Organizational Design
Telecom Operator’s organizational structure alignment with new Digital Strategy
Situation
- Large telecommunications company in Myanmar, a subsidiary of the GCC headquartered Telecom Group was embarking on the Digital Transformation
- The company and its competitors are pursuing different strategies for their network rollout
- Competition is investing in 2G and 3G, while company is, for the first time, building a 3G-only network hoping that a 3G-only network will encourage first-time mobile users in Myanmar to ‘leapfrog’ traditional mobile usage and purchase a smartphone and 3G subscription rather than a basic or feature phone
Challenge
- In a highly competitive mobile market, differentiating from the competition is critical. Low penetration of internet service in Myanmar means there are very few websites written in the local language or that contain content tailored to Myanmar consumers
- This lack of local content severely limits the value of mobile data services is a barrier to subscribing to 3G and using services such as apps and mobile internet
- Poor access to technology in Myanmar has hindered the ability of consumers to use more sophisticated mobile services such as apps and mobile internet
Action
- Based on the Digital Strategy that was focused in and around the need for innovation and rapid development of technology platforms that will enable content creation we have introduced a DX function led by the Chief Digital officer
- Established a standalone DX organization, aligned by channels, which works closely with technology
- Designed organizational structure that enables an independent organization that can think and behave differently and draws clear responsibility lines by marketing channel
- Enabled hyper-focus on individual channels
Result
- After 12 months since the new organizational structure company kept capitalizing on the DX functions’ ownership of the end-to-end customer experience that ultimately led to Average Revenue Per User (ARPU) increase through effective market responses
- In addition our approach enabled channel-centric expertise within the function facilitating rapid digital strategy development