Internship Report on Pakistan Telecommunication Company Limited

CHAPTER # 02
OVERVIEW OF THE ORGANIZATION
PAKISTAN TELECOMMUNICATION COMPANY LIMITED
(PTCL)
Head Office: -
Pakistan Telecommunication Company Limited G-8/4, Islamabad

INTRODUCTION
Ten years into a new century, the telecom sector of world finds itself at
crossroads after changing itself almost beyond recognition over the last 25 years.
Privatization and competition are the order of the day, with a majority of countries
having adopted these policies to advance their telecom sector. The results have been
impressive; the industry has grown at unprecedented pace. Although there has been a
phenomenal growth in Pakistan, especially in the cellular mobile communication and
in the internet, yet the late density remains almost stagnant.

So far PTCL is the sole land line service provider of Pakistan. PTCL is the giant of
Pakistan telecommunication industry and enjoying the monopoly. This part of the
report contains a brief introduction of PTCL. This introduction is divided into two
parts, history and current situation.

BRIEF HISTORY
Over the years, technology has changed the concept of communication and
what was thought to be a fictional only a decade ago, has actually made its way
through to our hands today. This is the future we dreamt of so fondly. Welcome to the
modern age, of telecommunication, which have become complementary to our lives?
But there must also be an anchor to introduce, allow, improve and channelize all these
services and innovations sweeping through the globe. In Pakistan same anchor is
Pakistan Telecommunication Company Limited from the humble beginnings of posts
& Telegraph Department in 1947 and establishment of Pakistan Telephone &

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Telegraph Department in 1962, to this very day, PTCL is a story of commitment and
vision.

Pakistan Telecommunication Corporation (PTC) set sails for its voyage of glory In
December 1990, taking over operations and functions from Pakistan Telephone and
Telegraph Department under Pakistan Telecommunication Corporation Act 1991.
This coincided with the Government’s competitive Policy, encouraging Private Sector
participation and resulting in award of licenses for Cellular, card-operated Payphones,
paging and, lately, data communication Services.

Pursuing a progressive policy, the Government in 1991, announced its Plans to

privatize PTC, and in 1994 issued six million vouchers exchangeable into 600 million
shares of the would-be PTCL in two separate placements. Each had a par value of
Rs.10 per share. These vouchers were converted into PTCL Shares in mid 1996.In
1995, Pakistan Telecommunication (Reorganization) Ordinance Formed the basis for
PTCL monopoly over basic telephony in the country. It also paved the way for the
establishment of an independent regulatory regime. The Provisions of the Ordinance
were lent permanence in October 1996 through Pakistan Telecommunication
(Reorganization) Act. The same year, Pakistan Telecommunication Company Limited
was formed and listed on all stock Exchanges in Pakistan. Since then, PTCL has been
working vigorously to meet the dual Challenge of telecom development and socio-
economic uplift of the country. This is characterized by a clearer appreciation of
ongoing telecom scenario where in convergence of technologies continuously changes
the shape of the Sector. A measure of this understanding is progressive measures such
as Establishment of the company’s mobile and Internet subsidiaries (U-fone &
Paknet) in 1998.

As telecommunication monopolies head towards and imminent end, services

and infrastructure providers are set to face even bigger challenges. Pakistan also
entered post-monopoly era with deregulation of the sector in January 2003. On the
Government level, a comprehensive liberalization policy for Telecom sector has
already been announced now. Now PTA have issued License to two new telecom

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companies in Pakistan TELENOR international and WARID TEL this act will put
some challenges for PTCL to cope with.
PTCL is in process of enhancing organizational and business Proficiency
through vertical integration and horizontal diversification. At the same time, cross-
national ownerships, operations and partnerships are being evaluated with a view to
developing and diversifying the business.
These are few historical developments of PTCL through the years.
Historical Background
1947 Posts & Telegraph Dept. established
1962 Pakistan Telegraph & Telephone Deptt.
1990-91 Pakistan Telecom Corporation ALIS: 850,000 Waiting list: 900,000
Expansion Program of 900,000 lines initiated (500,000 lines by
Private Sector Participation 400,000 lines PTC/GOP own resources).
1995 About 5 % of PTC assets transferred to PTA, FAB & NTC.

1996 PTCL Formed listed on all Stock Exchanges of Pakistan

1998 Mobile & Internet subsidiaries established
2000 Telecom Policy Finalized
2003 Telecom Deregulation Policy Announced

2005 26 % Shares by Etisalat UAE through open bidding

CURRENT SITUATION OF ORGANIZATION

After having brief introduction from past end of PTCL now we move towards the
current situation of the company .In this part focus will be on the:
• Structure of organization
• Technical & operational Net work
• Services provided by PTCL
• Financial front of PTCL
• Competitors and subsidies

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O RG ANI Z AT IO N CH ART O F P T CL

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MAIN OFFICES
The Head Office of Pakistan Telecommunication Company Limited is situated in
Sector G-8/4, Islamabad, which is headed by the “President”. Besides, it has Regional
Headquarters like:
• Islamabad Telecom Region,
• Rawalpindi Telecom Region,
• Hazara Telecom Region Abottabad,
• Northern Telecom Region-I Peshawar,
• Northern Telecom Region-1I D.I.Khan
• Lahore Telecom Region (South),
• Lahore Telecom Region (North),
• Multan Telecom Region,
• Faisalabad Telecom Region
• Southern Telecom Region-I Hyderabad
• Southern Telecom Region-II Karachi
• Southern Telecom Region-V Sukkur
• Western Telecom Region Quetta.
• Switching network Central region Lahore.
These Regions provide Telecommunications services to the customers in their
respective areas. Apart from these, PTCL has an Optical Fibre Construction
Region Lahore and Optic Fibre System Islamabad, each headed by a General
Manager to install, operate and look after optic fibre systems/cables.

Technical & Operational Net Work

Pakistan telecommunication Corporation under the Act 1996, Pakistan
Telecommunication Authority (PTA) issued a license to Pakistan Telecommunication
Company Limited for the provision of telecom services within Pakistan to private
sector and the general public as the Federal Government may determine and during
the exclusivity period of the Pakistan Telecommunication Company Limited (PTCL)
specified in above-mentioned Act. PTCL has 25 years license to provide telecom
services in Pakistan with Stake in the Company with about 62% equity. PTCL has

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largest network and huge infrastructure for it’s more than 4,405,161users as on (Mar,
2008).

Switching Technology
There are 7 different kinds of switching technologies currently operational in
PTCL network.
• Alcatel
• Siemens
• NEC
• Ericson
• Hawaii
• J.S telecom
• ZTE
With these different switching technologies PTCL is running its huge network and
providing different communication facilities to its customers.

TECHNICAL AND OPERATIONAL MILE STONES

PTCL is continuously improving its network. During the year 2007 PTCL
installed capacity was 4940154 but now in current year the installed capacity is
improved. PTCL achieved 100% digitalization in this year.

Computerized Fault Management System

This feature of PTCL improved network & is being used to register & rectify
Land Line Faults in a computerized way. This system was working in few cities but
now it is available all over the Pakistan.

Launch Of IN Platform
To augment the capacity and introduce additional value added services a new
Intelligent Network (IN) Platform was launched in October 2003.This platform has
higher capacity for prepaid calling cards and provision for introduction of new
services.

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Optical Fiber Junction Access Network

To further support the launch of new services the optical fiber junction access
network has been in implementation phase. This system further supports the
upcoming project of PTCL WLL (wire less local loop), Broad Band Services & IPTV.

Management

Walid Irshad
President & Chief Executive Officer

Ali Ahmed Yarouf Al Naqbi

Deputy CEO PTCL

Muhammad
Nehmatullah Toor
S.E.V.P (Finance) / Chief
Financial Officer (C.F.O)

Yasir Ansari
Chief
Information
Officer
(C.I.O)

Mohammad Nasrullah
Chief Technical Officer
(C.T.O)

Syed Mazhar Hussain

S.E.V.P (HR / Admin &
Procurement)

Sikandar Naqi
S.E.V.P
(Corporate
Development)

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Naveed Saeed
S.E.V.P
(Commercial)

Mr. Tariq
Salman
S.E.V.P
(Business
Zone North)

Mr Abdullah Yousef
S.E.V.P Business Zone
South

Farah Qamar
Company
Secretary

Board of Director
It is the highest body of PTCL, which has been vested with the function of
policy formulation. The first Director was elected by the subscribers in their first
meeting. Under the rules, the directors appointed are not being less than sever in
numbers.
There is general body meeting once a year of all the shareholders to elect the members
of board of directors. A director once elected, holds office for a period of three years
unless he resigns, becomes disqualified from being a director or otherwise ceases to
hold office. A retiring director is eligible for re-election.
Presently the board of directors has Ten members, As follow

Mr. Abdulrahim Abdulla Abdulrahim Al Nooryani

Chairman & Chief Executive Officer,

Etisalat International Pakistan L.L.C
Executive Vice President Contracts &
Administration
Etisalat, UAE.
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Mr. Salman Siddique

Secretary (Finance), Ministry of

Finanance
Government of Pakistan,
Islamabad

Mr. Abdulaziz Ahmed Saleh Ahmed Al Sawaleh

Chief Human Resources Officer

Etisalat, UAE

Mr. Mushtaq Ahmad Bhatti

Member Telecom
Government of Pakistan,
Islamabad

Mr. Fadhil Mohamed Erhama Al Ansari

Executive Vice President Engineering

Etisalat, UAE

Mr. Khursheed Ahmed Junejo

Ambassador, Embassy of Pakistan

Abu Dhabi, UAE

Mr. Abdulaziz Hamad Omran Taryam

General Manager, Northern Emirates

Etisalat, UAE

Dr. Ahmed Al Jarwa

General

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Manager
RealEstate
Etisalat, UAE

Ms. Farah Qamar

Company Secretary PTCL

PTCL Headquarters,
Islamabad
C u rren t PT C L N etw ork

July, 2010
Installed capacity 5273091
Working connections 4,405,161

Total exchanges 2962

Telephone density per 100 population 2.9

Countries on ISD/(ISD STATION) 242

Customer service centers 154

Card pay phone 387,490

NWD stations 2092

UIA stations 1898

Total length of main optical fiber link 4591km

Optical fiber short haul links 127.2km

These are few basic facts about PTCL network. So taking over from posts &
Telegraph Department in 1947 to now providing sate of art technology it is really big
achievement.

MISSION STATEMENT OF PTCL

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A company’s mission statement is typically focused on its present business

scope-“who they are and what they do” mission statement broadly describes an
organization’s present capabilities, customer focus, activities and business makeup2.
Pakistan Telecommunication company limited statement is stated as

1 An organizational environment that fosters professionalism, motivation and

quality.

2 An environment that is cost effective and conscious.

3 Services that are based on the most optimum technology.

4 “Quality” and “Time” conscious customer service.

5 Sustained growth in earnings and profitability.

STRATEGIC VISION OF PTCL

Strategic vision is a roadmap of a company’s future- providing specifics about
technology and customer focus, the geographic and product markets to be pursued,
the capabilities it plans to develop, and the kind of company that management is
trying to create4. Strategic vision of Pakistan Telecommunication Company is “to be
the leading ICT service provider in the region by achieving customer’s satisfaction
and maximizing shareholders value.

CORE VALUES OF PTCL

Values are general statements, procedures or understandings that guide or
channel thinking in decision making. It provides direction for action and regularizes
the decision making in certain circumstances.
Pakistan Telecommunication Company limited defines its values as

1 Professional Integrity

2 Customer Satisfaction

3 Teamwork

4 Company loyalty

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OBJECTIVES OF PTCL
Objectives are the ends towards which activity is aimed. These are the results to
be achieved. Pakistan Telecommunication Company limited states its objectives as
under

1. To provide quality services to its customers in Pakistan.

2. To provide maximum satisfaction to its customers by using the latest

technology.

3. To increase the worth of owners.

4. To lead the telecommunication industry in Pakistan.

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