NTPC CASE STUDY

Submitted To –

Ms. Ruchi Khandelwal

Submitted By-

Sabya Sachi Shivam B – 36

Gaurav Jain B – 31

Rahul Jamdagni B – 38

Vaibhav Kapur B – 15

Saurabh Singh B - 19

Q1) Highlight how the mission statement of NTPC operationalizes the vision, and reinforces the strategic intent.

Ans- The mission statement of NTPC emphasizes on the following aspects-

Making available quality and reliable power in huge quantities to the nation at reasonable costs.

Develop power projects all across India to supply electricity to each and every home and business user.

Promotion of consultation services is another mission of the firm. Matching it’s standards to the world standards. Corporate social responsibility i.e. environment protection, rehabilitation and ash

utilization. Acquiring new companies and thriving to setup power projects globally.

All these mission statement along with others focus towards the accomplishment of the vision of the company i.e. to be one of the world’s largest and best power utilities powering India’s growth.

Being a developing nation, India along with infrastructure development needs a lot of power supply to make itself a self-sustained economy. NTPC thereby addresses the nation by its sole motive of making power available in huge amounts to meet the developing needs of the nation. But in this process, it is also the responsibility of the company to make various steps for environment protection, efficient ash utilization as coal is a non-renewable energy source and rehabilitation by constructing new houses and colonies to cover up for damage/removal caused for construction of power plants. Moreover, in order to be the best power utility organization, the company thrives to match its standards with that of other global giants.

Hence, the above mentioned mission statements of the company focus on making NTPC one of the top enterprises in the energy sector in India as well as overseas which is its vision.

Q2)Critically analyze the list of objectives that NTPC has set for themselves. Are these objectives specific enough ? Do they provide the necessary direction for managers in their day-to-day functioning?

Ans – The objectives set by NTPC have been given under separate titles namely-

Growth – Specific :- The Growth objective of the NTPC is very specific i.e about the diversification of the business, and in generating capacity .Measurable :- The growth objective is very clear that what are the objectives and the time and cost limit to achieve it.Achievable :- Every goal is not 100% Achievable but the growth objectives set by NTPC about the diversification and etc are achievable . Realistic:- Realistic goals are potentially challenging but not so challenging that the chance of success is small. Generating capacity in within prescribed time and cost and diversification into hydro- and non- conventional energy resources are realistic objectives. Time Based :- The growth objective of NTPC is time based i.e it must be achieved within the specific time limit .

Performance leadership

Specific :-

Measurable :-

The Plant Operation, Maintenance and Efficiency can be measured.

Achievable :-

The activities aiming towards performance is achievable.

Time Based:-

Yes it’s time based, as Plants Operation and Maintenance is to be minded.

Human Resource Development –

Specific:-

Human Resource Management Training Of Employees Decentralization of power

Measurable:-

The Human Resource Development can be measured by monitoring the Performance of the employees.

Achievable:-

It is achievable if the Human Resource Development activities are efficiently managed.

Time Based:-

It’s time based as the employees are always trained for a specific mission or objectives

and after fulfillment of those objectives, they are to be trained for further new projects.

Financial Soundness –

Specific:-

Managing the Financial Resources Incorporation Of Commercial Policies

Measurable:-

This factor is purely measurable, as the company has to officially record movement of funds .

Achievable:-

Yes Financial Soundness is achievable.

Time Based:-

And yes almost every activity related to Finance in an organization is time bound.

Technology Leadership –

Specific – To adapt cost effective technologies\

Measurable – Difficult to measure Technology Leadership

Achievable – Yes, it’s achievable if appropriate source is chosen and similarly

knowledge is further disseminated Smartly.

Time Based – Basically, it is long term. So, it’s not time based.

Sustainable Power Development –

Specific – Take care of environment and rehabilitate on an ongoing basis.

Utilization of Ash produced at the stations.

Measurable – Generally, it’s not measurable as one cannot monitor environment on a

regular basis.

Achievable – Yes, it’s achievable if the programs are efficiently implemented.

Time Based – It is not time based as there is no boundation, but it’s good if it occurs as

soon as possible.

Research & Development –

Specific – Efficient & Reliable operations of Power Plants.

Measurable – Yes every activity performed by the R&D department if measurable.

Achievable – If research is efficiently carried out, then, yes it is achievable.

Time Based – Mostly all the R&D Activities are time bound.

Analysis of these objectives infers that they are stated in a very specific manner and directing towards the accomplishment of the mission and vision and also in compliance with the core values of the firm. But the drawback in the list is the specificity of the time period is missing which forms one of the most critical component of any objective and to judge whether it has/has not been achieved. For e.g. – the company hasn’t mentioned what is the prescribed time within which they0020want to add generating capacity, what is the time period when they wish to diversify, etc. In order to achieve the desired objectives, the employees of the organization need to know the deadlines to work efficiently to complete their tasks

within the stipulated time. Deadlines/exact dates help to bring strictness in the work culture and reduces the chances of errors and unexpected delays. Hence, for the proper day-to-day functioning of the managers, NTPC needs to modify the objectives and add time period of accomplishment of those objectives.

3) Attempt at operationalizing the core values specified as COMIT into observable norms of behavior.Ans – The core values of NTPC are as follows:

Customer focus Organizational pride Mutual respect and trust Initiative and speed Total quality

COMIT can be operationalized into observable norms of behavior by ensuring the fulfillment of the necessary objectives. For example-

Customer focus can be achieved by the accomplishment of financial soundness. Organizational pride by ensuring positive growth and diversification of the company

and setting up power plants abroad and also by achieving leadership in performance with good business values and ethics. It is also a function of the CSR activities of the firm.

Mutual respect and trust can be built by focusing on human resource development i.e. giving opportunities to all the employees of the organization to grow individually and help in the organization’s growth too.

Initiative and speed by technology leadership and giving a cut throat competition to other companies both in India and overseas.

Total quality is a function of the organization’s work to protect the environment and it can be achieved by successful sustainable power development policies and encouraging more and more research and development to formulate new methods and processes to reduce pollution and protect the environment.