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Products & Services

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ANNUAL REPORT 2007

 
 
   
| Chairman's Speech | Message from the Deputy CEO | Board and Management
| Corporate Governance | Corporate Social Responsibility | Management
| Products and Customer Service | Subsidiaries Companies | Network
| Financial Report | Auditor's Report & Financial Statements | Offices and cytashops
 
   

 

Management

With the aim of safeguarding the interests of our personnel, we implemented flexible Human Resource Management Systems. Furthermore, we proceeded to employ the services of an Occupational Physician and to set up an in-house Professional Health Centre that will come into operation in 2008. We continued to promote the welfare of our employees through the provision of the services of a Social Worker as well as cultural and social events. Also, in 2007 we held the first Health, Beauty and Professional Appearance seminar aimed at all members of the Organisation’s personnel and their families. Demonstrating in practice the importance we place on the continuous training and development of our human resources, we encouraged members of staff to participate in fully-subsidised training programmes, both in Cyprus and abroad.

In the area of quality, following an independent assessment by the European Foundation for Quality Management (EFQM), CYTA succeeded in achieving a five-star “Recognised for Excellence” ranking, the first and only Cypriot enterprise to be so recognised. There was also more significant success for the idea.click Staff Suggestions Scheme in 2007.

In the field of Information Technology, we made full use of the potential offered by state-of-the-art technology and proceeded to introduce systems and interfaces to provide advanced Convergence Services. Additionally, we developed user-friendly tools which enable our customers to personalise our products according to their own needs. Via the Internet or a mobile phone, customers can easily differentiate our services, activate and deactivate facilities, check their account, etc.

As a member of various international telecommunications organisations, CYTA was active in various working groups and conferences, either representing Cyprus or itself. These organisations include the International Telecommunications Union (ITU), the Association of European Telecommunications Network Operators (ETNO) and the Commonwealth Telecommunications Organisation (CTO).


Human Resources
Human capital is the most valuable resource of every enterprise. This applies even more so to CYTA, considering the extremely competitive and changing environment in which we have been operating in recent years. The strengthening and optimum use of our personnel through the implementation of flexible Human Resource Management Systems and their continuing development is a strategic goal.

In the context of protecting and promoting good health among personnel, in 2007 CYTA introduced the institution of Occupational Physician and began a process that will lead to the setting up of an in-house Professional Health Centre during 2008. We also installed automatic external defibrillators in all our staffed buildings, making CYTA a pioneer in this field.

We continued to support the welfare of our staff through the provision of the services of a Social Worker and of cultural and social events. At the same time, various annual staff social and financial support programmes continued to operate.

Furthermore, we continued to implement teleworking for employees facing particular problems and we expanded the implementation of flexitime, in conjunction with the Electronic Timekeeping System.

In 2007, the first Health, Beauty and Professional Appearance seminar, aimed at all members of the Organisation’s personnel and their families, was a great success.

The continuous training and development of human resources is an area on which we place great importance and we show this in practice by encouraging members of staff to participate in fully-subsidised training programmes, both in Cyprus and abroad. The average number of training days per employee, which was 3,73 in 2007, and average training expenditure as a percentage of payroll (2,7%) compare favourably with the relative indicators of other successful international organisations. In total, some 67% of CYTA personnel participated in training programmes. In the context of promoting new staff development methods, we began to introduce others such as online learning.

As a strong supporter of life-long learning, during 2007 CYTA granted scholarships to a number of staff members to participate on a part-time basis in work-related academic programmes. Specifically, eight scholarships were granted for the successful completion of a Master in Business Administration (MBA) degree, one for a postgraduate Electrical Engineering qualification and nine for the Higher Diploma in Telecommunications & Information Technology.

Maintaining good industrial relations was a crucial factor in our success during the year under review. This was helped by the mutually agreed solutions that were applied to various internal problems that arose. At the same time, negotiations with the unions on the renewal of the Collective Agreement (2004-2006) were concluded and implementation of the agreement is in its final stages.

Following a decision in 2006 to recruit hourly-paid staff, this concept was fully adopted by the Organisation in 2007 with the completion of recruitment procedures for hourly-paid Call Centre Assistants and Sales Assistants. The procedure included, among other things, a written examination and an oral/practical examination. For the Call Centre Assistant posts there was also a telephone examination while recruitment for the Sales Assistant positions included a role- playing exercise.

This institution proved to be especially appealing to the Cyprus labour market and the number of applications for each type of position was particularly high, in excess of 900. Today, the Call Centres (11892, broadband services) are mainly staffed by hourly-paid Call Centre Assistants while in 2008 all cytashop tills will be staffed by hourly-paid Assistant Cashiers. At the same time, provisions were drawn up in the Staff Regulations to allow the recruitment of hourly-paid staff in other areas, including cleaners, messengers, labourers and other blue collar workers.

Communications Policy
The basic objective of our communications policy in 2007 was to build on and enhance CYTA’s Corporate Identity and Image. This policy is reflected in our repositioning in the market as "the leading provider of Total Electronic Communications which gives people freedom of choice about how and how much they interact with the world".

This positioning stems from our new brand management strategy which was completed following a series of studies, workshops and market surveys within and outside the Organisation. The strategy defines CYTA’s vision and mission, the principles and values that govern us and the communications policies we follow.

As an Organisation we face competition on a daily basis, mainly in the form of low prices. Our approach is based on our reliability and the fact that we are an integral part of consumers’ daily lives via the total electronic communications solutions that we provide.

In 2007 we continued with the gradual harmonisation of all our brand’s touch points with our new strategy and values, at the level of external communications and consumer experience and within the Organisation itself. At the same time, design work continued on the graphic applications of CYTA’s rejuvenated visual identity and image, which will be completed during 2008.

With integrated brand management as our aim, we proceeded to implement a series of pioneering market surveys for the measuring and constant monitoring of our brand value/performance. The results of the surveys will be an important tool in the hands of the Organisation’s Management and Board when it comes to decision-making and corrective action, mainly of a commercial nature.

These surveys, revealed that in the new competitive and, at the same time, regulated environment in which we operate, a strong brand can affect consumer preferences to a great extent and can win over hearts and minds in the long term. With this in mind, we shall continue to invest in our brand so as to reinforce it even more as we look forward to the prospect of our Organisation’s continued success.

Media Relations
With the aim of providing timely and reliable information to the public, regular Press Releases in Greek and English were issued and distributed to the media during 2007. Senior officials of the Organisation and CYTA’s Press Officer participated in radio and television interviews and discussions, and interviews were given to the press. Articles concerning the Organisation were published, press conferences were held and information campaigns were undertaken on various issues.

Participation in the Cyprus International Fair
Our participation in the 32nd Cyprus International Fair was extremely successful and created a very positive impression on visitors. Under the banner "CYTALIVE – CYTA a leading player", our Organisation not only provided information on the latest developments in electronic communications but offered a number of surprises and special offers as well as entertainment and fun. The main innovation in CYTA’s 2007 pavilion was the staging of a mini-play in which technology and humour had the main roles. The public had an opportunity to discover more about the full range of the Organisation’s products and services, including fixed telephony, Cytamobile-Vodafone, CYTANET, i-choice, miVision, the directories service and CYTA’s subsidiaries Emporion Plaza (the online store) and CytaCom Solutions (integrated electronic communications solutions). It should be noted that CYTA participated not only as an exhibitor but also as Official Sponsor of the biggest commercial event in Cyprus, organised by the State Fairs Authority.

"Telecommunications Street"
During 2007 we continued to publish CYTA’s monthly newsletter Telecommunications Street which is distributed to all present and retired members of staff and to outside recipients including representatives of the media.

Websites
Our benchmark corporate website www.cyta.com.cy is modern and functional, providing easy navigation for obtaining information. The home page provides access to other useful CYTA sites such as the cytawebshop online store, Cytamobile-Vodafone, CYTA e-bill, the Yellow Pages and the White Pages as well as those of its subsidiaries. Visitors may also obtain information about our Organisation, cytashops, our products and services, Calls for Tenders, Annual Reports, an archive of issues of Telecommunications Street and Press Releases.

Within the Organisation we operate our own intranet, which has been upgraded to an Intranet Portal and is a fast and reliable means of internal communication and information exchange.

All of the above contribute not only to the fast and efficient provision of information but also to saving paper in the context of CYTA’s broader environmental policy.

Quality Issues
In the area of quality, following an independent assessment by the European Foundation for Quality Management (EFQM), CYTA succeeded in achieving a five-star "Recognised for Excellence" ranking, the first and only Cypriot enterprise to be so recognised. The EFQM model is the formula to which an enterprise aspires in order to achieve excellence. In 2007 we announced an internal EQFM self-assessment competition for the CYTA Excellence Award. The year ended with our submission of an application to the EQFM for the European Excellence Award 2008.

There were significant successes for the idea.click Staff Suggestions Scheme in 2007. A total of 746 suggestions were submitted, five of which benefited the Organisation with revenue of €185.810 (£108.750). CYTA also successfully took part in an international ideas competition.

Software Development
With the aim of providing customers with new opportunities for smart, enjoyable and innovative electronic solutions and experiences, as well as high-quality communications, we upgraded our internal processes in order to support and develop systems to increase our personnel’s output, efficiency and productivity.

Taking full advantage of the potential of state-of-the-art technology, we proceeded to introduce systems and interfaces with the aim of providing advanced Convergence Services. These services enable all customers to enjoy the same services and communication facilities irrespective of whether they are using a mobile or fixed telephone or even their miVision digital TV.

Aiming to fully satisfy the requirements of our modern society, we developed user-friendly tools which enable customers to personalise our products according to their own needs. Via the Internet or a mobile phone, customers can easily differentiate our services, activate and deactivate facilities, check their account and much more.

As yet another contribution to society as a whole, CYTA developed a specialised application enabling the Cyprus Police to implement the European directive on a GIS-based system for the immediate identification of a person’s location when making an emergency call for assistance.

Financial Issues
CYTA’s strategic choices have an immediate effect on its value. This is why strategic decision-making must always be based on the Organisation’s financial situation. CYTA implements state-of-the-art financial methodologies and applies internationally accepted practices during the study of strategic plans and new processes so that any decision contributes to raising our Organisation’s value.

We have ensured the preparation of financial statements in accordance with International Financial Reporting Standards, the equitable management of reserves and proper budgetary control as well as the correct costing and billing of products.

One standout project of 2007 refers to the Organisation’s preparation for a smooth transition to the euro, which involved the continuity of operations and services to customers without interruption. This ambitious project was a challenge to us all, since it involved the transition of dozens of production platforms, hundreds of information systems and thousands of processes.

Our unwavering aim and commitment is to introduce services and facilities that we know will contribute to improving the lives of our customers, given the pace of life today and the demands that it creates. Such services include enabling customers to settle bills for all their services via a single direct debit which needs to be set up only once but covers all present and future CYTA services, and the continuous upgrading of electronic customer service via a variety of channels.

In the context of CYTA’s commitment to compliance with the directives of the Commissioner of Electronic Communications and Postal Regulation, we took all necessary measures in 2007 to ensure the application of all relevant decisions.

Regulatory Affairs
During 2007, CYTA participated in public consultations on market analysis and completed important work such as the preparation and publication of CYTA's offers for Wholesale Services.

Support Infrastructure
The Organisation’s smooth operation depends substantially on the most efficient integrated management of its infrastructure which includes land, buildings, vehicles and machinery as well as security and fire safety systems and guarding services.

During 2007, we continued to plan new buildings and to upgrade and extend existing buildings all over Cyprus. We submitted planning permission applications for the renovation/upgrading of the old Electra building and for the new IT building. We completed preliminary drawings for the renovation of the Personnel Services building and reached the final stages of a study for the Organisation’s Head Offices in Lefkosia (Nicosia). We began the renovation and seismic upgrading of the Lakatamia building and the upgrading of the Lefkosia (Nicosia) Head Offices amphitheatre. Construction work continued on the new Ammochostos (Famagusta) district office and on the upgrading/expansion of the Aglandjia offices. In the framework of the ongoing islandwide cytashop renovation project, work was completed on the Omonia, Lemesos (Limassol) and Polis Chrysochous cytashops.

During the year under review we continued to work on the full operation of the Integrated Electromechanical Equipment Management System. Once completed, the system will contribute significantly towards improving the reliability of the power supply equipment and climate control systems which support CYTA’s telecommunications equipment, resulting immediately in significant energy savings. We also continued to replace old, inefficient vehicles with new generation ones that comply with the latest EU directives on carbon dioxide emissions. We also proceeded to replace a large number of old batteries, generators and rectifiers with the aim of further improving the reliability of DC power supply equipment and, by extension, of the services that we provide.

During 2007 we continued to expand the Pancyprian Security System with the installation of new electronic access monitoring points in buildings and other premises, and points for the Electronic Timekeeping System, while implementation began on a Trespassing Detection subsystem. Furthermore, automatic fire detection systems were installed in important buildings. We further upgraded our cytashop security systems and the guarding of the Organisation’s buildings and we continued our cooperation with the police. We consider the execution of drills at all our manned buildings, in accordance with CYTA’s Civil Defence Plans, to be extremely important.

Materials Management
The placement and handling of orders and the management of contracts for the timely supply of materials and equipment continued in 2007. Furthermore, the Organisation’s Central Stores continued to send materials and equipment abroad for repairs, to receive and store materials and equipment and to distribute them to various sites.

With the aim of improving productivity and reducing operating costs, a private firm was appointed to draw up a study for the reorganisation of the entire supply chain and the modernisation of the stores through the introduction of modern storage systems and the use of asset management software.

International Relations
CYTA actively participates in the procedures and activities of the major international telecommunications organisations of which it is a member and is represented in various working groups and conferences organised by these bodies. It is thus in a position to monitor and implement technological and other developments in the field of telecommunications.

Cyprus is a member of the International Telecommunications Union (ITU), a United Nations body, and CYTA closely monitors its activities and implements all the recommendations of the ITU and its related sectors such as the Telecommunication Standardization Sector, the Radiocommunication Sector and the Telecommunication Development Sector.

Our Organisation is a founder member of the Association of European Telecommunications Network Operators (ETNO) which coordinates its members’ activities regarding the promotion of services and the use of networks in Europe. Moreover, it determines a common policy for members on telecommunications issues and submits views and proposals to various European bodies, mainly in the European Union, and to other international organisations. CYTA personnel take part in the working groups set up by ETNO members such as the Competition Group and the Data Protection Group.

CYTA is also a founder member of the Global IT Association for Telecommunications (ETIS) and of the European Telecommunications Standards Institute (ETSI) in which it has national administration membership and whose activities it monitors closely. It is also an active member of the Commonwealth Telecommunications Organisation (CTO).

In the context of its Research and Development activities, CYTA is a member of EURESCOM, an organisation which deals exclusively with research programmes in the telecommunications sector.
 

 
 
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