General Discussion on Management

Er. Uttam Kr Saxena

Executive Engineer & Dy. Secretary
U.P. Power Corporation Limited
Shakti Bhawan, Lucknow
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RESTRUCTURING
UPSEB
01.04.59

UP Rajya
Vidyut
Utpadan
Nigam
14.01.00

UP Rajya
Jal Vidyut
Nigam
14.01.00

UP
Power
Corporation
14.01.00

KESCO
Kanpur
(15.01.00)

Madhyanchal
Lucknow
(12.08.03)

Paschimanchal

Meerut
(12.08.03)

UP Power
Transmission
Corporation

Dakshinanchal

Agra
(12.08.03)

Purvanchal
Varanasi
(12.08.03)

Meerut
Discom

Lucknow
Discom

Agra
Discom

KESCO

Varanasi
3
Discom

What is Management: Many Definitions

 "Management is the art of getting

things done through people.
Mary Parker Follet

(Mary Parker Follett was an American social worker, management consultant and
pioneer in the fields of organizational theory and organizational behaviour)

 "Management is the art of getting

things done through and with people
in formally organised groups.
Harold Koontz
The Management Theory Jungle

(Harold Koontz was an American organizational theorist, professor of business

management at the University of California, Los Angeles)
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 "Management is a multi-purpose
organ that manages business and
manages managers and manages
workers and work.
Peter Drucker
The Principles of Management
(Peter Ferdinand Drucker was an Austrian-born American management consultant,
educator, and author, whose writings contributed to the philosophical and
practical foundations of the modern business corporation.
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 "To manage is to forecast and to plan,

to organise, to command, to coordinate and to control.
Henry Fayol
Industrial & General Administration

Henri Fayol was a French mining engineer and director of mines who developed a
general theory of business administration that is often called Fayolism.

Meaning of Management
Management has three different meanings,
viz.,
Management as a Noun : refers to a
Group of Managers.
Management as a Process : refers to the
Functions of Management i.e. Planning,
Organising, Directing, Controlling, etc.
Management as a Discipline : refers to
the Subject of Management.
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Resources for Management 6M

Men (includes Women)

Money
Machines
Materials
Methods
Markets

(for achieving the objectives of the organisation such as

high sales, maximum profit, business, expansion etc.)
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Features of management:

Continuous and never ending process

Getting things done through people
Result oriented
Multidisciplinary in nature
A group and not an individual activity
Follows established principles or rules
Aided but not replaced by computers
Situational in nature
Need not be an ownership
Both an art and science
Management is all pervasive
Management is intangible
Uses a professional approach in work
Dynamic in nature.

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Management vs. Administration:

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Management vs. Administration:

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Functions of Management:

Planning
Organizing
Staffing
Controlling
Directing/Commanding
Co-ordinating

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Planning
deciding in advance what actions to take and when and
how to take them (includes forecasting)
needed for committing and allocating the organisations
(limited) resources
anticipating future opportunities and threats
Making choices for growth and profitability
Committing resources
Planning always refers to a specific time limit within
which it must be completed

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Organizing + Staffing
establishment of the formal structure of authority
through which work subdivisions are arranged, defined,
and co-ordinated for the defined objective
structure in which people are grouped
centralisation refers to the point or level where all
decision-making authority is concentrated
levels of management and span of control
reporting relationship between the manager and her/his
subordinates
staffing starts with the identification of the job
necessary qualifications, skills and experience required
bringing in and training the staff and maintaining
favourable conditions of work
motivation and leadership provided by the top
management
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Controlling
Controls provide a means of checking the progress of the
plans
correcting any deviations that may occur along the way
Controls may be used to measure

physical quantities (output, number of man hours, number of units

of raw material consumed)
monetary results (value of sale, capital expenditure, return on
investment, earning per share, etc.)
evaluate intangibles (employee loyalty, morale, and commitment)

Survey, open door policy, grape vine

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Directing/Commanding
continuous task of making decisions
embodying them in specific and general orders and
instructions
managers instruct, guide and oversee the performance
of the workers
Directing function is related to subordinates and
therefore it is related to human factor
serving as the leader of the enterprise

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Co-ordinating
hidden force which binds all the other functions of
management
unification, integration, synchronization of the efforts of
group members so as to provide unity of action in the
pursuit of common goals
Management seeks to achieve co-ordination through its
basic functions of planning, organizing, staffing,
directing and controlling
A manager can be compared to an orchestra conductor
since both of them have to create rhythm and unity in
the activities of group members.

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Corporate Governance and Business Ethics

The framework of rules and practices by which a board of

directors ensures accountability, fairness, and transparency in
a company's relationship with its all stakeholders (financiers,
customers, management, employees, government, and the
community)
Corporate Governance is the need for

Transparency (RTI)
Social accountability
Social responsibility
Effective corporate governance requires a clear understanding of
the respective roles of the board and of senior management and
their relationships with others in the corporate structure
The relationship of management with stockholders and employees
should be honest & fair,
relationship with the communities be characterized by good
citizenship
relationship with the government should be characterised by a
commitment to compliance
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Xerox, Enron and Arthur Anderson, NDPL & BSES

Organisation
An organisation is an entity comprising

multiple people
such as an institution or an association or corporation
that has a collective goal and
It is linked to an external environment

There are a variety of legal types of organizations,

including

Corporations
Governments
NGO/not-for-profit corporations
political organizations
international organizations
armed forces
Charities
Partnerships
cooperatives and educational institutions
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Vision Statement
A Vision statement outlines WHERE you want to
be.
Vision Statement describes the desired future
position of the company
Defines the optimal desired future state - the
mental picture - of what an organization wants
to achieve over time
Provides guidance and inspiration as to what an
organization is focused on achieving in five,
ten, twenty or more years

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Mission Statement
A Mission statement talks about HOW you will get to
where you want to be.
Defines the company's business, its objectives and its
approach to reach those objectives
Defines the present state or purpose of an organization
Answers three questions about why an organization
exists

WHAT it does
WHO it does it for
HOW it does what it does.

written for a shorter timeframe than a Vision statement

something that all employees should be able to articulate
upon request
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Organisational Values
Values provide a framework for making choices between
desirable and undesirable responses.
core values such as

Quality
customer satisfaction
environmental protection
human resource development
human dignity and respect
technological development
social responsibility etc.

multinationals working in India have service orientation as an

important core value.
However, for an Indian company, due to the legacy of the state
controlled economy, service orientation as a value is attached
much less importance.
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Some Vision Statements

Amazon : Our vision is to be earth's most customer centric company;

to build a place where people can come to find and discover anything
they might want to buy online
Flipkart : To be Amazon of India
Tata Power: To be the most admired and responsible Integrated
Power Company with international footprint, delivering sustainable
value to all stakeholders.
NTPC : To be the worlds largest and best power producer, powering
Indias growth
BSES: To be amongst the most admired and most trusted integrated
utility companies in the world. To deliver reliable and quality products
and services to all customers at competitive costs, with international
standards of customer care- thereby creating superior value for all
stakeholders. To set new benchmarks in: standards of corporate
performance and governance, through the pursuit of operational and
financial excellence, responsible citizenship and profitable growth.

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Mission : Dell Computers

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Mission: Mc Donald

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Mission: Tata Power

To earn affection of customers by delivering superior

experience and value, thereby making them our ambassadors
Driving competitiveness by operating our businesses at
benchmark levels
Executing projects safely with predictable benchmark quality,
cost and time
Growing profitably across the power value chain and allied
areas, in focus geographies
Being the lead adopter of technology with a spirit of pioneering
and calculated risk taking
Practicing Leadership with Care by pursuing best practices on
Care for our Environment, Community, Customers,
Shareholders, People and creating a culture that will reinforce
our values
Enable employees and associates to achieve and unleash their
full potential to deliver outcomes in a sustainable way
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Mission: NTPC
Develop and provide reliable power,
related
products
and
services
at
competitive prices, integrating multiple
energy sources with innovative and ecofriendly technologies and contribute to
society.

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Mission: BSES

To attain global best practices and become a world-class utility.

To provide: uninterrupted, affordable, quality, reliable, safe and clean power to
our customers.
To achieve excellence in: service, quality, reliability, safety and customer care.
To earn: trust and confidence of all customers and stakeholders by exceeding
their expectations, and make the company a respected household name.
To work: with vigour, dedication and innovation keeping total customer
satisfaction as the ultimate goal.
To consistently achieve: high growth with the highest levels of productivity.
To be: a technology driven, efficient and financially sound organisation.
To be a responsible corporate citizen nurturing human values and concern for
society, the environment and above all, people.
To contribute: towards community development and nation building.
To promote a work culture that fosters: individual growth, team sprit and
creativity to overcome challenges and attain goals.
To encourage: ideas, talent and value systems.
To uphold the guiding principles of: trust, integrity and transparency in all
aspects of interactions and dealings.

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Core Values : Flipkart

Customers First : We look at the world from our customers

point of view. Every day, we try to understand them better, do
things that are right for them. Putting them first, is our # 1
job.
Independence of Thought : We love asking questions and
embrace unconventional ways of thinking. We learn from
others but do not blindly accept things just because they were
done that way before.
Pursuit of Excellence : We are never happy with status quo.
We constantly strive to go beyond all established standards
and limits. There is always a better way of doing things.
Opportunity Based on Merit : Ours is a level playing field
with plenty of self-driven high performers. We raise the bar
every day. We believe anyone can be a superstar at Flipkart,
regardless of tenure, gender or educational qualification.

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Core Values : Tata Power

Safety - Safety is a core value over which no business objective

can have a higher priority
Agility - Speed, Responsiveness and being Proactive, achieved
through
Collaboration and Empowering Employees
Care - Care for Stakeholders - our Environment, Customers &
Shareholders both existing and potential, our Community and
our People (our employees and partners)
Respect -Treat all stakeholders with respect and dignity Ethics Achieve the most admired standards of Ethics, through
Integrity and mutual Trust Diligence - Do everything (set
direction, deploy actions, analyze, review, plan and mitigate risks
etc) with a thoroughness that delivers quality and Excellence
in all areas, and especially in Operations, Execution and Growth

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Core Values : NTPC

Core Values BE COMMITTED
B Business Ethics
E Environmentally & Economically Sustainable
C Customer Focus
O Organisational & Professional Pride
M Mutual Respect & Trust
M Motivating Self & others
I Innovation & Speed
T Total Quality for Excellence
T Transparent & Respected Organisation
E Enterprising
D Devoted
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UPPCL Vision Statement

To supply reliable and cost efficient
electricity to every citizen of the state
To become a dynamic, forward
looking, reliable, safe and trustworthy
organization
To make it profitable and sustainable
in the long run and providing an
economic return to our shareholders.
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UPPCL Mission Statement

To contribute to economic grants of the state by ensuring

superior electricity supply.

To improve the quality of service of the Consumers.

To contribute for development of the industry in an efficient,

economic and competitive manner.

To increase operational efficiency and reduce Transmission

and Distribution losses.

To promote socially relevant objective like Rural electrification,

providing electricity to Below Poverty Line Consumers and
households in rural area.

To strengthen Distribution back bone in urban and rural areas.

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Customer Strategy Framework

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Customer
A customer (sometimes
known as a client,
buyer, or purchaser) is
the recipient of a good,
service, product or idea,
obtained from a seller,
vendor or supplier for a
monetary
or
other
valuable consideration.

An intermediate
customer or trade
customer who is a dealer
that purchases goods for
re-sale

An ultimate customer
who does not in turn re-sell
the things bought but
either passes them to the
consumer or actually is the
consumer
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Customer Relationship Management

Customer relationship management is the
process of managing detailed information about
individual customers and carefully managing all
customer encounters with the company so as
to maximize customer satisfaction and loyalty.
Aims at creating a more customer centric
organization which looks upon customer
satisfaction as the key to sustained profitability
and growth.

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Customer Satisfaction
customer satisfaction results when
service performance meets or
exceeds customer expectations

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Customer Priorities and Expectations

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Basic elements of CRM in Power Distribution

setting up processes for regular communication with the
customers
understanding and tracking customer expectations
effective systems for handling customer requirements
regarding connections, metering, regular supply
effective systems for handling customer requirements
regarding billing and collection procedures
preventive and corrective maintenance to ensure effective
and regular service
ensuring responsiveness to consumer needs
effective complaint resolution and grievance redressal
enabling the employees with competencies and right
attitude
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Communication with Customer : Best Practices

keeping customers informed of any short or long term possible changes for a customer, any
news of change is usually bad news
offering the customers a free newsletter subscription
asking customers if they want to be updated by e-mail when changes are made in the company
website
after every new sign up, following up with the customer to see if they are satisfied with the
sign up/account activation/service procedures
creating a focussed group of ten to twenty most loyal customers to meet regularly and
brainstorm on ideas and input on how to improve customer service
making it easy for customers to navigate the website; for example, by having a "Frequently
Asked Questions page
having an electronic survey as how to improve customer service
making it easy for customers to contact the utility by offering as many contact methods as
possible (phone, fax, email, face-to-face)
Use of visual aids, such as a presentation to illustrate main points allows enforcement of the
presented information and encourages discussion, while keeping large gatherings to the point
using written messages (direct mailing/public notices/newsletter memorandums) to
disseminate information
using Internet and company website to disseminate additional/large amounts of information or
data that needs regular updating.
The utility has to make sure to keep all information accurate and up to date to promote
consumer trust in the reliability of the company,
and to encourage customers to look for information on their own initiative.
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Collection : Best Practices

Credit scoring based on credit risk, not just historical payment

timeliness
Offering prepayment products specially for large commercial
customers
Offering multiple payment options
Monitoring business accounts for early signs of credit risk
Tailoring collections treatment paths for each customer
segment
Pursuing call centre efficiency
Employing multiple collection agencies
Measuring and monitoring collections performance.

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Product vs. Service

what can you make for me?
what can you do for me?
a product is something that can be
measured and counted
a service is result of the application of
skills and expertise towards an
identified need
most products have an element of
service in them
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Electricity : Product or Service

it's intangible
there is no transfer of possession or
ownership
it cannot be stored or transported by
consumers
it's instantly perishable
It comes into existence at the time
they are bought and consumed
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Management Techniques

Goal Setting : A core management technique for any executive or department

head is effective goal setting
Personnel Management : Setting performance expectations for departments
allows them to better determine how to perform their work
Communication : Effective managers use a variety of communications
techniques.. Listening
Listen consumer problem patiently
Problem Solving: Identify problem before solving. Many solutions to a
problem Keep your options open
Team Work : To get people to work together .. Clash, conflict, roles,
responsibilities, motivation
People Management: To identify, develop and hold topflight people motivation
Financial Analysis : The most successful managers do more than set budgets
and review them
ASK : Change attitude, get new skills and gain knowledge Learn Basics of
Computing, Accounts, Finance and Law
Talent Management: It is inherent capability. Cant be acquired.
MIS : Management Information System
Work Life Balance : Self management and balancing Work, Self and Social life
5S : Japanese method of workplace organization
Status Quo: Doing it the same way
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Communication
What information is essential for the project?
Who requires information and what type of
information is needed?
What is the duration of time required for the
information?
What type or format of information is required?
Who are the person/s who will be responsible
for transmitting the collated information?

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Communication

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Communication

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Communication

Cultural
Difference in
non-verbal
communication

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Challenge status quo

Think out of the box

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Customer Service : Listen

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Maslow's Pyramid of Human Needs

Physiological
Needs

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5S (methodology)
5S is the name of a workplace
organization method that uses a list
of five Japanese words:

Seiri (Sort - Remove unnecessary items and dispose them properly)

Seiton (set in order streamline)
Seiso (Shine - Clean your workplace)
Seiketsu (Standardize practices & processes)
Shitsuke (Sustain by Audits, Training and Discipline)

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Er. Uttam Kr Saxena, EE

U.P. Power Corporation Limited
Shakti Bhawan, Lucknow
Ph: 9415364226
uttamsaxena@yahoo.com

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Connect the dots

Can it be done
in 3 lines?

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Problem solving skill

Try to divide a square in four equal
parts.

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So many solutions

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