Singtel Company: Strategic Analysis and Management Recommendations

This report provides a comprehensive analysis of Singtel, a major telecommunications company. It begins with an introduction to Singtel's operations and its global presence. The core of the report involves a detailed Pestle analysis, evaluating the political, economic, social, technological, legal, and environmental factors impacting Singtel's business. Following this, a Porter five forces analysis assesses the competitive landscape, including threats of substitutes, bargaining power of buyers and suppliers, threats of new entrants, and intensity of rivalry. The report then identifies key issues faced by Singtel, such as the use of traditional techniques and resistance to change. Finally, the report offers management recommendations focusing on competitive advantages, leadership, organizational culture, management of change, and the use of technology to improve Singtel's performance and market position. The report concludes by summarizing the key findings and the strategic implications for Singtel's future success in the telecommunications industry.

Running head: Management
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Table of Contents
Introduction.................................................................................................................................................3
Pestle analysis.............................................................................................................................................3
Porter five forces analysis............................................................................................................................5
Issues analysis.............................................................................................................................................6
Management recommendations...................................................................................................................7
Conclusion...................................................................................................................................................8
References...................................................................................................................................................8
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Introduction
The primary objective behind this task is to outline and analyze the operations and
functions of Singtel telecommunication Company which is operating its business in various
countries successfully. Pestle analysis and porter five forces analysis for the company have been
explained in the task. Along with this, here is brief information about the ample of issues that are
being faced by the company. At the end, some suggestions have been given to reduce and
eliminate these issues and challenges. More detail of the task has been detailed below.
Singapore telecommunication limited is a Singaporean telecommunication company that
is incorporated in 1879. It has been analyzed that Singtel is one of the biggest and leading mobile
network operators in the Singapore. In today’s era, the firm is increasing and expanding its
business activities and operations across the world. The organization provides fixed line
and ,mobile telephony, broadband, fixed line internet services, and network services to the
customers in the global market. It is noted that Singtel is one of the biggest listed Singapore
companies on the Singapore exchange measured by market capitalization. The firm has a vast
network of offices throughout Europe, USA and Asia pacific and employs around 23,000
employees globally. The main vision of the company is to be a Asia pacific’s best
telecommunications technology firm in the international market. The main mission of Singtel is
to provide unique and effective telecommunication services to the customers around the world.
The core values include customer focus, teamwork, integrity and personal excellence.
Pestle analysis
Singtel has become one of the booming and effective companies in the
telecommunication industry. Therefore, macro environment could affect the success and growth
of the firm adversely. Thus, pestle analysis is done by the company to analyze and evaluate the
risks and challenges of the market. This analysis also helps the company to identify and analyze
the threats and opportunities of the market (Leng, 2014). The pestle analysis for SingTel
Company has been detailed below.
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Political factor: The political factors could affect the operations and success of the
telecommunication company. The Singapore law and regulations restrict tariffs that set by the
company. The rules, regulations and law that are passed by the government could affect the
activities of the SingTel Company. It has been noted that the company need to be observed these
rules and regulations to overcome the competitors in the international market (Negi & Ketema,
2013).
Economic factor: These factors are based on the interest rates and GDP that is exited within a
specific economy. The company needs to focus on the economic challenges to beat the
competitors in the international market. Tariffs could also have direct impact on the profitability
of the firm. Besides this, interest rate, exchange rate, and unemployment also affect the revenue
of the company adversely. The economic policies such as fluctuations and debts also affect the
business operations directly. It is noted that cash flows are based on the dollar, Rupiah and Euro
that can influence conversion rates and therefore influencing the company.
Social factors: The social factors include customs, rules, values, behavior, lifestyle and aspects
of the people. It is analyzed that social factors are based on the way customers utilize the
available services (Albini, 2013). It is becoming a major concern in front of the company. The
extremely use of social media and skype changed the traditional communication sector with
people also changing the communication trends. Apart from this, consumer behavior also affects
the sales and revenue of the firm (Atsu, Agyei, Phanuel Darbi & Adjei-Mensah, 2014).
Technological factor: It has been found that advanced and innovative technologies also affect
the sustainability of the company adversely. Technology has changed the world making
companies to invest highly in new and innovative technologies to satisfy the customers. By using
innovative technologies, the company has been able to increase its connectivity across the world.
The firm uses unique and effective strategies to stand out against the competitors in the
international market.
Legal factor: The legal factors are related to the rules and legislations that affect the outcomes
of the company. It has been found that Singapore enjoys very few legal rules and regulations in
Indonesia and therefore it makes investment easier than any other country. The structure for the
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telecommunication industry entails specific rules, regulations and government guidelines that
have direct impact on the functions of the company (Babe, 2018).
Environmental factor: The environmental factors include weather, climate change and
globalization. All these factors have direct impact on the outputs of the company. The country
introduced laws and rules that permit every company to be a legal entity. It has been identified
that business environment is constantly changing due to new inventions that each country is
trying to develop and improve the quality of the services. Singtel Company sets the guidelines
that reform the company by detailing provisions and principles in the line of the business
(Nelson, 2015).
Porter five forces analysis
By using porter five forces analysis, the company has been able to analyze and evaluate
the plans, policies and actions of the competitors. This analysis plays a significant role to cope
with rivalries in the international market (Heger & Rohrbeck, 2012). This model also helps many
companies in determining and analyzing their current rivalries conditions through collaborative
networks. The porter five forces analysis for SingTel has been detailed below.
Threats of substitute’s products: It has been found that threats of substitutes for SingTel
company are high that can be a benefit for reducing and handling the communication and
infrastructure cost within the organization. However, fixed line telecommunication is still using
widely in almost corporations including SingTel. The substitute’s products also affect the
outcomes of the firm (Sutherland, 2014).
Bargaining power of buyers: After the various researchers, it has been noted that buyers affect
the company through their ability to force down price, and on the other hand, buyers bargain for
higher quality. The buyers play a significant role to stand out against the competitors in the
universal market. The bargaining power is high in the hands of the buyers just because of the
increase of various communication and low switching cost. It is analyzed that customers have
many options in the standards and undifferentiated between SingTel products and others
(Magretta, 2011).
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Bargaining power of suppliers: There is a balance of power between Singtel
Telecommunication Company and suppliers in the Singapore. In this way, the bargaining power
of suppliers is high in the global market. It is noted that suppliers are not able to strive directly
with customers just because of the geographically network. It is difficult for them to maintain
long term contract with suppliers in the telecommunication market.
Threats of new entrants: It is one of the significant and effective forces in porter five forces
analysis. After the various studies, it has been identified that threat of new entrants is moderate in
the Singtel company. In addition, new entrants are required more capital as a key factor and new
entrant can identify the sufficiency of financial resources. There is less competition in the
telecommunication industry in the Singapore (Porter, 2011).
Intensity of rivalry: There are ample of factors related to the intense and high competition. The
plenty of competitors in telecommunication industry have increased and on the other hand
industry’s growth has slowed down have caused the strong and unique industry competitor. It is
noted that SingTel have to key an eye on the needs, requirements and wants of the customers.
Along with this, they need to focus on the opportunities and threats of the market. The intensity
of rivalry is high that could affect the financial position of the firm adversely in the international
market (Cetindamar & Kilitcioglu, 2013).
It has been identified that porter five forces analysis indicates that the Singtel has to
struggle and cope with the competition which gives customers available options within the
market. Now it can be measured that pestle analysis, porter five forces analysis and SWOT
analysis is used by the company to uplift the profit and beat the rivalries in the global market
(Dälken, 2014).
Issues analysis
It has been analyzed that various issues being faced by the company while implementing the
business activities and operations at international level. One of the significant issues that dealt by
the company is traditional techniques and approaches (Fu, Zhu & Sarkis, 2012). It has been
analyzed that the organization uses traditional techniques to provide services to the customers
across the world. It is affecting the progress and sustainability of Singtel adversely. The company
does not focus on the advanced technology and innovation. The company does not about think
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about the new technology because it increases absenteeism and high turnover rate at the
workplace. Thus, it largely affects the performance and productivity of the company and
employees as well. Resistance to change is other issue that faced by the top management in the
organization (Thomas & Hardy, 2011).
Management recommendations
It has been noted that from the various analysis that the company has declared a new
management structure to stay in the competitive market. It also helps in providing growth
opportunities to the company in a large extent. Furthermore, effective and unique decisions can
be taken with the help of unique management as well as organizational structure. This
organizational structure also helps in attaining desired goals and objectives in the international
market (Thomas & Hardy, 2011). Some of the suggestions that help to improve and enhance the
future are discussed below.
 After the various analysis, it has been noted that Singtel needs to focus on the competitive
benefits to earn maximum outputs. Along with this, it should focus on the core values and
competencies to perform in the international market.
 Corporate level strategies, business level strategies and innovation strategies shall be used
by the company to destroy the competitors worldwide. It also helps in improving the
goodwill and position of the company in near future.
 Singtel must focus on the leadership to attract maximum number of candidates within the
organization so that desired goals and objectives can be achieved easily. The company
should appoint leaders with excellent skills and knowledge to guide the employees in the
workplace (Kotter, 2012).
 A favorable and unique culture shall be maintained by the top organization to reduce the
absenteeism and high employee turnover rate. The company should follow health and
safety rules and protocols to ensure the safety of the employees. It will grant ample of
growth opportunities to the company in long run.
 It has been evaluated that Singtel should focus on the management of change to attain
various advantages in the international market. Effective training and development
sessions must be held by the HRM to handle and manage the managerial changes at the
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workplace. It will help to provide motivation to the employees and furthermore, it also
increases and boosts level of satisfaction of the employees. New technology and
resources must be used by in the workplace to accomplish the goals and targets.
 A performance management system shall be used by the top management and managers
to analyze and review the performance and productivity of the employees at the
workplace. The talented and skilled employees shall be rewarded and recognized within
the organization. Along with this, the company should use online channels and social
media to attract the maximum number of the target audience in the competitive market.
Conclusion
It has been analyzed from the above mentioned analysis that Singtel is largest
telecommunication company in the Singapore that provides telecommunication and internet
services to the customers in the marketplace. The paper shows that how the company conducts
Pestle analysis, and porter five forces analysis to stay in the international market. Along with
this, here is the discussion about the issues that are being encountered by the company while
implementing the business activities globally. It discusses that how Singtel is taking various
advantages by conducting situational analysis worldwide. It has been analyzed that business
environment is unique and keep changing every time. Telecommunication industry is the biggest
industry who is facing various issues in today’s competitive world. Lastly, management
recommendations have been given in the paper to make attractive and unique Singtel Company.
It will also help to make a dynamic image in the minds of the customers.
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References
Albini, G. L. A. (2013). An analysis of the European telecommunications strategic environment:
how can strategic actions be defined to adapt to the new scenario? A Telefónica case
study.
Atsu, F., Agyei, C., Phanuel Darbi, W., & Adjei-Mensah, S. (2014). The impact of
telecommunication revenue on economic growth: evidence from Ghana. African Journal
of Economic and Management Studies, 5(2), 195-208.
Babe, R. E. (2018). Communication and the Transformation of Economics: Essays in
information, public policy, and political economy. Routledge.
Cetindamar, D., & Kilitcioglu, H. (2013). Measuring the competitiveness of a firm for an award
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Dälken, F. (2014). Are porter’s five competitive forces still applicable? a critical examination
concerning the relevance for today’s business (Bachelor's thesis, University of Twente).
Fu, X., Zhu, Q., & Sarkis, J. (2012). Evaluating green supplier development programs at a
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Fullan, M. (2014). Leading in a culture of change personal action guide and workbook. John
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Kotter, J. P. (2012). Leading change. Harvard business press.
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Leng, H. K. (2014). The Marketing of the F1 SingTel Singapore Grand Prix. In Strategies in
sports marketing: technologies and emerging trends (pp. 29-39). IGI Global.
Magretta, J. (2011). Understanding Michael Porter: The essential guide to competition and
strategy. Harvard business press.
Negi, R., & Ketema, E. (2013). Customer-perceived relationship quality and satisfaction: A case
of Ethiopian Telecommunication Corporation. African Journal of Economic and
Management Studies, 4(1), 109-121.
Nelson, R. R. (2015). The rate and direction of inventive activity: Economic and social factors.
Princeton University Press.
Porter, M. E. (2011). Competitive advantage of nations: creating and sustaining superior
performance (Vol. 2). Simon and Schuster.
Singtel.2018. Company profile [Online]. Available from
https://www.singtel.com/about-us/company/company-profile, [Accessed as on 8th June
2018].
Sutherland, E. (2014). Lobbying and litigation in telecommunications markets–reapplying
Porter’s five forces. info, 16(5), 1-18.
Thomas, R., & Hardy, C. (2011). Reframing resistance to organizational change. Scandinavian
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