MANAGING UTILITY COMPANIES IN DYNAMIC MARKETS

Abstract

The advance of market liberalization is posing an increasing challenge to the management systems operated by utility companies. A need for organizational and process realignment in three areas - group structures, management systems and management/financial analysis and monitoring organization - is coming to light. It is vital for companies in this sector to enhance their management systems systematically and to learn from international benchmarks. Just as important, though, is thorough change management to ensure that the strategies developed are fully implemented. This article explores what can be done in these three areas to ensure that utilities are managed in line with the state of the art. The theory is then fleshed out by a real-world case study - a recent project conducted by Roland Berger for a Central European utility company.