ELECTRICITY MANAGEMENT

Electricity Management



Electricity Management

Introduction

This paper is based on a local XYZ Electric Company, which has got Scottish Gas Company as its client on the list. This paper has three sections: Part 'A' focuses on the financial issues facing the company in initialising a project at a neighbouring area. Part 'B' focuses on the supply chain issues regarding the project; while Part 'C' highlights the legal issues partaining to the electricity project that is to be launched by the company.

Project Management

Project management (PM) refers to the management and control of projects and temporary organizations. Generally speaking, managing a project concerns a task to be completed with a limited set of resources—be it personnel, material, or financial resources—and within a certain period.

At the very heart of PM is the concern for fulfilling the task of the particular project at hand. That task can be described in physical terms—a house to be constructed, to give one example—or in abstract terms—a reorganization of the market activities of a company, as another example—and the task is central for the project. One foremost prerequisite for good PM is that the project task gets completed. And the ability of a project manager to see to it that the project is planned and organized in such a way that the task is fulfilled within the constraints of the resources provided and on time is what distinguishes an efficient and able project manager from an inefficient one. A project manager is also judged on the ability to handle the group team so that the goals can be attained.

One challenge in PM is to isolate the project from its environment—PM theory assumes that this isolation can be done in practice—and to organize it in overall terms. The ability to manage the project in relation to its proper context is sometimes denoted as project governance and involves organizing the relationships between the stakeholders of the project, be it owners or sponsors, the project manager, and the team involved in carrying through the project. Project governance is concerned with overall effectiveness rather than project efficiency.

The alternative denomination to project, temporary organization, is sometimes used to stress the time dimension—a project has to be finalized within a certain time—but another aspect of the difference between the two concepts project versus temporary organization is that project most of the time refers to the practical, normative, aspects of management, whereas temporary organization is used in recognition of the fact that the functioning of projects and the relations between projects and their environments in practice often are different from what is stressed in handbooks on PM of the normative type. Engineers and engineering sciences are currently dominating the normative, prescriptive scene of PM, whereas behavioral science is concerned with describing, understanding, and explaining project phenomena. That division of the area has been even more evident, not to say obvious, during the past few years.

One matter of concern for PM has been the fact that all projects are strictly unique in terms of time and ...