here - Ayala

Globe 2012 annual report
our business
Faster and Better Network
The company’s strength is its dynamism and boldness to change for its customers, employees and
shareholders. In order to fully become a catalyst of change, Globe understands its need to be relentless in the
quest for excellence and continuously transforming the company from within. In 2012, Globe continued with
the transformation programs under the 5-pillar transformation plan which was started in 2011.
Business
In 2011, in line with the vision of a differentiated customer
experience, Globe shifted beyond the regular Customer
Satisfaction mindset and created the total customer
experience, which would allow the company to engage not
only its customers but also the employees and shareholders
who are at the forefront of Globe Telecom’s priorities. Faster
customer service feedback was put in place truly making the
customers satisfied with the improved modifications.
The company’s commercial transformation in the year
2012 focused on changing the very foundations of its back
office systems, including the corporate support and internal
processes. By allowing changes to ripple out from within, the
customers and stakeholders could see past the change in
the façade and overall ambiance of its stores. The customers
can actually experience the difference with each transaction
and interaction in every Globe Store.
Network
As an innovator in the telecommunications industry, a
constant part of Globe Telecom’s transformation includes the
continuous development of the network. Globe has invested
a total of $700M for its network modernization program.
This project is envisioned to deliver faster and unparalleled
customer experience in the country while positioning itself as
the leader and one of the best telecommunications providers
in Asia.
People have started to rely more and more on social
networking to stay connected. Also, with the growing number
of smartphone users, Globe saw the need to future-proof the
network to accommodate the constant increase in network
traffic especially on data.
Phase 1 of the Network Transformation is the upgrading of
the network system's access portion. The company replaced
the old hardware and technology in its cellular sites, power
sources, base stations and switches allowing the access
portion to become more powerful and energy-efficient.
President Aquino witnesses Ceremonial Power On of Globe $700M network modernization program. The event was led by Globe Chairman
Jaime Augusto Zobel de Ayala (2nd from right) and Globe President and CEO Ernest L. Cu (left). Secretary Mar Roxas II (right) also graced the
special occasion. The network modernization program, touted as the most significant investment of Globe in the last two decades, includes an
all-IP infrastructure, pervasive 3G coverage, doubling fiber optics capacity, 4G and LTE readiness, and overall network quality and resiliency.
Huawei is tapped as lead partner and end-to-end network solutions provider while French innovator Alcatel-Lucent is assigned as project
manager.
At the end of 2012, Globe was able to modernize more than
80% of its cellular sites and upgrade its network system
nationwide. Starting within the National Capital Region
(NCR), Makati City, being the country’s premier business
area, significantly benefitted from the network transformation.
The network development coverage includes key locations
of the city and are now enjoying stronger Globe signal.
Aside from Makati, other areas such as Caloocan, Malabon,
Navotas, Valenzuela (CAMANAVA), Marikina, Manila, San
Juan and Mandaluyong were completed in the last quarter
of 2012. Taguig, Pasig, Paranaque, Pasay, Las Piñas and
Pateros followed after.
In the Visayas region, Cebu took the lead in equipment
modernization. Other Visayan key provinces lined-up for the
transformation are Leyte, Samar, Bohol, Iloilo and Roxas,
consecutively. Meanwhile in the Mindanao region, the major
modernization took place in Davao as well as in Zamboanga
and Misamis Oriental. Improved mobile connectivity was
achieved through the modernized facilities. Improvements
for the province of Sulu, cities of Surigao and Butuan were
carried out during the last quarter of 2012 and in Agusan del
Sur by early 2013.
In addition to the upgrades, Globe installed more resilient
fiber optic cables in more areas to serve more customers
and greatly improve voice and text messaging quality as
well as provide faster internet services. An installation of a
submarine cable in Boracay was also completed and the
same facility is being worked on in Palawan, which is due
for completion during the first quarter of 2013.All in all, the
nationwide improvements allowed clearer voice call quality,
easier connection, on-time delivery of text messages and
faster mobile surfing and downloading.
Globe has successfully upgraded 4,000 cell sites to
4G – LTE, HSPA+ and WIMAX providing better network
experience to 91% of its customers.
As the transformation program continues to take place in the
year 2013, Globe would be able to provide greater network
availability, impressive quality on voice calls, instantaneous
delivery of SMS, improved call set-up rates and faster
browsing with minimal buffering of multimedia content to
every Filipino mobile user.
IT Systems
For 84 years, Globe has succeeded in constantly reinventing
itself to keep pace with the ever-changing customer
demands. Network modernization and the improvement of its
IT infrastructure have always been a crucial element in taking
the lead amidst relentless market challenges.
In 2012, the IT Transformation program was initiated and it
was spearheaded with Amdocs, a top software and services
provider, as technology partner. The IT Transformation
program constitutes an overhaul of 90% of the company’s
business support systems (BSS) to improve customer
experience, strengthen its product design and development
capabilities, and reduce cost. The new standards-based
IT architecture will help provide faster response time to
customer queries and service requests at the Globe stores
and call centers, quicker time to market for new products,
and timely customer loyalty offers.
In 2013, the BSS Transformation will be implemented using
a phased approach to ensure sustained quality of service
while delivering enhanced customer experience. This
Strengthening signals—with fiber: Globe Chief Technical Adviser
Robert Tan (in white polo) leads the network team, including
project managers from Huawei, in the landing and laying out of
the network’s fiber optic cable facilities in Boracay. Globe Telecom
successfully interconnected Boracay through fiber optics, effectively
boosting the connections and strengthening the network coverage of
the internationally-renowned island.
transformation approach should result in a better 5-year Total
Cost of Ownership (TCO), as compared to incrementally
upgrading the existing platforms, as well as revenue uplift
from the improved capabilities.
Beginning with mobile postpaid, Globe will simultaneously
work on the subsequent phases of these improvements
to cover mobile prepaid and wireline as well. These
developments are expected to be completed by the 4th
quarter of 2013.
Globe is also set to replace legacy systems with a
new Enterprise Data Warehouse using top-tier data
warehouse components to deliver superior data processing
performance, comprehensive intelligence and an enhanced
information value chain.
Talent and Culture
The greatest asset Globe has is its people. The company’s
outstanding performance can be credited to the hardworking,
committed and pool of talented people aligned with the
company’s values and culture. Globe Telecom’s people is
the glue that brings everything together which is why it is
crucial to ensure that the company is able to acquire the
right people and enhance their exceptional abilities further.
Hiring the best people guarantees that Globe will be able to
deliver and achieve its goals and continue to provide fast and
excellent service within the telecommunications arena. The
company enhanced its learning programs as aligned with
Globe Telecom’s values and culture to nurture the abilities of
its existing and future employees.
The New Globe Headquarters
As part of the never-ending transformation, Globe has
already started the construction of its green headquarters in
Bonifacio Global City, Taguig. The headquarters, which will
be named as Globe Tower, is expected to be completed by
third quarter of 2013 and shall be the future home of Globe
employees. More details on this big move can be found in
Greening the Globe Section under Green Headquarters.
24 25