PROJECT PROPOSAL

CMPak Limited
(ZONG)

Submitted By: Atif Ali Raza

Reg: bag-f06-009

Program:

Master in Business Administration

Department of Management Sciences

The University of Lahore
Date: 04/05/2009

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 1. BACKGROUND OF THE COMPANY

History of Paktel

Paktel is a mobile telecommunication company in

pakistan.It was the first ever company granted license
to carry out cellular phone services in Pakistan, set
up by cable & wireless. It carried out AMPS
services until 2004,when the company launched GSM
services as well. Its main competitor emerged in late
1990s as Instaphone and soon began to dominate the
market. However after the launch and rapid success of
Mobilink in 1998, both services lost market share. In
2003, Millicom Corporation, who at that time were
majority owners of Instaphone, bought Paktel for a
sum rumoured to be $1 from Cable & Wireless. Millicom
installed a new management team headed by John
Tumelty, former CEO of Instaphone, and Chief Financial
Officer David Ordman. In January 2007 Millicom sold
Paktel for $284 million to China Mobile.

Sale of Paktel to China Mobile and Rename to

CMPak
Millicom International Cellular S.A. on Sunday, 22
January 2007, said it will sell its 88.86 percent
stake in Paktel Ltd. to China Mobile for $284 million,
which includes the repayment of intercompany debt. The
sale implies an enterprise value for Paktel of $460
million, Millicom said in its press release.

Merrill Lynch advised China Mobile on the

transaction.On 4 May 2007, Paktel was renamed to
CMPak. And then, on 16 May

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2007, China Mobile announced that it had upped its
stake in CMPak to 100%.

Moreover, PTA (Pakistan Telecommunication Authority)

has announced that it may resolve the frequency issue
with China Mobile, as it was one of the main reason
for pullout by Millicom International Cellular S.A.

China for first time with investing in PakTel will try

to rock the telecom sector of Pakistan by introducing
its cellular service named Zong, which offers the most
popular and most subscribers in universe.
China Mobile is the world's largest telecom operator.
Having a customer base of over 300 million customers,
its network routes 700 million text messages every day
and handles 250 million calls every hour.
China Mobile is perhaps the only cellular network that
provides uninterrupted, reliable coverage through
tunnels, on highways, inside sky scrapper elevators as
well on top of Mount Everest.
One of the unique features of China Mobile servicing
excellence is to customize its products, services and
tariffs to suit the individual needs of its huge
subscriber base. There are hundreds of payment/tariff
options to choose from according to one's usage
pattern, budgetary limitations and nature of use.
China Mobile's first overseas subsidiary, China Mobile
Pakistan has the license to offer and operate voice,
data and all value added services in the entire
country. One of the fastest growing cellular markets
in the world, Pakistan is a key region that is likely
to offer expansion opportunities as well the chance to
make a difference in the lives of a growing clientele

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that is demanding and understands and appreciates
better quality and service standards.

CMPak has now rebranded Paktel to Zong

CMPak
China Mobile Pakistan (CMPak) is a 100% subsidiary of
China Mobile. The pioneering overseas set up of China
Mobile came through acquisition of a license from
Millicom to operate a GSM network in Pakistan.

So far CMPak has invested more than US$ 700 million in

the telecom sector in Pakistan and an additional US$
800 million will be invested till the end of year
2008.

With ambitious plans to cater to the fastest growing

Pakistani market and to win over the ever demanding
Pakistani customer, it will be offering unprecedented
coverage, voice and data services as well as a wide
range of tariff options to choose from.

CMPak's edge comes from the experience and expertise

of running the world's largest telecom service and the
commitment they make to setting quality and customer
relations standards. CMPak is geared to offer neatly
packaged VAS products that will benefit the
individuals, corporates as well as small businesses.
Led by a team of professionals from the field of
cellular communication, CMPak is determined to make
its mark in the Pakistani market and to change the way
people communicate

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Zong

ZONG is the first International brand of China Mobile

being launched in Pakistan. It is every one desired
but few thought would be possible. Meant to empower
and liberate the people of Pakistan in every nook and
corner of the country. It will become a part of their
hearts, their minds and bring about a change in their
lives that the core essence of ZONG is to allow people
to communicate at will without worrying about tariffs,
network coverage, capacity issues or congestion. ZONG
will be supported by ground breaking communications,
trend setting customer service and an unmatched
product offering which will redefine rules of the game
and establish ZONG as a serious contender for the
number one spot.
ZONG would offer its customers with entertaining &
innovative value added services and will empower them
by giving a wide variety of products, services &
content to choose from. We are privileged to be the
pioneering country introducing this brand with others
to follow. And God willing, together we will also make
ZONG a success story for others to try and replicate.

ZONG’S MISSION
“To be the leading mobile operator of Pakistan
by continuously innovating and offering
exceptional quality services to be good
corporate citizen and envoy of friendship
between china and Pakistan core value
.responsibility makes perfection”

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 ZONG’S VISION

“Making communication exciting”

Careers

ZONG is committed on attracting and retaining

the best human resource from all over Pakistan.
Its also provides a working environment which
satisfies the professional and personal needs of
its employees.

2. PROBLEM STATEMENT

The study is being conducted for

“HRM practices and The High turnover in customer
services of zong”

3. PROJECT OBJECTIVES

The project gives the comprehensive review of HRM

practices in zong and the factors which cause the
employee turnover in organization.
In this project we will find
• Analyzing the HRM practices that are
performed in zong.
• What factors involved in increasing the
turnover
• How zong improve HR practices in customer
services center to improve human supply &
demand connection.

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 • Give suggestion To minimize high turnover

Specific Purpose

The main Customer Services in zong based on CSC,

franchises, and inbound call center. The specific
purpose of this study is to analyzing HRM practices
performed and high turnover rate in zong inbound call
center.

4. LITERATURE REVIEW

Call centers represent a critical interface for

retaining and developing loyal customers. Call center
agents are expected to take on the responsibility of
retaining customers, while they also up-sell and
cross-sell additional products and services and
present a favorable image of the company’s overall
brand. That can be a tall order, given that in a
typical organization, the call center is afflicted by
the most unscheduled employee absences.

A recent study conducted by MetLife explored the

current state of call center productivity. They found
that call centers are particularly vulnerable to
productivity challenges such as disability,
unscheduled incidental absences, intermittent family
medical leave, presenteeism, and turnover. The primary
factors that contribute to these workforce management
challenges include the inherent stress that results

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from the continually changing work environment and the
demographic profile of call center workers.

These factors are explored in greater detail as

follows.

Absenteeism

The main reasons for unplanned absences include

personal or family illness, work conditions and
stress, and a sense of entitlement. Call centers
typically have a higher rate of unplanned absences to
deal with, which increases workplace stress and
decreases morale as remaining employees are stretched
thin to cover for absent co-workers.

“Employees who work in call center operations can be

four times more likely than the other employees to
miss work for psychiatric conditions such as stress or
depression,” notes Dr. Ronald Leopold, vice president
and national medical director, MetLife Disability.

Presenteeism

An issue that has only recently been studied and

measured is presenteeism. Presenteeism is defined as
the occurrence of employees reporting to work when
they are sick and therefore unproductive while they
are there. In addition to their own issues, these
employees also pose a contagion risk to co-workers.
Dealing with individuals performing at less-than-
optimal levels often comes second to dealing with
unscheduled absences, if any attention is paid to it
at all.

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High Turnover

Call centers face staggering turnover rates, and the

most critical factor impacting turnover is the
inability of the current workforce to “fit” the
demands of the job. Call center work requires staff to
have a unique blend of work-related preferences:
working with a variety of unfamiliar people who are
trying to resolve multiple issues; using a number of
technologies and communication methods simultaneously;
and performing routine and competitive tasks within a
prescribed set of rules and procedures.

“High turnover impacts customer service delivery and

profitability. As consumers, we depend on call centers
working efficiently to resolve our issues. Both
consumers and businesses benefit when turnover is
minimized,” says Leopold.

Family and Medical Leave

MetLife data shows that the incidences for Family and

Medical Leave (FML) stand-alone claims (i.e., FML
claims that do not overlap with disability claims)
among call center operations are three times higher
than MetLife’s book of business for FML in non-call
centers. Fifty-three to 60 percent of these claims are
driven by the employee’s own self-reported illness,
and commonly include psychiatric problems, migraine
headaches and back problems. Other drivers of FML
absence claims include the following:

* Stress in the workplace, and family and personal

illness.

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* Provider communities often being misinformed
about the definition of a “serious health condition”
and sometimes being too willing to complete the
certification form.

* Rigid time and attendance policies, inadequate

vacation time, and the lack of an available flexible
work schedule can contribute to employees turning to
FML as a way to protect their jobs and meet personal
obligations.

Disability

A review of short-term disability (STD) claims found

that leading disability conditions among call center
workers included digestive illness, musculoskeletal
conditions, psychiatric illness and respiratory
illness, with stress cited as the single most common
contributing factor to these conditions.

High-volume call centers (such as in the

telecommunications industry) are characterized by the
most stress, short-term disability claims, FML
absences and high turnover. To deal with the volume of
calls, agents in these centers are typically measured
on minimizing call time instead of the quality of the
interaction with the customer. The centers that
experience lower amounts of stress and turnover are
those that provide full-service solutions to their
customers.

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 5. IMPORTANCE OF THE PROJECT
Employee turnover is a global phenomenon. In the
present world of economic growth, changing
socioeconomic factors, dynamic labor markets and
hyperactive macro environmental factors, almost all
the organizations face the problem of employee
turnover. In this very competitive business
environment no business can enjoy and sustain the
success until it deals with this turnover problem
efficiently and successfully. In the near past, the
competition among the businesses has been immense
which has increased the importance of human resource
management functions. Now companies are very cautious
about the human resource policies and there is a great
emphasis on using the human capital efficiently not
only to increase the productivity but also to get the
competitive advantage. Employees are considered as the
basic operating unit of an organization, organizations
invest heavily to attract, recruit and then train the
employees. And after all these efforts, losing these
employees is a great loss to the organizations.
Therefore, there is a great need to first, identify
the factors that cause the employees to leave the
organization

7. RESEARCH DESIGN AND METODOLOGY

The method for data collection is the main part of the

study.
 Primary data collection:

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For primary data collection used following techniques:
• Personal Observation
• Informal Interview and discussion with CSO and
team leader
• Subjective questionnaire which have been
carefully administered

 Secondary data collection.

• Brochures for information to customers

• Researches
• Internet and magazines

Sample
In the project research about one hundred and fifty
(150) questionnaires will be sent to the CSO of the
zong call center
Population
Although zong employed thousands of employees but the
questionnaires has been Restricted to the CSO of
inbound call center. A total of 150 CSO from different
teams and batches will be asked to complete the
questionnaires
Limitation
 The researcher wants to analysis the HRM
practices implementation and identify the
important factors related to high turn over in
zong call center

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 the researcher has the experience of working in
zong so for good percentage of result out of
research the researcher have to directly linked
with the CSO rather then link with the management
because researcher things that with the aspect of
management and team lead fear the CSO will not
give proper answer of the questionnaire.
 The researcher conduct his research in zong call
center at 68-E Jinnah Avenue, Blue Area Islamabad
 The respondent are CSO of call center working in
• 310 queue
• 789 queue
• Mnp queue
• Retailer queue

Time
• As the Have the experience in working in
zong, so researcher will focus keen
observation
• The questionnaires data has been gathered
just once over a period of days, in order to
answer the research question so with the
help of data and assistance of supervisor
the project is one-short study

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 8. EXPECTED OUTCOME

This project is specifically about the inbound call

center of Zong, that research is helpful to find the
problem of turnover. And some solution regarding the
job of CSO.which is useful for management to minimize
the turnover rate and improve HR practices

9. REFERENCES

1. http://pakspeaks.com/2008/03/30/zong/
2. http://www.zong.com.pk/about_cmcc.html
3. http://en.wikipedia.org/wiki/Paktel
4. http://www.zong.com.pk/about_zong.htm
5. http://www.pro-pakistan.com/2008/04/07/zong-a-cmpak-new-brand/
6. http://www.loma.org/res-07-05-callcenterprod.asp
7. http://www.zong.com.pk/about_zong.htm
8. http://www.pta.gov.pk/index.php?option=com_content&task=view&i
d=850&Itemid=625
9. http://www.scribd.com/doc/16379434/Nadir-Qaiser-Zong-
Project?autodown=doc
10. http://www.zong.com.pk/sales_csc.html

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 “HRM practices and the High turnover in
customer services of Zong”

Dear Respondent!
I am a student of The University of Lahore,
Islamabad campus. I am conducting a research on HRM
practices and high turnover in customer services in
Zong, under the supervision of Miss Sarah sallahudin.
This research is for the wealth of CSO of zong; your
responses are strictly confidential. In no way will
your name (optional) or your answers be revealed out
this questionnaire, I apologize for using your
valuable time and hope that you will enjoy the
questionnaire. (Please return the questionnaires as
soon as possible) There is no right or wrong answers.
Generally your first reaction is the most accurate.
Please answer all questions as best as you can.
Thank you your kind cooperation, support and
contribution towards this research.
If you need finding of this research please send a
request to atif.uol@gmail.com

Name Age Gender

Batch 20-30 31-40  Male.

ID  Female.
Years with zong Highest Level of Education Income Level

 Less than year.  Bachelors. 10,000-20,000

 1-5 yrs.  Masters. 21,000-30,000

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 QUESTIONNAIRE

1. Why you join Zong?

______________________________________________
______________________________________________
________________________________

2. How does Zong fulfill your personnel and

professional needs?
______________________________________________
______________________________________________
_________________________________

3. What was your expectation from Zong?

______________________________________________
______________________________________________
__________________________________

4. Are they met?

______________________________________________
______________________________________________
___________________________________

5. Are you happy with recruitment process at

zong?
______________________________________________
______________________________________________
_______________________________

6. Do you think it is effective?

______________________________________________

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 ______________________________________________
_______________________

7. Are you happy with the training program

(manual & system) at zong?
______________________________________________
______________________________________________
_________________________

8. Do you thing it is effective?

______________________________________________
______________________________________________
_________________

9. Does zong participate in your development?

______________________________________________
______________________________________________
__________________

10. It is sufficient or not?

______________________________________________
______________________________________________
___________________

11. Do you satisfied with the performance

management system at zong?
______________________________________________
______________________________________________
__________________

12. Do you satisfied with the feedback system at

Zong?
______________________________________________
______________________________________________
_______________

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13. Do you satisfied with the pay and reward
system at zong?
______________________________________________
______________________________________________
____________

14. Do u satisfied with career development

opportunities at zong?
_______________________________________________________
_______________________________________________________
_______________

15. How are your fellow workers and team leaders

helpful?
______________________________________________
______________________________________________
______________

16. Are you happy with the role that they play?
______________________________________________
______________________________________________
_________________

17. What factors do you think contributes to

stress at your work place?
______________________________________________
______________________________________________
_____________

18. Do you happy the medical facilities provided

by zong?
______________________________________________

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 ______________________________________________
_____________

19. Are you satisfied the medical facilities that

zong is providing at callcenter?
______________________________________________
______________________________________________
______________

20. Are you happy with the working hours at zong?

______________________________________________
______________________________________________
______________

21. How often do you looking for alternative jobs?

______________________________________________
______________________________________________
______________

22. Why do you think employees look for new jobs?

______________________________________________
______________________________________________
_________________

23. What is the good thing at zong?

______________________________________________
______________________________________________
__________________

24. What do you suggest that zong management to

retain CSO?
______________________________________________
______________________________________________
___________________

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Thank you

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