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INTRODUCTION
Organization study is a part of MBA programme which a student has to undergo
duringtheir course of study. It narrows the gap between theoretical knowledge and practical
situations.Training makes a knowledge man into an experienced one. The principal objective of
the study isto inter-relate the theoretical aspects with practical things that are moving in
industry, and studying the organization as a whole. No doubt that the necessary training will be
imparted at the work place, but having a brief knowledge before entering an organization will
certainly help the individual in learning about the organization quickly and to improve his
performance for the betterment, as well as the betterment of the organization for the organization
for which he is working.
Objectives of the study
To get the practical exposure in the corporate world.
To have a proper balance between the theory and practical knowledge.
To study origin, growth, vision, mission and status of the organization.
To study the functional departments exist in the organization.
To evaluate the effectiveness of the organization.
To study the problem areas in the organization.
To provide some valuable suggestion to improve the efficiency in theorganization
COMPANY PROFILE
History of the Karnataka Power Sector
The gears of enterprise in Karnataka powered nascent industrial activity as earlyas the year 1800,
when the first sugar unit was set up. In 1902, Karnataka recorded another “mega watt sized
project first” - Asia’s first Hydro Electric Power Station in Shivanasamudram,on the banks of
river Cauvery.
In fact, Karnataka’s pioneering spirit in the field of power has been translated into severalmajor
milestones. Karnataka was the first to embark on Alternating current, when BangaloreCity’s
lighting scheme was completed.
Karnataka had the longest transmission line in the world in 1902, from Shivanasamudram
toKGF, covering a distance of 147 km. and Karnataka was the first state in the country to
conceiveand set up a professionally managed Corporation to plan, construct, operate and
maintain power generation projects in the state. That’s the legacy that KPCL started with and
built on.
KPCL – an overview
For over three decades, the Karnataka Power Corporation has been a prime mover andcatalyst
behind key power sector reforms in the state - measures that have spiraled steady
growthwitnessed in both industrial and economic areas.
Right from the year of inception, in 1970, KPCL set its sights on “growth from
within”meeting growing industry needs and reaching out to touch the lives of the common man,
in more ways than one.
KPCL today has an installed capacity of 5509.82 MW of hydel, thermal and wind energy, with
4000 MW in the pipeline. The 1470 MW Raichur Thermal Power Station located in Raichur
distis accredited with ISO 14001-2004 certification for its environment protection measures.
Froman industry vantage point, KPCL has raised the bar on the quality of deliverables and
i s constantly working at lowering the cost per megawatt - a commendable cost-value equation
that has become a benchmark on the national grid. KPCL’s stock in trade is industry proven –
well established in frastructure & modern, progressive management concepts and a commitment
toexcel, helping it meet the challenges of the rising energy demands of Karnataka.
The leverage point of KPCL initiatives are its resource management strengths –
right across planning, financing and project engineering. KPCL also has a high
rating in terms of project completion and commissioning within the implementation calendar.
KPCL Mission & Objectives
KPCL seeks to touch higher vantage points in the world of power engineering. Our formula for
achieving this - start with a world class organization, build-in efficiency and costcontrol and
ensure that progress is in harmony with the environment.
• Exploring, identifying and developing opportunities in power generation.
• Devising innovative ways of setting up and operating power plants.
• Investing in a resource base of technical competence, systems, processes and capability.
• Empowering people, work teams and the support network to achieve these objectives.
KPCL Vision
“Ensuring energy security for Karnataka through diversified energy portfolio”.
Social Responsibility
• The corporation made a total contribution of Rs. 1.5 Crs to chief Minister’s Relies fund
during the year 2004-2005.
• Enhancement of knowledge and skill of employees through training.
• Voluntary implementation of best practices having regard to the regulatory tariff regime.
• High priority in compliance to environment laws, regulation and norms.
INDUSTRY PROFILE
The power sector has registered significant progress since process of planned development of the
economy began in 1950. Hydro-power and cost based thermal power has been the main sources
of generating electricity. Nuclear power development is at slower pace,which was introduced, in
late sixties. The concept of operating power systems on a regional basiscrossing the political
boundaries of state was introduced in the early sixties. In spite of the over all development that has
taken place, the power supply industry has been under constant pressure to bridge the gap
between supply and demand.
HISTORY
Although electricity had been known to be produced as a result of the chemical reactionsthat take
place in an electrolytic cell since Alessandro Volta developed the voltaic pile in 1800,its
production by this means was, and still is, expensive. In 1831, Michael Faraday devised
amachine that generated electricity from rotary motion, but it took almost 50 years for
thetechnology to reach a commercially viable stage. In 1878, in the US, Thomas Edison
developedand sold a commercially viable replacement for gas lighting and heating using locally
generatedand distributed direct current electricity.
The world's first public electricity supply was provided in late 1881, when the streets of the
Surrey town of Godalming in the UK were lit with electric light. This system was poweredfrom a
water wheel on the River Way, which drove a Siemens alternatr that supplied a number of arc
lamps within the town. This supply scheme also provided electricity to a number of shopsand
premises.
Coinciding with this, in early 1882, Edison opened the world’s first steam-poweredelectricity
generating station at Holborn Viaduct in London, where he had entered into anagreement with
the City Corporation for a period of three months to provide street lighting. Intime he had
supplied a number of local consumers with electric light. The method of supply wasdirect current
(DC).
It was later on in the year in September 1882 that Edison opened the Pearl Street
Power Station in New York City and again it was a DC supply. It was for this reason that the
generationwas close to or on the consumer's premises as Edison had no means of voltage
conversion. Thevoltage chosen for any electrical system is a compromise. Increasing
the voltage reduces thecurrent and therefore reduces resistive losses in the cable.
Unfortunately it increases the danger from direct contact and also increases the required
insulation thickness. Furthermore some loadtypes were difficult or impossible to make for higher
voltages.Additionally, Robert Hammond, in December 1881, demonstrated the new electric
lightin the Sussex town of Brighton in the UK for a trial period. The ensuing success of this installation
enabled Hammond to put this venture on both a commercial and legal footing, as anumber of
shop owners wanted to use the new electric light. Thus the Hammond ElectricitySupply Co. was
launched. Whilst the Godalming and Holborn Viaduct Schemes closed after afew years the
Brighton Scheme continued on, and supply was in 1887 made available for 24hours per day.
Nikola Tesla, who had worked for Edison for a short time and appreciated the electricaltheory in
a way that Edison did not, devised an alternative system using alternating current. Teslarealised
that while doubling the voltage would halve the current and reduce losses by three-quarters, only
an alternating current system allowed the transformation between voltage levels indifferent parts
of the system. This allowed efficient high voltages for distribution where their risks could easily
be mitigated by good design while still allowing fairly safe voltages to besupplied to the loads.
He went on to develop the overall theory of his system, devising theoreticaland practical
alternatives for all of the direct current appliances then in use, and patented hisnovel ideas in
1887, in thirty separate patents.
In 1888, Tesla's work came to the attention of George Westinghouse, who owned a patentfor a
type of transformer that could deal with high power and was easy to make.
Westinghousehad been operating an alternating current lighting plant in Grea Barrington,
Massachusetts since1886. While Westinghouse's system could use Edison's lights and had
heaters, it did not have amo to r . With Tesla and his patents, Westinghouse built a power system
for a gold mine i n Telluride, Colorado in 1891, with a water driven 100 horsepower (75 kW)
generator powering a100 horsepower (75 kW) motor over a 2.5-mile (4 km) power line.
Almarian Decker finallyinvented the whole system of three-phase power generating in Redlands,
California in 1893.Then, in a deal with General Electric, which Edison had been forced to sell,
Westinghouse'scompany went on to construct a power station at the Niagara Falls, with three
5,000 horsepower (3.7 MW) Tesla generators supplying electricity to an aluminium smelter at
Niagara and thetown of Buffalo 22 miles (35 km) away. The Niagara power station commenced
operation onApril 20, 1895. Tesla's alternating current system remains the primary means of
delivering electrical energy to consumers throughout the world. While high-voltage direct
current (HVDC) is increasingly being used to transmit large quantities of electricity over long
distances or toconnect adjacent asynchronous power systems, the bulk of electricity generation,
transmission,distribution and retailing takes place using alternating current.
Growth of Indian power sector
Power developmentis the key to the economic development. The power sector has been receiving
adequate priority ever since the process of planned development began in 1959.The power sector
has been getting 18-20% of the total public sector outlay in initial plan periods.Remarkable
growth and progress have led to extensive use of electricity in all the sectors of economy in the
successive five years plans. Over the years (since 1950) the installed capacity of power plants
(utilities) has increased to 109092 MW (2004-05) from 1713 MW in 1959,registering a 63 fold
increase in 54 years. Similarly, the electricity generation increased from about 5.1 billion to 440
billion units –86 fold increases. The per capita consumption of electricityin the county also
increased from 15 KWH in 1950 to about 395 KWH in 2004-05, which isabout 26 times. In the
field of rural electrification and pump set energization, country has made atremendous progress,
88% of the village have been electrified except far flung areas in NorthEaster states, where it is
difficult to extend the grid supply.
Generation mix
The share if hydel generation in the total generating capacity of the country
hasdeclined from 34% at the end of the sixth plan to 29% at the end of the seventh plan and
further to 25.5 percent at the end of eighth plan. The share is likely to decline ever further unless
suitablecorrective measures are initiated immediately. Hydel power projects, with
storage facilities, provide peak time support to the power system. Inadequate hydel support in
some of the regionsi s adversely affecting the performance of the thermal power plants. In
western and Easternregions, peaking power provided by thermal plants, some of which have to
back down during off peak hours.
Emergence regional power systems
In order to optimally utilise the dispersed sources for power generation it was decided right at
the beginning of the 1960’s that the country would be divided into 5 regions andthe planning
process would aim at achieving regional self sufficiency. The planning was so far based on a
region as a unit for planning and accordingly the power systems have been developedand
operated on regional basis, strong integrated grids exist in all the five regions of the countryand
the energy resources developed are widely utilised within the regional grids.Presently, theEastern
and North-Eastern regions are operating in parallel. With the proposed inter-regionallinks
being developed it is estimated that it would be possible for power to flow any where in
thecountry with the concept of National Grid becoming a reality during 12Th plan period.
Private Sectors
The initial response of the domestic and foreign investors to the policy of private participation in
power sector has been extremely encouraging. However, many projects haveencountered
unforeseen delays. There have been delays relating to finalisation of power
purchasea greements, guarantees and counter guarantees, Environmental clearances,
matching transmission networks and legally enforceable contracts for fuel supplies. The shortfall
in the private sector was due to the emergence of a number of constraints, which were not
anticipatedat the time the policy was formulated. The most important is that leaders are not
willing tofinance large independent power projects, selling power to a monopoly buyer such as
SEB’sdonot pay for electricity. Uncertainties about fuel supply arrangements and the difficulty
i n negotiating arrangements with public sector fuel suppliers, which concern penalties for
non- performance, is another area of potential difficulty. This important to resolve these
difficultiesand revolve a framework of policy which can ensure a reasonable distribution of risks
whichmake power sector projects financially attractive. The capacity addition programmed
for the 9th plan envisaged around 17588MW to be added by private generating companies. In
order toachieve the targeted private sector capacity addition during the 9th plan, the following
additionalfacilitating measures have recently been suggested by the promoters. Most of these
have beenaccepted while some of them are under the consideration of the government.
Objectives of the power sector
To provide reliable and quality power at a economic price.
To make the sector commercially sound and self-sustaining.
To achieve environmentally sustainable power development.
High performance levels to reduce cost and ensure reliable power supply.
PRODUCT/SERVICE PROFILE:
The study is conducted in “Karnataka Power Corporation limited”, which has generatingthe
power as its product. The firm is providing the service of power with out which lightening isnot
possible. Now a day’s power is very essential in all the activity of life of human beings.
KPCL is a monopoly producer of power in Karnataka state. The corporation is generatingthe
power by Hydro, wind and coal. It is really very expensive to generate power. Because
itneeds constructed dam for Hydal power generation, generators, plants, which incur hugeinvest
ment, it also costly in the case of wind and coal. At present KPCL producing at 70%through
hydro, 20% by coal and 10% by wind.
The power generated by KPCL is sold KPTCL (Karnataka Power TransmissionCorporation
Limited). As per data collected the corporations is generating power capacity is19713 million
units. The generated power can not be saved and sold some days later, it should besold out while
generating. Power is sold with the help of the gridlines, transforms & other power supply tools.
At present KPCL is using modern techniques of power generation. In addition to this
thecorporation is training their employees regarding the power generation
techniques. The KPCL has more than 20 projects.
HYDRO ELECTRIC POWER GENERATION
This is one of the cheapest ways to electricity, the kinetic and potential energy of runningwater
being harnessed to drive generators. However, it is limited to mountainous region wherefast
rivers flow. A fairly large difference in height is required to produce enough force in heflowing
water to turn the water wheels to which the generators are connected.
Early installation had vertical water turning the machinery. Modern plants use verticalgenerators
mounted on horizontal water wheels. These generators of the synchronous salient pose type are
of very large diameter (30 to 40) feet and have a large number of poles (up to 60)depending on
the speed of rotation (usually from 100 to 600rpm). The required head of water obtained by
constructing a dam across the river, usually at its steepest point to make maximumuse of height.
A reservoir forms behind the dam, so that a constant head of water is obtained.This water form
the reservoir is carried through underground ducts and they directed against thegenerators are
usually mounted in the range 6.6 to 15 KV. The exciter set on top of the maingenerator provides
the low voltage, high current D.C required to set up the magnitude field in themin generator.
Transformers situated just outside the powerhouse raise the voltage to the longdistance
transmission level of 275 to 400KV.
These plants are cheap to run, for this only a small staffs is required. However, the initialcapital
is enormous since dam construction is a major civil engineering feat. Suitable sites for hydro
electricity transmission lines must be added. However, these stations have a long life up to5
years.
THERMAL POWER STATION
Thermal power stations were the best energy, which is converted in to electric energy
and provide the majority power generation at present. The main is advantage is that they can be
sitedwhere needed thus saving on the cost of the transmission lines. However, high cost of fuel
(coal,oil or gas) is incurred.
In operation, fuel is burnt to heat the water in the boiler, which then produces steam atvery high
pressure (up to 5000 Ib/sqare Inc) and temperature (1100 f). This steam is directed onto blades of
high-speed turban, which is connected to the generator. The steam is condensed thenthe water is
return to the boiler, thus forming a closed cycle. This condensed is required largecooling tower
of external water (15 million gales/hour for a 300 MW station) or large coolingtower. These sites
must be chosen near the river or where the unsightly cooling tower will notdetract from the
surrounding. The generation are of 2 cycles pole construction rotating at 3000rph again the
voltage output varies between 6.6 to 33KV, the machine rating the higher thevoltage used. The
excited set is again amounted on the shaft. Large amounts of heat are produced is important fans
mounted each end of he rotor circulate air or hydrogen gas. Hydrogen is better cooling medium
then air and also only and fourteenth is its densities. Thus less power is required to circulate.
Recently liquid cooling is using oil or water as being adopted. Liquid are far superior to gases for
cooling, water being 50 times better then the air. Thermal stations are not particularly
efficient, the overall figure about 38% of the thermal power being put into plant fromthe fuel is
available as electric energy. The main limitation is the boiler design, the generators being
up to 90% efficient.
WIND POWER STATION
It is also one type of power generation where KPCL produce power by using the
wind.This form of power generation contributes only 1% of total power generation.
Ex:- Kappatagudda wind farm
DIESEL POWER STATION
A diesel generator is the combination of a diesel engine with an electrical generator (often called
an alternator) to generate electric energy. Diesel generating sets are used in placeswithout
connection to the power grid or as emergency power-supply if the grid fails.KPCL has 6 units
and 21.32 capacity in MW, total installed capacity is 127.92. this typeof power generation is very
costly, it costs nearly Rs.10 per unit and used only for emergency purpose. KPCL’s Diesel power
station is situated in Yelahanka.
Ex:- Yelahanka Diesel Generating station.
ORGANIZATIONAL STRUCTURE
Grouping of activities is an essential step in designing an organizational structure.Grouping of
activities into departments or other homogeneous units is known asdepartmentation.
Departmentation is the process of grouping tasks into job’s the combining of jobs into effective
work groups into identifiable segment or departments.In Prateeks activities are grouped into
different functional units. Each major functionof the enterprise is grouped into different
department. This can also be studied as a separatefunction. Departmentation based on functions
is a simple form of organizing the activities.Specialization of department promotes the
excellence in performance. It lead to improve planning and control of key functions and ensure
economy.
Board of director???????????org
structure ???????
Powers of the Board
• To authorize the corporation for undertaking of work of a capital nature.
• To pay and change to the capital amount of the company and any interest law full payable.
• To act on behalf of the company in all matters relating to bankrupts and insolvents.
• To open any account or accounts with such banks as the board of directors may select
or appoint.
• To appoint or remove or suspend such managers, secretaries, supervisors, clerks, agents and
servants or permanent or temporary as they fit.
• To establish any board or agency for managing any of the affairs of the company in any locality
in India or elsewhere.
• To appoint any person to be the attorney’s of the company.
• No member shall be entitled to visit or inspect works of the company without permission of
directors in the nature of trade secrets, trade mystery and secret process.
Introduction
The functional areas of Karnataka power Corporation Ltd are divided into categories. They are
Production department, Human Resource department, Finance department, Marketing
department, Environment department and, Computer department Finance is the main
source of every business.
Finance department of Karnataka Power Corporation ltd involves managerial activities
concerned with procurement at low cost and utilization of funds for business purposes the
financial manager deals with planning, organizing, directing and controlling financialactivities of
the enterprise Production is also an important work in every manufacturing unit. Karnataka
Power Corporation ltd have latest technological machineries so that the
production process can be done easily. The HRD department of the company is well
structured and employees are getting good benefits and this is one strategy of the company to
increasethe productivity. Lastly, Marketing department of the company is helping the organizatio
n inincreasing the dealers and customers through their marketing strategies and campaigns
and promotional activities. This is all about functional departments. Let us know each
department in depth.
To know the all the Departments detailed information.
To carry out the easy work.
To know how the company process is taken place.
To forecast the future needs of the each Department.
To provide timely services to each department.
FINANCE DEPARTMENT
FINANCE CHART
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Finance department is very essential for any organization to be set up. It is the backbone of any
organization. Similarly the finance department plays a vital role in the set up and running of
KPCL.
Chief accountant manager and chief finance manager works under the direct control
of finance Director at KPCL. Other top executive in the finance department are executive
(Finance), divisional officer (Finance), accounts officer, assistant officer, senior assistant(Accou
nts) and assistant (Accounts).The chief finance manager and accounts manager handle various
activities in the finance department. Each of them has their tasks cut out systematically in these
areas.
In KPCL, finance and accounting department is subdivided into 11 sub departments.
• Salary department
• Cash department
• Bills department
• Budget and costing department
• Consultancy department
• Provident fund department
• Monthly and annual accounts department
• Debt servicing department
• Ongoing project department
• Taxation department
• Pension department
Its brief explanation as follows:
Karnataka Power Corporation Limited
Salary Department
In KPCL salary department looks after the advances to employee’s salary payable to the employees.
Salary department calculates the salary of employees, on the basis of information
given by the Human Resource department regarding the employee’s attendance, leave, leave not
sanctioned, under salary amount deduction made in respect of provident fund, tax, and remittance
charges, recoveries for advance. Salary department credit net salary amount and
reimbursement of Medical and Electricity charges amount to employee’s bank account by
issuing cheques.
Cash department
The cash section is responsible for all receipts and payments of cash, cheques, etc.,
and accounting the same in the books of accounts. KPCL provided 150 corers as working capital
to cash department, to carry out its transactions. If need arises beyond 150 corers, it requires to
get permission from senior executive of finance. The functions of Cash department are:-
• Operation of Bank accounts.
• Withdrawal of cash from bank, to cater for daily needs.
• Payment of voucher by cheques / cash
• Cash disbursement to salary department for payment of salaries, wages and other payments.
• Writing of cash / bank books.
• Preparation of Bank reconciliation statement.
• Safe custody of cash, cheque book, revenue stamp & other documents like bank guarantees,
fixed deposit receipts and investment etc.
• Reconciliation of inter transfer of funds transaction.
Bills department
Bills department concerned with the verification of bills relating to expenses after verification,
the bills will be sent to cash section for payment. Bills department ensure that the bills amount
are not exceeds the budgeted amount. If bill amount exceeds the budgeted amount, the
bill department is not having power to process the bill, in that case managing director has power
to process the bill. In the department bills are divided in to two types.
1. Major bills.
2. Minor bills.
Major Bills
Major bills stands for amount payable for suppliers to supply goods to the power generating
units according to the predetermined agreements. Agreement is made on Rs. 100/-
stamp papers. In case of delay in supply of goods, penalty of 10% on the purchase work is
demanded. 80% of the payment will be made during the agreement, if the goods are being
transported by railways. In case, goods are transported roadways, payment will be made only on
receiving the goods, at the site, the quality and quantity of goods are verified and
inspection report will be sent to the bills section. In bills section the terms and
conditions based on the agreement are verified and if they are found to coincide with
inspection report, then the bills will sent to cash section for payment. If C-form is
producing or submitted the right of royalty and exercise duty would be 4%, otherwise
12%. C-form is issued only after receiving the goods.
Minor Bills
The minor bills include:-
• Payment of interest of loan, debenture, repayment of loan amount and debenture.
• Payment of rent, telephone bill, office expenses printing and stationary, computer maintenance
expenses.
• Payment of director’s fee and remuneration.
• Reconciliation of balance of head offices with Banks.
Budget department
Budgeting is nothing but the blue print of the future needs of the company. Budget refersto
forecast of future need. KPCL involves two types of Budget.
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Revenue Budget
The revenue budget mainly focuses on the sales revenue and the associated costs to generate the
power. The power generation is budgeted on the basis of average of last ten years sales and
expenses on the basis of previous year actual and estimation received from different departments.
• Establishment and general expenses.
• Operation and maintenance.
• Fuel and chemicals.
• Royalty paid for water use.
• Financial charges the outstanding loans.
• Depreciation.
Cash budget
It is helpful in estimating each requirement, planning short term financing and
scheduling payments in connection with capital expenditure project, planning purchase of
materials.
Consultancy Department
KPCL today has the capability to undertake large scale power projects from concept to
commissioning. It can also operate the plant on an EPC basis, with a host of exclusive auxiliary
services. KPCLs Consultancy and Engineering Services Division, an offshoot of its core
competency, offers its clients a wide spectrum of consultancy inputs across the complete cycle of
power project development. It has the expertise in analysis and design of structures using
STADPRO – 2006, NISA – Finite Element package, AUTOCAD 2006,
micro station and in house developed software packages for reservoir operation, Stability of
Dams etc.
These include
• Feasibility studies / evaluation and the compilation of detailed project reports
• Design, Engineering, procurement and construction services
• Consultancy on both Thermal and Hydel Power Stations, including handling of international
competitive bids
• Project Management from project scheduling to preparation of final invoice andcertification.
• Supervision of erection, commissioning and operation of civil, electrical, mechanical systems
and equipment.
• Operation and maintenance services,
• Rehabilitation of dams in distress
• Renovation, modernization and updating of hydro stations
• Overall project and performance management.
Provident Fund department
Karnataka power corporation Ltd employee’s contributory provident rules. These rules shall
come in to force from 20th July 1970. The fund shall be deemed to have been established on and
from 20th July 1970. The regional provident fund commissioner decisions final regarding
interpretation of any rule and it must be carried out by both the trustees and the member of the
fund.
Pension department
The employee pension scheme 1995(statutory). The central Govt established “THE
EMPOLYEES PENSION SCHEME 1995” through the employee’s provident fund andmiscellan
eous provision Act 1952. This scheme shall come into force on 16th day of November 1995.
Internal Audit Department
Internal Audit in KPCL a statutory requirement as per GOI order of 1975 was established in
KPCL in 1977 was earlier under the charge of financial adviser for a quite long, but
now not exist separate wing since 1986 is headed by chief manager (internal audit) and report to
MD KPCL has 5 audit units.
Insurance department
Insurance is a service of an undertaking taken in order to overcome or set off the losses
or damages while operating the business. In order to cover the risk and maintenance KPCL has
taken outinsurance policy with many companies. The risky projects among all power generating
project are RTPS in order to cover all those risks while operating all those insurance policies
covered under RTPS can be classified:
1. Maintenance
• Standard fire and special perils.
•Boiler explosion policy.
•Terrorism.
2. Construction.
Hr dept
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KPCL believes that its true investment lies in its workforce, and their happiness lies in t he
future of KPCL, it therefore strives to make every effort to promote a work culture that enable
an employee to give his very best.
Employee participation in decision making negotiations has enabled the employee to develop a
sense of belongingness and in turn contributes to the progress of the organization. A high
professional approach to recruitment, induction, on the job training appraisals and
proper channels of promotion help KPCL get personnel of the finest quality.
Human resource department concerned with managing/developing people. As theorganisation is
made up of people, they should be managed/ developed to attain higher level of performance
this can be done by developing their skills and motivating them. This helps the organization to
achieve its objective.
KPCL has a dedicated of 2287 professionals, which share the vision of the KPCL technocrats,
administrators and supporting staff of KPCL joining hands to give more power to Karnataka.
STAFF OF KPCL
HRD MISSION
A congenial work environment supportive of high performance leading to attainment of HRD in
KPCL.
Maintaining optimum Staff level nurturing and developing talents, trust, empowerment,
concern for people and reward and key elements of congenial work environment which is
dynamic.
KPCL’s strength is its people. In its journey to achieve excellence, KPCL is focusing one very
aspect and area of work with the trust area being the development of its human resource
Functions of the Human Resource Department:
RECRUITMENT:
It is the process of finding and attracting capable applicants for employment. It is
the process of searching for and obtaining applicants for jobs, from among whom
the right people can be selected.
Online Recruitment:
• 200 Engineers recruited in 2005
• Website notification.
• About 4500 applications received online.
• Written test through IIsc.
• Interview/selection finalized in about 3 months.
TRAINING
Every year the corporation the training program for the benefit of the employees and the
company. During the year 2008-09 in house and external training 92 programs were conducted
totally 1151 employees consisting of 1031 corporate and 120 non-corporate cards benefited from
the training was Rs.41.07 lakhs.
IN-HOUSE TRAINING PROGRAMMES
• Corporate excellence through co-operation and collaboration.
• Company a/c’s and accounting standards.
• Performance management.
• Managing conflict for organization excellence.
• Total quality management.
• Motivating and goal setting.
• BPR and bench marking.
•Attitudinal shift through self development.
EXTERNAL TRAINING PROGRAMMES
• National seminars on utilization of fly ash.
• Earthquake resistance design of dams.
• Renewable energy source and energy audit.
• National seminar views of the future civil engineering in 21st century.
• Role of energy efficiency in the Indian energy sector.
• Seminar on instrumentation engineering practice, team and research.
• Conference on the condition monitoring of plant and equipment.
• International conference on civil engineering.
PERFORMANCE APPRAISAL
To ensure greater objectivity in appraising the performance of employees and also taking in to
account the present day practices in professionally managed organization, KPCL decided to
introduce a new system called performance appraisal and development system in the corporation.
The PADS will apply to all the employees in the corporation cards.
In KPCL once in year the performance appraisal will be sent to the entire department
inorder to know the appraisal of employees. It will be measured by immediate supervision,
reviewing authority and accepting authority.
TRANSFER
Transfer of an employee from one place of work to another place of work or one job to another
job is ordered primarily in the interest of the service of the corporation. Request of anemployee
for transfer is given consideration and acted upon if it is in consonance with the interest of the
service of the corporation. Transfer also aims at rotation of employees amongrelate jobs of the
discipline to which the employee belongs, thereby enabling the employee toacquire wider
knowledge and experience in the discipline. Transfer and non-transfer, however isnot a matter of
right for any employee.KPCL has right to transfer any employee from one place to another place
with in the country.Transfer may arise due to:
• Administrative grounds
• suitability
• Higher studies
• Medical grounds
• Joining spouse
RETIREMENT
The corporation has multiple schemes of retirement benefits of its employees, majority
of employees retiring under the pension and allied schemes, few employees retiring under
contributory provident fund schemes prevailing them, a scheme exempted.
WELFARE ACTIVITIES
The HR Department is in charge of all the welfare activities in the organisation. Thewelfare
activities under taken by KPCL are:-
• School recreation, club.
• House journal.
• Libraries and reading rooms.
• Sports and games.
• Consumer co-operative society.
• Literacy programmes.
• Canteen.
• Medical facilities.
• Cultural activity
LOANS
House building / purchase / repairs improvement and extension advance may be grantedto the
employees of KPCL for his bonafide, residential purpose only.
• Vehicle advance to the employers and employees.
• Festival advance to the employees of the corporation.
• Loan assistance for the personal computer..
SAFETY MEASURES
Providing conveyance and other facilities to the employees involved in the accident whileon duty
or service.
•Accidents resulting in minor injuries / service injuries.
• Fatal accidents while on duty.
• Death of employee while on service.
• Lost homage.
• Free conveyance.
• Retention.
PRODUCTION DEPARTMENT
For a power Generation Company a good production team is necessary. KPCL is
havinga very good production department with highly skilled labour. They recruit experience pro
fessionals. They upgrade technology on a continuous basis. KPCL gives them adequatetraining
in order to update them with latest techniques and with new skills. These productionteams are
placed at project sites with adequate facilities. Today KPCL owns and operates 34Dams and
nearly 25 Power houses.
These are four type of power generation by KPCL and they are:-
1.THERMAL: In this type of power generation KPCL produces the power by using
coaland fuel as raw material. At present RTPS’s (Raichur Thermal Power Station)
8 th unit,BTPS (Bellary Thermal Power Station) thermal plants are under construction. KPCL
hasmany track records in Thermal power production. In these case KPCL is well
known inAsia and world this form power generation contributes 31% of total power
generation.Ex: RTPS which have 7 units.
2.HYDEL: In this case KPCL produce the power by using the water as raw material it
hasconstructed 34 Dams for Hydel power generation. This form of power generationcontributes
68% of total power generationEx: sharavathi valley project, kalinadi hydro electric project
3.WIND: It is also one type of power generation where KPCL produce power by using thewind.
This form of power generation contributes only 1% of total power generation Ex:-Kappatagudda
wind farm.
4.DIESEL POWER STATION : - A diesel generator i s t he combina t i on o f a
d i e se l engine with an electrical generator (often called an alternator) to generate electric
energy.Diesel generating sets are used in places without connection to the power grid or
a s emergency power-supply if the grid fails.
KPCL has 6 units and 21.32 capacities in MW, total installed capacity is 127.92. this typeof
power generation is very costly, it costs nearly Rs.10 per unit and used only for
emergency purpose. KPCL’s Diesel power station is situated in Yelahanka.
Ex: - Yelahanka Diesel generating station
KPCL currently has 34 dams & 25 power stations across the State with profiles that range
from0.35 MW to 1035 MW.The total installed capacity logged by KPCL is 55739.83 MW across
a project canvas that coversexpansions, renovations and upgrading of existing plants. .
<?>MARKETING DEPARTMENT
KPCL directly sells power to the particular customer that is KPTCL, it is a sub part of the
KPCL. KPCL generates power directly sells to the KPTCL (Karnataka Power
TransmissionCorporation Ltd). Its carries out transmission of power,
thus KPCL no need to c a r ry ou t marketing its power generated.
It’s producing ¾ of the demand offered by the KPCL, it fulfilling market demand
by joining hands with central government, Private organisation and other companies.Within the
KPTCL zone power is supplied to the households, commercial establishment,industries etc, and
other government under takes namely:
BESCOM- Bangalore Electricity Supply Company (HQ in Bangalore)
MESCOM- Mangalore Electricity Supply company (HQ in Mangalore)
GESCOM- Gulbarga Electricity Supply Company (HQ in Gulbarga)
HESCOM- Hubli Electricity Supply Company (HQ in hubli)
CESCOM- Chamundeshwari Electricity Supply Company (HQ in Chamundeshwari)
COMPUTER DEPARTMENT (TECHNICAL)
<?>In KPCL, whole organisation is computerised. It is the first state utility in the
power section to have establishedcomputerised satellite communication network,
through V-SAT.LAN is established at office in Bangalore and at all project sites.
LAN is used for E-mail, filesharing, and printing of document, internet,
and application software.
The computerisation includes latest software like Auto-CAD, Oracle, developed 2000,
Windows NT, Server etc. Thesoftware developed with in KPCL deals with –Finance,
Administration, Design, MIS, PublicDeposit, and Provident Fund.
MIS plays a vital role in KPCL, as information is required for any company to set up andalso to
work. In 1996, KPCL started a full-fledged computer services department, there are 18 projects
at Bangalore carried on by KPCL employees; so, in order to cater to all of them system
department was organised.There 13 system engineers and 8 computer engineers catering
according to KPCL. Wide Area Network (WAN) has been installed connecting 9 projects
withuse of V-SAT at Bangalore. LAN is also been installed at all project locations at
Bangalore.There are around 750 computers in the organisation at Bangalore. The whole
organisation iscomputerised. All the projects are automated and they go online to rectify the
problems in the project. They train their staff whenever required, i.e. when the technology is
being updated.The Hi-Tech V-SAT network apply called “SHAKTHINET” was commissioned
during June 1997.
KPCL is a highly IT Savvy company among the public sector units in the state at
largeand power sector in particular and has the distinction of being the first state owned
company inthe power sector to have established SHAKTINET- a satellite based
communication network through V-SATs among all its power stations and
Bangalore. Local Area Networks have beenestablished at all Project locations and
about 800 officials have been wired to corporate officewith reliable VSAT back bone.
All the activities of the corporation are computerized and KPCLhas
the unique distinction among power utilities of establishing voice and data
communication between its projects and Bangalore through the new generation
DAMA V-SATS on KPTCL’s"VIDYUTNET". The computer services department of KPCL
with fully dedicated engineers andsoftware professionals has developed and implemented all the
software required for its businessactivities and is geared to offer consultancy services in
the field of software development and networking.
Some of the software developed in-house are:
• Fuel Management system
• Human resource Information System
• Cash and Compilation Management system
• Establishment
• Integrated Inventory Management System
• Public Deposit System
• Generation Management System
• Billing software for Bellary Thermal power station
• Medicine Procurement system
New Initiatives
• Established 2 MBPS MPLS circuits between Bangalore and two of its major projects
viaRaichur Thermal Power Station and Bellary Thermal power station for speedycommunicatio
n• Extension of the above facility to other project locations in the near future.
• Established Video Conferencing facility at Major project locations.
• Exploring possibilities of establishing SCADA facility at corporate office, Bangalore for real
time data monitoring.
• Providing reliable communication facility at major project locations through Fiber Optic
Cablingusing state of the art technology.The computer services department has set for itself very
high standards and firmly believes that"It is not the IT Infrastructure of a few crores that needs to
be managed but the business that getstransacted over the network that needs to be managed".
ENVIRONMENT DEPARTMENT
“We have not inherited the earth from our parents. We have borrowed it from out children”.
Believing in this credo and translating this belief into action, KPCL is constantly
andconsciously striving to return to the environment whatever the organisation
borrows from it.While carrying out its primary task of power generation, KPCL has also
adopted a definite policythat blends and harmonizes ecological balance even as it upholds human
rights.
The modern civilization is looking for sustainable development, which in real s ense means
improving quality of human life, and much depends on healthy environment developmentcan
not be achieved at the cost of environmental destruction, ecological imbalance and
humanhealth, at any time. Sustainable development has little value with out environmental
protections.
Keeping this in mind, KPCL is stringently adhering to its comprehensive
environmentaction plan that covers systematic strengthening of environmet management, polluti
on monitoring at power stations and implementation of specific environment projects.
Every time KPCL implements a power project, it undertakes a comprehensiveenvironmental
impact study, to examine the impact of the proposed project on the environment.
KPCL also undertakes eco-friendly techniques like controlled blasting, constructingcolonies
with least destruction to ecology, provision of fish ladder, installation of electro
static precipitators in thermal plants, etc. particular care is also taken to minimise pollution.
Environment Management Measure
KPCL’s power generation blueprint has a clear-cut policy on environment
management.Building in greenmapping concepts such as sustainable development, which creates
theframework for improving the quality of life. Sustainable development goes hand-
in-hand with'environment protection'
KPCL has a comprehensive action plan in place that enables environment management,
pollutionmonitoring and the implementation of specific environment projects.
All KPCL projects have the assurance of a comprehensive Environmental Impact Study
toevaluate the impact of the project on the environment. It also prepares an Environmental
Management Plan complying with all the conditions stipulated by KSPCB/MOEF.
KPCL's Raichur Thermal Power Station has been accredited with ISO 14001 -2004 for its
effortstowards environment protection management.
The following innovative and new measures to aid the process of environment control have
been put in place:
• A unique Ayurvedic greenhouse has been developed at Kadra Project.
• Fish fingerlings in power generation reservoirs to maintain aqua-balance.
• Eco-friendly control measures adopted such as controlled blasting.
• Construction of colonies with least destruction to ecology.
• Installation of Electro Static Precipitators in Thermal Plants.
• Measures across the board to minimize pollution.
• Fuel supply agreement with collieries to ensure high grade coal supplies.
• Monitoring measures for ash minimization, ash emission control, ash utilization and
ashdisposal.
• Recycling of water from ash ponds for alternative use.
• Modernization of sewerage treatment plant.
• Continuous monitoring of air quality in work environments & environment
managementmeasures.
Evacuation of Fly Ash from RTPS
KPCL has taken several steps to promote fly ash utilization as per MoEF notification. Fly ash
is being issued free of cost to SSI units. Leading cement manufacturers in the country have tied
upwith KPCL for lifting fly ash to an extent of about 2500 metric tones per day.
Besides severalsmall- scale industries, brick manufacturing Units & Government construction
buildings are alsoutilizing about 450 metric tones per day. The operation and maintenance of
silos and issue of flyash to users from units 3,4,5,& 6 has been entrusted to M/s. ARV Cement
society. In respect of Units 1,2 & 7 M/s ACC has installed the necessary equipment for fly ash
collection at their cost .Fly ash utilization at RTPS is rapidly increasing and present
utilization is 80% of the fly ash production. Further, the users have proposed transport of
ash through rail by having a dedicatedsiding & this work is under progress. Total production of
fly ash during 2006-07 was 17.5 lakhMT and 12.14 lakh MT of fly ash was lifted.
KPCL has established a “Centre of Fly Ash Utilization Technology and
EnvironmentConservation” at Raichur Thermal Power Station in consultation with
Central Power ResearchIns t i t u t e a s consu l t an t unde r Indo Norweg ian
Env i ronmen ta l P rog ramme a t a cos t o f Rs 58 million. Presently, in the above centre
is manufacturing various Fly Ash products and are beingutilized by them for housing. This
centre will demonstrate various process, technologies for themanufacture of construction
materials like brick, hollow concrete blocks, mosaic tiles etc.
Fly ash Initiatives
• MOEF/GOI has stipulated utilization of 100% Fly Ash generated at Thermal
power s t a t i o n s f o r m a n u f a c t u r i n g a s h b a s e d p r o d u c t s l i k e B r i c k s ,
A s b e s t o s s h e e t s , Embankments, Dams and Dykes. Fly Ash is issued free of cost
• The approximate quantity of Fly Ash generated at Raichur Thermal Power Station from 7units for the
year 2004-05 is 16.0 lakh MT
• RTPS has the distinction of utilizing approx. 60 to 65% of Fly Ash in a year
• Total coal consumed during 2004 – 2005 69.10 lakh tones
• Ash content - 22.02 lakh tones
• (Weighted ash content 31.73 %)
• Fly ash (80%) 16.0 lakh tones
• Bottom ash (20%) 4.40 lakh tones
Initiatives to utilize maximum Fly Ash from RTPS :
* Agreement signed with major cement manufacturers like ACC and ARV society
for production of puzzalona cement using Fly ash* The Fly ash is being transported through
specially designed closed tankers by road* MOU between KPCL and major cement companies
like ACC and ARV is under finalization for transportation of fly ash by rail in closed railway
wagons to enhance theutilization* Fly ash has been issued to many SSI units for manufacture of
Fly ash bricks, asbestossheets etc.* Established an R&D centre in 2002 with Norwegian aid for
the utilization of Fly ash inthe manufacture of ash based products.* Associated with the
University of Agricultural Sciences, Raichur by extending financialaid for carrying out R&D
on utilization of Fly ash in the agricultural sector.* Pond ash is being used for construction of
roads.* Fly ash bricks utilized for construction of houses and station building
ASH UTILISATION:
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CORPORATE COMMUNICATION
Corporate communication is playing a vital role in KPCL. The main aim of
corporatecommunication is image building.
Functions of Corporate communication
•
Various publications have been brought out
•
Media Relations – maintaining good rapport with Print &
•
Electronic Media.
•
Sports meet were organized
•
House magazine “Shakthi Vahini” being published regularly to maintain internal relationand
motivating the hidden talents of employees.
•
Organised various meetings, functions and Seminars.
•
Corporate film produced and screened.
•
Corporate Image building in news-paper and magazines released on important occasions.
•
Develops relevant literature and documents of the Company.
•
Enhance the image of KPCL through various sponsorships and financial assistance
totemples, educational institutions and hospitals, district festivals, sports personnel
and blind Association/orphanages as Community service measures.
•
Constant upgrading the image of the company and maintain cordial relations with opinionmakers
and pressure group etc.
SWOT ANALYSISSTRENGTHS:
Availability of resources:
Generally the power generation in India is based on natural resources. Availability
of abundant coal reserves and water resource are boon to power sector.
High potential:
Indian power sector have the vast hydro electric potential of producing 150,000
MW.Emergence of strong and globally comparable central utilities (NTPC, Power
Grid) has helpedthe growth of power sector.
Effective planning and implementation:
Indian power sector have expertise in integrated and co-ordinated (CEA and
PlanningCommission). Availability of highly skilled technical personnel in large numbers has
helped toimplement these plans effectively.
Growing demand for the power;
Indian power sector has responded positively to the increasing demand for the
power throughout the country from all sectors due to industrialisation and irrigation facilities
WEAKNESS
Inadequate infrastructure:
Inadequate infrastructure has lead to inadequate power generation and thus under utilisation of
available resource.
Under utilisation of capacity:
Under utilisation of the existing generation capacity in present projects has decreased
the profitability.
Interstate disputes:
Improper water management and interstate water disputes are wasting valuable
water resource there by reducing the production efficiency.
Fluctuating monsoon:
Unt ime ly monsoon cause s wa t e r s ca r c i t y i n t he coun t ry a f f ec t i ng t he
gene ra t i on o f power and leads to power cuts and load shedding.
Ineffective power administration:
Ineffective power administration leading to power thefts and inefficient use of electricity by the
end consumer decreases the revenue
OPPORTUNITIES
Investment opportunities:
Investment opportunities for private people are increasing because of increasing demandfor the
power. This contributes to growth of power sector.
Subsidies given by government:
Subsidies are given by government for the generating companies to encourage
power generation and supply.
Largest power markets:
Po ten t i a l l y , I nd i an power s ec to r i s one o f t he
l a rge s t power ma rke t s i n t he wor ld . Growing demand for the power from all
sectors of economy like agriculture, manufacturing,service.
Monopoly in power sector:
K P C L b e i n g t h e s t a t e m o n o p o l i s t i n p o w e r g e n e r a t i o n h o l d s
t r e m e n d o u s g r o w t h opportunities in the field of investigation, design,
construction, generation and maintenance of power projects.
Consultancy business:
As KPCL is venturing into consultancy business which is still at growing phase, companycan
look for bright future.
Explore other source of energy:
KPCL has opportunity to explore other source of energy like wind based and solar
power projects.
Rural electrification:
Karnataka Power Corporation Limited
Government has shown concern rural electrification. Schemes like Bhagya jyothi scheme,which
aims to power to the poor families at cheaper rate.
THREATS
Uncertain government policies:
Changes in political environment affect the government policies. Excess involvement
of government in decision making affects the industry.
Bad debts:
Increasing bad debts due to non payment of electricity bills by poor people and power thefts.
Interstate water disputes:
The interstate water sharing disputes have halted the smooth functioning of many projects.
Entry of private players:
With the advent of economic reforms and liberalization, there is an open gate policies for private
participants like TATA Power, Reliance Energy, GMR, etc, in the field of power.
Rise in prices:
Increase in political of coal due to increase in demand and transportation cost leads toincrease
cost of production of Thermal power.
FINDINGS
The organisation is reimbursing the medical bills on time.
The organisation is providing good leave facility to its employees.
The promotion scheme in KPCL is mostly based on seniority.
T h e t r a i n i n g g i v e n i n K P C L i s s e r v i n g t h e p u r p o s e t h a t i s
e m p l o y e e s a r e improving the performance on the job.
The canteen facility provided should be improved so that the employees
work efficiency and their by to improve the productivity of the organisation.
Since t he emp loyees f e l t t ha t t he r e i s d i s t u rbance a t work p l ace due t o
no i s e necessary steps should be taken to remove it.
The financial performance of the company is good compare to previous financialyear
The investors are getting good returns.
The employees are satisfied very much with good benefits.
The co-ordination between management and workers is good.
More training and development is required.
SUGGESTION
KPCL has both expertise and experience in power generation. Hence, the
organisationcan focus on research and development activities leading to innovative methods of
power generation.
Generation of more power from natural sources which again depends on research
anddevelopment.
By generating more and more wind power, cost can be minimised.
More awareness program and other such events at places where power project are
to beconstructed. The co has scope to improve on layout facility.
The company has to improve number of power station.
The factory should make the arrangement of pay to the middle men at the proper time.
CONCLUSION
T h e o r g a n i z a t i o n a l s t u d y h e l p s t o a n a l y z e t h e f u n c t i o n i n g o f t h e
o v e r a l l o rgan i za t i on and t o check ou t t he s t r eng th s and weaknes s o f t he
company . The s t udy g ive s details about the departments, its operation, coordination and
functioning in detail. The companyi s g iv ing ma jo r p r e f e r ence t o qua l i t y i n i t s
ope ra t i on The company i s hav ing a ve ry na r row distribution channel.
It has been a long and rewarding journey for KPCL ever since its establishment inthe year
1970. Today, KPCL takes great pride in the experience it has gathered, the expertise
ithas developed and the skills it has honed. Especially in planning, investigation, design,
executionand effective operation and large power projects. KPCL has completed power projects
in recordtime by compromising on quality of infrastructure and power generation,
these by meeting thechallenges of the rising energy demands of Karnataka. An excellent HR
department coupled withinnovation in technology and motivated staff further have led to the
uplift the organisation.
BIBLOGRAPHYWeb sites:www.powermin.nic.in-Official-
website of Indian Ministry of power.
www.karnatakapower.com–
KPCL Company website.
BOOKS REFERRED:
• Human Resource Management – By Ashwathappa.k
• Financial Management – By Prasanna Chandra.
• Magazines in KPCL.
• KPCL’s 38Th Annual Report 20011-20012
