Strategic Group is a concept which is used in Strategic Management .A Strategic group is a set of business units that groups companies with an industry that "pursue similar strategies with similar resources". It is full service marketing, promotions and special events company that builds brand experiences for consumers through lifestyle, entertainment, fashion and nightlife programs. It facilitates consumer-driven media by leveraging an unparalleled access and relationships, and integrates brands directly into the elements that create and influence popular culture.
Dialog Telekom acts as a global operator providing the following services to the global market: International calls Originating, International calls Terminating, Global IPLC and Transferring (switching)
COMPETITORS IN TELECOM
Competitors on the basis of digital Telecom can be listed on the basis of size, services, link with the countries internationally.
SLT
Suntel
Lanka Bell MTN (Dialog)
Celltel
Mobitel
Lanka Cellular Services (LCSL)
INTERNAL SCANNING: Organisational Analysis
RESOURCES
Resources are the basic building blocks of an organisation as these are organization as sets. Resources are classified on the basis of Tangible and Intangible Assets.
Tangible Assets
Tangible Assets include factors such as company plant, equipment, finances, and location. It also includes number of employees, their skills and motivation in terms of human assets.
It has strong Infrastructure which makes mobile telecommunication coverage one of the best and widest in Sri Lanka.
With its dedicated and skilled management teams the company is growing at a potential rate.
Dialog Telekom Limited is competent to bridge the level of education between the rural and urban areas which has enabled lectures conducted at a central location in order to create such a virtual classroom which transmit lectures live to remote schools, and for the interaction of students and teachers.
Intangible Assets
Intangible Assets include factor such as company's technology, patents and copyrights, culture and reputation.
Dialog has maintained to have a good and stable Brand Equity by its aggressive market strategy which has allowed them to carry its brand name to every corner of the country.
Investors share prices are very high which is boosting the image of the company through investors' confidence reflected through share prices.
The culture of the company has been summarized through a performance-driven culture, where good work has resulted in more work, benefits and rewards which has driven them on visioning to empower all Sri Lankans.
CAPABILITIES
Capability is usually considered as a bundle of resources or assets to perform a business process which is composed of individual activities. Generally all firms have capabilities but how a firm usually focus on certain capabilities consist with its strategy. For example, a firm pursuing a differentiation strategy would focus on new product development. A firm focusing on a low cost strategy would focus on improving manufacturing process efficiency.
The important Capabilities of the firm's are called competencies on the basis of Competence, Core Competency and Distinctive Competency.
Competency
Competency is a cross-functional integration and co-ordination of capabilities. It is an internal capability that a company performs better than other internal capabilities.
Capability of Strategic Management Committees (SMC) is competent in providing operational and strategic leadership in all functions of the Company such as Technology, Service Delivering, Information System, Business and Finance, Sales Marketing and Support Services.
Core Competency
It is a collection of competencies which is well-performed internal capability that is central, not peripheral, to a company's strategy, competitiveness and profitability.
The Core Competency of Dialog Telekom Company is that it is the largest mobile network company of Sri Lanka.
It has strong Infrastructure which makes mobile telecommunication coverage one of the best and widest in Sri Lanka by bridging the level of education between the rural and urban areas.
Distinctive Competency
Distinctive Competency is competitively valuable capability of a company that performs better than its rivals.
The Company with the operation of 2.5G GSM network has supported the very latest technology in mobile Internet services and multimedia, placing Sri Lanka as 1st in the region for introducing Dialog GSM.
It has strong Infrastructure which makes mobile telecommunication coverage best and widest in Sri Lanka which has bridged education level in rural and urban areas giving company a competitive advantage in the market place, where competitors will do what they want to learn and imitate that set of skills and capabilities.
USING RESOURCES TO GAIN COMPETITIVE ADVANTAGE
COMPETITIVE ADVANTAGE MODEL
RESOURCES
VALUE CHAIN
COST ADVANTAGE
OR
DIFFERENCIATION ADVANTAGE
DISTINCTIVE COMPETENCIES
CAPABILITIES
The competitive advantage of the company is created by using resources and
capabilities to achieve either a differentiated product or a lower cost structure.
Dialog SAT due to state of art of (Internet Service Provider) ISP, Dialog internet and operation in the areas of GPRS, Wi-Fi solutions and Web Billing, is key player of internet service Provision Market.
The company with a vision of undisputed leadership providing multi-sensory connectivity always resulting in the enrichment and empowerment of Sri Lankan Lives and Enterprises.
The company with a mission to leadership providing latest technology has enabled connectivity to touch multiple human sensors through deriving committed adherence to customer flexibility and responsibility of business process, as well as with the delivery of leading edge technology and quality service which is unparalleled by any other company.
The Dialog scholarship program has supported the communication among the scholars and their employees which have developed the intellectual capital of future leaders of Sri Lanka. This facilitates further mentoring, internships and soft skills development to prepare these scholars for a position of community leadership and service.
100% turnover of the company has empowered and enriched Sri Lanka lives and enterprises with its extinctive technology and expanded services.
VRIO FRAMEWORK
Value
It has well established customer base by nurturing high quality of customer support which add greater level of customer satisfaction.
Increased international trade and development of Human capital and Technology transfer influenced foreign investments on the Telekom company positively.
The developing countries acted as a positive approach by the provision of cheap labour which supports them to earn foreign investment for their growth, improves their problem of balance of payment through exports at comparatively high price. Company policies like tariff lowering, devaluation of currency, removal of import-export restrictions and unification of exchange has resulted in service oriented industries and shaped economy such as Telecommunication.
Company undisputed leadership in multi-sensory connectivity has resulted in the enrichment and empowerment of Sri Lankan Lives and Enterprises.
Company mission to the provision of technology through committed adherence to customer driven, responsive and flexible business processes, and through the delivery of quality service, has empowered with a set of dedicated individuals who work together in attaining a common goal.
Corporate Values like foremost concern and risk, commitment to task and team work, total commitment to our customers, dynamic and human centred leadership, uncompromising integrity, professionalism and accountability has added a great value to the company.
Dialog Telekom formerly known as MTT with the ability to work as a transmission and communication operator and with its wide transmission it has provided facilities such as data & video solution and customer specific voice.
Rareness
It was the first to introduce GSM technology in Sri Lanka which enabled them to have a greater competitive advantage.
Opened the first research lab for Telecommunication Technologies Research at the University of Moratuwa, which was named as Dialog - University of Moratuwa Research Laboratory.
Organisation
In Sri Lanka the company being the highest valued mobile communication operator, and in market place with the deliverance of its best products it has developed a good reputation and received good amount on investment to the shareholders.
DIFFERENCIATION (ON THE BASIS OF SERVICE LIKE SERVICES)
FIVE GENERIC COMPETITIVE STRATEGIES
Porter's Generic Strategies
Cost Leadership
Differentiation Focus
Cost Focus
Differentiation
Broad
SCOPE
Narrow
Cost Differentiation
Source of Competitive Advantage
Dialog is Differentiation focus as the service of the Dialog Telekom Company is widely expanded.
It was first 1st to promote High Speed Packet Based Mobile Data Services among 40 countries and in 2001 it was first to launch GPRS (General Packet Radio service) offering higher data speeds, packet based data communications and end to end IP (Internet Protocol) based connectivity.
In 2002 it was the first to introduced MMS and has placed it first among 35 networks in the world which has supported it through mobile telecommunications technology.
Dialog's service agents with its launch of State of Art of Contact Centre are available globally which was billed as Flagship installation in Sri Lanka through web based chat and/or email, has increased its customer base with more networking in the company.
In addition to the above cutting edge service developments, the
The company Mobile-Wallet application has enabled secure payment for a wide range of products and services through location based service and mobile phones. The network of the company has provided a wide range of Voice Portal Services .
The company prides itself in a customer servicing infrastructure better than any other service provider in the country.
Hence, the firm is creating a value by performing a series of activities that Porter identified as the value chain.
RECOMMENDATION
The Dialog Telekom Company has successed in creating an infrastructure footprint spanning all provinces of Sri Lanka delivering empowerment through affordable connectivity to Sri Lanka citizens from across the country. With its excellent communication network it has expanded its activities which will move it away from competition and has enhanced company's growth, short-term monopoly in industries of telecommunication, content & media and retail. The second alternative could be to follow a stable strategy to continue with current activities without any changes to the direction which could give the company and its employees much needed breathing space.
In order to improve the business strategy of the company should improve its strategies of differentiation by having a unique value added services for each unit of business strategy. This will thereby improve the loyalty of the customer.
In order to expand its business company should add new packages to attract more customers. For advertising and promotion with the 'pull' marketing strategy could further enhance company's growth.
