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“The Strategic use of Information Systems in the Telecommunication Sector “

Topic:

“Strategic Use of Information Systems in the Telecommunication

Sector”A Case Study of Mauritius Telecom

By

BIS 3324 – STRATEGIC MANAGEMENT AND INFORMATION SYSTEMS 1


Tega Enai Etatuvie



Table of ContentsIntroduction 5

Overview of Research Topic 5

Background of Research Topic 5

Research Questions and Limitations……………..………………………………………………..7

Overview of Case Company - Mauritius Telecom 8

Company Profile 8

Mission, Core Values and Goals 8-9

Business Structure 9

Shareholding Structure 9-10

Services 10

Market share and Financial Data 11-13

The Organizational Structure 14

Mauritius Telecom Organizational Structure 15

The Strategic Managers at Mauritius Telecom 15

Their Roles in the organization 15-17

Strategic Decisions at Mauritius Telecom …..…..………………………………………………17

Strategic Level …………………………………………………………………..………………17

Tactical Level ………………………………..……………………….…………………………17

Operational Level……………..…………………………………………………………………17

The Business Environment of Mauritius Telecom 18

Strategic Analysis 18

Value Chain of Mauritius Telecom 18-19

Porter’s Five Forces Model 19-22

SWOT Analysis of Mauritius Telecom 22-23

Internal Environmental Analysis 24

Strengths and Weaknesses 24-26



External Environmental Analysis 26

Opportunities and Threats……. …………………………………………....………26-27

Information and Information systems in Mauritius Telecom 27

Role of information at Mauritius Telecom 27-28

Value of Information at Mauritius Telecom 28

Optimal structure of Information Delivery within Mauritius Telecom 28-30

Information Classification at Mauritius Telecom 30

Information Delivery at Mauritius Telecom 31

Tools for Information Delivery within and outside Mauritius Telecom 31-33

Strategic Use of Information Systems at Mauritius Telecom33-37

Competitors Analysis 37

About Emtel Ltd 37

Comparing Mauritius Telecom and Emtel Ltd 37

Competitive Advantage of Mauritius Telecom 37-38

Competitive Advantage of Emtel………………………….………………………………....38-39

Recommendations 39-40

Mauritius Telecom Business Strategy 40

Strategic Goals of Mauritius Telecom ……………………………………………………...…...40

Growth Strategy 40-41

Innovation Strategy 41-42

Enhanced Customer Experience ……………...………………………………...……42-43

Key Strategic Issue at Mauritius Telecom 43

Recommendations for Mauritius Telecom 43-44

Limitations and Conclusion 44

Limitations for this Research 45

Conclusion of this Research 45

References 46-47



Appendix 48

Email Conversations 48-49



Introduction

Overview of Research

With globalisation of markets, and the increased quantity and diversity of competition that occur as a

consequence, the traditional view of computer systems as a ‘back room’ supporting function is no longer

viable in companies wishing to survive and prosper. Rather, companies must look for ways of using

computerised systems to support the cooperate strategy and to gain competitive advantage over rivals.

(Fidler & Roberson, 1996)

In the past years, Information systems were presumed to be synonymous with corporate data processing

and used as some back-room operation in support of the organization’s day-to-day operations.

Nevertheless, due to the quantum leap of information provision, organizations have attempted to develop

information systems strategies which interrelates with their business strategies and collaboratively

supports their organizational missions. Modern organizations are increasingly seen as knowledge-based

enterprises in which proactive knowledge management is important for competitiveness (Holsapple et al,

2000). Information systems are systems that support or shape a business unit’s competitive strategy

(Callon, 1996 & Neumann, 1994).

Background of Research Topic

Every organization has goals and objectives they set to achieve. “Strategy is the direction and scope of an

organization over the long term, which achieves advantage in a changing environment through its

configuration of resources and competences with the aim of fulfilling stakeholder’s expectations”. (Gerry,

Kevan & Johnson 2010). An organization can attain success by adopting a strategic position which is

different from its competitive environment in order to sustain competitive advantage. More so, an

effectual strategy allows an organization to use its resources and capabilities to utilize opportunities and

minimize threat in the external environment. The process of implementing these strategies is strategic

management.

“Strategic Management is about analyzing the situation facing the firm and on the basis of this analysis

formulating a strategy and finally implementing that strategy” (Anthony 2011).



Strategic management exceeds the development of a strategic plan. It is the establishment and execution

of the strategic plan and assessment and evaluation of the results. It involves organizations taking long-

term decisions and careful analysis to understand and assure its long-term survival in the competitive

environment.

With the increased quality and diversity of competition, the traditional view of information systems as a

‘back room’ supporting function is no longer viable in companies wishing to survive and prosper. Rather,

companies must look for ways of using information systems to support the cooperate strategy and to gain

competitive advantage over rivals. (Christine & Simon 1996)

Information is key to a successful strategic management. Therefore, information will be meaningful

insofar as it provides useful raw material for taking a specific decision. The process of reflecting on and

understanding information is what allows the message to have different meanings for different people.

This process also implies that the data analyzed, summarized or processed to produce messages will only

become information if its recipient understands its meaning. For data to be transformed into information,

there must be an awareness of what the person receiving the message will use it for, his or her training,

position in the organization and familiarity with the language and calculations used in the message

(Rafael & Carlos 2012).

An important area of focus in every company is customer care. Every organization pays much attention to

this and ensures that the customer’s needs are met. A company's most significant success factor is the

ability to deliver better customer value than the competitors do. By analyzing (McDougall et al., 1997)

the components of customer value, a company can estimate a customer's true profitability. Customer

perception of expected benefits consists of product and service attributes. Fredericks and Salter's

"customer value package" (1995) additionally includes company image relative to the competition. Good

customer value consists of product value, service value, and value-based pricing (Naumann, 1994).

The purpose of this coursework is to demonstrate the use information systems in customer relation

management using Mauritius Telecoms as a case study. It will also show how the implementation of

strategic management helps to gain a more comprehensive and reflective view in Mauritius Telecoms.

Also, a section will explain the use of customer relationship tools such as Customer Relationship



Management (CRM) and Enterprise Resource Management (ERP). This will be analysed in-line with how

both tools are used for operations in Mauritius Telecoms.

Research Questions and Limitations

The main focus of this coursework is to find out the strategic use of Information and Information Systems

in an organization. The research questions are as following:

1. Recognize the role of a strategic manager in information delivery?

2. Recognize the role and value of information in the strategic environment?

3. Distinguish between the information requirements of the strategic managers and other levels and

functions of management

4. Determine the structure and content for information delivery to strategic managers?

The first question is to provide a clear understanding of roles of strategic managers and their strategic use

of information system, it elaborates on the support tools they use to carry out their strategic management

process and information flow within the managers. The second question will give a basic knowledge of

the importance and roles of information within the organization. The third question concentrates on the

different kinds of information required within the strategic managers and other managerial levels. The

forth question focuses on the structure and content of information delivered to the strategic managers.

Finally, the fifth question requires a justification of the research findings and recommendation of best

practices that will help develop the quality use of information system in the strategic environment.

Due to the abstractness of this topic, we decided to use Mauritius Telecom as the case study. In order to

achieve the research objectives, it is required to have a one on one interview with one of Mauritius

Telecom’s strategic manager. Our rationale for choosing Mauritius Telecom is their successful business

process strategy and their intensive use of information systems since it’s a telecommunication

organization.

The research focuses on the strategic use of information system of Mauritius Telecom though it cannot be

might not be applicable to different organizations. It only propounds a theoretical knowledge for any

organization who would want an effective implementation of strategic management.

Notwithstanding the limitations, this research is still a good case to study.



Overview of case company

Company Profile

Mauritius Telecom (MT) is the leading telecommunications operator and service provider in Mauritius.

Incorporated in 1988 as Mauritius Telecommunication Services (MTS), it acquired the assets of Overseas

Telecommunications Services (OTS) in 1992 and became Mauritius Telecom, following a merger

between the former OTS and MTS Ltd. It is the primary provider of voice, mobile, Internet and data

communication services in Mauritius.

In November 2000, Mauritius Telecom entered into a strategic partnership with Orange (formerly France

Telecom) with a view to strengthening and securing its market share, pending the total deregulation of the

telecommunication sector in Mauritius. By combining the technological and global strength of Orange,

and the local and regional experience of Mauritius Telecom, the two companies have been able to offer

innovative and useful technologies to new markets. Mauritius Telecom is now reaching out to more

people - in business, industry and at home – in the region and beyond.

Over the last years, Mauritius Telecom has developed into one of the leading enterprises in Mauritius

with a consistent sound financial achievement and has helped to propel Mauritius into the information age

through constant upgrading of its networks. The Company has since enjoyed a phenomenal rate of

development and it is now one of the top enterprises in the country, with revenue of Rs8 billion in 2012.

Mission

To be a Premier World Class Infocom Services Provider

Values

Innovation and creativity

Professionalism

Quality

Competitiveness

Customer Service



Goals

Provide access to the most modern telecommunications services possible at fair prices

Improve Mauritius’ position and competitive edge in global markets

Enhance the economic and social life of the nation

Business structure

The Group’s main activity is the provision of telecommunications and related services. Mauritius

Telecom provides fixed telecommunication services, products and related services. The main activities of

its subsidiaries, all wholly owned by Mauritius Telecom, are as follows:

• Cellplus Mobile Communications Ltd (Orange) provides mobile and ancillary telecommunication

products and services

• Telecom Plus Ltd offers internet and IT-enabled services

• Teleservices (Mauritius) Ltd is engaged in the publication of directories and media-planning services

• Call Services Ltd provides call-centre services which include directory enquiry and customer-

relationship management (CRM) services

• MT Properties Ltd offers property management and syndic services

• The Mauritius Telecom Foundation administers the Group’s corporate social responsibility (CSR)

activities and programmes

• MT International Ventures Ltd holds MT’s investments in other entities

• MT Services Ltd recruits employees for the Mauritius Telecom Group.

Shareholding Structure

The Government of Mauritius, the State Bank of Mauritius (through its wholly owned subsidiary SBM

NFC Investments Limited, formerly the SBM Investments Managers Ltd) and the National Pensions Fund

hold 59% of the shares in the company. 1% of Mauritius Telecom shares were sold to eligible employees

and pensioners in 2007 at a discounted rate under an employee share participation scheme. The remaining

40% are held by Orange, through its investment vehicle, RIMCOM.



40.00%

33.45%

19.00%

6.55%

1.00%

Mauritius Telecom Shareholders

Orange (formerly France Telecom)Government of MauritiusSBM Investments Managers LtdNational Pensions FundEmployees of Mauritius Telecom

Source: Mauritius Telecom, Annual Report 2012

Services

Mauritius Telecom provides a full spectrum of voice and data services using fixed, mobile and internet

platforms which includes:

Internet Services

Mobile Broadband

Orange Money services

Clouds solutions

HD videoconferencing service

ICT services

IP based services

Virtual private networks

TV Services

Application services

Since the rebranding of all mobile and internet services in April 2008 to Orange, there has been a

quantum leap in providing customers with innovative services and experiences. Telecommunication



services are becoming increasingly convergent and Mauritius Telecom makes every effort to respond to

new device and consumption trends in an increasingly competitive market.

Market Share

34%

54%

2%

Mauritius Telecommunication Market Share

Emtel Orange (MT)MTML

Source: Frost and Sullivan, 2009

Although the Mauritian mobile market is small in terms of population size, the market is one of the most

vibrant markets in sub Saharan Africa. In 2009, the mobile penetration rate stood at over 80 percent, one

of the highest penetration rates in the continent. There are 3 mobile operators namely Orange, Emtel and

MTML in Mauritius. Orange is the market leader, with almost 54% in 2009 while Emtel and MTML are

the challengers, with 44% and 2% respectively. The Mauritian mobile maturation is near-saturation,

which translates in the decline in voice revenues and subscriber growth. Therefore, mobile operators have

shifted focus on data services, to offset the decline in voice revenue levels.

Financial Highlights

Income Statement 201 201



2

(Mi

llio

n

Rs)

1

(Mi

llio

n

Rs)

Operating Revenue 8,00

1

7,76

6

Profit before tax 2,56

7

2,55

0

Profit after tax 1,78

0

1,85

6

Earnings per share

(Rs)

9.37 9.77

Balance Sheet

Total Assets 15,8

05

16,0

28

Total liabilities 6,99

5

6,76

1

Debt interest

Bearing

- 36

Shareholders’

funds

8,81

1

9,26

7

Net Assets Value

per share (Rs)

4

6.37

4

8.78



Source: Mauritius Telecom, Annual Report 2012

As illustrated in the table above, Mauritius Telecom has firmly established itself as one of the fastest-

growing and most innovative enterprises in the country with operating revenue of Rs8 billion and a profit

after tax of Rs1.7 billion for year 2012.

Operating revenue for the Group progressed by 3% during the year, exceeding for the first time the Rs8

billion mark. Group Profit from Operations was at Rs2.2 billion, decreased by 4.7% compared to previous

year. Profit before Tax increased by 0.7% over last year, to reach Rs2.6 billion.


Marketing Communication

Product Development & Customer

Management

Sales & Distribution

Strategic Executive Committee

Chief Executive Office Deputy CEO/Chief Operating officer

Executive Head Network and Operating Systems Chief Financial Officer Executive Head Commercial

Board of Directors

Chief Executive officer Directors

Planning and business Division

Information system Development Division

Project Execution & Support Division

Internet/ IP DevelopmentDivision

Data Center & Support Division

Operations & Maintenance Division

Office Automation Support Unit

Bill Processing Unit

Customer Care Unit

OS/RDBMS Systems Maintenance unit

Network Maintenance & Support Unit

Internet System Operation Unit

Information System Support Unit

IT Support Unit

Senior Managers

Development Department Operational Department

Finance & Admin Department Marketing Department

Administration Division

Revenue Assurance Unit

Revenue Reconciliation &

Support Unit

Budget & Procurement Unit

Store Unit

Finance & Revenue Assurance Unit


Mauritius Telecom Organizational Structure



From the diagram above, we can see that Mauritius Telecom being a large organization comprises of the

board of directors, a strategic executive committee which is made up of five members including the chief

executive officer. Each department has a senior officer that heads the coordination of their individual

operations. The CEO oversees all the groups’ performances via reports from the senior managers and in

turn reports to the board of directors.

The Strategic Managers at Mauritius Telecom

The role of a strategic manager is very crucial in strategy execution. The strategic manager decides and

implements strategies, they challenge and develop proposals on strategy, scrutinise the organization

performance and ensure their goals and objectives are been achieved. They also vote for the best

strategies to be adopted by the organization.

In Mauritius Telecom, a strategic team called the strategic executive committee is assigned to carry out

the strategy implementation. The strategic executive committee is a normative team dealing with

corporate and high-level strategies and ensuring their implementation. The executive committee consist of

five members who plays different roles in the management and decision making process. They Include:

The Chief Executive Officer

The Deputy Chief Executive and Chief Operating Officer

The Executive Head Networks and Information

The Chief Financial Officer

The Executive Head Commercial

Their Roles in the Organization

The Chief Executive officer is the principal figure in the strategic executive committee. He performs the

general management function such as environmental analysis, planning, strategic choices, organizing and

controlling. He also uses his conceptual and technical skills in the strategic management process. He is

responsible for giving direction and leadership towards achieving the organizations strategic goals,

missions and objectives. He reports directly to the board of directors.

The Deputy Chief Executive and Chief Operating Officer is responsible for the supervising all operational

activities in Mauritius Telecom. She scrutinizes the organizational goals and develops strategies on how

operations would help achieve them. She communicates with senior managers to learn about the state of



operations by analysing the operations strategy decisions using information available, and oversees the

implementation of the decisions previously made by the board of directors. She works hand in hand with

the senior managers by deciding the activities of the operational resources through continuous monitoring

and improvement of the overall performance of their operations. Furthermore, she gives reports to the

chief executive officer and the board of directors about the relevant aspects and progression of the

operations such as cost, quality and products.

The Executive Head Network and Information is responsible for strategic delivery of Information

Technology across Mauritius Telecom, this includes systems integration, automation, support and also the

deployment of new applications and services to meet the needs of Mauritius Telecom and its customers.

He makes strategic decisions to give Mauritius Telecom a competitive advantage through the strategic

application of information systems resources. He also carries out proactive scanning of the developing IT

service market and provides the board of directors with the understanding role of information technology

within the growing business environment. Most importantly, He’s responsible for the fixed and mobile

network development, he’s tasked with positioning Mauritius Telecom as the leading network and service

providers in Mauritius by maintaining excellent network performance.

The role of the Chief Financial Officer in Mauritius Telecom includes strategy development, working

capital performance, fund raising, cash management, financial planning and analysis, financial reporting,

HR, business processes and business administration. He’s responsible for developing strategies that

would improve Mauritius Telecom business initiatives such as improved enterprise cost reduction,

procurement, pricing execution and other process improvements and innovations that add value to the

organization. He is also in charge of protecting the vital assets of Mauritius Telecom, ensuring

compliance with financial regulations, drafting and auditing the financial reports and communicating

value and risk issues to the board of directors.

The Executive Head Commercial is responsible for articulating strategies for commercial and operational

improvements across Mauritius Telecom which includes strategy development and execution, sales

management, product development, distribution channel management, public relations, marketing

communications (including advertising and promotions), pricing, market research. Essentially, the chief

commercial officer oversees the customer services, complaints and product liability issues. He’s

responsible with the aspect of customer interaction, customer experience and customer insights.



Strategic Decisions at Mauritius Telecoms

Strategic Level

A strategic plan or a decision would be concerned with the “what and the why” looking at the big picture.

It requires the ability to recognize patterns and trends, establish priorities, anticipate issues, and predict

outcomes. To some extent strategic plans involve the vision, the mission, the guiding principles and the

goals for the business; whereas, a tactical plan or decision would be concerned with on how to achieve the

strategic goals (Project Deliverable, 2010).

Operational Level

This level is as important as other levels in decision making. In the Operational level, it serves to regulate

the day-to-day output relative to schedules, specifications, and costs. The management of Mauritius

telecoms access this level with various questions in mind: is the output of product or service the proper

quality and is it available as scheduled? Are inventories of raw materials, goods-in-process, and finished

products being purchased and produced in the desired quantities? Are the costs associated with the

transformation process in line with cost estimates? Is the information needed in the transformation

process available in the right form and at the right time? Is the energy resource being utilized efficiently?

Tactical Level

On this level, the plan or decision would be concerned with how to achieve the strategic goals.

Furthermore, Strategy involves the future vision of the business and tactics involve the actual steps

needed to achieve that vision. For example, in Mauritius Telecoms their marketing strategy is always

directed at the customers. Thereby, developing their customer relationship management and improve the

information delivery and feedback tools.

The Business Environment of Mauritius Telecoms

Strategic Analysis



Strategic analysis is the process of scanning and evaluating an organizations external and internal

environment. Through this, Organisations can determine the opportunities and threats facing their

organization. In order to carry out these analysis, organizations requires analytic tools or models that will

allow them discern changes in the competitive environment and evaluate their impact. The value chain

analysis, porter’s Five Forces and SWOT Analysis would be used to analyse the competitive environment

of Mauritius Telecom.

Value Chain of Mauritius Telecom

The value chain describes the full range of activities which are required to bring a product or service from

conception, through the different phases of production (involving a combination of physical

transformation and the input of various producer services), delivery to final consumers, and final disposal

after use.

In Mauritius Telecoms, the value chain is a sensitive area of their operations and service delivery. The

accelerated rate of change in the telecommunications industry is a vital area of focus. The stakeholders

put this in mind and make sure the activities are put to place to ensure smooth running of their business.

These days where monopoly does not work in the Telecommunication industry, the demand and supply

increases and every organization has to survive. It is the same for Mauritius Telecoms having two

companies as rivals here in Mauritius.

Below is a diagram showing four links in a simple value chain

Source: A handbook for Value chain Research, 2000


Intensity of Competitive Rivalry High

Threat of New Entrants

Bargaining Powers of Suppliers

LowThreat of Substitute Products

Low

Medium

Bargaining Powers of Buyers Medium


Mauritius Telecoms key challenges can be summarized as follows:

The need to dramatically reduce the cost of bringing services to customers: Investments in next

generation networks (NGNs) are critical to reducing the large number of dedicated and aging networks

that today deliver against businesses’ various communications needs. In short, a new core is needed along

with a new access layer that brings fixed and wireless options to the table.

Automation is highly important: Cannot afford to individually customize services for their enormous

user base. Therefore, automation of service platforms, acceleration of product life cycles and portal access

to service activation, monitoring and billing are critical.

The supply side must be rationalized: The need to reduce the number of suppliers used to build their

service offerings. This includes the network and the business and operation support systems needed to

turn the network into a service platform.

Porter’s Five Forces Model

The five forces framework is a tool for analysis to assess the attractiveness of an industry based on the

strengths of five competitive forces (Anthony, 2011). It enables organizations determine the industry

profitability by examining the industry’s underlying structure in terms of the five forces. An organization

is able to assess its ability to effective competition by examining all five competitive forces. The five

forces are:

Intensity of Competitive Rivalry

Threat of New Entrants

Threat of Substitute Products

Bargaining Powers of Suppliers

Bargaining Powers of Buyers

Mauritius Telecom Porter’s Five Forces Model



The Intensity of Competitive Rivalry: High

The telecommunications policies in Mauritius are based on the premise that competition will be prevalent.

Thereby leaving the sector effectively competitive. Mauritius Telecom Ltd. is designated as the joint

dominant operator in this sector. Currently, Mauritius Telecom as an access provider has already

elaborated different development plans for their networks to ensure that they can continue offering the

latest services on a competitive basis. Mauritius Telecom, has implemented its Next-Generation Network

(NGN) upgrade in its core network, coupled with the deployment of the fiber-optics cable for

implementing a consistent network in several part of the island.

Threat of New Entrants: Low

The capital intensive nature of the telecommunication industry makes it the biggest barrier to entry. As a

result of these capital disbursements and involved risk, few contenders in this sector exist resulting to low

threat of new entrants. Similarly, the high costs of setting up network infrastructures, and built-up

maintenance makes it difficult for new entrants to cope, these infrastructures, even if rented, require

money and specific competences which cannot be taken for granted. However, Mauritius Telecom can

cope with this by maintaining high-level efficiency of its services to unrivaled heights.

Furthermore, firms need to get regulatory approval/licenses from the Mauritius Telecommunication

Authority, which is both costly, and a tedious affair. Companies wishing to enter the market must pay

huge licensing fees coupled by spectrum availability and regulatory issues attached to the industry.

Threat of Substitutes: Low



Even with the emerging technologies, such as Skye, Push-to-Talk two way radio, the threat of substitute

products is considered low. Reason because there are several limitations that hinders these substitutes

from the market penetration. Some of these limitations includes: price of data and broadband services,

network coverage and mobility.

Bargaining Power Suppliers: Medium

In the telecommunication industry, the suppliers predominantly comprises of mobile phone manufactures

and supported industries for technologies. Considerably, there are innumerable manufacturers of these

supported technologies with prestigious names and good quality equipment which makes the bargaining

power low. Also with the rapid development of telecommunication technologies, the suppliers as well

face competition within their industry which gives an advantage to the telecom operators to have good

bargaining power. In addition, most of these mobile phone manufacturers are in partnership with telecom

operators for the marketing and sales of their product. Hence the suppliers do not have stronger

bargaining power. As such, Mauritius Telecom can easily maintain low prices from its suppliers and

continue making profits.

Bargaining Power Buyers: Medium

Enterprises are always seeking to maximize returns on investment while the buyers want to use the lowest

price to purchase products or services (Porter, 1985).

With the increased demand of telecom products and services, the competition between the telecom

operators become intense. This fierce competition leads to customers seeking low prices from telecom

operators offering cheap and reliable products and services. Hence, the bargaining power of buyers will

continue to grow which necessarily requires Mauritius Telecom to constantly modify their price strategy.

SWOT Analysis of Mauritius Telecom

SWOT analysis, which stands for Strengths, Weaknesses, Opportunities and Threats analysis, is a system

or process of considering the internal and external factors affecting the performance of an organization in

relation to competitor or market situation.



The SWOT analysis below matches Mauritius Telecom’s strength and weakness to the opportunities and

strength it faces in its external environment.

STRENTHS WEAKNESSES

The topmost profitable company in

Mauritius

Has the largest customer base (Mobile

service & Internet)

Works with state-of-the-art services and

has improved over the years

International Direct Dialing (IDD) to 226

countries

Hi-Tech Customer relationship

management tools (ERP, Cloud Power,

and Flexible Contact Center for the

supervisor)

It is an international brand due to its

various partnerships over the years

Installed first Telephone line in Mauritius

Highly contributed to the GDP growth

Promoted the development of the country

through support to industry and

commerce

through enhancing the quality of

life

Unstable pricing

Could not stick to their Monopoly

The facilities and tools to serve their

numerous customers have to be in-place and

readily available due to their numerous

subscribers.

Internet breakdown is still prevalent

Their social and customer promotions are not

dominant enough in the industry



OPPORTUNITIES THREATS

Growing economy

Growing demand

New acquisitions

Global markets

Establishment of more private telecom

companies

Emtel Ltd (they helped them set-up some

services at the initial stages)

RECOMMENDATIONS FOR MAURITIUS TELECOMS

No relenting in information delivery

Improve their data service or internet service

Due to their large customer base in order to avoid congestion

Deliver more promotions to customers

Do more promotional adverts on their website and also place applications for downloads

Internal Environmental Analysis

Strengths

Mauritius Telecom is the top ranked company in terms of growth and profitability, which was proven on

their 2011 annual report that accounted a progression in growth of the groups operating revenue by 3%

exceeding for the first time the Rs8 billion mark which was driven by a steady contribution from sales

and services.

Mauritius Telecom has the largest customer base (Mobile service & Internet) with over 1.2 million

subscribers to its network. This notable customer base has enabled MT to strengthen its position as

market leader and preferred end-to-end solutions provider.

Mauritius Telecom works with state-of-the-art services and has improved over the years. In 2012 they

deployed a new wireless application protocol (WAP) gateway, which enables faster browsing of web

pages and downloading of contents. Also, they use an automatic roaming tester, whichfacilitates prompt

testing and solving of roaming issues amongst several technological advanced services they utilize.



In 1987, Mauritius Telecom first introduced the International Direct Dialling (IDD). This service enables

subscribers place international telephone calls rather than the operators. Mauritius Telecom offers a

flexible and high quality IDD service throughout the island and currently connected to 226 countries.

Customer service is one of the key element that distinguishes competitors. Though Mauritius Telecom has

its edge and flaws, subscribers are assertive that they are constantly developing their technology and

services to meet their satisfaction. However, Mauritius Telecom uses Hi-Tech Customer relationship

management tools such as ERP, Cloud Power, and Flexible Contact Centre for the supervisors.

All sectors of the market are now open to competition, and Mauritius Telecom has been partially

privatized in 2000. The aim of attracting an equity investor to help expand and modernize the Mauritian

telecommunications infrastructure. France Télécom acquired a 40% stake in MT for USD261 million.

France Telecom holds its shares through its investment vehicle RIMCOM. The Government of Mauritius,

the State Bank of Mauritius (through its wholly-owned subsidiary SBM Investments Managers Ltd) and

the National Pensions Fund hold 59% of shares in Mauritius Telecom (“MT”). 1% of MT shares were

sold to eligible employees and pensioners in 2007 at a discounted rate under an Employee Share

Participation Scheme. Mauritius Telecom is active in the mobile, fixed and Internet markets through its

subsidiaries, CellPlus Mobile Communications Ltd and Telecom Plus Ltd. Since April 2008, Orange is

the only brand used in the mobile and Internet markets. This partnership and subsidiaries makes the

company stand strong and market the brand and also helps its survival in the telecommunication industry.

In 1883, the first telephone line was installed in Mauritius by Mauritius Telecom. Consequently, it has a

distinct advantage of the first mobile telephony operator and has since maintained its position by its later

contributions. It has also progressively enhanced with the latest technology to meet world class standards.

The ICT sector has effectively become the third pillar of the Mauritian economy, with a GDP contribution

of 6.7%, a turnover of USD1 billion and directly employing some 15,000 people with flow-on benefits for

many more. The ICT Development Index (IDI) for Mauritius has improved from 3.43 in 2008 to 4.00 in

2010, and is estimated by the Statistics Mauritius at 4.37 for the year 2011, as a direct effect resulting

from improvements of ICT infrastructure and access.



In respect to its corporate social responsibilities, Mauritius Telecom has helped improve the quality of life

of the community through the promotion of educational, social, sports, artistic and cultural activities. In

2009, it launched the Mauritius Telecom Foundation (MTF) and by 2010 the MTF allocated a total of

Rs54 million to a wide range of projects. These projects focuses on the eradication of absolute poverty,

social integration, education and training, sports and health.

Weaknesses

Pricing: This is sensitive area in services to customers and can go a long way to helping Mauritius

telecoms have an edge over other telecom operators. Customers like satisfaction and affordable services.

Therefore, if prices for services change from time-to-time customers may shift between network

providers for cheaper services. International calls should also be reviewed and made cheaper due to the

continuous increase in the number of foreigners to the country.

In-ability to Monopolize: Mauritius telecoms could have been the sole supplier of mobile and Internet

service due to the government being a major stakeholder, but other telecommunication companies have

taken the chances of this happening. A notable example is the arrival of Emtel ltd. another telecom and

Internet provider. The only recommendation is to develop strategies to ensure good and improved

services to customers as this will help them secure their space as a reliable telecom provider.

Prompt Response to queries: The problem of timely solution is still an issue to handle due to the

number of customers and skilled employees. Therefore, the facilities and tools to serve their numerous

customers have to be in-place and readily available due to their numerous subscribers. To ensure smooth

response to queries, the appropriate solution should always be provided to customer needs and if not

skilled individuals should be employed to handle exceptional cases.

Internet breakdown: This is a major problem or a general issue most times. Despite this, customers

want good and efficient service at every point in time. Some factors might be responsible for outbreaks

most times but a backup strategy could be put in place to ensure a no failure supply of network. In

exceptional cases, there should be mediums or channels to enlighten customers on such issues so that

customers do not flare up in anger, Reasons and solutions must be provided without too much delay.

Low promotional strategy: Their social and customer promotions are not dominant enough in the

industry. They should offer mobile user’s freebies from time to time e.g. introduce events that could make



users win prizes. All these are to entice more customers to the use of their services. It is also

recommended offering bonuses on every recharge from time-to-time or during occasions to improve

customer relationship. More promo offers will bring more income as people tend to recharge more to get

such promotions.

External Environmental Analysis

Opportunities

In recent times Mauritius has been ranked in high places and especially in its fast growing economy. In

the light of this, we flashback to when Africa’s first cellular system was launched in Mauritius in 1989,

and also its first commercial 3G mobile service launched in 2004, one of the world’s first nationwide

WiMAX wireless broadband networks in 2005, and one of Africa’s first IPTV services in 2006.Currently,

several of the major access providers (including Mauritius Telecom Ltd. and Emtel Ltd.) have already

elaborated development plans for their networks to ensure that they can continue offering the latest

services on a competitive basis. Mauritius Telecom, for example has implemented its Next-Generation

Network (NGN) upgrade in its core network. Emtel, on the other hand, has deployed a fibre optic cable

network in several parts of the island. Therefore, Mauritius Telecoms have a great opportunity to deliver

the latest and up-to-date services to customers due to their global presence. If these plans are

implemented, the telecommunication sector could be a great source of revenue for the Country.

Threats

The issue of threats to businesses cannot be overlooked. Mauritius Telecoms have a major competitor

which is Emtel Ltd which started operations first in Mauritius and has even helped Mauritius Telecoms

set up parts of their facilities during their initial stages. Emtel has achieved notable status in Mauritius and

just like Mauritius telecoms they have subsidiary companies. Their rapid growth and state of the art

facilities have kept their rivals on their toes. Notable areas are their focus on bringing customers close to

them through promotions, introduction of mobile applications (Mobile TV) and their presence in other

close Islands like Agalega and Rodrigues which are controlled by Mauritius. If they keep the pace despite

being a private company they could have more partnerships.

Information and Information Systems in Mauritius Telecom



Role of information in Mauritius Telecom

Information plays a significant role in every organization. They are crucial in making swift and effective

decisions. Also, they help managers to better understand their business process and its environment

thereby increasing the organizations competitive advantage. Information needed in an organization may

be either be for the operational effectiveness, management effectiveness or the business advantage, these

information may include: Customer Data, feedback information from customers, information on global

market, Changing/future technological trends, economic trends, information on competitors, suppliers etc.

At Mauritius Telecom, the Data and information gathered plays a vital role in:

Reengineering the business process

Environmental Scanning

Promoting innovative ideas

Promoting the growth of the group

Improving the quality and efficiency of the group

Improving the business scope

Improving customer’s relationship management

Improving the integration of the group’s internal process. Etc.

In order to get availability of nearly instant information, Mauritius Telecom utilizes various information

system tools for respective purposes within the different levels of management and the organization as a

whole.

Value of information at Mauritius Telecom

The value of information defines how much it’s worth to an organization. These information have some

unique properties which properties which measures its values. (Glazer, 1993).

Accurate, timely, and relevant information saves an organization both time and money through increased

efficiency, improved productivity, and rapid deployment of innovations. For example, access to research

results allows these organizations to benefit from the experiences of others and avoids costly duplication

of effort. While the benefits are substantial, they are difficult to quantify and the value of information

goes unrecognized. The value of information is determined by its importance to the decision maker or to

the outcome of the decision being made. Just like every organization, Mauritius telecoms deals with



information on a daily basis and value its use. They work with information within the organization and

provide mediums or channels for subscribers to access information. Furthermore, the approach to which

information is collected, handled and utilized shows how any company value information.

Optimal Structure of Information Delivery within Mauritius Telecom

Business Intelligence (BI) will be used as a methodology to describe the optimal structure of Mauritius

Telecoms. Business Intelligence is the provision of accurate, valuable, timely and actionable business

insights. It is also a continuous improvement cycle where information is used to feed action,

consequences are analysed and new informed actions are taken. Mauritius Telecoms highly implements

the use of this method in its information delivery process within the management and organization. The

information flows from the top management to the least department. It is important to state that different

information is passed across various department as there are levels to which certain information should be

delivered.

To achieve high quality BI in terms of how the business can make use of it, BI has to be delivered in a

way that responds to the user base and context. The BI products that deliver the insight need to be broadly

aligned to the point in the business hierarchy where the insights will be applied and how that point is

involved in realizing the overall business strategy. Below is a diagram showing the Business intelligence

(BI) Triangle for the optimal structure of information delivery.


http://reidhodges.com/?p=504







Source: reidhodges.com

The BI Triangle above defines a three tiered hierarchy describing the nature and type of BI that is

delivered to the different management levels of the organization.

The business strategy defines the overall direction of the business, its aims and how the achievement of

those aims will be verified by measurement. In a properly aligned organization, the aims of the strategy

cascade down through each tier of management, becoming more granular and more operational at each

step. Because of this, the grain of detail communicated by BI products increases in line with the smaller

scope and time frames at increasingly operational levels. Operationalizing BI by incorporating it into the

day by day activities of the organization and upward through the organizational structure ensures

contributions from all levels move the business closer to its strategic goals.



As the outputs of lower levels in the hierarchy accumulate to realize higher level outputs and outcomes,

appropriate metrics and BI delivery mechanisms are required to provide business insights actionable at

each level of the organization. Performance metrics aggregate to the key KPI’s that steer the organization

at executive level, allowing progress against business strategy to be assessed.

Different systems may support each strata in the hierarchy. To ensure they fit together to support BI is

the job of BI Architecture. To ensure BI continues to support the business strategy is the role of the BI

strategy.

Information Classification in Mauritius Telecoms

Strategic Information: This is used mostly by top managers in strategic decision-making and impacts

the firm’s long-term behavior. In Mauritius telecoms, strategic information system, helps the managers

identify trends in the business and then develop new methods of operation that may increase productivity,

eliminate problems, improve customer service and relations and raise profits. Strategic systems look at

what changes in the business are possible.

Tactical Information: Here, tactical planning and decision-making takes place within the guidelines set

by the strategic plan. Tactical information will be mostly internal with a few external sources being used.

Internal information is likely to be function related: for example, how much ‘down time’ a production line

must allocate for planned maintenance. Tactical information is used by middle management (employees)

when managing or planning projects.

Operational Information: The objective of operational information is to track fundamental activities, as

well as basic transactions that happen over the course of operations. This tracking allows managers to

answer routine questions such as where inventory is or how many hours employees worked. It is also the

lowest level and it takes place based on the tactical plans.

Information Delivery at Mauritius Telecoms



In every organisation, information is delivered at various levels. While all strategic managers need

information, they do not all need the same type of information. The kind of information required will

depend on a range of factors: their level in the hierarchy, the work they are carrying out, confidentiality,

urgency, etc. Indeed, the usefulness of information is a debatable point, and what for one person is

information, for another is data. In an organisation, for example, when information is transferred from one

organisational level to another its meaning may change significantly, such that at one hierarchical level it

is regarded as significant information, whereas at another level it is simply data (Menguzzato & Renau,

1991). Mauritius Telecoms makes use of effective tools to deliver information within and outside the

organization.

Tools for Information Delivery within and outside Mauritius Telecom

Nowadays, computer systems are generally connected by telecommunications networks. Various network

connections are available to suit the needs of different companies. In MT, PCS are connected by local

area networks (LAN), enabling their employees to communicate and share data, tasks and equipment.

Wide area networks (WAN) are used to connect computers at greater distances, either within the

company or in a different location. Internet, the ‘network of networks’, links up an immense variety of

networks from diverse fields worldwide. These connections enable employees to access the company’s

databases and other computerised resources. They also use intranet which is an access-restricted network

either hardware or software used internally to share information within the organization alongside emails,

and various Microsoft tools.

In Mauritius Telecoms various tools are used to reach their numerous mobile and internet subscribers

worldwide. Below are examples of some tools and applications designed and implemented to aid

information delivery.

Flexible Contact Center: This is completely on demand and it enables you to create and move your

customer care whenever, wherever you want. And you can manage all communications channels in one

interface. Here’s how.

A company shifts its entire help desk to a new region in the hours after an earthquake takes out power at a

primary site; a contact center is created overnight to manage a new product promotion; or while her baby

sleeps, a young mother in Delhi works from her living room, emailing responses to customer queries.


http://en.wikipedia.org/wiki/Computer_network


These scenarios are all possible today with Flexible Contact Center, the new offering from

Orange Business Services. It provides global organizations with unprecedented agility to deliver customer

care anywhere, any time and using any format.

Instead of the call routing, Interactive Voice Response (IVR) and messaging servers sitting on customer

premises or duplicated in local data centers, all email, voice and chat capabilities are moved into the

cloud. To deliver state-of-the-art, multimedia customer care, all you need is an agent, a PC with network

access and a phone.

Cloud Power: Cloud computing is already transforming software delivery, the desktop and data centers,

and its power now extends to customer care. Located in the cloud, Flexible Contact Center eliminates the

need for dedicated equipment on site.

Companies can scale their contact centers rapidly and give agents access to the latest customer service

tools, without any investment in capital or people to manage their infrastructures. Agents can be located

anywhere – even at home – and managed centrally. The Orange global network provides all the agent and

supervisor tools from the cloud and can collect and route calls from customers to agents, regardless of

where each is located.

Orange can also provide cloud-based customer self-service tools, such as IVR, and the system integrates

with existing customer CRM tools.

Flexible Contact Center includes widgets, which are small custom-built applications that can be

integrated directly into an agent’s contact center desktop. For example, a widget might be needed to give

callers driving directions, for pricing, or perhaps for a troubleshooting script. As a cloud service, these

widgets are created centrally and then can be instantly deployed to agents. The agent can customize the

interface himself, or add and delete widgets as approved by his supervisor.

The Flexible Contact Center is the ideal tool for the supervisor: “They can look at their agents’ real-time

status, examining their statistics individually and as a group,” explains Dan daCosta, Customer Solutions

Marketing at Orange Business Services. “The service can provide all of the contact center metrics that

supervisors want.”



This information can then be used for longer-term trend analysis, providing supervisors with, say,

information about peak call times over the month. Where supervisors used to need to be in the same

building with their agents to keep a handle on this, it is no longer the case.

Because Flexible Contact Center provides everything except the agents, using a pay-as-you-grow model,

it makes companies extremely agile.

To offer a good service in these new markets, you need customer service operations to be agile. This

could involve supporting a new language or locating part of your contact center in a different country as

your needs change.

In a multimedia world, it’s not just about flexibility in voice: Flexible Contact Center also gives agents

new tools to manage customer care. These include chat, email and social media, and agents can customize

their desktops based on their preferences.

Different channels appeal to different customer needs. For example, an older customer might like a voice

conversation. Perhaps the agent handling that call will be based in that customer’s time zone. A younger

customer may be browsing a company’s website and want a chat session about returning goods. This

could be handled by someone anywhere in the world. A benefit of this flexibility is increased agent job

satisfaction. Operators get bored if their jobs are too repetitive. Enabling them to manage customer calls

one day and social media the next helps keep them enthusiastic and increases staff retention rates and

productivity. This is a win-win-win for the agent, the supervisor and the customer (Orange Business,

2012).

Strategic use of Information System in Mauritius Telecom

Managing the flow of information among strategic managers has been considered to be an important issue

in today’s competitive business environment. It helps to formulate the design architecture, both at the

product and organizational level. (Shamsuzzoha, 2011). Hence, information and communication within

strategic managers plays a vital role in strategic implementation. In other for strategic managers to

perform their various roles effectively, they have to carry out research, analyse and make use of relevant,

consistent, accurate, timely and affordable information systems.



There are different information systems that can be used to carry out these operations, however the

different types of information system are used to deal with specific problems and task. These information

systems are classified based on the way in which task and responsibilities are divided within the different

levels of the organization and also based on the type of decisions the strategic managers want to make and

also the different types information and knowledge that the strategic managers want.

The diagrams below shows the type of information system used based on the type of decision taken at

different levels of the organization and the different type of information and knowledge the strategic

managers want to process.



The transaction processing systems are operational level systems that are used to track and process

individual operations. It provides crucial data required to support the management of operations. The

chief Operational officer in Mauritius Telecom mostly use this kind of system to obtain required data

needed by tasks, monitor progress of ongoing operations, adjust task priorities, resolve problems, track

operational activities and basic transactions. He also uses it to validate, sort, update and create detailed

reports. These systems are efficiency oriented and provide information for other systems. In Mauritius

Telecom, the TXseries is used to carry out these activities, it is a system that provides operational

processes through facilitating absolute processing of his work, with the security of access, reliability of

data update.

Management information systems otherwise known as Management Support Systems (MSS) is a

“Computer-Based Information System (CBIS) that supports management via support of decision making

and/or information handling activities.” (Fidler & Rogerson, 1996). The MSS is used for planning,

organizing, monitoring, controlling, information preparation and communication. It provides a

mechanism for the analysis and manipulation of information interactivity to provide the strategic

managers a significant intuition into decision situation and associated options. It serves as medium for

communication between strategic managers via exchange of information. It also supports principal

decision making activities.

Mauritius Telecom uses a custom built management system to supports the following:



Interactive data analysis concerning the company’s state in the market environment

Forecasting and analyzing the organizations data

Reports information on some business related aspects such as production, sale, and operations

Reports competitor’s statistics

Stimulates expected outcomes and effects of decisions

Sales forecast reports

Comparison reports

Group negotiation support etc.

The Executive information system (EIS) is system that supports unstructured decisions. It is used mainly

by strategic managers for predicting the future of the market environment. This system supports the

strategic managers to access real time information, analyze the environment in which it operates, identify

long term trends and plan appropriate course of action. It supports data and information from both

external data sources and internal sources such as the management support system. It also helps in

forecasting, simulations and reporting. Mauritius Telecom uses a custom built EIS module which was

customized to the preferences of the strategic managers.

The Decision Support System (DSS) is a knowledge based system which enables the creation of

knowledge. They are used to analyze existing structured information and allows strategic managers to

project possible consequence of their decisions into the future of the organization. They are interactive

and used to solve ill-structured problems. They offer access to database, analytical tools, allows ‘what-if’

and ‘what’s-best’ simulations and supports the exchange of information within other systems. It’s built

upon information from the management support system.

Office Support Systems are formal and informal electronic systems that supports communication of

information both within the strategic managers and external sources.

They include the following:

Word processing

Desktop publishing

Imaging & Web publishing

Electronic calendars e.g. manager's appointment calendars



Email

Audio & video conferencing e.g. Skype etc.

Competitors Analysis

About of Emtel Ltd

Emtel Ltd. was founded on 29th May 1989. It became the first mobile telephony operation company in

the whole Southern Hemisphere. This major step in Mauritian telecommunications history was the fruit of

the collaboration of two pioneering groups – The CurrimjeeJeewanjee Group, one of the foremost groups

in Mauritius, and Millicom International Cellular (MIC) S.A., based in Luxembourg.

During these 20 years, Emtel has managed to sustain this innovation drive and still today, the Emtel brand

itself is the synonym of technology, innovation and high quality.

Comparing Mauritius Telecom and Emtel

They both offer mobile and internet services

They use different tools for operations within and outside their organisation

They make use of recent technological structures and equipment but some are more upgraded

They both have subsidiary companies

They are the telecom giants in Mauritius

Emtel is a private company while Mauritius Telecoms has several shareholders (Orange S.A

having the largest share and the Government of Mauritius the 2nd largest share).

Competitive Advantage of Mauritius Telecom

Mauritius Telecom remains and sustains its leader position with a market share of 54% and a customer

base over 1.2 million subscribers of its fixed-line, mobile, internet dial-up, broadband and My.T

convergent services. This significant customer base has enabled Mauritius Telecom to strengthen its

position as market leader and preferred end-to-end solutions provider.

For mobile operators, the capacity of network is an essential basis of core competitiveness. The network

of Mauritius Telecom has a wider coverage than its competitor throughout the island. And with its high

quality matured network, it has set the pace in the region in the transition from narrowband to broadband

and Internet Protocol IP services. Additionally, Mauritius Telecom Network provides international



bandwidth services deployed on bandwidths via the submarine fiber optic cable and are still installing

theses cable on other parts on the island. Also they support a wireless application protocol (WAP)

gateway which enables faster browsing of web pages and downloading of contents.

Mauritius Telecom has the largest share of high-end postpaid and business users. These is an advantage

over their competitor because most high end customers focus on the quality and services instead of the

price there by bringing huge revenue for Mauritius Telecom.

Mauritius Telecom has implemented the most current Dense Wavelength Division Multiplexing

(DWDM) technology that improves both Data and Voice Centric technology. These technology reduces

congestion, it ensures free network traffic.

Mauritius Telecom has roaming agreements with over 347 operators around the globe, while Emtel has

just few in Africa. Mauritius Telecom’s roaming service to partners includes the whole range of services

from Global Roaming Quality Voice to GPRS/Edge, 3G and 4G Data and CAMEL. Emtel is still lacking

in the roaming facility.

Mauritius Telecom has a better marketing and advertising proficiency. Through advertising, Mauritius

Telecom have a potential opportunity to reduce the price of content and services to end-users and increase

the volume of available content and services.

Competitive Advantage of Emtel

Emtel offers lesser call tariffs to its customers. The cost of a subscriber calls' Emtel to Emtel is Rs 0.96

per minute, to another mobile operator to Rs 3.60 per minute to a fix line at Rs 3.45 per minute. While the

cost of calls' from Orange to Orange is Rs 1.20 per minute, Orange mobile operator to another Rs 3.60 per

minute and Orange, fix line Rs 3.48 a minute.

Emtel has upgraded to LTE (Long Term Evolution). LTE decreases the traffic communications while

sending data. It offers faster data rate transfer which enables higher download and uploads rate. It also

reduces the problem of lagging in interest connection.



Emtel has a very high customer relationship management with customers, because of their fewer

customer base, they can give quick response to customers complains and requirements. They also have

many customer service centers managing its customers across the nation.

Emtel carries out more promotional activities to attract customers (liaising with other organizations to get

some discount if a user is on the Emtel platform). And is also quick to initiate new innovations that

Mauritius Telecom come up with.

Emtel offers KPI for Telecom (Key Performance Indicator) on sales by product, region, distributor,

partner, or sales representative using personalised business intelligence dashboards and intuitive business

intelligence reports.

Recommendations

Overall, IT organizations must meet several competing demands: Work with business partners to deliver

competitive advantage; do so quickly in order to respond to (and anticipate) market demands; and provide

efficient, consistent quality while protecting the company’s intellectual property, data and customers. In

essence, there are business and market drivers that value speed, business knowledge and closeness at a

reasonable cost and risk drivers that value efficiency, quality, security and consistency. Therefore, a

design of an IT organization and systems approach that meets both sets of drivers and accommodates

business organizational change has to be created.

As opposed to organizing around one set of drivers or the other, the best solution is to organize IT as

a hybrid organization to deliver both sets of capabilities. A company like Mauritius Telecoms, need to

operate some of its department as hybrid in order to achieve stability and consistency in service delivery

to customers. This will help them face their rival companies.

For services becoming a commodity, or where there’s a critical advantage to having one solution (e.g.,

one view of the customer for the entire company), it’s best to have a single team or utility that’s

responsible (along with a corresponding single senior business sponsor). Where you’re looking to

improve speed to market or market knowledge, organize into smaller IT teams closer to the business. The

diagram below gives a graphical view of the hybrid organization (Jim, 2014).



Source: Recipes for IT

Mauritius Telecom Business Strategy

Strategic Goals of Mauritius Telecom

In line with the group’s vision, its strategy for growth is centred on Enabling ICT Evolution through

innovation and enhanced customer experience. In their aim to execute these strategies they have been

able to carry out the following:

Growth Strategy

One of the key objectives in Mauritius Telecom’s Strategic Plan is to further its growth in the

international market and create new revenue streams through acquisitions in the telecommunications’

field. For this purpose, MT signed a Memorandum of Understanding with France Telecom to create a

dedicated department for business development with the aim of driving further growth locally and outside

Mauritius. Hence they are looking at getting into equity participation in the telecom company in Uganda

and Vanuatu. Whilst actively pursuing their efforts to achieve constant increase in growth and

enhancement of their profitability levels, also they wouldn’t compromise on measures to increase



employee motivation, enhance customer satisfaction, innovate as well as provide continuous staff training

at all levels of the organisation

Innovation Strategy

Moving with the evolving technologies is a critical feature of Mauritius Telecom’s strategy to guarantee

service excellence that matches international standards and providing customers with innovative services

and experiences. Telecommunication services are becoming increasingly convergent and MT makes

every effort to respond to new device and consumption trends in an increasingly competitive market.

These services and products helps in enhancing the business and life experiences of their customers.

Some example of recent innovation products and services from MT includes:

My.T/VoD Services: My.T offers you access to complete internet and entertainment package at home.

With it you can get up to 30 channels of TV which includes News, sports, entertainment and many more.

Also, it offers cheaper international calls on your fixed line, an extensive VoD catalogue and a Wi-Fi

modem.

Conference Solutions: MT offers both audio conferencing and telepresence services. The Audio

conference service facilitates the scheduling of conference calls with up to 100 participants from any

national or international, fixed or mobile network or by simply using a web browser on your laptop while

the telepresence services combines life-size video images, ultra-high-definition clarity, and CD-like

spatial audio, as well as environmental conditions, to create a unique, "in person" experience. This

solution can be used for executive meetings within organizations, demonstration of sales and services,

staff meetings, job interviews etc.

Cloud Services: MT offers a comprehensive range of cloud solutions to assist businesses upgrade their

IT infrastructure. These services includes disaster recovery services, orange cloud solution, hosted contact

centre and hosted Microsoft exchange.

Mobile Fun: These comprises of services such as SMS info which gives you access to information on

weather, horoscope, lotto results, football, foreign exchange etc. Other services includes fun tones,

Bollywood wap, radio live etc.



Mobile Applications: The Orange Travel is a free mobile app that will let you control your roaming

costs. It will keep track of your calls, SMS and data usage when you are abroad. The Orange Care App

offers different range of services to help you in your day-to-day activities e.g. the 7 to 8-Digit mobile

number converter service. Other apps includes the tourist guide app and the Muslim prayers app.

Further new initiatives were the launch of Deezer, a music platform which received the Best Innovation

Service Award at AfricaCom 2012, as well as Orange Money, a mobile payment system, enabling users

to settle Orange post-pay, MT and CEB bills through their mobile phones, Orange tablets and iPhone 5

were also lunched to promote ICT access and usage.

Enhanced Customer Experience

In order to improve customer experience, MT initiated the Smart Processes for Improved Customer

Experience (SPICE) initiative to give its processes and process management a strategic and customer-

centric approach. SPICE also supports the Company’s drive towards service efficiency by continuously

monitoring key performance indicators, decreasing costs by improving the effectiveness of processes and

increasing sales through customer-centric processes. Another initiative taken was the training of in house

experts to listen, guide and advise customers visiting Orange shops, helping them find their way through

the maze of the latest technological products and services. Again to improve customer service, regular

training sessions was organised. More than 250 employees from Orange Shops, back office and Orange

Care attended a two-day Orange Attitude training sessions, during which they were also exposed to

cutting-edge customer service techniques. Furthermore, several new Orange Shops and upgrading works

were opened around the island to make customer service availability more accessible.

In their intend to offer more value-added services and to their customers, Mauritius Telecom

commercially launch a 4G service through its Orange brand, giving access to very high speed mobile

internet. To mark the 4G launch, the French ‘Spiderman’, Alain Robert, climbed the 18-storey MT

Tower. His breath-taking performance gave MT considerable visibility on such global social networks as

You Tube and Facebook. Also, In line with the group’s commitment to providing residential customers

and businesses with the latest technology, MT launched Fibre- to-the-Home (FTTH) with the aim of

connecting the whole island to FTTH by 2020 to enhance connectivity and resiliency.



MT also drives towards enhancing its quality of service. To achieve this, a Group quality strategy was set

and shared through its Business Excellence Council. Quality activities are coordinated within the group

and quality of service is monitored at departmental level for improving the Customer’s experience.

Key Strategic Issue at Mauritius Telecom

The constant growth and development of MT requires their increase in employees as well as managers.

As a result, some employees are promoted to the position of managers without specific managerial

qualifications. Though MT has been known to hire qualified managers who have capabilities for strategic

thinking, decision making, employees and operations supervision etc. there is additional need for the

group to occasionally upgrade their leadership skills in order to impart guidance and direction to

employees. As competitive market expands and develops with constant technological advancement, it

becomes a more challenging environment for the group to meet head on, so their managers must

endeavour to be the best leaders. Frequent management training programs would help develop the group’s

managers into more effective leaders. More so, the managers should also offer professional courses from

time to time in order to improve their skills and expertise. A training department could also be established

in order for employees to obtain knowledge on the evolving technologies, market trends, business

intelligence, customer relationship etc.

However, since globalization has paved many opportunities for MT to expand overseas and also requires

the adoption of standardized IT products and services, the extent of efficiency within the organization

must be highly effective to meet global standards. MT has always been the highest market share holder

and enjoy major profits. Although, with Emtel being its major competitor, as well as the prospect of

future foreign competition being granted permission by the government to conduct business in the local

telecommunication industry, MT must prepare for higher levels of rivalry.

Recommendations for Mauritius Telecom

Although various tools are being used as a medium of information delivery and feedback from customers,

other basic channels can be looked into for customer satisfaction and utility.

According to research and complaints from internationals living in Mauritius and using the orange

telecom platform, the tariff charged calling overseas especially Nigeria should be looked into. They

should also review and reduce the price of national calls.



The use of the internet and social media platforms has highly increased the marketability of Telecoms

companies. Mauritius Telecoms could dedicate more time to this medium to increase their fan base and

sell out their image to the public. They could send free airtime from time-to-time to customers and

organize online quiz or games to select winners. Such move will help their customer relationship.

Furthermore, many customers do not like going to offices to complain due to their belief that they can

find solutions online. Therefore, possible solutions to basic issues and queries can be answered online

through social platforms. This can only work if they employ knowledgeable hands to handle online

queries and keeping customers updated on promotions and new technologies.

Limitations for this Research

In getting this coursework done, we faced several issues individually and as a group. Firstly, we all took a

lot of time trying to understand the coursework before choosing the topic. We had to make lots of

research on strategic management before putting it in a context of a company. After selecting a topic, we

contacted the two major telecom companies here in Mauritius namely Mauritius Telecoms and Emtel Ltd.

It took several weeks to get a reply from them which left us wondering if we could still continue with the

topic. It was to our surprise Mauritius Telecoms replied and gave a date for an appointment at their office.

Despite our visit we still did not get the required information so we had to make further research by

searching for their annual reports and other materials relating to our topic of discussion.

The telecom sector in any country is important to their economic growth; therefore it is necessary to have

recent facts and updated figures about the growth of a company. Most materials or information seen

online were more of achievements over the years, thereby overlooking information on customer

relationship which is a vital part of their existence. Most of the write-up on their customer relationship

had to be researched deeply by the group by asking subscribers of the network (Mauritius Telecoms and

Emtel) about their user experience over the years. This made us take a lot of time explaining their

strategic relationship within and outside the organisation.

Conclusion for this Research



Mauritius telecom is undisputedly the biggest telecom company in Mauritius due to its market share and

international presence over the years. Despite this, they face a huge threat from Emtel Ltd who has been

in existence before them. Both companies offer similar services but one could outshine the other provided

they put in place good strategic decisions of how their services should be offered to the public. The

reports and findings show that Emtel has come to stay and could even gain higher grounds due to their

presence in the sister Island to Mauritius (Rodrigues and Agalega). This could be achieved if they

introduce better and more appealing services to customers.

The growth of Mauritius telecoms has been rapid due to its subsidiary companies and the government’s

intervention through investment. This has helped the country’s GDP and international presence. It is

important to say that Mauritius telecom is also known as orange and this name is a worldwide and

household name in many countries of the world. Orange France has a major share in the company which

makes them even bigger and could stand the test of time.

Various sections of this report discuss strategic management within and outside the organisation and how

information is passed and how it flows. The usefulness of information in telecommunication is a major

success factor to their operations. Therefore, the basis for their existence is to provide access to customers

or users with their mediums or tools to obtain and give out information. Mauritius telecoms offer telecom

and internet services and has a very large customer base and can only keep up this large number if they

improve their services and make them affordable to users. This can be achieved by improving their

customer relationship strategy with the use of several social networking tools and also increase their

promotional offers to customers. It is certain that Mauritius telecoms could be the biggest operator in

Mauritius as they have in place state of the art equipment and tools for information delivery and services.

They also have upcoming projects that could improve their existence, marketability and survival in the

telecom industry.

Overall this project has enlightened all members of the group on many aspects of telecommunication

activities. It has improved and given us a wider scope on the role of strategic management, the use of

Information technology/information systems and the importance of information to an organisation.

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