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    Supply Chain - IIM Raipur - MegaMindzz

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    RahulTiwari
    The document provides sourcing strategy recommendations for AlphaTel in Botswana, suggesting they continue partnerships with Erion and Hylusia in the APPLE region but vary the business share between the two based on capacity, offering most new business to Hylusia but supporting Erion to create competition. In the ORANGE region, the document recommends negotiating with Sunyong, the supplier for AlphaTel's competitor Ideyong, to establish them as a competitor to Hylusia to prevent price increases and signing a non-disclosure agreement to protect pricing strategy. The overall sourcing strategy suggests establishing multiple partners to avoid monopoly and keep prices low through competition.

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    Supply Chain - IIM Raipur - MegaMindzz

    Uploaded by

    RahulTiwari
    64 views6 pages
    The document provides sourcing strategy recommendations for AlphaTel in Botswana, suggesting they continue partnerships with Erion and Hylusia in the APPLE region but vary the business share between the two based on capacity, offering most new business to Hylusia but supporting Erion to create competition. In the ORANGE region, the document recommends negotiating with Sunyong, the supplier for AlphaTel's competitor Ideyong, to establish them as a competitor to Hylusia to prevent price increases and signing a non-disclosure agreement to protect pricing strategy. The overall sourcing strategy suggests establishing multiple partners to avoid monopoly and keep prices low through competition.

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    Supply Chain_IIM Raipur_MegaMindzz.pptx

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    The document provides sourcing strategy recommendations for AlphaTel in Botswana, suggesting they continue partnerships with Erion and Hylusia in the APPLE region but vary the business share between the two based on capacity, offering most new business to Hylusia but supporting Erion to create competition. In the ORANGE region, the document recommends negotiating with Sunyong, the supplier for AlphaTel's competitor Ideyong, to establish them as a competitor to Hylusia to prevent price increases and signing a non-disclosure agreement to protect pricing strategy. The overall sourcing strategy suggests establishing multiple partners to avoid monopoly and keep prices low through competition.

    Copyright:

    © All Rights Reserved
    Download as PPTX, PDF, TXT or read online from Scribd
    Download as pptx, pdf, or txt
    64 views6 pages

    Supply Chain - IIM Raipur - MegaMindzz

    Uploaded by

    RahulTiwari
    The document provides sourcing strategy recommendations for AlphaTel in Botswana, suggesting they continue partnerships with Erion and Hylusia in the APPLE region but vary the business share between the two based on capacity, offering most new business to Hylusia but supporting Erion to create competition. In the ORANGE region, the document recommends negotiating with Sunyong, the supplier for AlphaTel's competitor Ideyong, to establish them as a competitor to Hylusia to prevent price increases and signing a non-disclosure agreement to protect pricing strategy. The overall sourcing strategy suggests establishing multiple partners to avoid monopoly and keep prices low through competition.

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    © All Rights Reserved
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    You are on page 1of 6

    Airtel iCreate 2019

    Submission Guidelines

    Sourcing Strategy for AlphaTel

    Team Name: MegaMindzz


    Campus: IIM Raipur
    Members: Rahul Kr Tiwari, Shahrukh Siddiqui,
    Shubham Shakar
    a. Whom should we select as a partner in Circle APPLE in Botswana?

    In APPLE region of Botswana, barring 1800 MHz site, AlphaTel would require extra sites in all other spectrum
    bands. AlphaTel should continue its sourcing with both Erion and Hylusia however, the share of business
    should vary as per their capacity.
    1. Since both companies have been partners of AlphaTel the partnership should be continued
    2. Based on current sites ratio, AlphaTel should offer new business in a 70:30 ratio to Hylusia and Erion
    3. AlphaTel should offer support to Erion in order to create a competitor for Hylusia as that would keep price
    rise demand from both partners in check
    4. Contract with Hylusia should be negotiated in a way to keep its base price per unit low as compared to
    Erion since it is being offered maximum share of business

    Note: SOB calculated from ratios (calculated in next sheet)


    APPLE REGION

    Hylusia
    Current Scenario Erion Network Usable Erion Wireless Ratio E:H Total Availability
    900 Mhz-2G 3860 386 2692 6.97 3078
    1800 MHz(2G+4G FDD) 913 730.4 5639 7.72 6369
    2100 MHz(3G) 4666 2986.24 0 0.00 2986
    2300 MHz(4G TDD) 0 0 3990 - 3990

    2nd Year
    Current Scenario AOP (Annul Operating Plan) Expansion Total Req Balance to be Acquired
    900 MHz 318 3,822 4,140 1,062
    1800 MHz 1,572 2,568 4,140 -2,229
    2100 MHz 0 3,516 3,516 530
    2300 MHz 2357 1,943 4,300 310
    b. What is the commercial model we should follow to offer business to
    partners?

    The commercial model to be followed for offering business to partners should be multiple sourcing to avoid
    monopoly and to keep vendor from asking for renegotiations frequently based on his market power. Multiple
    sourcing model has a benefit that in case of non compliance or any other reason which may restrict one partner
    from operating there can be another source to fall back on. It wont lead to complete shutdown.
    In multiple sourcing, the competition drives up driving down the prices as a result.
    c. What will be the overall sourcing strategy in Botswana?

    We talked about sourcing strategy in APPLE region. ORANGE region of Botswana has a completely different
    picture. There exists a monopoly of ORANGE for AlphaTel which may restrict it from offering competitive
    prices. Erion is non existent in this circle so AlphaTel should negotiate with AlphaTel’s competitor Ideyong’s
    network supplier Sunyong in order to place a competitor in front of Hylusia. Without a competitor, Hylusia can
    renegotiate for a higher price. If Sunyong is also a network supplier for AlphaTel, AlphaTel could offer prices
    similar to Ideyong. However, a non disclosure agreement (NDA) should be signed with Sunyong to prevent it
    from disclosing AlphaTel's pricing strategy.
    Thank you

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