Project Report On “Study of a Service Organization”

Subject: -“SERVICE MARKETING”

Submitted to “Professor Syed Ferhat Anwar”

Name of the team/Group:

Name and ID of the Students

1. Md. Shams-Ud-Dowla- 1120610072. Rashedur Rahman- 1120730213. Sonia Rahman Lina- 1130710054. Salauddin Md. Shajahan- 1130710135. Shanjida Jahan- 113072006

Acknowledgement:

We would like to thank Professor Syed Ferhat Anwar, Faculty, Services

Marketing, UIU, for giving us an opportunity to do the project on Services

Marketing. We would also like to thank Mr. Pradip Kumar GM, Advanced Data

Networks System Limited (ADNSL) for spending his valuable time and giving

us valuable insights on Advanced Data Networks System Limited, for Internet

Service Marketing.

Table of Contents

1. Objective

What is Internet Service Provider

2. Why Choosing Internet Service and what are features of Internet?3. Internet History in Bangladesh

Current Internet Market Position in Bangladesh………………………………………………..

3. Introduction-About Advanced Data Networks System Limited.................6

4. Identification of Need & Opportunity ............................................8

6. Proposed Strategy or Plan....................................................... 127. Ecommerce Solution:............................................................ 14 9. Internet Marketing Services.....................................................

16 10. ADNSL Portfolio of Clients ................................................. 19 11. Value Proposition to its clients ................................................

20 12. Human Resource Management................................................

22 13. Performance parameters for Customer

Satisfaction.......................... 25 14. Key Issues in Service Delivery: Service Gap Analysis

.......................... 26 15. Reasons for Service Delivery Gap ............................................

27 16. Application of service Marketing Strategies & Concepts ........

17. Conclusions.......................................................

1. Objective

This Project report, broadly, has been designed to familiarize with the

characteristics of Internet Services in Advanced Data Networks System

Limited (ADNSL), their implications on design and delivery, and highlighting

the role of marketing, human resources and operations for sustainable

competitive advantage for Advanced Data Networks System Limited with the

Internet Services.

This report is not a pure description of Advanced Data Networks System

Limited, but involves critical evaluation and/or identification of key issues.

This report uses the concepts evolved during the course, uses them where

appropriate. This report tries to address the following.

The objectives of the project study are as follows: • To do a service delivery (Internet Service) study & analysis of

Advanced Data Networks System Limited. • To analyze the customers of ADNSL. • To do a study and analysis of service positioning by ADNSL in the

competitive market, study customer satisfaction, study and analyze human resource management.

• To study and evaluate the service processes design and the performance measurement and management.

• To study and evaluate the customer value provided b ADNSL • To identify and evaluate the key issues in the service delivery. • To evaluate the reasons for the existence of service delivery gap. • To use and apply the concepts of ‘Service Marketing’ to analyze and

minimize the service delivery gap by doing ‘Gap Analysis’. • To analyze and evaluate the financial implications of improving the services.

What is Internet service provider?An Internet service provider (ISP, also called Internet access provider or IAP) is a company that offers its customer’s access to the Internet. The ISP connects to its customers using a data transmission technology appropriate for delivering Internet Protocol datagram’s, such as radio connectivity, wifi, Wi-Max, Fiber Optic, dial-up, DSL, cable modem or dedicated high-speed interconnects.

ISPs may provide Internet e-mail accounts to users which allow them to communicate with one another by sending and receiving electronic messages through their ISPs' servers. (As part of their e-mail service, ISPs usually offer the user an e-mail client software package, developed either internally or through an outside contract arrangement.) ISPs may provide other services such as remotely storing data files on behalf of their customers, as well as other services unique to each particular ISP.

3. Why Choosing Internet Service and what are features of Internet?

The Internet is a unique medium with global impact, and within a relatively few number of years has become inextricably intertwined with the conduct of almost all human activity. The following sections are the key features of the Internet which have contributed to this world-wide success:

Key Internet Features : Geographic Distribution Robust Architecture Near Light Speed Universal Access Internet Growth Rates The Digital Advantage Freedom Of Speech

Key Web Features: Ease Of Use Universal Access Search Capabilities

Key Usenet Newsgroups Features: Group Communications Common Space

Key Email Features: Email Is A Push Technology Email Waits For You Email Is One-To-Many Email Is Almost Free

Key Mailing List Features: One-to-many communication.

2. Internet History in Bangladesh

E-mail service was started in Bangladesh through a small private initiative sometime in late 1993. Another private organization came with a bulletin

board service (BBS) with Internet e-mails and newsgroups in late 1994 that attracted many subscribers because of its good price package. There was demand from all quarters for BTTB to start VSAT or X.25 lines for Internet and data entry services. But BTTB was not willing. After that some peoples has took initiative to remove all regulatory bars for setup and use of VSAT in the private sector. As a result online Internet service began in the country on 4 June 1996. Currently, 184 providers are giving online Internet access;

3. Current Internet Market Position in Bangladesh

The Internet came late to Bangladesh with connectivity in 1996 as commercially. In the last few years it has grown dramatically, although obviously from a very low base. With an estimated user base of more than 600,000 by 2008, representing only a 0.5% penetration, the local Internet industry has been preparing to move into the next stage of its development. As this report demonstrates, however, the country must work hard to overcome obstacles associated with the country's lowly economic status and still developing infrastructure. The report also looks briefly at very early signs of broadband Internet in Bangladesh and its first moves into Internet services.

The BTRC (Bangladesh Telecommunication Regulatory Commission) has given about 184 licenses to the different ISP’s to provide the internet services all over the country. Only 8 ISP’s has nationwide communication License who can provide the services all over Bangladesh. And other providers have got the license for the local area. And another 6 mobile operators are also providing the internet services. But the mobile operators service is limited (fix band width).

The government of has realized to develop the country needs develop the communication system as early as possible.. That’s very recently government has given 3 license for the Wi-max. Which will be more reasonable and to get easy in any where in Bangladesh.

Bangladesh is high density country and very small peoples are using internet services. This service is increasingly day by day and within very few year it will be large service provide sector in the country. A lot of opportunity is remaining to grow up the business.

2. Introduction-About Advanced Data Networks System Limited.

Advanced Data Networks System Limited is incorporated 2001 in Bangladesh. Advanced Data Networks System Limited is the sister concern of Techvalley computers limited which company are providing state of the art technology in Bangladesh

Advanced Data Networks System Limited is a technology strategist of providing Internet Services, business solutions offering customized Internet & Intranet where is following the other services like-voice, data communication, online-connectivity, IPLC (International Private Leased Circuit), IP Phone, Wifi and many more. All are 100% service related based solutions to small, medium & large scale retail companies or customer.

9. Internet Services of ADNSL

Technology at ADNSL is driven to grow clients business across all channels. They accomplish this by combining the proprietary technologies with leading third-party applications to create strong communication connectivity for their customers.

It also provides Search optimization and Online Marketing services to clients looking to strengthen their online marketing reach. It provides solution which helps client realize long terms or short term benefits.

• Corporate User• Educational Institute• End user or home user

Technology Using by ADNSL:ADNSL using state of the art technology:

• IPLC Services (International Private Leased Circuit)

• VSAT 9Verys Small Aperture Terminal) Services which also called Satellite services

• Fiber Optic Services for First connectivity• Broadband Connectivity• Voice Backhaul for the Telecom Operator• Wi-fi Services

Customer Segmentation of ADNSL Portfolio of Clients

A lot of different type of organizations ADNSL is providing all types of connectivity services. Following are customer’s categories.

1. Corporate Customer2. Educational Institute3. End user or home user

Bandwidth Segmentations:ADNSL providing the services in different types of packages of Internet for the customers. Bandwidth is dedicated and starts from 64 kbps to as request of customer.

Internet Service and Feature Description for the customer

1. Scalability2. RF Interference Free3. Less point of Failure4. Connectivity Possible Anywhere in Country5. IP Based Connectivity, Ethernet Interface6. Supports all TCP/IP application7. Centralized NMS at NOC for Remotes8. TCP and HTTP acceleration9. IP VPN10. Committed uptime: 99%11. Competent technical team12. 24X7 Hrs round the year Service13. 24X7 Hrs round the year Network Monitoring from ADN NOC14. Licensed Frequency Band, Exclusive Frequency allocation from BTRC for ADN,

hence this will resolve the problem of Frequency Interference.15. Licensed DDCSP by BTRC and True DDCSP service in Telco Grade Equipment.16. High Spectral Efficiency1. IP VPN2. NLOS technology enabled.3. Direct Ethernet Interface.4. OFDM Technology.

Portal Management and Technology Management services SWOT Analysis:

Web Address

Employees

Annual Sales

Revenue

Net Income

Asset

Liabilities

Business Value

Stock Value

ADNSLX-net

SWOT Comparison Sheet

Strength ADNSL X-netTechnologies (Connectivity Media)

Radio , Fiber Optic;VSAT (satellite), Wifi;DSL/ADSL & Dial-up

Radio, Fiber Optic,DSL/ADSL

Bandwidth Types SEA-ME-WE4 (Submarine Cable) & VSAT (Own)

SEA-ME-WE4 (Submarine Cable)

Networks Redundancy (Own) VSAT (Own) VSAT backup fro third party

Currently Coverage All over Dhaka Not all over Dhaka HR for Technical Support 112 64Bandwidth Dedicated Dedicated & SharedCustomer Service Ensure 24X7 Monitoring 24 hours

but solving only working hours

Regulatory BTRC Permission Frequency License:3.5 GHz, 5.8 GHz, 10.5 GHz

BTRC Permission Frequency License:3.5 GHz

License for Network Coverage Area

Nationwide Communication

Only Dhaka & Chittagong City

Bandwidth Cost For corporate customer bandwidth cost is cheaper

For Home user Bandwidth cost is cheaper

SWOT Comparison Sheet

Weakness ADNSL X-netValue Added Service No value added

services such as: DNSWeb HostingE-mail Address by the providerOn-line problem log bookSearch Engine etc.

DNSWeb HostingE-mail Address by the providerOn-line problem log bookSearch Engine etc

Local Hardware Maintenance & Support

Not Yes

Customer Awareness No YesBandwidth cost For Home user

Bandwidth cost higher than other providers

For Home user Bandwidth cost is cheaper

Dial-up Connection No Dial Up Connection

Yes

SWOT Comparison Sheet

Opportunities ADNSL X-netNew Technologies 3G & Wi-MaxValue Adding Services IP Phone

Free Web –mail and HostingOn-line Problem logOn-line based information Services

SWOT Comparison Sheet

Threats ADNSL X-netTechnology 3Coverage Area Coverage is limited

area (only in Dhaka)Bandwidth Charge Bandwidth Charge

home user is highNegative economic conditions?Government regulation? New Frequency

allocate by BTRCChanging business climate Competitor

increasing

GE Model

Business Strength5.00 Strong Medium Week

Mark

et

Att

ract

iveness

Str

ong

3.67

Mediu

m 3.20

2.33

Week

1.00

5.00 3.67 3.10 2.33 1.00

Business Strength5.00 Strong Medium Week

Mark

et

Att

ract

iveness

Str

ong

3.67

PROTECT POSITION Invest to grow at maximum digestible rateConcentrate effort on maintaining strength

INVEST TO BUILD Challenge for leadership Build selectively on strengthReinforce vulnerable areas

BUILD SELECTIVELYSpecialize around limited strengthSeek ways to overcome weaknessWithdraw if indications of sustainable growth are lacking

Mediu

m

2.33

BUILD SELECTIVELYInvest heavily in most attractive segmentBuild up ability to counter competitionEmphasize profitability by raising productivity

SELECTIVITY/MANAGE FOR EARNINGSProtect existing programsConcentrate investment in segments where profitability is good and risks relatively low

LIMITED EXPANSION OR HARVESTLook for ways to expand without high riskMinimize investment and rationalize operations

Week

1.00

PROTECT AND REFOCUSManage for current earningsConcentrate on attractive segmentDefend strength

MANAGE FOR EARNINGSProtect position in most profitable segmentUpgrade product lineMinimize investment

DIVESTSell at time that will maximize cash valueCut fixed costs and avoid investment meanwhile

5.00 3.67 2.33

1.00

Measuring Market Attractiveness-ADNSL

Factors Weight Rating (1-5) ValueOverall market size .15 3 .45Annual market growth rate

.10 4 .40

Historical profit margin .20 4 .80Competitive intensity .10 3 .30Sales Promotion requirements

.15 3 .45

Inflationary vulnerability

.10 3 .30

Safety Risk at work place

.10 3 .30

Global HR resolutions .10 2 .20Total 1.00 3.20

Business Strength-ADNSL

Factors Weight Rating (1-5) ValueMarket Share .15 3 .45Service Quality .20 4 .80Brand Reputation .10 3 .30Promotional Effectiveness

.10 3 .30

Managerial personnel .10 3 .30Unit Cost .10 2 .20Experience Measure .15 3 .45R&D Performance .10 2 .20

Total 1.00 3.10BCG Matrix:

Mark

et

20% 2Star

1Question Marks

Gro

wth

Rate

10%

0%

3Cash Cow

4Dog

10 1 0.1

Relative Market Share

The Extension of the BCG Matrix

Mark

et

Gro

wth

Rate

20%

10%

0%

2Star

1Question Marks

3Cash Cow

4Under Developed

-5%

5Orphan

6 Death

10 1 0.1

Relative Market Share

Application of service Marketing develops Strategies with the SWOT, GE Model & BCG Matrix:

On the basis of GE Model result that the market attractiveness value is 3.20 and the business strength is 3.10. The results indicate that some strategies should be taken which are given in below:

1)Firstly to minimize the attrition rate and curb the inefficiencies in the service delivery quality, focus on specialized training is a must as it provides the basic concepts, knowledge and tools for providing superior customer service.

2)The under performers must be put to specialized training and an “ACCOMMODATION STRATEGY” approach can prove to be better in several situations rather than “CLASSICAL REDUCTION STRATEGY” to minimize ‘Efficiency Variability’.

3)All the parameters for measuring the customer satisfaction and the ways to achieve that must be well communicated to the employees.

4) Rather than paying lower salaries to the employee’s to bring down the cost of operations, ADNSL must focus on specialized training to minimize the attrition rates and increase the performance levels. This will automatically take care of the cost of training and operations. The company will gain in the overall action in the long run with no additional expenditure or cost.

5) The conflicts between the operations, marketing and management can be resolved by better management strategies. A critical balance has to be strike among different departments when their interests are different with mutual understanding and cooperation.

6) The concept of “SERVICE PROFIT CHAIN” is indispensable for ADNSL’s success in the long run. Only a satisfied and loyal employee can bring in a satisfied and loyal customer thus enhancing the company’s profits and climbing up in the value chain ladder.

7) The strategies for demand and capacity management and handling requests for service customization can be strengthened by specialized training and implementing upgraded technology, CRM Tools, better cultural and attitude study of the customers, innovations and relationship building, etc.

8) As per the scenario and strategies we define the position of ADNSL is Question marks because of internet sector is growing rapidly and

day by day thus consume large amounts of cash, but because they have low market shares they do not generate much cash. They have the potential to gain market share and become a star, and eventually a cash cow when the market growth slows. If the question mark does not succeed in becoming the market leader, then after perhaps years of cash consumption it will degenerate into a dog when the market growth declines. Question marks must be analyzed carefully in order to determine whether they are worth the investment required to grow market share.

17. Conclusions

By carrying out the study of Advanced data Networks System Limited service delivery

strategies and analyzing the service performance, it can be concluded that the service

organization is a Bangladesh digital marketing service provider and working with global

company and brand with many leading businesses in the local and global competitive

arena.

In a constant state of flux, the Internet is once again witness to a fundamental shift, which is changing the nature of business transactions. Customers are increasingly expecting - demanding - to be able to conduct transactions, from shopping, to banking, to researching, to making travel arrangements, online etc. For an organization to succeed on the executable Internet, the development of a strategic Internet business plan is a must. A robust Internet development strategy must:

Reflect an organization's brand strategy, Provide positive human experiences, Have good online visibility, Be updated regularly and consistently, Be supported by integrated marketing, Be continually informed (and improved) by statistical analysis, Be reliably hosted, and Absolutely - make creative use of the best technology that is available and

relevant to a given market place.

References