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EFQM MODEL FOR OVERALL EXCELLENCE OF INDIAN THERMAL POWER GENERATING SECTOR Manoj Dubey & Dr Pooja Lakhanpal

Research Division, Indian Institute of Foreign Trade, New Delhi, India

Citation: Dubey, M & Lakhanpal, P. (2018). EFQM Model for Overall Excellence of Indian Thermal Power Generating Sector, Journal of Strategy and Performance Management, 6(4), 106-129.

ABSTRACT

The generic nature of business excellence models and arbitrary approaches followed by organizations to achiever excellence has triggered new approaches to attain excellence; one such approach is to have country and industry specific model. World Energy Council has developed an  Energy Trilemma  Index, which gives relative energy performances of almost 125 countries based on comprehensive energy matrix (affordability, availability and environment impact). Presently India ranks low at 91 as per this index thereby making this sector prudent case for specific excellence model. The study proposes EFQM model with Indian thermal power generating sector specific factors.

The study followed a research approach that combines literature review, qualitative and quantitative techniques. This includes analysis of the literature related to the subject, qualitative analysis to validate gap areas around EFQM model and factors critical to Indian thermal power sector. Quantitative analysis was done using SEM-PLS method.

The research proposes inclusion of Indian thermal power generating sector specific factors in EFQM model, which in turn portrays balanced set of results and corresponding enablers for achieving excellence in the sector. It is first of its kind study for Indian power sector, which will enable sector for sustained and effective contribution towards society and environment.

Key words: EFQM excellence model, TQM, Indian thermal power generating sector, organizational overall excellence.

BUSINESS EXCELLENCE MODEL (BEM)

Business practice over the world has proven that competitiveness and business excellence are mutually related and eventually lead to performance of organization, D. Dejan et al., (2018). The word ‘performance’ has got many facets in present business scenario, which includes efficiency, flexibility, creativity and continuous improvement in relation to various stakeholders. BEMs try to address above performance definition, Amin

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Ahmadi Digehsara et al., (2018). Quality management excellence model (BEM) identifies drivers of performance excellence, Mbote Paul Koigi et al., (2018). In fact BEMs have evolved from concept of TQM, Pavel Adamek (2018).

It has been estimated that there are more than 900 improvement initiatives that can be used to improve an organization’s performance (Adebanjo & Mann, 2008a). Organizations also face difficulties in selecting the most appropriate improvement initiative for a given context or situation due to the numerous improvement initiatives currently available in the market (Thawesaengskulthai, 2010). BEM being an overarching framework can help in consolidation and effective deployment of multiple improvement initiatives.

The Business Excellence Model is based on the concept that in an organization, enablers and results are equally important and to achieve customer, people, society and key business results, leaders of the organization must focus on policy and strategy, people management, resources and processes. BEM has two distinct parts namely enablers and results:

Enabler criteria – It is ‘how’ part of the management, dealing with practices and policies an organization has developed to achieve specific results. Enabler criteria have guidance points to assess those practices and policies developed by an organization,

Results criteria – It is what part of the management and concerned with what outcome organization has achieved and plans to achieve against guidance points described by results criteria.

The Business Excellence Model is generic and can be deployed to any organization for self-assessment and improvement based on findings of assessment process. BEM helps organizations to identify strength and weakness based on enabler and results criteria that ultimately help organization to come with action plan for improvement (Kevin Shergold and Deborah M. Reed, 1996, Dahlgaard-Park, 2008; EFQM, 2003).

BUSINESS EXCELLENCE MODEL (BEM)

The European Foundation for Quality Management (EFQM) was founded in 1988 with the objective of helping European companies to become competitive in the international marketplace.

The EFQM framework is composed of 9 main criteria and 32 sub criteria, offering guidance on best practices or appropriate measures. Organization being assessed on this framework gets marks on scale of 1000 marks along with feedback on strength and weakness of the organization. A score band above 650 is considered as best in industry performance (Manoj Dubey, 2016, 2016a).

EFQM model diagrammatic representation and criteria details are shown in the figure 1 and table1, it can be seen that maximum weightage is to customer and business

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results criteria. These criteria have been mapped to factors / issues of Indian thermal power generating sector in subsequent paras.

Figure 1: EFQM model; source: http://www.efqm.org/the-efqm-excellence-model

REASON FOR CHOOSING EFQM MODEL FOR EXCELLENCE

EFQM model has received empirical support regarding their applicability in the private, governmental, healthcare and education sectors (Bou-Llusar et al., 2009, Tar ı́, J.J., 2008; Vallejo P. et al., 2007). EFQM model is the dominant excellence model in use in Europe (Omar Al-Tabbaa et al. 2013). Considering fact that EFQM model is widely in use globally including India (Manoj Dubey, 2016, Talwar, B., 2011), it has been chosen for excellence in Indian thermal power generating sector.

SHORTCOMINGS OF VARIOUS BE MODELS AND GAP AREAS

In last two decades, the development in IT and communication sector has revolutionized the concept of globalization, customer choices, shareholder needs, employee expectations, social obligations, ever strict norms for environment, emergence of government regulators, collaboration and partnership of firms, demographic changes and world wide economic crisis. These changes have significantly impacted the business world on long-term basis. On one hand, world faces challenges related to economic recession and ever-changing business environment, on other hand, business excellence models couldn’t escape impact of the VUCA (volatility, uncertainty, complexity and ambiguity) phenomenon affecting most part of the globe.

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The literature review of last 15 years indicates many gap areas associated with effectiveness of models. Although authors have pointed out various shortcomings of the BEMs but in the context of this study, two important gap areas are listed below:

Table 1. EFQM Criteria and Total Marks Assigned

BEMs are non-prescriptive, generic and approach of one fit to all has caused issue of effective implementation of model to a business sector. As such BEMs demands adaptation to sector specifics modifications. [(Manoj Dubey, 2016a, Seyed Amir Bolboli and Markus Reiche, 2014, Charalambos Litos et al. 2011, Omar Al-Tabbaa et al. 2013)].

Companies struggle to imbibe the BEMs because first the model is difficult to understand and secondly it is too time & resource consuming to implement. Leaders also do not understand it fully, thereby causing lack of commitment from leaders. The feed back report, which organization receives post assessment based on model is normally vague and difficult to decode. Eventually, the action plan that emerges does not bring desired improvements [(Vijande and Alvarez-Gonzalez, 2007, Heras-Saizarbitoria et al. (2011)].

The above shortcomings, indicates complex nature of model and call for alignment of model with specific industry so that it can be deployed more effectively in that industry. The need and benefits of customized model have been detailed in research paper titled

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“Developing an Agile Business Excellence Model for Organizational Sustainability” by Manoj Dubey, 2016.

In similar line, the current study proposes a construct, for inclusion of Indian thermal power sector specific factors in EFQM model to have positive impact on over excellence of the sector.

INDIAN THERMAL POWER SECTOR

For developing economy like India, power sector plays an important role in boosting economy and GDP. The power sector of India is one of the largest expanded power sectors in the world. However, the relation between the economic growth and increased energy demand is not always linear. In present scenario, 7.5% increment in India's GDP (Gross Domestic Product) would inflict an increased energy demand of 9% on energy sector (Subhojit D. et al., 2016).

Presently India’s installed generating capacity is more than 3,00,000 MW, out of which 69 % portfolio comes from thermal power plants. Indian electricity generation portfolio is mix of thermal, hydro, renewables and nuclear sources with objective to meet demand with adequate supply of electricity. Thermal plants at present, takes predominate position in overall portfolio of power, thus plays a strategic role in the economy’s growth (Verma, 2016). Fossil fuel is going to remain the primary source of energy in India (Chandra A & Chandra H, 2004). India has significant domestic coal resources (relative to other fossil fuels) and a large set of existing coal-based electricity capacity. Considering these facts, coal will remain primary energy source for India, for coming three to four decades (Chikkatur P. et al., 2009).

Thermal power plants are being considered as prime source to impact environment and as such have many challenges like electricity cost, electricity availability, impact on environment & society. The power sector in India is traditionally monopolistic with central and state government as major players. The electricity market is now slowly shifting towards open market (which is already the case for developed economy) and competition. These factors call for robust business excellence model; effective enough to guide thermal power generating sector to meet challenges.

5.1 Indian thermal power sector challenges

Literature of last ten years has been studied to identify challenges / issues associated with Indian thermal power generating sector. Websites of Central electricity authority (CEA) and Ministry of power (MoP) have been frequently referred as they are responsible for norms, standards, policy, future plans, long term and short-term strategies related to this sector so as to have positive impact on economy of country. The literature available on issues / challenges is mainly qualitative studies, seminar & conference papers, newspaper articles, analysis of data available on public domain and case studies. Based on literature review, factors/ issues / challenges of thermal power generating companies have

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been summarized and linkage of that factor to corresponding EFQM criteria is also shown in table 2.

Issue / challenges and expectations

Factors Authors EFQM criteria linkage

Fuel Availability of right quantity of fuel at right time and optimal cost

Ganesh k. et al., 2014, IBEF report on power, July 2017.

Criteria 1,2 and 4

Cost of generation Affordability of electricity, power for all, electricity as input cost of industries

Vinayak V. et al, (2016), Rai J.N. et al., 2013, Aprajita Salgotra & Sumit Verma 2016, Sahoo et al., 2017.

Criteria 2, 5, 6 and 9

Availability and reliability of power

100% village electrification, 24x7 power, bridging demand supply gap throughout the year.

Subhojit D. et al., 2016, Ganesh k. et al., 2014, CEA and MoP website, Amritanshu Shukla & Atul Sharma, ( 2016).

Criteria 2, 5, 6 and 9

Capacity utilization Improving plant load factor (PLF), which has downward trend.

Euro Asia Consulting Pvt. Ltd (EAC) report 2016, Covert T , 2017, IBEF report on power, July 2017, CEA website

Criteria 2, 5, 6 and 9

Financial soundness Realization of dues from DISCOMs (power purchasing companies), which are having accumulated losses of approximately INR 3800 billion.

Aprajita Salgotra & Sumit Verma, 2016, Sheehan P, 2014, UDAY scheme of MoP (https://powermin.nic.in.).

Criteria 1, 2 and 6

Clean energy Thermal power generator to have renewable energy in its portfolio.

Central Electricity Authority (CEA); Economic Survey 2016 and December 2015 report of the NITI Aayog expert group,

Criteria 1,2 and 8

WEC website (https://www.worldenergy.org)

R&D, innovation and creativity

Investment in R&D, innovative development.

Amritanshu Shukla & Atul Sharma, (2016), National HR Summit on Transforming HR: Indian power sector.

Criteria 3, 4 and 7

Issue / challenges and expectations

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Balancing energy trilemma

Improving rank of India, which is placed at 91 as per the world energy council’s index.

WEC website, Manoj Dubey, 2016a.

Criteria 1,2 ,8 and 9

Efficiency of thermal power generation

Saving potential of INR 10 billion per annum on account of efficiency improvement.

Verma R., (2016), Narayan MA , 2013, Hussain S. et al., 2014.

Criteria 1,2 ,5 and 9

Environmental effects of Indian coal power plants

Ambient air quality and water norms (India is the world’s third largest CO2 emitter).

Singh U., 2016, Ministry of environment and forest, India (http://envfor. nic.in), Kapila and Haszeldine 2009, The Gazette of India, no – 2620, dated 08.12.2015, National tariff policy, 2016, National Water Policy (2012).

Criteria 1,2 ,8 and 9

Ash utilization On average only 34% ash is being utilized whereas new norms are towards 100% utilization.

Tiwari, M. et al., (2016).

Criteria 2, 4 and 8

Leadership and long term strategic issues

Global energy leaders to focus increasingly on long-term trends that threaten existing economic and business models.

World Energy Issues Monitor 2017, https://www.worldenergy.org/data.

Criteria 1 and 2

Impact of renewable energy

It has major ramifications on the life and efficiency of thermal power plants due to cyclic operations.

Atul Sharma and Amritanshu Shukla, 2016, Covert T , 2016.

Criteria 1 and 2

Power sector and CSR

Philanthropic work, standing out contribution, supporting govt initiatives, law and order situation, harmony with local community.

Verma, 2016, Sinha D et al, 2017, Sarabu V., 2017, Mansi, S. t.al, ( 2017).

Criteria 2, and 8

Factors Authors EFQM criteria linkage

Issue / challenges and expectations

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APPROACHES TO HAVE SPECIFIC BUSINESS EXCELLENCE MODELS

Factors identified in previous section need to be addressed for achieving overall excellence of Indian thermal power generating sector. The approach is to incorporate these factors in EFQM model so that there is positive impact on effectiveness of model. Many researchers have reported similar approaches for specific industries, Garvare R, Isaksson R. 2001, in their study titled “Sustainable development: extending the scope of business excellence models”, proposed additional criteria / sub criteria in EFQM model (criteria like: individual excellence, organizational excellence, societal excellence, personal excellence and environmental result). McDonald, I., Zairi, M., Idris, M.A., 2002, proposed an empirically based framework of TQM transformation based on EFQM model.

Charalambos Litos et al. 2011, has mentioned that Business Excellence Models are non-prescriptive and generic, thereby suggested that for effective implementation to a business sector, it requires sector specific adaption. The paper proposes specific BEM for Greece five star hotels. The model has 13 criteria and basis of developing model was EFQM, MBNQA, Australian Quality Award and Canadian Quality Award. The model was developed in discussions with managers of Greek five star hotels. Based on literature available, Charalambos Litos et al. also mentioned about some sector specific BEMs in hospitality, health care, banking, and higher education. However these sector specific models, normally just present variation in main criteria, sub criteria and weightages thereof, without specifying sub criteria level indicators / parameters / attributes (Manoj Dubey, 2016).

METHODOLOGY

The study followed a research approach that combines literature review, qualitative and quantitative techniques. The stages included in the methodology are as follows:

(1) Analysis of the literature related to the subject of the study to identify the environmental, firm variables and parameters related to Indian thermal power generating sector. Identifying EFQM variables those might be most relevant for inclusion of sector specific factors.

Human Resource and power sector

Manpower, training and development needs, work life balance in power plant, flexibility, R&D and productivity issues related to HR in power sector, competency to face new commercial challenges, future tariff mechanism.

Nagendra Singh Nehra and Santosh Rangnekar, ( 2016), Mohammad Faraz Naim, ( 2017)

Criteria 3 & 7

Factors Authors EFQM criteria linkage

Issue / challenges and expectations

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(2) Based on literature review, 42 questions were framed to get qualitative feedback from professionals associated with Business Excellence Models and power sector in India. Responses were received from 30 out of 50 professionals contacted through emails.

(3) Hypothesis, construct and variables for the quantitative analysis were decided for structure equation modeling, based on the content analysis of qualitative feedback.

(4) Data collection from 150 professionals and quantitative analysis using Smart PLS 3.2.7 software.

HYPOTHESIS

8.1 Indian thermal power generating sector specific enabler factors and its impact on EFQM enablers and overall excellence

Based on qualitative feedback and literature review, 16 factors have been identified, which will be suitably included in the respective enabler criteria of EFQM model as guidance points (in addition to existing generic guidance points). This inclusion will make positive impact on EFQM model’s five enabler criteria, viz Leadership, Strategy, People management, Partnership and resources and Process, product and services. The impact can be tested through construct by assigning variables. To test the impact of these 16 variables on EFQM enablers criteria, 12 variables (from EFQM model enabler criteria), have been identified by taking variables from Leadership (3) , Strategy (3) , People management (2) , Partnership and resources and Process (2) , Process, product and services (2). These 12 variables of EFQM model have been chosen as corresponding to 16 factors of Indian thermal power generating sector and it is being assumed that such inclusion will make enabler more effective. These 12 enabler variables of EFQM have been used earlier by researchers Arturo Calvo-Mora et al ( 2014), Luis Miguel Ciravegna Fonseca, 2015, Arturo Calvo-Mora et al ( 2015).

To test impact on five enablers of EFQM model and on overall excellence of sector, following five hypotheses will be tested:

H1a: Inclusion of Indian thermal power generating sector Leadership specific factors in Leadership criteria of EFQM will have positive impact on this criteria and in turn it will positively impact overall excellence of sector.

H1b: Inclusion of Indian thermal power generating sector Strategy specific factors in Strategy criteria of EFQM model will have positive impact on this criteria and in turn it will positively impact overall excellence of sector.

H1c: Inclusion of Indian thermal power generating sector specific People factors in People criteria of EFQM model will have positive impact on this criteria and in turn it will positively impact overall excellence of sector.

H1d: Inclusion of Indian thermal power generating sector specific Partnership & resources factors in Partnership & resources criteria of EFQM model will have positive impact on this criteria and in turn it will positively impact overall excellence of sector.

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H1e: Inclusion of Indian thermal power generating sector Processes specific factors in Processes criteria of EFQM model will have positive impact on this criteria and in turn it will positively impact overall excellence of sector.

8.2 Indian thermal power generating sector specific results factors and its impact on EFQM results and overall excellence

Based on qualitative feedback, 09 factors have been identified, which will be suitably included in the respective results criteria of EFQM model as guidance points (in addition to available generic guidance points). These inclusions will make positive impact on EFQM model’s results criteria, i.e. Customer, People, Society and Business results. From EFQM model results criteria, taking one variable from each criteria, 4 variables have been identified. These variables have been chosen as measure to latent variable ‘overall result’ of EFQM. Such variables have been used by researchers - Arturo Calvo-Mora et al ( 2014), Luis Miguel Ciravegna Fonseca, 2015, Arturo Calvo-Mora et al ( 2015).

To test impact on result criteria of EFQM model and on overall excellence of sector, following hypothesis will be tested :

H2. Inclusion of Indian thermal power generating sector specific results factors in respective results criteria will have positive impact on overall results criteria of EFQM model and in turn on over excellence of sector.

8.3 Impact on overall excellence of Indian thermal power sector by enabler and results criteria of EFQM model

The idea of inclusion of sector specific factors in EFQM model is to ensure that Indian thermal power generating sector’s overall excellence is getting positively impacted. The overall excellence by EFQM is defined under 8 variables viz - adding value to customer, creating sustained future, developing organization capability, harnessing creativity and innovation, leading with vision, inspiration and integrity, managing with agility, succeeding through talent of people and sustaining outstanding results. These variables have been listed at EFQM model website (www.efqm.org/efqm-model/fundamenatal-concept) and used by researcher like, Calvo-Mora, Picón-Berjoyo et al., 2015, Talwar, B., 2011. The overall excellence will have positive impact by both enables and results criteria (after inclusion of sector specific factors in these criteria) of EFQM model.

CONSTRUCT FOR HYPOTHESIS

Six constructs (one for each hypothesis) have been formed, which are depicted through figure 2 to figure 6. Each construct has three latent variables and each latent variable is being measured through variables as described in table 4. These constructs have been tested using partial least square structural equation modeling (PLS-SEM). The latent variable for overall excellence (L OE) appears in each construct.

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Figure 2: Construct for hypothesis H1a

Figure 3: Construct for hypothesis H1b

Figure 4: Construct for hypothesis H1c

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Figure 5: Construct for hypothesis H1d

Figure 6: Construct for hypothesis H1e

Figure 7: Construct for hypothesis H2

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SAMPLE The sample is made up of 150 Indian power plant professionals, who are having

exposure to EFQM model and few of them are assessors of BEM. The data was collected through questionnaire having 55 questions and respondents were asked to rate the variables in the form of question in the scale from 1(strongly disagree) to 5 (strongly agree).

Table 3. Response analysis

All these constructs have first latent variable as formative construct with indicators decided through literature review and qualitative analysis feedback. The second and third latent variables in each of six constructs are reflective. These reflective latent variables are based on theoretical concepts and inferred from manifest variables or indicators. So leadership, policy and strategy, people, partnerships and resources, and processes variables have been taken from EFQM model and each of these criteria has been dealt with separately. The reliability and validity of the original measures of the EFQM model have been also confirmed by Heras-Saizarbitoria et al. (2011) and Arturo Calvo-Mora et al (2014)

On the other hand, the results variable has been designed as a multidimensional construct. This means that the results variable consists of a multi dimensions and it is measured by four dimensions namely key business, people, customer, and society results (Polites et al., 2012 and Arturo Calvo-Mora et al., 2014). The overall excellence latent variable is based on eight fundamental concept of EFQM model. The distribution of 55 variables is tabulated in Table 4.

ANALYSIS Partial Least Squares The research model proposed has been tested using a variance-based structural

equation modeling (i.e., Partial Least Squares – PLS), Reinartz et al. 2009. The use of PLS is justified by the following reasons (Roldán, Sánchez-Franco 2012): (1) this study is oriented toward the prediction of the dependent variables; (2) the research model is complex, both in the number of variables (manifest and latent) and in the hypothesized

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relationships; (3) the sample is small and, according to Reinartz et al. (2009), PLS should be applied when the number of observations is lower than 250.

Table 4. Latent Variables and its Measures

Evaluation of reflective measurement models Individual item reliability is assessed by analyzing the standardized loadings,

reliability, composite reliability, average variance extract (AVE) and discriminate validity as a measure of internal consistency. In our research, all constructs have been tested as reliable.

Evaluation of the formative measurement model The formative measurement model, at the dimension level, is examined by first

examining convergent validity, assessing the potential multicollinearity by variance inflation factors (VIF), and the magnitude of the outer weights and outer loadings. Further Bootstrapping output – t value, p value, confidence level and significance level has been applied for evaluating formative indicators. All formative constructs have passed these tests.

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Structural model assessment The structural model is assessed analyzing the Collinearity Assessment, Structure

model path coefficient (Bootstrapping output t value, p value and confidence level). Coefficient of determination (R2 and R2 adjusted), Effect of size f2 and Blindfolding output (Q2). The predictive relevance of the structural model has been tested following the Stone Geisser Q2. A Q2 greater than 0 implies that the model has predictive relevance (Roldán, Sanchez-Franco 2012). Structure model assessment is positive for all structures.

Hypothesis H1a testing- India Thermal Power Sector Leadership factors, EFQM Leadership and overall excellence (OE)

For SEM – PLS method, software version – Smart PLS 3.2.7 has been used. A sample result data has been reproduced here for first construct having latent variable L1, L2 and L OE, while for balance five constructs, test result data is not produced for simplicity and space issue but all six constructs have been tested positively on laid down criteria. Moreover it will be long repetition of for each construct.

Formative measures (Latent variable L1) Table 5 to 7 gives testing of formative measures as software output of

first construct.

Table 5. Convergent Validity Test

Table 6. Collinearity Test

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Table 7. Significance and Relevance Test

Reflective Measures (Latent variables L2 and LOE) Table 8 gives software output for latent variables of first construct.

Table 8. Composite Reliability, AVE and Discriminate Validity Test

Assessing structure model Table 9 to 13 gives software output of first construct as structure model

and associated test outputs.

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Table 9. Collinearity Assessment Test

Table 10. Structure Model Path Coefficient Test

Table 11. Coefficient of Determination Test

Table 12. Effect of Size f2 Test (f2 > 0.15)

Table 13. Blind Folding and Predictive Relevance Test

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DISCUSSIONS The acceptable predictive power in the research model is explained by variance (R2)

values more than acceptable limit and a high predictive relevance by having dependent reflective variables of the Q2 coefficient values over 0. All six constructs have passed requisite tests, indicating acceptance of all six hypotheses.

The leadership criterion of EFQM is important for formulating and effective implementation of a set of strategies, policies and actions related to overall excellence of sector. The tested first two hypotheses H1a, H1b establishes positive impact of sector specific leadership & strategy factors and its impact on overall excellence. Similarly people, partnership & resources and processes are effective when sector specific factors are included in respective EFQM enabler criteria. This aspect is corroborated in this study by hypotheses namely H1c, H1d and H1e.

The study has similar outcome for the results criteria of EFQM and overall excellence of the sector. How organization develops and improves its key activities will be driving force of the organization’s results (Anderson et al. 1995). Regarding the overall results, composite factors for Indian thermal power generating sector for customer, people, society and key business results have been considered and its effect on overall results as described by EFQM has been tested. The hypothesis H2 clearly brings that Indian thermal power generating sector specific results factors when included in EFQM, positively impacts overall excellence of the sector.

The factors specific to Indian thermal power generating sector like fuel, cost of generation, availability and reliability of power, capacity utilization, financial soundness of distribution companies, clean energy, R&D, innovation and creativity, balancing energy trilemma, efficiency of thermal power generation, environmental effects of Indian coal power plants, ash utilization, flexibility to take care of long-term trends that threaten existing economic and business models, impact of renewable energy, power sector and CSR, skilled manpower, training and development needs, work life balance in power plant, , R&D and productivity issues related to HR in power sector, competency to face new commercial challenges, future tariff mechanism are to be addressed properly. The study proposes suitable measures on enabler and results side to take care of these factors. Once these are embedded in to existing EFQM model’s sub criteria then leaders and employees of the sector find it relatively simple to understand. In case of generic criteria, companies struggle to imbibe the BEM because first the model is difficult and leaders also do not understand it fully, which causes lack of commitment from leaders. With sector specific factors finding place at appropriate criteria level, the ownership of model gets enhanced and it is not just considered as some award mechanism but rather an improvement tool.

Any quality improvement initiative is top down approach, thus senior management’s commitment is must. Moreover organizations usually find it difficult to choose right initiative based on business requirement (Ricondo & Viles, 2005; Thawesaengskulthai, 2010). This is being ensured through model, which has measures those are acceptable to management of Indian thermal power generating sector and reflecting their business concerns in the form of enablers and results.

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On the other hand, Indian thermal power generating sector must try to optimize the scarce resources (money, information, infrastructure or technology) and carry out an appropriate control and management. This is being taken care by including sector specific efficiency, asset utilization, water, environment, ash utilization, renovation and modernization parameters in the model.

Finally the issue of balanced set of results, organizations many times come in to trap of measuring what is convenient to them rather than holistic measures as suggested by model (Elhuni, M. R., Ahmad, M. M., 2014, Sandbrook, 2001). For Indian thermal power generating organizations, important results measures for customer, people, society and key business have been suggested and tested positively in hypothesis. This ensures continuous improvement of all four results criteria and gives trigger to leaders of sector for innovation, creativity and investment in R&D to improve significantly these parameters.

Certain limitations of the study are to be kept in mind for evaluating the conclusion. First the structural equation modeling technique assumes that relationships between the latent variables are linear. Secondly model is tested for Indian thermal power generating sector and for different organization and geography it is to be tested separately.

CONCLUSION AND TAKE AWAY The proposed model portrays balanced set of results and corresponding enablers

for achieving excellence in Indian thermal power generating sector through EFQM model. The model will be common platform to rank all thermal power units in country on integrated framework of excellence. The score (marks out of 1000), which a power station is getting against this model, will trigger improvement through bench marking of parameters and adoption of best practices. The government can issue commendations to high scoring power stations and at the same time can influence low scoring power stations to work on opportunities for improvement (weakness). The biggest take away on one hand will be a model framework for apple-to-apple comparison amongst thermal power generating units and on other hand sustained and effective contribution towards society and environment by these units.

Winning business excellence award, offers significant boost to image of the organization that uses total quality approach for market share and agility. In addition, it helps in improving stakeholders’ confidence and pride for the employees. For a nation, one of the main purposes of BEM is to raise quality standards among industries so as to serve the demand of public whose quality awareness is ever increasing. Another purpose is to facilitate the sharing of experiences and best practices among industries to encourage cooperation among businesses. For Indian thermal power generating sector, it will definitely help nation to improve efforts towards 24x7 electricity and electricity to all.

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