Mack Telecom Strategy for Expansion

sureshAt the beginning of the financial year, Mack Telecom had signed an agreement with Huawei to complete 1500 TSP (Telecom Service Provider) sites during 2009-2010. This agreement is proof of the Quality of work being delivered by Mack Telecom. In November 09, Mack Telecom Tamil Nadu circle was awarded the “Best TSP Vendor” Award.


Current Challenges:

Currently Mack Telecom’s clients are facing severe challenges on acquisition of sites and hence some of the sites allotted by them have gone on hold. Out of the sites allotted to Mack Telecom,less than a quarter of these sites were completed during the first half of the financial year.
As the inflow of sites from the current customer base slowed down, a survey was conducted on the TSP work in the Indian market and it was found that most of the vendors were facing a similar situation.
Business Expansion:

On account of the above mentioned challenges, Mack Telecom has adopted a two pronged strategy for expanding its business:

  1. Expansion of the current customer base for TSP work
  2. Extension of business operations into similar types of business

Action Plan:   

Mack Telecom has almost reached an agreement with Tower Vision, Indus & WTTIL, to get sites for TSP work in addition to the sites from Huawei and expects to complete another 300 sites by March 2010.
It has also submitted an offer to Huawei for the EPC (Equipment Procurement Commissioning) model of work and is about to register with WTTIL as well for the same. The EPC model would enable us to supply the infrastructure items like Tower, Shelter, and DGsets etc. This activity would be in addition to TSP activities and would enable us to substantially increase our turnover and margins.   
To compensate for the shortfall in turnover, Mack Telecom has decided to enhance its Techno Infra capabilities and enter into a new business. With this action plan in mind, Mack Telecom has approached L&T to partner with them in networking activities for Samsung and has also approached some of the wind tower companies for the business of Windmill Civil Foundations across the Southern region.
Towards ensuring the availability of Quality Manpower for its business, Mack Telecom has widened its vendor base and has also kept a track of their quality and delivery schedules.
With a visionary leadership and a large pool of dedicated manpower, Mack Telecom is sure to meet the planned targets and take up new challenges.