- The Big Change
- Effects on Customers
- Final Word
Telstra is one of Australia’s leading telecommunications and technology providers. They offer various plans for NBN broadband internet, mobile phones, 5G, as well as on-demand streaming services. By market share, they are the biggest telecommunication company in Australia, which means that a restructure on their part will affect you in one way or another, even if you are not their direct customer.
The Big Change
During Telstra’s annual shareholder’s meeting, they announced a new strategy which they labelled as Telstra2022. This strategy encompasses a restructure that can have a significant impact on the entire country, from an economic level all the way down to a personal consumer level. The emphasis of Telstra2022 is on drastically reshaping the current business model of the company to create a structure that is more fitting to the modern market.
One of the biggest changes that they are about to embark on is the creation of a new infrastructure business unit, InfraCo, which is wholly owned by the company. This business unit will further be split into two, namely the InfraCo Fixed and the InfraCo Towers. The former will be dedicated to the company’s fixed-line assets while the latter will handle the company’s mobile infrastructure. Alongside this, there will also be a third unit, which is the ServeCo, dedicated to the active parts of the company’s mobile business, including their radio access network and spectrum. Their goal is to drive performance and a future option for the entry of strategic investors.
They will also embark on a radical transformation when it comes to their customer plans and pricing, in an attempt to improve the overall customer experience of their subscribers. Alongside this, they plan to increase their productivity program and monetise their assets. However, they also plan to reduce their employees and contractors even at the management level.
Effects on Customers
Simplified Product Offering
One of the primary effects of Telstra’s restructure is a simplified product offering that aims to eliminate their customer’s pain points. The reason behind this is that the current plans offered by the company span a bit under a couple of thousand, creating unnecessary complexity and confusion for their customers. With a simplified product offering, these complexities are eliminated and customers are presented with more transparent plans. In parallel to this, they are planning to migrate all their existing customers to their new and simplified plans by the mid-year of 2021. Perhaps this is the best time for you to consider getting one of their NBN plans if you are not yet a subscriber.
With the new structure of the company, they aim to focus on providing their customers with a more digital experience. In order to achieve this, they are planning to concentrate on software-based platforms, as well as maximising the Internet of Things (IoT) technology. As a result of this venture, they will be able to offer modular and simplified products to their customers. These easy to understand self-service products will prove to be beneficial for their customers in the long run.
With the creation of the InfraCo business unit, the company is expecting to drive its performance aimed to improve the experience of its wholesale customers. In this case, the company is set to incorporate its data centres and non mobile-related fibre networks, as well as their international subsea cables. Their goal is to better manage these resources with a dedicated business unit monitoring their assets related to infrastructure. Thus, this is the perfect time for you to consider their NBN plan offerings which are built upon robust infrastructure.
Empower Employees in Serving Customers
Although the company is set to implement job cuts, the company ensures that these will have a minimal impact on customer-facing teams. The reason behind this is that the first job cut will transpire at the higher management level in an attempt to reshape the overall organisational structure of the company. Rest assured that the employees who will be affected by the job cuts are eligible for a remuneration program or outplacement support, while the ones who will remain are set to be upskilled.
The great news is that Telstra is also anticipating the creation of new roles intended to help them keep up with technological innovations to better serve their customers. Some of the roles that are expected to be filled up include software engineer positions as well as cybersecurity experts. This supports the company’s focus on providing a digital experience to its subscribers to increase customer satisfaction.
People now depend on reputable telecommunications companies like Telstra to enjoy various services such as internet connectivity, mobile calls and texts, 5G availability, and even on-demand streaming. However, it cannot be denied that even the slightest restructure of these companies can have a significant impact on their customers. Rest assured that these restructures are designed taking into consideration the best interest of their customers and subscribers.