Strategic formulation

SWOT ANALYSIS:
Strengths: Attributes of the organization that are helpful in achieving the objectives:
 Attributes of the organization that are helpful in achieving the objectives.
 PTCL Strengths Oldest Telecommunication Company of Pakistan founded in 1947.
 The largest landline network of Pakistan.
 Strong international brand names.
 Strong financial position
 Competent and Skillful Human Resources in few specialized fields.
 PTCL is offering multiple services which includes Telephone, Internet and T.V.
 PTCL can be used as a backup network if the mobile networks are down due to any reason.
 PTCL maintain the records of customers in an organize way with the principle of privacy.
 All the telecommunication companies operating in Pakistan directly or indirectly
dependent upon PTCL network.
 It has been offering Internet DSL connection to the customers with students’ package offer.
 It offers low rates for the national calls etc., as compared to mobile networks.

Further strengths of PTCL are as following.

THE BIGGEST FOREIGN EXCHANGE EARNER:
PTCL is the biggest source of foreign exchange for Pakistan. It earns a lot foreign exchange
form its international traffic.
ADEQUATE FINANCIAL RESOURCES:
PTCL earns billions of Rupees as a major source of capital. These adequate financial
resources not only enable the company to copy with any unexpected event but to deploy
its resources to increase product line and services without feeling any financial difficult.
LEADERSHIP IN THE MARKET:
PTCL is leading Company to provide telecom facilities in the Pakistan. PTCL aims at using the
latest technology in the field of engineering and IT for its services. It is also getting constancy from
international Companies in order to remain leader in telecom sector.
ADDITION TO THE PRODUCT LINE: Top management of Organization can make
additions to its existing product line by providing more services. In this way it can increase its
revenue and customer satisfaction. This requires market research.

Weaknesses:
  Quality of Service; offered to the Customer is very poor and in-efficient, especially the
Internet service.
 Lack of technical staff in DSL technical support.
 Poor organizational structure.
 No clear strategic direction.
 No research and development programs.
 Functional units are not well organized.
 Weak marketing of new services.
 Bad debts due to non-payments of bills.
 Low revenue per user.
 Political intervention in decision making.
 Low rate of customer retention.
 Extra employee overhead due to over-hiring.
 Very low employee morale.
 V-wireless coverage and service is feeble.

Further Weaknesses of PTCL are as following.

EXCHANGE RATE RISK:

Exchange Rate Risk will cause PTCL net exchange loss on foreign loans. Devaluation of rupees
will increase the cost of production, machinery, and almost all the equipment, imported from
foreign countries. So exchange rate risk will affect the Profitability of PTCL and also increase the
risk of getting foreign loans in future.

Opportunities:
 Huge market size to Increase market share.
 Development of new, innovative and customized products (Increase in company product
lines)
 Re-structuring of organizational hierarchy (Proper planning and implementation is
required, to Improve overall services).
 Adopt latest technologies.
 Making technology accessible to all (e.g. broadband).
 Huge market size to Increase market share.
 Development of new, innovative and customized products (Increase in company product
lines)
 Re-structuring of organizational hierarchy (Proper planning and implementation is
required, to Improve overall services).
 Adopt latest technologies.
 Making technology accessible to all (e.g. broadband).
 Hire competent marketers and adopt aggressive marketing that is required to promote
offered services and give tough time to competitors.
 Improvement in customer services.
 Joint ventures with other telecommunication companies for introducing new services.
  Hire technical staff in specific areas e.g. for DSL issues in order to increase customer
satisfaction.

Threats:
 Quality of Service; offered to the Customer is very poor and in-efficient, especially the
Internet service.
 Lack of technical staff in DSL technical support.
 Poor organizational structure.
 No clear strategic direction.
 No research and development programs.
 Functional units are not well organized.
 Weak marketing of new services.

Findings:
Below are some of the observations which we analyze during our analysis. We mention it here
for the purpose to enhance the capabilities of the organization of our area if these are considered
by the managers. They will also have an edge on the upcoming competitors of them and will not
let them loose their potential customers.
 No proper theory references on related topic for courses.
 The employees were not trained enough and were not having enough knowledge about the
work they were performing.
 Less educated staff reduces the performance growth of the department in general and of
the organization as a whole.
 Lack of time Punctuality of workers and employees.
 No full co-ordination with the other departments.
 No proper procedure of installing new connections due to which the complaints increase
and also some customers lose their confidence in the Broadband connections.
 Internees were performing all the travel.
 Lack of computer knowledge of well designated employees.