Quo Vadis Telkom?

The_Unbeliever

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After gathering data, lots of stuff and nonsense for a period of time, it seems to me that the following is happening :

1. Telkom is downsizing - the retrenchments and staff layoffs points towards this.

However, in the process they're short-sighted as they're alienating a lot of possible customers who will rather take somebody else some other day.

They think that they will be able to keep a lot of their "big" customers, those who can afford their tariffs, but what will happen should these "big" customers decide to go somewhere else just because it's cheaper?

Telkom will be between a rock and a hard place when this will happen, as they cannot sustain their shareholders' expectations.

Also, because of the higher workload placed on their existing, reduced workforce, it means that the technicians who have the knowledge and experience, will say "stuff you" and defect to other companies who'll have a lighter workload and lower stress rate. This is bound to happen, as you can only push somebody this far and no further. Once the exodus starts, things will get worse.

I seriously doubt that there will be an exodus of skilled technical workers from Telkom, as the market is not developed yet. As soon as the SNO kicks in, and takes orders, then, maybe then, we will start to see more and more job offers and openings for skilled, technical workers.

We'll see what happens, the next few 6 months will be quite interesting.

Unfortunately, Telkom's got a lot of kitty in the bag, and they might use that to undercut the competition... I really do hope this does not happen.
 
Most Telkom users who know the meaning of "service" would like to migrate elsewhere, but currently can't. I don't see how their downsizing will improve their service level.
I remember some months ago, a certain Mr Olifant of Telkom being interviewed on SABC TV about the retrenchments. The "reason" he gave for the retrenchments was to improve efficiency. Duh! The lame SABC presenter did not push him on this. I would like to know how this business model works.
Lets say you have 20 people covering a certain area. You retrench 10 of them, and suddenly you're more efficient? With Telkom's Super Business Model you can now have less people whilst offering a better service. It must be great, i wonder how they are achieving it? We need to find out how its done, it'll affect business globally, they could patent it, make even more money.
 
foreward thinking is needed at telkom!!

Telkom is a company with virtually no vision for the future. Their strategy is no secret: it is to downsize and rip the pants off their customers for short term gain. Growing their market has never occurred to them. In India, you can now make calls for 1 rupee. The Telecom companies there see the bigger picture. They have the balls to cannabalize their own markets:

http://www.manoramaonline.com/servl...100&count=10&colid=1054406791048&channel=News

Telkom on the other hand prefers to let its country decend into the dark ages. This organization is not only destroying any prospects of South Africa achieving its growth targets, but it is also destroying enormous value in its own organization. all for a quick buck. Its insidous culture seems to attract people at the very highest levels, who have absolutely no clue about what is happening in the rest of world and what an enormous opportunity lies right before them...if only they could open their eyes and realize that:

(a) they need to GROW the South Africa Telecoms market rather than constrain it with their outrageous pricing, backward products, and poor service levels
(b) they cannot do it alone. Competition is their friend. For example, they could outsource ADSL and telephone line installations to private companies and create an entire market around it. Thereby, easily reaching their 1 million user ADSL target within two years.
 
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(a) they need to GROW the South Africa Telecoms market rather than constrain it with their outrageous pricing, backward products, and poor service levels
(b) they cannot do it alone. Competition is their friend. For example, they could outsource ADSL and telephone line installations to private companies and create an entire market around it. Thereby, easily reaching their 1 million user ADSL target within two years.
Brilliant jamieb - pity you not running telkom! :rolleyes:
 
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