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Sustainability Performance: At a glance (31 March 2012) - Safaricom

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Network stability<br />

capacity expansion, acquiring extra bandwidth,<br />

introducing new technologies and modernising<br />

the network — upgrading radio elements,<br />

core network elements and transforming<br />

the transmission network. This network<br />

modernisation initiative has seen over 95% of<br />

Mobile Switching Centers (MSC) replaced with<br />

modern, high capacity MSCs to date.<br />

• Customer churn<br />

Customer ‘churn’ is when an existing customer<br />

leaves to join another network. The highly<br />

competitive nature of the telecommunications<br />

industry has resulted in significant reductions<br />

in tariffs and, as a result, significant increases<br />

in network traffic. This increase in traffic has<br />

led to network congestion and dropped calls<br />

etc. This congestion, together with network<br />

disruptions due to fiber cuts and power<br />

failures, has hampered service quality and<br />

resulted in customer churn. From a network<br />

stability perspective, the measures taken to<br />

reduce this sub-risk are, essentially, the same<br />

as those taken to mitigate the ‘maintenance’<br />

and ‘coverage’ risks.<br />

• Sub-optimal fiber-optic infrastructure<br />

<strong>Safaricom</strong> leases fiber-optic infrastructure to<br />

provide the additional capacity required by<br />

the large volumes of data and voice traffic we<br />

handle, but the local fiber network has been<br />

significantly impaired by fiber cuts recently.<br />

Stakeholders with whom we engage<br />

Stakeholder group<br />

Subscribers<br />

Regulator (CCK)<br />

Government (through Ministry of<br />

Information & Communication)<br />

Fiber Providers<br />

Telecommunication Service<br />

Providers<br />

What we engage them on:<br />

While mechanisms are being put in place to<br />

ensure that fiber redundancies protect traffic<br />

loss — including deploying our own fiber<br />

infrastructure — network disruptions caused<br />

by multiple fiber failures remain a major<br />

challenge. In <strong>March</strong> <strong>2012</strong>, for instance, up<br />

to 20% of network unavailability was due to<br />

fiber failures.<br />

As well as spreading the risk across multiple<br />

fiber providers and specifying continuity<br />

in service level agreements, <strong>Safaricom</strong> is<br />

currently implementing a BCP (Business<br />

Continuity Plan) that will see microwave<br />

backups installed at all major nodes,<br />

providing alternative traffic routes in the<br />

event of a fiber failure. These are already in<br />

place at Tier 1, high-risk locations and Tiers<br />

2 and 3 will be completed in August <strong>2012</strong>.<br />

• Vandalism and theft<br />

As already noted, the repeated vandalism<br />

of telecommunications infrastructure often<br />

leads to network instability disruptions. As<br />

a result of engagements with regulators<br />

and stakeholders by <strong>Safaricom</strong> and other<br />

operators (see Section R1. for further<br />

detail), the Vandalism Bill has been drafted<br />

and is ready to be enacted into law by<br />

Parliament.<br />

Information regarding planned works and network failures is<br />

promptly disseminated to Customer Care for communication to<br />

subscribers.<br />

Engagement with the CCK has taken place regarding the drafting of<br />

the Vandalism Bill and the CCK’s targets (KPIs).<br />

Again, we have liaised with government regarding fees, levies and<br />

the drafting of the Vandalism Bill.<br />

<strong>Safaricom</strong> leases fibre from fibre-optic providers and engages with<br />

them regarding SLAs and BCPs etc.<br />

<strong>Safaricom</strong> has agreements with other mobile operators to share<br />

some of its BTSs, and vice versa.<br />

How we performed<br />

The Communications Commission of Kenya<br />

(CCK) is mandated with ensuring the provision<br />

of quality services by licensed mobile service<br />

operators. To meet this objective, the CCK has<br />

developed eight Key <strong>Performance</strong> Indicators<br />

(KPIs) to assess the performance of mobile<br />

operators. Mobile operators are expected to<br />

meet at least 80% (i.e. 7 out of 8) of the targets<br />

set by these KPIs.<br />

The CCK carries out national Quality of Service<br />

(QoS) assessments based on these KPIs, to<br />

determine the level of compliance achieved<br />

by mobile operators. The results of these<br />

assessments are released to the general public<br />

and can also be found on the CCK website.<br />

Subscribers<br />

Speech Quality (MOS, PESQ values) 95% of Samples >2.7<br />

Regulator Handover (CCK) Success Rate 85%<br />

Call Set Up Time

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