The Enterprise of Future: Telecom Industry Edition-Part-I

7 05 2009

Here, we will be discussing the top finding of a study carried out by IBM to find out the different traits of ‘Organization of Future’,  though we will be focusing on only responses by Telecom CEOs who were interviewed during the survey.

As per findings, there are five key straits of Organization of Future:

1. They are hungry for change.

2. They are innovative much beyond customer’s imagination.

3. They are Globally Integrated.

4. They are disruptive by nature &

5. They are genuine and not just generous.

Today, we will concentrate on first aspect: Hungry for Change

If you ask any telecom CEO these days, everyone will agree with need of change in telecom companies. But why suddenly all are talking about change? Not all of a sudden, there could be number of reasons cited, such as market factors, technological challenges to regulatory issues. Some of the other reasons cited are lack of sufficient talent pool, globalization and macro-economic climate.

For years, telecom operators were relying on mainly Voice traffic revenues, but after advent of Internet, its social impact, deregulation & introduction of IP based services, telecom players need to play really hard to fend off competitors. Though revenues from Data & IP based services are not enough to compensate losses from fixed line revenues, mobile pure play operators are getting hit more due to decline in ARPU figures constantly.

So what telecom CEOs are planning to do? More than half of them will be opening up their network to external application providers to innovate & enable development of new services that incorporate telecom capabilities, such as location tracking, voice mail etc. Least two fifth are planning to enter into Media-Entertainment & IT management services. Rests of them are still relying on capitalizing on existing customer relations and mobile networks to deliver targeted commercial advertising.

However many companies are forced to delay such initiatives due to Global Economic Crises. Wait & Watch!


1. Telecom carriers need to explore new avenues of revenue generation, keeping an close eye on related industries for garnering subscribers & revenues.

                         Current IPL-2 is the best example of tapping revenues from a sports event. As IPL-2 season is at its peak, mobile operators are either busy with introduction of new VASs/Tariff Plans for customers especially during the IPL-2 season or sponsoring favorite teams for brand establishments & advertising.

2. Telecom CEOs need to make organization structure more modular and isolate new ventures in order to minimize the impact of failures. Collaborations with technology partner will be a good deal to incur minimum losses.

3. Lastly, telecom providers need to enhance their change management skills, so that they can effectively anticipate & manage continuous change.

Continued with next aspects:




Leave a Reply

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out /  Change )

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )


Connecting to %s

%d bloggers like this: