The Merger of LINKdotNET and Mobilink

The Merger of LINKdotNET and MobilinkOn passing(a) basis we face several fusss and we suck in germized measurements or closes to resolve those occupations. Some senseings be turn up to be good and wontful and virtually resoluteness in expiry until now, the skill of occupation resolution and determination reservation power improves with the charge of period. Similarly in brass instruments, vigilance has to earn several decisivenesss to resolve distinguishcapable problems in order to fork over smooth functionality of daily trading operations and in a higher place wholly for a continuous stream of profits. there are incompatible baffles available in the literature for resolving the problems and devising the purposes. This document is aimed to assure the decisiveness subscribe and problem solving tools and techniques. In this document appellative of the problem in a renowned boldness in operation(p)(a) in Pakistan is d single and analysis of the ends interpreted to resolve that problem is conducted. The models apply for finish making in response to the problem approach by the brass instrument are also discussed along with the boundarys and shortcomings of those models. In the end a private rating is d single that explored skills gained by me individualisedly later completing this design research study on a particular brass (Simon, 1956). order Overview Mobilink cartridge holderless existence and LINKdotNETMobilink is the leading telecommunication service provider operating in Pakistan. It is subsidiary of Orascom Telecom that is an Egyptian club. Mobilink is portion Pakistani grocery since 1994 and as per the latest report from PTA (Pakistan Telecommunication Authority) Mobilink is a grocery leader with a trade share of 31% (www.pta.gov.pk, 2010). Mobilink was save providing voice function to its customers in front October 2008, when it launched Mobilink Infinity a WiMAX broadband service in unmatche d city Karachi. With high quality services and belligerent pricing plans, Mobilink Infinity gained a subscriber base of to a greater extent than than 20,000 (www.mobilinkinfinity.com, 2010). Mobilink Infinity was being operated as a discriminate unit named Broad Band Unit. The major strength of the make-up is its quality customer services which take away dictated new benchmarks in Pakistan and set the new trends which were never practices out front. Mobilinks broadband unit continued the identical practice and forfeited the services with the resembling quality customer services, that is the reason that comp either was able to get a major market share right in one city (www.mobilinkinfinity.com, 2010).An some opposite subsidiary of Orascom Telecom for providing broadband services in different countries is LINKdotNET. LINkdotNET commenced its operation in Pakistan by getting 2 already existing Internet Service Providers (ISPs) named as dobriny of a function Online (WO L) Telecom Limited and Dancom Online. LINKdotNET amalgamated the resources of these devil companies and by putting in more investment launched its operations officially on 02 February, 2008. LINKdotNET was offering its services in more than 130 cities in Pakistan and in devil age this comp some(prenominal) raised its customer base up to 35,000. LINKdotNET provided services for twain home and commercial users and was the second thumpingst broadband service provider in Pakistan afterward PTCL (Pakistan Telecommunication Limited) (www.link.net.pk , 2010). The company got a tremendous response from the customers after its launch, notwithstanding the poor oversight and lack of managerial skills the company failed to deliver the services as they promised. The result was that in the first year of its operations the company gained a very bad reputation in the market and customers started to leave to the separate service providers. However, in corporate sector LINKdotNET was simm er trim back the major broadband service provider (www.link.net.pk , 2010).Background of the ProblemTo furnish to the needs of the Broadband Internet market Orascom Telecom was operating two of its subsidiaries in Pakistan, one with the name of Mobilink Broadband Business Unit (BBU) which was in the first place catering to the needs of WiMAX Internet users and was operating only in Karachi, and other was LINKdotNET with was operating in digital subscriber line, Dialup and Corporate Business dissolvers for data and internet market with its operation in all major cities in Pakistan.Both of the companies were serving the self selfsame(prenominal)(prenominal) market, which was broadband internet market, to the users of same profile and almost same geographical regions. Both of the companies were independent and there was no coordination in any department, twain of the companies had their separate departments, same target market and were treating each other as competitors, while s ome(prenominal) companies belonged to same parent company. This redact was cause different problems to the parent company much(prenominal) as confusion in the minds of consumer high operational cost, and high trade cost, diagram beneath lead help understand the scenario of that term.Orascom Telecom SubsidiariesSource (Author, 2010)Problem realizationBy go throughing at the above diagram we it has been make clear the two companies were working in one market serving same course of customer and with same organizational mental synthesis, at the time where competition was intensified in the market, and due to summation in the operating be and shrinking margins the profitability of the company was going down, and such structure was creating avocation problems for the organization.bearing of identical departments were creating increased human resource costMarketing costs were high because of the separate marketing departments were targeting same customers and were virtual ly acting as competitors.Business operation costs were high because of separate network circumspection, separate network procurement, and separate inventory management.Ambiguity in the mind of employees and consumers, who were busted about the status of both of subsidiaries, resulting in damage of brand in the eyes of customers.Managerial finding Making Models ApplicationIn the below lines reference ordain explore the current theories on different conclusiveness making models developed by management commentators and because power result explore the end making process adopted by the management of Orascom Telecom, then this decision making process will be critically analyzed on managerial decision making models. Author will see which model was applies how the application of that model helped the management to make vanquish possible decision regarding the problem identified earlier.Decision Making ModelsThere are two decision making models that are widely use my managers i n making their decision regarding their day to day business problems, one is rational decision making model and other is non- precept decision making model (Bazerman Max, 1994).Rationale ModelRationale decision making is one the scoop out receiven and most apply progression, this model revolves around the opinion process and which is also called cognitive process, this model involves several clapperclaws which are explained below, there are several pros and cons of this model which are also describe in below lines, this model focuses on problem solving where problem is already identified and clear in the minds of management (Bazerman Max, 1994).Rationale Decision Making StepsSource (Author, 2010)As described in diagram above rationale decision making involves fives bars, the first yard is to commit the problem, this step involves the misgivingful analysis of the position presented to the organization and then by this analysis the echt problem which is the cause of this office staff is identified. Second step is to set the criteria for desired results readd, this criteria is set to pass on the minimization of unwanted situation or elimination of them, this step is also called benchmarking of results (Gelatt, 1991).The thirds step is to find all possible root words of the problem, this step involves the collection of all possible solutions to get resign of the current problem, this step is checked by the fourth step that is examining each of the decision option on the pre defined criteria of desired results. The final step is to signalize the best possible solution to the problem and then apply that decision, and by doing this ration decision making process ends (John, 2001).Pros and Cons of ModelThis model supposes, before the application of the solution, that there is one best solution and hence adapts the perfectionist surface, more over critical evaluation of each and every option delays the decision making which some time cause the lo ses to business where orthogonal milieu is turbulent (Graham, 1993).This model also take this assumption that every stamp of every option tin notify be predicted without having it tested in reality, and consequences and in store(predicate) implications of each decision related option are left on the discretion of decision maker (Simon, 1956).Rationale decision making requires the decision to be dependent upon the cognitive abilities and imagination of the decision maker, more over this model also require the across-the-board time and in fashion modelation for the decision to be made (Bazerman Max, 1994).Non-Rationale ModelNon-rationale models are the second widely used decision making models, in below lines author shall explore the main characteristics of these models.Non-Rationale ModelsSource (Author, 2010)Satisficing Decision MakingThis is one the approaches adapted as non-rationale decision making, this approach aims for satisfying solution for the problem, rather than going for the most optimized approach, this approach is used when elongated procedures of decision making like information needs, and evaluation of alternatives are to be stay offed (Gelatt, 1991).Incremental Decision MakingThis decision making is required when problem at mickle requires quick decision making, in this case managers make rather small responses to the problem and instead of totally eliminating it they reduce it to minimum level (John, 2001).Garbage-Can Decision MakingThis approach is used when the problem is clearly defined or the managers do not know what to do, this method uses trial and error approach and different solutions are tested on the basis of randomness, this approach is also used where there is catch situation and management was not prepared to handle such situation (John, 2001).Approach Solution Employed by Orascom TelecomIn below lines author will critically explore the decision making approach employed by Orascom Telecom the cater to the problem presented earlier, the problem faced by the organization was not urgent and turbulent in nature, rather its nature was more of strategic, for this kind of problem, rationale decision making is best to utilize, as the company had the time and information resources required to make such decision making, they logically opted for this and decision was made by using rationale decision making, in below lines we shall see that what decision was made how it was made by using said model. To explore this author will take step-by-step approach and will see that how each step was applied.Identification of ProblemDuring the time in which both of the subsidiaries of Orascom Telecom were operating each in the same market, management started to identify the problem that their profitability was fall due to increase in operating costs. At the same time the competition level in market was at its peak, prices were going down because of heavy competition and so was profit margins, the only way to incr ease or sustain profitability was to reduce costs. But Orascom Telecom was operating at redundant hierarchy by deploying two separate companies in the same market .In this scenario to sustain profitability was a gainsay that management had face and to deal with they had no other option further to review their strategic business management in the broadband application of Pakistan .Criteria Setting for ResultSince Orascom Telecoms profitability was decreasing because of the high operating costs involved the criteria set for results was to increase profitability by reducing costs. way had a clear understanding that business was outgrowth at time as so was growing the market, tho at the other hand competition was also increase because of the entrance of new run intoer in broadband internet market. So there was no chance of increasing profitability by increasing price and customer base. So the criteria set by the management to increase profitability by reducing costs was headspri ng justified and was based on rationality.List of SolutionsAt that time management of organization had two solutions to cater with this problem, the first one was to fancy the profitability and operations of each of subsidiary and then close the operations of one subsidiary with less customer base and profitability. By doing this management can hand over one business to the other one and then get rid of unnecessary costs.The other solution that management was looking at to merge the operations of both of the subsidiaries and then form a new organization under the umbrella of their already well established GSM brand name Mobilink, since both the subsidiaries had same organizational structure and operational departments merger of both can be done without much disturbance in daily business operations.Examination of Each SolutionManagement of Orascom Telecom examined both of the solutions and their careful examination revealed following shortcomings and advantages of both of the soluti ons.The first which was to close the business of one unit and continue with the other one was not good for the overall image of the organization, this could squander brought the blackball messages for the consumer and could redeem hurt the brand image, the other short coming was the Mobilink BBU has the manifest of operating in WiMAX business and LINKdotNET had the license of operating in DSL and other high end technologies, and Orascom Telecom wanted to remain in both of the markets.So the ratiocination of one operation would lease resulted in loss of licenses and getting out of the business, however this solution could have reduced their operating costs and increase their profitability but with the above mentioned risks. other solution which was merger of both of the unit into one consolidated unit was also pass judgment to reduce costs by creating synergies and single operations at every department level by eliminating duel use of resources and duel costs, along with meeti ng the predefined alternative criteria this solution also had certain benefits like merging both of the units and then re-launching operation with a big-bang was expected to dumbfound a positive message to the potential customers that a large operator has merged their different operations and now they are in position to serve them redden better. The other benefit that this solution could bring is the use of licenses of both of the subsidiaries and empowering the organization to use the dependable ground to play on. By employing this solution company could play in WiMAX market as well as DSL and other high end engineering markets.Selection of Best SolutionAfter the examination of the above mentioned solution choices, management decided to go for the second option and Mobilink BBU and LINKdotNET were merged for Mobilink Infinity in June 2009. After the merger, all relevant departments were merges and single point resources economic consumption and synergies with their GSM side of business were made possible, yes solution also resulted in layoffs but the number of employees losing jobs were less than the number could have been in case of selection of option one.Mobilink Infinity was launched to provide WiMAX and all other services that both of the organization were offering to both corporate and residential clients, that decision was able to achieve the desired results also came with the benefits of increased brand image, more pellucidity in employees and consumer perception of the company, so far it has been observed that companys business is growing and their profitability is increasing, and this decision is turning out to be prospering one.Limitations of plow EmployedOrascom Telecom employed the solution by opting for rationale decision making process, this decision move out to be a successful decision but there are some limitations that needed to be taken care of and author have identified, by fetching care of such limitations this decision could ha ve been executed well and results could have been more fruitful, below author have discussed few limitations that are inherent in the decision (Bazerman Max, 1994).As rationale decision making is a lengthy process so it took a long time for management to drop off this process, the evaluation of each option took more than a year and at the same time marketing of both subsidiaries were kept on hold, however the business didnt stop and they were selling to their customers but without marketing support (Gelatt, 1991).That time the competition in market was intense and there needed the full marketing support for any organization to win the market share, but the decision to hold all marketing activities for both of the subsidiaries and then taking one year to reach on any conclusion hard affected the business, the competition kept on building their brands, new reaching were also aggressive that is why their business went down rapidly during the decision making process.Since this decis ion was made in the Egypt head quarters and same decision making process was in use to globally merge their broadband entities with their GSM entities, this factor also played its role in making this happen in a long time. The overall time taken by this decision was more than expected and suggested, that caused the business to miss some opportunities in the market that competition grabbed (Gelatt, 1991).Another shortcoming that author have observed with this methodology that this model is a step by step process and management cannot jump on to any other step without completing the previous one, even they know what is required and what is to be achieved and how it can be achieved they have to follow all the necessary procedures that again result in more time consuming. Since Orascom Telecom is a large organization, and they cannot return their business to hold at any stage that is why they were ineffectual to explore more options as solutions and only stick to two decision related o ptions mentioned earlier, there could have been other option instead of closing and merging the business, but their evaluation stage would have cost them more loss in business that is why they were sticking to only two solutions to the defined problem (John, 2001).Another limitation with the model employed by Orascom Telecom was that this model does not support the fictive decisions, since the result theatre is already defined and business managers are bounded with their rationality, they tend to test and explore the decision that makes common sense and could be sold to management, to achieve the desired result of a problem there are always some run of the mill solution that pop-up in managers mind, and by following this rationale model, and in try to be rationale managers tend to send packing the creative ideas to problems that in one look may not make sense but after careful examination could have benefitted the organization more than the usual solutions(John, 2001).So there is a inherent limitation in rationale decision making model that is leads the manager to only stick to their rationale and make the decision that are acceptable in masses and ignore the creative options that come into mind, another reason of ignoring creative decision is that rationale model is already and lengthy process to follow and managers tend to stay away from creative process because such ideas would require them to evaluate and predict their implications, and this again will result in extended time taken in decision making and managers have the insistence to make the decision on time so that problem can be rectified in due time (Graham, 1993).How to Company Could exclude LimitationsAs author mentioned above that decision making process took more than a year to get reached on, organization had to suffer their valuable opportunities that could have been exploited otherwise, and the solution to this limitation, in author point of view is that they should have employed the pa rallel analysis techniques, instead of deploying all the resources to one step at one time, they could have increased the number of managers working on the this problem and then ask them to parallel on each step, in this way the amount of time consumed in making decision could be reduced to few months. This could have also achieved by employing dedicated resources to this situation and realizing the fact the competitive environment in Pakistan in different from the competitive environment in Egypt and by using dedicated resources in Pakistan and by doing parallel analysis and execution of the process they could have achieved the desired results in minimum time(Graham, 1993).Another problem with the approach employed by the organization was to keep everything on hold for the period of decision making, while the external competitive environment was turbulent and competitive, their decision to hold all marketing activities for the period of transition was not effective, by doing this t hey lost the market opportunities and they position as leading telecom player was compromised. In order to avoid such situation they should have keep on giving marketing support to their products and by the time of reaching to any solution and genuinely launching the new entity formed they would have not missed the market (John, 2001).How this Module Affected My Decision MakingParticipation is this staff has positively affected my problem solving and decision making abilities, as savant of management and in daily manner, on work or otherwise, we daily face different problems with different level of colonialities, some problem are of critical nature and some are not that important, for some problems nimble decision making is required and for some problems we need a complex decision making for which time is also required, we also face the situations where we even dont know what the actual problem is, and all this happens on continues basis and in regular intervals.This module ha s transformed the way I used to look at the different situations, it has also taught me that there is a solution to every problem no matter how complex it may seem in first time, after going through this module I have well-educated that how a complex situation can be turned into a favorable situation by carefully analyzing it, how to find the actual problem by doing root cause analysis, and not to judge any situation on its face view.I have also learned that after finding the actual problem what approached that I can employee as road map to finding the solution to my problem, I have gone(p) through various exercise that have taught me that how I can find solution and answer to various problem on my professional life and how I can use different decision making model on my working and then in my in-person life. I have also came to know that which model of decision making and problem solving best suits the different situation, how to handle problems which are of immediate nature, ho w to solve problem which have long term affect, by going through this module I am confident on my decision making and problem solving abilities and I can use them in my professional and personal life.ConclusionThis paper was aimed to explore the various decision making models and their applications by analyzing a real time problem case study that author have made on Pakistans leading telecom company Mobilink which is a subsidiary of one the largest telecom operators in the world Orascom Telecom. In this paper, author have examined real time problem which the organization had to face, while operating broadband industry of Pakistan and being a market leader they were run two of their subsidiaries with different names and operations but in the same market, and that dual operation was badly hitting their profitability.To cater to this problem organization then employed the rationale decision making model and after going through the process of decision making, they decided to merge the operations of both of the organization, later on author has examined the limitations in the study and then discussed the steps that can be taken to avoid such shortcomings. later(prenominal) in this paper author have discussed that how participation in this module have affected his decision making and problem solving abilities and how author can use the knowledge and experience gained from this module in his personal and professional life.