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In The Name of ALLAH, the Most Merciful, the Most Beneficial.

MANAGEMENT

Presented To:
Sir Salman Saif
Presented By:
Iqra Umer
Eram Chaman
Iqra Khan
Jamal Akram
Usman Saddique

Department Of Banking & Finance


GC University of Faisalabad

1
To Almighty Allah
The Most merciful
The Most beneficent
Who enabled us the ability
To Understand
And comprehend things
Around us.

2
We would like to thank our professor “SIR SULMAN SAIF” who
was always there to help and guide us when we needed help. His
perceptive criticism kept us working to make this project more full
proof. We are thankful to him for his encouraging and valuable
support. Working under him was an extremely knowledgeable and
enriching experience for us. We are very thankful to him for all the
value addition and enhancement done to us.

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 as to
enable me to do this work successfully.

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Telenor’s Management Project

First of all we would like to thank that great entity that helped us to
get through this report safely, the one who was always there when no
one was!

SHUKER- ALL- HUMDULILLAH!

Would that we have words to pay tribute to our loving parents and
teachers whose invaluable prays salutary admire and embodying
attitude kept our spirit alive to strive for knowledge and integrity
which enable us to reach milestone.
We would also like to express enormous gratitude to our respectable
teacher “SIR SULMAN SAIF” for providing the direction for this
project and for helping us in refining our effort and ideas.
We also acknowledge the help and pleasant gathering of all our class
fellows. We are also thankful to all of those people who helped us in
accomplishing our project.

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This report is about role which management plays in Telenor.


Telenor has the distinction of being largest in innovations strategies.
They are mainly focusing on innovation techniques and leading in that
field. They are adopting new techniques in all the fields by giving
different services.

“Telenor is pioneer of mobile communication because they started


their service from 1855. Manual mobile communication system was
introduced by them in Norway in 1966.They positioned the company
in Pakistan by mainly targeting rural areas and those areas where
competitors are fewer.”

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We have adopted two ways to finalize our search. We made a


complete formal interview with Telenor branch manager and their
customer service officer (CSO) and ask about all the management
system in their organization and the channels they are adopting to
communicate with their employees and customers. Also we have
discussed where their decision making power lies. We have used
internet service to collect the history of the Telenor.

We concluded from all our discussion that their decision


making structure is totally centralized. CEO of the company holds all
the powers to make any decision. They Manage their works according
to the needs of their employers and customers. They communicate
with their customers by annual report which gives report on all
financial aspects of the company. Also by giving services such as
Telenor doctor service and Telenor Pakwan house. Peoples remain
connected with them all the time. They mainly aim on that;

“Our main focus is to satisfy our customers”

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INTRODUCTION OF TELENOR

Telenor is the fastest growing telecommunication company in


Pakistan. It has a great market share in Pakistan telecom sector. Now
it is leading with services it is providing other than any company of
that sector. Telenor position their company by mainly targeting on the
rural areas. He captures the market of the rural areas and started by
capturing the vacant market of the Pakistan. And now it is growing on
a large scale.

History of Telenor
For over 150 years, telecommunications has played a vital part in the
development of modern Norwegian society. As the incumbent
provider, Telenor has been the driving force in the development of a
highly sophisticated home market and is now one of the largest
mobile operators worldwide.

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The introduction of the telephone

The years of 1855 to 1920 was a pioneering period in the


history of Norwegian telecommunications. During two generations,
the Norwegian society experienced the introduction of three new
means of communications: the telegraph in the years of 1850, the
telephone around 1880 and wireless telegraphy – radiotelegraphy – at
the turn of the century

The spread and use of telecommunication was modest compared to


later periods, but as entirely new features they received a fair amount
of attention.

Pioneer in mobile communications

Telenor is a pioneer in mobile communications. Manual mobile


telephony services were introduced in Norway in 1966, as a
forerunner to the automatic NMT system, which appeared in 1981. Its
digital successor, GSM, was introduced in 1993, and third generation
mobile network, UMTS, was launched for commercial use in 2004.

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Norwegian telecom becomes a public corporation

In 1994, Norwegian Telecom was established as a public


corporation. One year later, it changed its name to Telenor. In
December 2000, Telenor was partly privatized and listed on the stock
exchange. Telenor has undergone momentous change as a group –
from being a strong national operator with significant international
holdings to be coming an international, world-class provider of mobile
communications services.

Telenor now has mobile operations in 12 markets around the world,


many of which are seeing high growth. In each of these markets we
will drive towards greater competitiveness, building on the much
strength we have forged during our more than 150 years of history and
on our international experience.

Telenor is emerging as one of the fastest growing providers of mobile


communications services worldwide. Telenor is also the largest
provider of TV services in the Nordic region.

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Brief Introduction of Telenor

Telenor is organized into three business areas; Mobile operations


covering 12 countries, and Fixed-line and Broadcast services covering
the Nordic region.

Telenor Group

• More than 174 million mobile subscribers worldwide

• Strong subscription growth, particularly in our Asian operations

• 8Listed as No.1 on Dow Jones Sustainability Index 2008

• Ranked as the world’s seventh largest mobile operator

• Revenues 2009: NOK 97.7 billion

• Workforce 2009: 35 800 man-years

• Listed on the Oslo Stock Exchange, with headquarters in


Norway

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Mobile operations

Telenor has ownership interests in 12 mobile operators across Europe


and Asia. Our international mobile footprint covers more than 650
million people. It is taking its business on large scale and their
business level starts growing at a very fast speed. They are the
pioneers of new technology providers. Now they have set their
business on a large scale.

Telenor in Pakistan

After Telenor Pakistan launched its GSM mobile network in 2005, it


quickly became the fastest growing mobile network in the country. As
the number of mobile phone users is growing, from around 15 per
cent in 2005 to close to 50 per cent in 2007, the number of Telenor
subscribers is growing even faster. Telenor Pakistan is now acquiring
more than 20,000 new subscribers every day! With coverage reaching
deep into many of the remotest areas of Pakistan, Telenor Pakistan is,
in some places, the only operator connecting the previously
unconnected.

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Licenses and network


Telenor Pakistan currently holds nationwide GSM 900/1800 licenses.
In addition the company holds a license to build and operate a mobile
network in Azad Jammu and Kashmir (AJK) and the Northern Areas.
Telenor Pakistan also holds a Long Distance and International (LDI)
license under which it provides nationwide and international call
services. After launching EDGE in August 2006, Telenor Pakistan has
the country's widest EDGE coverage, allowing access to high-speed
Internet and data services.

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Services and innovation

Telenor Pakistan offers a wide array of private and corporate services,


prepaid and contract mobile telephony. Some examples of the services
are:

• The Telenor Cricket Companion, a GPRS based application


allowing you to get updates and watch games directly on your
phone.

• The Tele Doctor Service answers medical questions from


customers via SMS.

• Food recipe services, Bollywood downloads, etc.

• Apna PCO ("Our Public Call Office"), allowing people in rural


areas to share a mobile phone.

In 2008 Telenor Pakistan launched solar-powered base stations to


increase network coverage. Solar-powered base stations are energy-
efficient and eco-friendly.

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Market share of telenor Pakistan

According to the above picture we see that the market share of Telenor
Pakistan is 22.15%. And it is the great achievement for Telenor because it
starts operations in 2005 and Ufone starts its operations in 2001 but Telenor
become second in the Cellular market. By adopting more better strategies
Telenor Pakistan becoming the cellular market leader on Pakistan in next
few years.

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The Brand

At the heart of our brand is our logo -- a symbol of balance, movement and
change. It represents our philosophy of innovation and democratic process, and
takes its inspiration from Scandinavia’s long history of design inspired by nature.

Of course a brand is much more than just a logo – it is a set of ideas, a way of
doing things and a measure of behavior.

In many ways, Telenor already stands out. We have shown impressive growth and
an increasingly international focus, particularly in new growing markets. But we
can go – and need to go – much, much further.

Our aim is to be the most trusted mobile service provider in Pakistan

Our brand is truly customer centric. We believe in understanding our customers’


needs -- which are changing constantly -- driving us to continuously innovate in
our products and services.

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Telenor aim on,

• Empowering Customers
• Local approach - global expertise
• Working closely with the shareholders

“Our vision and values define a common approach for all our employees setting
out how we do business at Telenor. They provide a fundamental guide for taking
care of our customers. Together they set the standard for how we work in order to
create sustainable value for our shareholders, customers, employees and partners”

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CORE VALUES

• Make it Easy

We're practical. We don't complicate things. Everything we produce should be


easy to understand and use. Because we never forget we're trying to make
customers' lives easier.

• Keep Promises

Everything we set out to do should work, or if it doesn't, we're here to help.


We're about delivery, not over promising, actions not words.

• Be Inspiring

We are creative. We strive to bring energy to the things we do. Everything we


produce should look good, modern and fresh. We are passionate about our
business and customers.

• Be Respectful

We acknowledge and respect local cultures. We do not impose one formula


worldwide. We want to be a part of local communities wherever we operate.
We believe loyalty has to be earned.

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Our values

Our values are a constant reminder to us of how we should serve all our
customers around the world. They inspire us to be a driving force in modern
communications and customer satisfaction.

• Our values in practice

We want to make it easy for our customers to get what they want, when they
want it. We will keep promises and do what we say we will do. We will innovate
to deliver fresh ideas. And, as an international company, we will respect our
customer.

Core services of Telenor

These are the main services Telenor provide to consumers around the
world:

Voice: Talk on the phone. From fixed-line to mobile or IP telephony,


Telenor enables people to talk to each other using fast and reliable
networks throughout the world. We sell fixed voice communication
services in three Nordic countries and mobile voice in 12 countries across
Europe and Asia.

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Data: Internet and broadband. We offer fixed-line data services (e.g.


ADSL and fiber-optic communications) in the Nordic countries, and
mobile data services (e.g. mobile broadband, GPRS, UMTS) in 12
countries. As of 2008, 3G-based mobile broadband services have been
launched in 10 of our operating countries.

Content: TV services and mobile content. Telenor offers TV services via


cable, digital terrestrial and satellite networks in four Nordic markets. In
several markets we also offer mobile content services (e.g. ring tones,
music, movies, sports, and mobile TV).
Other services:
We offer a wide range of telecom-related services, and the service
portfolio varies from country to country. In several markets we provide
Net-centric services like IT security to consumers and enterprises and
machine-to-machine (M2M) services for enterprises.

Goals of Telenor

Telenor's primary goal is to create greater value for our shareholders,


customers, employees and partners, and for society in general. We strive
to be a driving force in creating, simplifying and introducing
communication and content solutions to the marketplace.

For more than 150 years Telenor has pioneered communications


technology. Today we are major international telecommunications
provider, and all our operations share the same
Single vision: Helping people to communicate.

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Strategy of Telenor

Telenor's main strategy is to focus on subscriber growth in our mobile operations


and to increase overall profitability by combining Group industrialization with
local drive and responsiveness. Further, to develop our leading position in the
Nordic region with a broad range of communication services.

This strategy implies the following focus areas;

• To strengthen our position as an international mobile operator

We intend to continue to strengthen our mobile industrialization mobile


operations by obtaining control over selected mobile companies. Control is
essential for us to benefit from cross-borders synergies, such as scale in
procurement, to develop new services and implement best practices, to
improve operational efficiency and to increase our overall profitability. We
intend to manage our non-strategic investments as financial investments and
to exit from international mobile operations where we cannot obtain control
over time.

• To be the leading communications services provider in Pakistan

Being the leader in a broad range of services in both the residential and
business markets in Norway, we will seek to improve profit performance in
the mobile and fixed areas by introducing new services and through a wide
range of cost-cutting initiatives.

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• Global coordination achieving local competitiveness

Telenor's global coordination programmed has a single goal: To increase the


local competitiveness of our mobile operations by taking advantage of our
global joint competence and scale.

• General guidelines
Telenor's guidelines for corporate ethics apply to members of the board of
directors, managers and other employees of Telenor as well as others acting on
behalf of Telenor. It is the line managers' responsibility to make sure everybody is
aware of, and complies with, these guidelines. As a Telenor employee, it is your
duty to read and follow the guidelines. Those who infringe Telenor's rules and
guidelines must be prepared to face the consequences that are in line with the
infringement's type and scope.

Working environment

Telenor shall be a professional and positive workplace with an inclusive working


environment. Therefore, you shall behave with respect and integrity towards
anyone you come into contact with through your work. You shall help create an
environment free from any discrimination, be it due to religion, skin color,
gender, sexual orientation, age, nationality, race or disability and free from
bullying, harassment or similar.

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Loyalty, impartiality, conflict of interests

Telenor respects the individual employee's right to a private life and private
interests, but demands openness and loyalty to the group and the group's interests.
You shall not take actions or have interests that make it difficult to perform your
work objectively and effectively. Conflicts of interest should, wherever possible,
be avoided. You shall never take part in or attempt to influence a decision or
settlement if there is a conflict of interest or other circumstances exist, which
could give grounds to question one's impartiality.

• Information, communication and contact with the media

All information from Telenor shall be reliable and correct, and maintain high
professional and ethical standards. All of those who, through their work, deal with
information are responsible for meeting these standards. Communication with the
media, the public and the financial markets shall take place in accordance with
established guidelines and routines and satisfy the regulations and practice
applicable to publicly listed companies.

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Purpose of the project

The purpose of the project is to find out the role of communication in the success
of any business organization. So, we have chosen Telenor because it is also the
leading cellular service provider in the region

. Methods used

Uses two methods for this purpose,

Primary Data Collection

• Formal Interviews
• Informal Interviews We have conducted a formal interview with the area
manager of Telenor sale centre Sargodha. And we have discussed many
aspects with him those are discussed here as under.

Secondary Data Collection

• Internet search ( www.telenor.com.pk )


• Newspapers
• References books and other literature
• Annual reports of the organizations we have tried to attain the maximum
authentic and complete information regarding both Telenor. And try it too
hard to obtain data from other sources.

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Chapter No 1

Introduction to Manager and Organization

Learning outline
Use this learning outline as you read and study this chapter

Who are the Managers?

• Explain how managers differ from no managerial employees.


• Classification of managers in organization.

What is management?

• Define management.
• Why efficiency and effectiveness are important to management.

What do Manager do?

• Four functions of management.


• Managerial roles.
• Managerial skills.

What is an Organization?

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• Characteristics of an Organization.

Why study management?

• Explain the university of management concept.


• Why is important.

• Describe the reward and challenges of being a manager.

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MANAGERS

The changing nature of organizations and work has blurred the clear lines of
distinction between managers and non-managerial employees. Many workers’
jobs now include managerial activities.
A manager is an organizational member who works with and through other
people by coordinating their work activities in order to accomplish organizational
goals. However, keep in mind that managers may have other work duties not
related to integrating the work of others.

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The hierarchy of telenor has this type of pattern:

Managers can be classified by their level in the organization, particularly for


traditionally structured organizations (those shaped like a pyramid)
Types of MANAGERS?

There are three types of Managers that are


1: First line Managers
2: Middle line Managers
3: Top line Managers

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1. First-line managers are the lowest level of management. They’re often


called supervisors. In telenor company first line managers are:

Tore Johnsen, Chief Executive Officer

Tore took over as CEO of Telenor Pakistan in August 2004. He is a member of


the Board of USF (Universal Service Fund) and Chairman of the Board of PMD
(Pakistan Mobile Number Portability Database (Guarantee) Limited). With over
30 years experience within the Telenor Group, Tore has spent a considerable
amount of time on international assignments in Europe, Central Asia and Asia.
His most recent position in Asia was CEO Digi, Telenor’s Malaysian mobile
company. Tore Johnsen has an MSc in Electronics from the University of
Technology, Trondheim, Norway.

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2. Middle managers include all levels of management between the first-line level
and the top level of the organization.

The middle managers of Telenor Company are:

Sigve Brekke

Executive Vice President and Head of the Telenor Asia operations

• Appointed: 1 September 2008


• Stocks: 21,577 as of 6 October 2009
• Options: 40,000 as of 10 November 2008
Background: Mr. Brekke joined the Telenor Singapore office in 1999 as Manager Business
Development and later Managing Director. Mr Brekke served as co-Chief Executive Officer
of dtac from 2002 to 2005, and Chief Executive Officer in dtac from 2005-2008. Prior to
joining Telenor, Mr. Brekke has served as the Deputy Minister (State Secretary) of Defence
in Norway in 1993, and has also held position as an associate research fellow at John F.
Kennedy School of Government, Harvard University in the USA.
Education: Master of Public Administration, John F. Kennedy School of Government,
Harvard University

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3. Top managers include managers at or near the top of the organization who are
responsible for making organization wide decisions and establishing the plans and
goals that affect the entire organization.

Jon Fredrik Baksaas, President and CEO - has been President and CEO of Telenor
since 21 June 2002. He joined Telenor in 1989. During his tenure with Telenor,
Baksaas has served as Finance Director, Executive Vice President and CEO of
TBK A/S (a wholly-owned Telenor subsidiary), before serving as Group CFO
from November 1994 until 1997 when he was appointed Deputy CEO. Before
joining Telenor, Baksaas held finance-related positions in Aker AS, Stolt-Nielsen
Seaway and Det norske Veritas. He is also a board member of Svenska
Handelsbanken AB. Baksaas holds a Master of Science in Business
Administration from the Norwegian School of Economics and Business
Administration in Bergen and has additional qualifications from IMD in
Lausanne, Switzerland.

Stocks/options in the Group:

57,967 stocks, 330,000 options

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WHAT IS MANAGEMENT?

Management refers to the process of coordinating and integrating work


activities so that they’re completed efficiently and effectively with and
through other people.
The management process is the set of ongoing decisions and work activities in
which managers engage as they plan, organize, lead, and control.
The process refers to the ongoing functions or primary activities engaged in
by managers.

Telenor's management and organization is imbued with joint values. The


Group Management has devised five leadership requirements that apply to all
managers in the Group, and all management groups shall discuss what these
requirements mean to them. The demands are:

Passion for business


Change and constant renewal
Operational excellence
Empower people
Integrity

All managers are subject to annual evaluations based on these management


criteria.

Efficiency

Efficiency is getting the most output from the least amount of inputs, the goal
of which is to minimize resource costs.

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Telenor needs common service frameworks and platforms based on open


standards to reduce platform costs and secure new revenues by supporting a
multitude of new innovative services and achieve synergies across Telenor's
operating companies.

Service platforms have evolved from IN (Intelligent Networks) systems and


platforms into Service Delivery Platforms (SDP) that provide new features
and capabilities. The major advances in service platforms is their ability to
expose service capabilities to 3rd parties and Content Delivery capabilities
that may be used for provisioning of multimedia content to e.g. mobile
devices. These capabilities can open up for new opportunities to Telenor such
as creating new content rich services or enable growth of business in
cooperation with partners.

Effectiveness

Effectiveness is completing activities so that organizational goal can be


achieved.
The company has been a market leader of innovation. It believes that the only
way to capture new customers and thus a bigger chunk of the market is to
introduce the new technology in the industry before the competitors do so. For
e.g. the company has been a pioneer to introduce a wide variety of innovative
services for the Talkshawk prepaid package. Some of the examples include
Telenor mobile TV, Telenor food recipe service and even the now so common
smart share was introduced by Telenor. Thus being the innovator, Telenor has
managed to take care of the huge financial investment that it has undergone.

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WHAT DOES MANAGER DO?

Management Excel is about changing people not about changing businesses.


We change people by helping them improve their management skills. Our
expectation is that with these tools, they are then likely to change their
businesses.
To know what managers do three categorization schemes developed that is
Functions, roles, and skill.

Management Functions.
Management is creative problem solving. This creative problem solving is
accomplished through four functions of management: planning, organizing,
leading and controlling. The intended result is the use of an organization's
resources in a way that accomplishes its mission and objectives.

Planning is the ongoing process of developing the business' mission and


objectives and determining how they will be accomplished. Planning includes
both the broadest view of the organization.

For example: telenore manager’s plan before coming I n Pakistan, they made a
specific plan according to the nature of the people of Pakistan.

Organizing is establishing the internal organizational structure of the


organization. The focus is on division, coordination, and control of tasks and the
flow of information within the organization. It is in this function that managers
distribute authority to job holders

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For example: after planning the specific goal they organize their goal according to
the environment of Pakistan and start their services in Pakistan.

Leading is a third step that involving working with and through peoples to
accomplish organization goals.

In this step the telenor managers lead their company in such a way that they can
compete other telecommunication companies and they compete very well, now a
days they have a strong position in Pakistan. This is all due to the best leading of
telenor managers.

Controlling is a four-step process of establishing performance standards based


on the firm's objectives, measuring and reporting actual performance, comparing
the two, and taking corrective or preventive action as necessary.

Each of these functions involves creative problem solving. Creative problem


solving is broader than problem finding, choice making or decision making. It
extends from analysis of the environment within which the business is functioning
to evaluation of the outcomes from the alternative implemented.

After establishing a good position in Pakistan they stable it and make it more
better. They are now trying to making progress and continue their working
process by their better controlling management.

Management Skills

Management Excel concentrates on building management skills. There are three


basic management skills: technical, human and conceptual.

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TECHNICAL SKILLS

Technical skill is the ability to use tools, techniques, and specialized knowledge to
carry out a method, process, or procedure. Much of the technology that farmers
know and can use so well comes under this management skill.

Telenor manager’s required technical skills usually first line managers required
these techniques.

For example once when the network of zong was held and every user of zong was
making free calls, this was only due to the loose technical skills of zong
managers. But in case of telenor such a case has never been seen. Because telenor
managers has required technical skills and they operate their network very well.

HUMAN SKILLS

Human skills are used to build positive interpersonal relationships, solve human
relations problems, build acceptance of one's co-workers, and relate to them in a
way that their behavior is consistent with the needs of the organization.

Usually middle managers required human skills .Because they had to deal Two
persons one is first line managers and 2nd is top managers. He listen problems
from lower managers and understand it. After understanding if the problem is
serious he gives their suggestions to the higher management. For example when
telenor company was coming in India then middle managers takes the information
about the human relations in India, trend of using a mobile phones and after
considering all of these factors he gives the suggestions to their higher
management.

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CONCEPTUAL SKILLS

Conceptual skills involve the ability to see the organization as a whole and to
solve problems in a way that benefits the entire organization. Analytical, creative
and intuitive talents make up the manager's conceptual skills.

Conceptual skills are usually required by the top mangers, because they have to
see the whole organization and make changing according to the benefits of
organization. In case of telenor after receiving the suggestion from middle
mangers about india the higher management take the decision about coming in
India as a name of Uninor .

Introductory Management Excel programs (Managing for Success) pay little


attention to technical skills. Most managers in attendance have developed these
skills far beyond their human and conceptual skills. In some advanced
Management Excel programs, e.g., animal nutrition and financial management,
the emphasis is on integration of technical, human and conceptual skills rather
than on a more traditional technical approach.

The relative importance of conceptual, human and technical skills changes as a


person progresses from lower, to middle, to top management. Although all three
management skills are important at all three levels of management, conceptual
skills become relatively more important at the top level of management. The
consistently high level of importance of human skills helps us understand why
people problems are so often cited as a core cause of business failure.

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Management Role
Specific categories of management behavior is called management role
10 management roles are grouped around interpersonal relationship, the
transfer of information, and decision making.

Interpersonal Role
Managerial roles that are involve people and other duties that are ceremonial
and symbolic in nature. The three interpersonal roles include figurehead,
leader, and liaison.

The first order of business is to be available, accessible, and responsive. While


this is often difficult with busy schedules, it is important to serve the client:
Telenor managers Usually First line mangers make time in your schedule to
be available, respond to phone calls, e-mails, and other inquiries in a timely
manner, and develop back-up mechanisms for responding when you are
unavailable.
Informational Role
Managerial role that involve collecting, receiving, and disseminating
information. Three informational roles are monitoring, disseminating, and
spokesman.

All information from Telenor shall be reliable and correct, and maintain high
professional and ethical standards. All of those who, through their work, deal
with information are responsible for meeting these standards. Communication
with the media, the public and the financial markets shall take place in
accordance with established guidelines and routines and satisfy the regulations
and practice applicable to publicly listed companies.

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Decisional role
Managerial roles that involve around making choices.
The four Decisional roles are entrepreneur, disturbance, resource allocator,
and negotiator. According to Mr. Nadeem Basharat The manager of telenor
head office in Faisalabad the decisional role lie in this way in telenor:

• To strengthen our position as an international mobile operator

We intend to continue to strengthen our mobile industrialization mobile


operations by obtaining control over selected mobile companies. Control is
essential for us to benefit from cross-borders synergies, such as scale in
procurement, to develop new services and implement best practices, to
improve operational efficiency and to increase our overall profitability. We
Intend to manage our non-strategic investments as financial investments and
to exit from international mobile operations where we cannot obtain control
over time.
While making any decision, Telenor has been ethically conscious. Since
Telenor (the parent company) has is origins in Norway, a society with a soft-
oriented and feminine culture, Telenor Pakistan acknowledges its moral and
ethical duty towards its stakeholders and society. Telenor Pakistan will not
resort to bribery or illegal offers to accept any decision; values will not be
compromised to get licensed. If the organization believes it is not ethically
right, it will never take that decision.

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Organization
When two or more people get together and agree to coordinate their
activities in order to achieve their common goals, an organization has been
born. There is really no doubt about the present meaning of organization. Its
purpose is to create an arrangement of positions and responsibilities through and
by means of which an enterprise can carry out its work
It must be emphasized that an organization should not be seen as rigid as the term
“framework” implies. In reality, almost all organization structures must be
occasionally reviewed due to various changes in the external environment of the
organization in question. Moreover, internal changes also occur oftentimes due to
the development of various informal relationships.
First the organization has the specific purpose. The purpose is typically expressed
in terms of goal that the organization hopes to accomplish. Second, each
organization is composed of peoples. One person working is not organization and
it takes some people for performing the work that’s necessary for the organization
to achieve its goal. Third is all organizations developed some deliberate structure
so that their members can do their work. The structure may be open and flexible.

Telenor Pakistan consists of energetic, youthful and dedicated employees aged 27


to 28 on average. An appropriate match is required between the culture and
employees at recruitment and hiring. If People Excellence (Human Resource
Department) feels that a person will not be unable to adjust into the organization’s
environment, even if he/she is performing functionally well, the person is
rejected.

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Primarily the organizational culture comes from the top management. CEO of
Telenor Pakistan is humble and cooperative. The employees get the message that
if the top management is so accommodating then the employees should behave
similarly. What is important to the CEO becomes important for employees to
identify completely with the organization. There are four foreigners in the top
management but this does not create communication barriers. They are extra
humble to others while individuals of a local origin are extra sensitive to them so
no one feels alienated. The values of humbleness and free interaction in putting
forth ideas lead to a harmonious culture and efficient communication. The
management is easily accessible to discuss various issues. It is difficult to
distinguish between them as the culture is so homogeneous that it keeps every one
at par with others (no formal protocol is given)
At Telenor, People Excellence reinforces the culture through the concept of a
‘LEGEND’ for individuals who have performed outstandingly. These become
role models for other people and their examples are quoted on various occasions
(forum or ceremonies), so every employee is internally motivated to work
harder.The new recruits are given orientation sessions where they are made to
familiarize with the values and norms of the organization and how they can
contribute to the organization even better. They are also provided with a Joining
Book that comprises of the code of conduct and complete structure of policies and
values.

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However, in order to develop a so-called science of organizations a conceptual


framework of theory and principle must first be developed. It is true to state that
principles of management have existed for a long time. These principles were not
recorded as scientific truths, but simply applied as practical means to accompany
the process of modernization. As societies became more complex, an acceptable
framework to encompass the “unscientific” principles of management was
needed. Since the nineteenth century, many writers and researchers have
contributed a great deal to existing principles and accepted practices. It is in the
formulation of principles that the science of management can be developed. A
management principle distils and organizes knowledge that has been built up
through experience and analysis.

Why Study Management

You may be wondering why you need to study management. If you are an
accounting major, a marketing major, or an major other than management, you
may not understand how studying management may help you in your career. We
can explain the value of studying management by looking at the universality of
the management, the reality of work, and the rewards and challenges of being a
manager.

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The Universality of Management:

The reality that management is needed in all type of organizations, at all


organization levels, in all organizational areas, and in organizations in all
countries around the glob. Just how universal is the need of management in
organizations? We can say with certainty that management is needed in all types
and sizes of organizations, at all organizational levels and in all organizational
work areas, and in all organizations, no matter what country they are located in.
This is known as the universality of management. Managers in all these settings
will plan, organize, lead, and control. However this is not to say that management
is done the same way.

The differences in what a supervisor in a software applications testing facility at


Microsoft does versus what the CEO of Microsoft does are a matter of degree and
emphasis, not of function. Because both are managers, both will plan, organize,
lead, and control, but how they do so will differ.

We have a vested interest in improving the way organizations are managed. We


interact with organizations every single day of our lives. Organizations that are
well managed develop a loyal customer base, grow, and prosper. Those that are
poorly managed find themselves with a declining customer base and reduced
revenues. By studying management, you shall be able to recognize poor
management and work to get it corrected. In addition, you shall be able to
recognize good management and encourage it, whether it is in an organization
with which you are simply interacting or whether it is in an organization in which
you are employed.

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The Reality of Work:

Another reason for studying management is the reality that for most of you, once
you graduate from college and being you career, you will either manage or be
managed. For those who plan on management careers, an understanding of the
management process forms the foundation upon which to build your management
skills. For those of you who don\'t see your self in a management position, you are
still likely to have work with managers. Assuming that you will have to work for
a living and recognizing that you are very likely to work in an organization, you
shall probably have some managerial responsibilities even if you are not a
manager. Our experience tells us that you can gain a great deal of insight into the
way your boss behaves and the internal workings of organizations by studying
management. Our point is that you don\'t have to aspire to be a manager to gain
something valuable from a course in management.

Rewards and Challenges of Being a Manger:

We cannot leave our discussion of the value of studying management without


looking at the rewards and challenges of being a manager. What does it mean to
be a manager? Being a manager in today\'s dynamic work place provides many
challenge. It can be a tough and often thankless job. You may have to deal with a
variety of personalities and many times have to make do with limited resources. It
can be a challenge to motivate works in the face of uncertainty and chaos. And
managers may find it difficult to effectively blend the knowledge, skills,
ambitions, and experience of a divers group of employees. Finally, as a manager,
you are not in full control of your destiny. Your success typically is dependant
upon others, work performance.

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Despite these challenges, being a manager can be very rewarding. You are
responsible for creating a work environment in which organizational members can
do their work to the best of their ability and help the organization achieve its
goals. In addition, as a manager, you often have the opportunity to think
creatively and use your imagination. You help gather find meaning and
fulfillment in their work. You get to support, coach, and nurture others and help
them make good decisions. You shall get to meet and work with a variety of
people-both inside and outside the organizations. Other rewards of being a
manger may include receiving recognition and status in the organization and in
the community. Playing a role in influencing organizational out comes, and
receiving attractive compensation in the form of salaries, bonus, and stock
options. Finally, organizations need good managers. Nothing greater ever happens
by it self! its through the combined efforts of motivated and passionate people
that organizations accomplish their goals. As a manager, you can get satisfaction
from knowing that your efforts, skills and abilities are needed. Author of this
article also writes articles about.

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Chapter No.2

The Historical Background of the Management

Learning outline

Use this learning outline as you read and study this chapter

Historical Background Of The Management

• Explain Why study management history important.


• Describe some early evidence of management practice.

Science Management

• Describe the important contributions made by Fredrick W. Taylor and


Frank and Lillian Gilbreth.
• Explain how today’s managers use Science Management.

General Administrative theory

• Discus Henri Fayol contribution to management theory.

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• Discus Max Weber contribution to management theory.

Quantitative Approach

• Explain what the Quantitative Approach has contributed t the field of


management.

The Systems Approach

• Describe an Organization using the Systems Approach.


• Discus how helps us Systems Approach understanding management

The Contingency Approach

• Explain how the Contingency Approach differs to the early theories of


management.
• Discus how the Contingency Approach helps us understanding
management.

Quality management

• What is total quality management?

• How to help the manager to understanding management.

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The Historical Background of the Management


Management is a science of managing things and keeping them at their best
normal level. Manage is to put an activity into a direction so it could be able to be
active and stable for long. Management sciences are not new. Their concept
emerged in ancient days. In the old times, people use to act like managers to
manage of activities.
In the 18th century, Adam Smith came up with the management phenomenon. He
was a classical economist. He and some other social scientist worked in this field.
Later in 20th century, management sciences ameliorated at a fast pace. It
added human resources, finance, marketing and many other fields into it. Then it
was a colossal group to work within the limits of vast fields. Management worked
in various sectors. It is still playing a vital role in improvement of various tasks. It
has the same role of managing things/activities in all sorts of modes. In 21st
century, public administration and public management added to it. Now, it is
more wider than ever before. It is still under the process of development. I am
sure, it has to add some more fields and relevant sectors under its big umbrella.
Easy and ready to use templates for sales planning and management. Organized
Endeavor’s directed by people responsible for planning, organizing, leading and
controlling activities have existed for thousands of years. The Egyptian pyramids
and the Great Wall of China for instance are tangible evidence that projects of
tremendous scope, employing tens of thousands of people, were undertaken well
before modern times. The pyramids are particularly interesting example. The
construction of a single pyramid occupied more than 100,000 workers for 20
years. Who told each worker what to do? Who ensured that there would be
enough stones at the site to keep workers busy? The answer to such questions is
managers. controls to ensure that everything was done as planned. So this is all
about the management and from recent times the daily routine worked resulted in

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the modern management.


Another example of early management can be seen during the 1400s in the city of
Venice, Italy and major economic and trade centre. The Venetians developed an
early form of business enterprise and engaged in many activities common today's
organization. So this is how the concept of management was used in big projects
and later on it has become essential for the business.

Science Management

Using the scientific method to determine the “ one best way” for as job to be
done.

Taylor and Frank and Lillian Gilbreth made a important contribution to Science
Management theory. Lets look at what they did.

Fredrick W. Taylor
believed that the industrial management of his day was amateurish, that
management could be formulated as an academic discipline, and that the best
results would come from the partnership between a trained and qualified
management and a cooperative and innovative workforce. Each side needed the
other, and there was no need for trade unions.

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Future U.S. Supreme Court justice Louis Brandeis coined the term scientific
management in the course of his argument for the Eastern Rate Case before
the Interstate Commerce Commission in 1910. Brandeis debated that railroads,
when governed according to the principles of Taylor, did not need to raise rates to
increase wages. Taylor used Brandeis's term in the title of his monograph The
Principles of Scientific Management, published in 1911. The Eastern Rate Case
propelled Taylor's ideas to the forefront of the management agenda. Taylor wrote
to Brandeis "I have rarely seen a new movement started with such great
momentum as you have given this one." Taylor's approach is also often referred
to, as Taylor's Principles, or frequently disparagingly, as Taylorism. Taylor's
scientific management consisted of four principles:

1. Replace rule-of-thumb work methods with methods based on a scientific


study of the tasks.
2. Scientifically select, train, and develop each employee rather than
passively leaving them to train themselves.
3. Provide "Detailed instruction and supervision of each worker in the
performance of that worker's discrete task" Divide work nearly equally
between managers and workers, so that the managers apply scientific
management principles to planning the work and the workers actually
perform the tasks.

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Frank and Lillian Gilbreth

While the motion study work of the Gilbreths is commonly linked with Frederick
Taylor's time studies and grouped within the various "laws and principles" of
scientific management, in actuality there is much difference between the two. The
components of what originated as the "Taylor system" and later became scientific
management, changed how workers were paid, introduced a new division of
labor, and expanded and strengthened the role of management. The use of stop
watches to measure and set the proper times for tasks was important, but only as
part of the overall system. The Gilbreths' motion. studies were more focused on
how a task was done, and how best to eliminate unneeded, fatiguing steps in any
process. Frank Gilbreth's early work in motion study consisted of re-organizing
the typical work flow for bricklaying, and focused on eliminating unneeded
movements. His solutions were simple but revolutionary to a trade that had
changed little over 4,000 years; he brought the bricks closer to the mason, helped
reduce the amount of bending and lifting required to lay and brick, and used a
moveable scaffold to allow steady progress on the construction of brick buildings.
As the Gilbreths expanded the scope of their motion study from the trade of
bricklaying to the manufacturing process as a whole, so did the influence of
Lillian Gilbreth expand within their work? Her training in the nascent field of
industrial psychology informed much of the Gilbreths' recognition of the role of
the worker in any work reorganization.

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Frank Gilbreth was using photography as a documenting tool to aid his visual
memory. From there he began to use a stereoscope camera to record the differing
positions of workers as they completed a task. It was only a short step from
sequences of stereoscopic images to using motion picture film and cameras to
record the entire sequence of a work activity.

General Administrative theory

The theory of management that focused on describing what manager do and what
constitute good management practice.

The two most important theory behind the General Administrative approach were
Henri Fayol and Max Weber.

Henri Fayol

Henri also wrote the five function’s of management that are planning, organizing,
commanding, coordinating, and controlling.

Henri Fayol identified 14 principles of management - universal truths that can be


taught in schools:

Division of work
Unity of command
Unity of direction
Subordination of individual interest
Remuneration
Centralization
Scalar chain
Order

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Authority
Discipline
Equity
Stability of tenure
Initiative
Esprit de corps

Max Weber

Max Weber described an ideal Bureaucracy as a theory of administration based


on rational-legal authority systems:
A form of organization characterized cy division of labour, a clearly defined
hierarchy, detailed rules and regulations, and impersonal relationship.

Division of lab our. Organizations need to appear rational and so gain


legitimacy, in order to secure resources and support, and to inspire
confidence and trust.
Authority hierarchy is an essential part of PR. May be through internal
data analysis or external consultants.
Formal selection
Formal rules & regulations
Impersonality
Career orientation

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Quantitative Approach

A quantitative approach is always dealing with a quantity or numbers of some sort


to prove a point.

With the use of quantitative approach we improve our decision making power. it
is especially use in planning and control.

. Over the last three decades the exponential growth in computing power, the
development of sophisticated analytical tools, and significant improvements in the
accuracy and size of research databases have led to tremendous advances in the
fields of finance, econometrics, and statistics. As a result, quantitative portfolio
management strategies have become increasingly more powerful and effective for
all asset classes

As quantitative strategies can provide meaningful return, risk, and cost advantages
over traditional subjective strategies when properly designed and implemented,
they have steadily gained in popularity in recent years. This trend is expected to
continue as investors more fully recognize the disciplined manner in which
quantitative strategies can increase the probability of long-term success

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Systems Approach
The systems approach to management is a concept which views a company as
an interconnected purposive system that consists of several business sections. It
is a management approach which enables the leadership to see the company as a
unified part or a major section of the larger outside corporate environment. Even
a small activity in a part has a substantial effect on other sections in the
company. Such a system may be biological, physical or social; and may enable
the management to efficiently determine the long-term goals of the company.
The systems approach states that for realizing the operations of an entity, it is
essential to see the entity as a complete system.

Elements in Business Systems


In a company, it is very essential to align employee performance measures with
the organization's strategy and plans. The systems approach sees the whole
business as a system which comprises of factors such as corporate strategies and
schemes, shareholders, owners, investors, management systems and processes,
employees, and products and services. Other major elements include customers,
clients, market competition, economy, related industries, departmental and plant
processes, etc.

Subsystems

Subsystem is a system created as part of the process of the overall management


system. A planning subsystem increases the effectiveness of the overall
management system.

Management System

The management system is composed of a number of parts that function


interdependently to achieve a purpose.

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The management system is an open system. It interacts with its business.


Environmental factors with which the management system interacts include
customers, suppliers, competitors, and government. Each of these factors can
significantly change the future of the management system.

Closed Management Systems


Within the classical and behavioral approaches to management, the managers
look only within the organization to improve productivity and efficiency. This is a
closed system—the organization operates as though it is in its own environment.
Outside influence and information are blocked out.

Open Management Systems


Another perspective is the open system. As one would expect, here the
organization functions in conjunction with its external environment, acting with
and relying upon other systems. Advocates of an open system believe that an
organization cannot avoid the influence of outside forces.

Contingency Approach to Management

The contingency approach believes that it is impossible to select one way of


managing that works best in all situations like promoted by Taylor.

The manager has to systematically try to identify which technique or approach


will be the best solution for a problem which exists in a particular circumstance or
context.

An example of this is the never ending problem of increasing productivity. The


different experts would offer the following solutions:

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• Behavioral scientist: create a climate which is psychologically motivating;


• Classical management approach: create a new incentive scheme;
• Contingency approach: both ideas are viable and it depends on the
possible fit of each solution with the goals, structure and resources of the
organization. .
The contingency approach may consider, for policy reasons, that an incentive
scheme was not relevant. The complexity of each situation should be noted and
decisions made in each individual circumstance.

It should be realized that the contingency approach is not really new because
Taylor already emphasized the importance of choosing the general type of
management best suited to a particular case. Henri Fayol, in turn, also found that
there is nothing rigid or absolute in management affairs.

Similar ideas were expressed in the 1920s, by Mary Parker Follett (1865-1933)
who was greatly interested in social work and was a genius for relating individual
experience to general principles. Her concept of the law of the situation referred
to the necessity of acting in accordance with the specific requirements of a given
situation. She noted that these requirements were constantly changing and needed
continuous efforts to maintain effective working relationships

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Quality management

A philosophy of management that is driven by continual improvement and


responding to customer needs and expectations, in short TQM is a management
philosophy that seeks to integrate all organizational functions to focus on meeting
customer needs and other organizational objectives. TQM empowers an entire
organization, from the most junior employee to the CEO, with the responsibility
of ensuring quality in their processes. In particular, TQM provides management
with the ability to ensure quality through more streamlined and effective process-
improvement channels. A great range of organizations have deployed TQM,
including small companies, large companies, and government departments
2
TQM is no more relevant to any one type of organization than any other; on the
contrary, it is a philosophy appropriate to any situation in which quality assurance
is important.

TQM aims to go beyond simply meeting customer requirements or responding to


the customer feedback on the products and services offered by the organization.
TQM is most effective when operating throughout an entire organization. Prior to
the availability of TQM, testing was usually the norm for controlling quality
during the final phases of a process (e.g., product development or service
provision). If faults were found, the supplies were held back, reworked or
rejected, and additional funds were usually required to produce the needed
quantity and quality. The aim of TQM is to 'get it right the first time every time'
while avoiding the cost associated with other quality management techniques such
as simple testing

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TQM seeks to identify the sources of possible defects and to prevent them from affecting the
final product. Using a simple iterative process, TQM reinforces other methods of quality
assurance to meet changes in products and services by improving the effectiveness of
operational processes.
3
TQM achieves this by identifying the root causes of the most prevalent and costly defects
and to prevent such defects in the future by removing these root causes. Essentially, TQM is
a people-dependent process. For total quality management to be most beneficial, people in
the organization need to work together

4 Thus, organizations must maintain company-wide strategies that devolve responsibility to


individual employees for the quality of their work and the work of their teams. TQM, as
proposed by W. Edwards Deming, calls for bringing the core concept of quality to early
transform Tory processes.
5
Deming's chain reaction advocates starting with quality of initial design and further
systemically operating on 'Total Quality principles' to achieve the best possible outcome.
When each input from raw materials through resources and design produces exceedingly and
continually improved finished goods, TQM is said to be operational.

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Chapter NO. 3

Organizational culture and Environment

Learning outline

Use this learning outline as you read and study this chapter

The management: Omnipotent or Symbolic

• Contrast the action of managers according to the Omnipotent and


Symbolic view.
• Explain the parameters of managerial discretion.

The organizational culture


• Describe the seven diminution of organization culture.
• Discuses the impact of a strong culture on organizations and managers.
• Discuses the source of an organization’s culture.

The environment

• Describe the components of the specific and general environment.

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Organizational culture and Environment

The constraints.
The managers: omnipotent or symbolic? What is omnipotent view?

Omnipotent view

The view that managers are directly responsible for the organizational
success or failure.
Telenor is one believe that much of the success of an organization is due to
correct actions and dictions of its manager. Managers anticipate change, exploit
opportunities correct poor performance and level. Their organization toward theirs
goals which may be changed if necessary.
Top management of telenore distributes good to their middle and lower
management. When these managers achieve those goals by making proper
strategies. They motivate their employers by rewarding them.
Example: when earthquake in north area telenore was the first organization who
reached there for help of injured peoples. This management disc ions increase the
customer of telenore.
In reality telenor’s managers are neither helpless no a;; powerful.

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Symbolic view

The view that much of an organization’s success of failure is due to external


environment force outside manager’s control.
Example: when Paktel GSM stopped their operations, most of the customers
shifted to Telenor because their low call rates cheap message packages. Increase
in customers is not due to management actions. Their communication signals was
very clear and people think their it is very social responsible company.

The organizational culture


The shared values, principles, traditions and way of doing things that influence
the way organization members act.

Seven dimension organization’s culture


These are Seven dimension organization’s culture
Outcome orientation
Telenore’s managers don’t focus on result or outcome but they search that how
outcome’s are achieve.

Example: Throughout the year, you will have personal feedback and guidance
through the Telenor Development Process (TDP). You and your manager will
discuss performance and achievements, your ambitions and how you can continue
to grow and influence change in Telenor.

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Along with the dialogues, TDP will support you in target setting and review of
your talents by the management team. Through the employee survey you will be
voicing your opinion and be part in developing Telenor’s unique performance
culture.

People orientation
Telenore’s managers give allot of importance to their employees or staff. They
plan their goals and strategies in way that is benefited for the company as well as
its employees.
Example: Telenor considers its employees not just as a cost but also as a resource
in which the company has invested from which it expects valuable returns. Pay
policies and programs are one of the most important human resource tools for
encouraging desired employee behaviors. The advantage of paying above the
market average is the ability to attract and retain the top talent available, which
can translate into highly effective and productive work force. The incentive
schemes and incentive objective have been clearly communicated to all
individuals and weekly progress report is also communicated to all concerned.

Team orientation
Telenore’s managers prefer team work. They created a very frank environment,
employees are very corporative with each other. An ordinary employees can
easily approach his or her manager.
Example: The Telenor Team has a strong track record of delivering on ambitious
goals. By 2011, we aim to be one of the fastest growing mobile operators in the
world, with a strong broadband position in all markets, successfully developing
new services and adopting new and responsible business models. The Telenor
Team has defined six strategic ambitions which it aims to achieve by 2011.

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These are:
1. To deliver increased profitable growth The Telenor Team aims to achieve a
substantial revenue increase in the years to come. This growth will mainly come
from existing businesses. We will seek to increase our core mobile and fixed
voice revenues and explore broadband opportunities in our emerging markets.
2. To strengthen our performance culture across the Team In all our operating
companies, we will continue the successful practice of combining a local
approach with global expertise. This means that the local management teams will
build a unique performance culture based on their own initiatives and in line with
the Telenor governance model, Codes of Conduct, vision and values, our people
policy and the way we work across borders.
3. To make responsible business a competitive advantage Corporate
responsibility at Telenor will be part of managing risk and linked to our core
business. For example, the measures we have taken to fight climate change are
motivated both by our commitment to corporate responsibility and by an
enlightened view of associated business benefits and opportunities:

4. To provide a superior customer experience Faced with an increasingly


competitive environment, Telenor needs to differentiate itself by providing a
superior customer experience. In our vision – we’re here to help – and core values
(make it easy, keep promises, be inspiring, be respectful), we put customer
experience at the top of the agenda throughout the Telenor Team.
5. To ensure best practice benchmarking across the Team
Telenor will undertake benchmarking and best practice sharing across the Team.
A global objective is to achieve a higher reduction in the average operational cost
per minute than the expected decline in average price per minute. The Telenor
Team aims to achieve considerable continued growth in operating cash flow from
all of its operations.

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6. To drive change and constant renewal

To secure a strong industry position, we need to innovate in everything we do. To


get the most out of our efforts, we have prioritized five team-wide innovation
areas:

• Broadband outside the Nordic countries. Our long-term ambition is to


achieve the same position in broadband (mobile and fixed) as we have
in mobile voice today.

• Connected objects / M2M. The “Internet of things.” The Telenor


Team is working to establish itself as a global player within this
rapidly growing and potentially huge market.

• The Telenor Team aims to establish itself as a significant player in


parts of the financial services industry in select under-serviced
markets, establishing a platform for long-term growth.

• The Telenor Team controls many valuable assets that can be further
developed together with partners. Partner-driven innovation is a cost-
effective way to create many new revenue-generating services.
Climate change. Our number one priority is to reduce CO2 emissions. The
Telenor Team aims to be part of the climate solution by de-carbonizing business
processes and reducing physical travel and transport

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Aggressiveness
There doesn’t exist any Aggressiveness among them.
Example: Find ways to use what you’re good at to solve the problem. Whenever
you have a problem, ask yourself what can you do best to solve this problem?
What tactics can be useful in handling over the situation etc? Never show any
useless aggression and haste, rather try remaining calm as much as possible.

Stability
Degrees to which organizational decisions and actions emphasize maintain the
status.
Example: Telenor encourages initiative a great deal. If you think the problem can
be solved better with the method that has come into mind, just do it. However,
one should have confidence enough to justify his/her decision, whether proved
right or wrong afterwards.
Never try to change your personal style of dealing with things so much that you
look artificial. Do not act falsely. Just do the things in the ways you are. But
having confidence in one’s own style is obviously, an essential part.

Attention to detail
Degree to which employees expected to exhibit precision analysis attention to
detail.
Telenor encourages initiative a great deal. If you think the problem can be
solved better with the method that has come into mind, just do it. However, one
should have confidence enough to justify his/her decision, whether proved right or
wrong afterwards.

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Innovation and rick taking


Degree to which employees are encouraged to be Innovation and to take rick. A
great example of Innovation in telenor is easy paisa.
Using Money Transfer from easypaisa, you can now send and receive money to
and from family, friends, etc from any easypaisa shop in the most efficient, secure
and convenient way. You do not have to own a Telenor connection, nor do you
need to have a mobile phone at all. The best thing about the service is that any
person in Pakistan can use this product and that no registration is required!

Any person with a need to send money from one city to another can use this
service from any easypaisa shop. For example, household staff, drivers, guards,
etc. can all now send their monthly salaries home to their families from urban
cities to rural villages. Similarly, parents can send funds to their children at
educational institutions in other cities for tuition fee, monthly pocket money etc.
And people who travel frequently, who don't want to carry cash can use this
service as Travelers Cheques by sending money to themselves from one city and
collecting the money in another city

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Product Features

Any person with a valid Nadra CNIC can send money or receive money
This service is not limited to Telenor subscribers; other mobile network
subscribers can also use this service
There is no paper work or form filling required
An instant SMS message will be sent to both the Sender and the Receiver on
sending/receiving money
Sending/Receiving can be done from more than 4,000 easypaisa shops all
over Pakistan
No more waiting in queues - a Money Transfer transaction can be done at
even late hours.
A secure encrypted transaction based on GSM standards
Approved by the State Bank of Pakistan.

Strong and weak culture.


Telenore doesn’t have strong culture. Employees and employer are not insisted to
wear dress paints or shirts. Managers doesn’t focus on what an employee or is
wearing or how he or she is looking but they focus on how he or she is working.

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We can say that telenore’s culture is some what strong because they working and
operating methods are some almost in all countries. But they plan their strategies.
Culture of Telenor can be determined by discussing following points
•Supervision
•Individualism
•Masculinity
•Risk management

Supervision
As Telenor is Danish based Telecommunication Company and due to their vast
operations all over the world like especially in Asia their culture looks
democratic. Basically it means to say that they are basically using the
phenomenon of centralized and decentralized control. So as we know that in
democratic style there is more productivity and more coordination between the
employees and also employees share more knowledge with their juniors. So by
using these factors we will evaluate it.

Individualism
Basically the individualism means here that the employees who are basically
working in organization they give more preference to their own interest, it means
to say that their whole efforts are for their own interest these employees are
working against the interest of organization so if we look Telenor for instance
then we will come to that this thing is happening in Telenor because Telenor is
using centralized and decentralized control. Where they think they need to
implement centralized control they are using their. Where they need decentralized
control they are using decentralized control to avoid these things.

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Masculinity
Masculinity basically means that gender discrimination or you can say that
things are merit based or not. Rules are made for people so they are not made to
confuse people. If we look the masculinity factor in case of Telenor that looks
quite impressive because for instance suppose that if a female wants to job in
Telenor he has equal opportunities as male. We judge this thing from their vast
operations all over the world and their excellent repute in telecommunication
industry.

Risk management
We cannot avoid risk although we can reduce the factor of risk. Basically there
are two things come under this head
• High part distance
• Low part distance
More the High part distance that is not so good for the organization low this
distance that is good for organization. So if we look this head according to
Telenor prospective then we will come to know that
Telenor has following risks.
• Competitor Risk
• Expansion of product risk
• Substitute risk
• Emergence risk
• Customer and supplier bargain risk

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Basically now a day’s Telenor competitors are Ufone and Warid. Therefore,
Telenor in order to compete and beat their customer can only do risk
management. While is Telenor also have a biggest risk of substitute and new
emergence in market. It means to say that if warid introduced a cost effective
package then Telenor must introduce a new package like that one. Therefore, it
depends again on customer whether they like this package of Telenor or they like
the package of warid. Telenor can only minimize risk. Telenor cannot eliminate
risk. Similarly, in case of new emergence of company in market Telenor can only
minimize risk.

Environment
Managers decisions and actions directly influence Environment by the of that
country in which the organization is operating
External Environment
Those factors or forces outside the organization that effect organizational
performance. It includes two components specific and general environment.

Specific Environment
Include all those forces and that have directly impact on managers decisions and
actions, the main factors and forces are
Customers
Telenores says, “We are here to help others”
Satisfying their customer is main aim of their organization because dissatisfactory
can lead telenore toward decline.

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Telenore change their strategy according to customers demand. For instance when
telenore”s managers realize that some engaged in imaging while other making.
They introduce two packages Talkshalk and dejuice. These packages further
divided into sub packages.
Suppliers
Telenor provides telecommunication services to their customers. These suppliers
are their employees.
For Example: engineers
To maintain their working operations telenore’s management keeps their staff
satisfied by making their salaries on correct time or giving bounces to hard
working employees.
Because any problem created by employees can effect organizational
performance. For instance, any stick by engineers can cause network problem for
customers and as a result, customer can dissatisfied with services of telenore.
Competitors
Telenore have five Competitors Warid, Zong, Ufone, and Jazz. Tough competitor
is Jazz, which is the No:1 telecommunication company in Pakistan.
Telenore designs their call rates and Message packages, night packages by
watching their competitors.
Pressure groups
When the DENMARK prints the photo of Hazrat MOHAMMAD ( S A W) the
MUSLIMS leave the uses of telenore company. In this situation the pressures
groups promote their services and the telenore as a week company.

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General environment
Broad external conditions that may affect the organization. If includes economic
conditions, national and legal condition, socio culture condition technological
globe.
Economic condition
Inflation rates, interest rate, change in disposable income stock market fluctuation
and that stock of general business cycle are some economic factors that can
management practices in an organization.
Political and legal conditions
Federal stale and local as well as global and other country laws and regulations
what organization can and cannot do telenore before starting operators in Pakistan
must aware of rates and regulation of this state,
For example, what is tax-rate and what are labored-laws. How labor coast
operates.

Socioculture conditions
Managers must adapt theirs practices to the changing expectations of the society
in which they operate. For example just to save the time of peoples they give the
facility of easy paisa.

Telenor Pakistan and Tameer Microfinance Bank together have announced the
launch of easypaisa, a uniquely convenient and safe way for everyone to carry out
financial transactions. easypaisa users will have the freedom to make bill
payments and send and receive money at thousands of outlets and in addition
manage their bank accounts over their mobile phones. easypaisa combines the
best from the financial and mobile sectors, offering the first branchless banking
solution of its kind in Pakistan and neighboring countries.

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Chapter No. 4

Managing in a Global Environment

Learning outline

Use this learning outline as you read and study this chapter

What’s your global perspective?

• Define Parochialism
• Contrast Ethnocentric, Ethnocentric, Geocentric attitude toward the global
business.

Doing Business Globally

• Contrast Multination, Multidomestic, Global, Borderless organization.

Managing in a global environment

• Explain how the legal-political environment and the Economical


environments affect manager.

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What’s your global perspective


Its not usual for Germen, Italian, or Indonesians to speak three or four languages.
For trading its necessary to learn the hosts country language. Monolingualism is
one sign that a nation suffers from parochialism.
Parochialism.
Viewing the world slowly through your own perspective, leading to an inability to
recognize difference between people’s values and customer and rigidly applying
an attitude of “ours is better than theirs” to foreign cultures. They‘ll find
difficulties to compete with other organizations around the world that are seeking
to understand foreign customer and market differences.
There’s no parochialism exist in telenor
For example:An Interconnect Agreement was signed between Telenor Pakistan
and Warid Telecom at the Telenor Pakistan Corporate Headquarters in Islamabad.
President & CEO of Telenor Pakistan Tore Johnsen warmly welcomed Hamid
Farooq CEO of Warid Telecom and Major General (R) Shahzada Alam Malik,
Chairman Pakistan Telecommunication Authority, the chief guest on the
occasion. The signing ceremony was also attended by important personnel of both
cellular companies and PTA.
With the signing of this Interconnect Agreement, Telenor Pakistan has
successfully established direct interconnection with all existing cellular service
providers in Pakistan . This achievement was dubbed by Tore Johnsen as a major
milestone for both the companies and he hoped to continue a relationship of
cooperation in all areas of communication for their respective subscribers. He also
stressed upon the importance of a fair competitive environment and a level
playing ground. The direct interconnect will result in increased traffic between the
two networks and help in developing the cellular market in Pakistan

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Mr. Tore Johnsen also applauded the efforts of PTA in convincing the
incumbent operators to sign interconnect agreements with two new cellular
operators. With the Warid interconnect signing, he explained, Telenor Pakistan
has completed direct interconnection arrangements with all incumbent cellular
operators which will help seamless traffic and SMS flow between all networks.

Mr. Hamid Farooq said on the occasion that the real test of interconnect will come
when the traffic will start flowing between the exchanges. At that time a very
close interaction between respective counter part departments will be required. He
expressed his optimism that as progressive operators Warid and Telenor both will
be able to ensure exemplary quality of service benchmark offerings to the
subscribers.
Regarding the competition Mr. Hamid Farooq said that Warid considers Telenor
and other incumbent operators both as its competitors and partners in the cellular
mobile sector. All striving for the common goal i.e. customer satisfaction and
productivity enhancement. All sharing the same values are committed to the same
set of principles and are joint stakeholders in Pakistan 's telecom market. He
expected that the cellular tele-density of the country is likely to improve in the
light of promising estimates by reliable think tanks. As a result the overall size of
the pie will increase and there will be enough market potential for every operator.

While commenting on the role of regulator he expressed his satisfaction by the


effective role played by PTA in the de-regulation process. He said that the
telecom sector dynamics in Pakistan demand PTA to ensure continued level
playing field for all operators so that a truly competitive market could be
established. He also appreciated the continued support the regulator is providing
to the new entrants and further added that PTA has not only promoted investment
in the telecom sector it has substantially protected consumer interests. Citing the

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example of today's agreement between Warid and Telenor based on direct


connectivity he requested PTA to help arrange interconnects between operators on
direct connectivity basis as this would provide better grade of service to the
operators.

Chairman PTA expressed his satisfaction at the signing and said that
interconnection is most important in the telecom sector and this has immense
consequences for the telecom business. He said that signing such agreements for
the incumbents is also vital in order to ensure an environment of cooperation
which is immensely beneficial for consumers. He hoped that with its rich
international experience, Telenor Pakistan and Warid Telecom would bring
highest quality cellular communication experience for people of Pakistan.

Telenor

Telenor [www.telenor.com] is the largest provider of telecommunications services


in Norway , and has substantial international mobile operations. It has been
providing valuable mobile services to its subscribers for the past forty years.
Continued development of Telenor's mobile operations is essential to the Group's
positioning as an international player in the telecommunications industry. Today,
with more then 52.7 million subscribers and mobile operations in 12 countries,
Telenor has become one of the twelve largest GSM operators of the world.

Warid

Warid Telecom is owned and supported by the Abu Dhabi Consortium led by His
Highness Sheikh Nahayan Mabarak Al-Nahayan. The consortium has a strong
financial capability and a proven track record in growing and managing new

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ventures. Apart from having substantial shareholding in Bank Alfalah and United
Bank Limited, Abu Dhabi Group also has other international investments in the
telecommunications, finance, hospitality, property, oil exploration and supplies,
and automobile related industry. The Abu Dhabi Group after their two successful
investments in Pakistan , was interested in the telecommunication industry.
These are three possible global attitudes.

Ethnocentric attitude
The Parochialism believe that the best work approaches and practices are those of
the home country.
Polycentric attitude
The view that the managers in the host country know the best work approaches
and practices for running their business.
Geocentric attitude
A world-oriented view that focuses on using the best way approaches and peoples
from around the global.
Different types of International Organizations
These are some types of international organizations
Multinational Corporation (MNCs)
A broad term that refers to any and all types of international companies that
maintain operations in multiple countries.
Multidomestic Corporation
An international company that decentralize management and other decisions to
the local country.

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Global company
An international company that centralizes management and other decisions in the
home country.
Borderless organization
A type of international company In which artificial geographical barriers are
eliminated.
Born global
An international company that chooses to go global from inception.

Managing in a global environment.


The environment will differ from one country to another country. Therefore
managers face a lot of problems and lot of challenges. These are Some challenges
and offer guidelines for responding.
The legal-political environment

In every country elations are held regular intervals. Even changes in political
parties after an election do not produce radical or quick transformations. The
stability of laws governing the actions of individual end institution allows for
accurate predictions. The same can’t be said for all countries . managers in a
global organization must stay informed of the specific laws if countries where do
business.
The Economical environment
The global manager must the aware of economic issue when start business in
other countries. One the first is understanding the counties type of economic
system. The two major types are market economy and command economy.

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Market Economy
An economy system in which resource are primarily owned and controlled by the
private sector.

Command economy
An command economy in which al economy decisions are planned in central
country.
The cultural environment.
Every country have their own culture that refers their taste and culture.
National culture
The values and attitude shared by individual from a specific country that shape
their behavior and beliefs about what is important.

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Chapter NO: 5
Social responsibilities
• Contrast the classic and socioeconomic views of Social responsibility.
• Discus the role that stakeholders play in the four stages of Social
responsibility.
• Differentiate between Social obligation, Social responsiveness, Social
responsibilities.

The Greening of management


• Describe how an organization can go green.
• Relate the approaches to being green to the concept of Social obligation,
Social responsiveness, Social responsibilities.

Value-based management
• Describe what purpose of shared value server.
• Describe the relationship of Value-based management to ethics.

Managerial Ethics

• Discus the factor that affect ethical and unethical behavior.


• Discus the six determinants of issue intensity.
• What codes of ethics are and how their effectiveness can be improved.
• Discus the important role managers play in encouraging. 84

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Social Responsibilities
There are two views to know the Social responsibilities of any organization
Classic view
The view that the management only social responsibility is to maximize the profit.
According to this view the managers look only their profit they not look that what
the effect shall be on the society what the society ‘ll think. They think that
business only for profit. If they perform some extra activity that will be only just
for their profit
The socioeconomic view
The view that the management social responsibility goes beyond making profit to
include protecting and importing society’s welfare.
This position based the believe that corporation are not independent entities only
to stockholders. They also have a responsibilities to the larger society that allows
their formation through various laws and regulations and supports them by
purchasing their products and services. In addition proponents of this view belief
that business organizations are not just merely economic institutions.
Arguments
Social obligation
Rules and regulations if we are doing business we have to apply rules and
regulations from Gov
For example: labor is not smoke cannot include more pressure of burden.
In case of telenor the govt. of Pakistan has restricted to telenor that cannot
purchase their own place for towers.
Social responsiveness

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When a firm engage in social actions in response to some popular social needs.
For example telenor made changing just for benefits of people like as:
Telenor Pakistan launches ApnaPCO to connect the unconnected.
ApnaPCO, a unique community pilot project aims at bringing access to the most
disadvantaged rural communities in the country.

Sitting (L-R): EVP Irfan Wahab Khan, Chairman PTA Maj-Gen (R) Shahzada
Alam Malik, Federal Secretary for Information Technology &
Telecommunications Furrukh Qayyum, CEO Tore Johnsen; Standing: Assistant
Manager Corporate Social Responsibility Kashif Hafeez recites verses from the
Holy Quran.

The project has been set up with support from the Development Fund of the GSM
Association (GSMA), the global trade association for mobile phone operators.
Telenor Pakistan has entered into an alliance with the National Rural Support
Program (NRSP) for the roll-out of the project in the most impoverished rural
areas of southern Punjab. The project works on the principle of 'shared access to
voice' -- a term which refers to the sharing of a mobile phone, as opposed to
individual ownership, in the form of a supervised public payphone.

Speaking at the launch of apnaPCO at Islamabad's Serena Hotel today (9 May),


Federal Secretary for Information Technology & Telecommunications Furrukh
Qayyum said: "Despite the tremendous advances the industry has made, rural
tele-density in Pakistan needs to increase greatly. Innovative community support
projects like Telenor Pakistan's apnaPCO, which empower local entrepreneurs,
can help bridge the gap between the digitally poor and the digitally rich by
eliminating access and affordability constraints in disadvantaged rural markets.

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The team behind the apnaPCO project with senior managers and colleagues
"Initiatives like apnaPCO help activate social networks in communities and in the
market. Telenor Pakistan has brought in GSMA's expertise in the form of
apnaPCO, as it is currently the only GSMA-supported shared access to voice
initiative launched in Pakistan. On ground, Telenor Pakistan is working with
NRSP, a key organization assisting in the implementation of the government's
poverty alleviation agenda. Such Public-Private Partnerships is where the future
of telecom lies for the rural poor of the world."

Beyond needs and obligations


We are working fulfill our needs but we are also working like educating
peoples.Telenor is working too much for social responsibilities like as:

In all of their markets we need through local understanding, to meet customer


needs. Our goal is to combine this understanding with our global telecoms
experience to develop products and services that positively affect people’s lives.
Our key priorities

Driven by our values; make it easy, keep promises, be inspiring and be


respectful, we work to:
Maximise the enabling effect of mobile telecommunications. Community
Information Centres in Bangladesh and TeleDoctor in Pakistan are good examples
of local services that connect millions of previously unconnected people in remote
areas and provide services that meet local needs. We call this “empowerment
though access”.

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Promote safer products and services and protect children online. Magic Desktop
helps parents monitor their children’s online activity, and technical filters block
access to child sexual abuse content throughout Scandinavia.
Minimise our carbon footprint at the same time as we develop climate friendly
services that help our customers reduce their own footprints. Wind- or solar-
powered base stations are examples of initiatives taken to reach ambitious CO2
goals.
Make responsible business practices an integral part of everything we do, both
strategically and operatively. Our Codes of Conduct define how we create value
for our stakeholders whilst respecting our ethical commitment to employees,
partners and society in general.

Some of example of social responsibilities by telenor are:

Emergency Relief for October 8th, 2005 Earthquake Victims: Within hours of
the most tragic catastrophe to hit Pakistan in its history, Telenor Pakistan
activated its efforts to help the earthquake survivors.

Telenor employees led the initiative by setting up stalls at the emergency sites
providing free communication services to relief workers and affected families.

Telenor announced an emergency relief package of Rs. 65 million to go to the


Red Cross and President’s Earthquake Relief Fund. The company also opened its
network in advance in several affected cities and provided free emergency
communications services to the National Crisis Management Center and local
NGOs. Additional contributions from the Telenor group of companies worldwide
added another Rs. 30 million worth of goods and foodstuff.

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Helping cancer patients: Telenor Pakistan made a sizable donation to Shaukat


Khanum Memorial Trust in order to support the cause of treating cancer patients.

Restoration of Rohtas Fort: Telenor Pakistan contributed to a fundraiser for the


restoration of the historic Rohtas Fort.

Regional initiatives: Our regional offices have taken and keep taking community
support in their areas.

TP's flood Relief Efforts


Telenor Pakistan, continuing with its efforts to provide relief to the flood-affected
people, has distributed food and drinking water to almost 10,000 families in the
badly-hit areas of Sindh and Balochistan.

The relief efforts were planned, arranged and carried out as soon as news was
received about the situation with first reports coming in on 1 July. Within 48
hours 4000 bags containing food and water had been distributed to the needy in
the affected areas of Gadap, Vinder, Bela and Naushki.

Then, on 8 July another 3,600 food bags - each sufficient to feed a family of eight
for a day - were distributed among the affected people in Shahdadkot, Kambar,
Usta Muhammad and Jafferabad.

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Until now the company has distributed relief goods worth Rs2.7million. Telenor
Pakistan employees across the country also contributed generously to a flood
relief fund set up by employees themselves. Everyone contributed whole-
heartedly. The Rs353,000 collected was matched by Telenor Pakistan's Corporate
Social Responsibility department with an equal amount. The resulting amount
(more than Rs700,000) has helped to meet the basic needs of several thousand
people.

TP Blood Donations for PRCS


The Corporate Responsibility unit recently teamed up with Pakistan Red Crescent
Society to help collect blood donations from among employees in Islamabad.

The Corporate Responsibility unit organized a blood donation drive in CHQ for
Pakistan Red Crescent Society. The collection was held at CHQ Islamabad on 25
July in the Training Room where PRCS had set up six portable beds. To donate
blood 41 employees turned up of which 13 were deferred due to low hemoglobin
level. Corporate Responsibility had arranged juice and sandwiches for the donors.

PRCS's blood reserves had fallen low following the recent emergencies in the city
and need for blood -- after the Lal Masjid incident, the Aabpara bomb blast, and
for those injured in the recent floods in the south of the country. As such there
was immediate need for these reserves to be brought up.

The employees who came were very cooperative and appreciative of the initiative.
A few asked if the blood collection drive was a recurring activity.

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PRCS staff were very pleasant and caring. When it was time to leave, they said
that it had been a pleasure planning the activity, and that they had fun being with
employees. They hoped that we would continue to collaborate with them in
similar activities in future too.

PRCS's Dr Murtaza said that they had approached a number of cellular companies
to conduct similar activities on their premises but none had agreed. Telenor
Pakistan is the first cellular company to have responded positively to their
request.

About PRCS
Mission and Vision: Safe blood for all
The program aims at developing volunteers for community services and to
prepare the future generation of Voluntary Unpaid Blood Donors (VUBD) by
enhancing awareness of blood safety for prevention of spread of transfusion-
transmissible diseases, i.e. Hepatitis B, C and HIV/AIDS.

For the promotion of healthy lifestyles and voluntary blood donation, the PRCS
aims to carry the SABS program forward to higher educational level in the form
of PRCS Youth Health Safety Clubs. For increasing blood collection, awareness
campaigns are conducted and mobile blood camps held in colleges, universities,
educational institutions, organizations and markets.

The Greening of management


The recognize of thee dose link between organizations decisions and actions and
its impact on the natural environment.

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Global environment problems


Some of the serious problems include sources depletion. Global climate change,
population, industrial accidents, and toxic wastes.
Much of blames on industrial activities in development countries over the last
half-century. An equally unsettling picture is that as the world population
continues to grow and as emerging countries become more orient and affluent,
global environment problems can be expected to worsen.

How Organization goes Green


Environment responsibilities use the term shade of green to describe the
different approach that organization may take.
The first approach is legal approach second is market approach third is
stockholder approach and last is activist approach.
Legal approach
Under this approach the organizations exhibit little environment sensitivity. They
obey laws, rules, and regulations willingly and without legal challenges and may
even try to use the law to their own advantages but that’s the extent of their being
green.

Market approach
According to this approach the organization response to the preferences of their
customers. Whatever their customer demand in terms of environmentally friendly
products will be what the organization provides.

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At the Telenor Group, we are committed to manage natural resources responsibly.


Our goal is to always consider the environmental aspects of our purchases and
operations and minimize any negative impacts on the environment.
The internal governance of Telenor (for instance the environmental and
procurement policies) requires all companies within the Group to consider the
environmental and sustainability impact of our purchases and operations.
Sustainable Procurement Guidelines

To guide our companies towards responsible procurement and business practices,


we have developed the Sustainable Procurement Guidelines supported with
Request For Quotation (RFQ) templates. From 2010, we keep on focusing on the
implementation of these guidelines in all business units.
Waste management

Waste from our operations mainly consists of waste water, non-hazardous waste,
waste from building maintenance. When disposing of waste, we ensure source-
separation, waste treatment, and proper disposal.
Recycling e-waste

Telenor Group also generates a significant amount of e-waste (electronic-waste


such as mobile phones and IT equipment) attributed to our network and
operations. In general, e-waste contains hazardous contaminants. Disposal and
recycling of this type of e-waste involves significant risk for the environment,
workers and surrounding communities and great care must be taken to secure all
waste handling and recycling operations.

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Telenor Group encourages all our companies to establish responsible waste


management and recycling activities and ensure sufficient control over the
disposal and recycling of e-waste.
Mobile recycling programs in Telenor Group

In 2009, Telenor Group introduced “Old Phone, New Life”, a global scheme for
collecting, re-using and recycling mobile phones. Telenor Group is encouraging
all companies within the Group either to join the global recycling scheme or
establish local recycling programs. During 2009, several mobile recycling
campaigns have been launched throughout the Group.

As of today, mobile recycling programs are in operation in 6 companies


throughout the Telenor Group (in Norway, Denmark, Sweden, Hungary, Serbia
and Montenegro). The total number of collected handsets was app. 300.000
(2007-2009). Besides the existing activities, several Telenor companies are in the
process of establishing their local projects.
Stockholder approach
Under this approach the organization works to meet the environment demands of
multiple stockholders such as employees, suppliers, or the community. Both the
market approach and stockholder approach are good illustrated of social
responsiveness.
Telenor is saving a much for their stakeholders by their own techniques like as:
Emissions related to buildings stem primarily from the electricity and other
energy used to light, cool, and heat our buildings. We have a number of initiatives
to reduce these emissions through smart use of building design and management.
Where possible, we always seek to use renewable or clean energy sources.
Renewable marine and terrestrial energy

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The Telenor Group headquarters in Oslo was built to meet stringent


environmental requirements. The open landscape has reduced space requirements
by 40 per cent. An automatic light control system ensures optimal use of lighting
and turns off the light when employees go home. And more than 50 per cent of
the energy used to heat the building is generated by heat pumps using energy from
the nearby sea. The system is reversed during summer, using the sea as a source
for cooling.

The Green Office of Pannon

The main office building of Telenor in Hungary - the Pannon House - has a highly
energy-saving and cost-efficient heat pump system. Heating and cooling of the
office is controlled by 180 heat sensors located more than 100 metres below
ground level. The nominal capacity of the Pannon House heat pump is ~1 MW,
and the use of this technology will involve an annual saving of HUF 36 million
(USD 200,503) and a reduction of 368 tons of CO2 emissions, compared to the
old building. Pannon was awarded the prestigious “Environmental Savings Prize”
for its heat pump in 2009.
Activist approach
Under this approach the organization looks for ways to respect and preserve the
earth and its natural resources. The activist approach exhibits the highest degree
of environmental sensitivity and is a good illustration of social responsibilities.

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Through our Group Environment Policy and related procedures, we aim to ensure
that protecting the environment becomes an integral part of our day-to-day
business. This in turn will affect everyone who has any connection with us, from
our suppliers and shareholders, through to our customers and society at large.
Our main principles

Our Environmental Policy focuses on four core areas:


Energy consumption and climate change
Environmentally effective procurement
Waste management and recycling
Installations and radio wave emissions

Each area has key principles which guide and inform decisions.
Energy consumption and climate change

Telenor shall:
Seek to employ renewable energy sources and energy efficient technology.
Minimize emissions from activities and business trips by making use of
telecommunications solutions instead of travelling.
Choose the most environmentally friendly travel options.
Contribute to a sustainable society by providing environmentally effective
communications solutions.
Environmentally effective procurement

Telenor shall:
consider the environmental consequences when purchasing a product or service.
Environmental requirements with regards to the performance or function of the
product should always be taken into consideration.

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Waste management and recycling

Telenor shall:
Seek to reduce the consumption of materials. We reuse, rather than dispose of,
equipment and promote recycling.
Ensure a system of sustainable waste management internally and seek to ensure
that suppliers and contractors follow environmental standards that are in line with
our own.
Installations and radio wave emissions
Telenor shall:
Seek to minimize any visual, aesthetic or noise-related impact on the local
environment when locating and constructing its buildings, structures and
equipment.
Focus on health and safety and use the World Health Organization (WHO) Safety
Limits when planning and installing network components.
Seek to provide stakeholders with objective information regarding any effects of
radio wave emissions from our installations, services and products.

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Value-based management
Shared values are what engender trust and link an organization together. Shared
values are also the identity by which an organization is known throughout its
business areas. These values must be stated as both corporate objectives and
individual values. Every organization and every leader will have a different set
of values that are appropriate to its business situation. In terms of the Neuro-
Logical Levels model, values operate together with beliefs to create meaning
and motivation in our lives. They relate to why we think what we think and do
what we do. Values and beliefs support the identity and mission of an individual
or organization, and provide the reinforcement (motivation and permission) that
promotes or inhibits particular capabilities and behaviors. A particular identity
or role, for instance, will be associated with several core values and beliefs.
These, in turn, are supported by a range of skills and capabilities, which are
required to manifest particular values and beliefs as actions in a particular
environment or context. In groups, organizations and social systems, values
form a type of non-physical framework which surrounds all of the interactions
of the people within the system. Values, and related beliefs, determine how
events and communications are interpreted and given meaning.

Thus, they are the key to motivation and culture. Shared values and beliefs are
the "glue" which holds an effective organization, community or team together.
Conflicts of values are the source of disharmony and dissension.

Telenor company has a shared values like as

Make it Easy

We're practical. We don't complicate things. Everything we produce should be


easy to understand and use. Because we never forget we're trying to make
customers' lives easier.

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Keep Promises

Everything we set out to do should work, or if it doesn't, we're here to help.


We're about delivery, not over promising, actions not words.

Be Inspiring

We are creative. We strive to bring energy to the things we do. Everything we


produce should look good, modern and fresh. We are passionate about our
business and customers.

Be Respectful

We acknowledge and respect local cultures. We do not impose one formula


worldwide. We want to be a part of local communities wherever we operate. We
believe loyalty has to be earned.

Managerial Ethics

Managerial ethics are focused on workplace behavior ethics and ethics in


leadership. Ethics and ethical reasoning are necessary characteristics of your
business culture.

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The modern history of business has been muddied by many issues including
managerial ethics. One of the biggest struggles, above and beyond growth and
survival, has been deciding what's more important: maximizing profits for the
shareholder or a company’s societal contributions.

Our Ethical Council acts as an advisory body to the executive management of the
Telenor Group and secures a high level of focus on ethical matters. The Ethical
Council is comprised of elected members from our employees, unions, and
management.

There is no question that companies have an ethical responsibility to the


shareholder to make a profit and improve the bottom line. This need not be done
by abandoning workplace behavior ethics.

Actually, ethical management of a business' assets enables the organization to


become more socially active. It’s a win-win.

Having said that, there are times when balancing these two goals becomes very
difficult. For example, some of the processes and machinery that make for 'green'
manufacturing are more costly to buy and run. That lowers the profit, and lessens
the money that a company can put back into the community. Even though going
green is certainly ethically good, the overall impact may have a negative affect on
profits.

Understanding managerial ethics' is more than understanding the difference


between right and wrong; often it means understanding, and acting upon, the
difference between right and right when two choices are very similar but the cost
of one may be higher than the cost of another.

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The Business Ethics Award was established in 2000 by the Budapest Club
Foundation and business magazine Piac és Profit. According to the panel's
evaluation, Pannon's business conduct sets a model for other companies to follow.

Multinational companies

The award is divided into three categories: Small and medium enterprises,
multinationals and large national companies. Pannon received the award in the
multinationals category. Previously the award has been granted to companies like
Alcoa, Ericsson, Compaq and Siemens.

Social, environmental and economic considerations

Candidates are judged by the following criteria:

Respect to all stakeholders in decision making and business operation.

Primary motivation of operation includes the welfare of others, not exclusively


profit making.
Social and environmental concerns are addressed as well as economic
considerations.
Organizations that were asked to delegate included the Joint Venture Federation,
employer federations, chambers, telecom and other trade associations, the
Hungarian Business Leaders Forum, AmCham, etc.

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Factors that affect employee ethics

Whether a person acts ethically when faced an ethical dilemma as the result of
complex interaction between the stages of moral and several moderating variables
including individual characteristics, the organization’s structure design the
organization’s culture, and the intensity of the ethics issue. People who lake a
strong sense are much lees likely to so the wrong thing if they are constrained by
the rules, polices, job descriptions, or strong culture norms that disapprove of
such behaviors. Conversely, intensely moral individual can be corrupted by an
organizational structure and the culture that permits or encourage unethical
practices. Let’s look more closely at the factor that influence whether individual
will behave ethically or unethically.

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Improving Ethical behavior


There are number of ways which Managers can adopt. Managers can do lot of
things if they are serious about it. Only managers can reduce the unethical
behavior in the organization. They can hire individuals with high ethical
standards; establish code of ethics and decision rules. They can define job goals
and performance appraisal mechanism. They can provide ethical training, conduct
social audits and provide support to individuals facing ethical dilemma. If these
actions are implemented then it will have great effect on the organization. But
there is no guarantee that well design ethical program will lead to desired
outcome.
However the company's ethical program will impact on some of employees but it
is not necessary that the ethical program will affect all the employees. Moral
development programs can be adopted by the organization to reduce the unethical
behavior of employees. Besides ethical and moral programs the managers have to
monitor the employees whether the ethical and moral programs are working
according to the estimated results. While if the organization looks it more deeply
the ethical values can be checked at the time of employee's selection by
interviews, test, and background check, personal values, ego strength and locus of
control. So in this way the managers can improve the ethical behavior of the
employees of any organization.

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Employee’s selection
During the first hundred years of scientific management and personnel selection,
psychological testing became a powerful and institutionalized tool that was
broadly applied. Universities and trade schools, managers, engineers,
psychologists, and government officials recognized the importance of using
scientific methods and tools to manage human capital, the economics of business,
and the national defense. Industrial and organizational psychologists emerged as
the preeminent players in the development and dissemination of these tools and
the evaluation of the tools' real and perceived efficiency. This article reviews the
methods, measures, and standards that have emerged to evaluate these tools.
While if the organization looks it more deeply the ethical values can be checked at
the time of employee's selection by interviews, test, and background check,
personal values, ego strength and locus of control. So in this way the managers
can improve the ethical behavior of the employees of any organization.

Code’s of ethic
We asserted that the level of enforcement of ethics codes and negative
consequences for unethical behavior would determine the purity of the consulting
world. If you value your reputation and want to be successful, it is essential to
establish trust in your relationships with your clients. Therefore, it is imperative
that you conduct your business based on a set of ethical standards.
But in some situations, consultants may not have cut-and-dried rules to guide their
behavior. If you need some guideposts to making an ethical decision, examine it
in terms of the three-step decision-making model of Ethics, a nonprofit
organization “dedicated to the advancement of ethics and the development of
individual character through its programs, workshops, and publications.”

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Chapter N0. 6
Decision Making
Learning outline

Use this learning outline as you read and study this chapter

Decision Making Process


• Define Decision and decision making process.
• Describe the eight steps in decision making process.

The Managers as decision maker


• Discus the assumptions of rational decision making’
• Describe the concept of bounded rationality, satisfying, and escalation of
commitment.
• Explain intuitive decision making.
• Describe the four decision making style.
• Discus how managers can deal with decision making.

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Decision Making Process


“A set of eight steps that include identifying a problem, selecting an alternative,
and evaluating the decision’s effectiveness”
Problem solving and decision-making are important skills for business and life.
Problem solving often involves decision-making, and decision-making is
especially important for management and leadership. There are processes and
techniques to improve decision-making and the quality of decisions. Decision-
making is more natural to certain personalities, so these people should focus more
on improving the quality of their decisions. People that are less natural decision-
makers are often able to make quality assessments, but then need to be more
decisive in acting upon the assessments made.

Problem solving and decision-making are closely linked, and each requires
creativity in identifying and developing options, for which the brainstorming
technique is particularly useful. This method also applies to all sorts of problem-
solving where issues and implications need to be understood and a decision has to
be made.

Decision Making Styles in telenor

The styles can be “loosely” grouped as follows:

Intuitive Style

Some times Telenor uses this intuitive style. This style says that Some people are
spontaneous by nature and like to decide “on the spot”. Experience and
circumstances may sometimes support this type of problem solving approach.
However, those who consistently use this style are – admittedly – comfortable
with the “trial and error”, or “hit and miss” approach.

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Limited Procrastination Style

Not to be confused with never wanting to make a decision, P&G uses this style
involves the delaying of a decision until enough factors have been evaluated
and/or enough time has gone by for the situation to stabilize.

Systematic Style

Some times the management of P&G Involves identifying and evaluating each
possible course of action. Of all the decision making styles, this is obviously the
most likely candidate for computer based decision making tools.

Individualistic Style

Some individuals prefer to research and arrive at a decision on their own, without
any active input from others.

By Consensus Style

Applies to decisions that have to, or should preferably, be arrived at as a group.


All, except the more “spontaneous” decision making styles, can advantageously
make use of time tested decision making techniques and tools.

Some decisions are a simple matter of whether to make a change or not, such as
moving, taking a new job, or buying something, selling something, replacing
something, etc. Other decisions involve number of options, and are concerned
more with how to do something, involving a number of choices. Use the
brainstorming process to identify and develop options for decision-making and
problem-solving.

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Step 1: Identify a problems

The begin with the existence of a problem or, more specifically, a discrepancy
between an existing and a desired stated of affairs.

Step 2: Identify decision criteria

Once a manager has identified a problem, the decision criteria important to


resolving the problem must be identified. That is , manager must determine
what’s relevant in making a decision. Whether explicitly stated or not, every
decision maker has criteria that guide his or her decisions.

Step 3: Allocating Weights to the Criteria

If the relevant criteria aren’t equally important, the decision maker must weight
the item in order to give them the correct priority in the decision.

Step 4: developing Alternatives

In this steps the decision maker to viable alternatives that could resolve the
problem. This is the step where a decision maker wants to be creative in coming
up with possible alternatives. However no attend is made to volute the
alternatives just yet, only to list them.

Step 5: Analyzing Alternatives

Once the Alternatives have been identified, decision makers analyze each one.
How? By evaluating it against the criteria established in step 2 and 3. From this
comparison, the strength and weaknesses of each Alternative become evident.

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Step 6: selecting an Alternatives

The six step is choosing the best Alternative from among those considered. Once
all the pertinent criteria in the decision have been weighted and viable,
alternatives analyzed. You merely choose the alternative that generated the
highest total in step 5.

Step 7: Implementing the Alternative

The step is concerned with putting the decision to action by conveying the
decision to those affected by it and getting their commitment to it. We do not
know that if the people who must implement a decision participate in the process.
They’re more likely to enthusiastically support the outcome than if you just tell
them what to do. Another thing managers also may need to do during the
implementation process is to reassess the environment for any change, especially
if the decision is one that takes a longer period of time to implement. Do the
Criteria, alternatives and choice still seem to be the best ones, or has the
environment change in such a way that we need to reevaluate.

Step 8: Evaluate decision effectiveness

The last step in the decision making process involve evaluating the outcome or
result of the decision to see if the problem has been resolved. If the problem also
still then the manager would need to assess what went wrong. Was the problem
incorrectly defined? Where errors made in the various alternatives. Was the right
alternative selected but poorly implemented? The answer to question like these
might send the manager back to one of the earlier steps. It might ever require
starting the whole decision process over.

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The Manager as Decision Maker

Decision-making is the process of evaluating different alternative solutions to a


given problem and choosing the most appropriate solution from amongst them.
All managerial decisions fall under two categories viz. programmed and non-
programmed. Uncertainty, risk, and certainty are some conditions under which
decisions are made. The paper examines the decision making process and
discusses the behavioral aspects of decision-making. The programmed and un-
programmed decisions are also discussed. The behavior of the human maverick
can be well short of honorable and may even cut the corners of legality. But
whether sharp practice was typical of the eponymous Samuel Maverick, a Texan
cattle-raiser, is beside the management point. The reality is that the best maverick
managers make the world go round. Without them many great companies and
industries would not exist. Indeed, far from being the exceptions that prove the
rule, the mavericks disprove it.

Telenor won Sonofon tax case

In its decision of 17 October 2006, the Norwegian Supreme Court ruled in favor
of Telenor, that the loss recognized upon internal sale of the shares in Sonofon
Holding A/S was tax deductible in 2001. Thus, the Supreme Court upheld
previous decisions made by Oslo City Court (Oslo Tingrett), and the Appeal
Court (Borgarting Lagmanssrett).

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As a consequence of this decision, Telenor will be repaid approx. NOK 2,414


million of previously paid corporate income tax. Telenor will receive a tax
exempt interest compensation of approx. NOK 318 million and previously
expensed, but not paid, late payment interest of approx. NOK 256 million will be
reversed. Telenor will show a tax income of approx. NOK 2,414 million and a
financial income of approx. NOK 574 million in the fourth quarter 2006.

You could easily maintain that all great managers, certainly all important
entrepreneurs, are mavericks, rule-breakers who disregard the herd and obey their
own instincts and intellects. None of these makers and shakers can ever be
described as conformist. One fine example of the breed is Philip Knight of Nike,
who has now retired as the shoe company’s chief executive for the third time.
That in itself is highly unconventional; but when his replacements for the first two
retirements didn’t work out, Knight stepped back in. Remarkable recovery and
revitalized growth duly followed.

Making Decision: Rationality Bounded Rationality, and intuition

Describe choices that are consistent and value maximizing within specified
constraints. By that we mean the managers make consistent, value maximizing
choices with in specific strains.

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Rationality Assumption:

This is the assumption that persons act as if they are rational. This means that
they would not intentionally make decisions that would leave them worse off.
Decision makers aim to better their circumstances and make logical decisions
given their information sets to reach this goal.

A significant number of decisions end up being emotive and/or ego-driven.


Greed and fear dominate bull and bear markets respectively causing the markets
to (predictably) over-react.

Bounded Rationality

Behavior that is rational within the parameters of a simplified decision-making


process, which is limited (or bounded) by an individual’s ability to process
information.

The world is large and complex, and we do not have the capacity to understand
everything. We also have a limited time in which to make decisions. We are also
limited by the schemas we have and other decisional limitations. As a result, our
decisions are not fully thought through and we can only be rational within limits
such as time and cognitive capability. Herbert Simon indicated that there were
thus two major causes of bounded rationality: Limitations of the human mind.
The structure within which the mind operates. This influences decision models
that assume us fully rational.

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Role of Intuition
"Intuition," as used by the modern mathematician, means an accumulation of
attitudes (including beliefs and opinions) derived from experience, both individual
and cultural. It is closely associated with mathematical knowledge, which forms
the basis of intuition. This knowledge contributes to the growth of intuition and is
in turn increased by new conceptual materials suggested by intuition. The major
role of intuition is to provide a conceptual foundation that suggests the directions
which new research should take

The opinion of the individual mathematician regarding existence of mathematical concepts


are provided by this intuition; these opinions are frequently so firmly held as to merit the
appellation "Platonic." The role of intuition in research is to provide the "educated guess,"
which may prove to be true or false; but in either case, progress cannot be made without it
and even a false guess may lead to progress. Thus intuition also plays a major role in the
evolution of mathematical concepts. The advance of mathematical knowledge periodically
reveals flaws in cultural intuition; these result in "crises," the solution of which result in a
more mature intuition

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Types of problem and decisions

Good problem solving and the ability to make rationale and effective decision are
at the heart and soul of good career management. It is your latent ability to solve
problems and make unbiased decisions and to choose between one thing and
another, rather than letting yourself to follow blind instinct that is the defining
feature of how you feel of your human nature. Whether you work in or with an
organization, the quality of your work depends on your effective ability to solve
problems and make decisions. Here, I would like to share with you some
strategies that you can use to hone your skill of becoming an excellent problem
solver.

Note that problem solving is not about how intelligent you are or the body of
knowledge that you have. Problem solving is about your ability to think straight
and keeping the relevant data and facts in the right perspective and having done
that to get the process right.

To be an effective problem solver the first thing that you should try to achieve is
to sharpen your knack of identifying and classifying the type of problem that you
are facing.

Problems can be classified into four types. They are: "Question-based problems",
"Situation-based problems", "Convincing-based problems" and "Solving-based
problems". Each of these types of problem requires a unique approach to tackle
and overcome. Let's review each of them.

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Question-based problems

These type of problems involve a question that needs an answer. Sometimes it is


difficult to derive the answer as you may not have access to all the relevant data
and facts to make an informed decision. An example: Should the government help
people who are retrenched? Obviously
this question begs further data such as how many people have been retrenched? Is
it a problem that the government should handle? Why and how should they help
them? Question-based problems
usually involve a long term plan of action and one which requires you to dig for
more information and data to help you solve it. It also gives you an opportunity to
delve deeper into the status quo that you are in and to see how you could improve
your current state to the ideal state that you desire.

If you are faced with this type of problem you need to work towards getting as
much facts and data as possible that will allow you to at least try to minimize the
problem and make an informed decision.

Situation-based problems

These types of problems as the word suggest is based on a situation that is


currently causing you a dilemma. For instance, your boss has asked you to work
through the weekend to finish up a project for the company that is worth a million
dollars. However, you've promised to take your family out for dinner to celebrate
your spouse's birthday. You now have a 'situation' here. Such problems can
sometimes cause you to avoid the problem or to try to ignore it. The question that
you need to ask is how are you going to deal with the dilemma?

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This is when you need to keep thinking of how if at all you could satisfy these
two contrasting situations. On the other hand, to make a decision as to what is
more important to you. Having done this you need to convey your presence of
mind to both parties. Situation based problems might expect you to make choice.
In doing so, you need to weigh the consequences of your decision and as the
saying goes to try to choose "the lesser of the two evil".

Convincing based problems

These types of problem puts you in a situation where by you might have
information that others don't and a need to convince the others that they should
see things your way. For instance, how do you convince your colleagues that they
should not be coming late for their appointments and meetings always.

There may be a certain amount of sensitivity in such problems as the status quo
that you are in is not an ideal state and might give rise to other problems if you do
not handle it well enough. Convincing based problems requires you to be
empathetic to the others' feeling and to exercise a certain degree of emotional
connectivity with others in order that the can be convinced.

Solving based problems

The last in the category is the solving based problems which basically means that
you have a problem that needs solving. Example: The photocopier machine has
broken down. You have a lot of photocopying to do. There is only one solution
here and that is to solve the problem. The solution option you choose can be either
short term, mid term or long term in effect. For the short term perspective,
because you've got lots of photocopying to do, you might decide to outsource this.
As a mid term remedy you may have to get the photocopier repaired

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However this might not guarantee that it won't break down again in which case
you might have to think of a long term solution of replacing the whole machine.

Solving based problems usually will involve you being in a current non-desirous
state of being and the need to move to an ideal state of being where the problem is
resolved or if that is not possible at least in a state where the problem can be
minimized.

Moving ahead

Becoming a good problem solver will also put you in a good stead to be a rational
decision maker. It all depends upon your calmness and having a cool headed
approach to the problems that you face. So the next time you are faced with a
problem make it a point to classify the problem in one of the above categories and
then see what you can do about it.

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Chapter No. 7

Foundation of Planning

Learning outline

Use this learning outline as you read and study this chapter

• What is planning?
• Define the goals.
• Different types of goal.
• Different types of plans.

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PLANNING:
“The organizational goals establishing an over all strategy for achieving those
goals and developing plans for organizational work activities.”
Example:
Telenor Pakistan acts responsibly and respectfully towards the people and
authorities in different societies and aims to contribute to social and economic
development in the local market. This is the essence of telenor commitment to
Corporate Responsibility.

GOAL:
“Desired outcomes for individuals groups or entire organizations.”
Example:
Telenor's primary goal is to create greater value for our shareholders, customers,
employees and partners, and for society in general. We strive to be a driving force
in creating, simplifying and introducing communication and content solutions to
the marketplace. For more than 150 years Telenor has pioneered communications
technology. Today we are a major international telecommunications provider, and
all our operations share the same single vision: Helping people to communicate.
Our new brand articulates this ambition and our new logo is a symbol of
movement and change - our continuous evolution to help our customers get the
full benefit of communications services in their daily lives. We want to make it
easy for customers to get what they want, when they want it. We will keep
promises and deliver what we say. We will innovate to deliver fresh ideas. And,
as an international company, we will be respectful of our customers and their
local cultures.

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PLANS:
“Documents that outline how goals are going to be met.”
These are the documents which provide the information how to do work and
where which step is to be taken and where which strategy is to be implemented
how is to be implemented and what are the outcomes of that strategy.

REAL GOALS:
“Goals that an organization actually pursues as defined by the actions of its
members”

STATED GOAL:
“Official statements of what an organization says and what it wants its various
stakeholders to believe its goals are. “
As telenor stated goals are
• Telenor Pakistan's customers shall be confident that the company runs its
operations in an ethically responsible manner.
• Telenor Pakistan's employees shall be proud of the way in which the company
handles its social responsibility.
• Telenor Pakistan’s other stakeholders, expecting high standards of social
commitment, shall have high regard for the company.

STRATIGIC PLANS:
“Plans that apply to the entire organization establish the organizational overall
goals and seek to positions in the organization in terms of its environment “
As telenor is considered
Telenor Pakistan is committed to Corporate Responsibility in all its activities by
making it an integral part of the corporate culture. Our role in society is clear: We

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are here to help people communicate. That goes for all the countries in which we
operate.

Respond To Challenges:

Our aim is to understand and respond to the challenges that society is faced with,
using our technology and competence to find innovative solutions. We believe we
have important contributions to make on key issues, such as alleviating poverty,
combating climate change and encouraging safe use of Information
Communication Technology (ICT).

Build Trusting Relationships:

At Telenor Pakistan we believe in building trusting relationships with our


stakeholders and demonstrate a readiness to help find solutions to the challenges
they are facing. We want our customers to be confident that the Telenor Pakistan
runs its operations in a responsible manner. We want investors expecting high
standards of social and environmental commitment to prefer Telenor. We work
towards making Telenor's employees proud of the way we do our business. Our
efforts are based on Telenor's values; “Make it easy, Keep promises, be inspiring
and be respectful”.
Operational plans:

“Plans that specify the details of how the overall goals are to be achieved “

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Chapter No. 8

STRATEGIC MANAGEMENT

Learning outline

Use this learning outline as you read and study this chapter

The Importance of Strategic Management


• Define Strategic management, Strategy, and Business Management.

The strategic Management process.


• Steps of Strategic Management
• What managers do during external and internal analysis
• Role of Resources, Capabilities, and core competencies.
• Define strength weakness, opportunities, and threats.

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STRATEGIC MANAGEMENT
WHAT IS STRATEGIC MANAGEMENT?
Strategic management is what managers do to develop the organization’s
strategies. Through strategic management, managers establish the game plan or
roadmap.

WHAT ARE AN ORGANIZATION’S STRATEGIES?


They are the decisions and actions that determine the long-run performance of an
organization. that is, the strategies-how the organization will do whatever it’s in
business to do, how it will compete successfully, and how it will contract and
satisfy its customers in order to achieve its goals

THE STRATEGIC MANAGEMENT PROCESSES:


A six-step process that encompasses strategic planning, implementation, and
evaluation.
Step 1:Identifying the organization’s current mission,goals,and strategies

Step 2:doing an external analysis

Step 3:doing an internal analysis

Step 4:formulating strategies

Step 5:impliementing strategies

Step 6:evaluating results

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Step 1: identifying the organization’s current mission, goals, and


Strategies
“Every organizations needs a mission”
Strategies are required by an organization for achieving its goals in any country.
Strategies play an important role in the success of any organization. Timely made
strategies are best for an organization and the implementation of those strategies.

Mission:
“A statement of the purpose of an organization.”
It is also important for managers to identify the goals currently in place and the
strategies currently being used. As we consider the telenor the mission statement
of telenor is
“We strive to be a driving force in creating, simplifying and introducing
communication and content solutions to the marketplace.”

Goals:
“Desired outcome for individuals groups, or entire organization. Knowing the
company’s current goals gives managers a basis for assessing whether those goals
need to be change. “
As we talk about telenor, Telenor's primary goal is to create greater value for our
shareholders, customers, employees and partners, and for society in general.
In order to achieve this goal, Telenor base its strategy on its customer oriented
vision, ''Here to Help'' as well as its core values, ''Make it easy, Keep promises, Be
inspiring' and Be respectful".

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Strategies:
“The decision and action that determine the long-run performance of an
organization.”
Telenor has an inspiring vision: ideas that simplify. Telenor is committed to
creating, developing and launching new solutions that simplify our customer’s
workday. Telenor believe that by simplifying own organization and routines they
can achieve competitive power and value-creation

Step 2: Doing an external analysis


In pervious chapter we describe the external environment as an important
constraint on a manager’s actions. Analyzing that environment is a critical step in
the strategic management process. Managers in every organization need to do an
external analysis. They need to know, for instant, what the competition is doing,
what pending legislation might effect the organizations, or what the label supply
is like in location where it operates.
After analyzing the environment, managers need to assess what they have learn in
terms of opportunities that the organization can exploit, and threats that it must
counteract or buffer against.

Opportunities:
Positive trends in external environment factors.

Threats:
Negative trends in external environment factors.

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Step 3: Doing an internal analysis


The internal analysis provides important information about an organization’s
specific resources and capabilities.

Resources:
An organization’s assets that are use to develop, manufacture, and deliver product
or services to its customers.
The basic resource of telenor is the services which they are providing to its
customers and also they have a lot of other projects which provide them resources
to run the organization like as “easy pasa” now a day.

Capabilities:
An organization’s skills and abilities in doing the work activities needed in its
business.
The staff which is hired by telenor is competitive and ideal. They work for the
organization in a best way and provide it their best abilities to making it the
number 1 cellular company in Pakistan.

Core competencies:
The organization’s major value-creating skills and capabilities that determine its
competitive weapons. Both resources and core competencies can determine the
organization’s competitive weapons. After doing the internal analysis, managers
should be able to identify organization strength and weakness.

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Strength:
“Any activities organization does well or any unique resources that it has.”

Weakness:
“Activities the organization does not do well or resources it needs but does not
possess. Doing an internal analysis of an organization’s financial and physical
assets is fairly easy because information on those areas is readily available.”

Step 4: Formulating strategies


As managers formulate strategies, they have to consider the realities of the
external environment and their available resources and capabilities and design
strategies that will help the organization achieve its goals. What types of
strategies go managers need to formulate?
As we talk about telenor, they are giving a lot of attention and time to make the
new advertisement strategy of the company. Telenor made new commercials and
wall chalking and banners and boards these are the parts of their advertisement
strategy.
There are three main types: corporate, business and functional.

Step 5: Implementing strategies


After strategies are formulated, they must be implemented. A strategy is only as
good as its implementation. No matter how effectively an organization has planed
its strategies, its can’t succeed if the strategies aren’t implemented properly.
Finally, top management leadership is a necessary ingredient in a successful
strategy. So, too, is a motivated group of middle and lower-level mangers to carry
out the organization’s specific strategies.

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As telenor is consider they a powerful advertisement strategy. They implement


their strategy in a beneficial and proper way. New commercials on television are
the examples of the implementation of their strategy. Big boards which they have
on the road sides are another example of the implementation of their strategy.

Step 6: evaluating results


The final step in the strategic management process is evaluating results.
How effective have the strategies been?
Have they helped the organization reach its goals?
What adjustments, if any, are necessary?
For instance, the company cut jobs, sold assets, and reorganized management. She
did this after assessing the results of pervious strategies and determines that
changes were needed. As the new strategies are made then implemented then the
next thing which is required is the result either the new strategy provide the
results as assumed by the policy makers or not.

SWOT ANALYSIS:
SWOT analysis is the combination of
Strength
Weakness
Opportunities
Threats
As we work on telenor, we have following strength weakness opportunities and
threats.

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Strength:
These are the strength of telenor Pakistan.
• Network coverage
• International roaming
• GPRS roaming
• License for Azad Kashmir
• Quality coverage
• Value added services
• Lowest prices/ call rates
• Second largest market share of Pakistan

WEAKNESS:
These are the weakness of telenor Pakistan
• Behind of excessive demand
• Poor organizational structure
• Stagnant profitability
• Lack of franchises
• Lack of innovative services
• Network coverage
• Competition
• Internal problem

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OPPORTUNITIES:
These are the opportunities of the telenor Pakistan
• Expand globally
• Publicity and marketing
• Develop new value added services
• Kiosk touchingly
• Develop new franchises in remote areas
THREATS:
These are the threats of telenor Pakistan
• Government interference

Types of organizational strategies:


Corporate strategy:
An organizational strategy that determines what businesses a company is in,
should be in, or wants to be in, and what it wants to do with those businesses. it’s
based on the mission and goals of the organization and the roles that each
business unit of the organization will pay.
There are three main types of corporate strategies: growth, stability, and renewal.
Telenor Pakistan is committed to Corporate Responsibility in all its activities by
making it an integral part of the corporate culture. Our role in society is clear: We
are here to help people communicate. That goes for all the countries in which we
operate.

Respond To Challenges:

Our aim is to understand and respond to the challenges that society is faced with,
using our technology and competence to find innovative solutions. We believe we

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have important contributions to make on key issues, such as alleviating poverty,


combating climate change and encouraging safe use of Information
Communication Technology (ICT).

Build Trusting Relationships:

At Telenor Pakistan we believe in building trusting relationships with our


stakeholders and demonstrate a readiness to help find solutions to the challenges
they are facing. We want our customers to be confident that the Telenor Pakistan
runs its operations in a responsible manner. We want investors expecting high
standards of social and environmental commitment to prefer Telenor. We work
towards making Telenor's employees proud of the way we do our business. Our
efforts are based on Telenor's values; “Make it easy, Keep promises, be inspiring
and be respectful”.

Growth strategies:
a corporate strategy that’s used when an organization wants to grow and does so
by expanding the number of products offered or markets served’ either through its
current business or through new business.
As a result of its growth strategy, the organization may increase sales revenues.
Number of employees, market share, or other quantitative measures. How can
organizations grow? By using concentration, vertical integration, horizontal
integration.

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Concentration:
growth through concentration is achieved when an organization concentrates on
its primary line of business and grows by increasing the number of products
offered or market served in this primary business; that is, the company choose to
grow by increasing its own business operations.

Vertical integration:
A company also might choose to grow by vertical integration, either backward,
forward.
In backward vertical integration, the organization attempts to gain control of its
inputs by becoming its own supplier.
In forward vertical integration, the organization gain control of it outputs by
becoming its own distributor

Horizontal Integration:
In horizontal integration, a company grows by combination with other
organizations in the same industry-that is, its competitors. Finally organization
can grow through diversification, either related or unrelated.

Related diversification:
When a company grow by combining with firms in different, but related,
industries. For example Pepsi or Lays.

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Unrelated diversification:
When a company grow by combining with firms in different and unrelated
industries.

Stability:
A corporate strategy characterized by an absence of significant change in what the
organization is currently doing. Another situation when the stability strategy
might be appropriate is if the industry is facing slow or no-growth opportunities
like the candy and chocolate industry.

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We conclude from above all discussion the communication plays a vital role in
any organization as well as in Telenor . It is a life blood of Telenor we visit
website of Telenor www.telenor.com

as well as Telenor sale center, which is situated in Sargodha, we talked with its
representatives in detail and we come to know about the importance of internal
and external communication, communications flows, chain of command, attitude
building processes, departmentalization, human resources department We got this
information with the help of following methodology

Direct Question

Visiting After going through above all discussion we have reached at this
conclusion that communication is most important factor of Telenor even it relates
to aspect of the organization. Telenor by being a foreign company face many
hurdles because they are coming from a different culture. After all we come on
solution that Telenor has adopted email, memo’s, letters and online conversation
system to communicate with their employees.

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