Transcript Document
SUCCESS STORY OF OMNITEL STRATEGIC CONCEPT Your thoughts, words, feelings A parthership of business, state ant the public at large - to create a knowledge-based society. The latest technology, information and ideas - to realise this aim. MISSION We develop and provide most advanced means of communication that would ensure ability to interact at any point in any space. HOW THE COMPANY WAS FOUNDED This year Omnitel celebrates the 10th anniversary of its activities. “Independent communications is the basis of the democratic society.” Kazickas One of the founding members of Omnitel, Juozas Kazickas, was actively involved in the preparation ofdr. stateJuozas programmes to transform the Lithuanian The company made its first steps together with the newly-independent state. economy from the model of planned economy to a market economy. The founding of Omnitel was one of his personal contributions to the development of the Lithuanian economy. • In 1991, after Lithuania regained its independence, Dr. J. Kazickas The importance of independent communications with the world was one of the most important issues to the state which at that time got involved in information wars with Russia founded the Company. The idea of Mr Kazickas to found a telecommunications company which would be independent from the Russian dictatorship was approved and encouraged in 1991idea by the Lithuanian of that time. • The behindGovernment this was to establish independent communications Following the establishment opened its door to the world. with the restofofOmnitel, theLithuania world. We did this before Latvia, Estonia, Byelorussia, Ukraine and many other neighbouring countries. • The first private telecommunications company in capital Eastern Europe. Furthermore, the establishment of a telecommunications company meant the influx of huge private to Lithuania. The first the newly-independent Lithuanian economy this country a real opportunity to get on its feet. • major Oneinvestments of theintofirst major investors in thegave country’s economy. From the very start, Omnitel became one of the largest investors into the Lithuanian economy and one of the largest Lithuanian companies. The founders of Omnitel set a goal to bring the latest telecommunications technologies to Lithuania and provide the broadest possible range of services. The successfully chosen operational strategy and the philosophy of a company striving for leadership allowed fast development of activities and formed a basis for securing a leadership position for this company working in the field of telecommunications. Firm initial steps helped to lay down the foundations for successful activities of Omnitel. OMNITEL TODAY Omnitel has reached its goal and today has the strongest position on the Lithuanian telecommunications market. “We sometimes even work ahead of time by bringing the latest technologies to Lithuania. However, this allows us to help the Lithuanian people to develop the future information society.” (Leading service provider) The company places great importance to ensuring that the latest technologies produce real benefits to Lithuanian people, Antanas Zabulis, President therefore, it makes a lot of efforts and works hard to develop specific services. Currently, Omnitel, as a telecommunications company, offers the (Leader of technologies) Omnitel often implements technologies in Lithuania even before they are introduced in other countries of the world or introduces them alongside with other world operators. broadest range of services to its customers. • now Leader technologies: the first inprovided Lithuania implement GSM,mobile WAPoperators. protocol, Omnitel offers theof same services to its customers as those by Westto European and Scandinavian one of theThe first in Europe a wide range ofinintegrated one of the in It (Investments) company is currentlyto oneimplement of the most important economic entities the country. It isservices, one of the largest investors andfirst tax payers. has the largest formation of the Lithuanian and Baltic technology. telecommunications markets. the influence world on tothe start implementing GPRS (Number of customers) Omnitel’s efforts and investments was a determining factor for the company in securing a leadership position in the Baltic ofnumber services: the broadest range of ofGSM Internet; datamobile transmission; region.• InLeader terms of the of customers, Omnitel is currently ahead all the services; Lithuanian, Latvian and Estonian telecommunications companies. integrated services, mobile Internet (GPRS), IN based services, etc. Today Omnitel is the country’s unsurpassable leader in the field of mobile telecommunications. • One of the five largest investors in Lithuania: Omnitel has already invested over EUR 290 M. • The largest mobile telecommunications company in the Baltics in terms of the number of customers: Omnitel had signed more than up 855 000 subscribers by the end of May, 2003. Omnitel today is the largest mobile communications company in the Baltic states. OMNITEL’S SHAREHOLDERS Omnitel is a foreign capital company. Our shareholders are world-famous telecommunications companies with rich experience and strong positions on the world market. Shareholders guarantee basis for viable business. BUSINESS LEADER The telecommunications market is one of the most rapidly changing business areas. Fast advances of world technologies forces us to observe the The success of telecommunications on the speed response changes. changes and latest developments very closely so that we business would be able depends to offer the newest services to ourof customers. Most to up-to-date services is the key to success in the business of mobile telecommunications. • Omnitel started earning profits in 1996. • The company’s turnover was EUR 203.5 M in 2002. Rapid development of the company’s business proves that Omnitel is able to keep pace with the development of world technologies. • The agreement of the strategic investor signed in 2001 – EUR 58 M and 30 work places in 3 years. The company got on its feet within five years and has been earning profits since 1996. • Omnitel has already invested EUR 75.4 M and created 67 working places in 2002. The company implements and puts on the market state-of-the-art solutions on favourable terms. Last year, the turnover of the company reached 340 million Lt. Omnitel is one of the largest tax payers in Lithuania: in 2000, it paid a total of 33.7 million litas to the state budget. This approximately equals the amount paid out in pensions in three regions of Lithuania. From the very first year of operation, Omnitel has been one of the largest investors in Lithuania. As stated earlier, investments of Omnitel amounted to 800 million Lt over the 10 years. Today the company is among the five largest investors. Its investments are growing every year (chart). The main investments are made into the latest technologies, the development of GSM services and improvements of the GSM network. Investment strategies ensure the development of services and growth of the company. Investments (million EUR) Successful investments were the determining factor for the profitable activities of the company. LARGEST MARKET SHARE Omnitel has always controlled and still controls the largest share of the telecommunications market. The Lithuanian mobile market in 2002 (Comments of the chart) The figures havetelecommunications changed only by a few percent over the decade. Omnitel controls the largest market share both in the private and business sector. Up until now, Omnitel has focused on the business sector: all market surveys prove the success of our efforts in reaching our goal. (Most favoured) This year the company SIC Market Surveys carried out a survey of the image of the largest Lithuanian companies. During the survey respondents were given a list of 30 companies and asked to express their opinion about these companies and assess their strength. Omnitel is in the Top5 of the most favoured companies. According to survey participants, Omnitel is the second strongest Lithuanian company (after Kraft Foods). Market according to (Chosen by Business Segment) The Baltic Surveys company carries out an annual survey of managers of Lithuanian companies. This survey reflects market penetration and the way the market is divided between different operators. According to the results of this survey, Omnitel controls 70 percent “Omnitel” evaluation of the corporate market. Omnitel’s Internet services are used by 40 percent of the corporate market. (100 largest companies) The analysis of the publication Lithuanian Business Leaders published by Verslo Žinios daily has shown that 78 out of 100 The Lithuanian business largest•Lithuanian companies choose services segment of Omnitel. chooses Omnitel: the company has secured 70 percent of theleaders’ Lithuanian business (Baltic The business choice allows us to statemarket that Omnitel has the Surveys). strongest position on the market. • Around 90 per cent of 100 biggest Lithuanian companies use “Omnitel” services. Lithuanian business leaders rely on services provided by Omnitel. LEADER OF TECHNOLOGIES One of the aims of Omnitel has been and still is promotion of demand for information. There is a need to prove the value of information to the public and teach people how to use information. (The following saying is especially true in this case: ‘Those who manage information, manage the world’). State-of-the-art technologies ensure the development of services and the company’s Omnitel not only puts thesuccess. latest technologies on the market but – more importantly – also stimulates customers’ need to use them for meeting The latest technologies serve the purpose of enabling people to obtain the most up-to-date information in the shortest time possible. everyday requirements and making business decisions. • Omnitel introduced the first national GSM network and Omnitel was the first to implement the latest in mobile telecommunications in Lithuania. (AboutLithuania GSM and WAP)in commercial internet services in 1995. • Ingeneration October 1996, paging networkbywas launched. The latest GPRS technology was introduced Omnitel alongside with the leading world operators. In 1999, Omnitel was the first company in Lithuania implement WAP. GPRS •means a revolution in mobile communications, as this technology transforms to mobile telephones into portable computers that are constantly connected to the Internet. It is only one step away from the third generation (3G) communications. • In October 2000, Omnitel announced about the rollout of the world’s latest packet data Lithuanian people can now access the Internet anywhere within the GSM coverage area. This is one of the most tangible and significant steps which transmission technology GPRS in its network. will have the greatest impact on the development of the information society in Lithuania. • In February Lithuania became of the few countries theBaltic world The implementation of GPRS2001, has already made a major impact onone the development of technologies of thein whole region.where the future vision of mobile Internet was transformed into the everyday reality. •MMS service is launced in the end of September 2002. At the end of 2002 “Omnitel” had 400 MMS users. Following the implementation of GPRS by Omnitel, Lithuania joined the ranks of world leaders in field of telecommunications technologies. UNIQUE SOLUTIONS In •“Omnitel” March 2001,isOmnitel providingGPRS a newRoaming service to Service its business Save (Your team) which created on the IN (Intelligent the firststarted to introduce thatclients is used inkomanda Latvia and Estonia, and inisthe nearest future - in the network) platform: it is a possibility to provide the short numbers for the company’s mobile telephone users and to connect them into a Scandinavian countries; unanimous network. Short numbers can be used both for making calls within and outside the company. A customer may decide to which • BSA – “Omnitel” was the first in the country to provide an opportunity to receive incoming roaming calls in the Baltic States subscribers of his/her company or external subscribers a short number will be allocated thus the customer may create his or her own team. free of charge; •Omnitel seeks to stimulate e-commerce Lithuania. was the first company in the broad countrypossibilities to offer an e-shop "Muge" (www.muge.lt). Now it •installed a wireless introduced thein“SIM Plius”It card offering particularly for each subscriber to personalize represents the largest electronic commerce portal in Lithuania. As many as 12 shops are operating in Mugė and a wide range of commodities are the services received. offered in it. Mugė differs from other national electronic shops, due to the possibility to perform payments for the commodities not only by the •Internetbut network in 2002. traditional, also by(WLAN) the innovative, convenient and secure mode of payment. Recently a possibility to create and control an independent electronic shop "Make an electronic was introduced. •MMS service is launced in theshop end yourself" of September 2002. It allows the user to create a shop of his/her own and to test its operation. Both hardware and software for this project were provided by "IBM Lietuva". In May 2001, Super.lt was opened in the portal. It is deemed to be •June, 2002 – parking by SMS solutions in Vilnius and Kaunas. one of the biggest projects in the area of electronic commerce in Lithuania. More than 2000 titles of various books and more than 50 computer •January, 2002 - the first Lithuaniaon prepaid internettobanking together with Hansa-LTB bank. games could be obtained here.in Information authors,refill bookservice reviews,via possibility participate in discussions are available here as well. "Mugė" visitors can also participate in the commodity auctions, receive the newest information about electronic commerce in Lithuania and in thecalls world. • December, 2001 - service “Work&Leisure” for business customers. It allows to separate business and personal by "Mugė" portal is visited by over 40 000 people a month. Knowing that Internet in Lithuania is used about 8% population (approx. 280 thousand account limit, work time and VPN calls. people) such a visiting frequency could be considered as a success. •November, 2001 - TV chat via SMS with TV3 - SMS text is displayed on TV screen online. •October, 2001 - joint portal OMNI.LT, which is accessed both via internet and mobile network. •August, 2001 - the first in Lithuania mobile GIS & GPS based vehicle tracking system. •June, 2001 - Omnitel was the first in the Baltics to introduce GPRS applications for business - applications for brokers’ network and data collection from electricity objects. •March, 2001- Omnitel introduced VPN service “Your team”, which enabled to provide short numbers for the customer’s mobile subscribers and connect them into the unanimous system. •1999 - the first in Lithuania e-commerce portal MUGE. Currently, it represents the largest e-commerce portal in the country. COMMUNICATIONS NETWORK GPRS technology was implemented in Omnitel’s GSM network. Such a complex technology could be rolled out only in a very high-quality and very modern GSM network that could simultaneously support two technologies. Omnitel’ network reaches the remotest places in Lithuania. Omnitel has developed the widest network in Lithuania. (Introduce network parameters and possibilities) This means that the connection in Omnitel’s network is very strong. • Omnitel’s network covers 99 percent of the country’s territory. The list of world partners is constantly expanded: our clients are able to use mobile services almost anywhere in the world. • Two-band network: GSM (900 MHz) and DCS (1800 MHz). Currently we are focusing on network improvements, upgrading of equipment and installation of new equipment. • Today Omnitel has 671 base stations. • 4 switching centres. •Subscribers of Omnitel can use mobile services in 73 countries of the world Furthermore, Omnitel offers the widest coverage to its customers (roaming). supported by 173 GSM operators. •Our clients can access the Internet in 90 countries around the world. Internet via GPRS is accessable in 14 countries. Investments into network and state-of-art technologies build a bridge towards 3G. PROFFESIONAL STAFF Omnitel is proud of and values its team. Highly-qualified, insightful staff have significantly We think that our business is driven by peopleand rathermotivated that technologies or equipment. contributed to Omnitel’s It wassuccess. only thanks to highly-qualified employees that Omnitel was able to implement GRPS technology and became one of the world leaders in this field. Omnitel’s staff education: Age of employees: We are united by a common philosophy and one underlying idea: Omnitel must be the best in everything it does. Secondary 50 and This has lead to 18% a tradition that only the best employees stay with the company. older 18 - 24 We encourage all initiatives of our employees and provide the basis for their implementation – that is why Omnitel acts as one team. University College-type 3% yrs. 67% 18% 15% 35 - 49 yrs. 32% Omnitel’s management : Women 30% 25 - 34 yrs. 47% Men 70% A team of people united by common ideas and initiatives contributes towards the success of the Company. CLOSEST TO PEOPLE (1) One of the main reasons behind Omnitel’s success is focus on customers’ needs. We are always aware of the situation on the market and try guess what tomorrow will bring. That is why we are able to offer such services that our • Omnitel is aneed TOP 1 company according to the image (SIC Market Surveys, March, 2002) customers will certainly tomorrow. the data from the and survey conducted by inthe and way. public We try•toAccording establish closeto contacts with our customers to provide services to them the market most convenient opinion “SIC rinkos in 2003, Omnitel was first regarding all That isresearch why we havecompany a wide customer service networktyrimai” and are constantly expanding it (about salesthe outlets). indicators - corporate image,method strength, modernity, about the company, Our clients may choose the most acceptable of payment for services opinion (pre-payment or a permanent contract with Omnitel) and the most suitable plan (based on who,of how intensively and how and frequently uses the services). attractiveness advertisement potential employer. There are different methods and locations for making payments for services (Omnitel, banks, post office). Omnitel is implementing promotion programme for loyal customers called Welfare: every year customers are granted increasing discounts for the subscription fee and rate of telephone calls). We value our customers and try to preserve their loyalty. To make customers feel our constant attention, we have our Subscriber Service Centre which provides advice on all issues related to Omnitel services round the clock. Our customers feel our attention: this reflected in the constantly growing number of our subscribers. We are always close to our Customers. CLOSEST TO PEOPLE (2) Omnitel has already opened 7 branches. • There are 14 showrooms in 8 towns of the country. • Omnitel is represented by 4 distribution partner networks: Mikro Visata, Kom Runa, Inta and Sonex Co. and newly launched in summer 2002 retail network SIMAS. Before the end of the 2002 the number of sales outlets belonging to SIMAS network grew up to 90. GSM services are distributed through more than 500 sales outlets. • Pre-paid service Extra is available at 4000 sales outlets. • The most convenient tariff plans and ways of payment. • The GEROVĖ (Welfare), AČIŪ (Thank you) and NAUDA (Benefit) loyalty programs for post-paid and Extra Plius program for pre-paid subscribers. •the first in Lithuania to introduce a new payment plan MINI without subscription fee; • the first in Lithuania to introduce a unique payment plan ŠEIMA (FAMILY) offering cheaper calls to subscribers belonging to the same customer; • the first in Lithuania to introduce new ways of paying for services (Internet, ATM, SMS, EXTRA S.O.S., EXTRA Express). • Modern Customer Care centre information is available via phone on the 24-hour basis: - “Infolinija” 117 is a free-of-charge self service providing basic information on services, rates, payment plans, handset prices, etc. - “InfoFonas” 1544 provides billing information, used-up amount and the free-of-charge balance. Automatic recognition of the customer’s number and information provision. - Service administration answering machine 1566 – with the help of automatic menu customers of the company can choose and change payment plans as well as activate and deactivate services. - Operator consultations 1533 or (8 698) 63333 – detailed and qualified consultations provided by professionals round the clock. We are always close to our Customers. CORPORATE CITIZEN The path that the company has been following for 10 years and its size and influence allows Omnitel to have its say not only in business life but also in the life of the country and its society. Omnitel has always been and will remain an active member of business community and corporate We view Omnitel as a member of the Lithuanian society which, in addition to different possibilities and goals, has its obligations to its country and citizen. people. •development of information society in Lithuania - initiation of the alliance WINDOW TO THE FUTURE to achieve break point in thefield internet penetration We have set threethe tasks for ourselves in the of our public activities. and overcome digital divide – already launched 29 internet access points. of the information society in Lithuania by taking very specific steps. 1. We are aiming public to promote the development •participation in development process of information society in Lithuania 2. We devote particular attention and support to the country’s schools and universities since it is there that our young society members are educated. •Member of 7 associations, including the Lithuanian Council of Information Society under the 8 million Lt was allocated toof thethe programme ‘Schools for Information to set up computer classrooms. A total of 100 Lithuanian schools President Republic of Lithuania, theLithuania’ Information Economic Forum, Infobalt Association, the have already been computerised and Council are now introducing Internet access, a common school network is being developed. Coordination of the Ministry of Education’s Programme “Schools for Information Lithuania”. Remigijus Gaška, Advisor to Lithuanian President Valdas Adamkus, attributes a new significant role to Omnitel: By computerising the country’s • initiation and projects schools, Omnitel will thussponsorship help solve the of twocomputerisation most important social problemsfor in education Lithuania, i.e.system unemployment and a very considerable lack of progress of rural population in mastering the usefor of information technologies. •The programme ‘Schools Information Lithuania’ implemented jointly by Omnitel, its founders, 3. We are particularly concerned with the spiritual of Lithuania, the development of intellectual thought public education dr. Juozas Kazickas’ Familylife Fund, Gediminas Gruodis, ex-president ofand Omnitel, and theprojects. Ministry and Science has been launched. Omnitel is oneofofEducation the largest sponsors of different public programmes. For six years, it has been funding well-known festivals of classical music and sponsoring sports and other teams. Events such as Pažaislis Music Festival and Vilnius Festival, have a major influence on the country’s spiritual life. •support for Lithuania’s science, culture and sports Currently, the •Support situation in is theprovided country’s cultural lifecountry’s is far from good, therefore, our company’s position is that the concern for the the spiritual life of the for the largest universities, most famous music festivals, nation cannotLithuanian be left only to the state. National Olympic Committee and the Lithuanian Basketball League, the most Omnitel has always been concerned with the cultural situation in Lithuania, as it determines the general way of life of the country, people’s thinking impressive entertainment events. and self-attitude. That is why we are particularly focusing on those cultural facts that influence the cultural context both of our country and the whole Baltic region. Omnitel has a say in solving the most important issues of the society’s life and supports projects of the future. GUARANTEE FOR FUTURE SUCCESS Our current strong position provides the basis for further development of business towards mobile Internet. Omnitel chosen operational strategy andcommunications has formedto Lithuania. a firm basis for Omnitel intends to has go down in historythe as aright company which brought Third Generation It was encouraged to set this goal by thesuccessful factors that ensure business success today. future activities. During his visit to Lithuania and the preparation of a special supplement about our country, a journalist of The Washington Times daily underlined The cornerstones of the company’s activities: that Omnitel clearly stands out because of its far-reaching goals and strong determination to achieve them. • Leadership Omnitel was named as the driving force behind the revolution of information technologies in the country. Alwaystobe others, be the best. Leadership a success factor in rapid the fields Such an image is acceptable us:ahead Omnitelof understands revolution as the assertion of is radical new developments, changeof and unrestrained communications quality, services and customer care. ideas. • This is especially important in Lithuania today. We will aim to ensure that the revolution of information technologies which we are driving takes place Quality in the whole country both on the intellectual and on the practical, everyday level. Our activities are aimed at best quality. This is not only about technical indicators of communications quality, but also about striving to meet customer needs and even exceed their expectations. The goal of quality focus is new CONVENIENCE and new OPPORTUNITIES for “Omnitel” customers. • Partnership Partnership and co-operation is a success factor for long-term business stability and success. Business, government and society are our partners. “Omnitel is the driving force behind the revolution of information technologies in Lithuania.” Tim Kennedy, The Washington Times The end. Thank you!