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Understanding The Functions Of Vodafone Telecommunications IT Essay

Vodafone group plc is a worldwide telecommunications company centered its headquarter in Newbury, UK. If measured by the income it's a greatest telecommunication company in the world, along with this if measured by the clients it's the worlds second greatest just behind the china mobile. As Vodafone is a worldwide company, it offers services in more than 30 countries not only this Vodafone has other spouse sites in 44 different countries. The Vodafone name originates from three different things which are voice, data and fone which echo to providing services of speech and data on the devices (Mobile phones etc).

The company was made in the year of 1984 essentially as a subsidiary of Racal Electronics Plc. In start the company named as Racal Telecom Limited but it was completely demerged and changed the name as Vodafone Group plc in 1991.

The main goal of this specific statement is to probe in to the organisation's information systems, composition of organization, analyze the information requirements, decision making, Business strategies, IS strategy, IT strategy, ethical issues, power, weaknesses, opportunities, goals and aims, managerial levels, benefits, and some other environmental factors. Furthermore this statement would be the evidence of understanding of the complete studies which is conducted in this module as well as the real life market.

Organizational Structure

The volume of employees in Vodafone UK has ended 10, 000. Vodafone aim to provide a reasonable, safe and adaptable workplace which helps to motivates their employees to work hard also to feel employed and create better environment to the work.

The below is company composition of Vodafone group;

Vodafone Group Plc company chart

Diagram: Vodafone organizational structure

(www. vodafone. com)


Marketing development organization

As marketing is very important tool to increase the businesses in this modern world. Vodafone is continually working on it to compete with the market and also fulfil the people's requirements. Vodafone is using various ways to market their products (services) such as Zonal marketing trial, Idle display screen, Brand name applications and widgets trial, Location based mostly advertising trial and so forth. Within these different types of marketing advertisement, Vodafone is keep in touch with the customers to knowing their requirements and also providing them better services.

Mission statement

A mission declaration of a business is very important to point itself. It is merely a phrase but it is full explanation of general purpose and intention of that organization. The quest statement says the employees what they are working for; along with this persuade the customers to choose the products or services. A mission assertion is that which define the basic known reasons for the living of a business and helps legitimise its function in world (Robson, 1997).

Mission assertion of Vodafone is;

"We will be the communications leader in an more and more connected world"

This specific mission statement demonstrates it is Communication Company / firm, which goal is to be the leader to connect the entire world rapidly.

Goals and objectives

The goals and objectives play vital role to a business. As this is a modern age group and every company is facing issues to compete with the existing market, same Vodafone has some goals which they want to reach. Vodafone is constantly working to revise and meet up with the requirement of the clients. To reach on the top and complete with the goals Vodafone has some objectives which they are completing detail by detail.

Below are some goals which Vodafone is happy to attain;

Create Authenticity in broadening communication technology.

Connectivity between different devices in future.

To understand and use (web) data in more ways.

To find options and likelihood of energy.

Improvement of services in each part of country.

(www. vodafone. com/start/about_vodafone/future_agenda. html)


The strategy of the business indicates its leads and also really helps to increase the business. Strategy of a business can be explained as the id of the purpose of the business and the programs and action to attain the goal (Lynch, 2006). The strategy of Vodafone changes with the passage of time, because in the year of 2006 Vodafone motives were different in line with the year 2009 and 2010. The Strategic concentrate in 2009 2009 is on functional performance, total communications, emerging market segments, capital willpower.

Environmental analysis

Political factor

The politics factors are incredibly effective for the organizations. In case the politics factors are and only the organization then it'll be easy to understand and raise the business. Additionally it is said that professionals should operate within the regulations of the variety country (Grey &Larson 2008). The balance of politics issues in the precise region or country and local laws sturdily influence the performance of company. Without the information of the local laws and regulations there's a possibility of facing penalty that could lead to a major loss. If we've a look on Vodafone world, we should come to learn that its price ideas and other services will vary based on the country legislations and demand of land. So the firm must need to understand and obey the neighborhood laws of the country where it is operating.

Economic factor

The inexpensive factors can also have adverse influence on the organization's success and production. Vodafone was quite better in current economic climate but because of recent downturns in economy it was influenced in some countries. Vodafone Spain reported turnover of euro 6, 982 million in the last financial calendar year, 2. 6 % less than the prior. (Vodafone 2009). To get financially strong Vodafone is working continuously to improve the economy of the company. Lately Vodafone has extended the services for customers; this could lead to improve the economy.

Social /social factor

As Vodafone is widened in different countries, so they have to understand certain requirements and social issues of specific country / region. Vodafone have created interpersonal networking and sociable media sites which really helps to communicate and information sharing. Along with this Vodafone have contracts with so many public networking sites to own services. Vodafone always put attempts for safe social networking. (www. vodafone. com)

Technological factor

There is technology revolution at this present age. Each day new technology arrives with so many advanced improvements. It is becoming necessary for a business to keep update using their technology and also to keep with the speed of the modern life, it also play the part to compete with the market. Vodafone is definitely active to keep revise its technology to satisfy the customers and to fulfil with the modern requirements.

For this Vodafone released the kick off of its latest Digital Living Network Alliance (DLNA) authorized Mobile Wi-Fi device, the R201. (Vodafone, aug 2010)

Ecological factors

In a written report it is pointed out that we now have more than 800 million mobile devices are in use and these are growing every day as new technology is within market. The using and broadening of these devices are not that best for health insurance and ecologically.

Vodafone remember these all concern that's why Vodafone Ireland has announced to reduce CO2 emission by 30% by 2011. With the improvement Vodafone is also working to create a better environment for future.

SWOT analysis

SWOT evaluation is a method of tactical planning which is used to evaluate the Power, Weaknesses, Opportunities, and Risks related in a job or in any task. SWOT evaluation specifies the targets of the task and also recognizes the internal and external factors of the job.


Vodafone always battle to make the network outstanding. Vodafone is committed to providing you a network you can depend on. The first top priority of Vodafone is make sure that folks can use mobile and hook up to the internet where they can be, and every time they want. Vodafone opponents are also improving their services to persuade the customers but speciality of Vodafone is, its network is widening but also provides better signal strength indoors and outdoor. Vodafone is remember to provide a such network which has journey of an call, fast and reliable relationships and a network you can trust.

(www. vodafone. com)


As every company involve some weaknesses, same Vodafone sometimes face such problems. The first weakness of Vodafone is its less connectivity in rural areas. Shares in Vodafone dropped to lowest point but nonetheless brain of Vodafone Company decided to sell the stocks. BP overtakes Vodafone amid continued telecoms weakness (www. independent. co. uk). Vodafone received negative go back on investments (ROA) underperform the key competition like BT Group, AT&T among others. The other weakness is Vodafone has about 80% business generate in Europe. Due to these weaknesses Vodafone sometimes face problems to keep up the company specifications.


Vodafone has so many opportunities to get good thing about it. Vodafone has increasing network with better services this made Vodafone to create opportunities for customers as well as Vodafone itself. While using duration of time environment is changing also Vodafone is attempting to tackle this issue with the service of video and teleconferencing and thorough the other energy conserving machines. The Vodafone insurance plan is full of opportunities for customers and company itself.


As Vodafone is dominating in the world of communication, so the competitors are the main risks for Vodafone. In start of Vodafone life, there weren't so many competitors of Vodafone but little by little so many companies come to are present and started out the war in neuro-scientific telecommunication. As it is increasing network, every day new customers are joining Vodafone, it might create problem in network. So Vodafone need to revise their boosters or all other technologies which could lead to calling and data transferring problems. Along with this, as other competition companies are launching new services, same Vodafone need to introduce such facilities/services that could keep customers touching Vodafone.

Level of Management Information System

There are four degree of management, each level encouraging different kind of decision process. It works from top to bottom, as top level management which is tactical level makes decision then it ends with the bottom which is Operational level.

These four are described below;

Strategic level:

This specific degree of management is for elderly people like, CEO, VIP, and Manger. This type of management usually makes permanent decisions like 3 to 10 years.


Sales and Marketing IS, Manufacturing IS, H R Information system, And Fund and accounting IS.

Management level / Tactical level:

This management level is usually learning resource allocation decision level. In this particular management level managers utilise and allocate time, raw material, machinery, cash etc which is usually for 1 to 3 years.


Sales and Marketing IS, Manufacturing IS, H R Information system, And Finance and accounting IS.

Knowledge level:

The knowledge level is a additional level of management where knowledge and data staff work. This level is all about the data of the precise project.


Sales and Marketing IS, Production IS, H R Information system, And Funding and accounting IS.

Operational level:

In this bottom part of the management level, professionals work day to day to complete the task. Normally in this level, director makes decisions significantly less than one year.


Sales and marketing IS, Developing IS, Human Reference IS, and Funding and Accounting IS.







Operational Level

Knowledge Level

Management Level

Strategic Level

Diagram: Types of IS and level of working.

Information Systems

An information system can be identified technically as a couple of interrelated components that gather process, store and distributed information to support decision making and control within an company (Laudon & Laudon, 2009). With the help of information system a job could lead to a successful task and can complete on time. Information system provides fast and exact transaction additionally it offers support for decision making. The info system is the weapon against rival companies. There are a few major information systems which work in each management levels are below.

ESS (Professional support system) work in tactical level.

DSS (Decision support system) work in management level.

MIS (Management information system) work in general management level.

KWS (Knowledge working system) work in knowledge level.

OAS (office automation system) work in functional level.

TPS (Transaction handling system) work in operational level.

ESS (Professional support system)

ESS is designed to get summarized information from MIS and DSS and present graphs and data from many resources through an software that is not hard for senior managers (Laudon & Laudon, 2009). This is top management level and top people of management deal in this level. The chief exec of Vodafone makes last and basic decisions, and all departments head gather the info (data) and show him for his decision to visit toss. The ESS information system manage all the activities happening within the business like sales, purchase, cost etc which helps leader to make decisions and begin new programs.

DSS (Decision support system)

The DSS helps to navigate the company into right journey, because if company gets damage from present services or technology then it suggest the down switch of the business. By using DSS Vodafone sometimes change the purchase price plans and also other changing occurs that happen to be effect for company. The DSS of Vodafone can usually use information from other information systems nonetheless they need to get educated from outsource to create it.

MIS (Management information system)

Middle management needs system to improve monitoring, managing, decision - making and administer activity and work with this, the systems which are use called MIS (Laudon & Laudon, 2009). These details system basically really helps to monitoring the actions happening within the business. By using these details system professionals can check any transfer from thousand of transaction. Professionals often need to see, the proceedings with the business during it is attempting to know that, is company is doing fine or not, and MIS helps to do that. This system also provide required reports each week, monthly or every year, which helps manager to make decision.

KWS (Knowledge working system)

Knowledge work system or knowledge established information system that support the creation, company and dissemination of business to employee and mangers within a company (O'Brien & Maracas, 2008). This information system helps the business to get the new ways to reach the success. In Vodafone KWS use to find what new price strategies will be appreciable by customers and also how to improve services.

OAS (office automation system)

The OAS usually used in employees data and then for office work. As it is mentioned above that OAS is use in operational level. These details system handles all the office work of Vodafone like non financial property, share based repayment, pension etc.

TPS (Deal processing system)

TPS help the operational managers to keep track of the primary activities and deal of the business, such as sales, receipt, cash deposit, payroll, credit decision and the movement of materials in a manufacturer (Laudon & Laudon, 2009). In this system Vodafone can connect to the customers on daily basis. The info system helps Vodafone to cope with the all sort of enquires.

Ethical Issues

The use of Information system could be very risky for an organization. As it is very essential for an organization to utilize information system to boost the performance of the task in better and convenient way in the mean time maybe it's very risky and can result in disruption. So a whole lot of honest issues need to keep in mind when use information system. For example, if wrong information of data is got into then output will be wrong this could lead to incorrect decision making which is very unsafe for company. It is vital to focus on ethical issue, if there is problem in OAS that incorrect information is moved into in the databases of Vodafone then it will store incorrect information in the system, it'll produce wrong end result. Same as when there is problem in TPS (Transfer Processing system) that transfer is made wrong while customer is paying expenses or when Vodafone is topping the account of the clients this could create problem for both customers and the company. Some moral issues of Vodafone are below;

Privacy Safety: company need to concentrate on privacy of the business and its own business. It requires to ensure that all business deal, made exactly and appropriately. Additionally Vodafone needs to protect transaction happened, that other can't retrieve it.

Accuracy of Information: In process of data storage area and all the inputs Vodafone needs to be cautious of the authenticity of the stored information. Sometimes companies are expecting are something nevertheless they get another thing at the time of result.

Right of Information: Every mangers needs to know his tasks that he can maintain structure of the business.

Security: All the the system is secure company will be safe from dangers and misuse.

Lack of knowledge: Staff must learn to do the job and satisfy the client in the standards of information system.


All organizations need to utilize information system to improve the performance and drive through the success. Information system helps company to sort out, about all kind of problems and be profitable. As Vodafone is a communication services supplier, so to create all necessities of the modern life and compete with market, Vodafone must use specific information systems. There are so many companies in market fighting with Vodafone, but due to choosing right and efficient information system, Vodafone reaches the most notable.

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