A strategic plan for operating in a commercialised environment.
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This report evaluates the business plan at Eskom's Matla power station by comparing it to grounded theory to establish whether the strategies selected prepare the station to be competitive in a commercialised environment. It is assumed that the key success factors in a commercialised environment would be low cost operation and service delivery to meet customer demands. It is shown that the business plan is deficient in many regards, but the strategies selected are adequate in preparing the station for operation in a commercial environment. A questionnaire is used to determine management buy-in to the strategies selected to gauge support for the strategies. Reasons for strategies not meeting all objectives are also looked at and recommendations are made to improve· the business plan and the implementation of the strategies selected. The question of whether the strategies support corporate strategy is answered by comparing the vision, mission and strategies selected by the station to the vision and mission of Eskom Holdings and Eskom Generation. The findings here were that, although long and awkward, the mission statement supports corporate mission, while the vision contradicts corporate vision. Matla's vision supports growth through diversification while Eskom Holdings and Eskom Generation focus on core business.