weak Coverage
Although GrameenPhone claim that country wide network with coverage of 61 districts
and 506 thana in the country, some district’s subscriber like nohakali Netrokona,
Laxmipur, Naogaon, Pirojpur, Maulvibazar, Habiganj, Cox’sBazar and so on, can not
communicate effectively in these weak networks. Whenever GP offer a new promotion
some valuable subscribers can not get connected. Recently these subscribers are facing
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this problem due to 12 pm to 4pm promotional offer.
Network development problem
Here mentioned that GP has an emerging network throughout the country. It is always a
problem to keep a consistent service in a situation of frequent development.
Culture Gap
In GrameenPhone management, employees from different country are existed.
Suppose, The Managing director is a Norwegian, Director from technical is Indian and
many more employees come from different country. That’s why; some times there may
be lack of understanding due to cultural gap.
Different Ideas create problem: In GrameenPhone, this is highly encouraged to apply
new strategy for the better performance. Sometimes it creates problem because
employees are used to with the previous strategy.
Complicated Pricing Structure
GrameenPhone has lots of products. The pricing of these products and their billing
policies are different which also difficult for a user to understand.
Incomplete Messages through Promotional Activities
Most of the time, the advertisement of GrameenPhone do not convey the appropriate
messages. Not only that, most of them are also so confusing to understand. As a result
subscribers get the wrong meaning of what has been said to them.
Problem Contained Offers
Recently all most all of the new offers of GrameenPhone are having some technical
problems. Either they are not working at all or part of the services of those offers is
disabled. For example recently xplore subscribers and business solution are offered
respectively 300 and 450 minutes free talk time for FnF number but they cannot active
FnF number. Not only that, GrameenPhone is also delaying to solve those problems
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which is only raising the dissatisfaction level of its subscribers.
No International SMS
GrameenPhone does not ensure international SMS, which brings dissatisfaction of
international roamer.
Opportunities:
Government taking steps
Bangladesh Government recently getting the submarine cable connectivity. By using
this, people can brows & communicate with others people with very minimum cost all
over the world. So GP has the opportunity to become the leader in the industry within the
country.
Declining Prices for Handsets
Few years ago the people of low income could not effort mobile phone services due to
the high price of handsets. Now the price of handset has decreased and the low income
people want to get connected through mobile phone.
Economic Growth of Bangladesh
The economic growth of the country will increase the expansion of telecommunication
industry. From 1995 to 2007, there is a huge change in telecommunication sector.
New and Better Interconnect Agreement
GrameenPhone is going to have agreement with T&T to have better connection from
land phone. The organization has agreement with other operators like AKTEL, City Cell
or BanglaLink to have better internal connectivity.
Huge Demand for Telecom Services
The market of telecommunication is expanding. So, this is easy for GrameenPhone to
achieve the major portion of expanded market because of its leading position.
New International Gateway
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As BTTB has established new gateway to connect internationally, this is easy for mobile
phone companies to provide services of ISD call and international roaming.
Land Phone:
Bangladesh Government has already started to provide license to private sector to setup
land phone. GrameenPhone has a very good reputation in the country. They can
capitalize this goodwill and take initiatives to enter the market of land phone.
Threats:
More Rigid Government Regulations
Government is becoming restricted for taking away currency from the country. So,
Foreign Company are threatened because they may have risk to payback their
investment to the country. The government also put restriction for the work permit of
foreign employee.
Other existing operator Among the existing competitors, Banglalink, AKTel and City Cell are planning to develop
country wide network and take many promotional activities. This may make hindrance to
take current advantage enjoyed by GrameenPhone alone.
Political Instability
Political instability is another threat because, with the change of Government, policies
are also changed. So, this is difficult for any multinational & national organization to cope
with new policies.
Devaluation of Taka
The rate of devaluation of money is very high. As the investments occurs in foreign
currency, that’s why the devaluation of Taka decrease profit from financial point of view.
Price War
Recently this has become the most important concern for any mobile operator. To
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remain competitive in the market, operators have to reduce prices, which causes of
reduction of revenue.
In the above discussion it is clear that GP has huge strength and opportunity. If GP can
utilize all the advantage properly and minimize the weakness & threat then GP can
retain its leading position and can continue forever.
Telecommunication Industry overview
Telecommunication Industry in SAARC Countries
Bangladesh has one of the lowest tele-density and the lowest telephone penetration
rates in the world and even in the South Asia. According to the International
Telecommunication Union (ITU) report, the telecommunication revenue as a percentage
of the GDP is also low in Bangladesh compared to the other regional countries. Among
the SAARC countries per 100 inhabitants Maldives has the highest tele density while
Bangladesh has the lowest.
Country Nepal Bhutan Bangladesh Pakistan India Sri Lanka Maldives
Number of
Telephone
per 100
Inhabitant
1.34 2.03 3.9 4.19 5.01 8.1 16.92
Source: GP Annual Report 2007
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Figure: Number of telephone per 100 inhabitants in SAARC countries.
Telecommunication Industry in Bangladesh
Mobile telecommunication industry in Bangladesh is in growth stage because still most
of the people can not afford its high operating cost. In the early 90’s City Cell started the
journey of mobile industry in Bangladesh. In the first few years it was the only company
in the industry and made the mobile industry monopoly. But the emerging of new mobile
operators broke the monopoly.
The telecommunication sector in Bangladesh is poised for rapid growth in the early 90s.
The concept of mobile telephony has become largely familiar and phenomenal in
Bangladesh from the early 90s. The sector, particularly which of mobile phones, is one
of the fastest growing areas of the economy. The growth potentials will continue to
remain robust for the foreseeable future. There are five telephone operators in
Bangladesh at the moment. Among them one is Government owned telephone operator:
Bangladesh Telegraph and Telephone Board (BTTB) announced “Teletalk” and the
other four are privately owned companies namely Grameen Phone Ltd. Telecom
Malaysia International Bangladesh (IMIB) owned “Aktel”, Tele-giant Orascom owned
