Over the past two decades, Ralph Yirikian, the General Director of Ucom, has been a household name in Armenia, frequently appearing on television to discuss topics that extend well beyond purely commercial matters. Nazareth Seferian sat down with Mr. Yirikian to talk about the company’s latest developments and the broader topics of sustainability and Circular Economy.
Interview : Nazareth Seferian
Photo : Regional Post – Caucasus
Mr. Yirikian, there are many challenges facing our country today. What would you say is a practical step that each business leader in our country can take to help make tomorrow more positive for Armenia?
— I would say the key is to think beyond the limits of one’s own business. Understandably, each business leader’s priority is the objectives and performance indicators of their company. But if we can think slightly beyond those limits and see the larger context in which the company operates—the surroundings, society, environment—this can reveal new insights and opportunities both for the business and for the country as a whole. Business leaders should then ask themselves: How can I grow my business while also developing, at least to some extent, the space and people that surround it? A mindset shift of this kind can lead to a more positive tomorrow for both the company and the entire country.
Coming now specifically to your role at Ucom, what is one thing that currently excites you about the company and your role in it?
— It is, in fact, this same mindset that I just mentioned that I have also brought into my role in Ucom, and which is now prevalent in our company. We are part of the Galaxy Group of Companies and, fortunately, I have the opportunity to regularly talk to our shareholders and investors from the point of view of this broader mindset, and to see their growing interest in this approach. Naturally, there are shareholder interests and concerns that you always have to balance as a corporate executive.
Thus, whenever I talk to them about a new idea or proposal, whether it is purely commercial or goes beyond the limits of our own company’s performance, I always make sure that I do my homework. There needs to be the right research and analysis behind any idea, the right kind of supporting documentation, so that we can be more scientific in our approach both as a business and a corporate citizen.
So, when you tell the right story to an investor and back it up with persuasive evidence, you see their mindset shift to a level that goes beyond pure numbers, and there is an appreciation for the greater impact. And I truly find this work exciting.
Ucom has been rolling out its 5G network across Armenia since November 2024, but the approach you are using is quite unusual. Instead of launching it first in Yerevan, you started with the regions of the country. What was the reason behind this, and what reactions have you seen?
— Let me start with a broader response to the question. We see ourselves as a company that is bringing about digital transformation in the country, and we need to develop our infrastructure to get there. Our shareholders believe in this vision, and they have agreed to these large-scale investments. But, once again, this is not just about business and numbers, it is about mindset. In order to make this vision a reality, we have to shift to a different level of customer-centricity. And, coming to your point now about the rollout of the 5G network, our prioritization of the regions was part of this new mindset. Everything that we do as a company, we do for our customers.
When it comes to the 5G network, we wanted to deliver a special message to everyone in the country—Armenia is not just Yerevan; we have to think beyond our beautiful capital city. Even within Yerevan, we often limit our thinking to the center of the city, but the reality is that we have ten regions outside the capital that are full of potential and deserve more attention. Of course, 5G coverage came to Yerevan quite quickly after the regions, but it was important to us that our customers outside the capital felt valued and appreciated.
By the way, the updates that Ucom customers can expect this year are not just about 5G, we are implementing several new initiatives that will make us more customer-centric as a company. We will soon have an AI-powered billing system that will allow our employees across the country to provide all services to every single Ucom customer, irrespective of their location. It will also allow our customers themselves to review their own data and access certain services directly from our app, without having to contact an employee. So this is all part of the same story – coming closer to our customers wherever they may be located, shifting our mindset to think beyond our capital. We have been criticized for the sequence of our 5G network rollout, let me tell you. But 5G is now in Yerevan too, and that criticism will soon be forgotten. However, the message that we relayed about prioritizing the regions will remain strong.
Your own team at Ucom is spread across the country. What is your formula for maintaining motivation and a shared sense of purpose in a company that is geographically dispersed and consists of more than a thousand employees?
— The answer in one word is communication, but there are several layers to it. We do not think of our staff as just a number on a piece of paper—these are people with values, questions, thoughts, and ambitions. And we stay in communication with them regularly to make sure that they feel an alignment between their personal feelings and the company. On the one hand, this communication is done electronically, ranging from emails on specific topics to weekly or monthly general newsletters. On the other hand, it is equally important to have face-to-face contact with all employees on a regular basis, allowing people to ask questions and voice concerns on relevant topics.
I believe that the top-level management should remain accessible to the staff. If the General Director has lunch regularly with colleagues at the office cafeteria, if he or she takes the stairs to go to meetings on different floors, passing by offices, stopping to say hello and smile to colleagues, this sends a powerful message to everyone in the company. It helps them truly believe that the General Director is just another human being, working with them for a common goal. Other top or middle managers see the General Director’s behavior, and they too make themselves more available to their teams.
Along with constant, two-way communication with the team, keeping the human face of the company, which includes this accessibility by the top management, is an important part of maintaining motivation and a shared sense of purpose.
Around two decades ago, you were the first business leader in Armenia to talk about corporate responsibility, and your work helped make this part of the vocabulary of our private sector. Where do we stand in Armenia today, in your opinion, when it comes to corporate responsibility and sustainability? How does the concept of the Circular Economy fit into this picture?
— The situation on this front is not as good as I would have hoped. There is still a lot to do in the business sector. Here, too, we have a mindset issue. At a personal level, many of us do everything to keep our houses clean and efficient. We tell our children not to waste things, and we try to get them to appreciate what they have. But, once again, it’s all about mindset. As soon as we step outside the house, we no longer think of circularity in this bigger picture. Very few of us step outside our door and clean our part of the sidewalk or the yard of our building. It is the same in business. Many of our Armenian business leaders are very dedicated when it comes to their companies, but they do not look at the social and environmental issues that surround us.
We also need more action from the public sector here. We need more public-private partnerships that can have a positive social impact on the country while also helping companies achieve their commercial objectives. We need initiatives that would encourage companies to engage more holistically with the economy, including the social and environmental context in which our country needs to develop. There can be very interesting circular economy initiatives where the state and the private sector work together, creating new value for everyone involved.
In more specific terms, what is the role of the public sector, in your opinion? What can be done to encourage the acceptance of the Circular Economy by the private sector?
— There is a wealth of experience from other countries that we can use. Public bodies can invite consultations on these topics and give them visibility. We may have a shortfall of experts on Circular Economy, but they can be invited from elsewhere, so that Armenia can learn from the journeys to greater circularity taken by other states. There are good success stories of public-private partnerships here. And it’s not just developed countries. Many developing countries are making the most of these opportunities. So, we can also learn from those who have a similar context to our country.
We have to understand, of course, that our market is different. We are a small country, and this means that there is less room for experimentation, and fewer resources that can be allocated to innovation. But we can at least begin to experiment at this small scale and see where it takes us. Consumer demand can be shaped by governments and even by companies. There needs to be more communication on this topic so that more people understand its importance.
There is a difference when it comes to how small and medium enterprises (SMEs) approach such innovations compared to larger corporations. Smaller businesses are more flexible, they can be more open to risk, and quicker to make decisions. With larger corporations, there are several levels of decision-making, and then you have to get the shareholders on board. In many cases, you have to balance the longer-term benefits of circularity and sustainability with short-term costs. A small business owner may see the value in this, while the shareholder of a larger corporation might choose to prioritize upcoming dividends. It all boils down to what we discussed earlier—you have to do your homework, conduct your research, present your analysis, and make the case for this transition to circularity.
Once businesses see the benefits for all parties, it will be easier to move them in that direction. The public sector must be a part of this equation, that is for sure. And I would encourage the public sector to think big when it comes to engaging with the private sector.
Once companies in Armenia get the message that the state will support them in their bold ideas, all kinds of amazing things can happen.
Looking ahead to the next 5-10 years, what is Ucom’s overall vision for its role in Armenia’s digital transformation and overall sustainable development?
— We are laying the infrastructure for Armenia’s future growth—all telecom operators are the front line in digital transformation because we establish the foundation on which other companies can develop their technology and deliver their innovative services. We aim to keep bringing the latest technology to Armenia. In the future, we see ourselves continuing our pioneering role as a successful business, but also a caring corporate citizen. We will continue creating the kind of customer experience that will make our users proud to be with Ucom, just as we strive to make our shareholders and investors proud to be associated with our brand. And we hope that other corporate entities will look to us not just as a potential partner, but also as a business whose example they can follow when it comes to thinking beyond the limits of their own company and engaging with society and the environment in a positive way.
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