E4-E5 (CFA)- Project Udaan & Dosti Rev date: 24-03-2011
For internal circulation of BSNL only Page 1
Chapter 1
Project Udaan & Dosti
E4-E5 (CFA)- Project Udaan & Dosti Rev date: 24-03-2011
For internal circulation of BSNL only Page 2
Project Udaan and Dosti
Introduction:
PSTN or landline service continues to serve the people across the world, though
its significance is getting diluted in wake of the growth of mobile services. Lot of
improvements have happened in PSTN since its invention. Landline services contributed
the most to overall revenue of Incumbent players, which day by day is eroding,
threatening the survival of such operators. Although in declining phase, landline still has
wide reach and acceptability in the market. Moreover with the introduction of VAS on
landline it has promising potential for many more years. This handout dwells upon the
strategy adopted by BSNL for strengthening its landline business.
Lesson Objective:
• Understand the need for special attention towards landline service
• Know the BSNL’s strategy: Project Udaan & Dosti
• To understand and be able to contribute towards success of Project Udaan &
Dosti
Need for Special care of Landline business:
If we look at the revenue contribution from landline Connections V/s revenue in
comparison to mobile service since inception, it is obvious that, landline ARPU has
declined tremendously but still is very high as compared to mobile. If we add broadband
to landline revenue, the ARPU will further increase.
Year #Landline
customers
Landline revenue
#Mobile
customers
Mobile revenue
March 09 2.93 crore 9173 crore 4.67 crore 9828 crore
March 01 2.81 crore 22630 crore - -
• Share of Broadband subscription in total Internet subscription increased from 46%
in Mar-09 to 47% in June-09. 86.66% of the Broadband subscribers are using
Digital Subscriber Line (DSL) technology.
• ARPU for dialup Internet usage increased by 2.97% from Rs.236.47 in QE March
2009 to Rs 243.50 for the quarter ending June 2009
• Rural Wireline subscription has been declining at a faster rate than Urban
subscription, leading to decline in the share of Rural subscription
• The landline growth chart shown below indicates that BSNL/MTNL customer
base is on the decline.
E4-E5 (CFA)- Project Udaan & Dosti Rev date: 24-03-2011
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Service
Provider
Mar-09
Jun-09
Net
Additions
Rate of
growth
Market
share-
Mar-09
Market
share-
Jun-09
BSNL 29.35 28.79 -0.55 -1.9% 77.30% 76.73%
MTNL 3.57 3.55 -0.02 -0.6% 9.41% 9.46%
Bharti 2.73 2.83 0.10 3.7% 7.18% 7.54%
Reliance 1.11 1.13 0.02 2.0% 2.92% 3.01%
Tata 0.92 0.95 0.03 3.7% 2.42% 2.54%
HFCL 0.16 0.16 0.00 0.2% 0.43% 0.43%
Above discussion make it amply clear that dialup internet & broadband has strong
potential and a strong strategy is required for saving landline.
Key issues identified for poor performance
• Present approach of service delivery – not customer centric
• No proactive effort to capture potential customers
• At the time of booking the feasibility status not informed to customer
• No clear demarcation between feasible and non feasible cases
• In case of non-feasible cases , process for refund of registration charges
cumbersome
• Lack of effective monitoring of provisioning process leading to delays
• Cables team not a part of provisioning process
• No cross check on the feasibility report given by Outdoor JTO
• No accountability/ responsibility assigned to Cables team to make the connection
feasible
• No record maintained of the non- feasible cases not booked/ cancelled due to non-
feasibility
• No monitoring of stage wise/ process wise time taken
• Targets for individual process/ activity not fixed and not monitored
• Sales in BSNL: The three primary reasons identified for decline of landline
customer base are poor customer service, un-economical landline tariff and
increased mobile penetration. Since the customer experience of a product or a
service is the sum of all encounters with the company, it is very important to
understand the customer expectations and his emotional requirements. The key
priorities for increasing fixed access business in BSNL will be better marketing
E4-E5 (CFA)- Project Udaan & Dosti Rev date: 24-03-2011
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and product management, efficient sales & distributions mechanisms, faster
service provisioning and grievance redressal and wider coverage. A sales
professional should have extensive knowledge of the product/services, maintain
high standards of conduct and be market focus /customer oriented. Consequently
proper sales reporting has become very important as it facilitates analysis of
information, identifies the areas of strength/ concern, improve performance by
taking timely corrective action, monitors the volume of sales and provides
planning input to other departments.
E4-E5 (CFA)- Project Udaan & Dosti Rev date: 24-03-2011
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Project Udaan
As part of Project Shikhar, A special strategy titled Udaan has been launched. The
main objective of this project is to rapidly expand broadband customer base while
reducing churn of wire line voice customers and increase usage from existing
customers. A pilot Project was started in three areas of Bangalore Telecom District
with a view to create new sales force, make customer service processes more friendly
and optimize service delivery/fast provisioning. In this Project special teams are
constituted to focus on customer segmentation, product & pricing, sales & alliances,
customer services and service delivery.
• Customer segmentation
• Product / pricing design & concept testing
• Customer service processes
• Service delivery & service assurance processes
• Sales force design
• Customer segmentation
Create discrete segments of customers based on their usage profile. For
each customer segment, understand the key requirements from fixed access
services and the issues being currently faced by them.
• Product / pricing design & concept testing
Create pricing / product innovations that will address specific
requirements of each of the customer segments identified. Elements of such plans
may include bundled offers, special pricing tariffs and enhanced product / service
features. These plans were concept-tested with potential customers to gauge
interest levels prior to launch.
• Customer service processes
Define key processes for various channels of customer service (e.g.
CSC’s, call centres, broadband helpdesk etc.). In addition, define the interfaces of
customer service with sales and service delivery / assurance to ensure monitoring
and delivery of customer requirements.
Customer service will play a key role in generating leads for landline &
broadband connections
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Customer service processes updated
to ensure efficient interactions with Sales & SD / SA teams
Activity Key changes in current process
Learn General / technical &
tariff enquiries
Deliver product / plan brief to customer &
route lead to sales for follow up
Get New connection request
Route customer leads from call centre, BB
helpdesk, SMS and online to sales
Fix/Change
Check status of complaint
/ connection request
Provide up-to-date status to customers on
queries / new connections / complaints
Connection not working
(Not part of Udaan)
Capture nature of complaint and route to
relevant SD / SA team
Change of plan Route to sales or SD / SA based on new or
legacy customer respectively
Pay
Stay Disconnection request
Understand reason for disconnection and
escalate to sales team
Change of location Route to relevant sales team lead
• Service delivery & service assurance processes
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Analyze the key operational issues currently faced in delivering fixed
access services. Create a dedicated team to identify and resolve issues, along with
the associated interfaces to sales and customer service.
Setting up of Service Deliver-Service Assurance Teams
Outdoor members 1or 2 members per Outdoor division
Indoor members 1 member per Indoor division
Support members NIB Node-in-charges, CITOMS / DotSoft
in-charge (if any)
Critical role and activity definitions within the SD / SA team
SD / SA team at divisions will… Outdoor team will ...
•
Follow up on all network support
(feasibility, activation) requests
generated by sales team
• Proactively track pending
requests and contact outdoor
team for faster service delivery
• Work with cable's team to enable
feasibility for requests where
customers are ready to wait
•
Regularly monitor the feasibility
check requests coming from sales
team through Wings.
• Report feasibility expeditiously
• Expedite work on outdoor
installation steps for OBs raised for
feasible requests above
• Work closely with sales team to
give the customer a delightful
experience.
Sales force design
Develop the structure of retail sales force for fixed access services. In addition,
design the associated sales processes, incentive structures and training requirement to
execute retail sales.
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For implementing above aspects, an overall team structure for Project Udaan is given
below:
Brief on approach towards Udaan cases
• Proactive ways introduced for capturing potential customers
E4-E5 (CFA)- Project Udaan & Dosti Rev date: 24-03-2011
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• Introduction of BSNL Sales teams
• Feasibility check done before collecting documents and registration fees.
• The feasibility status informed to the customer invariably.
• The record of non-feasible requests which could not materialize, maintained with
Cables team.
• Apart from the normal channels of monitoring, separate SDSA team members
help in monitoring and resolving the issues between Sales and Outdoor teams.
• Process wise time taken monitored to help narrow down and focus on the problem
areas
Udaan approach (I) - proactive ways of capturing potential customers
introduced
• Lead generation – Any customer enquiry about the various services offered by
BSNL entered as a lead for a potential customer
• Leads booked by all customer interfaces - CSC, Call Centers, Commercial
Sections, field offices
• Leads viewed by Sales team leader and allotted to respective sales associate to
contact the customer
• Lead status can be tracked by anybody by giving lead number
Udaan approach (II) – for LL requests, feasibility check done before booking
• On receiving confirmation from the customer about his requirement for a
Landline, the feasibility check is done before booking
• For feasibility check, the Sales team leader raises a ‘ticket’ and allots it to the
concerned JTO Outdoor .
• JTO Outdoor on receipt of a ticket, checks and reports the feasibility along with
the Pillar number to the Sales Team
• If the ticket has been wrongly allocated to his section , JTO has the option to
reallocate the section
• On getting the report,
• If the connection is feasible, the Sales associate approaches the customer, collects
the documents and books the connection.
• If not feasible, Sales associate informs the customer and tries to sell WLL
• Target for time taken to report feasibility is fixed ( On the same day and definitely
by the next day)
• Process is to be closely monitored and JTO wise analysis carried out.
E4-E5 (CFA)- Project Udaan & Dosti Rev date: 24-03-2011
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Udaan approach (III) - inclusion of cables team as a part of the process
• A ticket marked as non-feasible by JTO Outdoor is sent to Cables team
• Cables team can view the cases JTO wise
• If it can be made feasible, the cable team works on it and reports the feasibility
back to Sales team
• The record of non-feasible cases is maintained and becomes an input for cable
planning
Udaan Approach - IV
Prompt provisioning of feasible cases
• The OBs booked against feasible tickets are marked with special flag ‘Udaan’
• These OBs skip the ‘Section Allotment’ and ‘Feasibility Check’ stages and
move directly to ‘Number Allotment’ and ‘Outdoor installation’.
• Process wise time taken monitored to help narrow down and focus on the
problem areas
Strengthened Monitoring System
• Apart from the normal channels of monitoring, separate SDSA team members
help in monitoring and resolving the issues between Sales and Outdoor teams.
• Various reports made available to be able to effectively monitor the status and
progress.
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Pre Udaan Post Udaan
No detailed data base for leads received at
BB / Call Centre /SMS / website
Consolidated database for leads from all
channels
No structured process to capture leads and
contact potential subscribers at their door
step
Interfaces between customer service, sales
and network operations defined
No mechanism to follow-up and track
status of leads
Web based IT Tool allows capture and
tracking the status of leads
Status of feasibility unknown at the time of
booking a connection
Feasibility verified prior to OB generation
Monitoring system, Admn. report by Team
Leaders - not available.
End-to-end tracking of leads from
origination to provisioning of a connection
is now possible
All customers receive a physical copy of
bill by default
Provide the customer with option to opt for
e-bill (under evaluation
Wings software for Project Udaan:
ITPC Pune has developed and launched a lead management software in Jan 2010.
It enables creation, distribution and management of leads, which are then entered in to the
local commercial systems. All the stages of Lead before or after its entry in the
commercial system are monitored, by a system of SLA, through various report generation
and SMS generation till its completion. A system of User roles of Project Managers/Sales
team leaders/Sales associates/SDE )(Extl) has been created to facilitate the Lead during
its entire life cycle. The software has been launched in various SSAs of AP, Bihar, UP-E,
UP-W, Punjab, Maharashtra, Rajasthan, Orissa, Kerala, Tamilnadu and Gujarat.
Concluding Remarks on Project Udaan:
The success of Project Udaan lies on each one of us. We must realize that at
present BSNL is the market leader in Fixed Access with over 75% market share and
Fixed Access contributes to 46% of the operational costs. With ever increasing usage of
internet and massive Copper network of BSNL, only push selling approach is required.
Unless we expand our wired broadband market now we may face stiff challenge when
wireless broadband becomes fully operational with all its might.
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Project Dosti
Objectives:
The overall objective of Project Dosti is to reduce decline in BSNL’s PCO
business by reducing churn of existing PCO operators and innovating of PCO
business model to generate new revenue sources (both for BSNL and PCO owner).
The pilot Project was executed in Bangalore Telecom District. Specific objectives
were :
• Increase PCO connections through reduction in churn & sale of new connections
• Facilitate sale of ‘Broad-Band Enabled’ services model to existing and new
PCO’s
• Convert PCOs to sell full spectrum of BSNL products & services
Key activities
• In-depth analysis to identify key issues faced by PCO subscribers
• Market Research and group discussions with PCO owners
• Interviews conducted with dealers/DSA’s of various telecom providers
• Interviews conducted with in-house sales force of competitors and BSNL
staff
• Action plan developed to increase sales and reduce churn
• Improve management of DSA channel
• Improve customer service and pricing
• Plan developed to facilitate sale of ‘Broad-Band Enabled’ services model
• Central team to create tie ups with banks, vendors
• Marketing support team to help create awareness
Today’s PCO business
With a lot of operators now in PCO business, the competition is really cut
throat. The service providers are trying to lure away the prospective/existing PCO
owners to keep their brands. Commission, call cost, service quality and care of the
service provider are some of the factors which the PCO owner of today carefully
analyzes before taking a final decision. While most service providers want that the
PCO owners should become “one stop solution provider” of their products, the PCO
owners are always interested in more profits. With almost identical services and
Tariffs, incremental innovation has become the deciding factor. It may be
remembered that sometimes some unethical practices are also adopted by a few PCO
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owners which result in non realization of billed amounts. So this aspect has to be
particularly taken care by the service providers.
The PCOs in BSNL
BSNL is today offering following types of PCOs :-
• Conventional Landline PCOs (manned)
• CCB PCOs
• GSM PCOs
• WLL or CDMA PCOs
• FLPP PCOs
• IN PCOs
What needs to be done?
As is evident from above, BSNL is providing all types of PCOs. Despite this, its
market share is about 30%. The reason is that we never used to consider the PCO owners
our business partners. There was no mechanism of any official feedback from them. The
initial registration cost is a bottleneck and paper formalities so cumbersome that the
prospective customers almost run away. Further, the after sales service & marketing
initiatives about new schemes leave enough scope for improvement.
But, with a tele-density of over 40, the PCO business is almost getting saturated.
The thrust areas, which Project Dosti is focusing are:
• Frequent meetings with existing PCO owners to enhance their comfort level
• Conducting interviews with PCO owners of other providers to gauge their
expectations
• Reduction in the initial formalities
• Improvement of after sales/servicing facilities to these PCO owners
• Awareness creation about new schemes to these PCO owners through direct
contacts, pamphlets etc.
• Competitive product and pricing
• Enhance sale of broadband enabled products through strategic tie ups
• Better DSA channel management
• Push sale of all products through PCOs
• Continuous monitoring of performance of PCOs
• Launch of innovative ideas
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• Attractive commission structure
• Flexible bill payment but strict realization of outstanding amounts
• Prominent display of glow sign boards towards increased visibility of brand
• Loyalty schemes
• Faster provisioning
• Efficient complaint handling
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