Journal of the International Academy for Case Studies (Print ISSN: 1078-4950; Online ISSN: 1532-5822)


Impact on Employee Morale and Job Satisfaction: A Case Study of Telecom Industry Network Outsourcing

Author(s): L.R.K. Krishnan

Most telecom operators building their 2G/3G/4G mobile and Wire-line networks, operate, expand network, acquire customers in large proportion and thereafter outsource the network to third party vendors or managed services partners such as Ericsson, Alcatel Lucent, ZTE, and Huawei and also transfer the manpower. The transition of resources from the parent company to the third party vendor in the case of a company already handling its operation and maintenance of its telecom network has a significant impact on the morale and job satisfaction of its employees who are transferred out. In the case of a start up the outsourcing of its network operations from the beginning has a different implication. This case study is based on 10,000 resources moving from an established integrated telecom operator with employees scattered across the length and breadth of India and managing one of the largest integrated telecommunication networks in the world. Outsourcing severely impacted morale, motivation and job satisfaction which eventually impacts productivity and performance which is discussed in this case study.

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