Critical situation in an organization and managerial solution
Name :wasim
Reg.no : 63
MBA B
T h i s t e m p l a t e c a n b e u s e d f r e e i n a n y c i r c u m s t a n c e
CONTENT
01Introduction
02Aircel Crisis
03Solution
Introduction
• Aircel Ltd. was an Indian mobile network operator headquartered
in Mumbai that offered voice and 2G and 3G data services.
• Maxis Communications held a 74% stake and Sindya Securities and
Investments held the remaining 26%.
• Aircel was founded by Chinnakannan Sivasankaran and commenced
operations in Tamil Nadu in 1999.
• It was once a market leader in Tamil Nadu and had considerable presence
in Odisha, Assam and North-East telecom circles.
• 2G and 3G Services including voice were shut down in all circles due to
failure in merge with Reliance Communications.
Aircel
Crisis
What went wrong
• 1. The merger of mobile business of RCom and Aircel lapsed with 'mutual
consent', RCom said in a filing to the Bombay Stock Exchange (BSE).
• 2. "Legal and regulatory uncertainties, and various interventions by vested
interests, have caused inordinate delays in receipt of relevant approvals for the
proposed transaction," RCom further stated.
• 3. RCom also blamed competition and new policy decisions in the telecom sector
for the failure of this merger. "Unprecedented competitive intensity in the Indian
telecom sector, together with fresh policy directives adversely impacting bank
financing for this sector, have also seriously affected industry dynamics," the
company said.
• 4. The board of directors of the company, at a meeting held on Sunday, reviewed
the transformation programme and considered an alternate plan to reduce debt.
• 5. The company said it will evaluate alternative plan for its mobile business by
optimising spectrum portfolio and focus on 4G technology as part of its ongoing
strategic transformation.
• 6. RCom has been given time till December 2017 to service debt obligations by its
lenders.
• 7. Pegged as the biggest consolidation deal in the telecom sector, it would have
created an entity with assets worth Rs. 65,000 crore and a net worth of Rs. 35,000
crore.
• 8. The merged entity would have had have the second-largest spectrum holding
among all operators, aggregating 448 MHz across 850, 900, 1800 and 2100 MHz
bands.
• 9. RCom and Aircel announced plans to merge their wireless operations
on September 14, 2016.
• 10. RCom's overall debt, including the deferred spectrum payment liability, would
have reduced by Rs. 20,000 crore ($3.07 billion) and Aircel's debt would have
fallen by Rs. 4,000 crore ($615 million), upon completion of the transaction. (With
Agency Inputs)
Slideshare bhai
Solution
• Since the deployment of alvarion’s wimax network, aircel/dwl customers in india’s cities including,
mumbai, bangalore and delhi are receiving top quality, uninterrupted connectivity, benefiting from
the availability of the alternative to traditional copper leased lines for internet and vpn
requirements.
• Alvarion’s breezemax platform includes ems/nms for efficient monitoring and provisioning of the
wimax equipment, ensuring the quality of service, high up-time and control.
• Customers are experiencing stable and error-free links with minimal failure rates, as well as full
management of network components. For aircel/dwl, the impact has been significant.
• Integration of wimax technology is enabling faster deployment of networks and access to more
markets, increasing revenues and accelerating return on investment.
• Setting a new standard of service for the growing enterprise market, aircel/dwl’s rollout of wimax
for last mile broadband access is enabling customers throughout india to benefit from a wider range
of mobile and fixed service applications, paving the way to additional wimax deployments across
the country.
Reference
• The Economic Times
• The Hindu
• Google
• Quora
Thank You!
Hope you like these templates :)
T H A N K S F O R YO U R WATC H I N G T H A N K S F O R YO U R WATC H I N G

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Slideshare bhai

  • 1. Critical situation in an organization and managerial solution Name :wasim Reg.no : 63 MBA B T h i s t e m p l a t e c a n b e u s e d f r e e i n a n y c i r c u m s t a n c e
  • 3. Introduction • Aircel Ltd. was an Indian mobile network operator headquartered in Mumbai that offered voice and 2G and 3G data services. • Maxis Communications held a 74% stake and Sindya Securities and Investments held the remaining 26%. • Aircel was founded by Chinnakannan Sivasankaran and commenced operations in Tamil Nadu in 1999. • It was once a market leader in Tamil Nadu and had considerable presence in Odisha, Assam and North-East telecom circles. • 2G and 3G Services including voice were shut down in all circles due to failure in merge with Reliance Communications.
  • 5. What went wrong • 1. The merger of mobile business of RCom and Aircel lapsed with 'mutual consent', RCom said in a filing to the Bombay Stock Exchange (BSE). • 2. "Legal and regulatory uncertainties, and various interventions by vested interests, have caused inordinate delays in receipt of relevant approvals for the proposed transaction," RCom further stated. • 3. RCom also blamed competition and new policy decisions in the telecom sector for the failure of this merger. "Unprecedented competitive intensity in the Indian telecom sector, together with fresh policy directives adversely impacting bank financing for this sector, have also seriously affected industry dynamics," the company said. • 4. The board of directors of the company, at a meeting held on Sunday, reviewed the transformation programme and considered an alternate plan to reduce debt. • 5. The company said it will evaluate alternative plan for its mobile business by optimising spectrum portfolio and focus on 4G technology as part of its ongoing strategic transformation.
  • 6. • 6. RCom has been given time till December 2017 to service debt obligations by its lenders. • 7. Pegged as the biggest consolidation deal in the telecom sector, it would have created an entity with assets worth Rs. 65,000 crore and a net worth of Rs. 35,000 crore. • 8. The merged entity would have had have the second-largest spectrum holding among all operators, aggregating 448 MHz across 850, 900, 1800 and 2100 MHz bands. • 9. RCom and Aircel announced plans to merge their wireless operations on September 14, 2016. • 10. RCom's overall debt, including the deferred spectrum payment liability, would have reduced by Rs. 20,000 crore ($3.07 billion) and Aircel's debt would have fallen by Rs. 4,000 crore ($615 million), upon completion of the transaction. (With Agency Inputs)
  • 9. • Since the deployment of alvarion’s wimax network, aircel/dwl customers in india’s cities including, mumbai, bangalore and delhi are receiving top quality, uninterrupted connectivity, benefiting from the availability of the alternative to traditional copper leased lines for internet and vpn requirements. • Alvarion’s breezemax platform includes ems/nms for efficient monitoring and provisioning of the wimax equipment, ensuring the quality of service, high up-time and control. • Customers are experiencing stable and error-free links with minimal failure rates, as well as full management of network components. For aircel/dwl, the impact has been significant. • Integration of wimax technology is enabling faster deployment of networks and access to more markets, increasing revenues and accelerating return on investment. • Setting a new standard of service for the growing enterprise market, aircel/dwl’s rollout of wimax for last mile broadband access is enabling customers throughout india to benefit from a wider range of mobile and fixed service applications, paving the way to additional wimax deployments across the country.
  • 10. Reference • The Economic Times • The Hindu • Google • Quora
  • 11. Thank You! Hope you like these templates :) T H A N K S F O R YO U R WATC H I N G T H A N K S F O R YO U R WATC H I N G