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Chapter-1

Introduction

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1.1. Executive summary The project aims at studying the customer satisfaction of Reliance communication .The project consists of five sections ,in which first section deals with introduction and objectives of the company .the second section deals with the study of concept of customer satisfaction its importance, scope and previous researches on customer satisfaction by various authors .the third section deals with the research methodology .the fourth section deals with the case study and its interpretation .the last one deals with conclusion and bibliography .all the sections of the project basically describes how customers are treated and satisfied by Reliance communication .the case study provided describes how Reliance satisfies BSES Yamuna ,its one of the customer by introducing new technology namely WVDPN ,hence completing its very aim of customer satisfaction. The project also provides us with the knowledge that Reliance communications ranks amongst the top 5 telecommunications companies in the world by number of customers in a single country. Reliance Communications corporate clientele includes 2,100 Indian and multinational corporations, and over 800 global, regional and domestic carriers.

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1.2 Objective
1. To study about Reliance communication. 2. To study the concept of customer satisfaction. 2. To study the technology used by the Reliance for the satisfaction of its customers. 3. To make conclusion in the light of the findings of the study.

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Chapter 2 Company Profile

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2.1 INTRODUCTION Reliance Communications Limited is the flagship Company of Reliance Anil Dhirubhai Ambani Group, Indias third largest business house. Reliance Communications is Indias foremost and truly integrated Telecommunications service provider. The Company, with a customer base of over 85 million including over 2.2 million individual overseas retail customers, ranks. It ranks among the top 5 telecommunications companies in the world by number of customers in includes a single 2,100 country. Reliance Communications corporate clientele Indian and multinational

corporations, and over 800 global, regional and domestic carriers. The company has established a pan-India, next-generation, integrated (wireless and wire line), convergent (voice, data and video) digital network that is capable of supporting services spanning the entire communications value chain, covering over 24,000 towns and 600,000 villages. Reliance Communications owns and operates the next-generation IP-enabled connectivity infrastructure, comprising over 190,000 kilometers of fiber optic cable systems in India, USA, Europe, Middle East and the Asia Pacific region. It is among the Top 5 Telecom companies in the world by number of customers in a single country. Reliance Communications corporate clientele includes 2,100 Indian and multinational corporations, and over 800 global, regional and domestic carriers. Reliance Communications has established a pan-India, next generation, integrated (Wireless and wire line), convergent (voice, data and video) digital network that is capable of supporting best-of-class services spanning the entire communications Value chain, covering over 24,000 towns and 600,000 villages. Reliance Communications owns and operates the worlds largest next generation IP enabled connectivity infrastructure, comprising over 277,000 kilometers of Fiber optic cable systems in India, USA, Europe, Middle East and the Asia Pacific Region. On 19 May 2010, the 3G spectrum auction in India ended. Reliance Communications paid INR5864.29 Crores for spectrum in 13 circles. The circles it will provide 3G in are Delhi, Mumbai, Kolkata, Punjab, Rajasthan, Madhya Pradesh, West Bengal, Himachal Pradesh, Bihar, Orissa, Assam, North East, and Jammu & Kashmir. On 11 June 2010, the broadband wireless access (BWA) or 4G spectrum auction in India ended. Infotel Broadband, a subsidiary of Reliance Industries, 5 Beri Institute Of Technology, Training & Research

won Pan-India license in the auction across 22 circles, the only telecom operator other than state-owned BSNL/MTNL to do so. Infotel paid the government INR12847.77 Crores for the license. According to Cellular Operators Association of India (COAI) director general Rajan S. Mathews, Reliance Industries is expected to launch 4G services in December 2011..Reliance communication offers a wide range of products and services such as reliance net connect and Reliance Globacomm. They are the new face of technology in India ,past reliance no organization has been able to introduce such high technology .fulfilling the numerous needs of customers is the target of the reliance .Airtel Bharti and idea cellular are the only two that are ahead from reliance. Bharti Airtel and Idea Cellular still are tough competitors. To establish its agenda reliance offer services that are according to pocket of common Indian public .customer satisfaction being the priority of reliance also makes it stand at 3rd position .although it has the public brand MTNL ,which is also the oldest telecommunication service provider .reliance has also beaten the Tata communication with a huge base margin. The case study provided deals with the problems faced by BSES Yamuna Power ltd. It tells how reliance counteracted on their problem of the conventional meter reading. It requires the inspector to visit the consumer premises and record the meter data for a particular period, either manually in meter books or in hand held instruments known as MRI. It was a time consuming job to read each meter and also there was a scope for errors. RCOM has provided BSES with a unique solution of CDMA AMR on WDVPN technology through which meter reading is done from a central location without visiting customer premises. Reliance provides Internet Data Center (IDC) services located in Mumbai, Bangalore, Hyderabad and Chennai. Spread across 650,000 sq ft (60,000 m2) of hosting space, it offers IT infrastructure management services to large, medium and small enterprises. It is one of the leading data center service providers in India and provides services like collocation, managed server hosting, virtual private server and data security.

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2.2. MISSION Meeting and exceeding Customer expectations with a segmented approach Establishing, re-engineering and automating Processes to make them customer centric, efficient and effective Incessant offering of Products and Services that are value for money and excite customers Providing a Network experience that is best in the industry Building Reliance into an iconic Brand which is benchmarked by others and leads industry in Intention to Purchase and Loyalty Developing a professional Leadership team that inspires, nurtures talent and propagates RCOM Values by personal example

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2.3 VISION
By 2015, be amongst the top 3 most valued

Indian companies. Providing Information, Communication & Entertainment services, and being the industry benchmark in Customer Experience, Employee Centricity and Innovation. By 2015, be amongst the top 10 most valued MNC. Proving sustainability in the market, by surviving through tough times. Creating better job opportunities for the uprising youth of India. Upbringing the customer satisfaction to a new height.

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2.4 SERVICES RENDERED BY RELIANCE COMMUNICATION Other business Tech services IT development BPO Utility and media Retail R world

Globacom Submarine cable Global call NLD/ ILD

Telecom infrastructure Multi tenancy towers Pan India coverage

RELIANCE COMMUNICATION

Home DTH IPTV

Wireless VAS Mobile Fixed wireless Wireless data Public support

Enterprise Broadband Leased line Wi-max. MPLS and VPN Office Centrex

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Reliance Globacomm
RGL owns the worlds largest private undersea cable system, spanning 65,000 km, seamlessly integrated with Reliance Communications. Over 110,000 km of domestic optic fiber provides a robust Global Service Delivery Platform, connecting 40 key business markets in India, the Middle East, Asia, Europe, and the U.S.

Reliance home services


Reliance communication decides to introduce Internet Protocol Television (IPTV). IP TV is a latest technology which will include more options for users and make their TV viewing experience even more enjoyable. IPTV equipment uses telephone lines to transport content to the subscribers through IP technology. In starting, this technology was presented used in internet telephony for delivering voice over. IPTV also provide video on demand and digital video recording services. Reliance communications is forecast to begin it in 10 cities and thereafter depending upon its popularity and usage, more cities will be included. The software for IPTV will be provided by Microsoft.

Reliance tech services


Reliance Tech Services is the IT wing of Reliance Anil Dhirubhai Ambani group. It provides IT consultancy, business process outsourcing and software development for Reliance Communications and other ADA group companies. It provides services to industry sectors such as telecommunications, financial services, utilities, entertainment, infrastructure, BPO operations and health care.

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Reliance telecom infrastructure


Reliance Infratel Limited (RITL), a subsidiary of Reliance Communications Limited, was incorporated in 2001 as a private limited company. Reliance Communications Limited (RCOM) had filed a Scheme of Arrangement with the High Court of Judicature at Bombay on December 5, 2006 for the separation of its wireless towers assets owned by RCOM and its wholly owned subsidiary Reliance Telecom Limited (RTL). The High Courts approval was received on March 16, 2007 and the scheme was affected on April 10, 2007.

Reliance wireless
Reliance Netconnect service offers you Hi-speed wireless internet access across India in over 24,000 towns and 6 lakh villages, as well as along major highways, railway routes, airport lounges and remote locations. Reliance's cutting edge CDMA 1x network can give you high-speed internet access, up to 144kbps.Reliance offers Hi-Speed 1x service through a suite of Reliance Netconnect products like PCMCIA and USB Modem data cards as well as data cables for mobile phones and fixed wireless phones. These can be used to connect to the internet from your laptop and desktop.

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2.5. COMPETITORS OF RELIANCE


Name Bharti Airtel Idea Cellular Reliance Comm Tata Comm MTNL TataTeleservice Tulip Telecom Last Price 261.05 80.20 48.80 232.25 37.75 11.15 80.15 Market
(Rs. cr.)

Cap.Sales Turnover 41,603.80 19,322.33 11,110.00 4,091.77 3,368.99 2,488.44 2,704.81

Net Profit 5,730.00 576.54 156.00 171.34 -4,018.45 -517.55 315.18

Total Assets 63,559.00 23,072.72 73,068.00 8,087.80 12,184.20 4,237.96 2,971.39

99,134.52 26,549.96 10,072.45 6,619.13 2,378.25 2,115.37 1,162.18

Bharti Airtel Limited, commonly known as Airtel, is an Indian telecommunications Services Company headquartered at New Delhi, India. It operates in 20 countries across South Asia, Africa and the Channel Islands. Airtel has GSM network in all countries, providing 2G, 3G and 4G services depending upon the country of operation .Airtel is the world's third largest mobile telecommunications company with over 261 million subscribers across 20 countries as of August 2012. It is the largest cellular service provider in India, with 186.41 million subscribers as of October 2012. Airtel is the third largest in-country mobile operator by subscriber base, behind China Mobile and China Unicom. Airtel is the largest provider of mobile telephony and second largest provider of fixed telephony in India, and is also a provider of broadband and subscription television services. It offers its telecom services under the Airtel brand, and is headed by Sunil Bharti Mittal. Bharti Airtel is the first Indian telecom service provider to achieve Cisco Gold Certification.

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Idea, In 2000 Tata Cellular was a company providing mobile services in Andhra Pradesh. When Birla-AT&T brought Maharashtra and Gujarat to the table, the merger of these two entities was a reality. Thus Birla-Tata-AT&T, popularly known as Batata, was born and was later rebranded as IDEA. Then Idea set sights on RPGs operations in Madhya Pradesh which was successfully acquired, helping Batata have a million subscribers, and the license to be the fourth operator in Delhi was clinched. In 2004, Idea (the company had by then been rechristened) bought over the Escorts groups Escotel gaining Haryana, Uttar Pradesh (West) and Kerala and licenses for three more UP (East), Rajasthan and Himachal Pradesh. By the end of that year, four million Indians were on the companys network. In 2005, AT&T sold its investment in Idea, and the year after Tatas also bid good bye to pursue an independent telecom business.

Tata communication is an Indian global telecommunications company located in Mumbai. It owns a submarine cable network, a Tier-1 IP network, and also rents data and collocation space. It operates Indias largest data center in Pune. Tata Communications acquired Teleglobe, a company based in Canada, and DishnetDSL, an Indian company, and is the largest shareholder in South African operator Neotel. Tata Communications currently has a cable network of more than 235,000 kilometers. It was

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founded as VSNL (Videsh Sanchaar Nigam Limited) in 1986, VSNL was the first Indian PSU to be listed in the NYSE in 2000. In 2002 Tata Communications acquired a 45% stake in VSNL. Then in 2004 VSNL International, the international arm of VSNL was launched. On 13 February 2008 VSNL, formerly owned by the Government, was taken over by the Tata Group and renamed Tata Communications Ltd. In 2009 Tata Communications and TYCO telecommunications complete TGN-intra Asia cable system. Tata Communications made an agreement for race coverage with Formula 1 Management in 2012.

Mahanagar Telephone Nigam Limited (MTNL) is a state-owned telecommunications service provider in the metro cities of Mumbai and New Delhi in India and in the island nation of Mauritius in Africa. The company had a monopoly in Mumbai and Delhi until 1992, when the telecom sector was opened to other service providers. "Transparency makes us different" is the motto of the company. The Government of India currently holds 56.25% stake in the company. In recent years, MTNL has been losing revenue and market share heavily due immense competition in the Indian telecom sector.

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Tulip telecom: The Company was started by Lt Col Hardeep Singh Bedi an ex-army man. After serving the Indian army for 22 years, Lt Col HS Bedi took voluntary retirement and founded his company Tulip IT Services, then Tulip Software Pvt. Ltd, in 1994 and today it is known as Tulip Telecom Ltd. Bedi started off the company with 4 employees in New Delhi as a software reseller. Later the company explored the field of Network Integration and implemented Worlds largest wireless network in Mallapuram, Kerala. This was a key milestone in Tulips history. The company also explored the field of wireless and developed Indias largest MPLS VPN network. The Companys data network has a reach of over 2,000 locations globally.

Bharti Airtel today is the biggest competitor of Reliance communication .it has a market capital around Rs 99,134.52. its sales turnover is 41603.80 ,which is going to be the target for next year for reliance .reliance is aiming to become the biggest telecom service provider by 2015 .idea cellular also is one major competitors of reliance ,its turnover is 80%more than reliance .reliance basically work on the agenda of customer satisfaction .To establish its agenda reliance offer services that are according to pocket of common Indian public .customer satisfaction being the priority of reliance also makes it stand at 3rd position .although it has the public brand MTNL ,which is also the oldest telecommunication service provider .reliance has also beaten the Tata communication with a huge base margin .

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2.6

STRENGTH,

WEAKNESSES,

OPPURTUNITY

AND

THREATS

SWOT Analysis Strength 1.Flexible plans 2.Good advertising 3.High brand visibility 4.Celebrity brand ambassadors 5.Ability to attract customers with various plans Weakness 1.Price competition from BSNL and MTNL 2.Untapped Rural Market Opportunity 1.Fast expanding cellular market 2.Latest and low cost technology 3.Untapped rural market Threats 1. New entrant's low price offering 2. Saturation point in Basic telephony service 3.Mobile Number Portability

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Reliance industries believes in maintaing its true prestige in sense of its very customer ,reliance believe in enhancing its capacity and devoloping and deafeating their competitors .in relaince we believe in knowing our weakness and threats and hence pertains its tag of big dealors .Swot analysis helps in judging the very condition of an organisation and helps in improving stage by stage .there are some strenghts weakness oppurtunities and threats of every organisation .realiance telecommunication also conducts its swot analysis annually On the basis of the prepared swot analysis future plans of reliance telecommunication are made .strenghts of realiance communication include celebrity brand endorsement ,flexible planning .weakness are that reliance didnt tapped the rural indian market which holds a big scope . pricing is also one of the biggest issue .Oppurtunities for reliance include faster exanping cellular market .latest and low cost technology .new entrant in the market which offers low and cheap prices on their products tends to be a great threat to reliance industry .also reliance has reached Saturation point in Basic telephony service

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Chapter 3 Literature Review

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3.1 Customer satisfaction is defined as "the number of customers, or percentage of total customers, whose reported experience with a firm, its products, or its services (ratings) exceeds specified satisfaction goals In a survey of nearly 200 senior marketing managers, 71 percent responded that they found a customer satisfaction metric very useful in managing and monitoring their businesses. Within organizations, customer satisfaction ratings can have powerful effects. They focus employees on the importance of fulfilling customers expectations. Furthermore, when these ratings dip, they warn of problems that can affect sales and profitability. . . . These metrics quantify an important dynamic. When a brand has loyal customers, it gains positive word-of-mouth marketing, which is both free and highly effective. In researching satisfaction, firms generally ask customers whether their product or service has met or exceeded expectations. Thus, expectations are a key factor behind satisfaction. When customers have high expectations and the reality falls short, they will be disappointed and will likely rate their experience as less than satisfying. For this reason, a luxury resort, for example, might receive a lower satisfaction rating than a budget moteleven though its facilities and service would be deemed superior in 'absolute' terms. The importance of customer satisfaction diminishes when a firm has increased bargaining power. For example, cell phone plan providers, such as AT&T and Verizon, participate in an industry that is an oligopoly, where only a few suppliers of a certain product or service exist. As such, many cell phone plan contracts have a lot of fine print with provisions that they would never get away if there were, say, a hundred cell phone plan providers, because customer satisfaction would be way too low, and customers would easily have the option of leaving for a better contract offer. Customer satisfaction, a term frequently used in marketing, is a measure of how products and services supplied by a company meet or surpass customer expectation. Customer satisfaction is defined as "the number of customers, or percentage of total customers, whose reported experience with a firm, its products, or its services (ratings) exceeds specified satisfaction goals." In a survey of nearly 200 senior marketing managers, 71 percent responded that they found a customer satisfaction metric very useful in managing and monitoring their businesses.

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It is seen as a key performance indicator within business and is often part of a Balanced Scorecard. In a competitive marketplace where businesses compete for customers, customer satisfaction is seen as a key differentiator and increasingly has become a key element of business strategy. "Within organizations, customer satisfaction ratings can have powerful effects. They focus employees on the importance of fulfilling customers expectations. Furthermore, when these ratings dip, they warn of problems that can affect sales and profitability. . . . These metrics quantify an important dynamic. When a brand has loyal customers, it gains positive word-of-mouth marketing, which is both free and highly effective." Therefore, it is essential for businesses to effectively manage customer satisfaction. To be able do this, firms need reliable and representative measures of satisfaction. "In researching satisfaction, firms generally ask customers whether their product or service has met or exceeded expectations. Thus, expectations are a key factor behind satisfaction. When customers have high expectations and the reality falls short, they will be disappointed and will likely rate their experience as less than satisfying. For this reason, a luxury resort, for example, might receive a lower satisfaction rating than a budget moteleven though its facilities and service would be deemed superior in 'absolute' terms." The importance of customer satisfaction diminishes when a firm has increased bargaining power. For example, cell phone plan providers, such as AT&T and Verizon, participate in an industry that is an oligopoly, where only a few suppliers of a certain product or service exist. As such, many cell phone plan contracts have a lot of fine print with provisions that they would never get away if there were, say, a hundred cell phone plan providers, because customer satisfaction would be way too low, and customers would easily have the option of leaving for a better contract offer. There is a substantial body of empirical literature that establishes the benefits of customer satisfaction for firms.

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3.2 Customer
A customer (also known as a client, buyer, or purchaser) is the recipient of a good, service, product, or idea, obtained from a seller, vendor, or supplier for a monetary or other valuable consideration. Customer may or may not also be a consumer, but the two notions are distinct, even though the terms are commonly confused. A customer purchases goods; a consumer uses them. An ultimate customer may be a consumer as well, but just as equally may have purchased items for someone else to consume. An intermediate customer is not a consumer at all. The situation is somewhat complicated in that ultimate customers of so-called industrial goods and services (who are entities such as government bodies, manufacturers, and educational and medical institutions) either themselves use up the goods and services that they buy, or incorporate them into other finished products, and so are technically consumers, too. However, they are rarely called that, but are rather called industrial customers or business-to-business customers. Similarly, customers who buy services rather than goods are rarely called consumers. Six Sigma doctrine places (active) customers in opposition to two other classes of people: not-customers and non-customers. Whilst customers have actively dealt with a business within a particular recent period that depends from the product sold, not-customers are either past customers who are no longer customers or potential customers who choose to do business with the competition, and non-customers are people who are active in a different market segment entirely. Geoff Tennant, a Six Sigma consultant from the United Kingdom, uses the following analogy to explain the difference: A supermarket's customer is the person buying milk at that supermarket; a not-customer is buying milk from a competing supermarket, whereas a non-customer doesn't buy milk from supermarkets at all but rather "has milk delivered to the door in the traditional British way". A customer may or may not also be a consumer, but the two notions are distinct, even though the terms are commonly confused. A customer purchases goods; a consumer uses them. An ultimate customer may be a consumer as well, but just as equally may have purchased items for someone else to consume. An intermediate customer is not a consumer at all. The situation is somewhat complicated in that ultimate customers of so 21 Beri Institute Of Technology, Training & Research

called industrial goods and services (who are entities such as government bodies, manufacturers, and educational and medical institutions) either themselves use up the goods and services that they buy, or incorporate them into other finished products, and so are technically, consumers too. However, they are rarely called that, but are rather called industrial customers or business-to-business customers. Similarly, customers who buy services rather than goods are rarely called consumers. Six Sigma doctrine places (active) customers in opposition to two other classes of people: not-customers and non-customers. Whilst customers have actively dealt with a business within a particular recent period that depends from the product sold, not-customers are either past customers who are no longer customers or potential customers who choose to do business with the competition, and non-customers are people who are active in a different market segment entirely. Geoff Tennant, a Six Sigma consultant from the United Kingdom, uses the following analogy to explain the difference: A supermarket's customer is the person buying milk at that supermarket; a not-customer is buying milk from a competing supermarket, whereas a non-customer doesn't buy milk from supermarkets at all but rather "has milk delivered to the door in the traditional British way. Tennant also categorizes customers another way, that is employed out with the fields of marketing. Whilst the intermediate/ultimate categorization is used by marketers, market regulation, and economists, in the world of customer service customers are categorized more often into two classes: 1. An external customer of an organization is a customer who is not directly connected to that organization. 2. An internal customer is a customer who is directly connected to an organization, and is usually (but not necessarily) internal to the organization. Internal customers are usually stakeholders, employees, or shareholders, but the definition also encompasses creditors and external regulators.

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The notion of an internal customer before the introduction of which external customers were, simply, customers was popularized by quality management writer Joseph M. Juran, who introduced it in the fourth edition of his Handbook (Juran 1988). It has since gained wide acceptance in the literature on total quality management and service marketing; and the customer satisfaction of internal customers is nowadays recognized by many organizations as a precursor to, and prerequisite for, external customer satisfaction, with authors such as Tansuhaj, Randall & McCullough 1991 arguing that service organizations that design products for internal customer satisfaction are better able to satisfy the needs of external customers.

3.3 Building a company around customer satisfaction


In this world of extreme competition, companies with a total focus on customer are going to be the winner. Companies must understand importance of customer satisfaction and then build process around it. A satisfied customer will be a loyal customer. There are large offering of products and services available in the market then why the customer should choose a given companys product. According to various research and studies it has been confirmed that consumer will purchase products, which given them maximum perceived value. This value comes from calculating the cost associated with the emotional level decision like the brand image, corporate brand, sales personnel image and functional image. This value converts to total customer cost by including purchase cost, time-energy in evaluation of product and intuitive cost. Companies are able to achieve this state of total customer satisfaction by incorporating good business practices. These practices are constructed around stakeholders, business process, resource and organization. Companys stakeholders consist of employees, suppliers, distributors and customers. Earlier focus has always solely been on shareholders, but now stakeholders need to be satisfied for shareholders profit. Companies need to define boundaries of relation with stakeholders as to get the maximum value for every participant. To ensure maximum value, companies need to develop business processes, which understand and fulfill customer expectations. This can 23 Beri Institute Of Technology, Training & Research

be achieved by aligning cross functional teams across critical processes, to create one smooth flow. Companies need to understand its core competencies and develop them, thereby successfully managing its resources. Organizational structure, design and policies have to be suitable to facilitate the introduction of total customer satisfaction culture. Companies through creating and delivering value can develop total customer satisfaction. Company itself can be considered as a value chain consisting of primary and secondary activities. Primary activities consist of inbound materials, operation, delivering finished products, sales/marketing and servicing clients. Secondary activities consist of functional departments like technology department, procurement department, human resource and finance department. This value created is delivered to customer through the distribution channel under the principle of supply chain management. Customers in the digital age are much more conscious and aware of their need and wants, making them a difficult lot to please. Companies run marketing campaign highlighting points of similarity and difference with competitors products. The art is not at attracting the customer, but it is at retaining the customer and creating long term relation with them. Companies usually suffer from churning effect where customers do not make the repurchase. Companies need to work hard in identifying reasons behind this churning. Once reasons are identified separate them on the basis of manageable and nonmanageable issues and then work hard at eliminating manageable issues. Companies need to develop policies and measure at retaining customers along with attracting new customers. This art of retention can be achieved through customer relationship management (CRM). In CRM the task is to develop strong consumer based brand equity, which is done by converting first time buyer to repeat buyer to a client to a member to advocates and finally to partners. During these course companies can look forward to offering financial benefits in terms of discount for frequent buyers or also by association with a social cause. Companies are able to achieve this state of total customer satisfaction by incorporating good business practices.

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Companys stakeholders consist of employees, suppliers, distributors and customers. Earlier focus has always solely been on shareholders, but now stakeholders need to be satisfied for shareholders profit. Companies need to define boundaries of relation with stakeholders as to get maximum value for every participant. To ensure maximum value, companies need to develop business processes, which understand and fulfill customer expectations. This can be achieved by aligning cross functional teams across critical processes, to create one smooth flow. Companies need to understand its core competencies and develop them, thereby successfully managing its resources. Organizational structure, design and policies have to be suitable to facilitate the introduction of total customer satisfaction culture. Companies through creating and delivering value can develop total customer satisfaction. Company itself can be considered as a value chain consisting of primary and secondary activities. Primary activities consist of inbound materials, operation, delivering finished products, sales/marketing and servicing clients. Secondary activities consist of functional departments like technology department, procurement department, human resource and finance department. This value created is delivered to customer through the distribution channel under the principle of supply chain management. Customers in the digital age are much more conscious and aware of their need and wants, making them a difficult lot to please. Companies run marketing campaign highlighting points of similarity and difference with competitors products. The art is not at attracting the customer, but it is at retaining the customer and creating long term relation with them. Companies usually suffer from churning effect where customers do not make the repurchase. Companies need to work hard in identifying reasons behind this churning. Once reasons are identified separate them on the basis of manageable and non-manageable issues and then work hard at eliminating manageable issues.

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Companies need to develop policies and measure at retaining customers along with attracting new customers. This art of retention can be achieved through customer relationship management (CRM). In CRM the task is to develop strong consumer based brand equity, which is done by converting first time buyer to repeat buyer to a client to a member to advocates and finally to partners. During these course companies can look forward to offering financial benefits in terms of discount for frequent buyers or also by association with a social cause. Companies are in business to make the profit. Therefore, it has to identify profitable customers. Profitable customers provide a revenue stream more than the expense stream on retaining them. And this revenue stream should be higher for a company to have a competitive advantage. More and more companies are deploying total quality management approach across the organization to build and deliver customer satisfaction.

3.4 Satisfaction as part of service profit chain


The service-profit chain establishes relationships between profitability, customer loyalty, and employee satisfaction, loyalty, and productivity. The links in the chain (which should be regarded as propositions) are as follows: Profit and growth are stimulated primarily by customer loyalty. Loyalty is a direct result of customer satisfaction. Satisfaction is largely influenced by the value of services provided to customers. Value is created by satisfied, loyal, and productive employees. Employee satisfaction, in turn, results primarily from high-quality support services and policies that enable employees to deliver results to customers. The service-profit chain is also defined by a special kind of leadership that emphasizes the importance of each employee and customer. There are two things about loyalty which are important to notice. A satisfied customer is not automatically a loyal customer. Its only the super satisfied customers who become loyal. That is why satisfied is not enough in a world of abundance which is the situation for many companies today. Add to that the tough reality that what we considered fantastic last year is what we expect this year. The expectations of the customer change all the time. If a company wants to maintain the loyalty it has to get better and better. Xerox found that 26 Beri Institute Of Technology, Training & Research

customers that rated those 5 (on a 1-5 customer satisfaction ranking) were six times more likely to repurchase Xerox equipment versus those at the 4 rating level. Xerox coined the term "apostles" to characterize the customers that rated them a 5. Just as important is to avoid creating terrorists: customers that become so upset the make it a point to speak out about the poor service they received at every opportunity. Loyal customers are more likely to tell others about their loyalty than just satisfied customers. Excited customers tell other people about their experiences and create ambassadors for the company. They become loyal customers and they keep returning. The service-profit chain establishes relationships between profitability, customer loyalty, and employee satisfaction, loyalty, and productivity. The links in the chain (which should be regarded as propositions) are as follows: Profit and growth are stimulated primarily by customer loyalty. Loyalty is a direct result of customer satisfaction. Satisfaction is largely influenced by the value of services provided to customers. Value is created by satisfied, loyal, and productive employees. Employee satisfaction, in turn, results primarily from high-quality support services and policies that enable employees to deliver results to customers. The serviceprofit chain is also defined by a special kind of leadership that emphasizes the importance of each employee and customer. According to the HARVARD University, The ServiceProfit Chain is a theory and business model evolved by a group of researchers (James L. Heskett, Thomas Jones, Gary Loveman, W. Earl Sasser, and Leonard Schlesinger) from Harvard University in the nineties. In their subsequent book: The Service Profit Chain How Leading Companies Link Profit and Growth to Loyalty, Satisfaction and Value, they prove that there is a direct link between superior service experiences, customer loyalty, and financial performance (profit and growth). The work of Heskett et al was criticized by a study of Rosa Chun. In an article in the Strategic Management Journal she argues that they haven't found any hard data supporting the concept. There are two things about loyalty which are important to notice. A satisfied customer is not automatically a loyal customer. Its only the super satisfied customers who become loyal. That is why satisfied is not enough in a world of abundance which is the situation for many companies today. Add to that the tough reality that what we considered fantastic last year

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is what we expect this year. The expectations of the customer change all the time. If a company wants to maintain the loyalty it has to get better and better.Xerox found that customers that rated them 5 (on a 1-5 customer satisfaction ranking) were six times more likely to repurchase Xerox equipment versus those at the 4 rating level. Xerox coined the term "apostles" to characterize the customers that rated them a 5. Just as important is to avoid creating terrorists: customers that become so upset the make it a point to speak out about the poor service they received at every opportunity. Loyal customers are more likely to tell others about their loyalty than just satisfied customers. Excited customers tell other people about their experiences and create ambassadors for the company. They become loyal customers and they keep returning. The primary determinant of customer satisfaction is perceived value which the customer has gained more from the product than he or she thinks it is worth. Value often has an emotional aspect that makes an experience particularly memorable for the customer. The key to create value is the ability to bond emotionally with the customers and create emotional wow experiences. Underlying this is being very clear about the targeted service concept for the targeted customers.

3.5 Previous researches


Thomas (2007), in his article describes the contribution made by Telecommunications in India by the state and civil society to public service, this article aims to identify the states initial reluctance to recognize telecommunications Provision as a basic need as against the robust tradition of public service aligned to the postal services and finds hope in the renewal of public service Telecommunications via the Right to Information movement. The article follows the Methodology of studying the history of telecommunications approach that is Conversant with the political economy tradition. It uses archival sources, personal correspondence, and published information as its research material. The findings of the paper suggests that public service in telecommunication is a relatively new concept in the annals of Indian telecommunications and that a deregulated environment along with the Right to Information movement holds significant hope for making public service telecommunications a real alternative. The article 28 Beri Institute Of Technology, Training & Research

provides a reflexive, critical account of public service telecommunications in India and suggests that it can be strengthened by learning gained from the continual renewal of public service ideals and action by the postal services and a people-based demand model linked to the Right to Information Movement. All studies done by the researcher suggests that the right to information movement has contributed to the revitalization of participatory democracy in India and to a strengthening of public service telecommunications.

T.H. Chowdary (1999)


Discusses how Telecom reform, or de-monopolization, in India has been bungled. Shaped by legislation dating back to the colonial era and post Second World War socialist policies, by the mid-1980s India realized that its poor telecommunications infrastructure and service needed reform. At the heart of the problem lay the monopoly by the governments Department of Telecommunications (DOT) in equipment, networks and services. The National Telecom Policy 1994 spelt out decent objectives for reform but tragically its implementation was entrusted to the DOT. This created an untenable situation in which the DOT became policymaker, licenser, regulator, operator and also arbitrator in disputes between itself and licensed competitors. He discusses the question: Why did India get it so wrong? And What India should do now?

Cygnus Business Consulting & Research Pvt. Ltd. (2008),


In its Performance Analysis of Companies (April-June 2008) has analyzed the Indian telecom industry in the awake of recent global recession and its overall impact on the Indian economy. With almost 5-6million subscribers are being added every month, and the country is witnessing wild momentum in the telecom industry, the Indian telecom industry is expected to maintain the same growth trajectory.

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Chapter 4 Research Methodology

Research: Research is formal work undertaken systematically to increase the stock of knowledge, including knowledge of humanity, culture and society, and the use of this stock of knowledge to devise new applications Type of research: Descriptive research 30 Beri Institute Of Technology, Training & Research

Descriptive research: It is a type of research which is used to describe the data and characteristics about what is being studied. Descriptive research is the exploration of the existing certain phenomena.
Type of data:

Secondary data

Secondary data: It is a kind of data collected by someone other than the user. Common sources of secondary data for social science include censuses, surveys, organizational records and data collected through qualitative methodologies or qualitative research. Sources of secondary data: Census, housing, social security as well as electoral statistics and other related databases.

Chapter 5
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Case study

Dealing with BSES and BYPL


Client- BSES Yamuna Power Limited (BYPL) and BSES Rajdhani Power Limited Location- Delhi No. of Connections- 3000 AMR Modems LNS Server- Dedicated Areas Covered- Delhi, NCR (Partial)

BSES Yamuna Power Limited distributes power to an area spread over 200 sq Kms and BSES Rajdhani Power Limited distributes power to an area spread over 750 sq. km to a cumulative customer base of 22.6 lakhs, comprising two-thirds of Delhi. Also the BSES Yamuna Power Ltd supplies electricity to 14 districts of India. Covering an area of approximately 160 sq km, the functions of the BSES Yamuna Power Ltd are spread over the central and eastern areas of the capital of India. 32 Beri Institute Of Technology, Training & Research

The conventional meter reading method required the inspector to visit the consumer premises and record the meter data for a particular period, either manually in meter books or in hand held instruments known as MRI. It was a time consuming job to read each meter and also there was a scope for errors. It was a tedious job which required huge manpower for reading the meters as these consumers are spread across Delhi. The BSES was facing a critical problem of time and money management .huge amount of labor had to be employed just to carry out a simple and easy process .these labor had to be paid also which also ensures that BSES was suffering from mismanagement of time and money .the inspector who used to visit the customer premises had to either write the readings manually or either with the use of machine called MRI .the MRI was a machine which

had to connected to the meter and the reading of the meter is collected in it as memory .also in India some people are not able to pay the bills as price per unit is heavy on their pockets ,so they use some nasty ways to theft the electricity which an MRI was not able to detect nasty ways .also the meters were much advanced to counter the theft of electricity .in an area of 200sqft ,7kw of electricity is sufficient but using theft an average 200sqft was consuming around 12 to 13 KW of electricity .it means that they would be receiving meter units around 100 but the real units consumption will be around 300 to 400 units per month . In all BSES was facing a huge problem of money and time management .it was incurring a loss of around two lakhs rupees per day which is enough to dwell an organization to its end easily. MRI was the only latest technology that was available to them from Indian government.

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Chapter 6 Conclusion

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RCOM has provided BSES with a unique solution of CDMA AMR on WDVPN technology through which meter reading is done from a central location without visiting customer premises. Reliance WDVPN is a comprehensive CDMA 1 X based connectivity solution for secure, reliable and high speed data transfer between remote terminals and the central application servers. It allows remote terminals and mobile workforce to access the intranet servers such as ERP applications, Email etc. without going to Internet. The customer servers can be located at Reliance IDC or Customer Data Center. The remote machine uses any of the CDMA devices such as Fixed Wireless Phone (FWP) / Fixed Wireless Terminal (FWT), Data Card or built-in CDMA Module to establish a packet data call with the RCOM network. Physical connectivity can be through the serial RS-232C port or a USB port with the appropriate cable. The entire process from meter reading to billing is now fully automated .It has been incorporated to minimize human interface while downloading of meter data and to reduce billing as well as accounting errors. Using WDVPN technology BSES keeps a check on meter tampering thus reducing illegal abstraction of energy. now the meter were also much advanced and proficient according to their needs .also there were reduced labor and hence labor cost was also minimized .now the accounting errors were much less as all the data was collected and assembled in the database of computer . RCOMs WDVPN solution enables quicker, efficient and reliable meter reading which has increased operational efficiency and reduced cost. All this has led to reduction in the billing time, improvement in the billing quality and better revenue realization further 35 Beri Institute Of Technology, Training & Research

leading

to

consumers

satisfaction.

Now

the

customers satisfaction was good and it was a better sign of increased profits .Moreover, it helps to analyze customer load patterns and thus distributing the exact required amount of energy and hence the extra voltages were saved .it helps in strengthening the customer relationship.

Bibliography
Books: 1. Rao Ajit & Chandra Subhash, The little book of big customer satisfaction measurement (2007), 2nd edition, 2. Jaiswal, Anand Kumar, Managing service quality (2008), 3rd edition. Newspapers and journals: 1. The Economic Times 2. The Times of India 3. India Today Internet: www.b2binternational.com Publications www.sitepoint.com/satisfaction-7-steps/ - United States www.customersatisfaction.com

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