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Internship Report Presentation

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Master in Business Administration

Management Information System

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Lahore Electric Supply Co.

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Brief Introduction
Lahore Area Electricity Board was reorganized into one corporative entity under the name of Lahore Electric Supply Company (LESCO) with effect from 22-03-1998. LESCO is responsible for providing electricity to the Civil Districts of Lahore, Kasur, Okara and Sheikhupura.

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Organizational Structure
Chief Executive Officer

Company Secretary

Finance Directorate

H.R. & Admin Directorate

Operation Directorate

Customer Services Directorate

Technical Directorate

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Business Volume
Business Volume: Operating Fixed Assets Capital Work In Progress Long Term Advances Long Term Deposits and Deferred Costs Stores, spare parts and loose tools Trade Debtors Loans, advances and other Receivables Cash and bank balances Grand Total (Rs. in Millions) Rs. 21,311 Rs. 2,130 Rs. 23,440 Rs. 51 Rs. 0.36 Rs. 23,491 Rs. 2,151 Rs. 7,686 Rs. 8,046 Rs. 9,534 Rs. 50,908.30

(with reference of balance sheet issue in FY 2008)

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Overview of the Organization

LESCO Electrical Service providing Company in Three divisions of the customers Domestic Customers Commercial Customers Industrial / Agricultural customers
In Districts of Lahore, Shaikhupure, Okara and Kasur

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Customers Overview
LESCO's Customers Categories

Agriculture Industrial 16% 10%

Comercail 17%

Domestic 57%

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Training Schedule
Sr. 1 2 3 4 Departments Finance Department HR&A Department Project Mgmt Dept. Management Information System

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Structure of MIS department

Operation System Database Management System Applications Windows / Linux Oracle / SQL Java / Oracle

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Function of the MIS Department

Data entry section Computer department Purchase section Database management system Liaison HR Information system

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M I S Reporting System
Strategic Planning Information (Top Level Management) Management Control Information For Middle Level Management

Operational Information For Lower Level Management

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LESCOs Billing System

DFD of Billing System

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MIS Hierarchy
Manager MIS

Dy manager DBMS section

Dy manager Billing & Reports

Assistant Manager billing

Assistant Manager Data entry section

Assistant Manager Database

Assistant Manager Procurement

Assistant Manager HR Information System

Assistant Manager Liaison

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SWOT Analysis
Strength
Computerized Customer Service Centers Printing of 12 months billing detail on each bill Establishment of Computer Billing Center Availability of customer Bills online. Top management is the combination of Qualified and Experienced parsons.

Weakness
Large time required for processing any project/job Communication system is not sufficient Lake of loyalty, consistency and regulatory in the staff Dependency on the suppliers of Power Generation i.e IPPs

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SWOT Analysis
Opportunities

Threats

Distribution system rehabilitation Timely execution of development works Online provisions of data for customers awareness and gaudiness Research & Development is required in the LESCO

Politics in the employees and labor unions are very awful Governments pitiable projects are reducing the efficiency of LESCO Discouragement of Skilled and loyal workers No. of Customers are increasing day by day

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I. F. E. Matrix
Sr. Internal Factor Evaluation (Strength) 1 2 3 4 5 Well known for electricity distribution Establishment of Computerized Customer Service Printing of 12 months billing detail on bill Strong balance sheet Great No. of customers in LESCO Weight 0.16 0.15 0.07 0.11 0.13 Score 4 3 4 3 4 W/ Score 0.64 0.45 0.28 0.33 0.52
Continue
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I. F. E. Matrix
Sr. 1 2 3 4 5 Internal Factor Evaluation (Weakness) Weight Strictly a local company Lack of communication system Financial statement is showing loss in year 2008 Customers and employees relation is very poor Lack of trust over company Total 0.05 0.02 0.08 0.1 0.1 1.00
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Score 2 2 2 1 1

W/ Score 0.10 0.04 0.16 0.10 0.10 2.72

E. F. E. Matrix
Sr. External Factor Evaluation (Opportunities) Weight Score W/ Score 0.64 0.45 0.48 0.36 0.39
continue
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1 2 3 4 5

Establishment of mobile customer services Timely execution of development works New Grid Stations augmentation and extension of existing Grid Stations Conversion of petrol vehicles to CNG Purchase of new vehicles for field staff

0.16 0.15 0.16 0.12 0.13

4 3 3 3 3

E. F. E. Matrix
Sr. 1 2 3 Internal Factor Evaluation (Threats) Weight 0.05 0.05 0.08 Score 2 1 2 W/ Score 0.1 0.05 0.16

Market value of the LESCO will be decreased Labor unions are very awful for company Financial statement is showing loss in year 2008 The overall performance of the LESCO also decreasing
Governments pitiable projects also spoiling the publicity of the LESCO Total

4 5

0.03 0.07 1.00

1 1

0.03 0.07 2.73

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BCG Growth Share Matrix

The Lahore Electric Supply Co. consumes large amounts of cash, but because they have low market shares they do not generate much cash. The result is a large net cash consumption. Therefore according to the Bostn Growth Shares Matrix the LESCO falls in Question Marks.

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Competitive Profile Matrix

FESCO Factor Cost Quality Market Share Cust. Loyalty
Facilities

LESCO Rating 3 3 4 4 4 3
W/Score

GEPCO Rating 2 3 3 3 2 4
W/Score

Weight Rating 0.22 0.20 0.12 0.14 0.12 3 4 4 3 3 2

W/Score

0.66 0.80 0.48 0.42 0.36 0.40 3.12

0.66 0.60 0.48 0.56 0.48 0.60 3.38

0.44 0.60 0.36 0.42 0.24 0.80 2.86

Mgmt 0.20 Structure

Total

1.00

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Porter Five Forces Analysis

The threat of substitute products or Services The threat of the entry of new competitors The intensity of competitive rivalry The bargaining power of customers (buyers) The bargaining power of suppliers

But in the case of LESCO the competitors are limited to provide their services in the defined areas of the country. They cannot provide their services beyond the limitations. Since in the Districts of Lahore Kasur Shaiku pura and okara only LESCO is responsible for providing the services therefore no other substitute or there is no any new company, which can provide electric supply.
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Critical Requirements Analysis

The existing system of the LESCO is
Lake of interdepartmental data sharing Simple paper based old record keeping system Long processing time required for applications and files No support for decision making Forecasting of demand is difficult Difficult to make forecasting analysis

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Critical Requirements Analysis

The new Proposed system
data collected by different department must be shared online inside the organization Extra long processing time for files and applications must be reduced by making online availability of the record By having all the records of the inventory it will provide better management and decision making Management Information system can create easiness in decision making and demand forecasting.

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Conclusions
No online application system Billing process is very slow and sluggish Applications has to go through a lot of useless stages The mainframe is located in the head quarters only which slow downs the report receiving process. The schedule generating process is not automated More automations and online systems are needed in the system.

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Recommendations
Need online application system Need to speed up the applications and billing process Eliminate the useless processing stages of applications Must increase the database capability The schedule generating system must be automated and online. More computerization and automation is needed in the organization.

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Thank You

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