Q1|MAY|2013 Volume 2 | Issue 1

sampark In touch In sync

© Viom Networks 2013

foreword Your newsletter – ‘SAMPARK’ is back. The first edition of 2013 is all about PEOPLE. This issue explores some of the lesser known facts about our colleagues. The intention is to build bonds, break silos and imbibe a winning team spirit. The need to create synergies is even more relevant in light of what Viom NEXT stands for (read the article for more details). We hope that you enjoy reading this issue of ‘SAMPARK’ and we welcome your contributions for the forthcoming issues (quarterly). Regards,

inside ..........viom next ..........policy pulse ..........ethics & governance ..........leader speak ..........success mantra ..........women@viom ..........beyond work ..........wellbeing@viom ..........the final word

Viom Networks has enshrined a values’ based conduct that has an ethical DNA. We are focused on achieving growth by imbibing excellence and innovation while maintaining equilibrium of stakeholder interests. As an organization we stand committed under the stewardship of our Leadership Team to steer the company to newer heights inline with the core themes and foundation pillars of Viom NEXT.

We are all geared up for the next phase of transformation at Viom Networks. We have revisited our focus areas as per the changing business landscape. This process of transformation called ‘Viom NEXT’ is about redefining our future and is aimed at speeding up our company’s path to sustained value creation over the next three years. Viom NEXT has three core themes that signify what we aim to become in a few years from now. Viom NEXT is the plan that we need to follow that will transform us into an ‘INNOVATIVE TELECOM INFRASTRUCTURE SOLUTION PROVIDER’, a company that will be an industry ‘BENCHMARK IN OPERATIONAL EXCELLENCE’ and an ‘INDUSTRY LEADER IN PROFITABILITY’. The core themes are supported by foundation pillars that will direct the growth of our company. They will underpin the way we do business and ensure the manner in which we conduct ourselves as a company. Therefore, as part of Viom NEXT, our company will strive to be a ‘SOCIALLY RESPONSIBLE EMPLOYER OF CHOICE’. In addition, we will ensure ‘SMART AND EMBEDDED USE OF TECHNOLOGY’, while maintaining ‘OUTSTANDING VALUES AND INTEGRITY’.

Viom NEXT has three core themes that signify what we aim to become in a few years from now

In this section, we shall keep you abreast with the changing regulatory landscape as it becomes an important cornerstone of decision making in our business. In the recent months, Telecom Regulatory Authority of India (TRAI) has recommended that we, the IP-1 players must be migrated to ‘Unified Licensing Regime’. According to TRAI, this will enhance the scope of the tower industry to offer active infrastructure sharing that may lead to additional revenue generation for the government as well. The migration of IP-1 players to unified license may also impact the current FDI norms for the industry (74% instead of the prevailing 100%). The Department of Telecom (DoT) has revised the tower rollout guidelines and issued the revised rollout guidelines to the States in early May, 2013. The positive aspect of these guidelines is that there is no negative list like schools and hospitals buildings for installation of towers. Towers are permitted to be installed irrespective of the use of land.

The DoT guideline to run 50% of rural towers and 20% of urban towers on hybrid power/green solutions by 2015 has been under deliberation for quite some time. The policy advocacy efforts by the industry has led to DoT looking at the possibility of providing the viability gap funding (VGF) to telecom tower companies for speeding up adoption of renewable energy. An inter-ministerial panel has already been set up to suggest a way forward to fund the CAPEX required to meet green targets of converting a large number of towers on renewable energy technology.

The industry has a view on these matters that the migration to Unified Licensing Regime should not be made mandatory for IP1 players. The Renewable Energy target set for towers by 2015 is also very aggressive, hence there is a need to revisit the matter. In addition, adequate subsidy should be provided by the Government as the alternate energy solutions are not commercially viable yet.

The policy advocacy efforts by the industry has led to DoT looking at the possibility of providing VGF to telecom tower companies

For more information on our regulatory initiatives, please contact Deepak Arya – Head of Regulatory Affairs

(deepak.arya@viomnetworks.com)

IMPORTANT WEBSITES FOR POLICY RELATED MATTERS – www.dot.gov.in www.trai.gov.in www.taipa.in www.coai.com www.assocham.org

‘Integrity’ is one of the seven core values of Viom Networks. The company adheres to stringent norms while ensuring highest standards of corporate governance. The fraud management vertical is specially formed to deal with any unethical practices whatsoever. As an organization, we have zero tolerance for acts of frauds and financial impropriety. Any act whether individual or performed by group of individuals in direct employment or otherwise if found compromising on the expected standards of integrity and jeopardizing our core values, attracts immediate action that may even lead to relinquishment of services. We at Viom Networks have a well-defined and structured mechanism for disclosure of matters of

frauds and financial impropriety. Strictly imbibing Tata Code of Conduct, employees are regularly encouraged to disclose any such acts which may have come to their notice. Each instance of suspected unethical practice including fraud will be thoroughly and carefully investigated, whilst at the same time protecting the individual making the complaint. Fraud must be treated as a matter of priority. Early action ensures the preservation of evidence and enhances the chances of recovery.

THE DO’s Imbibe and practice the TCOC Live the company values Use company’s assets appropriately Absolute transparency in official dealings Promptly report known or suspected TCOC violations

THE DON’Ts Violate TCOC Resort to unethical practices Official dishonesty Share user information Indulge in conflict of interest activities Hide instances of known or suspected fraud

DO REPORT Whistle Blower on whistle.blower@viomnetworks.com

Escalate to your Reporting manager or their manager Inform HR Report directly to Fraud Prevention Cell or Management Assurance

For more information on our compliance initiatives, please contact Anurag Parashar– Head Fraud Prevention Cell

(anurag.parashar@viomnetworks.com)

Visit the anticorruption page on iViom for more details

The fine difference between ROIC and ROCE will need to be understood by all stakeholders.

The financial year (FY) of 2012-13 was a landmark year for Viom Networks. As ‘Viomites’ set sail on the exciting journey of FY 2013-14, we are all excited to transform the business with sustainable profits and growth. This mission will require a marvelous team effort and sensitization at all levels, be it a corporate staff or an even O&M engineer in the field or an Asset Manager. Terms like EBITDA, NPAT, Profitability, IRR, ROCE, ROI, EVA, Capital/ Asset productivity should become our standard vocabulary. Financial Ratios like Fixed Asset Turnover, Debtor Turnover (DSO) will help us monitor our productivity norms vis-à-vis market. In all our field actions, we must look for ultimate goal of Cash, EBITDA and NPAT. Site wise profitability which is a key theme of PRISM will help us in identifying best and rogue sites with high DoPS.

We must make cost benefit analysis as our way of life for evaluating all proposals. IRR evaluation should be religiously followed while considering anchor and upgrades.

Discounted Cash flow should be used in situations where cash flow is staggered over certain period. Understanding of IRR, MIRR and XIRR will help us use the most relevant IRR formulae. The period to be used for evaluation will vary on case to case basis, depending on asset life, expected payback or MSA period. Savings assumed while submitting any Business Proposals should be real and demonstrable based on past trends instead of just a spreadsheet. Flexible budgets will become prominent, whereby budget will be reduced based on lower towers rolled out to drive efficiency. Corporate FPA will partner will functions and geographies in providing advanced in-house trainings on computation of such KPIs and establishing Industry benchmarks. The uses of various finance tools and their contextual usage would be critical. A good benchmarking with competitor and market will help us sharpen our analytics and negotiation. Let ‘Viomites’ strive to achieve this hallowed target of profitable operations as our mantra.

To learn more about the financial terms mentioned above, you may refer to the following websites – Reuters - http://glossary.reuters.com/index.php?title=Main_Page Yahoo Business - http://biz.yahoo.com/f/g/ Forbes - http://www.forbes.com/sites/forbesfinancialglossary

“OUR ASSETS WALK OUT OF THE DOOR EACH EVENING. WE HAVE TO MAKE SURE THAT THEY COME BACK THE NEXT MORNING.”

- NARAYANA MURTHY

My teamwork mantra-

Delegative

Participative

Authoritative

All of the above

The business leader I admire the most- Bill gates My favorite movie star - Amitabh Bachchan (fellow college mate) An important leadership lesson- Positive attitude can make you win in tough times. ‘Can do’ attitude matters. A book or a movie that I recommend on leadership - Execution by Ram Charan & 3 Idiots- follow your passion My opinion on the difference between a manager and a leader- Leaders are influential and exhibit focus, passion, innovation, involvement & effective communication. Managers manage the task/ assignment.

RAKHI KHURANA, currently with the Projects Team has been with our company for the past 3 years. An avid

sportsperson and a fitness enthusiast, she dabbles work and life with equal ease. Ask her about what makes her

comfortable working with the company and she says without a blink, “The equal opportunity that women are

provided in the company is one of the biggest factors”. In addition, according to Rakhi, the high level of exposure that

she is getting right now with the company is surely enriching her industry experience.

SOMA CHATTERJEE MUKHERJEE is part of our Operations Team. It’s been 3 years with Viom Networks and one can still feel the energy of doing something new each day. Oozing with positivity Soma says, “With dedicated, knowledgeable personalities as leaders, things are on the right track”. She is thankful towards her family for all the support that helped her to pursue interests and love for travel. She adds, “The feeling of contentment to be able to strike a work-life balance being a wife, mother and above all a professional is a great feeling”.

Three years with the company and as part of OPEX Control (Finance), SHWETA GAUTAM has no qualms in sharing that her work is indeed challenging and stressful. However, she

promptly adds, “The wealth of experience and lots of learning from the different circles and teams is more than

enough to make the experience totally worthwhile”. What makes her comfortable at Viom Networks? Shweta

says, “Working with talented colleagues in a conducive environment is extremely satisfying and beats the odds”.

At Viom Networks, women have been making contributions to the advancement of organizational goals. Our company has been creating meaningful roles for female employees. Here is a peek into their personal experiences of some of our women colleagues.

‘Life Beyond Work’ is all about unveiling the lesser known facts about our colleagues. In this section, we will focus on passions and hobbies of each other. The objective is also to encourage everyone to pursue their hobbies and interests. As they say, in this journey called life, there should be no stone unturned, no pasture unexplored. When golden years have passed by, we must not sit back and say, could’ve, would’ve, should’ve!

Sharmila Malhotra, Head Marketing Strategy and VP Sales

A mother of two, Sharmila also happens to be a great

cook. Her favorite cuisines are Italian and Chinese. She is particular about dressing and garnishing to

improve the presentation of food. She believes that laying out the food table is an art in itself and must be

appealing to the eyes as well. She says, “It’s the sight of great food that entices us first and that’s what

makes us savor the food far better”. She also enjoys music and painting during her leisure.

Anurag Bothra, Head - Management Assurance Anurag is an avid traveler and photographer and has already visited four continents. He loves travelling to exotic locations and places that are closer to nature and rich in heritage. As a wildlife enthusiast, he is passionate about capturing the nature with his camera. He is also a sports lover and likes everything from Kabaddi to cricket.

Happier, healthier employees tend to be more productive. With this in mind, our Mumbai office organized a Yoga Session at their office. Gesturing our great bond with our customers, the local team organized a special session with Mr. GS Khator, Vice President - Finance & Accounts, Idea Cellular. Mr. Khator who is also a Yoga expert, took time out from his busy schedule to visit our office and hold a session on ‘Tibetan Yoga’ that was attended by 25 enthusiastic employees from our Mumbai office.

As a part of Environment Health Safety (EHS) Practices, the Business Excellence team along with Learning & Development team, recently organized a special training on ‘handling medical emergencies’. For this purpose, we have partnered with ‘VIVO Healthcare Private Limited’, one of the few Emergency Medical Training companies in the country. Vivo is an international training centre authorized by American Heart Association (AHA) and American Safety & Health Institute (ASHI) and certified by Quality Council of India (QCI). The special ‘crisis response teams’ at Viom Networks at corporate office and across 15 circles were the first ones to go through a full day programme in order to make them sufficiently equipped to handle medical emergencies. A short module was also imparted to the Viom Leadership Team for sensitizing them on the Medical Emergencies. The emphasis of the programme was to ensure that even non-healthcare personnel can take charge until paramedics or medical help arrives. The Course content of the programme revolved around First Aid training and CPR techniques

As an avid Yoga practice follower, Mr. Khator has been our central point of contact in the finance department of Idea Cellular. He has been practicing and teaching yoga, meditation and meditative art practice, alongside having in-depth knowledge on these practices. Our Mumbai colleagues gained much insights into Tibetan Yoga and are surely going to imbibe this in their fitness regime.

The CSR initiatives at Viom Networks are an opportunity to make a difference to lives and environment around us. All we need is to wake up to this call of our conscience to create value for society and protect the environment. The organization is providing everyone with an opportunity under the theme ‘Go Green’, to leave that impact on our surrounding and society at large. We recently launched the Eco Club ‘Srishti’ which is a volunteer program that combines the strengths and skills of our employees to fulfill a shared beliefs and create value for the society and ecology. All members of the ‘Viom family’ are encouraged to join this club and make a difference!

We have developed a thoughtful and comprehensive approach to drive Corporate Social Responsibilities towards achieving out vision of ‘VIOM NEXT’ of being a ‘Socially Responsible employer of choice’. As an organization, we are committed to environmental leadership in all business activities and extensively working on Green Energy Solutions that encompasses conservation of resources, pollution prevention and much more. Community Service efforts have always been essential elements and will continue to be socially engaged through skills development and 'Joy of Giving' initiatives. Health, safety and well-being of our workforce are an absolute priority and are incorporated in every aspect of our business.

© Viom Networks 2013

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This quarterly newsletter has been conceptualized and produced by the Corporate Communications Team of Viom Networks. The materials and information included in this electronic newsletter do not necessarily reflect endorsement by Viom Networks. The company is not responsible for the accuracy of information provided from outside sources. We encourage subscribers to pass the information along to other colleagues and interested parties. Please credit this e-newsletter as the source and include subscription information. All relevant questions can be directed to corporate.communications@viomnetworks.com

THE NEWSLETTER EDITORIAL TEAM