Executive Summary: Company Profile

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EXECUTIVE SUMMARY

This project is based on Balance sheet and profit and loss accounts of theBh ara t
Sanchar Nigam Limited. It is done to find out whether the BSNL are improving our
capital structure or not.
Further, in this Project
Chapter 1 includes the introduction of the company wherein I told about the
Objectives of the study and profile of the Bharat Sanchar Nigam Limited.
Chapter 2 includes the Research Methodology wherein I have discussed the Research
Design and Various sources of the Data Collection.
Chapter 3 includes the Data analysis and Findings wherein I have analyze the data
collected from the departmental records, annual reports and web site records.
Chapter 4 represents the conclusion and the suggestions based on the departmental
records and annual report.

COMPANY PROFILE

On October 1, 2000 the Department of Telecom


Operations, Government of India became a corporation and was christened B
harat
Sanchar Nigam Limited (BSNL) . Today, BSNL is the No. 1
Telecommunications
Company and the largest Public Sector Undertaking of India with authorized
share
capital of $ 3977 million and net worth of $ 14.32 billion. It has a network of
over 45
million lines covering 5000 towns with over 35 million telephone
connections.
With latest digital switching technology like OCB,EWSD,AXE-10,FETEX,NEC
etc.
and widespread transmission network including SDH system up to 2.5 gbps,
DWDM
system up to 80 gbps,Web telephony,DIAS,VPN, Broadband and more than
400,000
data customers , BSNL continues to serve this great nation .
Its responsibilities include improvement of the already impeccable quality of
telecom
services, expansion of telecom network, introduction of new telecom
services in all
villages and instilling confidence among its customers.
BSNL has managed to shoulder these responsibilities remarkably and deftly.
Today with over 45 million line capacity, 99.9% of its exchanges digital,
nation wide
Network management & surveillance system (NMSS) to control telecom
traffic and
over 4,00,000 route kms of OFC network, Bharat Sanchar Nigam Ltd is a
name to
reckon with in the world of connectivity. Along with its vast customer base,
BSNL's
financial and asset bases too are vast and strong. Consider the figures, as
they speak
volumes on BSNL’s standing:

 The telephone infrastructure alone is worth about Rs. 1,00,000 crore


(US $ 22.74
billion)
 Turnover of Rs. 31,400 crore ( US $ 7.14 billion)

Add to which, BSNL's nationwide coverage and reach, comprehensive range


of
telecom services and a penchant for excellence; and you have the
ingredients for
restructuring India for a bright future. Today, BSNL is most trusted Telecom
Brand
of India

OBJECTIVES

To be a Lead Telecom Services Provider.


Build customers confidence through quality and reliable service.


Provide Bandwidth on demand.


Contribute towards:

i. National Plan Target of 250 million subscriber base for the country
by December 2007.
ii.Broadband customers base of 20 million in the country by 2010 as
per Broadband Policy 2004.
iii. Telephone in all villages.
iv Implementation of Triple play as a regular commercial proposition

1.5 SWOT Analysis:

STRENGTHS:

Pan-India reach

Experienced telecom service provider


Total telecom service provider


Huge Resources (financial & technical pool)


Huge customer base


Most trusted telecom brand


Transparency in billing

Easy deployment of new services


Copper in last mile can be used for easy broadband deployment


Huge Optical Fibre network and associated bandwidth

WEAKNESSES:

Non-optimization of network capabilities


Poor marketing strategy


Bureaucratic organizational set up


Inflexibility in mindset (DOT period legacies)


Limited number of value added services


Poor franchisee network


Legacy of poor service image


Huge and aged manpower


Procedural delays

Lack of strategic alliances


Problems associated with incumbency like outdated technologies,


unproductive rural assets, social obligations, political interference,

Poor IT penetration within organization


Poor knowledge Management

OPPORTUNITIES

Tremendous market growing at 20 lac customers per month


Untapped broadband services


Untouched international market


Can capitalize on public sector image to grab government’s ICT initiatives


ITEB service markets


Diversification of business to turn-key projects


Leveraging the brand image to source funds


Almost un-invaded VSAT market


Fuller utilization of slack resources


Can make a kill through deep penetration and low cost advantage

Broaden market expected from convergence of broadcasting, telecom and


entertainment industry

THREATS

Competition from private operators


Keeping pace with fast technological changes


Market maturity in basic telephone segment


Manpower churning

Multinational eyeing Indian telecom market


Private operators demand for sharing last mile


Decreasing per line revenues due to competitive pricing


Private operators demand to do away with ADC can seriously effect revenues

Populist policies of government like “OneIndia” rates

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