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Tele2: private experience
for public sector
Vilnius, 2013 10 24

Petras Masiulis, CEO
The mobile industry is in decline

250,000
200,000
150,000
100,000
50,000
0

Tele2

2

Omnitel

Bite
Yet, Tele2 is growing
Tele2 has the best Perceived
Quality
75
70
65

Tele2 has the best reputation*

60
55
2011 Jan 2012 Feb 2012 Nov 2013 Aug
Tele2

Bite

Omnitel

Tele2 is the leader in Customer
market Share

2006

80%
60%
40%
20%
0%

Tele2

*Source: TNS TRIM report, 2011

Bite

2013

2012

2011

2010

2009

2008

2007

2006

2005

2004

2003

2002

Tele2

Omnitel

3

75
60
45
30
15
0
2011
Bite

Omnitel
Effectiveness is the key

4
People employed

5
Acknowledged for effectivenes
• 2nd most effective mobile
operator in Europe (A.T.
Kearney)
• Most productive ITT
company in Baltics
(Profiles international)

6
And what do we mean by “effective”?

7
8
Time is the single non-renewable
resource in the world

9
Our way of doing things in less time
• Faster decision making

• Less bureaucracy
• More trust
• Mistakes allowed – as long as you learn

10
Faster decision making: an experiment
• 4 equal groups, the same problem to solve
5 min

2 hours

11

30 min

4 hours
The results

5 min

30 min

2nd BEST SOLUTION

THE BEST SOLUTION

2 hours

4 hours
THE WORST

12
Less bureaucracy

Snr. sales
manager

Residential
sales manager
4
1,8
13

employees
M clients

Prepaid sales
manager

B2B & Public
business sales
manager
More trust

Working
faster
More
responsibility
for
employees
Less people
doing the
same job

14
15
Can it also work in the public sector?

16
Procurement is an indicator
• Very slow & long process
• Huge bureaucracy

• No trust
• Mistakes = claims in court

17
Short term targets

18

Long term pain
But there is an alternative
• CPO.Lt: digital public procurement database
• No bureaucracy, no courts, no mistakes

• Process speeded up several times

19
And it saves money, too
HOW HAVE EXPENDITURES FOR THE MOBILE CONNECTION OF YOURS / YOUR INSTITUTION
CHANGED AFTER YOU STARTED TO USE TELE2?
up to 20%

12,5%
16,7%

21-30%

22,2%

31-50%
more than 50%

Mean 39,2%

9,7%

DK/NA

38,9%

Expenditures
decreased
67,9%

% counted from those who indicated
that expenditure for the mobile
connection decreased, N=72

Mean
16,0%
% counted from those who indicated
that expenditure for the mobile
connection increased, N=3
20

SOURCE: RAIT, 2012 March-April

Expenditures
increased
2,8%

DK/NA
13,2%

Expenditures
haven‘t
changed
16,0%

% counted from respondents, who can get
information and/or pay account, N=106
Can same rules be applied to other
processes?

21
Our way of doing things in less time
• Faster decision making

• Less bureaucracy
• More trust
• Mistakes allowed – as long as you learn

22
Thank you

23

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Tele2: private experience for public sector - Andrius Baranauskas @ PSE 2013 Vilnius

  • 1. Tele2: private experience for public sector Vilnius, 2013 10 24 Petras Masiulis, CEO
  • 2. The mobile industry is in decline 250,000 200,000 150,000 100,000 50,000 0 Tele2 2 Omnitel Bite
  • 3. Yet, Tele2 is growing Tele2 has the best Perceived Quality 75 70 65 Tele2 has the best reputation* 60 55 2011 Jan 2012 Feb 2012 Nov 2013 Aug Tele2 Bite Omnitel Tele2 is the leader in Customer market Share 2006 80% 60% 40% 20% 0% Tele2 *Source: TNS TRIM report, 2011 Bite 2013 2012 2011 2010 2009 2008 2007 2006 2005 2004 2003 2002 Tele2 Omnitel 3 75 60 45 30 15 0 2011 Bite Omnitel
  • 6. Acknowledged for effectivenes • 2nd most effective mobile operator in Europe (A.T. Kearney) • Most productive ITT company in Baltics (Profiles international) 6
  • 7. And what do we mean by “effective”? 7
  • 8. 8
  • 9. Time is the single non-renewable resource in the world 9
  • 10. Our way of doing things in less time • Faster decision making • Less bureaucracy • More trust • Mistakes allowed – as long as you learn 10
  • 11. Faster decision making: an experiment • 4 equal groups, the same problem to solve 5 min 2 hours 11 30 min 4 hours
  • 12. The results 5 min 30 min 2nd BEST SOLUTION THE BEST SOLUTION 2 hours 4 hours THE WORST 12
  • 13. Less bureaucracy Snr. sales manager Residential sales manager 4 1,8 13 employees M clients Prepaid sales manager B2B & Public business sales manager
  • 15. 15
  • 16. Can it also work in the public sector? 16
  • 17. Procurement is an indicator • Very slow & long process • Huge bureaucracy • No trust • Mistakes = claims in court 17
  • 19. But there is an alternative • CPO.Lt: digital public procurement database • No bureaucracy, no courts, no mistakes • Process speeded up several times 19
  • 20. And it saves money, too HOW HAVE EXPENDITURES FOR THE MOBILE CONNECTION OF YOURS / YOUR INSTITUTION CHANGED AFTER YOU STARTED TO USE TELE2? up to 20% 12,5% 16,7% 21-30% 22,2% 31-50% more than 50% Mean 39,2% 9,7% DK/NA 38,9% Expenditures decreased 67,9% % counted from those who indicated that expenditure for the mobile connection decreased, N=72 Mean 16,0% % counted from those who indicated that expenditure for the mobile connection increased, N=3 20 SOURCE: RAIT, 2012 March-April Expenditures increased 2,8% DK/NA 13,2% Expenditures haven‘t changed 16,0% % counted from respondents, who can get information and/or pay account, N=106
  • 21. Can same rules be applied to other processes? 21
  • 22. Our way of doing things in less time • Faster decision making • Less bureaucracy • More trust • Mistakes allowed – as long as you learn 22