Information Technology
Case
Bharti Airtel is the world's fifth largest telecom company and it is famous for outsourcing everything except finance, marketing and sales. In the early days Bharti used to do all the business processes itself and it used to cost much more. Then they came up with the idea of outsourcing everything and just keep the departments of core competencies. And they kept marketing because in today's world every telecom company is providing the same services. The only difference between them is brand positioning that is how a product or a brand's image is in the consumer's mind. So, they made sure they pay specialized attention on that and for that they hired the famous Asian musician A.R Rehman for the special Airtel tune that attracted people and associated them with AirTel.
Airtel outsourced their IT processes to IBM, entire network operations to Ericsson and Siemens along with Alcatel Lucent recently and the transmission towers to another company
What type of activity and resource was outsourced?
Bharti Airtel outsourced their all IT (information technology) processes to IBM ( international business machines) and entire network operations to Ericsson and Siemens. They also hired companies that are doing their transmission tower tasks.
3. Why was the decision made to outsource?
Bharti Airtel decided...
For example, the building of cell phone towers with Vodafone has resulted in that firm competing directly and vigourously against Bharti Airtel. Indeed, the two are now among four firms competing for three 3G spectra (Times of India, 2010), implying that if competition had not erupted between the two that Bharti would have been able to gain access to the spectra without engaging in a bidding war. Trust has
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