Ethio Telecom has developed a three-year growth strategy for the three year period 1 July 2020 to 30 June 2023, and a business plan for the year 2020/21, the first year of the period for which it has devised a growth strategy. To ensure competitiveness and sustainable growth of the company, the strategy has been developed by considering and reviewing relevant government policies, international best practices, and Industry trends, Ethio Telecom said in a statement.
By executing the growth strategy, Ethio Telecom sets out to improve the quality of services and service accessibility, network expansion, and alternative power solutions in Addis Ababa and the regions. Based on data traffic growth and demand, 4G/LTE Advanced network capacity expansion will be carried out in Addis Ababa and 4G/LTE rollout will be conducted in regional towns. To improve network coverage and capacity, more than 5.47 Million additional Mobile network capacity will be installed in Addis Ababa and Regions. Furthermore, to accommodate growing data usage, International gateway capacity will be upgraded.
Ethio telecom has also planned to increase total subscribers by 13 percent to 51.12 million, Mobile Voice subscribers by 11.8 percent to 49.77 million, Data and Internet users by 16.5 percent to 27.47 million, Fixed Broadband subscribers by 215.3 percent to 669.4 thousand. This is expected to bring telecom penetration to 51.3 percent.
By engaging in new business streams and shifting revenue sources from traditional to value-added services and by offering 14 new and 21 revamped local and international products and services, Ethio Telecom aims to generate 55.55 billion birr revenue.
The strategic plan and its subsequent execution are intended to make the telecom company get ready for the upcoming competitive market, "reshape and lead the company with business orientation and competitive mindset with the ultimate aim of making it a preferred operator." The Ethiopian government has reaffirmed it is intent on opening up Ethiopia's telecom industry, and has received bids in June to introduce two telecom service providers in the country. Telecom giants such as Safaricom, Orange and others have bid for the licences.
Various important analyses have been made such as internal and external stakeholders’ interests and expectations (Customers, Employees, Vendors/suppliers, and various government organs), previous company performances, internal strengths, organizational resources and capacities, and weaknesses, opportunities and threats in the outer environment (PESTLE) and the upcoming competition, the statement emphasized.
Ethio telecom is said to follow a rolling strategy model applying deliberate and emergent strategy development approaches to accommodate a changing reality, considering the nature of the business and the ongoing market reform.
This, Ethio Telecom said in its statement, is in line with the Ethiopian government's direction to reform the Ethiopian telecom market and create a competitive space.
The strategy has been reviewed at senior and middle management levels, consulted, and validated by Ethio telecom Board of Directors. Following validation, communication, cascading, and alignment of the strategy have been conducted to improve strategy execution among stakeholders.
The strategy addresses ever-changing customer demand, digital inclusion to create a better digital economy, enhance productivity, shift the revenue from traditional revenue streams to value-added and content-driven services by introducing new business streams and solutions like the Internet of Things (IOT), Application Programming Interface (API), and other new services. The strategy has also focused on the most important company asset – employees, to equip them with relevant knowledge and skill that will enable them to grasp and catch up with the telecom industry dynamism, to exploit opportunities arising from the development of the industry and cope with the challenges.
In the view that the telecom business needs collaboration and concerted efforts of all players in the ecosystem, Ethio Telecom stated its strategy has been discussed with partners including vendors and subsequent discussions with distributors, content providers, and other stakeholders will be held within a short period of time, which it says will further enhance the shortening of TTM, meet customer demands by adopting new solutions and insights.
Ethio Telecom has also reminded that it has offered several new and revamped services, both local and international, with significant discounts; such as the Stay Safe package to lessen COVID-19 impacts with up to 59 percent discount, Three Days Thank You Gift Package, Adey Abeba Package, and Ethiopian new year offer of 100 percent local airtime gift on International Airtime Top-up (IAT).
Ethio-Avaya, My Ethiotel Mobile App, Ethio e-Care, and a new website have been mentioned as ways in which Ethio Telecom strived to create more convenience for its customers.
Ethio Telecom has been operational for the last 126 years and is so far the sole telecom services provider to Ethiopia's 110+ million people.
Source (Including Image): Ethio Telecom