Ptcl Final report internship

98
Preface In fact, for the students of BBA The Six weeks internship is a golden chance to develop the capability and skill of administration and management in the practical environment of different organizations. In the context, I select the PTCL (PAKISTAN TELECOMMUNICATION COMPANY LIMITED). This report shows and will guide the readers to have an idea about maintain accounts, its operations and the practices followed today in Pakistan. My reasons for doing the internship program in PTCL is to get firsthand knowledge about maintain accounts and improve my business life, because PTCL is the best organization indeed. I tried to remain to the point, in writing the report. Brief history, management, organizational structure of PAKISTAN TELECOMMUNICATION COMPANY LIMITED and my work at branch, suggestions, for improvement are also given in it. Moreover, particularly being a student of Business it is necessary for me to get practical knowledge of the managerial & financial activities of the organization. So I have tried my best to learn a lot about accounts because it relates with financial activities. I have made all possible efforts to summaries the broad history and working of the organization This work is a collection of my observations and experience during the internship period and afterward. The sources of my 1

description

detail information about ptcl working in pakistan, it is good for students

Transcript of Ptcl Final report internship

Page 1: Ptcl Final report internship

Preface

In fact, for the students of BBA The Six weeks internship is a golden chance to develop

the capability and skill of administration and management in the practical environment of

different organizations. In the context, I select the PTCL (PAKISTAN

TELECOMMUNICATION COMPANY LIMITED). This report shows and will guide the

readers to have an idea about maintain accounts, its operations and the practices followed today

in Pakistan. My reasons for doing the internship program in PTCL is to get firsthand knowledge

about maintain accounts and improve my business life, because PTCL is the best organization

indeed.

I tried to remain to the point, in writing the report. Brief history, management, organizational

structure of PAKISTAN TELECOMMUNICATION COMPANY LIMITED and my work at

branch, suggestions, for improvement are also given in it.

Moreover, particularly being a student of Business it is necessary for me to get practical

knowledge of the managerial & financial activities of the organization. So I have tried my best to

learn a lot about accounts because it relates with financial activities. I have made all possible

efforts to summaries the broad history and working of the organization

This work is a collection of my observations and experience during the internship period and

afterward. The sources of my information for the preparation of this report also include the

written notes, literature on banking, and verbal discussion with staff members, senior students

and my fellows.

Internship Program is a conventional constituent is part of total spectrum of M. Com. The

information contained in the report is based on my personal observation, practical working and

interviews with the staff during my internship training.

1

Page 2: Ptcl Final report internship

Dedication

No words can adequately express my overriding debt of gratitude to my parents whose

support helps me in all the way. Above all I shall thank my friends who constantly encouraged

and blessed me so enable me to do this work successfully.

2

Page 3: Ptcl Final report internship

Acknowledgements

In the name of Allah, who gave me ability and strength to complete my internship. I owe

considerable debt to large number of persons who either directly or indirectly helped me during

various phases of internship. It was a new experience, exciting but challenging and indeed

guidance rather frequently, which was afford very generously.In PTCL I am grateful to all the

staff members for providing me an opportunity to work in the organization at the style and speed

of my convenience. I also wish to record my gratitude for the following staff members for

transforming my theoretical knowledge in practical understanding, despite their heavy

commitments they always found time to answers my questions, resolve queries and never ran out

of patience.

Executive Summary

By the grace of almighty God, I have successfully completed my 8 weeks internship as per

requirement of M.com course. I was appointed at PTCL Headquarter Islamabad Sector G-8/4. I

feel my self-lucky to have worked with such a cooperative, dedicated, result-oriented team. They

all helped me in every possible way they can. I was happened to work in INTERCONNECT

REVENUE DEPARTMENT.

With employee strength of 30,000 and 5.7 million customers, PTCL is the largest

telecommunications provider in Pakistan. PTCL also continues to be the largest CDMA operator

in the country with 0.8 million V-fone customers. The company maintains a leading position in

Pakistan as an infrastructure provider to other telecom operators and corporate customers of the

country. It has the potential to be an instrumental agent in Pakistan’s economic growth. PTCL has

laid an Optical Fiber Access Network in the major metropolitan centers of Pakistan and local loop

services have started to be modernized and upgraded from copper to an optical network.

3

Page 4: Ptcl Final report internship

4

Page 5: Ptcl Final report internship

This report is being started with the brief and complete introduction of organization, its historical

background, its services and its products offerings. In this report organization structure is

discussed as per the requirement of internship. What is the hierarchy in the organization as well

as working of various departments are concisely discussed.

The most important thing the BUSINESS STRAGTEGIES is discussed in such a way that it’s not

difficult to understand it. Internal and External analysis has the vital importance, which in this

report is also done. More over the Financial Analysis is also done which is depicting the financial

position of the org in the market place.

Whereas SWOT analysis is done which clearly shows what are the strengths, weaknesses,

opportunities and threats in the organization. Finally some suggestions and recommendations are

given to org in this report. Limitation although very few but can’t be negligible are discussed.

Thus this report completely depicts the true picture of PTCL in a meaningful way.

I have completed my 6 weeks internship successfully in PTCL(Pakistan Telecommunication

Ltd.)

5

Page 6: Ptcl Final report internship

6

Page 7: Ptcl Final report internship

INTRODUCTION

Pakistan Telecommunication Corporation (PTC) has established in December 1990,

taking over operations and functions from Pakistan Telephone and Telegraph Department under

Pakistan Telecommunication Corporation Act 1991.

This coincided with the Government's competitive policy, encouraging private sector

participation and resulting in award of licenses for cellular, card-operated payphones, paging and,

lately, data communication services.

In 1994, the PTCL becomes the company limited (Pakistan Telecommunication Company

Limited) by issued six million vouchers exchangeable into 600 million shares of the PTCL in two

separate placements. Each had a par value of Rs. 10 per share. These vouchers were converted

into PTCL shares in mid-1996.

In 1995, Pakistan Telecommunication (Reorganization) Ordinance formed the basis for PTCL

monopoly over basic telecommunication sector in the country. It also paved the way for the

establishment of an independent regulatory regime. The provisions of the Ordinance were lent

permanence in October 1996 through Pakistan Telecommunication (Reorganization) Act

The year 2006-07 in the telecom sector was marked by the phenomenal growth in the

mobile sector in Pakistan, which doubled its subscriber base to 60 million. The teledensity

increased from 26% to 40%, helping to spread the benefits of communication technology across

the country. PTCL ’s mobile phone subsidiary Ufone’s subscriber base grew by more than 87%,

from 7.49 million to 14 million. The year also witnessed the entry of major telecom companies,

most notably China Telecom and Singtel, into market.

The privatization of the company was completed in the FY06, following the purchaser of

26% ‘B’ class ordinary shares by Etisalat International Pakistan L.L.C. EIP took over

management control on 12th on April 2006.

In short PTCL has been working vigorously to meet the dual challenge of telecom

development and socio-economic uplift of the country. This is characterized by a clearer

appreciation of ongoing telecom scenario wherein convergence of technologies continuously

changes the shape of the sector.

7

Page 8: Ptcl Final report internship

To transform the utility into a commercially-oriented corporation. With fortunes rising in the

local telecom sector, the government hoped to make privatization of the company a landmark

deal for broader reform of the economy. A successful deal would demonstrate the governments

increasing support for market capitalism and, it was hoped to, boost anemic levels of direct

foreign investment.

PTCL and the government were contemplating different strategic options for restructuring. Plans

were vetted for both a geographic and functional split of operations. Analysts believed the most

likely scenario is a break-up into three new companies, tracking with the firms largest business

units: local, long distance and mobile. This approach mirrors the policy environment fashioned

for new competitive entrants. From the government perspective, breaking up PTCL prior to as

ell-off will help curtail the market power of any one single service provider, thereby stimulating

competition.

Unbundling the sale was also likely to increase revenues for the government. The risk, of course,

was that the mobile company, PTML (branded as ³Ufone´), was disproportionately more

attractive than the other businesses. According to AKD Securities, PTML's contribution to

PTCL's total revenues was expected to rise to 12.5% over the next five years í and was assumed

to contribute 39% of PTCLs overall revenue growth. Future growth of mobile, both in terms of

subscribers and net revenues, was considered to almost certainly outstrip demand for fixed line

services. The target was to sell up to a 26 percent stake in PTCL; the government held 88 percent

of $2.6 billion, and then any lowering of bid price in the revised agreement approved by the

cabinet in March. The official documents state that the accumulated bidding price in the revised

bid came down to $2.205 billion against the original Etisalat bid of $2.599 billion, said a report in

the Gulf Today.

8

Page 9: Ptcl Final report internship

The PTCL privatization agreement with Etisalat allegedly inflicted a further loss of billions of

rupees to the national exchequer besides unprecedented concessions offered in the long term,

indirect conflict with Article 30 of the Public Procurement Rules 2004, it said. By far, the

PTCLhas been the highest profit earning state-owned company with real-estate assets worth

billions of rupees across the country including commercial plazas, residential colonies and

exchanges. According to the government documents, the Share Purchase Agreement (SPA) of the

PTCL with Etisalat lapsed in September 2005 after the non-payment of the dues by the winner

bidders. After further negotiations with the Etisalat management, the government agreed to

additional concessions and modifications to the transaction structure offer

COMPANY BACKGROUND

PTCL is Sole provider of landline telephone service in the country. At present the organizations

principal activity is to provide telecommunication services all over the country. It offers both

domestic and international services throughout Pakistan. PTCL also manufactures

telecommunication related equipment.

Pakistan Telecommunication Company Limited had exclusive rights to provide basic telecom

services in Pakistan till the end of year 2002. With the announcement of Deregulation Policy by

the Government of Pakistan in 2003, PTA has issued licenses for basic telephony to the private

sector in Pakistan who will be competing PTCL, the incumbent. From the humble beginnings of

Posts & Telegraph Department in 1947 and establishment of Pakistan Telephone & Telegraph

Department in 1962, to this very day, ours is a story of commitment and vision.

9

Page 10: Ptcl Final report internship

PTC set sails for its voyage of glory in December 1990, taking over operations and functions

from Pakistan Telephone and Telegraph Department under Pakistan Telecommunication

Corporation Act 1991. This coincided with the Government's competitive policy, encouraging

private sector participation and resulting in award of licenses for cellular, card-operated

payphones, paging and, lately, data communication services.

Pursuing a progressive policy, the Government in 1991, announced its plans to privatize PTC,

and in 1994 issued six million voucher s exchangeable into 600 million shares of the would-be

PTCL in two separate placements. Each had a par value of Rs. 10 per share. These vouchers were

converted into PTCL shares in mid- 1996.

In 1995, Pakistan Telecommunication (Reorganization) Ordinance formed the basis for PTCL

monopoly over basic telephony in the country. It also paved the way for the establishment of an

independent regulatory regime. The provisions of the Ordinance were lent permanence in October

1996 through Pakistan Telecommunication (Reorganization) Act. The same year, Pakistan

Telecommunication Company Limited was formed and listed on all stock exchanges of Pakistan

Since then, PTCL has been working vigorously to meet the dual challenge of telecom

development and socio-economic uplift of the country. This is characterized by a clearer

appreciation of ongoing telecom scenario wherein convergence of technologies continuously

changes the shape of the sector. A measure of this understanding is progressive measures such as

establishment of the company's mobile and Internet subsidiaries in 1998.

As telecommunication monopolies head towards an imminent end, services and infrastructure

provider s are set to face even bigger challenges. Pakistan also entered post-monopoly era with

deregulation of the sector in January 2003. On the Government level, a comprehensive

liberalization policy for telecom sector is in the offing.

10

Page 11: Ptcl Final report internship

PTCL is in full awareness of the same, and future policies feature a strong conviction of healthy

competition.

The company is in process of enhancing organizational and business proficiency through vertical

integration and horizontal diversification. At the same time, cross-national ownerships, operations

and partnerships are being evaluated with a view to developing and diversifying the business.

11

Page 12: Ptcl Final report internship

RE STRUCTURING OF PTCL

The government’s efforts to restructure and privatize PTCL have been on-again off-again

since1991. It had an offer in the late 1990s for 26 percent equity, reputedly totaling $3 billion, but

held out in negotiations and ultimately missed the unique global market window at that time.

Since then, it has had difficulty attracting potential buyers.

Investors have been concerned about political risk, and appropriate support from the government

VISION

To be the leading Information and Communication Technology Service Provider in the region by

achieving customer satisfaction and maximizing shareholders' value'.

The future is unfolding around us. In times to come, we will be the link that allows global

communication. We are striving towards mobilizing the world for the future. By becoming

partners in innovation, we are ready to shape a future that offers telecom services that bring us

closer.

12

Page 13: Ptcl Final report internship

MISSION

An organizational environment that fosters professionalism, motivation and

quality An environment that is cost effective and quality conscious Services that

are based on the most optimum technology Quality and Time conscious customer

service and Sustained growth in earnings and profitability

CORE VALUES

Professional

Integrity

Customer

Satisfaction

Teamwork

Company

Loyalty

13

Page 14: Ptcl Final report internship

Features

Pakistan Telecommunication Company Limited (PTCL) is the primary provider

of Telecommunication services in Pakistan. The range of

services include basic telephony, telegraph, fax, telex, Public data, Internet, E-mail,

ISDN(Integrated Services Digital Network),Universal Access Numbers(UAN), another value-

added services.

Pakistan Telecommunication Company Limited is a professionally managed company and has

initiated measures, with active support of the Federal Government, to inculcate a corporate

culture that benefits company. Pakistan Telecommunication Company Limited believes that it

has an inherent potential that it can exploit to emerge as an important and active business entity.

Pakistan Telecommunication Company Limited has some basic strength and the potential that

needs to be exploited into real business opportunities. The Directors of the Company feel that a

firm and unwavering commitment towards provision of a complete range of market driven

telecommunication services to its customers using state of the art technology proven products and

a customer care approach is essential in a rapidly expanding telecom market. The radical change

from a monolith state controlled culture to a open market competitive environment. The customer

is becoming and more conscious of the value of telecom services in an improving business

environment.

The advent of digital systems, increasing application of computer technologies and development

of wide-band systems has generated new customer needs. Innovative products and services such

as cellular mobile, high-speed data, Internet etc are much in demand. The current decade has

proved to be the period of sector restructuring and growth globally. To keep pace with the

changes and to meet the emerging new demands, Pakistan Telecommunication Company Limited

has adjusted its programs to meet the requirements of the market. Traditional telecom monopolies

like Pakistan Telecommunication Company Limited need to explore new avenues of technology

and financing to accomplish a quantum leap in growth and bridge the gap between demand and

supply, still remaining financially viable. The Company has taken initiatives and change is

14

Page 15: Ptcl Final report internship

gradually becoming visible through expanded capacity and increasing revenue.

Pakistan Telecommunication Company Limited has taken decisions to cope with the competition

within the next years. The initiatives taken resulted in the establishment of 100% Pakistan

Telecommunication Company Limited owned subsidiaries like Pak Telecom Mobile

Limited.Paknet and Pak Telecom Pay Phone services limited. These new entities shall provide

cellular mobile information technology, Internet, payphone, prepaid calling cards and other range

of services, Pakistan Telecommunication Company Limited made a conscious decision to enter

the cellular business as it has tremendous potential and an accelerated annual growth of about

60%which is likely to continue for many years.

Pakistan Telecommunication Company Limited has been successful in obtaining a Cellular

Mobile License for its subsidiary and has selected the GSM 900 state -of the art technology,

which is growing at a much faster rate internationally. Pak Telecom Mobile Limited was

incorporated on 18th July 1998 to establish and run this new business independent of Pakistan

Telecommunication Company Limited with full accounting separation thus creating a level

playing field for industry competitors.

Pakistan Telecommunication Company Limited is following a business-oriented policy to

associate private entrepreneurs in telecom sector development. The options are based on

interconnect and revenue sharing arrangements with license operators and through out-sourcing

revenue sharing with 0 & M contractors as business partners. PTCL has successfully entered into

arrangements with foreign and local telecom companies and has signed three contracts prepaid

calling card service to promote international traffic. The Government of Pakistan has encouraged

the growth of the telecom sector to enable Pakistan to keep pace with the rapid technological

advancement in the field of telecommunication. The tariff structure remains under constant

review of the government to rationalize from the point of providing adequate returns to the

telecom operators and to tap the tremendous potential of the growth in the demand and market for

telecom services. The GOP has reduced the CED on telecom services, encourages the use of

value added services with special emphasis on proliferation of Internet. It has also reduced the

15

Page 16: Ptcl Final report internship

import duties on telecom equipment and allows tax exemption.

Private sector data and Internet services providers are operating under license and revenue share

arrangements. Internet & information technology services are now very popular in the market and

numbers of new entrants are competing, providing Pakistan Telecommunication Company

Limited an opportunity lease capacity. Its available IT & Internet infrastructure both for private

sector licensed operators and Pakistan Telecommunication Company Limited own customers.

Pakistan Telecommunication Company Limited is launching a three-phased project for IT &

Internet to expand the service to take care of 300,000 customers including the needs of private

license for infrastructure.

16

Page 17: Ptcl Final report internship

PTCL’S CORE OBJECTIVES

The primary objective of Pakistan Telecommunication Company Limited is to provide

telecommunication services to the people in the country or in short to satisfy the

telecommunication needs of its customers. Responding to the rapid economic and technological

growth, the company is determined to meet the challenge of expanding needs of telephone and

data communication such as public data network, integrated services digital network and Internet

services.

The major focus of attention is to improve and expand the services, minimize the faults and

provide communication facilities to rural areas. It is also one of the major objectives of

management that the company should not improve its performance but also encourage the private

sector to enter the Tele business. The company has entered the domain of free market economy,

which necessitates the liberal management policies and private sector.

The following basic policy steps have been taken to meet the objectives laid in PTCL Act to

expand and operate telecommunication services in the country. The main objective of any

company is to earn the profit and minimize expenses by winning goodwill in the market

The following are the long-term objectives of the organization.

Provision of Telecom services all over the country.

Plan, establish and maintain telecommunication

Acquire, promote and manage research and development, transfer of technology and

software development including manufacturing of telecommunication equipment and

plant

Enhance efficiency, improve quality and expand the system to meet customer satisfaction

and provide service on demand.

17

Page 18: Ptcl Final report internship

Convert its cash basis single entry accounting system to accrual basis double entry system

meeting the commercial international accounting standards.

To introduce computerized directory assistance and complaint services reform billing and a

revenue collection system. Strengthen relation with foreign international administration, entities,

services providers, international and regional telecom organizations for better international

communication and technical cooperation in telecommunication business. Expand customer

awareness of all value-added services of PTCL.

To improve the efficiency of Customer Service Centers by deputing qualified persons

Who are well aware of public relation techniques

Projects and Activities

1. Urgent Training Needs Programme:

The Urgent Training Needs which realistically depict the post VSS scenario are being assessed

and catered immediately by conducting customized training programs. The involvement of all

departments, regions and business units for providing their valuable input in the form of TNA

response is essential for accurate identification of their requirements. Given the transformation

stage, the most eminent developmental needs were highlighted and incorporated in this

program.

2. Customer Care Initiative:

To achieve the pinnacle of Excellence in Customer Service envisioned by the President/CEO

the Training and Development department has assumed the responsibility for effectively

imparting training under the Customer Care Initiative to all PTCL employees.

18

Page 19: Ptcl Final report internship

19

Page 20: Ptcl Final report internship

3. HRD Plan for 2009-10:

Training is one of the tools used for the development of employees and to consolidate change on

sustainable ground. In order to address the training needs of all stakeholders of PTCL, EVP

(T&D) has directed training region administration to conduct comprehensive Training Need

Assessment of PTCL employees. This exercise of TNA is required for developing an effective

and need satisfying Human Resource Development Plan for PTCL training centers. The pilot run

of this program is expected to commence by the end of April 2009.

4. Training Incentive offered to VSS Optees:

For the rehabilitation of VSS Optees, PTCL offered a package of post VSS training &

development services, out of which the most beneficial and helpful service offers

were Vocational and Technical trainings.

5. Revamping Project of PTCL Training & Development by Etisalat Academy:

PTCL has a huge training infrastructure throughout the country that is geographically wide

spread. To revamp this wing of PTCL and transform it into a profit center, Etisalat Academy

has been engaged for this project with the following main objectives:

o Evaluation of existing training infrastructure

o Identification of potential and non-potential training institutes

o Development plan for proposed training set-up

o Comprehensive workforce analysis of existing Human Resources in T&D

department

o Proposals regarding computerized learning management system

20

Page 21: Ptcl Final report internship

o Preparation of Quality Assurance (QA) systems & procedures

o Determination of Key Performance Indicators (KPIs)

5. Implementation of ERP system in T&D:

The focus of the project is to set up and maintain the qualifications catalogs, create and evaluate

profiles for a range of objects (for example, persons and positions), evaluate career and

succession planning scenarios, set up appraisal systems, as well as plan, hold, and evaluate

appraisals, create development plans, and work through individual development planning

scenarios by customizing the functions of personnel development to meet customer

requirements.

7. PTCL Academy activities:

PTCL Academy has been revitalized with a new vision to be recognized locally and regionally

as a center of excellence in the provision of state-of-the-art training and consultancy services in

telecommunications and related fields. It will provide a platform for the creation, dissemination

and exchange of knowledge and expertise in all areas of telecom and IT to internal and external

stakeholders. Some of the programs on its agenda are:

• Ph.D. Programme

• MS programme

• Post Graduate Diploma

• Cisco Regional Academy Programme

• Oracle Academy Programme

• Joint venture with CISCO and NUST

21

Page 22: Ptcl Final report internship

• Seminars / Short Courses / Certificate programmes

• Course development for new offerings (technical and management courses)

• Testing / Inspection of telecom equipment

8. Lineman Training Programme:

The declaration to celebrate year 2008-09 as year of Customer Care & Satisfaction by the

President/CEO of the company, has entrusted upon Training & Development Department a

gigantic task to transform our line staff who are the real customer care agents of PTCL. This

initiative is the part of company’s strategic vision to turn PTCL a leading corporate entity in

highly competitive business environment of telecom industry. A mega training campaign has

been launched for all the Linemen of PTCL. The training module prepared by Training &

Development department has tried to address all skill needs most direly required by our

Linemen to cope with emerging technologies in telecommunication. This training will

significantly improve both soft and technical competencies of our linemen and we believe that

this training shall be remembered as a milestone in PTCL’s history.

9. Quality Awareness Programme:

In order to create quality awareness and skills improvement of PTCL staff, a 3-year QA plan

has been made. The project is scheduled from March 2007 to December 2009. Following four

types of programmes are under the work plan:

• Installation Quality Standards

22

Page 23: Ptcl Final report internship

• Quality Auditor Course

• Companywide Quality Awareness

• ‘Train the Trainer Programme’ offered to the faculty of PTCL training centers

10. Senior Management Development Program:

Etisalat Academy being the lead consultants of PTCL’s Training and Development

department has proposed a meritorious program for the development of Senior

Management Team (SMT) of PTCL. The workshops, their contents and out comes have

been reviewed and have been found beneficial for the company. Proposed plan of five

workshops is in line with emerging concept of Continuous Professional Development.

CPD is being promoted for conscious updating of professional knowledge and

enhancement of professional competence throughout a person's working life. PTCL

Training & Development wing is committed to the pursuit of professional excellence

with its Senior Management Team. PTCL’s SMT, though possesses matchless functional

competencies, will benefit from these workshops

23

Page 24: Ptcl Final report internship

Internship Programme:

During the last couple of years Internship Programme at PTCL has received special attention and

focus. The overall concept has evolved from its traditional perspective into a strategic

perspective. We look forward to this programme not only as a learning opportunity for the

participants but also a prospect for PTCL in its continuous endeavor for talent hunt. It is the

process by which we not only contribute significantly to the development of the best talent in

professional and leading universities and schools, but it also aims at creating “PTCL

Ambassadors” that spread goodwill of the company all over the country. This programme is

intended to provide students with the opportunity to apply what they are learning in their

academic pursuits to real world situations. Through the successful implementation of this

programme, PTCL looks forward to rightly identify, recruit, train and develop its most important

need of the day i.e. the Human Resource.

24

Page 25: Ptcl Final report internship

Products and Services

PTCL Landline

For local calls the code used is non-STD. For calls to other cities (e.g. Karachi to Lahore)

the code is called STD. For International calls the code used is ISD.

Dialing System

When dialing on landlines, calls made within cities are considered local calls. Calls to other cities

(e.g. Karachi to Lahore) are considered long distance calls and are metered according to

distance. (e.g. When dialing to Lahore from Karachi you have to dial the code for Lahore then

followed by the number of the destination, therefore you dial 0423-XXX-XXXX ). For local

calls, you just dial the local number. For international calls, you dial "00" followed by the

country code. (e.g. For calls to the UK from Pakistan you dial 00 - 44 - XXXXXX ).

PTCL V-fone

It is a product which is wireless. We can use anywhere in Pakistan. Internet and web browsing is

also its feature. It is under CDMA

Ufone

Ufone (Pakistan Telecom Mobile Ltd) a wholly-owned subsidiary of PTCL commenced its

operations on 29th January 2001 as a GSM 900 service provider. Since the outset, it has

expanded its coverage and customer base at a rapid pace and established itself as one of the

leading cellular service providers in Pakistan. Ufone is now considered to be one of the

most active, aggressive and innovative players in the mobile sector of Pakistan.

25

Page 26: Ptcl Final report internship

The growth of the cellular industry is a direct result of the successful implementation of the

telecom deregulation and cellular mobile policy by the Ministry of IT and

Telecommunications (MOIT&T) and the support, guidance and timely enforcement of

regulatory process by the Pakistan Telecommunication Authority (PTA).

26

Page 27: Ptcl Final report internship

Privatization

The growth of the cellular sector in Pakistan can also be attributable to good governance policies

of the government of Pakistan and the Privatization Commission. In April 2006, Emirates

Telecommunication Corporation, which is commonly known as Etisalat, has assumed

management control of Pakistan Telecommunication Corporation Ltd – part of the $2.6bn deal

to buy a 26% stake in PTCL. The successful privatization of PTCL, and consequently Ufone, is

hailed as ushering in a new era for telecommunications in Pakistan.

Now, under the management of Etisalat, Ufone will concentrate on customer needs and benefits

and is more determined than ever to be the leading cellular player in the market. Ufone has

been known for providing superb propositions and quality service to its customers. With the

new expected investment, Ufone can now aggressively expand its network coverage.

Key Accomplishments

Ufone has always played a pivotal role in the development of the cellular market in Pakistan.

For the most part, it has been a step ahead in introducing innovative products to the market.

Ufone was a pioneer in launching the GPRS services and Multi-media Messaging Service

(MMS) in Pakistan, and lead the way in introducing GPRS international roaming and prepaid

international roaming for these services in the Pakistani market.

Performance

As mobile users in the country have reached over 28 million at a very rapid pace, Ufone has

maintained itself as the 2nd largest cellular operator in Pakistan with a subscriber base of

around 6.5 million and a market share of nearly 25%. Ufone has seen a subscriber growth rate

of over 200% in the last year, and since the start of 2005 Ufone added nearly 5 million

subscribers onto its network. A remarkable achievement indeed, especially considering the fact

that two new international players also entered into the market in 2005. Subsequently the

growth in subscriber base caused a healthy trend in revenues which have doubled.

27

Page 28: Ptcl Final report internship

28

Page 29: Ptcl Final report internship

Brand

While keeping its tradition of being the trend setter in the industry, Ufone changed the image of

mobile phones from a luxury only affordable by the elite, to a necessity affordable by the

common man. Since its inception, Ufone has positioned its brand for masses. In keeping with the

upcoming competition and market dynamics, Ufone increased its focus on the youth segment

(which comprises 50% of the population), with the Prepay brand. By designing market focused

products, Ufone’s brand team launched aggressive campaigns, which further increased the brand

equity. The new brand image gained huge popularity amongst the targeted market. A recent

marketing survey conducted by a prominent marketing research company showed that Ufone has

considerably increased its brand visibility and image. Ufone’s Prepay brand is now considered to

be one of the most favored brands by the youth market and is followed by other mobile operators

launching their respective brands for the youth market.

International Coverage

Ufone provides International Roaming facility with more than 150 international operators across

79 countries. Ufone has GPRS roaming agreements with several international operators and also

provides prepaid roaming facility to selective destinations.

Customer Service

Ufone is proud to have an efficient and friendly customer service through 21 company-owned

Sales & Customer Service Centers and nearly 250 franchisees across the country. The outlets are

able to service the customers with innovative solutions, and are empowered with Web based

franchise management systems. Ufone is poised to face the ever increasing challenges of the

market and is confident it will attract new customers. It has the ability to retain its existing

customer base with a high level of customer satisfaction via optimum network service and a 24

hour call center facility.

29

Page 30: Ptcl Final report internship

Network Coverage

Ufone has always believed in a solid commitment to growth, security and reliability. Therefore,

Ufone has always balanced its expansion efforts and quality of service. With a total current

investment of $400 Million, Ufone has network coverage in more than 260 cities and towns and

across all major highways of the country.

Ufone has been instrumental in the growth of the cellular market in Pakistan. It is a company

committed to excellence. Under the new vision of Etisalat and with the support and collaboration

of its employees and vendors, Ufone aspires to be the best in the market by offering customer

focused products and a quality service and sales network.

Ufone is a subsidry of PTCL. It works under PTA and it is a GSM featured product. Ufone is a

leading GSM service provider in Pakistan now a days.

PTCL Broadband

It is providing high speed internet browsing. DSL is now in top internet speed.

EVO, EVO cloud ,EVO char ji,

Smart Services

PTCL now a days providing smart TV service in different areas. Over 150 live channels are

available to see with good picture quality.

30

Page 31: Ptcl Final report internship

Competitors

Zong

Telenor

Warid

Mobilink

31

Page 32: Ptcl Final report internship

MORAL VALUES OF EMPLOYEES

CUSTOMER FOCUS

We treat each of our customer equality & as the most important person while we interact with

him/her. We must ensure that we do everything to meet and exceed the customers’ expectations

with perfect to times, accuracy & quality services.

EMPLOYEE RESPECT & DIGNITY

We treat each of our employees with fairness, which includes giving constructive feedback for

their development. We celebrate diversity and seek suggestions from all employees for

Improvement. We ensure that responsibility & fairness in all our decision-making.

TEAM BASED APPROACH

We work towards achievement of our vision & mission as a combines group. We encourage inter

& intra-departmental communications. We treat our colleagues as our internal customers &

ensure that the requirements of internal customer focus are always met.

32

Page 33: Ptcl Final report internship

Organizational Structure

Board of Directors

Mr. Naguibullah Mali

Chairman PTCL Board

Secretary IT & Telecom Division, Ministry of InformationTechnologyGovernmentof

Pakistan,

Islamabad

Mr. Abdulrahim Abdulla Abdulrahim Al Nooryani

Chairman & Chief Executive Officer,

Etisalat International Pakistan L.L.C

Executive Vice President Contracts & Administration

Etisalat, UAE.

33

Page 34: Ptcl Final report internship

Mr. Salman Siddique

Secretary (Finance), Ministry of Finance

Government of Pakistan,

Islamabad

Mr. Abdulaziz Ahmed Saleh Ahmed Al Sawaleh

Chief Human Resources Officer

Etisalat, UAE

Mr. Mushtaq Ahmad Bhatti

Member Telecom

Government of Pakistan,

Islamabad

Mr. Fadhil Mohamed Erhama Al Ansari

Executive Vice President Engineering

Etisalat, UAE

34

Page 35: Ptcl Final report internship

Mr. Khursheed Ahmed Junejo

Ambassador, Embassy of Pakistan

Abu Dhabi, UAE

Mr. Abdulaziz Hamad Omran Taryam

General Manager, Northern Emirates

Etisalat, UAE

Dr. Ahmed Al Jarwan

General Manager

Real Estate

Etisalat, UAE

Ms. Farah Qamar

Company Secretary PTCL

PTCL Headquarters,

Islamabad

35

Page 36: Ptcl Final report internship

Management

Walid Irshaid

President & Chief Executive Officer

Muhammad Nehmatullah Toor

S.E.V.P (Finance) / Chief Financial Officer (C.F.O)

Mohammad Nasrullah

Chief Technical Officer (C.T.O)

Mr. Javed Mushtaq

Chief Information Officer (C.I.O)

Syed Mazhar Hussain

S.E.V.P (HR / Admin & Procurement)

Sikandar Naqi

S.E.V.P (Corporate Development)

Naveed Saeed

36

Page 37: Ptcl Final report internship

S.E.V.P (Commercial)

Mr Tariq Salman

S.E.V.P (Business Zone North)

Mr Abdullah Yousef

S.E.V.P Business Zone South

Mr Hamid Farooq

S.E.V.P Special Project

Farah Qamar

Company Secretary

Legal Affairs

Dr. Syed Mohammad Anwar Shah

Bankers

Askari Bank Limited

Citibank N.A.

Faysal Bank Limited

Habib Bank Limited

37

Page 38: Ptcl Final report internship

MCB Bank Limited

National Bank of PakistanRBS (formerly ABN AMRO)

Standard Chartered Bank Limited

United Bank Limited

38

Page 39: Ptcl Final report internship

Registered Office

PTCL Headquarters,

Block-E, Sector G-8/4,

Islamabad-44000, Pakistan.

Tel: +92-51-2263732 & 34

Fax: +92-51-2263733

E-mail: [email protected] k

Web: www.ptcl.com.p k

Auditors

A.F. Ferguson & Co.

Chartered Accountants

Ernst & Young Ford Rhodes Sidat Hyder,

Chartered Accountants

Share Registrar

39

Page 40: Ptcl Final report internship

M/S FAMCO Associates (Pvt.) Limited

Ground Floor,

State Life Building 1-A

I . I Chundrigar Road

Karachi 74000

Tel: +92-21-2422344, 2467406

40

Page 41: Ptcl Final report internship

41

Page 42: Ptcl Final report internship

Organization Hierarchy Chart

42

Number of Employees

Number of employees in PTCL is more then 30000.

Page 43: Ptcl Final report internship

43

Page 44: Ptcl Final report internship

Introduction of all department

o Engineering

o Minuteness department

o Operation department

o Research and development

o Marketing

o It is concered with the creation of value for the customers

o Finance

o Accounting department

o Revenue department

o Taxation department

o Human Recourse department

o Training and Development

Comments on the Organizational Structure

The structure of the organization is very good in my opinion

44

Page 45: Ptcl Final report internship

.

Departments and their Working

The PTCL Organizational structure needs to be formalized on emergent basis.

FINANCE WING STRUCTURE

At this level there is one head SEVP (Finance) who controls the functions of

FINANCE, ACCOUNTS, and REVENEU with the assistant of EVP in their respective within the

Region, Director Accounts has Senior Revenue Officers in his area of Finance Jurisdiction on

Division Level. The Senior Revenue Officer, usually the head of Finance Division and Revenue

Officers then supervised on District level.

The Revenue Officers on District Level

In view of the challenging scenario PTCL has to take bold steps regarding its organizational structure

in order to demonstrate that PTCL has set-up arms-length relationships among the staff. There should

be separation of Finance Wing from the Engineering Wing. Finance Wing should give liberty to take

the decision in their favor. Management has to take the strategic decisions, the clear and

institutionalized arrangements.

45

Page 46: Ptcl Final report internship

The PTCL FINANCE & ACCOUNTING system is actually divided into three wings.

1- FINANCE

2- ACCOUNTS

3- REVENUE

1) FINANCE

The SEVP (FINANCE) is concerned with the makeup of the all type of financial

decisions especially in the context of acquisition, financing and management of all assets with

some goal in mind. The EVP (Finance) with the General Manager (Finance) extend their

expertise in the decision making process.

2) ACCOUNTS

Here the SEVP (Finance) is once again concerned by heading the EVP(ACCOUNTS) and

General Manager (Accounts) to deal with all Accounts Decision. In PTCL the Finance and

Accounting are so correlated but the difference between finance and Accounting is the method of

Funds Recognition and the decision making. In the Accounting the Director Accounts in the

PTCL Regions assist the higher management.

46

Page 47: Ptcl Final report internship

3) REVENUE

Here the SEVP (Finance) is once again concerned by heading the EVP (Revenue) and General

Manager (Revenue) to deal with all Revenue matters. One Director Revenue within the Region

assist to implement and control the inflow of Revenue and Reconcile it with the PTCL

Headquarters Islamabad. The PTCL is actually the Revenue Generation organization. PTCL

Collect the Revenue from the following modes.

47

Page 48: Ptcl Final report internship

Revenue from System Billing of Land Line Numbers.

a) Through Line Rent of Land Line Numbers.

b) Through National wide dialing from LLN’s (Land Line Numbers)

c) International dialing from LLN’s

d) Providing Value Added services to customers. Like UAN (Universal Access

Numbers), PABX (Private Auto Branch Exchanges),VPN( Virtual Private

Network) Bandwidth of ISP’S (Internet service providers)

e) PTCL has its three subsidiaries PAKNET (leading ISP in the country), UFONE

(unique cellular phone company in Pakistan), TF (Telecom Foundation) the

f) Leading foundation for the welfare of employees of Telecom Sector.

ACCOUNTING SYSTEM OF PTCL

In PTCL the rules contained in the special volume of the PTCL under which the

SEVP (FINANCE) is responsible for creating the procedure of Accounting matters.

CAPITAL RECEIPTS SIDE.

REVENUE FROM BILLING SYSTEM

a. Revenue from Usual customer.

b. Revenue from DXX System

48

Page 49: Ptcl Final report internship

c. Revenue from DSL System

d. Revenue from PABX/PBX System

e. Revenue from Card Phone Operators

f. Revenue from IPOs Internet service providers

g. Revenue from Mobile Phone Operators

h. Co-location charges from various companies

REVENUE FROM OTHER

a. Revenue from Overseas calls (Incoming)

b. Revenue from Premium PRS (0900) calls

c. Income from Dismantle Exchanges

d. Revenue from MDF used by other companies

CAPITAL EXPENDITURES

INSTALLATION OF NEW EXCHANGES

Expenses of installation of new Exchanges are the major capital expense of PTCL because

PTCL purchases the new telephone exchanges from France, Italy, Germany and China. So

49

Page 50: Ptcl Final report internship

heavy cost is to be paid for purchasing process in order to proper margin. Each exchange

having different capacity and due which each Engineer should has to be trained

accordingly so expenses rises on purchasing of new Telephone Exchanges. This is the main

expense of PTCL.

EXTENSION OF EXISTING EXCHANGES

The extension of the existing exchanges is the dire need as the density of the population is

increasing day by day and in order to fulfill the basic communication and fill the communication

gap PTCL has to extend its normal Telephone Exchanges in accordance with the demand and per

paid connection. So PTCL sustain heavy expenses on the extension of exchanges.

50

Page 51: Ptcl Final report internship

MINOR EXPENDITURES

INTERNAL AUDIT AND TECHNICAL INSPECTION

The PTCL has sustained huge amount in context of internal audit both Accounts and Technical

from various agencies. For example M/s Ferguson conduct both internal audit and external audit

and payment made to auditors in the expenses of the company.

ADMINISTRATION AND CONTROL EXPENSES

Sometime in the best interest of company, some expenses could be occurred for example if there

is need of induction of a financial analyst in one region or if there is need of an Engineer then

transfer and posting order can be issued and traveling and training expenses could be realized to

employees.

SALARIES OF STAFF

The monthly salary of the staff is rest with the approval of PTCL H.Q Islamabad. PTCL is

spending lot of amount on the salaries.

.

51

Page 52: Ptcl Final report internship

FINANCE SYSTEM OF PTCL

PTCL has magnificent finance structure; it is basically Product Oriented organization so

here, the Revenue is the Life Blood as such for any other profit seeking organization. So we

should have isolated the Revenue from Finance side or either we should consider the Finance in

the context of Revenue.Finance activities can be evaluated in terms of PTCL’s basic financial

statements analyzing through

Finance planning

On PTCL HQ Islamabad, SEVP (Finance) is, who with the concurrence with the CEO for making

all the Finance Planning that’s way the PTCL has to inject the money in order to boost up the

business and in order to complete the stiff competition faced in the telecomm sector. Before

taking any decision regarding financial planning the draft could be presented before the Board of

Governors. In this section there is need of financing either in the WLL (wireless local loop) sector

or wire-line or mobile operator services.

Managing the PTCL’s Asset structure

PTC is very organized organization and it has also its fixed as well with the current asset.

So there are many experts in order to keep the eye watch on the PTCL infrastructure, for example

Director (Fixed Assets) is responsible for the maintenance and repair of the building and

machinery on the Regional level.

52

Page 53: Ptcl Final report internship

Managing the PTCL’s financial structure

PTCL financial structure is in the safe hands the basic qualification for the post of Assistant

Accounts Officer is MBA (Finance) and for the SEVP (Finance) the incumbent should possess

the degree of MBA with ACMA & CA. Due to such fresh blood the young and energetic

financial management taking some bold decision the results of which are awaited up till.

FUNDING OF PTCL

MOBILIZATION OF FUNDS

PTCL mobilized its funds with following ways.

1) Purchase the new imported infrastructure like new Exchanges etc

PTCL mobilized its finds mostly in the purchase of new telephone exchanges from

abroad (France, Italy & China). There is also purchase of accessories of telephone

exchange generators and other equipments.

2) Capital expenditure for the organization.

There are various expenses for the PTCL in the context of capital expenditure that has

already been mentioned in previous pages.

3) Purchase and acquisition of stores.

PTCL store items are very important components i.e Stationery, stand-by Exchanges,

generators, barites and other equipments. PTCL spend lot of funds on these items.

53

Page 54: Ptcl Final report internship

4) Loan and advances to others, and re-investment.

There are offering of Loan and advances to the employees on various rates according

to the length of services on roll. This is the main source of mobilization of funds.

5) Payment of dividend to the stockholders.

Payment made to the shareholders in the context of dividend to be paid to the

shareholders. PTCL has currently announced the divided of Rs.32/per share.

6) Salaries of the staff all over the country.

Obviously services rendered by the staff and in this way PTCL has to pay handsome

amount to their staff, those are the main source of generating the revenue.

7) Annual Bonus to employees.

PTCL pays annual Bonus of Rs. 12000/- to its employees on the Eid occasion.

8) Security deposits, Transfer of Company’s Land & Building.

Where PTCL does not find any building or land then security deposit may be paid to

the private landholders for the installation of PTCL infrastructure.

9) Insurance of the Company

PTCL offers the insurance from its own side in case of death and medically unfit of its

employees.

54

Page 55: Ptcl Final report internship

10) Pension, graduate, and other fringe benefits.

For the pension and gratuity of the retire official PTCL mobilized its funds

accordingly.

11) Supply of Furniture and Fixtures to the office buildings.

This is the responsibility of the Management to be provided the furniture and fixture

to the office buildings accordingly.

12) Renovation, alteration, and rental charges of privately owned buildings.

PTCL has to pay the handsome amount for renovation and alteration of existing

building and the charges of privately owned builders are being issued accordingly.

GENERATION OF FUNDS

1. Amount Realized from System Billing.

2. Amount Realized from defaulters.

3. Revenue from Value-added Services.

4. Bandwidth facilities provided to the companies.

5. Earning from DXX, PSTN, PABX, VPN, PRI & ISD.

6. Media used by cellular and pay-card companies and earn royalty.

7. Earning from subsidiaries PTML, PAKNET & TF.

8. Amount realized through co-location charges.

55

Page 56: Ptcl Final report internship

9. Basic Rate Interface provided to the subscriber.

10. International dialing customers.

11. Corporate Billing customers, valued customers.

12. Earning from MTR mobile Termination Rate.

13. Earning from Incoming Overseas Calls in shape of premium from overseas

SOURCES OF FUNDS OF PTCL

Cash generated from operations

In this context we can say that PTCL usual earning lot much more depends upon the usual

earning from Telephone number and payments of the bill thereof, this is the primary source of

funds of PTCL.

Security deposits

Various pay card companies like Dancom, World call, Pearl Tel, Soft tech, deposited huge

amount as the securing deposit in the books of PTCL for the media that is being used by these

companies. PTCL is utilizing these security deposits.

Return on deposits

After payment the dividend to the shareholders and having paid the income tax on the

profit the surplus amount is being used in the deposits of various national and multinational banks

from where ROD is received accordingly.

56

Page 57: Ptcl Final report internship

Dividend Income

PTCL sometime itself purchases the share from the open market and earn the dividend income

thereof. It is also possibly that PTCL if applicable may detain the shares of different other

companies and earn the dividend.

57

Page 58: Ptcl Final report internship

Sale proceeds of fixed assets

The defunct and dismantle Telephone exchanges not allowed re-sell to the other underdeveloped

countries and gain profit. PTCL is also not in the process of planning to be used the idle land,

which could be used on commercial basis by other parties.

Long- Term Investment

There are various long-term project of PTCL. BLT is one of them. PTCL is now expanding its

business through the United Arab Emirates by consortium and through the joint venture with

other telecom operators. PTCL has also some long-term investment in the AT&T (American

Telephone & Telegraph) and ZTE (Zehwing Telecom Engineering Company China).

Long-Term Loan to others

PTCL has also offered long term loan agreement to other Telecom provider companies. PTCL is

providing its expertise and Engineers to them and also offering amount to be invested on behalf

of PTCL for example PTML Pakistan Telecom Mobile Limited and Paknet the Internet providers

company.

Loans, advances, deposits, prepayments and other receivable

In this context all the referred point and return thereof will be called the receivable.

58

Page 59: Ptcl Final report internship

ALLOCATION OF FUNDS

Against all purchase orders issued by the PTCL H/Q’s Islamabad payment made after

allocation of Funds which further allocated by the Regional offices. The funds usually allocate in

order to manage the following: -

14. Capital expenditure

15. Purchase of infrastructure like new exchanges.

16. Launching of new Product.

17. Human resource development

18. Transportation expenses, misc expenses

19. Domestic and overseas training of staff

20. Bonus to the employees, house/building advances, motor car/motor cycle advances.

21. Worker compensation fund, benevolent fund contribution general provident fund

22. Maintenance of buildings, vehicles, fixed assets.

23. Default situation of subsidiaries.

59

Page 60: Ptcl Final report internship

Allocation of Funds for Marketing exploration 19% of net profit

Allocation of Funds for Research & development 18% of net profit

Allocation of Funds for Human resources & Admin 33% of net profit

Allocation of Funds for Corporate affairs 30% of net profit

60

Page 61: Ptcl Final report internship

Department worked during internship and specific/leading contribution made.

In the beginning they gave me a brief introduction of all the aspects related to their field of

business, their products, and changes in products. A general overview of PTCL was given in

other words. Moreover, I learned how things work in a practical environment, challenges and

problems faced as I have mentioned.

More specifically the project assigned to me during the internship was the sales analysis of

PTCL-V Services Packages, a product of PTCL. The major department in which I did internship

was Interconnection Revenue Department. The prices of the PTCL-V devices were reduced

during the period which had a positive impact on sales. I was assigned the task of analyzing the

impact of change in these prices on the overall income and other service packages of PTCL-V.

PTCL V- fone (WLL Ser vice) was a major area of focus for PTCL during the year. A

few prominent measures taken in this area during the year were launching of free home

delivery service. No line rent package was launched in June 2010. In June 2008, 30 seconds

billing was introduced contributing as an effective customer retention tool. PTCL has expanded

the network to provide coverage in all large and small cities including over 10,000 villages in

rural areas of Pakistan.

Problems Identified

PTCL is a well-organized company and operates efficiently in this competitive environment so it

was difficult for me to identify the problem. But nothing is perfect in this world there is always a

room for improvement. According to my limited knowledge following were the problems and

challenges that can directly affect the efficiency and performance of the PTCL or in other words

improvements needed in the following areas:

61

Page 62: Ptcl Final report internship

There is a lack of balance in incentives given to old and new employees. New employees

are paid more which de- motivates the old ones.

Lack of proper computer skills in old employees is another problem.

System problems do arise at times and customers have to wait for the system to work

properly.

Some employees misuse the resources of the company.

Employees were not very effective in communication among themselves.

Some employees lacked the trust in management.

Inefficient public dealing

62

Page 63: Ptcl Final report internship

SWOT Analysis

STRENGTHS

Largest operational network and infrastructure within ICT (Information &

Communication Technologies) segment.

An integrated monopoly.

Market leadership in Local loop, Wireless local loop (WLL) and Fixed telephony.

PTCL (Ufone) is market challenger in GSM segment.

Competitors still depend on PTCL network either directly or indirectly.

Experienced Telecom Recourses.

63

Page 64: Ptcl Final report internship

Weaknesses

Not been able to nurture its growth around customer services oriented strategy.

Internal organizational and business issues.

Monopolistic culture has further added to complexities.

Paknet, the internet service provider arm of PTCL customers to incur losses due to

poor management and lack of network optimization.

Ptcl-v, the fixed wireless phone service is poor.

Over employment & low productivity.

Slow decision making including external

interferences. Corporate culture akin to

Government department.

64

Page 65: Ptcl Final report internship

OPPORTUNITIES

Low teledensity of Pakistan.

Have vast infrastructure and real estate which can be leveraged further.

Global connectivity reliability has been improved.

PTCL expanding the long distance and infrastructure side through spreading out two sea-

me-we submarine cables.

Partnership with new entrants in deregulated environment.

Scope for efficient cost effective operations.

Threats

Increased competition in long distance counties to exert pressure.

VOIP use is increasing despite ambiguous and discriminatory policies.

Exposure to market competition.

Migration to cellular network

Ability to attract &retain quality professional.

Reduction in international settlement rates.

65

Page 66: Ptcl Final report internship

Conclusion

With employee strength of 30,000 and 5.7 million customers, PTCL is the largest

telecommunications provider in Pakistan. PTCL also continues to be the largest CDMA operator

in the country with 0.8 million V-fone customers.

The company maintains a leading position in Pakistan as an infrastructure provider to

other telecom operators and corporate customers of the country. It has the potential to be an

instrumental agent in Pakistan’s economic growth.

PTCL has laid an Optical Fibre Access Network in the major metropolitan centres of Pakistan

and local loop services have started to be modernized and upgraded from copper to an optical

network On the Long Distance and International infrastructure side, the capacity of two SEA-

ME-WE submarine cables is being expanded to meet the increasing demand of International

traffic.

Pakistan Telecommunication Corporation (PTC) has established in December 1990, taking over

operations and functions from Pakistan Telephone and Telegraph Department under Pakistan

Telecommunication Corporation Act 1991.

This coincided with the Government's competitive policy, encouraging private sector

participation and resulting in award of licenses for cellular, card-operated payphones, paging and,

lately, data communication services. In 1994, the PTC becomes the company limited (Pakistan

Telecommunication Company Limited) by issued six million vouchers exchangeable into 600

million shares of the PTCL in two separate placements. Each had a par value of Rs. 10 per share.

These vouchers were converted into PTCL shares in mid-1996.

In 1995, Pakistan Telecommunication (Reorganization) Ordinance formed the basis for PTCL

monopoly over basic telecommunication sector in the country. It also paved the way for

the establishment of an independent regulatory regime. The provisions of the Ordinance were lent

permanence in October 1996 through Pakistan Telecommunication (Reorganization) Act.

66

Page 67: Ptcl Final report internship

The year 2006-07 in the telecom sector was marked by the phenomenal growth in the mobile

sector in Pakistan, which doubled its subscriber base to 60 million. The teledensity increased

from 26% to 40%, helping to spread the benefits of communication technology across the

country. PTCL ’s mobile mobile phone subsidiary Ufone’s subscriber base grew by more than

87%, from 7.49 million to 14 million. The year also witnessed the entry of major telecom

companies, most notably China Telecom and Singtel, into market.

The privatization of the company was completed in the FY06, following the purchaser of

26% ‘B’ class ordinary shares by Etisalat International Pakistan L.L.C.

EIP took over management control on 12th on April 2006.

No doubt P.T.C.L having the monopoly in providing the Land-Line Telephone

Connection in Pakistan and its playing its role magnificently. In current scenario P.T.C.L has

increases its Revenue quite dramatically and probably that as soon as this organization has

become privatized it will flourish its revenue in better manner.

PTCL should immediately change its Finance upper level of hierarchy and should stream

line in the good manner.

PTCL should also encourage the Billing On line system that each and every customer

should have to pay his/her bill on line basis.

The system of E-PAYMENT which although exist in PTCL finance system but there is

need of improvement this facility.

67

Page 68: Ptcl Final report internship

The image of PTCL being leading Telecom providing is not good in the eyes of common

customer especially there are lot of complaints about the including the bogus local calls in the

monthly bills of various customers. PTCL should also provide the detail of local calls made from

any Land Line Number which would be provided in Micro level to the customer.

Faulty Telephone connection should be Fault Free within 24 hours in order to maximize

the Revenue, as Revenue of PTCL should sacrifice at the cost of Faulty Telephone. PTCL should

make Customer Care Centers in remote areas if I have to express my experience of internship in

PTCL I would briefly say:

PTCL is a good Organization in the way that anybody can join it for his/ her long-term career.

Overall working environment is comfortable. Management of branch cares a lot of its employees

and considers them as the Asset of PTCL. Behavior of senior executive of bank is very polite and

they are caring about the individual’s career and their growth.

PTCL needs innovative service offerings — currently it doesn’t even offer bundles or a single

bill. Has been unclear about its IPTV and WiMAX plan and strategy (trials are in progress)

Overall PTCL still behaves as a monopoly … it has to change its attitude. At a minimum,

avoiding billing errors and providing competent and courteous service to its customers is

essential if PTCL wants to show that it is transforming itself to a competitive company which

cares for its customers.

It is said that the best assets of a company go home to their family in the evening. Can the culture

of PTCL be changed to a performance and service-based organization? According to the latest

director’s report from PTCL the “organization is being revamped”. Only time can tell the impact.

However management is very demanding about the targets but good reward at the

Achievement of assigned targets is awarded.

68

Page 69: Ptcl Final report internship

Employees at PTCL are quite efficient. Its employees have to bring their org among the list of

good. Therefore, they work more than their working hours and it is all according to their will. It

also shows their loyalty, commitment to organization.

Employees are given the benefits like bonus, gratuity funds, loans, increments, and medical.

All the customers are entertained individually. Same kind of behavior and attention is given to all

the customers. Getting ideas for improvement from customer side is a new idea and that is

working very well in PTCL. All the customers are asked to fill a suggestion form and the

standards of the org are improved through them. Prioritizing its product portfolio in line with its

corporate and consumer needs and wants the org are committed to develop products that give

more value to its customers in both the sectors.

In PTCL, all the work is done on computers. All the entries are made in computer. Balance is fed

into the computer. This increases efficiency of the org.

During my internship training I gathered information regarding how a successful org operational

aspect decorticated with the practical.

I found my internship training at PTCL to be a very rewarding experience. The training was

beneficial because it helpful me to aware a real life working environment. So far my learning is

concerned; all the employees at branch were quite cooperative. They helped me to understand the

activities of an org. to possible extent. Their good attitude gave me more confidence to learn

more and to ask if I have any query in my mind. Besides there ever going activities they never get

irritated by my questioning. I had made an honest efferent to present the working & operation of

PTCL in simplest way. I feel pleasure that I have really gained a lot during 6 weeks & enjoyed

working with experienced cooperative & intelligent staff

69

Page 70: Ptcl Final report internship

Suggestions and Recommendations

No doubt P.T.C.L having the monopoly in providing the Land-Line Telephone

Connection in Pakistan and its playing its role magnificently. In current scenario P.T.C.L

has increases its Revenue quite dramatically, and probably that as soon as this

organization has become privatized it will flourish its revenue in better manner.

PTCL should immediately change its Finance upper level of hierarchy and should stream

line in the good manner.

PTCL should also encourage the Billing On line system that each and every customer

should have to pay his/her bill on line basis.

The system of E-PAYMENT which although exist in PTCL finance system but there is

need of improvement this facility.

The image of PTCL being leading Telecom Providing is not good in the eyes of common

customer especially there are lot of complaints about the including the bogus local calls in

the monthly bills of various customers. PTCL should also provide the detail of local calls

made from any Land Line Number which would be provided in Micro level to the

customer.

70

Page 71: Ptcl Final report internship

Faulty Telephone connection should be Fault Free within 24 hours in order to maximize

the Revenue, as Revenue of PTCL should sacrifice at the cost of Faulty Telephone.

PTCL should make Customer Care Centers in remote areas.

The punching system of Billing through automation at CITI Bank Karachi takes so much

time to adjust so it should be revived.

The Financial D.D.O powers should be entrusted to the Director Finance rather GM.

PTCL is not utilizing its surplus profit in long-term investment projects which be done.

PTCL management should give concentration towards the Securities of deposit and it

should be on maximum level.

The return on deposit should be checked accordingly.

The cash generated from the operation must be utilized accordingly.

Each Region should allocate the funds at its own level.

PTCL should take the services of highly qualified financial analysts.

The promotion system in the Finance & Revenue wing should be revived in true manner

all promotion must be made strictly on merit.

Each Region should maintain Profit & Loss and Balance sheet and the statement of Cash

inflow and outflow.

71

Page 72: Ptcl Final report internship

Limitations

Organizations don’t provide their data. They keep secrecy from internee. All the data to

prepare this report I have collected myself from different sources.

Bibliography

www.ptcl.com.p k

Annual reports of PTCL.

3. Staff of the department.

4. Recent business record.

5. Internship reports Company’s website-ptcl.com.pk

6. Magazine Business Economy

7. Google.com

8. Economic Survey of Pakistan

9. Businessrecorder.com

10. Security and Exchange Commission of Pakistan

11. Kse.com

12. Yahoofinance.com

72

Page 73: Ptcl Final report internship

Reports

· Annual Report PTCL 2007, 08

· PTA Reports

73

Page 74: Ptcl Final report internship

74