USAID SARI-Energy What We Do

Course Overview : Managing Change in Distribution Utilities

WORKSHOP INTRODUCTION:

The South Asia Regional Initiative for Energy Cooperation and Development (SARI/Energy) program was launched in 2000 to build mutually beneficial energy linkages among the countries of South Asia. Since then SARI/Energy has reached out to more than 3,500 participants in the region on clean energy trade, energy efficiency, rural energy supply, energy regulatory issues, energy statistics and private sector involvement.

Currently, as the countries in the South Asian region embark upon the reform and restructuring of the electricity sector, the need for enhancing the capacity of executives and operational managers of the restructured distribution entities is emerging very clearly as a priority training area. In response to the need, USAID-sponsored SARI/Energy offers a five-day, country-specific training workshop on “Managing Change in Distribution Utilities” from Aug 22 -26, 2004. The course aims to enhance the ability of the participants to manage the transition from an unbundled utility to commercial entities that are business oriented and consumer sensitive. The workshop will use case studies from SARI/Energy and other developing regions and will involve distribution management experts, guest speakers and lecturers to demonstrate real life success of change management.

Workshop topics

I. Overview

  • Electric Utility Restructuring: Change Management Planning
  • Reform Framework/Models: Commercialization, Corporatization, Privatization Objectives and characteristics of each model, Road Maps
  • Country Strategy and Status on Reforms: key issues and challenges
  • Distribution Utility Change Management
  • Developing a Business Strategy & Transition Issues and Regional Case Study
The impact of change on the various functions/ processes will be the focus of the following sessions:

II. Technical and Operational Management

  • Operational excellence & performance measurement of distribution system
  • Technical aspect of upgrades and modernization of network: Automation in Distribution Systems (SCADA, customer information, communication systems GIS/MIS etc.)
  • Using of IT based MIS for monitoring and control
III. Financial Management

  • Utility accounting and reports (Company law and financial management requirements; managing transition in Finance and AC/s to company utility accounting)
  • Financial and cost of supply for Discos - Activity based costing principles

IV. Commercial Performance

  • Revenue cycle management
  • Technical and Commercial loss reduction

V. Change Management

  • Internal stakeholders/employees & Human Resource Management: Work culture and reorientation; reorganizing manpower, performance management and incentives
  • External stakeholders & Customer Care: Customer care management, customer services and standards
  • Group Exercise in Change Management

VI. Executive Seminar

  • Participation Presentation and Panel Discussion with decision makers
The last day of the workshop will incorporate a half-day Executive Seminar to present an overview of the course as, as well as the major issues and findings that arose during the workshop discussions. This conference-style seminar will bring executive/high-level decision makers together from relevant utilities, ministries, regulatory agencies, and other stakeholder organizations in the region. U.S./international experts in restructured energy sector leadership will facilitate sessions on change management issues, such as: restructuring for accountability; creation of profit centers; frameworks for change (structures, systems, people, and technology); transition issues; and models of change from utilities in the region and other countries. Regional utility leaders will also be invited to speak on their experiences and lessons learned. The seminar is also designed to gain the support of executives for change management within the targeted organizations.

TARGET PARTICIPANTS:

The course is primarily aimed at senior-mid level managers /engineers of distribution utilities and of unbundled Electricity Boards that are at the threshold of forming separate distribution entities. Limited seats are available for participants representing other stakeholder categories

Training Course materials are available on CD- ROM upon request to the Resource Center.


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