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Case study : India Tele Linkages (ITL)
India Tele Linkages (ITL) was one of the pioneers to enter the telecom business in India in the private sector. India T.L. was the only company to have brand recognition with its popular Tulip range of telephones. ITL had restructured itself into a multi product/ service group by diversifying into other telecom and non-telecom services like healthcare too. Its service venture included Chennai operations, ITL cellular and the cellular licensee in Andhra territory. After distributing different areas among different groups of companies, ITL also ventured into manufacturing of transmission equipments. In fact, ITL was the first company to get ISO 9002 accreditation in India. In the year 2000, it entered into a tie-up with LDC Telecom, Oman to manufacture SDH, digital control multiplier and some network access products.
The company registered a total sales of RS. 76 crores in 1995-96, a 22% growth over previous year’s figure of Rs.62.4 crores. The net profit was Rs. 9.14 crores, a growth of 67.7% over the previous year’s figure of Rs. 5.45 crores. ITL had forged an alliance with the global giant German Telecom for a complete range of office automation products.
The company had started distributing ISDN handsets and terminal adapters. The company had also set up a joint venture with Tkahami Ltd., Japan to manufacture pagers. ITL had chosen a strategy of building brands whether it was Tulip in telephone instruments or Spacetel in cellular services. As the third step in the growth of India Tele linkages, it was granted license to provide basic telephone services in telecom circle of the state of Tamil Nadu by the Ministry of Communications, Government of India on April 18, 1998. On August 4, 1999 India Tele Linkages set up its first private line at Coimbatore with its head office at Chennai and five regional offices at Bangalore, Hyderabad, Bhuwaneshwar, Trivandram and Coimbatore. Initially, the company was the only private player and did not perceive any threat from the sole player in public sector.
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QUESTIONS
1. How far do you think that that HR strategies are in alignment with the corporate strategy of the company?
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2. Had you been Kamal Kumar, what step would you to minimize the employ turnover?
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