SAFARICOM’S STRATEGIC PLAN

Students name:
Instructor’s name:
Date:
Table of Contents
Introduction...........................................................................................................................................1
Safaricom's Vision, Mission, and Values................................................................................................1
Safaricom’s SWOT Analysis....................................................................................................................2
PESTEL Analysis......................................................................................................................................3
Competitive Analysis and Threat...........................................................................................................4
Strategic Orientation and Positioning....................................................................................................4
Objectives Strategic for Safaricom.........................................................................................................5
Implementation, Monitoring, and Evaluation.......................................................................................6
Monitoring and Evaluation Framework.................................................................................................9
Essay of Reflection on 'Safaricom'.......................................................................................................12
Change Management Models.............................................................................................................12
Task 1

Introduction

Safaricom Plc was established in 1997 as a 100% subsidiary of Telkom Kenya. In May of
2000, Vodafone group plc, the largest telecommunications firm in the world, bought a 40%
share in the company and managerial responsibilities. Safaricom's objective is to remain
Kenya's premier mobile network operator. Using the expanding subscriber base, the company
has hired over a thousand staff and developed 10 retail locations shops in Nairobi, Mombasa,
Nakuru and Kisumu. The company has a nationwide dealer network of approximately 152
outlets; (www.safaricom.co.ke)

Over six million users have necessitated the development of a vast array of services by the
company. Profitability of the company has been positively affected by the increasing number
of subscribers. The company's revenue increased from 280 million dollars in 2004-2005 to
704 million dollars in 2006-2007. Five years ago, Safaricom began a period of rapid
expansion. Simultaneously, the corporation has spent a substantial portion of their income on
corporate social responsibility.

The company's objective is to be the top provider of mobile phone services. Safaricom
provides a number of services to its customers. These include wireless phone services,
Internet services, mobile phones, and electronic money transactions. In order to realize its
objectives and corporate vision, the organization employs multiple marketing mix methods in
conjunction with segmentation.

Safaricom's Vision, Mission, and Values

Safaricom Vision

Safaricom's aim is to use our capacity to provide connectivity and innovative services to
enhance the quality of life and standard of living of every individual we serve. Integral to
realizing this objective is our unwavering dedication to operating in an ethical and
responsible manner. Safaricom believes that transforming lives and operating in a responsible
and ethical manner are important to our continued success and our obligation to our
shareholders.

Safaricom Mission

To use its products and services to improve the lives of Kenyans and promote sustainable
living. Based on this fundamental goal, safaricom's purpose describes how it will use its
connectivity and innovative services to enhance the quality of life and livelihoods of the
people.

Safaricom Values

The following values guide the thoughts, words, and actions of Safaricom: Move with Speed

Simplify The Foundation's operational procedures.

To establish symbiotic relationships with our stakeholders based on mutual respect and trust.

Safaricom’s SWOT Analysis

Strengths Weaknesses

Variety of products High data cost

Market leadership Frequent jamming

Opportunities Threats

Entering into joint ventures and acquisitions Effects of global change

Access to new technology Competition

References

Aaltonen, P., 2012. Implementing Strategies Successfully. Integrated Manufacturing

 Systems, 13(6): 415- 418.

Cloud.safaricom.co.ke. 2022. [online] Available at: <https://cloud.safaricom.co.ke/>

[Accessed 14 July 2022].
Platform Executive. 2022. Safaricom Company Profile and SWOT Analysis — Platform
Executive. [online] Available at:
<https://www.platformexecutive.com/product/safaricom-company-profile-and-swot-
analysis/> [Accessed 14 July 2022].

Task 2

PESTEL Analysis

Political Environment

Since its founding in Kenya, Safaricom has had a reasonably tranquil and accommodating
political environment. In some instances, though, it has had to deal with the aftermath of
political processes. During the 2017 general election, for instance, one faction of political
players asked their supporters to boycott its services. The perception was that it was pro-
government and helped maintain the status quo. The corporation has also had to battle with
market domination and mobile phone radiation concerns.

Economic Environment

The surge in the number of families with middle-class incomes in Safaricom's territory has
supported its expansion plans. Kenya, Tanzania, and Uganda, where Safaricom operates
predominately, have higher per capita incomes. This allows Safaricom to target additional
customers in the data and mobile telephony markets. However, there is a degree of
information asymmetry due to the fact that customers may compare costs and quality. This
external economic aspect could be detrimental to Safaricom.

Social

Kenyans have boosted their usage of mobile devices and online mobile services as a result of
Safaricom offerings like data, mobile telephone, and MPESA. Both offer opportunities and
risks for Safaricom's operations. On the one hand, the rising usage and demand for mobile
services provide the corporation with an opportunity to offer mobile devices and gadgets to
clients and a larger market to sell its online banking services. However, it also invites
additional competitors that sell similar or identical products.

Technology

In Kenya and around the world, communication and information technology have advanced
rapidly. This development has contributed to the company's growth by allowing it to enhance
its service offerings. However, this technical advancement also poses security vulnerabilities
that may compromise the firm's stability and integrity.

Ecological

In the past, Kenya has been affected by natural catastrophes such as flooding. In such a
scenario, the company's infrastructure would be destroyed, rendering some of its services
inoperable.

Legal

Since 2014, Safaricom has been developing its mobile money transfer service. To accomplish
this, it has acquired a cash remittance-operating license from the Kenyan national bank.

Competitive Analysis and Threat

Safaricom's principal competitors are Telkom, Airtel, FAIBA, and Yu. While the corporation
continues to dominate the market, these competitors are gradually gaining ground. Therefore,
the corporation can effectively manage its product and service offering. It should rectify and
listen to even the smallest consumer complaints, because competitors could simply capitalize
on the defect to offer identical products and services with a greater focus on customer needs.

Alternative Product Threat

Airtel is one of the companies offering services similar to those of Safaricom, albeit under a
different brand. Therefore, there is a serious risk that Safaricom customers would desert the
company and use it only for money transfer services. It is usual for individuals to state that
they contact and utilize data from other companies. Consequently, the corporation must
increase its investment in developing brand loyalty based on client preferences.
 Strategic Orientation and Positioning

The mission of Safaricom is to "Transform Lives." This mission statement pervades every
business decision and motivates the company to push the boundaries of conventional business
practices in order to produce value for society. Safaricom believes that the role of business
extends well beyond profit maximization, which is why it views mobile telecommunications
and its related products and services as a unique opportunity to improve the quality of life and
contribute to sustainable lives for Kenyans.

Strategic development process

Safaricom incorporated sustainability into its corporate strategy in 2012 and aligned it with
the SDGs in 2016 to assist transform our sustainability ideas into meaningful and actionable
programs, ranging from overall goals to small daily actions that could be implemented across
the firm. It is the responsibility of the Board to ensure that sustainability is at the core of our
overall business strategy. The management of Safaricom is responsible for leading,
executing, monitoring, and reporting on sustainability initiatives through integrating the
SDGs into day-to-day business operations and functional duties. Since 2016, nine of the 17
SDGs have been incorporated into our organizational and individual employee performance
objectives. Each division is undertaking SDG-aligned projects and developing SDG-aligned
products and services. Reporting on SDG-related objectives is now core to our methods of
operation, and we want to encourage everyone we engage with — workers, partners, and
other stakeholders — to set their own.

Strategic Planning

Strategic direction refers to the plans that must be executed for a company to realize its vision
and achieve its objectives. It guarantees that owners and management may convey to
employees the significance of their contributions to accomplishing business objectives.

Strategic concepts

Strategic themes are the primary, high-level business strategies that serve as the foundation
for the business model of a corporation. They are part of the balanced scorecard's strategic
planning process. Once your organization's vision has been agreed upon, we will carefully
break it down into three to four strategic themes. Themes are frequently referred to as "pillars
of greatness." The strategic topics encompass a vast span. They apply to every aspect of the
organization and outline the primary strategic initiatives that will be pursued to realize the
vision. The following are strategic themes for Safaricom: excellence in operations, customer
service, innovation, and sustainability.

Objectives Strategic for Safaricom

The following table outlines the strategic objectives and illustrates their connection to the
material issues and stakeholders:

Strategic objective Activities K.P.I

Deliver the Best network in
Kenya
Delight our customers
Deliver a high- Network quality
quality, available and
energy efficient network
Provide positive customer Customers
experiences
Understand the needs of our
customers
Develop solutions that add
value to their
lives
Surpass their expectations
Protect their privacy

Stay ahead of the Develop transformational and Innovation

curve innovative products and
service

YOLO Be Youthful, Original, Innovation

Local and Outstanding Customers
Deliver youth-centric
solutions

Deepen financial Provide formal financial Society

inclusion services to the unbanked
 Partner of choice for
business
Table 1: Strategic objectives
Provide integrated ICT Customers
solutions Business partners
that enable businesses to
succeed
Understand and
support our suppliers,
agents, and dealers

Implementation, Monitoring, and Evaluation

Good governance in project implementation comprises good project organization in which all
roles and duties are clearly defined, a documented cooperation agreement with the partner,
and efficient finance management.

Monitoring and assessment are crucial project management components. They are conducted
to ensure that the project work is relevant and to assess the progress and efficiency of the
program. Regular monitoring enables the project to foresee potential hazards and identify any
necessary modifications to the project's plans. Monitoring and evaluation are also required for
stakeholder accountability.

Implementation

An implementation plan outlines how to bring a strategic plan to life by dividing it into
distinct parts and assigning each step to a specific team member within a certain timeframe. It
is divided into pre-implementation, real implementation, and post-implementation
components.

Pre-implementation

During this phase, the feasibility of the Safaricom concept will be evaluated through analysis
and development. This stage's primary objective will be to undertake a project feasibility
analysis. During this phase, the management will establish who will be involved, the parties,
and evaluate whether the project has adequate support in terms of resources and participation.

Throughout Implementation
During this phase, the project is implemented and the various stakeholders undertake their
respective roles. During this phase, practical work is performed. There is the establishment of
teamwork in which many individuals collaborate to guarantee that the project's objectives are
met.

Post Implementation

During this phase, it is determined whether the objectives have been met. Examples of
activities in the follow-up phase include writing handbooks, providing instruction and
training for users, establishing a help desk, maintaining the result, evaluating the project
itself, writing the project report, throwing a party to celebrate the achieved result, transferring
the project to the directors, and disbanding the project team.

Implementation matrix

Strategic planning is an essential notion for our culture to comprehend. This process of
strategic planning ensures that objectives are well-defined, analyses the internal and external
components required to design strategies, implements plans, reviews progress, and makes
adjustments as necessary (Aaltonen, 2012). Strategic Planning can be viewed as the process
of evaluating what an organization intends to do to promote its mission and objectives over a
certain time period. This involves examining current and predicted situations and developing
an organization-beneficial vision for the future. The following matrix will be utilized by
Safaricom Company to implement strategy:

Strategy Action steps Responsibility Time

Create a five-year Establish an Implementation 9 months
strategic plan that is implementation committee
aligned with the plan and matrix to
mission include action steps,
of the association and responsibility,
meets the needs of the target dates
membership
 Servicing customers Device a plan that will Implementation 9 months
and ensure people switch committee
lowering customer from the traditional
service inquires via means of
traditional channel communication to the
modern ones

Developing Creating platforms of Implementation One and half years

relationships with interaction where committee
bloggers and other views will be given on
micro media how to ensure the
producers project succeed

Expanding reach and Creating websites that Implementation One and half years
creating buzz have option of committee
interaction and idea
exchange
Building relationships Creating platforms on Implementation One and half years
with community the ground to ensure committee
they get in touch with
the local citizens
Table 2: Implementation matrix

Monitoring and evaluation

Monitoring and evaluation are conducted in order to gain insight from past events and
promote accountability. Monitoring is the systematic and continual gathering, evaluation, and
utilization of information on the project's essential components. Evaluation is a methodical
examination of the effectiveness of a project to determine what works and why. Monitoring,
evaluating, and reporting on a project on a regular basis helps keep it on course and clearly
demonstrates the project's results. Monitoring and evaluating also enables a business to adjust
if things are not proceeding as anticipated (Lorange, 2015). Since a significant amount of
time and effort will be invested in planning and delivering the project, it is essential to
understand what is working, what is not, and why. This knowledge will assist the
organization in making the necessary adjustments to get the project back on track.
Monitoring, analyzing, and reporting will ultimately aid in the success of the organization's
project and the dissemination of its achievements. In practice, monitoring and evaluation are
tightly intertwined, as the monitoring data provides the foundation for the evaluation.

Monitoring and Evaluation Framework

Goals Activities Outcomes Impacts
Servicing customers Device a plan that will Increased number Improved
and lowering ensure people switch of communication
customer from the traditional people who use
service inquires via means of Safaricom for
traditional channel communication to the interaction
modern ones
Developing Creating platforms of Improved exchange Improved method of
relationships with interaction where views of ideas interaction
bloggers and other will be given on how to
micro media ensure the project
producers succeed

Expanding reach and Creating websites that Development of Improved

creating buzz have option of social media interaction
interaction and idea websites
exchange
Building relationshipsCreating platforms on the Development of Improved interaction
with community ground to ensure they get social media
in touch with the local websites
citizens
Table 3: Monitoring and evaluation framework

Monitoring Techniques

Several monitoring metrics will be applicable to the strategic strategy for Safaricom:

Indicators of performance: measure development intervention inputs, processes, outputs,

outcomes, and impacts. They are utilized for establishing objectives and assessing progress
towards them.

Logical framework (Log Frame) methodology: This outlines results chain objectives,
predicted causal relationships, and dangers. It is a tool for engaging partners and can aid in
enhancing program design.
Theory-based assessment: Similar to the Log Frame technique, this provides a more
comprehensive knowledge of how a complicated intervention operates. Identifying essential
success criteria facilitates planning and management.

Formal surveys are used to obtain standard information from a representative sample of
individuals or households. They facilitate the comprehension of actual conditions and
changes across time.

Evaluation Procedure

The following evaluation mechanism will be utilized in the process of evaluating the strategic
plan of Safaricom:

Participatory strategies: These allow stakeholders to actively participate in the decision-

making process. They instill a sense of ownership over monitoring and evaluation outcomes
and recommendations, and they strengthen local capability.

Analysis of cost-benefit and cost-effectiveness: These instruments evaluate if the expense

of an activity is proportional to its impact. Cost-benefit analyses inputs and outcomes in
monetary terms, whereas cost-effectiveness examines non-monetary outputs.

Impact evaluation: This is the systematic identification of an intervention's effects on

households, institutions, and the environment using one or more of the aforementioned
techniques. It can be used to evaluate the efficacy of poverty-reaching initiatives.

Conclusion

Strategic case analysis is fundamental to strategic management because it assists strategists in

aligning an organization's resources with its operations to achieve its mission and objectives.
In order to achieve their goal, business management must use strategic management
approaches such as case analysis that keep their businesses focused on the efficient
exploitation of scarce resources. In order to ensure that their wants and concerns are met,
policymakers and planners must continue the discussion initiated with customers and other
stakeholders. Additionally, as new programs and efforts are launched in response to this
initial planning process, new vulnerabilities and threats will emerge. This is especially true of
the ever evolving and changing field of technology. Safaricom Plc is the dominant company
in Kenya's communications industry. Despite this, she must consistently design, implement,
and evaluate her plans in order to be responsive to the industry's needs and preserve her
market leadership. As the market leader, Safaricom would need to increase its research and
development capacity and develop new products and processes in order to maintain a
competitive advantage.

Refernces

Platform Executive. 2022. Safaricom Company Profile and SWOT Analysis — Platform Executive.

[online] Available at: <https://www.platformexecutive.com/product/safaricom-company-

profile-and-swot-analysis/> [Accessed 14 July 2022].

Crittenden, V.,2014. Building a capable organization: The eight levers of strategy

implementation”, Business Horizons 2008, 51, 301-309

Guth, W., 2016. Implementation versus Middle Management Self-Interest, Strategic

Management Journal, Vol. 7, No. 4 (Jul. - Aug., 1986), pp. 313-327.

Lorange, P., 2015. Strategy Implementation: The New Realities, Long Range Planning,
Vol. 31, No. 1, pp. 18 to 29.

MacMillan, I., 2013. Strategy Formulation: Political Concepts, West, St Paul, MN.

Olsen, E., 2015. The importance of structure and process to strategy implementation.
Business Horizons 48, 47-54.

O'Reilly, C. 2010. How leadership matters: The effects of leaders' alignment on strategy
implementation. The Leadership Quarterly 21 (2010) 104–113.

Pryor M. (2007). Strategic Implementation as a Core Competency. Journal of

Management Research Vol. 7, No. 1 Apri

Take 3: Reflective Essays

Essay of Reflection on 'Safaricom'

The subsequent reflective essays will evaluate the effectiveness and utility of exchange styles
(such as Kotter, McKinsey 7s, and Lewin). Primarily based on the analysis, "Safaricom"-
related recommendations must be taken with caution. In addition, a brief self-assessment
must be conducted to determine the essential qualities that I must possess as a trade agent and
leader to ensure the success of the exchange.

Change Management Models

Lewin change management model

The model consists of three essential phases, namely defrosting, altering, and refreezing.
During the defrosting phase, decide and evaluate the necessary alternative measures to
determine the change's necessity. This phase can be used to dissect present habits and
strategies necessary to make improvements viable (Sarayreh, Khudair, and Barakat, 2013).

Personnel should recognize the significance of the shift at this point. Eventually, the
employer shifted implementation strategies. After identifying the critical modifications, the
process enters the re-freezing phase, which necessitates quality management and assurance.
The embedding of changes establishes the re-freezing of organizational tradition to ensure
that the changes are retained and incorporated into actions (Hussain et al., 2018).

McKinsey 7S Model

Mind Tools (2015) explains The purpose of the 7S model is to assess the gaps between the
company's accurately represented current situation and its future situation. This technology is
used to decipher motion, hence assisting the employer in making strategic decisions.

The model is comprised of seven fundamental components, which are stated below:

• Strategy, including the approaches required to improve a diagram for achieving objectives

• Structure, including desired plans for reorganizing and restructuring the organization. A
system consisting of routine tasks.

• Shared value, which is the price at which the business operates

• Promote the adoption and execution of a market leader's style of conduct

• Employees, including any human sources directly or indirectly associated with and
impacted by the trading process.

• Abilities and skills required of change leaders or sellers and employees (Singh, 2013).

• Systems are an indispensable component of the business and technical infrastructure of

A corporation that sets workflows and the decision-making chain that manages, monitors, and
evaluates the team's internal rules and processes in order to keep the users on track.

Kotter's 8-Step Change Model

The model consists of eight transformative steps. These steps include the following:

• Establish a sense of urgency

• Establish a solid alliance

• Construct the vision essential for transformation

• Visual verbal exchange

• Clear barriers

• Generate fleeting victories

• Based on alteration

Integrating changes into the organizational culture (Galli, 2018)

Suggested Model In the case of 'Safaricom,' the McKinsey 7S Model would be an appropriate
model for implementing the improvements.

In the following years, the newly formed 'Mpesa global' product from Saricom aims to be
utilized to a greater extent and to maintain global communication and services. The company
will perform a 20-question annual employee survey and leave the location open to other
business opinions as required. As previously mentioned, Safaricom intends to provide
benefits for all employees and retirement programs for managers. Taking advantage of the
'Mpesa global' program is another strategy we employ to sustain growth and preserve our
global market position.

People

Since "safaricom" will be implemented on the global market, it is imperative that the
company deliver all product information to clients on time. Its company provides excellent
perks to our employees, so there is no reason to seek employment elsewhere. There should be
a clear indication and documentation of how the major operations or strategies of the
commercial enterprise will be implemented. The people are the main stakeholders as they
contribute in review of products and also buying the services.

Style

Strategy implementation promotes participative management styles, and as a result, this takes
place to be more about defining and enhancing the interactions amongst the pinnacle leaders
inside the agency entity and, to a great extent, the way they're regarded by the people they
truly lead or control. The choice style is crucial for safaricom since they are changing to fit
the global market.

Skills

In order to get the business organization on the path to its private objectives, the staff must
have the skill sets, knowledge, and competences important to the implementation of
strategies.

Common values

The application of each of these requirements and standards will undoubtedly have an effect
on the behavior of employees, and their shared values will become one of the driving forces
of the organization as it moves forward.

Characteristics of a Change Agent

There is a need for a Change agent with the following characteristics:

• Originality, adaptability, and dependability

• Extensive fields of knowledge

• Solace and bravery

• Strong ties to the community

• Potential new alterations and possibilities

Because the organization possesses the following characteristics and skills, it has the
potential to become a change agent.

• Company will encourage zeal and the desire for change in human resources

• Company will push change and continue to improve transformation success approaches.

• The company will utilize strong communication skills to provide high-quality

communication between human resources.

References

Small, A., Gist, D., Souza, D., Dalton, J., Magny-Normilus, C. and David, D., 2016. Using
Kotter's change model for implementing bedside handoff: a quality improvement
project. Journal of nursing care quality, 31(4), pp.304-309.

Ravanfar, M.M., 2017. Analyzing Organizational Structure based on 7s model of

McKinsey. International Journal of Academic Research in Business and Social
Sciences.
Hussain, S.T., Lei, S., Akram, T., Haider, M.J., Hussain, S.H. and Ali, M., 2018. Kurt
Lewin's change model: A critical review of the role of leadership and employee
involvement in organizational change. Journal of Innovation & Knowledge, 3(3),
pp.123-127.
Singh, A., 2013. A study of role of McKinsey's 7S framework in achieving organizational
excellence. Organization Development Journal, 31(3), p.39.