MTN Ghana Strategic Audit

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MTN Ghana strategic audit
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EXECUTIVE SUMMARY
MTN has been operating in Ghana for more than twenty years with the local headquarters in
Accra – Ghana. A number of operational strategies have ensured that the company holds the
attention of its customers. One, the company rewards its customers throughout the country
through several promotions like the “gargantuan promotion”. Second, the company has improved
its mobile services. For instance, MTN launched the new 4G LTE services upgraded from the
previous 3G version of communication. Third, the company has increased its staff to 2,000
workers from 1800. From the total number, 700 workers are direct employees, 60 contracted, and
1240 third party contractors. According to the Managing Director and the CEO of MTN Ghana,
the company has grown in all of its aspects of operation with good customer relations and trust
being the key factors to such growth. The company has also consistently invested in its networks
with its total infrastructural investments being approximately USD 3 Billion in the fiscal year of
2017. In 2018 alone, the company planned to invest USD 100 Million into the network. Out of
the total sum, USD 60M is invested into the traditional network, USD 15M into IT, and USD
25M into deploying LTE. Having highlighted some of the significant achievements of MTN
Ghana since its inception in the country, this activity will perform a deep strategic analysis. Such
analysis will solicit leading reasons as to why MTN is able to make such huge strides in the
telecommunication industry of Ghana within a short period.

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Table of Contents
EXECUTIVE SUMMARY.............................................................................................................2
Organizational Strategy...................................................................................................................3
External Analysis.............................................................................................................................4
A. PESTEL Analysis.................................................................................................................4
B. Porter’s Five Competitive Forces Analysis..........................................................................5
Internal Analysis..............................................................................................................................7
A. SWOT Analysis....................................................................................................................7
Value Chain Analysis......................................................................................................................8
Key Performance Indicators (KPIs)...............................................................................................10
Analysis of Material Issues............................................................................................................11
Bibliography..................................................................................................................................13

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MTN Ghana strategic audit
Organizational Strategy
MTN Ghana is aware that telecommunications have a massive impact on the lives of natives and
resulted in many changes over time. It first began with ancient voice services setting up the
industry. In the current society, the voice services segment is but a growing sector with a range
of services and opportunities to exploit, and that, which has a significant amount of impact onto
the lives of natives1. Otherwise, the thirst for wider digital provisions led MTN to refocus and
restructure its mission and vision to venture into the existing opportunists. By doing so, MTN
maintains its leadership position in the industry as well as new markets. MTN will also sustain a
model towards its business operations that maximize stakeholder value2.
i) Vision
To be the leader in the delivery of a new, bold Digital World to all the clients.
ii) Mission
To ensure that clients leave a brighter, better life3.
External Analysis
To achieve the desired outcomes for this analysis, the activity will adopt a PESTEL Model.
According to the PESTEL Analysis:
1 John. P. Kotter, What leaders really do. Harvard Business Press, Ed.1, 2016.
2 B. M. Bass, “From transactional to transformational leadership” and B. M. “Learning to share
the vision” cited in Leadership: Understanding the dynamics of power and influence in
organizations, Vol. 2, (2017), 324
3 MTN Group Limited, Integrated Report 2017. Ghana: Welcome to the New World MTN
Report, 2017.