Reliance communication A brief study on “Analysis of services of Reliance Communication for Retailers & Contribution of PRCV” At Reliance Communication, Kasi Palace , 6 th floor Patna A PROJECT REPORT Submitted in the partial fulfillment of the requirement FOR THE AWARD OF THE DEGREE OF POST GRADUATE DIPLOMA IN MANAGEMENT (Equivalent to M.B.A) AWARDED BY INDIAN INSTITUTE OF BUSINESS MANAGEMENT, PATNA INDIAN INSTITUTE OF BUSINESS MANAGEMENT | 1
Transcript
A brief study on
“Analysis of services of Reliance Communication for Retailers
Submitted in the partial fulfillment of the requirement
FOR THE AWARD OF THE DEGREE OF
POST GRADUATE DIPLOMA IN MANAGEMENT
(Equivalent to M.B.A)
AWARDED BY
INDIAN INSTITUTE OF BUSINESS MANAGEMENT, PATNA
(An Autonomous Institute approved by All India Council for Technical Education, Ministry of Human Resource Development, Govt. of India)
Under The guidance of :- Prof. Chdra Shekhar Dayal
Mentor in the Company :- Mr. Arvind Kumar (Cluster Head , Bihar)
Submitted by :- Abhilash
Roll no :- 16
Batch :- 2012-2014
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GUIDE CERTIFICATE
This is to certify that this project entitled (Analysis of services of Reliance Communication for Retailers & Contribution of PRCV) is submitted by Mr. Abhilash, Roll No. :- 16 of Post Graduate Diploma in Management (Equivalent to M.B.A) with specialization in Marketing Management, Session:- 2012-14 has been carried out under my supervision and guidance.
The project is the embodiment of his compressive and meticulous study of the subject.
His dedication and keen interest in the study is highly appreciable.
Prof. C S DAYAL
(Placement Committee Head)
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ACKNOWLEDGEMENT
I wish to express my gratitude to Reliance Communication.
Management for giving me an opportunity to be a part of their esteem organization and enhance my knowledge by granting permission to do summer training project under their guidance.
I am grateful to my Mentor Mr. Arvind Kumar (Cluster Head), Mr. Dheeraj Das (Team Sales Manager) and my placement officer Sri C. S DAYAL SIR for their invaluable guidance and cooperation during the course of the project. He provided me with his assistance and support whenever needed that has been instrumental in completion of this project.
The learning during the project was immense & invaluable. My work basically included the study of various ways for developing marketing strategies for the company . The present report is an amalgamation of my thoughts and my effort you study the various ways of developing the marketing strategies for the company. Further a detailed study has been done in order to suggest the feasible strategies that would enhance its market share.
Summer Trainee
Abhilash
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PREFACE
The summer training programs are designed to give the practical knowledge of corporate world. Training is usually meant for such vacations where advanced theoretical knowledge is to be backed up by practical experience on the job and it is because of this reason that summer training programs are designed. So, that the future manager must be ready to take the future responsibilities.
It was exactly in this context that I was privileged enough to join Reliance Communication one of the biggest name in the Telecom sector.
During this period, I was appointed for the analysis of services provided by reliance to the retailers and also look out the contribution of PRCV.In this period I was also expected to know the retailers issues and try to sort out them as soon as possible, and I have to try to answer their query. In the training program I had tried my level best to arrange the work in systematic and chronological way.
This endeavor work shall provide the Reliance marketing department an idea about market condition and further they can work on it for bettering the facility.
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DECLARATION
I Mr. Abhilash, a bonafide student of the INDIAN INSTITUTE OF BUSINESS MANAGEMENT, Patna hereby declare the institutional Training.
Report submitted by partial fulfillment of the requirements of the degree of Masters of business Administration of the IIBM, is my original work.
Date : Name : Abhilash
Place : Patna Roll no: 16
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CONTENT
CHAPTER 1 : INTRODUCTION
: Introduction of the company.
: Overview about Reliance
: Study of organization
: Organization structure
: History of Reliance Communication in India
: Facts about Reliance Communication
CHAPTER 2 : MAIN STUDY and DATA ANALYSIS
: Research Methodology
: Objective and purpose of the study
: Analysis of problem
: Solutions
CHAPTER 3: Appendices : A- BIBLIOGRAPHY
B- Questionnaires
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CHAPTER – 1
INTRODUCTION
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INTRODUCTION OF THE COMPANANY
Reliance Communications Ltd. (commonly called RCOM) is an Indian broadband and telecommunications company headquartered in Navi Mumbai, India. RCOM is India's second largest telecom operator, only after Bharti Airtel. It is world's 15th largest mobile phone operator with over 150 million subscribers. Established in 2004, it is a subsidiary of the Reliance Group. The company has five segments: Wireless segment includes wireless operations of the company; broadband segment includes broadband operations of the company; Global segment include national long distance and international long distance operations of the company and the wholesale operations of its subsidiaries; Investment segment includes investment activities of the Group companies, and Other segment consists of the customer care activities and direct-to-home (DTH) activities.
Major subsidiaries
Reliance Mobile Was Launched on 28th December 2002. It provides GSM & CDMA Services. Currently Reliamce Mobile has 150 million subscribers across India, Reliance Mobile is India’s largest mobile service brand. Reliance Mobile services now cover over 24,000 towns, 6 lakh villages, and still counting.
GSM Reliance provides it's GSM Services Current in following 23 Telecom Circle i.e Andhra Pradesh, Assam, Bihar & Jharkhand, Chennai, Delhi, Gujrat, Haryana, Himachal Pradesh, Jammu & Kashmir, Karnataka, Kerala, Kolkata, Madhya Pradesh & Chattisgarh, Maharashtra & Goa, Mumbai, North East, Orissa, Punjab, Rajasthan, Tamil Nadu, Uttar Pradesh (W), Uttar Pradesh (E) & West Bengal. Reliance also provides it's Mobile Internet Services.
3G
Reliance Hello Wireless Landline
In 2010 Reliance Launched 3G Services in 13 Telecom Circles i.e Assam, Bihar & Jharkhand, Delhi, Himachal Pradesh, Jammu & Kashmir, Kolkata, Madhya Pradesh & Chattisgarh, Mumbai, North East, Orissa, Punjab, Rajasthan & West Bengal
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CDMA
Reliance Hello Wireless Landline
Reliance provides CDMA Mobile & Wireled & Wireless (Hello) Landline Services services following 23 Telecom Circle i.e Andhra Pradesh, Assam, Bihar & Jharkhand, Chennai, Delhi, Gujrat, Haryana, Himachal Pradesh, Jammu & Kashmir, Karnataka, Kerala, Kolkata, Madhya Pradesh & Chattisgarh, Maharashtra & Goa, Mumbai, North East, Orissa, Punjab, Rajasthan, Tamil Nadu, Uttar Pradesh (W), Uttar Pradesh (E) & West Bengal.
Reliance Netconnect+
Reliance provides High Speed Wireless Internet through it's Netconnect+ CDMA EVDO 1X Technology. Reliance Netconnect+ Plus provides Download speeds up to 3.1 Mbps and upload speeds up to 1.8 Mbps. Currently Reliance Netconnect+ is available 24,000 towns and 6 lacs villages, as well as along major highways, railway routes, airport lounges and remote locations in India.
Reliance Broadband
Reliance provides High Speed Wired Broadband through Fiber Optic Cable in major Citites, Towns & Villages across India. Reliance Broadband provides speed more than 10MBPS.
Acquisition
FLAG Telecom Yipes ethernet service Digicable Vanco
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OVERVIEW ABOUT RELIANCE
Overview
All major Telecom Service Providers…
Are large companies with national footprint. Have invested huge amounts of monies. Provide connectivity to end customers. Provide plethora of services viz., Internet, VPN, leased lines, etc. Have millions of customers across Enterprises, SMEs, SOHOs. Yet there is a difference.
RCOM has…
Network reachOver 800 global, regional and domestic carriersOver 2,100 Indian and Multinational corporationsProviders of cutting edge connectivity to over 850 of top 1000 companies in IndiaConnecting 2.5 million individual overseas customers190,000 kms of fiber optic connecting over 1 million building across 44 cities with over 1.4 million access lines9 data centre with data storage space of over 6.5 lakh sq. ft.
Scalability
RCOM uses fibre-to-the-building approach helping in creating a network with unlimited capacity and ability to support gigabit per second bandwidth services for customers.
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Network architecture
Architecturally the network is generations ahead of other incumbent networks in India. A ring protected FTTB architecture that gives an enhanced uptime.
End-to-end owned infrastructure
Only RCOM has a fully end-to-end owned infrastructure with last mile access, nationally as well as internationally, thereby keeping things under one control.
Integrated global player in true sense
RCOM, as a telecom player, satisfies your every telecom need, right from a mobile connection to broadband to International leased circuit.
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STUDY OF ORGANISATION
MISSION, VISION & VALUE
MISSION
We will create world-class benchmarks by:
Meeting and exceeding Customer expectations with a segmented approach.
Establishing, re-engineering and automating Processes to make them customer centric, efficient and effective.
Incessant offering of Products and Services that are value for money and excite customers.
Providing a Network experience that is best in the industry.
Building Reliance into an iconic Brand which is benchmarked by others and leads industry in Intention to Purchase and Loyalty.
Developing a professional Leadership team that inspires, nurtures talent and propagates RCOM Values by personal example.
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VISION
By 2015, be amongst the top 3 most valued Indian companies,
Providing Information, Communication& Entertainment services, and being the industry benchmark in
Customer Experience, EmployeeCentricity and Innovation.
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ORGANIZATIONAL DESIGN& STRUCTURE
Organizational Design and Organizational Structure
1. Organizational Design- management decisions and actions that result in a specific organization structure.
Four Design Decisions
1. Division of Labor – process of dividing work into relatively specialized jobs to achieve advantages of specialization.
Division of labor in organization can occur in three different ways:a. Work can be divided into different personal specialties.b. Work can be divided into different activities necessitated by the natural sequence of the work the organization does.c. Work can be divided along the vertical plane of an organization.
2. Departmentalization – process in which organization is structurally divided by combining jobs in departments according to some shared characteristics or basis.
Some of the more widely used departmentalization bases are the following:a. Functional departmentalizationb. Territorial departmentalization
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c. Product departmentalizationd. Customer departmentalization
3. Span of Control – number of individual who report to a specific manager.
Three important factors in determining the managers span of control:a. Required contactb. Degree of specializationc. Ability to communicate
4. Delegation of Authority – process of distributing authority downward in an organization.
Decision Guidelinesa. How routine and straightforward are the job’s or unit’s required decisions?b. Are individuals competent to make the decision?c. Are individuals motivated to make the decision?d. Do the benefits of decentralization outweigh its costs?
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Organizational structure
Structure is a way an organization’s unit related to each other, centralized , functional divisions , decentralized , a matrix , a network , a holding etc.
Magnasoft : The organizational structure is schematically in :1. The detail roles and responsibilities.2. Individual ownership of activities.3. Individual ownership of work product.4. Reporting structure is a mix of hierarchary and matrix
nature, ensuring effective communication.5. Teams are continuously and timely trained on the
work domain of process , application and technology.
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Chapter 2 Main study
Objective of the work
To know the market share of Reliance in Patna city.
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Try to know the problem of retailers regarding services or product given by the company as well as the Distributor point.
Sort out the problems by concerning to DSR, TSM, ASM or Cluster head.
Giving full information of the plans and flow up the latest plan.
Try to motivate them for more activations.
Boost them to increase PRCV and also give awareness about the PRCV profits.
Ensuring the visibility of the product.
Ensuring the availability of the product at the retailers point.
Retailer’s expectation from the company.
Working Methodology
Route visit
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I have been given Patna City area under Mr. Dheeraj Das TSM. I use to visit alone in the market through my own conveyance.I he 250 retailers point.
Every morning I went to one corresponding route &observed all techniques of selling product to retailers & also try to know the mentality of the consumers and retailers.
During my work I use to take 5 min interview with the retailers and give some more time to them to understand their problem.I was also giving time to some customers who came for the new Sim and I avail to retain them and try to give full information and benefits about Reliance.
Analysis of Problems
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As I have visited approx 250 retailer’s point. I have came across many issues of retailers as well as I have got interact with reliance customers also and I tried to know their problem also.
Retailer’s problems:
DSR do not flow up the latest plan.
Network problem (server down).
Some time activation takes long time.
Some of the Sim were activated but after few days it is gone de activated which leads to bad good will of company as well as retailer’s point.
Some time MNP is not successful which leads to number deactivation.
Inner side of Marsalani which is not very much developed, some of the retailers are their also but instead of visiting their DSR use to tell them to submit their CAF themselves or submit to some other retailer’s point.
Re-documentation takes time a lot.
Customer’s problem:
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Network Deduction of balance without any reason and for getting the deducted balance back customer should call register the complain.(same problem to many customers)
Plans are costly.
Reliance is not providing good quality of CDMA handsets.
In reliance plans are activated automatically without the knowledge of the customer and on the query of the customer they accept the fault and pay back the money.
As per the survey | 21
Reasons and solution-
Reasons behind low activation percentage-
Reliance activations share shown above is including both GSM and CDMA which is 33.3% and if we will compare it to Uninor who is providing only GSM service is having 27.3% market share in activation.
Following are some reasons:
On 1 Sim activation(GSM) retailer makes an FRC of 32rs in which customers are getting
30rs talktime,50mb 2g data
20p R-R
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33%
16%14%
27%
10%
ActivationReliance (GSM & CDMA) AirtelVoda Uninor Idea
30p R-O
35p STD
Plans valid for 30 days where if we will compare with Uninor FRC plans
First they are having each FRC for 90 days
Each plan have some thing extra like free net data,U-U or U-O etc.
As per the retailers point activation don’t take a lot time.
Solution:
Increase the FRC rate upto 45-60 and give instead of giving any balance give the customers some local R-R or R-O free usage.
Increase the Validation not for 90 but atleast for 60 days.Now a days customers are very much conservative about the money they want to pay whatever they incurred so instead of 20p or 30p we should make it to 1p/sec or 1.2p/2 sec.
(Above whatever I have shown you is just a customer mindset)
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And further if we will look on CDMA we have a plan of 56 in which customers are getting:
180 min. local call free M1-60, M2-60,M3-60.
50 MB data free
As per the customers complain in first month customer gets the 60 min but in the next or the other next month they do not get it. Solution:
Customers are not very much happy with getting extra free call min. in 2 or 3 month they want that at the same point for the same month.
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30%
18%20%
18%
14%
PRCVReliace (GSM and CDMA) AirtelVoda UninorIdea
Through these figure we can say that the share are equally divided, but PRCV have not very much success as they can.
Failure reasons:
Main reason why retailers are not very much interested in PRCV is that when they use to give it to customers, customers are not very much familiar with recharging and they return back it to retailers for make the procedure to recharge through PRCV.
Retailers are having problem with defected piece.
Some of the retailers are not aware about the the validation(they do not knowing that PRCV is having no expiry date)that’s why they are not taking it in a big amount.
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Retailers use to keep it in the box or in the counter which is not visible to the customers.
Front side of PRCV
Reliance Communication (GSM)
RS 20
Back side of PRCV
……………………….
*305* <pin no.> #
If we will see the coupons the procedures were written are not visible to almost anybody…which creates problem for retailers. Even the procedure are written in English and many of the people can’t go through it because of illetracy.
Solution:
During my SIP I have flowed up a procedure pamphlet of PRCV recharge which can help retailers to get rid of that issue, but its not possible to flow this pamphlet to a mass retailers.
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First company should make the PRCV slight bigger size.
Procedure should be in Hindi and font should be large so that customers can easily read the procedure.
For the PRCV visibility to the customers company should provide some attractive Wall counter for PRCV, and on that also all the PRCV plans should be given.
For cross checking whether retailers are keeping it at their place or not DSR should look up it on regular basis.
Because of low visibility customers are not aware about the benefits of the PRCV.
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If we will exclude above problems. We have some more problems below which will also shows the reason of low market:
About plans:
If we will look up our competitors specially Uninor they are having better plan than Reliance. Lets see some examples:
If we will look out full talktime plans Reliance are starting from 110 and if we will compare to Uninor they have full talktime starting from 20.
Uninor is giving offers like 90 in 80, 200 in 170, 410 in 340 etc.
If we will talk about special tariff plans or combo packs Reliance – 17rs all local/STD 40p/min. valid for 14 daysUninor - 16rs ” valid for 30 days
Reliance- 148rs 330 local min valid for 28 daysUninor - 35rs 6000 local sec. valid for 15 days
Reliance- 65rs 230 local onnet valid for 15 daysUninor - 38rs 30000 local U2U valid for 30 days
Reliance- 41rs 75 STD min valid for 28 daysUninor- 41rs 100 STD min valid for 30 days Here we can see the difference of some plans.
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Call Quality:
Call quality is low. Sometimes call disconnected in between only.
More :
Other companies like Airtel and Aircel are giving some 2G data free regularly for promotion of their 2G internet. As Aircel is having better speed than Reliance if we will look up in 2G.
For retaining and maintain good relation with the loyal customers we should give them some extra benefit like:
2yr old customer should be given 100MB data or some free min.
3yr old customers should be given 200MB data or some free min. etc
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CHAPTER 3: Appendices :
A- BIBLIOGRAPHY
B- QUESTIONNAIRES
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BIBLIOGRAPHY
1. Marketing Management : Philip Kotler2. Marketing Management : S Nama Kumari3. www.rcom.co.in 4. www.wikipedia .com
