Pldt Final (2)

I.

INTRODUCTION

Quality is the most important measure

companies in the business industry, to gain

Under the American owners of

customer loyalty and by that, their business will

PLDT, many small phone companies in the

gain more profit and become on the top of its

provinces were acquired by the Company to help

competitors.

speed up the rollout and connection of these

of success for any organization. All successful

different phone systems all over the country. The

organizations produce a quality product or

Even those quality definitions which

management of PLDT was then set to lay the

service, but how it is measured and what is the

are not expressly relational have an implicit

groundwork towards linking Filipinos to each

process to come up with quality products and

relational character. Why do we try to do the right

other and, more importantly, to the world.

services? Quality is important to all organizations

thing right, on time, every time? To build and

because

the

sustain relationships. Why do we seek zero

organization. If an organization is not willing to be

it

represents

the

vision

of

defects and conformance to requirements? To

dedicated producing quality product in a timely

build and sustain relationships. Why do we seek

manner then they will not be a successful

to structure features or characteristics of a

organization because the customer will find an

product or service that bear on their ability to

Just a year after PLDT was given its

organization that will.

satisfy stated and implied needs? To build and

nationwide franchise, the link between Manila

sustain relationships. The focus of continuous

and Baguio was established, making the first

improvement

the building and

national long distance calls possible. Overseas

made is very important to a company. The higher

sustaining of relationships. It would be difficult to

radio-telephone service was also established

the quality of a product, the more the company

find a realistic definition of quality that did not

between the Philippines and the US and other

can charge for that product. If the company

have, implicit within the definition, a fundamental

parts of the world in 1933.

makes a low quality product that is not very good

express

people will not buy it, also if people can find a

sustaining relationships.

The quality of the product that is being

is,

or

likewise,

implied

focus

of

building

Manila-Baguio link

and The first network of PLDT employed

similar product at a lower price and higher quality

the open-wire system that was difficult to maintain

they will buy that.

and vulnerable to rain, winds, dirt, and tampering. Horse-drawn service vehicles bulky wall-mounted

Every success of the company has

II.

something to do with the good management of

COMPANY PROFILE

telephones were employed in those times. PLDT

a.

then charged a sum of P7.50 a month.

HISTORY

quality and employing total quality management. It is the process that actively involves every function

and

every

employee

in

The beginning The war years in the 1940's that

satisfying

followed proved to be devastating to PLDT as the

customer’s needs, both internal and external. Effective management of quality will come up with good quality products. The key is to determine the gap between what the customer needs and what the system delivers. Once the gap is recognized, it would be systematically reduced and results in never-ending improvement in customer satisfaction at every level.

When PLDT was incorporated and

US armed forces destroyed the PLDT system to

given the franchise to establish and operate

prevent the Japanese from using it in 1941. By

telephone services in the country on November

the time the Americans regained control, only 10

28, 1928, a typhoon had just ravaged Eastern

percent of the original facilities were operational.

Visayas, Bicol Peninsula, and Samar. The ability to communicate amongst loved ones and across the

country

became

crucial.

Sadly,

phone

networks then were like disconnected intercom

Filipinos take control

systems and you could only call people within Quality has many meaning- different meaning depending upon the circumstances. It may be focus on tangible products or may focus on quality service. In all companies, institutions and businesses, quality is the key to success and be the best among their competitors. It plays the

By 1968, a new era of PLDT

your own small city. Filipinos were disconnected from

leadership was ushered in, PLDT finally became

friends in the other island and, needless to say,

a Filipino-controlled corporation when Ramon

disconnected from the rest of the world. It was

Cojuangco and his group of Filipino industrialists

under this scenario that the law was signed giving

and businessmen bought the controlling stake of

birth to PLDT.

GTE of New York.

from neighboring

towns,

disconnected

most important role in the business and has been the part of the structure that builds the reputation What the new law hoped to achieve

It was a symbol of national pride

was to interconnect these "intercom" systems into

and a moment of triumph for Filipinos. Under

The meaning of quality is said to be

a seamless nationwide network that would

Cojuangco's leadership, PLDT embarked on

defined by the customers because the customer

facilitate communication and delivery of services

ambitious expansion campaigns that led to more

perceives the quality of a product or service. They

to the people, as well as spur economic

Filipinos owning and benefiting from phones.

are the one who will use the product or who will

development in the countryside.

of some famous business pioneers.

benefit the service so they have the right to

Several milestones were realized in

choose what product and service is the best that

The first president of PLDT was

Cojuangco's time. In the same year when his

satisfied their needs and expectations. Also,

Theodore Vail Halsey while Major J.E. Hamilton

group came in, the first major television broadcast

quality defines as fitness for use which means

Stevenot, who represented the American firm

via the facilities of Intelsat II-F4 and PLDT was

that the product and services should posses their

General Telephone and Electronics Corp. (GTE),

brought to the Philippines direct from the US

characteristics that will fit for its purpose. The

was elected executive vice president and general

during the funeral of Senator Robert F. Kennedy.

quality of the product and service should meet

manager.

Another milestone in satellite communications

the customer’s expectation to make the customer

was achieved, with PLDT playing a major role, in

satisfied and will not purchase or use any product

the subsequent remote TV coverage of the Apollo

than that. That is one of the target of the

8 flight.

leased Early landline innovations

handling

Corp (NTTCom), a wholly-owned subsidiary of

simultaneous voice and data transmissions using

line

service

capable

of

Nippon Telegraph and Telephone Corp. of Japan,

fiber optic cables.

the world's leading telecommunications company in terms of revenues. Smart Communications,

By 1982, direct distance dialing or

Inc. (Smart), the country's largest mobile phone

DDD was becoming a byword for Filipinos.

Intelligent pay phones, which can

Subscribers then could call long distance to nine

accept coins of several denominations, were

major cities across the nation and 22 countries

introduced. The Fonkard also came into vogue.

around the world and reach through direct dialing

Fonkard allowed the caller to make direct-dial

The acquisition of Smart proved to

more than 400 million telephones overseas. This

national and international long distance calls

be a wise decision, especially now that Smart is

service eventually evolved into National Direct

through the use of prepaid magnetic telephone

contributing greatly to PLDT's bottom line, thus

Dialing (NDD) and International Direct Dialing

cards instead of coins.

buffering the telecoms giant from the debilitating

(IDD) by 1985.

operator, was also acquired by PLDT.

effects of declining revenues from the fixed line business.

PLDT's ascent to greater heights of

Innovations beyond voice

success was punctuated briefly by the death of Cojuangco in 1984. Cojuangco, who was largely responsible

for

the

transformation

of

the

Company from a medium-sized firm into a multibillion-peso giant, was highly regarded by PLDT employees and considered very compassionate.

A significant milestone that changed the face of communication was the successful launching

first

One of the key steps undertaken in

communications satellite, in 1997 by PLDT

of

Agila

II,

the

country's

2000 was the formation of ePLDT, the PLDT

subsidiary Mabuhay Philippines Satellite Corp.

Group's principal vehicle for investments in

The satellite serves the needs of customers not

information and communication technology.

It was then that Oscar T. Africa was

only in the Philippines but also other countries

elected as the new president while Cojuangco's

within the satellite's footprint in the Asia Pacific

son, Antonio, was elected Senior Executive Vice

region.

as

president.

Antonio

Inc.,

Cojuangco

succeeded him in 1986, ushering in a 12-year period of further expansion and robust business for PLDT.

Through its data services under the Vitro brand, its call centers under ePLDT Ventus

President. Africa, however, retired after only two years

Investing in ICT

Internet

services

through

Infocom

With the increasing importance of

Technologies Inc.,data security services through

the Internet, PLDT signed a network deal with

mySecureSign Inc., and Internet cafe business

US-based software giant Oracle Corp. to jointly

through Netopia Technologies Inc.,the PLDT

advance

Group is now slowly reaping the fruits of its

the

computing

development

infrastructure

in

of the

a

network

Philippines

investments.

dubbed Phil-Net. A milestone for PLDT and the Wireless enters the scene, more innovations

development of the Internet in the Philippines

happen

would be the establishment of the country's first Internet Another significant PLDT milestone

hub

called

the

Philippine

Internet

Exchange or PhIX. Innovating the landline

was the establishment of the country's first cellular telephone network in 1987. Cellular

Innovating Management: First Pacific entry Brains--an acronym for Broad and

phones then were bulky and installed only in

Robust ATM (asynchronous transfer mode) and

cars.

The late '90's was a time of formidable challenges for PLDT, especially after With this new service, people were

the 1997 Asian financial crisis. Inauspicious as it

able to communicate while on the go. Coverage,

may seem at the time, however, Manuel V.

just like with the mobile radio-telephone service

Pangilinan of Hong Kong-based First Pacific Co.

introduced in 1959, was wider, though still limited

Ltd. saw a great opportunity in taking control of

compared today. Subscribers then could make

PLDT.

Internet Networking Solutions--was launched in 2000

and

made

PLDT

the

only

telecommunications company with the fastest, most reliable and cost-efficient voice, data and video transmission services running through a single multi service network.

calls within Metro Manila and any place from DSL, or digital subscriber line, was

Cavite to Baguio.

So on Nov. 24,1998, just four days before

the

company's

anniversary,

PLDT

also introduced in the same year. It is a broadband access technology that allows for

A slew of new services were also

announced the entry of First Pacific which

introduced

beginning

a

acquired a 17.5-percent stake in PLDT for

partnership

with

and

approximately P29.7 billion or some $749 million

Telegraph Co. (AT&T). PLDT introduced the USA

at that time. The entry of First Pacific brought in a

Direct Roving Van Service, a mobile van

new culture in PLDT and new enterprise. Manuel

equipped with cellular phones, to provide toll

V. Pangilinan replaced Antonio O. Cojuangco as

service

president and chief executive officer. Cojuangco

texting service; Premium Phone Services (1-908),

then assumed the position of chairman of the

which employed strategic tie-ups with TV game

board.

shows; Budget card for international calls; and

to

some

1992.

American

Through

Telephone

previously unserved

rural

communities.

high-speed access to the Internet via the usual copper wire lines.

Other

innovative

services

were

introduced: Text 135, the country's first landline

bundling of value-added phone services such as Other

services

introduced

were

Call Waiting, Call Forwarding, 3-party conference

USA Direct Mabuhay (dial access code 105-12)

The following year, PLDT forged a

and Fibernet, a point-to-point international digital

strategic partnership with NTT Communications

calls, Speed Calling, and Caller ID.

When the year 2002 came, PLDT continued

to

innovate

pioneering

prepaid

and

landline

introduced service

a

where

It's all part of PLDT's culture of

PLDT also received its second

innovation to bring its operations to world-class

accreditation for the ISO 9001:2000 Quality

standards

Management

and

become

the

best

standard.

compliance

load that is valid for two months and with a one-

Today, PLDT leads the wireless race, dominates

customers that it complies both on global data

month reprieve to reload.

the landline domain, operates the premiere

center

satellite company, and has raced to the #1

9001:2000

position in the Internet world, both broadband and

international standard that provides a framework

narrow band. No doubt, PLDT is set to conquer

for effective quality management system. This

whatever

system is widely adapted by organizations

In

2004,

the

PLDT

Board

of

position of Chairman of the Board while retaining his post as Chairman of the Board of Smart and

the

future

holds

for

the

telecommunications industry.

9001:2000

specifications is

the

and most

ensures

operations. widely

its

ISO

accepted

worldwide as a measure to sustain consistent quality in the field of product and service delivery.

ePLDT. Napoleon L. Nazareno is the concurrent President and CEO of PLDT and Smart.

Notwithstanding

the

many

technological changes that PLDT will encounter

Next Generation Network

ISO

continued

telecommunications company in the region.

Directors appointed Manuel V. Pangilinan to the

to

PLDT’s

subscribers can load up their phones with P500-

PLDT’s

BS

7799

and

ISO

in the future, one thing will remain steadfast - its

90001:2000 certifications were conducted by

commitment to serving the nation and providing

TUV Philippines, Inc., a division of the TUV SUD

communications solutions to Filipinos.

Group. Based in Germany, TUV SUD Group is one of the largest and most experienced global

As PLDT's products and services continued

to

evolve,

the

Company

b.

began

Mission and Vision of the

technical service company that is active in

Company

upgrading its network in 2005 to the Next

strategic

Generation Network, a broad term for certain emerging computer network architectures and

certification bodies. TUV SUD is also a leading

business

segments

and

provides

inspections, tests and expert opinions aside from Mission Statement

certifications and trainings.

technologies that can encompass voice, data and video

where

all

information

is

efficiently

transmitted via digital packets of data just like over the Internet.

PLDT will be the preferred full service provider of voice, video and data at the most attractive levels of price, service quality, content and coverage, thereby bringing maximum

This means greater efficiency, cost savings

and

more

innovative

services

PLDT – Best Managed Company in Asia

benefit to the Company's stakeholders.

for

subscribers in the years to come.

On October 17, 2006, the Philippine Long Distance Telephone Company was cited as

Vision Statement

the Best Managed Company in Asia in a survey conducted

NGN is not the goal in itself but rather a key enabler for transformation to what the

PLDT

Group

Communications.

calls

This

Next

Generation

transformation

goes

beyond upgrading the network to an all-IP NGN. It

also

involves

re-engineering

PLDT is an employer of choice. A

by

Euromoney,

a

respected

international financial magazine.

high performing organization, a great place to work in, attracting and retaining the best talents in PLDT topped a field of 223 major

the marketplace, best in class and proud of its

Asian companies nominated by 49 financial

heritage.

processes,

institutions

and

analysts

worldwide

in

Euromoney’s 2006 polls.

integrating our platforms, transforming products c.

and re-orienting people.

PLDT Awards Aside from being the Best Managed

In 2006, PLDT saw the rapid growth

ISO Certification

Company in Asia, PLDT was also recognized with

of its broadband business on the back of the

four more best-in category awards: Best Fixed

Group's wired and wireless infrastructures. PLDT

On February 9, Philippine Long

Line Company in Asia, Best Cellular Company in

MyDSL and SmartBro broadband subscribers

Distance Telephone Company completed its

Asia, Most Convincing and Coherent Strategy –

more than doubled to 265,000 by year end.

BS7799 information security standard certification

Philippines, and Most Transparent Accounts in

for

Asia.

In late 2006 and early 2007, Media Quest Holdings - a wholly-owned subsidiary of the PLDT Beneficial Trust Fund - and Smart

employing

an

information

security

management system (ISMS) that is at par with the best practices assuring customers of its quality and appropriateness.

The other companies included in the top five in Euromoney’s 2006 poll were: Sun

joined hands to conduct test broadcasts of a

Hung Kai Properties of Hong Kong, 2nd place;

mobile TV service using the Digital Video

Philippine

Bharti Telecom of India, 3rd place; CapitaLand of

Broadcast - Hand held (DVB-H) standard. This

companies to garner this distinction, PLDT

Singapore, 4th place; and Ayala Land of the

was made possible through Media Quest’s

through its BS7799 information security standard

Philippines, Ping An Insurance of China and

subsidiary, Nation Broadcasting Corp., which

helps identify, manage and minimize the range of

Public Bank Malaysia, all tied at 5th place.

operates a network of radio and TV stations.

threats

One

to

which

of

the

few

information

is

regularly

subjected. An organization with BS7799-based

Culture of Innovation

Euromoney

commended

PLDT’s

ISMS provides a comprehensive set of security

success in dealing with what PLDT Chairman

controls for implementation, comprising the best

Manuel V. Pangilinan called a “tipping point” in

information security practices.

the telecommunications industry where mass

adoption of new technology would leave “legacy

the other group members, Mr. Hernandez, Ms.

ISO 9001:2000 is the most widely accepted

businesses” behind.

De Castro and Ms. Abe were preparing the

international standard that provides a framework

materials to be use in our interview proper like

for

video camera, questionnaires, laptop and etc. We

according to the company website. PLDT also

also join Ms. Ilagan and Mr. Sambrano to assist

received an award as Best Company in Asia, also

us in capturing video in our interview. At exactly

the company awarded in Metro Ethernet Forum

10:30 in the morning we all met in the front of

(MEF)

PLDT Batangas. When we arrive in the PLDT

Governance.

On October 22, 2010, PLDT, the

Batangas, we immediately talk to the security

department in PLDT Batangas is one of the

leading Philippine telecommunications provider,

guard of the company to remind that we are the

branches of PLDT Quality Department because

is now the first local telephone company to have

one who will conduct an interview to Mr. John

the quality department is divided into sub-

been awarded both MEF (Metro Ethernet Forum)

Cresente

Quality

departments that have its own specialization.

9 and 14 certifications for its Carrier Ethernet

Department of the PLDT Batangas. And the

Their department is assigned in networks and

service offerings.

security guard allowed us to enter the premises

complains of their customers, also securing the

of the company. First, the security guard said that

system and their service in good quality. We

we should sign-in firstin the log book of the

asked what the meaning of quality for him and

company before we enter in the conference

what is the edge of PLDT to other telecom

room. While we are waiting to Mr John Cresente

company. He answered that quality is customer’s

Dela Cruz we are preparing our self to the

satisfaction and fast service and response to

interview.

At exactly 11:00 in the morning, Mr

complaints of the subscriber and the edge of their

John Cresente Dela Cruz went outside his office

company is that quick response and better

to check if we have arrived and when we saw him

service than the other competitors. After we

we greet him a pleasant good morning.

asked questions, we thank him and took pictures

PLDT Metro Ethernet Forum (MEF) Award

This has brought PLDT into a select club of global service providers given the same prestigious rating. Rolando G. Peña, PLDT’s Customer Service Assurance Group Head said these certifications highlight PLDT’s continuous network innovation.

Dela

Cruz

about

the

effective

and

quality

Platinum He

management

Award

added

for

that

system

Corporate

the

quality

with him before we leave the conference room. When we entered the conference

We asked him if we can get the letter and sign on

room adjacent to the security office, Mr. John

his name for the documentation requirement.

Dela Cruz saw our little gift to him. He asked us

Before we leave the company, we thank him

and said we don’t need to bring a gift because

again for the interview and his kindness, he

June 6, 2011 – Philippine Long

he’s not requiring it. We smiled at him and we

smiled at us and bid goodbye. We also took

Distance Telephone Co. (PLDT) recently received

explain that it is a thank you gift for his kindness

some pictures outside the company for proof and

the Platinum Award at the 2010 Corporate

for allowing us to have an interview then, we start

remembrance then we went to Mr. Hernandez’s

Governance

Publicly-Listed

the interview. He read the questions and told us

boarding house to eat our lunch. And that’s the

Companies, an annual project of the Institute of

that there are questions that are not on the scope

end of our interview in PLDT and we had a great

Corporate Directors (ICD). According to the ICD,

of their department. Mr. Hernandez began to

time with Mr. John Cresente Dela Cruz.

the Platinum Award is given to companies that

asked question, he asked Mr. John dela Cruz

have consistently earned gold awards or a rating

what is his profile and educational background.

of 95% or higher for three consecutive years.

Mr. John dela Cruz said that he is a licensed

PLDT

Platinum

Award

for

Corporate

Governance

Scorecard

The

for

ICD

is

a

professional

organization

committed

to

the

professional

practice

corporate

directorship

of

that

is

consistent with global principles of modern corporate governance.

III.

INTERVIEW PROPER

On the 1stday of March 2012 was scheduled to perform an interview in our selected company and it is the Philippine Long Distance Telephone Company in Batangas City at exactly 11 o’clock in the morning. We set an interview to Mr.

John

Cresente

Dela

Cruz,

Revenue

Protection Specialist of the said company. To prepare for our interview Mr. Adarlo and Mr. De Claro get the gift that we will be giving to Mr. John Cresente Dela Cruz to give thanks to his willingness

to

share

his

knowledge

and

information about the said company. While waiting for Mr. Adarlo and Mr. De Claro to arrive,

IV.

CONCLUSION After

the

interview,

the

group

Electrical Engineer, he graduated at MAPUA

concludes that quality in products and services

Institute of Technology, March 1994. After he

really matters in all businesses. Having Quality

graduated, he started working as a Network

Control and Quality Assurance Office is really

Engineer on August 1, 1995 to January 1999 in

necessary to help improve the services of the

PLDT at Makati. Then he became the head of

companies. And without the quality on the

QCI

PLDT

products and services, the organization will not

Batangas, his work there is maintenance of cable

survive because quality is the foundation of all

facilities, handling report and complains of the

businesses. Quality is also a big thing to consider

subscriber, errors of the system and validating.

before taking actions and implementing products

He also said that he is 17 years working at PLDT

and services.

(Quality

Control

Inspection)

in

and he is 39 years old. We asked him what is

The group also conclude that PLDT

their mission and vision, goals and objectives, he

is really a huge company, for having numerous

said that we can get a copy of their mission,

but intelligent employees. Each employees of

goals

website

every department in PLDT plays a very important

(www.pldt.com.ph) and also their company profile

role that makes up the whole PLDT. PLDT really

and services is indicated there. We also asked

deserve the award “Best Managed Company” in

him, is there any award that the quality

Asia because of its excellent plans in handling

department and the company received and he

the business. Its corporate governance is the

answered that auditing is the first process that the

best in the Philippines as well as in Asia. PLDT is

company must have before receiving an award.

the leading telecommunications service provider

PLDT

ISO

in the Philippines. Through its three principal

standard.

business groups – wireless, fixed line and

and

objectives

receive

9001:2000

the

Quality

ISO

in

their

certification,

Management

PLDT’s continued compliance to ISO 9001:2000

information

ensures its customers that it complies both on

PLDT offers the largest and most diversified

global data center specifications and operations.

and

communications

technology.

range of telecommunications services across the country. The group also concludes that PLDT handle their customers very well that’s why they are patronize by the majority of the wireless, fixed line and information and communications technology users in the Philippines. PLDT really have the “quality” on their products and services, and that makes them no. 1 Telephone Company in the Philippines.

V.

RECOMMENDATION The

group

recommends

some

changes in the office of PLDT Batangas like having an Organizational charts and organized office. The service of the company was perfect but the only problem is the unorganized office assignments. We understand that PLDT was a big company and they have a lot of departments working together inside the company but they must consider each department and give them a comfortable office to work with.