PTCL; History of Pakistani Telecom Giant

PTCL (Pakistan Telecommunication Company Ltd) is Pakistan’s largest land-line telephone, internet, and other telecom service provider. PTCL was found in the same year of Pakistan’s independence in 1947. Its Head Quarter is situated in country’s capital Islamabad, it’s considered the backbone of communication network domestically, as it possess several telecommunication and data services for millions of customers. Additionally also have 2000 telephone exchanges all over the country, which are also recognized as the data centers.

PTCL (Pakistan Telecommunication Company Ltd)

Services:

PTCL provides copious numbers of services such as fixed line phones, IPTV (Smart TV), CDMA (Vfone), Broadband, Wireless Internet (Evo, Wingle, and WiMax, Charji), and several other telecom related value added services.

Ownership:

PTCL was a state owned enterprise completely till 2006, when in Pervez Musharraf’s rule the privatization of the 26% shares of PTCL was sold to UAE telecom giant Etisalat Telecommunication in $2.6 Billion. Since then, Govt of Pakistan owns 62% shares and remaining 12% shares are owned by the general public, as now PTCL is a listed company in KSE (Karachi Stock Exchange). Nevertheless, having huge chunk of 62% Govt of Pakistan still manages the enterprise and take big managerial decisions.

Effects After Privatization of Shares:

The after effects of PTCL’s privatization were seen positive at the customers end except for the PTCL employees. Because, like all Govt run organizations PTCL was also overcrowded with a lot of useless employees, who were recruited upon political references or after the creation of forced vacancies. Therefore, instantly after the privatization of PTCL 26% shares, which include operational control too, the new management throw out ineffective employees to reduce PTCL’s loses.

Advantages:

Since the new administration of PTCL was firing worthless employees, at the same time was arranging an adequate remedy for it. What PTCL did that the new competent management introduced automation and vendor concepts in all departments of PTCL. Therefore, under new management PTCL revamped completely, customers care that was pathetic – became bit agile and responsive.

Outsourcing:

After privatization and firing old employees PTCL embraced the outsourcing concept for their various services. Like recruitments, currently vendors known as ASK Development, E-square, the private human resource companies were hired for providing various employees to PTCL.

What PTCL do that these companies hire employees for PTCL, they work for PTCL but they are not considered the employees of PTCL. Because, their salaries come from vendors not directly through PTCL, these vendors have mutual agreements with PTCL nowadays meant for Human Resource – for what they get paid.

As a result, PTCL does not have to take care of the huge list of various departments’ employees anyhow. This custom primarily saves lots of recruitment time and money of PTCL now that eventually any company has to bear during this pondering process of hiring.

Modern Services Launch:

While these days everything is technology driven and linked with telecommunication and Internet synergy. Therefore, to match the competitive market of telecom and internet, PTCL focuses more on introducing innovative services from recent few years. In view of the fact that after mobile phone and mobile networks introduction the land-line phone is considered a hopeless communication tool, seeing this virtue PTCL now focus more on value added services.

The revolutionary services that PTCL has introduced off late are PTCL Smart TV that allows users to watch hundreds of digital crystal clear TV channels through their phone line. Smart TV is one of its kind IPTV service in Pakistan that permits users to pause, rewind and record live TV streaming. Moreover, PTCL provides the leverage to PTCL land-line customers to enjoy trio of Telephone, Broadband, and Smart TV collectively via one PTCL connection.

Broadband Split:

Furthermore, presently PTCL has the largest number of Broadband subscribers’ base in Pakistan, which is also the main source of revenue of PTCL solely. The current figure of PTCL broadband connections are more than 3.5 Million. The reason of having highest number of broadband users in Pakistan is bypassing other private ISPs similar to Wi-Tribe, Qubee, Wateen, Nayatel and Multinet. PTCL threw these ISPs by providing high speed internet – with unlimited bandwidth that other can’t provide.

Wrapping up:

PTCL, which now has to tackle the Telco’s services penetration in Pakistan that has further tightened after the launch of 3G/4G data service last year. As, internet services are the main foundation of returns for PTCL, seeing that all telecom operators are now offering affordable internet via their 3G and 4G services, it’s high time for PTCL to come up with some counter-productive strategy to retain the position of market leader in internet service contributor in Pakistan.