Case Study: British Teelcom Retail

Case Study: BT Retail

Executive Summary
BT was created in 1981 when the telecommunications arm of the British Post Office was reformed as a separate entity in preparation for privatisation in 1994 - Case Study: British Teelcom Retail introduction. The various challenges came with this privatisation which included competition, very tight government regulations which had an impact on product prices and the day to day running of the business. As a result of the privatisation, a different direction had to be adopted by the company as having continued doing things in the same way as they previously where being done in the public sector was not going to give them a competitive advantage over their competitors.

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Also a programme of change management would be required to ensure the transition from operating as an arm of the British Post office to BT on its own. Hence the need for BT to transform itself from a bureaucratic monopoly to a customer focused organisation. Keeping the customers in mind at everything they did. Essentially making the customer “KING” and also understanding that the customer is the “HEART” of BT retail. Understanding that the change will give BT a competitive advantage over its competitors is also a component that is taken into consideration by the author. Various other initiatives where undertaken within the company to ensure BT yielded profits i.e Reducing costs and doing other exercises in ensuring minimising of loss of market share and keeping their existing customer base whilst on the other hand trying different initiatives to grow their book.

There are various initiatives that the author proposes to be used by BT in moving from a public operating entity to a fully fledged competitive private organisation. These include the introduction of the customer driven strategy to be adopted by the top leadership as well as the introduction of the balance scorecard and how it feeds into the performance of each and every employee within BT. The different processes involved in implementing the different initiatives that support the strategy adopted by the top leadership. The author also makes reference to bringing in a new project management and change management team to dealing with the changes required by the organisation. The introduction of CRM and CSM teams within the organisation to support the adopted strategy. Given the earlier adoption
of the TQM philosophy by BT, a revitalisation of this philosophy is unavoidable considering the depreciation of the quality within BT.

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