1 / 19

Media Briefing THE RESTRUCTURING OF TIME dotCom Berhad (TdC) 29 th January 2009

Media Briefing THE RESTRUCTURING OF TIME dotCom Berhad (TdC) 29 th January 2009. AN ASSESSMENT OF TdC. Declining Revenue. RM million. A Weak Brand. The Problem. The Consequences. Customers are unclear what TdC stands for Multiple sub-brands lead to confusion amongst customers.

lihua
Download Presentation

Media Briefing THE RESTRUCTURING OF TIME dotCom Berhad (TdC) 29 th January 2009

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript


  1. Media BriefingTHE RESTRUCTURING OF TIME dotCom Berhad (TdC)29th January 2009

  2. AN ASSESSMENT OF TdC

  3. Declining Revenue RM million

  4. A Weak Brand The Problem The Consequences • Customers are unclear what TdC stands for • Multiple sub-brands lead to confusion amongst customers • Loss of brand equity and vagueness of purpose • Confused brand architecture

  5. People People The Problem The Consequences • Drain on human capital • Continuous decline syndrome • Lost a large amount of talent to the competition • Very challenging for new leadership to overcome the underlying skepticism amongst people

  6. Culture The Problem The Consequences • Lethargic Work Culture • TdC does not portray that it is hungry for business due to dysfunctional engagement structure, functional silos and lack of performance driven processes • Workforce feels disengaged from changes the past management teams have initiated

  7. Market engagement Market Engagement The Consequences The Problem • Sales teams struggled to find its place among competition due to the lack of clarity and purpose • Incentive scheme lacks tie-in to company profitability • Inadequate post sales support • Too many focus areas due to too many products and services • Disengaged sales force • Loss of confidence in product offering

  8. Financial Management The Problem The Consequences • Poor Financial Management • Leakage in operating expenses • High network spend • Procurement too dependent on vendors’ solution

  9. CHANGES OF THE PAST 3 MONTHS

  10. Improved Organizational Efficiency • Immediate Check on Cashflows • Freeze on Capex, new hire and advertising • Temporary measures until turnaround strategy executed • Relocated HQ to Glenmarie • Improved communications between divisions and catalyst to culture change • Breaking the People Barrier • Addressing each other informally • Open communications

  11. “Town hall” Sessions with ALL Personnel • Face to face communications to clarify the company’s dire situation and the need to change with immediate urgency • Spent Significant Time with Field Personnel • Checks on morale of ground level employees and seeking for improvement ideas • De-layering • Departure of 20 senior management -- part of an effort eliminate organizational bureaucracy and improving the company’s management structure.

  12. Corporate & Financial Initiatives • Reduced Loan Exposure on DiGi Shares • Disposal of 2.9% of DiGi shares for RM461 million • Divestment of Payphone Business • TIME Reach Sdn Bhd was divested to a local prepaid fixed line telephony company, Paycomm Sdn. Bhd. for a cash consideration of RM8.3 million • Allows TdC to focus on more profitable operations with greater growth potentials • Decoupling Exercise • With UEM Group Berhad – the move will allow TdC to institute its own work culture that best fits its operations

  13. ITS BACK TO “BASICS” FOR TdC “Back to basics is the formula to turnaround TdC”

  14. 1. Focus on specific, more profitable segments with greater growth potential in the next 12 months Consumer Wholesale Mobile Enterprise Corporate & Government Wholesale Licensee Wholesale International Voice

  15. 1.1 Fundamental changes will be implemented company wide and specific to divisions Divisional initiatives Consumer Wholesale Mobile Enterprise Corporate & Government Quick Wins Labs Turnaround Initiatives Wholesale Licensee Wholesale International Voice

  16. 2. Cost Savings Measures • Relocation of HQ to Glenmarie • Freeze on capital expenditure until new strategy is crafted • Freeze on new recruitments until a structure aligned to new strategy is identified • These cost saving measures is set to save TdC more than RM3.5 million annually from FYE09

  17. 3. Re-training of Personnel • Re-training of TdC’s personnel -- TdC’s 900 plus staff mainly from sales, information technology and customer service department will undergo extensive training and refresher courses • The training will focus on improving efficiency and effectiveness • The objective is to provide high quality of service to customers

  18. In Summary TdC has identified root causes of its non-performance and crafted specific action plans to instill “back to basic” changes throughout the organization. These include: • Performance measurement & management • Strengthening TdC’s core competencies • Rebuilding the TdC brand • Clarity in operational direction • Restore engineering pedigree • Nurturing talent

  19. Thank You + Q&A

More Related