This detailed podcast, by the engagement senior-partner, discusses the most challenging assignment Firmsconsulting took on to advise a client in preparing one of the Succeeding as a Management Consultant books. The client was a state-run electricity utility in Latin America which was undergoing a significant build program to add capacity for a burgeoning economy while dealing with an aging asset base causing power outages, impacting foreign-direct-investment and decimating national productivity.
To further complicate matters, while we were conducting this study, a bill was introduced in the national chamber to break up the utility.
Follow Mexico’s integrated – Generation, Transmission and Distribution – $6B revenue electricity utility monopoly as it prepares to restructure itself and begin a construction program supplying power to a burgeoning industrial and consumer base. The issue is complicated by the significant expectations of the federal government and the expansion of the utility into non-core businesses which are bleeding the balance sheet.
An aging transmission and distribution asset base is also driving up maintenance costs and outages thereby slowing down productivity across the country, spooking investors and increasing the costs of doing business.
At the same time, a bill is winding its way through the federal chambers to break up the utility. The great challenge in this engagement was keeping the client focused on a goal, and then building a case to convince the federal government not to introduce legislation to change the goal posts.
The book follows a consulting team as they develop the strategy to refocus the utility and prepare to build new stations. A large and related part of this study was leading a due diligence team to value and sell non-core businesses.
Another important part of this study examined organizational changes for the utility to build an organizational structure which would enable the utility to aggregate core engineering build staff, away from routine maintenance issues, while allowing flexible deployment onto maintenance issues before the maintenance business unit was developed.
The 280 page books is supported by excel, word, power point, video, audio files, and access to the discussion forum. + 300 supporting documents. All documents may be downloaded and edited.