Our strategy

MTN’s strategy is built around five strategic themes: Creating and managing stakeholder value and innovation and best practice sharing describe our approach to our work, people and other stakeholders. Tangible priorities under creating a distinct customer experience, driving sustainable growth and transforming our operating model define how we strive to secure a sustainable competitive advantage and deliver superior shareholder returns.

We further develop our strategic themes into strategic priorities, which have a three- to five-year time horizon. We measure progress against these priorities through the KPIs of the Group executive committee (executive) ( 46) which are reviewed annually. These are used to determine bonuses, if any, of the executive. We detail the bonus calculation process ( 77) and analyse performance against KPIs in 2015, as well as give details of executives primarily responsible for each one of these on 28.

Strategic theme			Strategic priorities over three to five years			KPI target in 2015
Creating and managing stakeholder value			Sustainable shareholder returns Responsible corporate citizenship Creating a great place to work Instilling sound governance and values			5% to 15% dividend growth Opportunistic share buy-backs Increase in positive media sentiment by 4% from 2014 baseline Statistical improvement on vital behaviours in the Group culture audit
Creating a distinct customer experience			Brand leadership Customer experience Customer analytics Network quality and coverage			Net Promoter Score improvements 17,5 million net additions Implement core managed services
Driving sustainable growth			MTN in digital space Adjacent sectors Enterprise strategy Voice and data evolution M&A and partnerships			Grow MTN Mobile Money (smaller operations) Increase new revenue streams (enterprise, digital and MFS) – target of US$2,4 billion Grow Enterprise Business Unit (EBU) revenue 30% YoY M&A and partnerships
Transforming our operating model			Asset optimisation Supply chain management Process standardisation and optimisation			Group EBITDA margin of 44,6% Realisation of transformation benefits Improve procurement savings by more than 7% Improve capex efficiency and effectiveness in South Africa Improve capex efficiency and effectiveness in Nigeria
Innovation and best practice			Innovation Best practice sharing			Security framework rollout and adoption into standard applications ICT: Enterprise BSS standardisation and M2M strategy Digital readiness (services migration and deployment)