Ali Qaiser (1)

1

Internship report

Ali Qaiser(11108160)

2

GEPCO Gujranwala Electric power company

Submitted To

Sir Irfan Mehmood

Submitted By

Ali Qaiser

Roll #

11108160Ali Qaiser(11108160)

3

Table of content

Sr # Topics

1. Acknowledgment

2. Executive summery

3. Introduction

4. Company Overview

5. Brief history

6. Nature of the Organization

7. Vision statement

8. Mission statement

9. Business volume

10. Product/service line

11. Organizational structure

12. Top Management

13. Number of employees

14. Main offices


4

15. Competitors

16. Strategic business plan

17. Recruitment&Selection

18. GEPCO Departments

19. Finance Department

20. HRM department

21. Other Departments

22. S.W.O.T Analysis

23. Summery of learning

24. Conclusion

25. Recommendations

26. References


5

Beginning with the name of Allah who is the most merciful and beneficent. All the praises are for “ALMIGHTY ALLAH” whose uniqueness, oneness and wholeness are absolute.

My primary thanks to Almighty ALLAH, who strengthened me to do this report successfully. Whatever I have achieved in my life is by His grace. I also thank Holy Prophet Muhammad (PBUH), who is the best source of guidance and inspiration of all mankind.

I would like to thank my parents for their support in my academic career in Gift University. Their hope has always encouraged me to do my best.

My thanks are also due to all my respected teachers and officers whose guidance and co-operation have contributed immense benefit during the B.B.A. Program.s

I would like to express my heartfelt thanks to my supervisor Sir Irfan Mehmood who gave me right direction, support and timely suggestions about my internship & reports. It could not have been possible to accomplish this report without his kind guidance and expertise.

Executive Summary

Pakistan WAPDA (Water and Power Development Authority) is the only electricity providing organization all over the Pakistan. Wapda has engaged in the Generation, Transmission, and distribution of electricity. Wapda was created in 1958 as a Semi- Autonomous Body for the purpose of coordinating and giving a unified direction to the development of schemes in Water and Power sector. The head quarter of WAPDA is at WAPDA House Lahore.

Gujranwala Electric Power Company Limited (GEPCO) has been set up over the area of jurisdiction and network of former Area Electricity Board. There are six districts fall under operational jurisdiction of GEPCO which are 1-Gujranwala 2- Gujrat 3- Sialkot 4- Hafizabad 5- MandiBaha -U- din 6- Narowal.


6

Gujranwala electricity power company (GEPCO) was incorporated on 25th of April 1998 and obtained certificate for commencement of business on 25th of June 1998. Board of Directors directly commands the Management and Administration affairs of GEPCO.

I have started my internship program through Finance department under the supervision of Mr. Aslam Lodhi who is Additional Assistant Manager in Finance department. This is a really huge and typical system of GEPCO. We spend two weeks here to learn how finance department of GEPCO is working. During my internship I visited different department of GEPCO to acquire knowledge.

INTRODUCTION

It is an opportunity for me to get the practical knowledge from that organization. For this purpose I selected that GEPCO (Gujranwala Electric Power Company Limited), which is the only company in Gujranwala, which is different and unique from the other organization, and there is not any competitor of GEPCO in Gujranwala. Hence I spent a few days in GEPCO (Gujranwala electric power company Limited). There are the following departments of Gujranwala electric power company.

1. Finance

2. Human Resource and Admin

I worked in Finance and HRM both departments of GEPCO during my research period. The main purpose of research is to develop the management skill. Such skill not only created by theoretical knowledge but also a practical experience is also need. Although the research program has not fully developed these abilities but it has at least given me know-how about market. It enabled me to see the relevance and applicability of various tools and theories of management in market. This training has also given me awareness of the various career opportunities available in the market. The work that I had done there is described in detail in this report.

Objectives

As mentioned earlier that to do internship in an organization is necessary for BBA completion and it is also important for the application of theoretical knowledge to Practical experience. As for as I am concerned I also have the same objectives for doing internship. As I have chosen the electricity sector because I was interested in to learn the working of electricity sector. Following list of program objectives is very important in doing an internship. The School of Business describes many objectives but does not expect each student to achieve every objective. Many of the program objectives will only be important to a few students, but each student should achieve a substantial portion of those listed.

Internship provides students the opportunities to test their interest in a particular career before permanent commitment are made.

Internship students will develop their skills in the applications of theory to practical work situations.


7

Internship provides students the opportunity to test their aptitude for a particular career before permanent commitments are made.

Internship students develop their skills and techniques directly applicable to their career.

Internship increases a student’s sense of responsibility. Internship provide student with an in-depth knowledge of the formal

functional activities of a participating organization. Internship program enhance advancement possibilities of graduates.

COMPANY OVERVIEW:Gujranwala Electric Power Company Limited (GEPCO) has been set up over area of jurisdiction and network of former Area Electricity Board, which was created in early Eighties. It encompassed the areas of existing Districts of Gujranwala, Hafizabad, Sialkot, Narowal, Gujrat and Mandi Bahauddin. Gujranwala Electric Power Company was incorporated on 25 April 1998 and obtained certificate for commencement of business on 05 June 1998. Management and Administration is entrusted to a Board of Directors. We have about 20, 09,052 connections, Average monthly collection for the year 2003-04 is more than 2 billion.

There are six Districts fall under its jurisdiction which are listed below, in which GEPCO provide its services.

Gujranwala Gujrat Sialkot Narowal Hafizabad MandiBaha- Uh- Din


8

HISTORY:

There were eight distribution regions in Pakistan, which were called Area Electricity Board. In Punjab there are five and one in each province. Gujranwala was one of the Area Electricity Board. The building was made in 1974. In 1998 Privatization board of WAPDA; the distribution board companies under the company’s ordinance in 1984 with their own Board of Directors Area Electricity Board Gujranwala became Gujranwala Electricity

Nature of the organization

Power Company (GEPCO). This is the distribution company, which purchases the electricity from WAPDA.

WAPDA, the Pakistan Water and Power Development Authority, was created in 1958 as a Semi-Autonomous Body for the purpose of coordinating and giving a unified direction to the development of schemes in Water and Power Sectors, which were previously being dealt with, by the respective Electricity and Irrigation Department of the Provinces.

The Charter of Duties of WAPDA is to investigate, plan and execute schemes for the following fields

Generation, Transmission and Distribution of Power.

Irrigation, Water Supply and Drainage.

Prevention of Water logging and Reclamation of Waterlogged and Saline Lands.

Flood Management.

Inland Navigation.

Four (4) Thermal Power Generation Companies (GENCOs)

1. Southern Generation Power Company Limited (GENCO-1) head quarter at Jamshoro district Dadu near Hyderabad Sindh.

2. Central Power Generation Company Limited (GENCO-2) head quarter at Guddu district Jacobabad Sindh.

3. Northern Power Generation Company Limited (GENCO-3) head quarters at TPS Muzaffargarh district Muzaffargarh Punjab.

4. Lakhra Power Generation Company Limited (GENCO-4) Headquarter at WAPDA House Lahore.


9

Vision Statement

o Achieve and maintain the highest degree of efficiency, reliability and responsiveness as a public service organization for variety of customers.

o Public and company worker safety shall be high on our priority.

o Retaining and growing our business, staff and customer base will be of primary importance.

o Developing innovative business relationships both inside and outside our local distribution area will be keys to our success.

Mission Statement

“As the leading electricity distributing company, strive to provide un-interrupted electric supply and quality service to all customers at the minimum possible cost”.

Goals:

1. Smooth and consistent flow/supply of electricity.

2. Prompt restoration of disrupted electricity supply.

3. Accurate and timely meter reading and billing.

4. Provision of electricity in minimum time.

5. Open door policy to facilitate our customers.

6. Special concession for quick and timely payment of bill.

7. Availability of stores to deal with emergencies.

8. Feedback through Customer Service Centers.

9. Create awareness amongst employees for adopting safety measures while on lines

10. Energy saving message dissemination.

11. Creating positive image of GEPCO.


10

12. Take steps for welfare of company employees

13. Morale building and to create sense of belonging amongst company employees.

Business volume

Gujranwala Electric Power Company (GEPCO) is one of the ten electricity distribution companies (DISCOs) in Pakistan. Like other distribution companies GEPCO also purchase electricity from generation companies of WAPDA and sells it to general public i.e. consumers. GEPCO is responsible for supply of power to six (6) Districts of the Punjab Province namely Gujranwala, Hafizabad, Gujrat, MandiBahaudin, Sialkot, Narowal. GEPCO has 4 operational Circles, 23 operation divisions and 116 subdivisions to manage its operations.

No of Districts to Serve 6

Service Area (km) 17,207

Operation Circles 4

Operation Divisions 23

Operation Sub-divisions 116

Product/Service Lines

Gujranwala Electric Power Company is electricity Distribution Company and offer verity of electricity connections at different tariff rates vides Govt. of Pakistan Notification No. S.R.O: 910(I) 2010 dated 1st of October, 2010. List of these different connections is presented below.

Code Connection Name

A-1 General Supply Tariff – Residential

A-2 General Supply Tariff – Commercial

B - Industrial Supply Tariffs

C - Single-Point Supply for Purchase in Bulk

D - Agriculture Tariff

E- Temporary Supply Tariffs

F - Seasonal Industrial Supply Tariff

G - Public Lighting

H Residential Colonies Attached to Industrial Premises


11

K - Special Contracts

Organizational struc ture

TOP MANAGEMENT

Mian Munir Ahmad Chief Executive Officer


12

Mr. Hashmat Ali Kazmi HR & Adman Director

Mr. Muhammad Asad Finance Director

Mr. Zahoor Ahmed Chohan Chief Engineer (Director Technical/(CS)

Mr. Muhammad Anwar Chief Engineer (P&E)

Mr. Ghulam Muhammad Chief Engineer (T&G)

Mr. Basit Zaman Ahmad Chief Engineer (Development)

Mr. Shoukat Ali Gill Chief Engineer (Director (OP)

Mr. Yousaf Sani Mirza Head of Audit

Number of Employees

Year Total Employees2008 132502009 133002010 134062011 142002012 15402

Main Offices

GEPCO divided its offices into 6 Regions Gujranwala, Sialkot, Hafizabad, Gujrat Narowal and MandiBahaUd Din.It divided its regions into 4 operational circles and 1 is as common offices. These 4 circles as Cantt circle, Sialkot Circle,Gujrat Circle, and City Circle. GEPCO has 4 circles, 23 operation division and 116 subdivisions to manage its operations. Circles are headed by Superintending engineers (SEs), Divisions are managed by Executive engineers (XENs) and subdivisions are managed by sub divisional officers (SDOs).


13

Competitors

Pakistan WAPDA (Water and Power Development Authority) is the only electricity providing organization in all over Pakistan. WAPDA provide distribution services through its 9 Distribution Companies (DISCOs) and Gujranwala Electric Power Company is one of these 9. Hence Gujranwala Electric Power Company is not facing any competitor in its jurisdictional territory.

STRATEGIC BUSINESS PLAN:

"Provide Safe, Secure, Accessible and Reliable Electric Power supply to our esteemed Customers in accordance with their varying needs in a cost effective and efficient manner with special emphasis on excellence and innovation"

SUCCESS STORIES:

1. GEPCO Online(www.gepco.com.pk)

2. Human Resource Management Information Systems (HRMIS System)

3. Line Losses Information System

4. Customer Services Management System (CSM System)

5. GEPCO Recruitment Management System

6. Establishment of Company-wide Data Communication Network

GEPCO’s recruitment & selection policy

The objective of policy and procedures relating to Recruitment sources is to locate suitably qualified and meritorious candidates from within the Company and outside to fit in with job opening in the Company. The purpose of this policy is to identify possible sources of manpower which may be considered by the Human Resources function in generating applicants for a particular position. Key policies in this regard are summarized below:

a. Preference shall be given to qualified candidates from within the company, but external applicants will be considered from time to time to infuse new blood.


14

b. HR Function shall maintain a database of skill inventories of its staff. Whenever opening exists, this database shall be checked first to identify possible internal candidate.

c. Solicited/unsolicited applicants from external candidates seeking employment in GEPCO are recorded and maintained by the Human Resource function for a period of 2 years.

d. An Application Register is used for the purpose of recording details of applications received in chronological order and also by function and qualifications.

e. Human Resource function will be sole custodian of the Application Register and may refer to it for identifying any eligible candidates for any requisitioned position.

f. If it is considered necessary to advertise a vacancy in the press, advertisement will be placed in at least one national and one local daily newspaper seeking applications from interested candidates for particular positions. This would be subject to prior.

FUTURE OUTLOOK:

Having achieved best possible operation result in term of sale growth and energy losses, your company is now all set to take the challenges of future through vesting of more autonomy to corroborate entities created out of restructuring of WAPDA power wing.

Overview of the Department(s) Where Served Internship

We work in two departments in GEPCO during the internship

Finance

FRM

Finance department

I served first three weeks in finance department as a internee in which i worked in pension department.


15

Pension Section:

The pension section works to pay the pension to the retired employees of the organization. This section also deals with the retirement program of the employees. GEPCO introduces several pension and retirement schemes. It basically follows the pension rules determined by the Government of Pakistan. Pension is distributed through proper distribution channels. There are 26 distribution channels of GEPCO from where the retired employees can draw their pension.

Factors of Calculation of Pension:

Age

Tenure of service

Last pay drawn

Commutation/Graduity

Formula:

Last pay drawn* tenure of service*70%

30

Computation:

Gross Pension * 35% *12

Pension:

Gross Pension * 65% * Table of Annexure I

Human Resource and Admin:

The human resource and admin Department is consists of the following departments

1. Admin,

2. Human resource

3. Legal and labor Affairs.


16

Human resource department is responsible all the new hiring in the GEPCO, the procedure of new hiring is place an advertisement in news paper from manger human resource, collecting the application sorting the short listing candidate, conducting the test and interview. And the train the new employee from the training colleges such as WAPDA staff college, regional training center. The promotional exam is also conducted by the human resource department.

Other departments

TECHNICAL DEPARTMENT:

The technical department is consists of the following departments Planning and Design, Material management, Project cost.

The technical department plans and designs the new grid stations and the lines from which the electricity is passed and delivered to the customer from grid station. So we can say that the structure is made by the technical department. This department is also responsible to purchase new material such as meters, lines, poles and transformers. This department is also responsible to estimate the cost of the new project such as new grid station, new lines and poles etc.

OPERATIONAL DEPARTMENT:

The operational department is responsible to manage the structure which is made by the technical department, the repair and maintenance is also made by the operational department. In divisional level the xenon is sitting to mange the operation and in subdivision the sub divisional officer is sitting and responsible to take care of its area’s structure.

MIS DEPARTMENT:

In WAPDA computer system was introduced in 1968. The Information Systems (IS) Department GEPCO was established in September 2002. The sole objective was to meet Information Technology challenges and to take advantage of future opportunities in order to ensure company survival in competitive business environment. The primary responsibility of the IS Department was to develop Information Systems that will support managerial decision making along with core objective of increasing productivity by efficient utilization of available financial, technical & human resources.

S.W.O.T analysis

Strength:


17

1. The strength of GEPCO are as following;

2. They are the only service provider in the city.

3. They are monopolist in the area as well as their parent company WAPDA is also the wholly solely company for providing this service which is the necessity of life in especially urban areas.

4. The strength of GEPCO is their 14,000 workers approximately.

5. Monopoly position of the Company in its area of operation.

6. Government backing

7. Vast distribution infrastructure

8. Skilled technical staff.

Weaknesses:

The weaknesses of GEPCO are as following;

1. The theft of electricity, which is uncontrollable.

2. There is shortage of materials, wires, poles, meters and other consumer items .

3. There are unavailable of material at the time of connection.

4. There are meter-reading problems.

5. Bill distribution problem.

6. Meters are defective and there replacement is not available in time.

7. Administrative powers rest with WAPDA.

8. No control over fixation of tariffs

9. No control over purchase price

10. No computerized accounting system implemented

11. Line losses

12. Lack of qualified staff at the accounting departments of formations

Opportunities:

1. The opportunities of GEPCO are that

2. 20% of the villages in the Punjab have no electricity. These are their opportunities.


18

3. Increasing population is also their opportunity area and they are monopolist of the time in Pakistan.

4. Everyone has to come to them for the sake of connection.

5. Privatization

6. Increase in distribution infrastructure

7. Finance availability

8. Increased revenue with increased distribution network

Threat:

1. The threats of GEPCO are the theft of electricity. The public Representations, Police back them who stole the electricity.

2. Distortion in tariffs.

3. Technically obsolete equipment

4. Efficient and competent staff is not readily available due to low pay rates

5. Self-generation of electricity by the large industrial units for their own use

Performance Standards and Expectations

Performance standards and expectations are Reviewing GEPCO’s goals to associate preferred organizational results in terms of units of performance, that is, quantity, quality, cost or timeliness.

Key performance indicators

Key performance indicators help GEPCO to monitor efficiency of projects and employees against operational targets.

Energy losses Target 11.25%

Recovery efficiency Target 100 %

Strategies to achieve Targets

GEPCO management is committed to continue to achieve self assumed targets. Most of the resources required have already been secured.

Challenges

i. Adverse situation caused by extraordinary and continued load shedding.


http://en.wikipedia.org/wiki/Key_performance_indicator

19

ii. Exorbitant increase in power purchase price and rising trend thereof.

Potential Benefits

i. Expansion of transmission and distribution system for better operations through reduction in loading of power and distribution transformers; thus achieving improved quality of service and reduction in energy losses.

ii. The expanded system would allow GEPCO to install more new connections for domestic, commercial, industrial, agricultural and other connections. This will, besides increase in sales, would help social and economic uplift of the residents of GEPCO area.

Summary of learning

The purpose and aim of my internship is to learn the general Procedure, functions of GEPCO, and also to get a complete knowledge of practical work with the help of bookish knowledge or what I have learn in class room. Gujranwala Electric Power Company is the place where I got this opportunity to achieve my Aim.

Skills and Qualifications gained from the internship:

I work in different departments and perform various task/ duties in Gujranwala Electric Power Company in order to gain some skills, practical knowledge and experience. The departments where I worked are Human Resource Section, Banking Section and Project Management Unit.

When I joined GEPCO for internship purpose it was very difficult for me to grasp the attention of employees in GEPCO, everyone was busy and engaged in his own activities and no one is ready or has time to accommodate me. This is very difficult and important task for me to grasp the attention of the People to which I have concerned in order to get valuable information that is related to GEPCO and that is very important for to increase and upgrade my knowledge in order to complete my tasks which was assign to me by management of GEPCO. But very soon I was able to make relationship with every concerned person and with the help of these people I gain some skills during my internship period.

When I gained their attention they provide me their time and also they share their experience with me which helped which was help me during my internship , and also I believe that it will be helpful for me in my practical life.

Almost first 2 and half week I worked in banking of the GEPCO, where I learn the working of Banking Section, their duties, what kind of task they perform.

C ONCLUSION:


20

In conclusion I learned a lot of things from this internship and it broadened my mind to practical work of GEPCO. This allows me to get some knowledge about practical life and I will be able to relate the theoretical concepts which I learned during my university career with practical experience during the Internship.

According to my observation despite of threats and weaknesses the GEPCO still has opportunity to growth because the demand of electricity increases with the passage of time (According to WAPDA estimates) but I think that the management of the company should have strict check and balance on inventory system, authorities should be decentralized and

The working hours should be strictly checked and for that purpose should be Central their Database System that take the data about the working hours of the employees and it should report weekly to higher management.I observed that the culture of the company is not supportive the goal of company, because employee is not sincere with its duties. The basic reason that I found behind this is that company has not proper incentive plans for the employee that motivate employee to perform their duties sincerely.

RECOMMENDATIONS:

No doubt GEPCO has monopolistic privileges over the distribution of electricity in its jurisdiction and its customers are also increasing to a great extent even then there are no of areas which require further improvement. Following measures and recommendations are as proposed:

1. Well-educated and efficient staff should be appointed after completing the multifarious Recruiting and selection procedures.

2. Proper Training should be provided to all sorts of employees.3. Modern Technology should be introduced in order to avoid wastage of time

and money to enhance the productivity and prosperity. 4. Economy measures should be adapted to curtail the expenditures for

betterment of the Organization.5. GEPCO should provide better services to its customers, the Customer

Services Centers already established by GEPCO needs to be more effective 6. Mobile vans and Mobile teams should be launched to attend the customer’s

complaints at their door in order to satisfy the customers and build a healthy image in the general public.

7. To check the proper working of the offices cause and fact base analysis should be made on monthly basis for suitable action accordingly.

8. The GEPCO field formations should be integrated with online networking for smooth transmission of the data to headquarter.


21

References

WAPDA website: http://www.wapda.gov.pk/GEPCO website: http://www.gepco.com.pk/GEPCO website: http://www.gepco.com.pk/topMgmnt.aspxFrom MR.Shahid Manzoor head of the Finance department From Mr. Wajahat head of the HRM department


http://www.gepco.com.pk/

http://www.gepco.com.pk/

http://www.wapda.gov.pk/

Documents

Ali Qaiser (1)