FINANCIAL ANALYSIS AND

MANAGEMENT

MBA FEB
14

Assessment of the management strength of Maxis

including its SWOT analysis

Bomo Gilbert Bomo Iyo

Mina Alfred Ikiba

Seif Masoud

Love Belema Fenibo

Alphonse Balakh Ndiaye

INTRODUCTION

To succeed in todays global marketplace, successful

companies must offer competitive benefits to attract and
retain their workforce. But managing benefits plans in
multiple countries can be confusing, costly and timeconsuming. Thats where our case study, MAXIS Bhd,
leader in integrated communications service provider,
can be relevant for a better understanding.

Therefore, we will try to evaluate first of all the

management strength of MAXIS throughout some key
performances before assessing a detailed analysis of the
SWOT system of the company.

MANAGEMENT STRENGTH OF
MAXIS
High standards commitment of
GOVERNANCE

corporate governance along the

tenets of transparency, accountability,
integrity and performance. Achieved
through a balanced Board with a fair
representation
of
independent
directors,
remuneration
for
all
employees which lead to Maxis having
strong alliance with both international
and local firms such as, partnership
with ministry information, education,
Redtone so as to attain the outermost
competitive advantage
.

THE MAXIS MANAGEMENT STRENGTH IS EFFICIENT

AS A RESULT OF SERIES OF MGMT ACTIVITIES SUCH
AS:

FINANCE: A detailed budgeting and reporting

process have been established. Comprehensive
budgets are prepared by the operating units and
presented to the Board before the commencement
new financial year.

HUMAN RESOURCES: The firm has an established

Human Resource department responsible for
providing support in the various human resources
functions,

MARKETING: executives in Maxis Bhd are involved

in developing marketing campaigns that promote
a product, service or idea.

LOGISTICS : Maxis has chosen their best

partnership companies in order to manage and
assist in logistics department.

SWOT ANALYSIS OF MAXIS

Internal Environment
1. STRENGTHS

High network quality and customer

service

2.WEAKNESSES

Rural area cannot reach the network

Need to pay for maxis customer service

Have hidden charges for post-paid and

broadband

Market leadership and effective branding

Strong and effective distribution network

Experience management team

The mobile Internet is limited

Cash flow generation, financial discipline

and corporate governance

Largest subscriber base in Malaysia with

c. 39% share.

Network capacity expansion to consume

sizeable amount of profit at the initial
stages with high financing costs

Much wider 3G/3.5G coverage than Digi

and similar coverage as Celcom

SWOT ANALYSIS OF MAXIS

External Environment
CONTINUED
3. OPPORTUNITIES

4.THREATS

New mobile devices e.g. iPhone (4G) and

recently launched iPad drive demand for
broadband services.

Aggressive broadband promotions by

wireless competitors, including WiMAX
players.

Under-served broadband population offers

great growth opportunities.

Under competitive pressures.

Adjustments to interconnect rates may

pressure Maxis earnings, as the company is
a net receiver of calls.

Competitive operating landscape with large

and mid-size players having advantage of

Young society; 32% of the Malaysian

population is under 15 years old, which is a
prime target for broadband services over the
next 15 years.
Selective enterprise opportunities as Maxis
build backhaul capacity mainly for wireless
broadband; it can target some of the lucrative
enterprise business using the same backhaul
network

- Market leadership
- Economies of scale
- Stronger network capacity

Recognition and Awards

MALAYSIAS
TOP
3,
MOST
VALUABLE BRANDS AWARD THE
MAXIS BRAND IS WORTH OVER
RM10 BILLION

BEST
CORPORATE
SOCIAL
RESPONSIBILITY AWARD FROM
FINANCE ASIAS 2012 ASIAS BEST
MANAGED COMPANIES

209
SCHOLARSHIPS
FOR
DESERVING MALAYSIANS MAXIS
CYBERKIDS
PROGRAMME1,500
SCHOOLS, 8,600 STUDENTS AND
TEACHERS

Maxis was listed in 2009 as

having the most successful IPO
and ranked as the largest ever
growing firm in Malaysia and
south east Asia raising RM11.2
BILLION

Maxis is also the pioneer of

Malaysia's first NFC (Near Field
Communication) service called
FastTap. It integrates Touch 'n Go
and Visa Wave from Maybank

RECOMMENDATION

Focus on a limited number of goals

Stress major policies and values

Define major competitive spheres

More to come.

CONCLUSION

Despite all facts that come to blur our vision about the hidden policies and the
lack of efficiency in major parts of the companys business, it is also interesting
to recognize the consistent efforts of Maxis for trying to maintain his leadership
by defining innovative strategies and strengthening his corporate governance.

Results can speak louder than simple words of statement. Consumers are still
holding the power of choice and purchase, therefore a true chain value and an
efficient costumer relation service will both be the critical points in which
companies will need to improve more and more to differentiate themselves and
ensure true life value for their customers.