A

Research Report on

CUSTOMER RELATIONSHIP MANAGEMENT

IN
BHARAT SANCHAR NIGAM LIMITED

A Research report Submitted to Raj Sms in the Partial fulfillment of the Requirement for the Award of the
Degree of

MASTER OF BUSINESS ADMINISTRATION

SESSION: 2014-2016

SUBMITTED TO:

SUBMITTED BY:

PRATIBHA SHARMA

NITISH SRIVASTAVA

ASSISTANT PROF.

MBA- IV SEM

RAJ SMS

ROLL NO: 1474770027

AFFILIATED TO DR. APJ ABDUL KALAM TECHNICAL

UNIVERSITY, LUCKNOW

PREFACE
If we want to go global in the world market then we must know the trend of the
market, what features must be there in the product so that it should get popularity
among the masses and also should know about competitors position in every field.
The objective of survey is to know the Customer Relation towards BSNL in the
market and we must know what should be the price range and what types of
marketing should be done so that it gets familiar with every type of person. So needs
and objectives of the market survey is very important to get a good market share,
stand in the market and to survive the business in the present competitive world
where there is a trend of cutthroat competition.
BSNL is a leading Govt. company in Telecom Industry. So its needed to consider
the Customer Relation toward the BSNL.

NITISH SRIVASTAVA

ACKNOWLEDGEMENT.

I would like to express my Sincere thanks to MS. SHIVA SINGH

(HOD RAJ SMS) his Constructive Cooperation and Valuable Guidance throughout
the Course and also during the Project Work.
I am Grateful to my Project guide MS. PRATIBHA SHARMA, MBA,
lecturer in management Studies for his valuable guidance and Suggestions to
complete this project report successfully.
I

am also thankful to, MR. RAHUL MISHRA DEPUTY DIRECTOR.

Express my thanks to for providing me with the opportunity to do my project in their

organization.
I express my thanks to my parents, and friends who helped and
supported me a great extent to complete this Project. Further I thank the Almighty in
bestowing his blessings on me for Successful completion of my studies.

NITISH SRIVASTAVA
MBA IV SEM
ROLL NO. 1474770027

DECLARATION

I here declare that report entitled CUSTOMER RELATIONSHIP

MANAGEMENT OF BSNL submitted by me in partial fulfillment of the
requirements for degree of MBA, is my original work and that it has not
previously formed the basis for the award of any other Degree, diploma,
fellowships or any others titles.

NAME

NITISH SRIVASTAVA

ROLL NO

1474770027

Place:
Date:

Candidate Signature

CONTENTS
CHAPTER-I

INTRODUCTION OF THE STUDY

OBJECTIVES OF THE STUDY

SCOPE OF THE STUDY

METHODOLOGY OF STUDY

LIMITATIONS OF THE STUDY

CHAPTER-II

42

LITRATURE REVIEW

CHAPTER-V

23

COMPANY PROFILE

CHAPTER-IV

15

INDUSTRY PROFILE

CHAPTER-III

74

ANALYSIS & INTERPRETATION

CHAPTER-VI

FINDINGS

SUGGESTIONS

BIBLIOGRAPHY
QUESTIONNAIRE

86

88
89-90

INTRODUCTION
Customer relationship management (CRM), is a number of
strategies and technologies that are used to build stronger relationships
between companies and their customers. A company will store information
that is related to their customers, and they will spend time analyzing it so
that it can be used for this purpose.
Some of the methods connected with CRM are automated, and the
purpose of this is to create marketing strategies which are targeted towards
specific customers. The strategies used will be dependent on the
information that is contained within the system. Customer relationship
management is commonly used by corporations, and they will focus on
maintaining a strong relationship with their clients.
There are a number of reasons why CRM has become so important
in the last 10 years. The competition in the global market has become
highly competitive, and it has become easier for customers to switch
companies if they are not happy with the service they receive. One of the
primary goals of CRM is to maintain clients. When it is used effectively, a
company will be able to build a relationship with their customers that can
last a lifetime. Customer relationship management tools will generally
come in the form of software. Each software program may vary in the way
it approaches CRM. It is important to realize that CRM is more than just a
technology.Customer relationship management could be better defined as
being a methodology, an approach that a company will use to achieve
their goals. It should be directly connected to the philosophy of the
company. It must guide all of its policies, and it must be an important part

of customer service and marketing. If this is-"not done, the CRM system
will become a failure. There are a number of things the ideal CRM system
should have. It should allow the company to find the factors that interest
their customers the most. A company must realize that it is impossible for
them to succeed if they do not cater to the desires and needs of their
customers. Customer relationship management is a powerful system that
will allow them to do this.

It is also important for the CRM system to foster a philosophy

that is oriented towards the customers. While this may sound like common
sense, there are a sizeable number of companies that have failed to do it,
and their businesses suffered as a result. With CRM, the customer is
always right, and they are the most important factor in the success of the
company. It is also important for the company to use measures that are
dependent on their customers. This will greatly tip the odds of success in
their favor. While CRM should not be viewed as a technology, it is
important to realize that there are end to end processes that must be
created so that customers can be properly served. In many cases, these
processes will use computers and software.

Customer support is directly connected to CRM. If a company fails

to provide quality customer support, they have also failed with their CRM
system. When a customer makes complaints, they must be handled quickly
and efficiently. The company should also seek to make sure those mistakes
are not repeated. When sales are made, they should be tracked so that the
company can analyze them from various aspects. It is also important to
understand the architecture of Customer relationship management. The
architecture of CRM can be broken down into three

categories, and these are collaborative, operational, and analytical. The

collaborative aspect of CRM deals with communication between
companies and their clients.
The telecommunications market, in the last few years, has seen incredible
Technological advancement, which has fueled massive consumer adoption
and brutal competition driven by commoditization. To drive profits in this
business. You must increase the average lifetime value per customer and
minimize the service cost even as service choices increase. Common to all
of our customers in the telecom sector is an abiding belief in delivering the
best service to customers by investing in technology that empowers
consumers and service agents to have intelligent, productive conversations.
In a marketplace where consumers are increasingly aware of their choices,
consistent service quality is the foundation of a durable brand.

TELECOMMUNICATION SECTOR
The sector that includes the telecommunications service providers,
network operators, regulators, manufacturers, subscribers, and users.
The telecom sector has seen much change during the past two
decades. At first, it was the opining up of the equipment manufacturing
sector, followed by the corporatisation of the government owned entities,
Videsh Sanchar Nigam Limited (VSNL) and Mahan agar Telephone
Nigam Limited (MTNL). Subsequently, the sector was opened for private
participation in basic other value added services. The most recent
liberalization moves have been the corporatization of the Department
of Telecom into Bharat Sanchar Nigam Limited (BSNL) and the
privatization of VSNL.

CRM AND THE TELECOM SECTOR

An effective CRM system includes tools such as a skilled customer care
staff and leading edge automation and workflow management software
platforms. With this tool, it is possible for a telecom company to track
sales enquiries, trouble tickets, emails, telephone calls, and customer
satisfaction surveys.

INDUSTRY CHALLENGES AND E-GAIN SOLUTIONS

CUSTOMER SERVICE IS KEY TO SALES AND LOYALTY
Telecom, especially mobile telecom, is a highly competitive and
increasingly mature market. As network coverage, handsets, and price
plans become less important as differentiators, customer service is
increasingly seen as the key factor in customer acquisition and customer
retention.
INCREASING PRODUCT AND SERVICE COMPLEXITY:
Mobile telephony providers face a significant challenge to introduce and
support the range of new products and services such as email, multimedia
messaging, and synchronization with handheld devices, etc.
Aliant, for instance, has achieved a 17% reduction in call handle
time, which is translates to a saving of approximately $ 1.5 million in
operating staff expenses

THE OPPORTUNITY FOR SELF-SERVICE:

Organizations would like to reduce the costs of customer care by
deflecting calls to web-based service channels, preferably to self-service.
CUSTOMER SERVICE BECOMES THE DIFFERENTIATOR:
With the commoditization of products and services, fuelled by greater
access to competitive information over the web, customer service is one of
the few ways organizations can themselves and increase market share.

OBJECTIVES OF THE STUDY

To find out the relationship by knowing the satisfaction level of

subscribers about the telecom industry.
To know the customer opinion about tariff rates of BSNL.
Creating awareness to BSNL subscribers about the facilities in
prepaid and postpaid connections.
Analyzing the problem faced by BSNL subscribers
Analyzing which connection is more used by customers.
Analyzing which type of topping is more used by customers.
Analyzing the satisfaction level of customers towards BSNL
connection.

SCOPE OF THE STUDY:

The study is conducted on BSNL prepaid and postpaid users at 'BSNL
CUSTOMER SERVICE CENTER. The study is confined to the area
of RAJAHMUNDRY. The size of the sample was 50.

RESEARCH METHODOLOGY

MARKETING RESEARCH
Definition of marketing research is approved by the board of the American
Marketing Association (AMA) is:
"Marketing research is the functions which links the customer and public
To marketer through information used to identity and define marketing
Opportunities and problems; generate define and evaluate, marketing
Actions, monitor marketing performance, and improve understanding of
Marketing as a process. Simply, marketing research is the systematic
design, collection, analysis and Reporting of the data findings relevant to a
specific marketing situation facing the company.
Careful planning through all stages of the research is a necessity.
Objectivity in research is all- important. The heart of the scientific method
is The objective gathering and analysis of the information.
The

function of marketing research within a company is to

provide the Information and analytical inputs necessary for effective Planning of future marketing activity.
Control of marketing operations in the present.
Evaluation of marketing results.

A research may undertake any of three types of research

investigations depending upon the problem. These three types of research
included.
Basic research
Applied research
Designated fact gathering

BASIC RESEARCH
It is also known as the pure fundamental research which refers to those
studies, sole purpose of which is the discovery of new information. It is
conducted to extend the horizon in given area of knowledge with no
immediate application to existing problem.

APPLIED RESEARCH
It is an attempt to apply the various marketing techniques, which have
been developed as research, first and later on they become applied
research techniques. It is an attempt to apply the basic principles and
existing knowledge for the purpose of solving the operational problems.

DESIGNATED FACT GATHERING

It refers to a research where the investigator attempts nearly to gather
some predetermined data.

Steps in Marketing Research Process

Marketing Research Process can be carried out through the following
steps:

Define the problem and research objectives

Develop the research plan

Collect the information

Analysis and interpretations

Present the findings

DEFINE THE PROBLEM AND RESEARCH OBJECTIVES

In a very sense, this is the heart of the research process. This is the first
step,which calls for the marketing manage and marketing research.
RESEARCH PLAN DEVELOPMENT
The second calls for developing the most efficient plan for gathering the
needed information. Not to forget the cost or values of research the
Marketing manager must estimate process its approval, Research plan
calls For decision on
a) Data source
I.
II.

Primary data to be collected for a specific purpose,

Secondary data collected for another purpose and already
existing somewhere.

1. Research Approaches: Primary data can be collected in four ways:

1. Observational research
2. Focus group research
3. Survey research
4. Experimental research
2.

Research Instruments: Marketing researchers can use questionnaires

in collecting of primary data, because of its flexibility, questionnaires is

by for the most common instrument used to collect primary data.
3. Sampling Plan: This plan calls for the three aspects:a) Define the sampling unit.
b) Decide the sample size.
c) Decide the sampling procedure whether to use probability or
non-probability sampling methods.

4. Contract method: once the sampling plan has been determined, this has
to decide how the subject should be contacted. The choices are mail,
telephone or research interviews.
COLLECTION OF INFORMATION
Data collection phase is generally the most expensive and the most phase
to error. Carry out the field Work, collect data using the instruments, adjust
the Problem of not at homes, replaced, refusal to co-operate, biased or
dishonest answers.
ANALYSIS AND INTERPRETATIONS
The next to last step is to extract pertinent findings from the collected data.
The researcher edits, code, tabulate the collected data.
PRESENTATION OF FINDINGS
As the last step in marketing research the researchers present the findings.
The researchers have to arrange the researched result according to an
approved reporting format, get the report typed and bound, present the
copies of the report to the concerned authorities.
RESEARCH METHODOLOGY/ DESIGN
The methodology adopted for eliciting the data required for the study was
survey method. It is the overall pattern or framework of the project that
will dictate as to what information is to be collected, from which sources
and by what procedures.

RESEARCH METHOD
Research methodology must be classified on the basis of the major
purpose of the investigation. In this problem, description studies have
been under- taken, as the objective of the project is to conduct the market
share study to determine the share of the market received by both the
company and it's competitors,
DATA COLLECTION
The information needed to further proceed in the project had been
collected through primary data and secondary data.
PRIMARY DATA
Primary data consists of information collected for the specific purpose at
hand for the purpose of collecting primary data. Survey research is the
approach best suited gathering description,
SECONDARY DATA
The secondary data consists of information that already exist somewhere,
Having been collected for another purpose. Any researcher begins the
research work by first going through the secondary data. Secondary data
includes the information available with the company.
It may be the findings of research previously done in the field.
Secondary data can also be collected from magazines, newspapers, other
surveys conducted by known research agencies etc.

RESEARCH METHODOLOGY
The respondents are the mobile connection holders with BSNL toppings
facilities. The survey was carried in BSNL CUSTOMER SERVICE
CENTER at Rajahmundry with the sample size of 50. The survey was
carried out with the help of a structured questionnaire, which helps in
accomplishing the research objectives. The respondents by means of
personal interview administer this structured ended questionnaire.

LIMITATIONS

The present study is subjected to following LIMITATIONS.

Method of data collection was through personal interview and
therefore bias becomes a major limitation.
Due to the time constraints all the customers were not covered.
The sample was restricted to 50 customers, which may restrict the
scope and completion of study.
The scope of study is restricted only to the Rajahmundry.
Owing to their pre occupation some customers were unable to
answer the complete questionnaire.

INDUSTRY PROFILE
The telecom network in India is the fifth largest network in the world
meeting up with global standards. Presently, the Indian telecom industry is
currently slated to an estimated contribution of nearly 1% to India's
The Indian. Telecommunications network with 110.Q1 million
connections is the fifth largest in the world and the second largest among the
emerging economies of Asia. Today, it is the fastest growing market in the
world and represents unique opportunities for U.S. companies in the stagnant
global scenario. The total subscriber base, which has grown by 40% in 2005,
is expected to reach 250 million in 2015. According to Broadband Policy
2004, Government of India aims at 9 million broadband connections and 18
million internet connections by 2015. The wireless subscriber base has
jumped from 33.69 million in 2004 to 62.57 million in FY2004- 2005. In the
last 3 years, two out of every three new telephone subscribers were wireless
subscribers. Consequently, wireless now accounts for 54.6% of the total
telephone subscriber base, as compared to only 40% in 2003. Wireless
subscriber growth is expected to bypass 2.5 million new subscribers per
month by 2015. The wireless technologies currently in use are Global System
for Mobile Communications (GSM) and Code Division Multiple Access '
(CDMA).. There are primarily 9 GSM and 5 CDMA operators providing
mobile services in 19 telecom circles and 4 metro cities, covering 2000 towns
across the country.

Evolution of the industry-Important Milestones

History of Indian Telecommunications
Year
1851

First operational land lines were laid by the government near

Calcutta (seat of British power)

1881

Telephone service introduced in India

1883

Merger with the postal system

1923

Formation of Indian Radio Telegraph Company (IRT)

1932

Merger of ETC and IRT into the Indian Radio and Cable
Communication Company (IRCC)

1947

Nationalization of all foreign telecommunication companies to

form the Posts, Telephone and Telegraph (PTT), a monopoly
run by the government's Ministry of Communications

1985

Department of Telecommunications (DOT) established, an

exclusive provider of domestic and long-distance service that
would be its own regulator (separate from the postal system)

1986

Conversion of DOT into two wholly government-owned

companies: the Videsh Sanchar Nigam Limited (VSNL) for
international telecommunications and Mahanagar Telephone
Nigam Limited (MTNL) for service in metropolitan areas.

1997

Telecom Regulatory Authority of India created.

1999

Cellular Services are launched in India. New National

Telecom Policy is adopted.

2000

DoT becomes a corporation, BSNL.

Major Players
There are three types of players in telecom services:
-State owned companies (BSNL and MTNL)
-Private

Indian

owned

companies

(Reliance

Infocomm,

Tata

Teleservices,)
-Foreign invested companies (Hutchison-Essar, Bharti Tele-Ventures,
Escotel, Idea Cellular, BPL Mobile, Spice Communications)
BSNL
On October 1, 2000 the Department of Telecom Operations, Government of
India became a corporation and was renamed Bharat Sanchar Nigam Limited
(BSNL). BSNL is now India's leading telecommunications company and the
largest public sector undertaking. It has a network of over 45 million lines
covering 5000 towns with over 35 million telephone connections.
The state-controlled BSNL operates basic, cellular (GSM and
CDMA) mobile, Internet and long distance services throughout India
(except Delhi and Mumbai). BSNL will be expanding the network in line
with the Tenth Five-Year Plan (1992-97). The aim is to provide a
telephone density of 9.9 per hundred by March 2015. BSNL, which
became the third operator of GSM mobile services in most circles, is now
planning to overtake Bharti to become the largest GSM operator in the
country. BSNL is also the largest operator in the Internet market, with a
share of 21 per cent of the entire subscriber base.

BHARATI:

Established in 1985, Bharti has been a pioneering force in the telecom

sector with many firsts and innovations to its credit, ranging from being
the first mobile service in Delhi, first private basic telephone service
provider in the country, first Indian company to provide comprehensive
telecom services outside India in Seychelles and first private sector service
provider to launch National Long Distance Services in India. Bharti TeleVentures Limited was incorporated on July 7, 1995 for promoting
investments in telecommunications services. The group has a total
customer base of 6.45 million, of which 5.86 million are mobile and
588,000 fixed line customers, as of January 31, 2004. In mobile, Bharti's
footprint extends across 15 circles.

MTNL:
MTNL was set up on 1st April 1986 by the Government of India to
upgrade the quality of telecom services, expand the telecom network,
introduce new services and to raise revenue for telecom development
needs of India's key metros - Delhi, the political capital, and Mumbai, the
business capital. In the past 17 years, the company has taken rapid strides
to emerge as India's leading and one of Asia's largest telecom operating
companies. The Govt, of India currently holds 56.25% stake in the
company.

MTNL has over 5 million subscribers and 329,374 mobile

subscribers. While the market for fixed wire line phones is stagnating,
MTNL faces intense competition from the private playersBharti,
Hutchison and Idea Cellular, Reliance Infocommin mobile services.
MTNL recorded sales of Rs. 60.2 billion ($1.38 billion) in the year 200203, a decline of 5.8 per cent over the previous year's annual turnover of
Rs.63.92 Billion.
RELIANCE INFOCOMM:
Reliance is a $16 billion integrated oil exploration to refiner}' to power
and textiles conglomerate. It is also an integrated telecom service provider
with licenses for mobile, fixed, domestic long distance and international
services. Reliance Infocomm offers a complete range of telecom services,
covering mobile and fixed line telephony including broadband, national
and international long distance services, data services and a wide range of
value added services and applications. Reliance India Mobile, the first of
Infocomm's initiatives was launched on December 28, 2002. This marked
the beginning of Reliance's vision of ushering in a digital revolution in
India by becoming a major catalyst in improving quality of life and
changing the face of India.lt has rolled out its CDMA mobile network and
enrolled more than 6 million subscribers in one year to become the
country's largest mobile operator. It now wants to increase its market share
and has recently launched pre-paid services. Having captured the voice
market, it intends to attack the broadband market.

TATA TELESERVICES:
Tata Teleservices is a part of the $12 billion Tata Group, which has 93
companies, over 200,000 employees and more than 2.3 million
shareholders. Tata Teleservices provides basic (fixed line services), using
CDMA technology in six circles: Maharashtra (including Mumbai), New
Delhi, Andhra Pradesh, Tamil Nadu, Gujarat, and Karnataka. It has over
800,000 subscribers. It has now migrated to unified access licenses, by
paying a Rs. 5.45 billion ($120 million) fee, which enables it to provide
fully mobile services as well.
The company is also expanding its footprint, and has paid Rs. 4.17
billion ($90million) to DoT for 11 new licenses under the IUC
(interconnect usage charges) regime. The new licenses, coupled with the
six circles in which it already operates, virtually gives the CDMA mobile
operator a national footprint that is almost on par with BSNL and
Reliance Infocomm. The company hopes to start off services in these 11
new circles by August 2004. These circles include Bihar, Haryana,
Himachal Pradesh, Kerala, Kolkata, Orissa, Punjab, Rajasthan, Uttar
Pradesh (East) & West and West Bengal.

BSNL:
On April 1, 1986, the Videsh Sanchar Nigam Limited (VSNL) - a
wholly Government owned corporation - was born as successor to OCS.
The company operates a network of earth stations, switches, submarine
cable systems, and value added service nodes to provide a range of basic
and value added services and has a dedicated work force of about 2000

employees. VSNL's main gateway centers are located at Mumbai, New Delhi,
Kolkata and Chennai. The international telecommunication circuits are
derived via Intelsat and Inmarsat satellites and wide band submarine cable
systems e.g. FLAG, SEA-ME-WE-2 and SEA-ME-WE-3.

COMPANY PROFILE

Type

State-owned

Founded

19th century, incorporated 2000

Headquarters

Bharat Sanchar Bhavan,

HarishChandra
Mathur Lane,Janapth,New Delhi

Key people

Kuldeep Goyal(Chairman) & (MD)

Industry

Telecommunications

Products

wire!ess,telephone internet
television

Revenue

USS 7.03 billion (2009)

Owners(s)

The Government of India

Employees

357,000-march 31,2009

Web site

www.bsnl.co.in

Bharat

Sanchar

Communications

Nigam

Limited

Corporation

(known

Limited)

is

as

BSNL,
a

India

state-owned

telecommunication company in India. BSNL is the fourth largest cellular

service provider, with over 53.96 million customers as of March 31, 2009
and the largest land line telephone provider in India. Its headquarters are at
Bharat Sanchar Bhawan, Harish Chandra Mathur Lane, Janpath, New
Delhi. It has the status of Mini Ratna, a status assigned to reputed public
sector companies in India.
BSNL is India's oldest and largest Communication Service Provider
(CSP). Currently has a customer base of 90 million as of June 2008. f3] It
has footprints throughout India except for the metropolitan cities of
Mumbai and New Delhi which are managed by MTNL. As on March 31,
2008 BSNL commanded a customer base of 31.55 million Wire line, 4.58
million CDMA-WLL and 54.21 million GSM Mobile subscribers. BSNL's
earnings for the Financial Year ending March 31, 2009 stood at INR
397.15b (US$7.03 billion) with net profit of INR 78.06b (US$1.90
billion). BSNL has an estimated market value of $ 100 Billion. The
company is planning an IPO within 6 months to offload 10% to public in
the Rs 300-400 range valuing the company at over $100 billion.
Bharat Sanchar Nigam Ltd. formed in October, 2000, is World's 7th
largest Telecommunications Company providing comprehensive range of
telecom services in India: Wire line, CDMA mobile, GSM Mobile,
Internet, Broadband, Carrier service, MPLS-VPN, VSAT, VoIP services,
IN Services etc. Presently it is one of the largest & leading public sector
units in India.

BSNL has installed Quality Telecom Network in the country and

now focusing on improving it, expanding the network, introducing new
telecom services with ICT applications in villages and wining customer's
confidence. Today, it has about 47.3 million line basic telephone capacity,
4 million WLL capacity, 49.76 Million GSM Capacity, more than 37382
fixed exchanges, 46565 BTS, 3895 Node B ( 3G BTS), 287 Satellite
Stations, 480196 Rkm of OFC Cable, 63730 Rkm of Microwave Network
connecting 602 Districts, 7330 cities/towns and 5.5 Lakhs villages.
BSNL is the only service provider, making focused efforts and
planned initiatives to bridge the Rural-Urban Digital Divide ICT sector. In
fact there is no telecom operator in the country to beat its reach with its
wide network giving services in every nook & corner of country and
operates across India except Delhi & Mumbai. Whether it is inaccessible
areas of Siachen glacier and North-eastern region of the country, BSNL
serves its customers with its wide bouquet of telecom services.
BSNL is numerous uno operator of India in all services in its
license area. The company offers vide ranging & most transparent tariff
schemes designed to suite every customer.
BSNL cellular service, Cell One, has 55,140,282 2G cellular
customers and 88,493 3G customers as on 30.11.2009. In basic services,
BSNL is miles ahead of its rivals, with 35.1 million Basic Phone
subscribers i.e. 85 per cent share of the subscriber base and 92 percent
share in revenue terms.

BSNL has more than 2.5 million WLL subscribers and 2.5 million
Internet Customers who access Internet through various modes viz. Dialup, Leased Line, DIAS, Account Less Internet (CLI). BSNL has been
adjudged as the NUMBER ONE ISP in the country.
BSNL has set up a world class multi-gigabit, multi-protocol
convergent IP infrastructure that provides convergent services like voice,
data and video through the same Backbone and Broadband Access
Network. At present there are 0.6 million Data One broadband customers.
The company has vast experience in Planning, Installation, network
integration and Maintenance of Switching & Transmission Networks and
also has a world class ISO 9000 certified Telecom Training Institute.
Scaling new heights of success, the present turnover of BSNL is more than
Rs.351,820 million (US $ 8 billion) with net profit to the tune of Rs.99,390
million (US $ 2.26 billion) for last financial year. The infrastructure alone
is worth aboutRs.630, 000million (US$14.37billion). BSNL plans to
expand its customer base from present 47 million lines to 125 million lines
by December 2015 and infrastructure investment plan to the tune of Rs.
733 crores (US$ 16.67 million) in the next three years.
The turnover, nationwide coverage, reach, comprehensive range of
telecom services and the desire to excel has made BSNL the No. 1
Telecom Company of India

VISION
To become the largest telecom Service Provider in Asia.
Be the leading Telecom Service Provider in India with global

presence. Create a customer focused organization with excellence in

sales, marketing and customer care.
Leverage

technology to provide affordable and innovative

products/services across customer segments provide a conducive

work environment with strong focus on performance Establish
efficient business processes enabled by IT.

MISSION
To provide world class State-of-art technology telecom services to
its customers on demand at competitive price,
To Provide world class telecom infrastructure in its area of
Operation and to contribute to the growth of the country's economy.

OBJECTIVES
To be the Lead Telecom Services Provider.
To provide quality and reliable fixed telecom service to our
customer and thereby increase customer's confidence.
To provide mobile telephone service of high quality and become
no. 1 GSM operator in its area of operation.
To provide point of interconnection to other service provider as per
their requirement promptly.
To facilitate R&D activity in the country.

GROWTH PLAN
BSNL's future plan include a fast expansion programme of increasing the
present 34 million lines to twice that number by 2005 and some 120
million lines by 2010.
The shift in demand from voice to data domination, and from wire
line to wireless, has revolutionized the very nature of the network. BSNL
has already set in place several measures that should enable it to evolve
into a fully integrated multi-operator by 2005 and its incumbent status,
size, infrastructure and human resource should certainly, give it a distinct
advantage.
Consolidation of the network and maintaining high quality of
service comparable to International standards is the key aim of the Growth
Plan. Objective of the plan are:

The telephone connection shall be provided on demand and it shall

be sustained

The Network shall be made fully digital. All the technologically

obsolete analog exchanges will be replaced with digital exchanges

To provide digital transmission links up to all SDCAs.

Digital connectivity shall be made available to all the exchanges by

2015.

Extensive use of Optical fiber System in the local, Junction and

long distance network so as to make available sufficient
bandwidth for the spread of Internet and Information
technology.

ISDN services shall be extended to all the district headquarters,

subject to demand.

To provide Intelligent Network Services, progressively all over

the country (major cities have already been covered).

To set up Internet Nodes progressively up to District

headquarters level.

Upgrading existing STD/ISD PCOs to full fledged Public TeleInfo Centers (PTIC) for supporting Multimedia capability and
Internet Access.

Replacement of life expired, analogue coaxial and radio

systems.

Introduction of Wireless technology (Supporting Internet

Access) and optical fiber technology in subscriber loop.
Introduction of latest telecom services like National directory
enquiry, computerization etc.

Cellular Mobile Service 'Cell One' of BSNL was launched on

19th October 2002 . The scheme will cover 4 million
customers in two phases. Phase-I will cover about 1.5 million
customers covering about 1000 cities during 2002-03, which
will be expanded to 4 million in phase-II.

PROJECTS RECENTLY IMPLEMENTED/UNDER

DEVELOPMENT
National Internet Backbone of BSNL
Voice over IP
Broadband Services - ADSL & High Speed Internet
Managed Leased Line Network (MLLN)
Access Network - LMDS, DLCs, RLC etc.
Internet Exchange Points - IXP & Internet Data Centers (IDC)
E-Commerce.

National Internet Backbone OF BSNL

The National Internet Backbone of BSNL consists of 432 Point of
Presence( POP) that gives it the capability of transporting IP traffic from
every hook and corner of the country.

This network provides internet

services to more than 1 million dial-up customers including about 3.5 lakh
customers on CLI basis.
2nd in the line of IP network, BSNL commissioned a state-of-the-art
Multi Protocol Label Switching (MPLS) NETWORK TAKING India into
the next stage of the IP evolution. This network has 10 physical nodes
with all district headquarters designated as virtual nodes. This network has
opened up a new market segment of secure and reliable Virtual Private
Networks (VPNs) for corporate customers.

The latest endeavor of BSNL is a world-class multi-gigabit multiprotocol, convergent IP infrastructure which will provide voice, data and
video services through the same backbone. In terms of infrastructure for
broadband services, this would put India at par with more advanced
nations. Designated as NIB-II this will be implemented in the form of four
projects.
Project 1 involves building up of MPLS backbone
Project 2.1 is for narrow band access
Project 2.2 is for broadband access
Project 3 is to put systems and processes in place to integrate
network
All the above projects in form of NIB-II are at different stages of
implementation and as per schedule .They will be operational in the third
quarter of this year.
The services that will be available to customers when NIB-II is in place:
Narrowband and broadband Internet access.
Narrowband and broadband Internet access.
Managed OPE
Value Added Services like encryption, firewall and NAT
Messaging: Plain Vanilla and feature rich
Data Center Services: web hosting and web-collocation.
Content based Services: e.g. video multicast, video on demand,
interactive gaming.

SERVICES
When it comes to connecting the four comers of the nation, and much
beyond, one solitary name lies embedded at the pinnacle - BSNL. A
company that has gone past the number games and the quest to attain the
position of a leader. It is working round the clock to take India into the
future by providing world class telecom services for people of India. BSNL
is India's no. 1 Telecom Service provider and most trusted Telecom brand
of the Nation.
Driven by the very best of telecom technology from chosen global
leaders, it connects each inch of the nation to the infinite corners of the
globe, to enable you to step into tomorrow.
Here is an overview of the World Class services offered by the BSNL:

Basic Telephone Services

The Plain old, Countrywide telephone Service through 32,000 electronic
exchanges. Digitalized Public Switched Telephone Network (PSTN) with
a host of Phone Plus value additions.
BSNL launched DataOne broadband service in January 2005
which shall be extended to 198 cities very shortly. The service is being
provided on existing copper infrastructure on ADSL2 technology. The
minimum speed offered to the customer is 256 Kbps at Rs. 250/- per
month only. Subsequently, other services such as VPN, Multicasting,
Video Conferencing, Video-on-Demand, Broadcast application etc will be
added.

INTERNET
Keeping the global network of Networks networked, the countrywide
Internet Services of BSNL under the brand name includes Internet dial up/
Leased line access, CLI based access (no account is required) and DIAS
service, for web browsing and E-mail applications. You can use your
dialup sancharnet account from any place in India using the same access
no '172233', the facility which no other ISP has. BSNL has customer base
of more than 1.7 million for sancharnet service.
BSNL also offers Web hosting and co-location services at very cheap
rates.
ISDN
Integrated Service Digital Network Service of BSNL utilizes a unique
digital network providing high speed and high quality voice, data and
image transfer over the same line. It can also facilitate both desktop video
and high quality video conferring.
INTELLIGENT NETWORK
Intelligent Network Service (In Service) offers value-added services, such
as:
India Telephone Card (Prepaid card)
Free Phone Service (FPH)
Account Card Calling (ACC)
Virtual Private Network (VPN)
Tele-voting
Premium Rae Service (PRM)

 Universal Access Number (UAN) and more

I-NET:
India s x.25 based packet Switched Public Data Network is operational in
104 cities of the country. It offers x.25 x.28 leased, x.28 Dial up (PSTN)
Connection) and frame relay services.

LEASED LINES & DATACOM

BSNL provides leased lines for voice and data communication for various
application on point to point basis. It offers a choice of high, medium and
low speed leased data circuits as well as dial-up lines. Bandwidth is
available on demand in most cities. Managed Leased Line Network
(MLLN) offers flexibility of providing circuits with speeds of nx64 kbps
up to 2mbps, useful for Internet leased lines and International Principle
Leased Circuits (IPLCs).

CELLULAR MOBILE SERVICES

POSTPAID & PREPAID
BSNL's GSM cellular mobile service Cellone has a customer base of over
5.2 million. BSNL Mobile provides all the services like MMS, GPRS,
Voice Mail, E-mail, Short Message Service (SMS) both national and
international, unified messaging service (send and receive e-mails) etc.
You can use BSNL Mobile in over 160 countries worldwide and in 270
cellular networks and over 1000 cities/towns across India. It has got
coverage in all National and State Highways and train routes. BSNL
Mobile offers all India Roaming facility to both pre-paid and post-paid
customers (including Mumbai & Delhi).

WIRELESS IN LOCAL LOOPS:

This is a communication system that connects customers to the Public
Switched Telephone Network (PSTN) using radio frequency signals as a
substitute for conventional wires for all or part of the connection between
the subscribers and the telephone exchange.
Countrywide WLL is being offered in areas that are non-feasible for
the normal network.
Helping relieve congestion of connections in the normal cable/wire
based network in urban areas.
Connecting the remote and scattered rural areas.
Limited mobility without any air-time charge

BROADBAND SERVICES;
BSNL is in the process of commissioning of a world class, multi-gigabit,
multi-protocol, convergent IP infrastructure through National Internet
Backbone-II (NIB-II), that will provide convergent services through the
same backbone and broadband access network. The Broadband service
will be available on DSL technology (on the same copper cable that is
used for connecting telephone), on a countrywide basis spanning 198
cities.
In terms of infrastructure for broadband services NIB-II would put
India at par with more advanced nations. The services that would be
supported includes always-on broadband access to the Internet for
residential and business customers, Content based services, Video
multicasting, Video-on-demand and Interactive gaming, Audio and Video
conferencing, IP Telephony, Distance learning, Messaging: plain and

feature rich, Multi-site MPLS VPNs with Quality of Service (QoS)

guarantees. The

subscribe will be able to access the above services

through Subscriber Service Selection System (SSSS) portal.

Key Objectives
To provide high speed Internet connectivity (up to 8 Mbps)
To provide dial VPN service to MPLS VPN customers.
To provide Virtual Private Network (VPN) service to the broadband
customers
To provide multicast video services, video-on-demand, etc. through
the Broadband Remote Access Server (BRAS).
To provide a means to bill for the aforesaid services by either timebased or volume-based billing. It shall provide the customer with
the option to select the services through web server
To provide both pre-paid and post paid broadband services
Services available through Broadband
High speed Internet Access: This is the always-on Internet access
service with speed ranging from 256 kbps to 8 Mbps.
Multicasting: This is to provide video multicast services for
application in distance education, telemedicine etc
Dial VPN Service: This service allows remote users to access their
private network securely over the NIB-II infrastructure.
Video and Audio Conferencing
Content based Services: Like Video on Demand, Interactive
Gaming, Live and time shifted TV

Several Steps have been taken at BSNL to augment the quality of

customer care to international standards.
Access round the clock help at following toll free numbers
Dataone Broadband' 1600-424-1600'
PSTN Call Center' 1500' (in select states)
Sancharnet Help Desk' 1957'
CellOne all India Help '9400024365'
All BSNL Customer Service Centers (CSCs) remain open on all seven
days from 8.00 AM to 8.00 PM without any break for all activities.
Cheque deposit machines have also been installed in many cities, so
that customers can make payments 24X7 at their convenience.
Customers can also make payments by cheque/Demand Draft to BSNL
franchisees all over the country.
With a view to simplify and offer customer friendly services, more than
one Bfone connections can be applied on a single application form.
Accordingly, a single demand note would be issued to the customer in
respect of all the connections applied for.
Shifting charges for local as well as all India shifting of fixed telephone
(bfone) has been abolished.
Pagers being given to outdoor staff in a phased manner for speedy
rectification of faults.
Majority of the local network is built up on jelly filled and OFC for
trouble free service.

 Internal Distribution Points (DPs) being provided in the customer

premises to eliminate the faults arising out of overhead wires.
Extensive use of digital loop carrier (DLC)/Wireless in Local Loop
(WLL) system for improving reliability of external plant.
Remote Line Units (RLUs). Remote subscriber Units (RSUs) being
provided extensively to reduce the long lengths of copper cables.
Establishing call centers across the nation to provide single window
solutions and convenience to customers
Countrywide Network Management & Surveillance System
(NMSS) to ensure uninterrupted and efficient flow of telecom
traffic.
Application Forms for new connections have been made free of
charge for all services
Procedure for restoration of telephones disconnected due to nonpayment simplified and powers delegated to Secondary Switching
Area (SSA) heads
Payment of telephone bills being received on Saturday and Sunday
through cheques in City Telecom Offices (CTOs).
More than one Public Call Office(PCO) permitted at the same
premises

Various application forms and procedures being simplified for new

telephone connections, shifting and third party transfer.

SOCIAL COMMITMENT

BSNL is committed to provide quality Telecom Services at affordable

price to the citizens of the remotest part of the Country. BSNL is making
all effort to ensure that the main objectives of the new Telecom Policy
1999 (salient points indicated below) are achieved:
Access to telecommunications is of utmost importance for achievement of
the country's social and economic goals. Availability of affordable and
effective communications for the citizens is at the core of the vision and
goal of the new Telecom policy 1999.
Strive to provide a balance between the provision of universal service to
all uncovered areas, including the rural areas, and the provision of highlevel services capable of meeting the needs of the country's economy;
Encourage development of telecommunication facilities in remote, hilly
and tribal areas of the country;
Transform in a time bound manner, the telecommunications sector to a
greater competitive environment in both urban and rural areas providing
equal opportunities and level playing field for all players;

BENEFITS OF CRM :
The benefits of customer relationship management are considered abound.
It allows organizations not only to retain customers, but enables more
effective marketing, creates intelligent opportunities for cross selling and
opens up the possibility of rapid introduction of new brands and products.
To be able to deliver these benefits, organizations must be able to
customize their product offering, optimize price, integrate products and
services and deliver the service as promised and demanded by the
customer base.
Keeping the customer happy is obviously one way of ensuring that
they stay with the organization. However, by maintaining an overall
relationship with the customer, companies are able to unlock the potential
of their customer base and maximize the contribution to their business.
Whilst the value of customer relationship management has been identified
by organizations, the full implications and benefits are yet to be. Those
responsible for delivery are perhaps the most informed about these
strategic benefits yet the transformation is a long-drawn-out process.
The strategic benefits of customer relationship management allow
companies to reduce the cost of customer acquisition and give established
players the ability to react like a new market entrant, the very people they
are battling against. Ironically these are increased and the potential of
customers can be then capitalized through cross selling of other products
and services. It is important to understand the key benefits of CRM for
most companies. These benefits generally fall into three categories: cost
savings, revenue enhancement, and strategic impact.

Based on successful CRM implementations, the following benefits seem

reasonable:
Increased sales revenues. Increased sales result from spending more
time with customers, which results from spending less time chasing,
needed information (i.e., productivity improvement).
Increased with rates. Win rates improve since companies can
withdraw from unlikely or bad deals earlier on in the sale process.
Increased margins. Increased margins resulting from knowing
customers better, providing a value-sell, and discounting prices.
Improved customer satisfaction ratings. This increase occurs since
customers find the company to be more responsive and better in
touch with their specific needs.
Decreased general sales and marketing administrative costs. This
decrease occurs since the company has specified its target segment
customers, it knows their needs better, and thus it is not wasting
money and time for example, on mailing information to all
customers in all existing and potential target segments.

THE RELATIONSHIP CHALLENGE

Customer relationship management does not enable a quick win. It is a
long-term approach that has to be adopted at a strategic level. However,
the journey of understanding the strategic benefits of relationship
management has just begun. To a greater degree, companies have
understood the implications of customer relationship management and
have identified the risk to their business of not doing so, namely loss of
customers and competitive attach.hey are yet to look at the bigger picture
and understand all of the associated benefits that would enable their

business strategies to be successful. The competencies required to deliver

these customer benefit are: to deliver on its service promise, integrate
products and service channels effectively, customize products, service and
their respective prices, create opportunities for cross selling and delivery
mechanisms for the onward promotion of these products and services and
reduce the gestation period to market by allowing quick and effective
introduction of new products and services.

TYPES OF CRM

On the basis of business srocess automation analysis of operational data,

and customer interaction software, CRM can also be seen as the following
types:
1. Operational
2. Analytical
3. Collaborative

OPERATIONAL CRM
The automation of horizontally integrated business processes involving
front office customer touch points - sales, marketing, and customer service
(call centre, field service) - via multiple, interconnected delivery channels
and integration between front office and back office. The operational
CRM is a process or an approach, which involves the areas where direct
customer contact is possible. Operational CRM represents the automation
of business processes involving customers.
Its purpose is to provide transaction level data about individuals and
products, and provide support for customer facing process, such as direct
mail, phone interactions, Web-based communications, and point of sale
information.
Because operational solutions directly effect the customer, they are
very appealing and often are the first implemented components of a CRM
are:

 Sale force automation

o Account Management
o Opportunity Management
o Contact Management
o Activities Management
o Price and Product List Configuration
o Sales Incentives Plans
o Sales Forecasting and Reporting
Customer Service automation
o Service Request / Customer Complaints Management
o Web-enabled Contact Center Management
o

A customer interaction centre (CIC) is a critical component of

operational CRM, whether implemented for sale, marketing, or
customer service functions. The CIC accommodates multiple channel
for customer interaction and critical functions, including customer
service/support, field service dispatch, quality management, intelligent
routing, case-based reasoning, and knowledge repositories. The CIS is
the intelligent routing, case-base reasoning, and knowledge repositories.
The CIS is the key to consolidating customer interaction and
developing and unified, enterprise view of the customer.

o Sale Force Automation, also known as "technology Enabled Selling

(TES)'\ SFA is the application of information systems technologies to
sales activities. This includes accurate
generating

customized

business

forecasts,

presentation and proposals and personalized communications by the field

representatives.

It also handles the entire sales pipeline from lead

generation to closure and activities like calendar, diary management.

o Call centre systems provide extensive customer service by enabling

customers to receive any information they need, answering their queries,

buying products and receiving, payments promptly.
Includes customized service and support addressing specific issues
raised by customers, tracking cases and escalations, track progress, and
identifying opportunities to cross/up-sell.
o Order management - In the simplest sense, this includes quote generation,

campaigns; and service requests, pricing and ordering of products.

o Invoicing or billing this includes multiple order billing, multicurrency
billing and pricing functionalities in a minimal feature tool.
o Marketing automation and Management enable companies to measure
and track campaigns develop and refine strategies, gain insights into
buying behavior, revenues and profitability using marketing analytics.
o Today, the consumer approaches the business in far many ways than in the
past.

The various interaction points are referred as "Customer Touch

points."
o Technological

Developments

have

made

the job

of a marketer

more difficult. The consumer today is flooded with information from

various sources to the extent that it

sometimes leads to information overload. For organizations, this is a major

problem as it means that there are several ways by which a prospect or a
customer learns about or experiences any organization.
o This could be the organization's catalogue, website, word of mouth

through customers, through employees of that organization, etc. all such

sources from which one gets in touch with the organization are called
"Customer Touch points."
o New sources of communication, faster means of transportation, changes

in life-style, increasing international trade and exposure to various media

are some of the reasons for an increase in the number of customer touch
points. This is a big challenge of organizations as in how to monitor so
many different sources in order to ensure that the same message reaches
the end customer.
o One of the most important customer touch point for any organization is

the Customer Care help line, wherein the customers can register their
complaint or get information about the products or services provided by
that organization. A large multinational bank once has had the entire
process such that after a phone connection had been established with the
bank's call centre, it took six-odd minutes to speak to the customer care
executive. This is a long time keeping in mind that many of the customers
usually call when they have some problem and want an immediate
solution.

ANALYTICAL CRM
The analysis of data created on the operational side of the CRM equation
for the purpose of business performance management, Analytical CRM is
inextricably tied to data warehouse architecture and is most often
manifested in analytical applications that leverage data marts. Analytical
CRM is the synthesis and interpretation of operational data to identify
opportunities, optimize customer interactions and manage business
performance. It also provides the insight into customer behavior needed to
implement intelligent personalization.
Analytics involves the capture, storage, extraction, processing,
interpretation and reporting customer data. It works on data gathered from
multiple sources; from marketing campaigns, key accounts and market or
product group, and is used as a strategic planning support tool. Analytical
CRM takes the information that operation CRM so diligently gathers, and
runs algorithms over it for analysis and interpretation purposes, to provide
the insight and data interpretation that is lacking in operational CRM. This
includes:
1. Data warehouses: Data warehouse is system for storing and
delivering massive quantities of data that aids in analysis and
decision-making. It is frequently use for decision support within an
organization, and also allows the organization to classify its data,
coordinate updates and identify relationships between information
gathered from different parts of the organization.
2. Data marts: Data marts are subject-specific data warehouses; often
departmental or based on line-of-business.
3. Vertical and application-specific analytic tools.

4. Marketing Automation
Campaign Management
Database Marketing
Outbound Call Center Management

5. Optimizes profitability, revenue and customer satisfaction Analysis

of:
What Are the Buying Patterns? Cross Selling Opportunities?
Who are the Most Profitable Customers / Products /
Services ?
Competition?
6. Customer Profiting & Categorization.
7. Up Selling / Cross Selling of Products & Services
8. Fraud Analysis
9. Churn Management

Analytical CRM functions

The following are the functions of analytical CRM:
Create a comprehensive customer knowledge base while ensuring
privacy: Capturing all relevant customer information from different
sources, channels, and touch-points before, during, and after the
sale and then integrating it into a customer knowledge base that
provides a 360 degrees view of the customer. This knowledge base
must; however, be guarded with utmost care so that the customers'
right to privacy is never compromised in any way.
Measure and predict customer behavior by analyzing customer
knowledge: Applying a comprehensive set of analytical methods to
measure and optimize customer relationship and answering all

relevant business questions. The customer intelligence that results from

this analysis includes:
Customer behavior: This is expressed through customer preference,
priorities, and activities.
Customer Value: This is expressed in terms of customer profitability,
customer lifetime value, and potential.
Customer portfolio: This requires developing a clear understanding of
the composition of customer portfolio and how it can be optimized.
Deploy the results of the analysis to improve customer value: The
insights gained through the above analyses helps a company gear its
CRM processes towards customer centricity, and improve its
customer

interactions. Following are possible

outcomes

of

deployment of the analytical insights:

Acquiring new profitable customers by cloning your best customers.
Improving relationships with existing customers by addressing their
individual needs more effectively and more efficiently. This is
accomplished through automating and personalizing interactions
with them on the basis of the sound customer knowledge acquired
through CRM analytics.
Optimizing cross-selling and up-selling opportunities. Improving
customer loyalty and reducing a customer's propensity to churn.
Targeting high-value customers: CRM analytics provides a company
with the knowledge of the customer lifetime value that enables a
company to focus its limited resources in marketing, sales, and
service at high-value customers.
Integrate customer value into strategic enterprise management to
improve shareholder value. An improved understanding of customersand
customer segments facilitates integration of marketing sales, and service

strategies into the enterprise strategy.

Customer

Analysis and

Personalization

Information Segmentation

Broadcast through

Transaction

All Channels

Customer

Design

Personalization

Reach every

Facilitate

Data

Relevant

For each
customer

Customer

Interaction

Warehouse

where

COLLABORATIVE CRM
Collaborative CRM includes a suite of customer interaction software such
as e-mail management and conferencing tools. Collaborative CRM takes
things a stage further, and provides a point of interaction between
customers, staff and business partners, through new and traditional
groupware/web technologies.
The application of collaborative service (e.g., personalized
publishing, e-mail, communities, conferencing, Web-enabled customer
interaction centers) to facilitate interactions between customers and
organizations (e.g., customers to sales, sales to marketing, organizational
activities related to customer information) for the purpose of improving
co-ordination and communication, thereby establishing lifetime customer
value beyond the transaction (i.e., a "partnering relationship").

This includes technologies such as:

Voice - Interactive Voice Response (IVR), Computer Telephony
Integration (CTI), and Automatic Call Distribution (ACD) Conferencing Web Conferencing Response: Email, Fax and collaborative chatting.

BENEFITS OF CRM WITH THE HELP OF TYPES OF

CRM
Highlighting a few benefits whereby different types of CRM help
enterprises:
o Retain existing customers, CRM helps increase customers
loyalty by tracking and coordinating all customer interactions
It also gives the customer a single, consistent and uniform
experience irrespective of the channel used to interact with the
company.
o Attract, acquire, and grow new customers. CRM helps
companies in refining strategies and take timely action by
providing real-time feedback on marketing initiatives and
sales leads through analysis and reports.
o Recognize and

take advantage of new competitive

opportunities. Because all interactions with a customer (or

potential customer) are tracked, opportunities for up selling
and cross selling are more easily recognized.
o Improved response time to customer requests for information.
With 24-hour access to information and faster tools for
communication such as email, web chat, etc., the customer
can contact anytime and from anywhere.

o Product meets customer requirements; Based on the customer

like and dislikes and with the capability of online
configuration, companies or customers can create products
suiting their needs.
o Improved customer satisfaction, By analyzing the customer
behavior and providing a single view of the customer across
the departments, line-of-business or the interaction channels,
CRM helps in better servicing of the customer.
o Improved revenue and reduced cost, Becoming customer
centric increases

revenue, profitability

and employee

productivity, as well as improve overall shareholder value.

Facets & Elements of CRM :

1.CRM Vision : Leadership, Market Position, Value Proposition
2.CRM Strategy: Objectives, Segments, Effective Interaction
3 Valued Customer Experience

Organizational collaboration

Understand Requirement

culture and structure

Culture and Structure Monitor

customer understanding

people skill, competencies

Expectations Satisfaction vs.
5.CRM Process: Customer Life Cycle, Knowledge Management
Competition
6.CRM information: Data, Analysis, One view Across Channels
7.CRM Technology: Applications, Architecture, infrastructure
8.CRM Metrics: Value Retention, Satisfaction, Loyalty, Cost to Serve

Achieving the long-term value of customer relationship management

(CRM) requires a strategy involving the whole business and should be
approached at an enterprise level. Only a small, but growing, number of
enterprises are tackling CRM at this level, with most CRM initiatives
consisting of departmental projects or attempts to integrate the work of
multiple projects.
Executing enterprise-level CRM is not easy. It requires board-level
vision and leadership to drive a. relentless focus on the customer." It
involves learning new customer management skills, potentially difficult
changes to processes, culture and organization, and grappling with the
technology challenges of multichannel alignment, systems integration and
data quality. Even if the board accepts the need for enterprise-level CRM,
the quarterly demands of revenue and profit targets, especially in delicate
economic conditions, often mean that, although CRM is the most
important challenge facing an enterprise, it is not seen as the most urgent.
This typically results in a focus on isolated tactical "quick wins"
until conditions are better. Through 2005, enterprises that use a strategic
CRM framework to estimate, plan and promote their CRM initiatives
while building up their capabilities in small piloted steps are twice as
likely to achieve planned business benefits as enterprises that pursue
projects without framework (0.7 probabilities).
The framework emphasizes the need to create a balance between
the requirements of the enterprise and the customer. The two central
building blocks in the Figure (value customer experience and
organizational collaboration) are joined by a yin and yang motif to
emphasize that this is where people meet, build relationships and provide
value to each other.

Through 2005, 90 percent of successful CRM initiatives will have

balanced the needs of improved customer experience with improved
organizational collaboration (0.8 probability). Too many CRM initiatives
suffer from an inward focus on the enterprise, whereas the point of CRM is
to achieve a balance between value to shareholders or stakeholders and
value to customers for mutually beneficial relationships.

1 Vision: Successful CRM demands a clear vision so that a strategy and

implementation can be developed to achieve it. The CRM vision is how
the customer-centric enterprise wants to look and feel to its customers
and prospects - the customer value position (CVP) and the corporate
brand values are key to the CRM vision.
Without a CRM vision, the enterprise will not stand out from
the competition, target customers will not know what to expect from it
and employees will not know what to deliver in terms of external
customer experience. A successful CRM vision is the cornerstone to
motivating staff, generating customer loyalty and gaining a greater
market share. "Creating a CRM Vision" defines a CRM vision, outlines
the key steps and challenges in creating it and discusses its role in
creating a successful CRM program.
2 Strategy: A CRM strategy is not an implementation plan or road map A
real CRM strategy takes the direction and financial goals of the
business strategy and sets out how the enterprise is going to build
customer loyalty - that "feel-good factor" of customer connection with
an enterprise that means customers stay longer, buy more, recommend
the enterprise to others and are more willing to pay a

premium price: The objectives of a CRM strategy are to target, acquire,

develop and retain valuable customers to achieve corporate goals.
3. Valued Customer Experience: Customers' experiences when interacting
with the enterprise play a key role in shaping their perception of the
enterprise - the value it provides and the importance it place on the
customer relationship. Good customer experiences drive satisfaction,
trust and long-term loyalty. Poor customer experiences have the
opposite effect and, because bad new travels faster and further than
good news, they harm the enterprise's ability to create new
relationships with prospects. No amount of internal "second guessing"
can simulate what it's really like to be a customer.
4. Organizational

Collaboration

: Many enterprises believe that

implementing CRM technologies makes them a customer-centric

organization. They forget, ignore or deliberately avoid the necessary
changes to the enterprise itself. True CRM means that individuals,
teams and the whole enterprise must become more focused on the
needs and wants of the customer.
The term "organizational collaboration, ''highlights the many
facets of the customer-centric internal change needed to deliver the
required and desired external customer experience. As a critical part of
a CRM program, it will involve changing organizational structure,
incentives and compensation, skills and even the enterprise culture.
Ongoing change management will be key.

5. Process: Past efforts to re-engineer processes were primarily driven by

the desire to improve the efficiency of an enterprise and reduce costs.
The beneficiary was the enterprise, not its customers. The rise in CRM
has led to a focus on reworking key processes that touch the customer
and asking customers which processes matter to them. We call this
customer process re-entineering. Enterprises frequently do not realize
that their functionally fragmented processes often mean that the
customer has a poor experience and receives less than the expected
value.
Successful re-engineering should create processes that not only
meet customers' expectations, but also support the customer value
proposition, provide competitive differentiation and contribute to the
desired customer experience.
6. Information: Successful CRM requires a flow of customer information
around the organization and tight integration between operational and
analytical systems. Having the right information at the right time is
fundamental to successful CRM strategies, providing customer insight
and allowing effective interaction across any channel. Unfortunately,
most enterprises' CRM information capabilities are poor - the result of
numerous and fragmented departments, initiatives, databases and
systems. Enterprises that establish a business plan for sourcing,
managing and leveraging their customer information assets are more
likely to achieve their CRM goals and objectives and gain a competitive
advantage.

7. Technology: For most technologists, CRM is all about technology,

CRM technologies are an essential enabler for any modem CRM
business strategy, but they are just one piece of the puzzle. Gartner has a
wealth of ongoing research into CRM technology issues and
"Technology Decisions Are Key to Enabling CRM Strategies" (DF-148082) looks at the key decisions that enterprises have to take in three
areas: CRM applications, architectural issues and integration.
In many CRM projects, integration issues start as a relatively
low priority, and then rise in prominence (costs and time) as enterprises
realize that true CRM requires seamless customer-centric processes,
supported by integrated technology across the enterprise and its supply
chain.
8 Matrics: The other seven building blocks depend on performance
targets and metrics to gauge their success, and enterprises must set
measurable CRM objectives and monitor CRM indicators to
successfully turn customers into assets. Without performance
management, a CRM strategy and associated program is destined to
fail. A framework for measuring and enterprise's success with CRM by
creating a hierarchy of performance metrics involves four levels,
namely: corporate, customer strategic, operational and process, and
infrastructure input metrics. These metrics have an internal and an
external focus and link operations to strategy and corporate financial
benefits. Each enterprise will have a unique set of metrics applicable to
their situation.

To achieve the long-term value of CRM, enterprise must understand that it

is a strategy involving the whole business, and thus should be approached
at an enterprise level. CRM initiatives need a framework to ensure that
programs are approached on a strategic, balanced and integrated basis.
Thus, Gartner defines customer relationship management (CRM)
as a business strategy that maximizes profitability, revenue and customer
satisfaction by:
Organizing around customer segments
Fostering behavior that satisfied customers
Implementing customer-centric processes.

CRM STRATEGIES
Customer relationship management (CRM) strategies and the technologies
that enable them make it possible to figure out what customers want and
the most profitable ways to give it to them -important in an age when
acquiring new customers is about five to 10 times the cost of retaining
current ones. CRM strategies are based on the premise that quick, accurate
knowledge about customers empowers organizations to increase the value
of current customers, keep them longer and more effectively acquire new
customers.
A CRM strategy takes direction and financial goals from the
business strategy, and revisits the marketing strategy to customize it as
shown in Figure. It provides an overview of how the enterprise will build
valuable customer relationships and customer loyalty. The first stage in
developing the CRM strategy is to segment customers into categories, and
to set objectives and metrics for each segment.
The second stage is to assess the state of the customer base when
viewed as an asset. That can be achieved by plotting the strength and
value of customer relationships along two perspectives:
How much does the customer value the enterprise?
How much does the enterprise value the customer?
The result is a customer asset matrix as seen in Figure, which
combines the supplier's view of customer value segments with an estimate
of the strength of the customer relationship.
The third stage is to define the objectives to be met and the tactics
to be used. The customer strategy customizes the traditional marketing
strategy for different target customer segments, and thus supersedes it.

CRM strategy as derived from

business strategy:
Business Strategy
How do we deliver stakeholder value and build competitive advantage?
Marketing Strategy

CRMStrategy

How do we take advantage

How do we get closer to the

of market opportunities and

Customers to deliver value to

mitigate competitive threats?

them and create value for us?

Market definition and audit

Vision: market position
Analysis of strengths, weaknesses
opportunities and threats
Target market segments
Objective for each market segment
penetration, development,
maintenance and productivity
Measures: market share, brand equity
and to market penetration
Based on product life cycle

Vision: customer experience

Customer definition, and behavior and
requirement audit
Capability analysis
Target customer segment by value
Objective for each customer
acquisition, development, retention
efficiency
Measures: satisfaction, loyalty, cost
serve and employee satisfaction.
Based on the customer life cycle

Customer Asset Matrix:

Project
Position

Invest to
Protect

Invest to Win
Over

Damage
Limitation

Counter
Competition

Invest to
Build

Win the
Opportunity

Careful
Management

Manage for
Profitability

Build
Selectively

Manage for
Revenue

Manage for
Revenue

Manage for
Profitability

Manage for
Profitability

Manage for
Revenue

Consider
Divesting

Customer
Potential
(Value to
Entprise)

Large Share
of Wallet
Some

Potential

*
Low

Transactional

HHighly Secure

Secure

Vulnerable

Fragile

High
of Relationship

Strength
Low
(Value
to
Custo
mer).

CREATING A CRM BUSINESS STRATEGY

Know your objectives The idea is to keep and acquire customers with
the greatest value potential. By establishing objectives, one can determine
specific, quantifiable customer acquisition, development and retention
targets that meet corporate financial goals.
How this is best accomplished depends on the kind of organization
and its priorities. Of course, customer retention is important to just about
all organizations. Business-to-business enterprises aiming to become a
preferred supplier often give high priority to customer development.
Business-to-consumer enterprises with an eye to boosting market share
concentrate on customer acquisition. Government and non-profit
organizations tend to care most about customer satisfaction.
Know thyself- Start by answering these questions:
What are your enterprise's goals and imperatives?
What should be achieved with a CRM initiative?
What business units will be affected?
What's the condition of the IT infrastructure? What needs to be upgraded,
integrated?
Transform your customer base into an asset - Be customer-centric. Focus
objectives on your customer life-cycle, which then mirror your
product/service life-cycle. This means:
Analyze your customers. Look for ways that customer value is lost
or unexploited. When you've spotted where action is required, you
can set metrics and monitor them.

 Jibe CRM and corporate strategies.' CRM strategy cannot stand

alone; it must be derived from corporate goals and imperatives, and
it must be linked to other operational strategies.
Keep it flexible. In a challenging, competitive environment
unpredictably impacted by discontinuous change, CRM strategy
needs to be dynamic and timely, adapting operational efforts and
corporate direction to market conditions. Thus, successful CRM
strategy evolves in an iterative process that takes advantage of
customer and operational feedback to refine objectives, tactics and
processes.
Build a repeatable, continuously improving process:. The goal is to
efficiently utilize all your organization's resources to present one friendly,
consistent face to customers. Customers should get the same information
about your company from any channel-from website to call centre to sales
force to marketing brochure.
Companies that want to lock in customer loyalty and maximize
profitability need to employ four CRM tactics: 1) build a customer growth
strategy upon a CRM foundation of strategic intent and cost management;
2) avoid the CRM whipsaw effect; 3) don't buy into the technology silver
bullet; and 4) measure satisfaction with CRM. These tactics will ensure
that CRM programs can successfully adapt to the pending changes in the
economy.

BUILD A CUSTOMER GROWTH STRATEGY

Business must build top-line growth strategies upon the foundation of their
CRM programs by ensuring that strategic intent and cost management
measures are institutionalized. Many companies have not determined
strategic intent or have not focused on developing clear metrics to measure
performance. Yet many have done some cost cutting within customerfacing functions and lowered their cost-to serve just to reduce the overall
cost of sales.
These cost-structure changes should be modified to invest in these
fields of CRM so that growth strategies gain some early wins, no matter
what state the economy is in. As the economy turns into recovery, the
winners are likely to be those who have not only stabilized their customer
service and sales costs, but those who are improving the effectiveness of
customer

retention

and

loyalty

programs.

Improved

customer

segmentation, customer satisfaction, and service strategies should be

tailored in downturns and expanded in upswings, but need to remain longterm goals of any successful CRM program.

AVOID THE WHIPSAW EFFECT

Senior management commitment is critical to the success of any major
corporate initiative. CRM is certainly no exception. In fact according to
CRM magazine/the A.T. Kearney survey results, IT decision-makers
ranked executive sponsorship as the most important factor for maximizing
the return on their CRM investments.

If CRM initiatives are not in the CEO's agenda, then investments in

these initiatives have a much lower probability of success. Additionally
because CRM is a fundamental shift in the way a company does business
with its customers, rather than just a one-time e-business initiative, it
required continuous leadership support over multiple years. This type of
long-term senior management support can only be achieved and maintained
if a long-term strategic plan is developed. The time frame also requires the
strategic plan to have built-in contingencies get caught in a CRM whipsaw:
over investing in one year and then cutting to the bone in the next.
The result is unrealized investments, squandered opportunities, and
a loss of employment for the CRM champion. The whipsaw may affect
users as well. Employees whose new customer-centric behaviour enable
CRM success can get caught in the whipsaw if communications about
customer strategy and CRM processes are not clear or consistent
throughout changes in the business cycle.

DON'T BUY INTO THE TECHNOLOGY MAGIC BULLET

The CRM vendor landscape is changing rapidly. Placing all bets on a
single vendor or technology can prove disastrous. The unstable economy
has caused a vendor shakeout. It has reduced the number of CRM vendors,
but also have enabled the strongest companies to survive with the bestintegrated offerings. Strong vendors, after acquiring or merging with
smaller niche vendors, still have to refine the resulting integrated
offerings. Even so, research indicates software functionality is not the
prime factor in selecting a CRM vendor.

Financial viability and ROI remain the most important factors in

selecting a CRM vendor. Financial viability and ROI remain the most
important factors in selecting a vendor, and reflector the fact that the
best-of-breed approach in recent years has left a number of companies
holding the bag of unsupported applications. The focus on vertical
expertise has also been increasing. Companies stung by the challenges
and high costs of customizing standard applications are demanding that
the major vendors of the CRM world ensure that vertical customizations
are prebuilt into the application they install. Customers are focusing on
implementing the best vertical application available. This shift has also
been pressuring vendors that have not caught up with the virtualization
wave or have poorly packaged and standardized their industry
experience within applications.
MEASURE SATISFACTION WITH CRM
Measuring CRM success has often been elusive, but it is possible to
measure satisfaction with CRM. Companies have often measured
success either by ROI or by changes in customer satisfaction to justify
CRM benefits. Although capturing ROI and preventing CRM budget
expansion is important, the CRM magazine/A.T. Kearney research
indicates that 60 percent of companies claim their CRM initiatives met
or exceeded expectations.
Of the rest 25 percent did not set expectations. So far the
moment, there appears to be more satisfaction with CRM projects than
not. However, ROI generally measures the internal return of a
technology/process or organization improvement project.

IN A NUTSHELL

CRM strategies offer companies a complete view of their

customers across the entire organization.
When implemented properly, a CRM strategy integrates all
customer-facing and back office applications with the same
data. Companies reap large gains from these efficiencies by
offering better service and developing deeper relationships with
customers.
In order to achieve those gains, the implementation of the CRM
strategy has to create a 360 degree view of the customer. This
means merging the information silos maintained by each
department into a single data repository accessible by all
departments.
Selection of technology is vital to a successful CRM
implementation. Selecting a package approach, rather than
tying together existing individual
Implementation of a CRM strategy is by no means a project for
the IT department alone. Marketers must be directly involved in
the process because they will ultimately win or lose based on
the quality of the outcome. If implemented properly, a CRM
strategy enables marketers to interact with customers armed
with useful information. Additionally, by analyzing existing
customer data, marketers have better tools to build future
marketing campaigns, increase sales and drive ROI.

FUTURE TRENDS IN CRM

It is not suddenly that the business managers have realized that the
customer is supreme or the need to render personalized service. However,
it was not possible to address the preferences of a massive group of
widely dispersed individuals. Neither the tools nor the technology were
available.
The smart business managers did the next best thing, which was to
conduct a market research and classify the market into broad segments
with different preferences. The product managers would (and still do)
then position their products catering broadly to these segments.
The information systems have evolved tremendously over the last
three decades and so have the communication systems, as shown in
Figure. While ERP, the management mantra of the nineties, offered the
means to optimize resource planning at the enterprise level encompassing
every area of the enterprise on a real time basis, there was still no means
of connecting to the customers. The customer had just too many
locations.
The commercial penetration of Internet into the homes changed
everything. It provided the means to take the integrated enterprise
information system to the customer's living room. He could buy, sell or
bank sitting there, while uniquely identifying himself.

This has led to the evolution of CRM, which uses the Net to integrate the
customer contact points directly with the enterprise. It provides the
means to interact with every customer individually (thereby interacting
with million or ever billions of customers). The interactions over a period
of time create a history that is available to the field sales/ support
personnel at the touch of a button.

No. of respondents

100%

Rental

10

20

Brand value

25

50

Network coverage

10

20

All of those

10

Total

50

100

INTERPRETATION:
In my survey I found that 50% of subscribers prefer BSNL
due to its brand value and 20% of subscribers prefer it because
reasonable rental charges .20% of subscribers for network
coverage, only 10% of subscribers supports all of these.

Consistency level of customers towards BSNL

No. of respondents

100%

1 year

20

40

2 years

10

20

20

40

50

100

More than 3years

Total

INTERPRETATION:
In this survey I came to know that, 40% of subscribers were
stick to this since 3 years. This shows their loyalty toward
BSNL.due to introduction of new offers 40 % of subscribers
were using from 1 year and only 20% were using from 2
years.

Analysis on Type of connection used by the customers.

No. of respondents

100%

Prepaid

35

70

Postpaid

15

30

total

50

100

INTERPRETATION;
I found that 70% of the subscribers were interested i prepaid
connection and only 30% of were prefer postpaid connection.

Analysis on customer's monthly expenses on mobiles

No. of respondents

100%

Less than 150/-

10

151/-to 350/-

10

20

351/-to 500/-

30

60

Above 500/-

10

total

50

100

INTERPRETATION:
In my survey I found that the monthly expenses of BSNL subscribers
were as follows: 60% were in between Rs- 351/-to 500/-,40% were in
between Rs 151/- to 350/-..

Analysis of receiving remainders regularly to pay bill/top up

No. of respondents

100%

Yes

37

74

No

13

26

Total

50

100

INTERPRETATION:
In my survey I found that 74% of subscriber told that
they receive remainders regularly and only 26% of
subscribers
remainders.78

told

that

they

are

not

receiving

any

Analysis on problem faced by the customers in their

connection
No. of respondents

100%

Signal problem

30

60

Problems with
recharge coupons'

15

30

Unwanted activation

10

50

100

Total

INTERPRETATION:
In my survey I found that 60% subscribers were facing signal
problem,30% of subscribers were facing problem with their
recharge coupons,their connection and 10% of subscribers were
facing problems like unwanted activation.

Analysis on problem rectification in BSNL connection

No. of respondents

100%

Immediately

00

1 day

35

70

2 days

10

More than 2 days

10

20

Total

50

100

INTERPRETATION:
In my survey I found that 70% of subscribers told that 1 day takes to
rectify problem. And 10% & 20% of subscribers says that it takes 2 days and
more than 2days.

FINDINGS

Customers are basically satisfied with present offerings of BSNL.

In my survey I found that most of the customer were facing some
problems.
It was observed that most of the customers expressed their
unhappiness because they are facing problems like signal problem
and (particularly postpaid) they were wrongly charged or they never
received bills on time.
Few subscribers were very particular about rentals.
Through my survey, I came to know that most of the customers are
satisfied with BSNL plans and toppings.
Through my survey I observed that most of the customers monthly
expense was in between Rs/- 350/-and 500/ I observed that most of the customers are prepaid connection
holders.
I observed that most of the customers like Airtel advertisement and
punch-line.
Through my survey I found that BSNL takes at least 2-3 days to
rectify problems.
BSNL 'CSC representatives provide the information to all the
subscribers.

It is observed that the relationship between the subscribers and the

BSNL was goo

SUGGESTIONS

To retain existing customers BSNL has to offer better or improved

schemes from time to time to compete with the competitors. This
would automatically attract new customers.
BSNL should continue to offer the best toppings to stay at the top.
There should be no compromise in quality and the network facility.
BSNL has to spend more on advertisement to attract customers.
To ensure better customer satisfaction and maintain higher level of
Customer relationship management, BSNL has to strengthen its
network coverage.
To attract customers of different age groups it has to introduce new
offers totally different from others.

BIBLIOGRAPHY
TEXT BOOK

AUTHOR

PRINCIPLES OF MARKETING

PHILIP KOTLER

MARKETING RESEARCH

D.D SHARMA

CUSTOMER RALATIONSHIP

H.PEER

MANAGEMENT

WEBSITES:
www.bsnl.com
www.apbsnl.co.in
www.google.com

MOHAMMED

QUESTIONNAIRE
Name :
Age

Mobile No:
Occupation
1. Why do you prefer BSNL?
a)Rental b)brand value

(
c)network coverage d)all

2. From how long you are using the BSNL connection?

a) 1 year b)2years

of these
(

c)more than 3years

3. Which type of connection you are using ?

a)prepaid

b)postpaid

4. How much is your monthly expenses on your mobiles?

a)less than 150/-b) 150-350

c)350-500

d)above 500

5. Do you receive remainders regularly to pay bill/top up

a)yes

b)no

6. Which type of problem you are facing in your connection?

a)signal problem
activation

b)recharge coupons

c)unwanted
(

7. .In case of any problem, how long does it take to rectify it?
a) Immediately b)lst day c)2days d)more than 2days

8. Are you regularly receiving promotional calls from BSNL ?

a) Yes b)No

9.Does BSNL 'CUSTOMER SERVICE CENTER' representatives

provides the information you required ?
a) Yes
10.How satisfied are you

b)No

with the clarity of information they

provided ?
a)excellent

b)good

c)fair d)poor

11. Are you satisfied with BSNL present offerings?

a) satisfied b)unsatisfied

12. Which company advertisement promotion and punch lines you

like the most

a) BSNL -Best hai mere liye

b) Airtel-Barriers break when people talk, Express yourself
c) Reliance-karlo dhuniya mutti mei
d) Idea- An idea can change your life
13. 0verall satisfaction on BSNL?
a) Satisfied b) unsatisfied

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