Welcome to Dr Lincoln's blog

Welcome for visiting my blog. Hope you enjoy the visit and always welcome back again. Have a nice day!


Modern business management - Telstra needs to be more strategic

Comments on Paul Budde “COMMUNICATION BREAKDOWN - Telstra's home phone hopes”, 15/04/2010, http://www.businessspectator.com.au/bs.nsf/article/will-t-hub-be-able-to-make-a-difference-pd20100414-4h8hd?opendocument&src=blb&is=non-industry&blog=communication%20breakdown

While it is important for Telstra to be innovative in its products and overall strategy for communications in Australia, it should be more strategic than that.

It should consider going beyond communication and take the advantage of its stable revenue to invest in other sectors. An option is to partner with an investment advisor or bank to seek and optimise capital return opportunities.

It has obviously lost opportunities last year when the financial market was highly depressed. For example, it could invest in Rio when the latter desperately needed capital injections. It could have avoided the unnecessary Rio Chinalco drama last year.

Instead of just negotiating with the federal government on communications and the NBN issue, it could look at other opportunities, so leave the NBN exposed to its bone.

It is a pity that some corporate Australia are so rigid and not flexible and strategic enough.

If I were a part of a corporate Australia, I would try to eliminate the existing sector “silos” to seek and maximise any strategic cross sector synergies.

Modern business management should have this mindset.

No comments:

Post a Comment