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An Internship Report On PESCO

CHAPTER 1
INTRODUCTION OF THE STUDY

1.1

Background of the study

In the past days university were producing graduates without practical / experience
.
These graduates faced many problems in the practical life/job. Due to which
remain jobless for a long time. if they were not performing their duties because
they were from a theoretical background not having any practical experience
regarding their chosen field of study.
Finally the universities recognized the fact and added additional requirement in the
fulfillment of the graduate degree. This additional requirement was the was that of
the internship. The students are bounded to work in an organization for at leas two
months. This now the degree requirement for master programs and is called
internship. This is a research type study where the interne explore the organization.
The strengths, weaknesses, threats and opportunities of the organization are found
out. After this , the comparative analysis is done and recommendations are made
for the utilization of the strengths, put right the weakness, availing the
opportunities and overcoming the threats of the organization as well.
This report is basically and internship report . being a student of BBA-IT Degree
at institute of management science , university of Bannu two months of internship
in an organization is compulsory for me for the completion of my BBA-IT degree.
Due to which I completed my internship in the PESCO Revenue Office Bannu to
study the human resource activities brought for enhancement both in its employees
and public.

1.2

purpose of the report

this report has been written as a partial fulfillment of the BBA-IT degree
requirement at institute of management sciences, university of Bannu. It is aimed
at the application of the internees knowledge at the practical field analysis of the
concerned organization as well making recommendation so as to beneficial for
internee and the organization as well .

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1.3

Scope of the report

The report covers the basic activities and function of PESCO specially the HRD
Section analysis of the organization as well. Recommendation have been given in
light of the analysis being carried out.
1.4 importance of study
the thesis report is the reflection of analytical power of student. In case of PESCO
main emphasis have been given to the HRM practices. Manpower is the only
appreciating asset of any organization. This report may help students in future to
understand human resource practices in out country . it would also attempt to
evaluate the overall performance of the PESCO manpower
This thesis is based on study carried out for the fulfillment of the degree
requirement of the master in business administration at the institute of
management sciences ( I M S ), Bannu.
To practically apply the knowledge of classroom lectures to the real life situations.
To understand the various human resource practices of the organization.
To make possible recommendation in light of the analysis.
To polish research thesis writing skills/ abilities.

1.5

data collection

in preparation of this report ,mentioned below data collection techniques have


been used i.e primary dare & secondary data.

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Chapter 2
Review of the organization
The Peshawar electric supply company
History
WAPDA
Water and power development authority (WAPDA) was created in 1958 through
WAPDA Act 1958. prior to this the electricity supply services in Pakistan was
undertaken by different agencies, both in public and private sectors, in different
areas.

DIAGRAM

CHAIRMAN
WAPDA

SECRETARY
WAPDA

MEMBER POWER

MEMBER
FINANCE

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MAMBER WATER

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Area electrical board Peshawar


The local areas electricity distribution services is being performed regions of
WAPDA. Then the area electricity board (AEB) Peshawar, on the eight AEBs in
Pakistan was established under the scheme of area electricity board in 1982,in
order to provide more autonomy and representation to provincial government,
elected representatives and other interest groups in functions of the AEBs.
PESCO
The environment and structure of the power industry throughout the world is
undergoing dramatic change. The power sector is moving from monopoly to
privatization and from integration to disintegration. To keep pace with this
change , the government of Pakistan approved a strategic plan in 1994 as a
consequence of which the power /wing of WAPDA
Has been unbundled into 12 companies for generation, transmission and
distribution of electricity .
Peshawar area electricity board was recognized into one such corporatized entity
under the name of Peshawar electric supply company (PESCO) with effect from
22-03-1998 , with the aim of commercialization and eventually privatization.
Peshawar electric company limited (PESCO) established as a result of the
unbundling of the vertically integrated power wing of Pakistan water and power
development authority (WAPDA) . the company was established and incorporated
in April 1998 as a public limited company under Pakistan company ordinance
1984.
It was originally organized to take over the properties, assets , obligations and
liabilities of former Peshawar area electricity board (AEB) of wapda serving
khyber pakhtunkhwa of Pakistan including the tribal area.
Subsequently , a new company tribal electric supply limited (TESCO) was spun
out of PESCO in june 2002 for supply to tribal areas of PESCO . presently service
area of PESCO include Khyber pakhunkhwa excluding tribal areas.
PESCO distributes and supplies electricity to about 1.5 million customers of
various categories within its services area. National electric power regulatory
authority (NEPRA) has granted distribution license of PESCO for distribution and
supply of electricity pursuant of generation, transmission and distribution of
electric power Act,1997 (NEPRA Act). The various categories of PESCO include
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domestic , commercial , industrial and agricultural served by an extensive
distribution system network of 132 KV, 66KV ,33KV ,11 KV and low voltage.

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The role of privatization commission of Pakistan in the formation of PESCO


Formation of PESCO
PC had earlier invite parties for appointment as financial advisory consortium (FA)
to assist the Government of Pakistan (GOP) is considering the privatization of
Peshawar electric supply company limited (PESCO), Which is also a fully owned
GOP company formed as a result of the unbundling of the vertically integrated
power wing of Pakistan water and development authority (WAPDA) Into fourteen
independent companies i.e four thermal generation companies ( GENCO s), one
nation transmission and dispatch company (NTDC) and nine distribution
companies (DOSCP s) for corporatization , commercialization and subsequent
privatization. The company was incorporated as a public limited company under
Pakistan companies ordinance, 1984 in September 1998 and started commercial
operation independent of WAPDA on march 01 , 1999. it is one of the nine DISCO
s responsible for supply and distribution of electricity in the KPK of Pakistan
excluding the tribal areas .
PC received Eight EOI s . however , five of them submitted their technical and
financial proposal for pre-qualification divestiture to undertaken by the private
sector, through competition, accountability, managerial autonomy and profit
incentives; and the government for the privatization pf power sector.
Financial advisor
Privatization commission has hired a financial advisor for the transaction by
inviting the interested parties to submit expression of interest. As a consequence of
the technical and financial evaluation, society general corporate finance advisory
and its sub contractors have started the field due diligence in PESCO head office,
Peshawar , the transaction structure was finalized by june 2005 and the
privatization of PESCO was completed by june 2006.

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Mission statement of PESCO


Mission , broadly stating is , the purpose for which an organization exist and why
should it compete in certain sectors and industries . tithing mission , sometimes
sated as purpose , the organization addresses itself to that it intends to accomplish
both in the long and short run . mission is very broad statement of organization
direction, and is normally summarized and documented in a mission statement . in
the same way , the PESCO has mission statement as follow;
we aim to be an efficient and dynamic distribution business that is the best in
Pakistan in the areas of safety, reliability, great employees and the quality
customer satisfaction to all consumers
Vision statement of PESCO
Achieve and maintain the highest of efficiency, reliability and responsiveness as
public service organization for variety of customers.
Public and company worker safety shall be high on our priority.
Retaining and growing our business , staff and customer base will be of primary
importance.
Developing innovative business relationships both inside and outside our local
distribution area will be a key to our success.
Goals of PESCO
Goals are the ends towards which activities are aimed. In fact these are the results
to be achieved. The PESCO have following certain objectives;
To maintain , augment and expand , as needed, a cost effective and efficient
distribution system to adequately meet the power needs of its consumers.
To comply with the performance specified by NEPRA regarding voltage and
frequency variation, tripping, bread downs, line losses etc.
To continue certain public service obligation including the following;
Installation of basic distribution facilities.
Maintenance of service reliability and safety.
Connection to new customers to ensure open
access to all.
To compete with other DISCO s.
To lead the organization through major cultural change w.r.t
To improve quality of service .
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To reduce theft and improve commercial efficiently.
To innovate and satisfy the consumers demand.
To strive for setting the tariff above the cost of supply to ensure a reasonable
return on investment.
To improve morale and professionalism amongst its employees.
PESCO Core values
Our core values are the common denominators for what we do and how we do it.
The past , present and future of our company are based of our company are based
on these cores values being lived by our employees and our leadership.
We respect our customers.
We value each other.
We strive to continually improve.
We expect to be profitable.
We do meaningful work.
Services of PESCO
1.
2.
3.
4.
5.

We maintain electricity distribution that delivers electricity to your


home/business.
we connect your home / business to electrical power and maintain
that connection, safely and reliably.
we read your power in case of outages or emergencies.
we read your meter and calculate your charges for billing purposes.
we maintain a current and historical record of your account ,
including your consumption and any electricity retailer choices you
made.

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CHAPTER 3
HR AND ADMIN
FUNCTION OF HR DIRECTOR
General statement of functions
The HR directors undertake the following tasks
1.

under direction from the chief executive officer of the company , HR


&Admin shall be responsible for the recruitment and placement of the
right people to right jobs and enhancing their levels of motivation/job
satisfaction through .
a) The provision of the necessary support systems and structures such as an
attractive compensation package , a fair and objective system for
promotion and career progression, training and development inputs to keep
people in pace with the changing demands of their jobs, etc
b) The certain of working environment and activeness administrative support
systems that will promote employee and productivity.
Task Element
More Specifically the HR director shall perform following functions.
1.
2.
3.

A human resource philosophy which shall the companys actions with


respect to human management.
prepare a HR plan to support the short and medium-term goals pf the
company.
develops the policies, and procedures for the following human resources
management concerns:

a ) manpower planning / budgeting


b)
recruitment and selection
c) Appointment , deployment, redeployment/ transfers
d) compensation and benefits administration .
e) Career planning and promotion
f) Performance management.
g) Incentives administration .
h) Training and development.
i) Grant of selection grade.
j) Consider and approve transfer request.
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k) Sanction leave.
l) Disciplinary cases upto BPS 1-16
Public relations overview
To put up press cutting daily to head of the institution;
To perform day to day public relations assignments including:
a.
b.
c.
d.
e.
f.
g.
h.
i.

To get publication of all WAPDA/PESCO news in newspaper and


also photographic coverage in media.
To issue all contradiction and clarifications for print and
electronic media.
To make liaison between PESCO and journalists.
To keep close contact with journalists.
Ti visit regularly press club and hold discussions with columnists
and journalists.
Represent chairman WAPDA , and CEO (PESCO) on the
occasions required.
To participate in radio and tv programs defending WAPDA
/PESCO
To visit frequently the print and media offices.
Ti arrange press conferences/press briefing

To hold press parties.


To issue news /PP/contradiction on daily basis.
To issue advertisement as required.
To arrange photographic coverage of different events.
To ensure the projection of the organization.
To highlight the positive responses of the public representation.
L&L Overview
Duties/Functions
1.
2.
3.
4.
5.
6.

Labor/management affairs.
preparation of pension papers.
welfare fund and GLI
appointment of legal counsels.
to propose all court/litigation cases on the behalf of company.
to guide and impart legal advice to subordinate offices.

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Achievements
One window service facility at each sub-division
Establishment of computerized customer services center in each circle.
Establishment of mobile customer services to facilitate installment and
correction of bills.
Central chief executive customer serves center
Restructuring of circle , division and sub division
Positioning of field offices near geographic center of their jurisdiction and
co-location XEN & RO offices.
Printing of 12 months billing detail on bill.
Well defined and uniform policy for detection bills.
Enhanced allocation for scheduled banks and post offices authorized to
collect bills.
Establishment of model sub-division
Restructuring of stores to ensure prompt availability.
Establishment of marketing cell and task force and task at PESCO HQ
facilitate industrial/commercial/tube well consumers.
Frequent open forums for employees for redress of their problems.
Open katchehries by filed officers.
Function of HRD Section
The human resource development sections of many organization
different important functions. They are;
1. staffing
a. job analysis
b. recruitment
c. selection
2. development
a. orientation of new employees
b. training
c. career planning
3. Motivation
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An Internship Report On PESCO


a.
b.
c.
d.
e.
f.

Salary
Promotion
Job designing
Job enlargement
Job enrichment
Job enrichment

4. maintenance
a.
b.
c.
d.
e.

Provident fund
Pension fund
Health insurance
Group insurance
Child education

But before we go for the above mentioned functions, it is necessary to know about
the term human resource planning.
Human resource planning
human resource planning is sometimes also called and manpower planning
Human resource planning is the process by which managers and teams ensure that
they have the right number and kind of people capable of efficiently and
effectively completion those tasks that will help the organization achieve its goals
and objectives . human resource planning consists of some steps, the HRD
Recruitment policy of PESCO also relies on some steps which are ;
1. mission formulating
2. establishing goals and objectives
3. a profit assessment of the current human resource
4. development of the organization current employee
5. development of human resource information system
6. replacement chart
7. assessment of future human resource needs
8. development of future programs
job analysis
as the human resource development section of any personnel department starts its
HR function with the proper planning for the prosperous future of the
organization, the job analysis is the important step of the HRD section of PESCO
for the effective planning, planning in PESCE , is done in the context of job
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analysis. HRD section carries out job analysis for the creation of new jobs,
appraisal of present jobs and removal of the existing jobs.
Job description
Job description is and outline of the board responsibilities (rather than detailed
task) involved in a particular job. It is useful for informing the applicants about
what the hob entails and also for the settlement of disputes arising afterwards
Job specification
This is a written enlistment of the different skills, experiences and qualifications
required for a particular job. This is also information for applicant where they see
whether they fulfill the requirements of the job or not. They will apply and vice
versa.
Recruitment in PESCO
What is recruitment ?
Recruitment can be defined in number of ways
1.
2.

it is process of attracting individuals on a timely basis, in sufficient


numbers, and with appropriate qualification and encouraging then to
apply for job in an organization
the process of attracting individuals to apply for jobs that is open
the decision to appoint heads of section for a position is to cost
effective attract, detect and select people who are most likely
optimally contribute to the organization within that position

Recruitment or taking on employees is one of the most important task of the HRD
section of PESCO as the success of any organization depends, to large extent , on
the quality of its employees. Employees may be needed when :
The organization expand
New skills are needed
Because of technological requirements
Employ retire ,dismissed or tern over
Appointment Rules of PESCO
Appointment shall be made only against established Position ,for which
approved job description and budget provision exist
Appointment shall be made in one of the following ways :
1.
by direct recruitment and selection (Internal or External)

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2.

by browsing serves of the personnel from federal or


provincial government department ,autonomies local board
of director.
All regular appointment to the position in grade 7 to 10 and grade 5 shall be
advertised appropriately. in the case grade 6the open advertisement will
made if the employees from the internal organization are not available . But
the position on grade 1 to 4 will be advertise internally .
The appointing board of director for different grade are as under.
Grade 10
Appointment will be made by board of director.
Grade 8/9
Appointment will be made by board of director.
Grade 5-7
Management Committee including CEO , concern
PM ,PRO and the sectary of the committee .
Grade 1-4
PN or the nominees of the head office ,PRO ,SSO
A candidate must process the required qualification when Appling for the position
A four year B . Sc . degree considered equivalent to master and PhD degree is
considered equivalent to four year experience.
Applications for position in PESCO are submitted in the prescribed application
form available at the HRD section of PESCO .
Minimum age for grade 1-4 is 18 while for grade 5-10 it is 21 years.
Recruitment sources of PESCO
The mean that can provide suitable candidates for the vacancies at your
organization sources . recruitment can be classified into two types.
Internal sources
Recruitment from within the organization is known as internal recruitment
PESCO. prefers to attract as internal pool of employees for recruitment to new
jobs if they fulfill the requirements of the jobs. The jobs is advertised on the notice
board at the head office as well as at regional offices.
Methods of internal requirement
Employ Referral
The current employees of PESCO refer suitable candidate for available
jobs in the organization. This is internal requirement because the internal
employees are use to refer candidate. This method is used for requirement
of PESCO.
Probationers

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New employ are not hired on permanent basis in PESCO rather they are
hired as probationer for six month. the performance of these probationer is
closely checked in this period. If the performance of the probationary
period is satisfy the employ become permanent.
Methods of external Requirement
External recruiting means, recruiting people for out side the organization, new
blood is always need for organization and PESCO dose practice it by hearing
people from out side the organization .PESCO uses the following methods for
external recruitment.
a) personal recommendation
when there is vacancy in PESCO and a present employee knows about a
competent person for vacancy, he boldly recommends that person. The HRD
section then contact that person and is hired, if found suitable , the job.
b) private employment agencies
PESCO seldom uses the private employment agencies for recruitment purpose
because seldom this is very costly , also the available agencies in KPK are not
competent enough to fulfill the purpose .
b) Advertisement
c) The famous news papers are used for external
recruitment purpose . a great pool of candidates
is attracted in this way, job description and job
specification are clearly given in the
advertisement . the applicants submit their
application within the due date. The application
are short listed and the short listed candidates
are called interview . those who qualify the
interview are offered the job

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d)
Selection process of PESCO
Selection is to chose individuals who possess the necessary skills , ability ,
and personality to successfully fill specific jobs in the organization; the
earlier guide lines given in the recruitment of PESCO will help the HRD
section to make proper selection of suitable candidates. PESCO makes
either from inside or from outside the organization . not only PESCO but
every reason behind it is to motivate the existing employees. The major
sources of employees are discussed in this chapter.
Selection from inside the organization
HRD section from inside the organization
HRD section of PESCO is responsible to carry out the selection process ,
the staff of the PESCO is give more importance because the organization
know the performance of all the employees.
Internal advertisement
The internal advertisement is done by displaying the job on the notice
board. This basic aim behind this advertisement is to inform the internal
pool of the organization.
Short listing of the candidates
Once the last is over, the short-listing starts. Short listing is done in
accordance with jobs description and specification requirements. They
make the short listing of the deserving candidates and call them.\
Aptitude / written test or interviews
The short listed candidate are required to report for the written test on the
specified dates and places. Those who pass the test are called for interview
on specified dates and places.
Selection from out side the organization
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The following steps are involved un the external process of PESCO
External advertisement
PESCO HRD section starts its external selection process with the external
advertisement . it gives the advertisement in different media. i.e print and
electronic media . the print media covers the daily newspapers. The
advertisement is mostly given on the weekends both in the English and
urdu newspapers.
Short listing
Here the short listing is different and difficult as compared with the internal
selection because the number of the candidates is large. PESCO always
gives importance to short listing. Extensive attention is given to this process
. the application are short listed in accordance with the job description and
specification so that suitable candidates may be brought forth.
Aptitude/written test/interview
Test are designed in accordance with the requirements of the jobs. The
candidates are give tasks and written assignments by the selection
committee of the HRD section.
The top scorers of the test are called for interview . some presentation is to
examine the communication skills of the candidate of the candidates.
Documentation and verification
At the end of selection process the documents the documents and
verification of the candidate is done by the HRD section. The information
given the candidates and their documents are verified through proper means
. physically examination is also necessary for certain position. In this ways
suitable candidate are found and their necessary for certain position. In this
way suitable candidates are found and their names are recommended

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CHAPTER 4
COMPENSATION AND PERFRMACE APPRAISAL
financial remuneration given by the organization to its employees in
exchange for their work the compensation is really liked by the
employees because they are receiving return of their hard works in the form
of compensation .compensation is what employees receive in exchange for
their contribution to the organization . compensation is a motivational for
employees because this is question of their bread and butter.
The management always had deep concerns for the motivation level of the
staff. When an organization has a proper compensation policy. It help the
organization achieve its objective and obtain productive employees.
Effective compensation plan has the followingEffective compensation plan has the following essentials;

Compensation level must be competitive in order to return the current


employees.
The plan must encourage the reward - desired behavior . effective
compensation plans reward performance , loyalty , experience ,
responsibility and etc.
The cost of a rational compensation system must be reasonable to return the
workers.
Every government has its own laws regarding compensation system must
be reasonable to retain the workers.
Every government has its own laws regarding compensation of employees.
It is necessary to follow these laws. Therefore consideration should be
given to federal and provincial laws while developing plan.
Cost of living of the area must be taken into account.
Market survey is also needed to find competitors, packages.
The ability of the organization should also be considered .

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Compensation of PESCO
PESCO also take care of the above compensation essentials while making the
compensation plan for the organization. The compensation of the organization is
divided into two types i.e direct or the financial compensation and the indirect or
the non financial compensation.
Financial or the direct compensation
The financial benefits cover the monetary side of compensation . the wages ,
salaries pay for performance , financial reward etc. are included in financial/direct
compensation . once the HRD section makes some new compensation plans, it is
send to CEO for approval . the CEO along with board of directors gives the
approval for the implementation of the plan. As for as the financial compensation
of PECCO are concerned these are paid according to the grade of employees. The
grade are from 1 to 10. the staff in grade 1-4 is called support staff and 5-7 is
called professional staff. At the topmost level is the executive or management staff
and their grades are range from 8-10. now the job analysis makes things easy for
the HRD section. In the appointment letter of PESCO all he benefits are
mentioned for the comers to PESCO , the following are the financial
compensation given by the organization.
MONTHLY SALARY
The monthly salary along with other benefits is written in the appointment letter
of the new employees . all the doubts of the individual are made clear before
joining the organization . the pays are in lump-sum manner I .e all the allowances
are given with the monthly salary. According to PESCO service rules 1994- the
regular employees ( those employees who have successfully completed their
probation period) shall draw their pay. Further all employees are responsible to
pay their income tax a 10% of their basic salary . the gross or net salary of a
month contain basic pay : rent allowance. Conveyance allowance etc.
TA/DA ( TRAVEL ALLOWANCE/DAILY ALLWANCE)
PESCO also gives travel allowance and the daily allowance . PESCO provides the
conveyance for the officials visits to the field and also gives TA/DA . These
allowances vary with the grade.
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Salary increments
The HRD section also gives yearly salary increment to the employee . normally a
10% increment is given per year in the net salary of employees. And this
increment is awarded from the first day of the calendar year.
Provident fund
The provident fund is given to the regular employees those who have completed
their probation period . the employer and the employee quality contribute to the
provident fund . the employs shall contribute 10% of their salary to the provident
fund. Employees on the deputation are not eligible for it. PESCO also gives
gratuity are given at the completion of the job period . I .e after retirement on
monthly basis . the employees are registered with employee old benefits
institution (EOAB)
Non financial or the indirect compensation
Compensation that is not in the monitory teams is called non financial
compensation. these include appreciation letters . leaves, exposure trips, group
insurance , training and medical etc. non financial or indirect compensation covers
compensation to its employees.
Staff Medical
The entire employee whether regular or probationer are provided with medical
facilities by the organization.
Leaves
The employees are given casual leave of 12 working days a year I .e day a month,
similarly an employee is allowed 12 days sick leave ( with pay) per year. Married
female is permitted to avail the maternity leave (with pay ) this privilege can only
be availed after the completion of probationary period.
Group insurance (GI)
Gi is not only a legal requirement but it also creates a sense of social security in
the employees. Staff is also covered by the group insurance in case of accidents
during the service. Disability and death , caused during service are covered inter
group insurance.
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CHAPTER 5
THE REVENUE OFFICE PESCO BANNU
PESCO BANNU
PESCO is one of the important division of PESCO. It supplies electricity to whole
Bannu division and its frontier region. It supplies electricity to domestic as well as
commercial consumers. It is divided into five subdivision. PESCO Bannu has
three departments that is sub-divisional office and computer office. As my field of
study is revenue office so I will through light on the function and other specific of
this department.
Revenue office PESCO
The primary function of revenue office is billing the customers recording of new
connection of arrears , recording of arrears recording of arrears of collection et
The revenue office divided into following sections
1.
2.
3.
4.
5.

consumer record section


accounts section
billing section
posting section
cash bank section

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REVENUE
OFFICE BANNU

Consumer record
section

Posting section

Billing section

Account section

Cash/bank section

The General Section


THE PROCEDURE FOR NEW COMMECTIONS, CHANGE OF
NAME, CHANGE OF TRARIFF, AND EXTENSION OF LOAD
1. The revenue office general section receive from SDO connection section.
Divisional office circle copies of
-application
-demand notice
-part D of service estimate and justification form.
-change notification
And file them in individual consumer file
The revenue office general section maintains an application register for
connection of all categories

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The counterfoil of paid demand notice is received from the bank, and is
checked against the copy of demand notice received from the SDO
divisional office, circle office and area electricity board.
New connection and changes as advised to the computer center by him.
On daily basis all new connection and changes are checked to computer
center proof lists, from the consumer, individual files to ensure that the
computer master files are correct.
Computer center proof list consist of the following
1. master files addition
2. list of duplicate reference
The duty of revenue officer
1. Receive from consumer record clerk reports on paid demand notices in
respect of which the connection have not been effected after a period of a
month. Investigate circumstance with sub-divisional office and report in
writing to XEN cases where satisfactory reason have been given,
2. receive from consumer record clerk report on other irregularities in demand
notices. Investigate circumstance with sub-divisional officer and report to
XEN cases where sati fiction reason have not given.
3. receive reports on any omission to adjust estimated service rental or service
capital cost when leant of service shown on the service connection order
varies with the original estimate. Investigate with sub-division officer and
report in writing to XEN.
4. check that the number of new connection order received by the consumer
records clerk equals the number of new connection shown on cp-form-13
for each sub-division. Investigate with SDO and report in writing to XEN .
5. Examine daily the date batch the date batch register cp-form-82 held by
data control clerk to ensure that the same is being maintained properly and
computer center is processing all documents sent to it at the right time in
accordance with the laid down schedule.
6. check entries in revenue office application register and ensure that the
register has been checked with computer with computer center master file
proof list sign register in token of his check.

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Billing section
General system description
Meter reading and billing are carried out over all available days in a month
in a complete cycle process. The revenue office is organized in section for
each of the following
-

Billing control

Debtors control

Meter reading lists are prepared in advance by the computer center. They are sent
to the revenue office who arranges for reading for meter readings to be entered on
the lists by the meter staff in the sub-division office follow up meter reading is
prepared manually in sub-division, after entry of readings in the sub-division
office the meter reading lists are retuned to revenue office where control record
over the computer billing are maintained. After entry in the revenue office records
the reading lists are collection together in a batch file for each sub-division.
The batch number is comprised of the sub-division number (1 digits ) and the
billing cycle day number ( 2 digits ) . the batch files are then passed to the
computer center along with forwarding memo (cp-form 80)

consumer bills are prepared in the computer in center and sent to the
revenue office for distribution to consumer . bills are distributed who are
under the control of the sub-division office,

with preparation of consumer bill the computer also prints an assessment


list showing the charges on each bill and also , at the end the total of
charges and the total number of consumers connected . temporarily
disconnected and with equipment removed in each batch.

The computer prepares disconnection notice period , the disconnection


notice which are sent to consumer who have not paid their bills by the due
date. Following the expiry of the disconnection notice period, the

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disconnection orders prepared by computer are send by the revenue officer
to sub-divisional officers in respect of bills which are unpaid . the
computer maintains a record of all court orders granted to consumer until
disputes are resolved and order withdrawn.
-

Each month the computer center prepares and analysis of energy sales by
tariffs for each sub-division and division and analysis of outstanding debts
showing arrears by tariff and age. A statement of feeder line losses is
prepared for each sub-division by the computer center.

Adjustments to bills are made only on receipt of a properly authorized bill


adjustment not prepared in the revenue office. All adjustment controlled by
the commercial superintendent and dealt with under co-cide-18 adjustment
are processed separately each day by the computer,

The computer bills and assessment list show detail and the total of an
adjustment respectively, the billing summary is amended by the computer at the
end of each month , for tariff , of units and for value .
Where an adjustment is in necessary a decision in court , this carried out
immediately , keeping in mind that the computer may have records reconstituted
in the computer before the adjustment is processed by the computer .
-

Separate computer records are maintained PESCO employees entitled to


free electricity. The bills show the gross amount, the allowance deducted
and the net amount payable by the employee. At the end a copy is sent by
revenue office to the concern officer. The controlling officer checks the list
to ensure. That the deduction made is according to the rules, and accept the
debits advice.
Where is not convenient to dispatch data to a revenue officer to the
computer centre, data collection will be arranged and controlled at PESCO
headquarters, in the office of the director commercial .
Where bill distribution are under the control of the revenue office, the
billing control supervisor will arranger for rotation of their delivery areas so
that a distributor does not deliver bills in the same location on allocated to
specific delivery areas.

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Collection and debtor control
General system description
1.

Consumer pays their bills and demand notices to specified banks. The
bank receives the bill or demand notice, enters the receipt on bank
scroll, and retains the counterfoil. Consumers may also make payment
of their bills to revenue officer through crossed cheque or bank grafts.

2.

Daily the bank sends a copy of bank scroll and the counterfoil to the
revenue office, separate scrolls are used for demand notices and an
extra copy, along with additional counterfoils is sent to the subdivisional officer.

3.

The revenue office accounts section check the bills counterfoil to the
bank scroll, check the addition of the bank scroll, and enter the scroll
total in the forwarding memo bank scrolls.

4.

The scroll and bill counterfoils are sent daily to the computer center
and each consumers payment is posted by the computer into the
computer consumers ledger. The computer supplies a total of each
posted to each billing batch and a total of unidentified cash,
reconnection fees and other receipts. The reconcel with the total all
bank scroll for each division . In preparing the input for cash posting
the computer center will all at time use the amount shown on the
payment counter folio . the counter folio amount are previously
checked by RO staff to ensure that the amount shown on the scroll are
correct however in the different in the event in the different not beang
discover during this cheek the computer center will process. The
amount shown on the center folio .

5.

the branch bank remit the amount collected to collection account in


there local head offices as designee by the PESCO head offices and
send a copy on the bank statement to the revenue officers indicated
total revenue receive during the week and money remitted to there
head offices collection account each week and the end of each week.

6.

during each month the computer print out the following analysis of the
debtors ledger.
1.

Total debtor for each batch in each sub division showing .

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2.

Electricity duty
Surcharge
Total debtor at the end of the month
Age analysis of the debtor for each subdivision and total for the
division and area board by tariffs and the end of the billing
cycle.

Finding and suggestion


After the thorough study and analysis of PESCO we have
fined that no one can deny the important role of PESCO in the commercial and
domestic sector. It is the only organization supplying electricity in KPK.
It is like lifeblood for modern industry. Because without electricity modern
machinery can not be operated similarly electricity is of same importance for
agriculture. Because now a day most of the field is irrigated with tube wells
and the electricity are the primary requirements for the operation of tub wells.
In the office most of the work is performed with computer and computer are
operated with electricity.
Although there are some alternatives for electricity like electric generators
which is operated with diesel and petrol but these are too much costly. So the
only cheap mean of energy is electricity generated from water and supplies to
the whole KPK PESCO.
Although we have fined that PESCO plays very important role but we have
also fiend some weaknesses of PESCO which should have to be rectify by
taking corrective actions.
We have fined from the financial statements of PESCO that it suffers huge
losses. There are some major reasons for these losses for these losses two of
them are the thefts of electricity and poor collection of arrears.
Different methods are used for the thefts of electricity but the most common of
them are theft of electricity by direct hooking meter damaging etc.
For PESCO to be profitable and most efficient it should take strict action to
rectify its weaknesses.

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Higher management is required to device some corrective to improve its
receivable turnover. They are also required to take strict actions against
electricity thieves. They are required to advise the public that electricity is the
valuable asset of the nation it should used with great care and should be saved
should be saved up to possible extent.

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CHAPTER 6
SWOT ANALYSIS
SWOT, is an acronym that stand for strengths, weaknesses, opportunities, and
threats, many techniques are available for analyzing an organization. SWOT
analysis is one of such techniques. The objective of SWOT analysis are as
under.
Objective of SWOT analysis
it is used to conduct internal audit. Internal factors such as strengths and
weaknesses are identified in the internal audit.
It is used to conduct external audit. External factors such as opportunities
and threats are identified in the external audit.
The SWOT analysis is then used as the bases for constructing a TOWS
matrix.
Different alternative strategies are then recommended on the basis of
TOWS matrix.

SWOT Analysis of PESCO


No organization is perfect. There exist some strengths, weaknesses, opportunities
and threats, formally called SWOT. Following is the SWOT analysis of PESCO.

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STRENGTHS
Strength is defined as, a skill or capability that enables an organization to
conceive of an implement its strategies,
PESCO strength is that it is the only company which provides which provides
electric power to domestic and industry sector. They have no close competitor in
the market therefore they have monopoly in the market.
PESCO in particular HRD section has some unmatched qualities, which at length
makes its backing strengthened. Some of these point are as follows:
Project planning
PESCO has well groomed professionals in the field of project planning. It has
expertise in project proposal writing and forming a good and effective plan for
carrying out projects of different nature. PESCO has also the record of completing
the assigned in the due time and budget.
Well established organization
PESCO established as separate organization in 1995. it is a well equipped and
established organization. The main assets of it are its human resource. Its
employees feel belonging to the organization.
Established HRD section
It provides its technical assistance at every level especially at the village or the
gross root level. For the provision of the trainings to the community and staff of
PESCO is the main aim of HRD . it also gives assistance to other section I .e
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training, laws enforcement, community awareness, natural resource management,
monitoring and evaluation and social sector development.
Sound human resource management
PESCO believes in hiring active and inspired candidates. Experience is an
important requirement. The qualification, criteria for selection of employee , is
related to the field the candidate is opting for. At PESCO head office , most of the
management has communication skills in local and foreign languages. PESCO
attracts qualified pool of applicants by offering attractive salary. It also offer other
incentives like medical facilities etc.

Employee inter relation ship


A pleasant operational atmosphere atmosphere develops the efficiency of the staff
and also boosts the employees motivation. HRD section employees have good
relationship with each other. The work burden is shared between the employees.

Satisfactory relationships with clients


HRD staff has good relation with its clients. The staff is well-mannered and co
operative in its conduct with the clients.

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Weaknesses
Weakness can be defined as, a skill and capability that does not enable an
organization to choose and implement strategies that support its mission , PESCO
has the following major weaknesses,

Load shedding
Line losses
Shortage of safety equipment
Shortage of skilled personals
Lake of advance and high tech machinery
Unavailability of computerized fault detection system
Low voltage
Less recovery from defaulters
Communication gap between high management and employees
Unsatisfactory salary structure

Weaknesses, like strengths are a part of almost every organization. These


weaknesses points out the potential areas of improvements. A cumulative effort to
overcome these flaws success possible, during the internship period the
weaknesses that generally surfaced and were visible at PESCO organization are as
described below in detail:

Infrastructure
The outlook of in organization plays important role in portraying its image to
customers. Similarly the image of the section also matters because a section makes
a structure of the organization. The HRD section has structures that is simple and
enough eyes catching that attracts and motivation the employees and victors.
There is less seating arrangements in the office for both the employees and the
customers further HRD is very compressed as there are no separate offices for
many of the managers.
Stipend
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The stipend are much less as compared to the duties. It gives challans of different
rates according to the 1975 PESCO Act.
Understaffed department
The number of staff is much less than to their duties e.g a field man performs three
types of duties at the same times.
Poor performance appraisal
Performance appraisal is generally considered a motivational as well as evaluative
tool. At PESCO and HRD its use is normally made in and exploiting fashion.
Favoritism and nepotism play and adverse rule in the performance appraisal which
advisory affected the process also evaluation is made on the basis on the
achievement of the market target which are some time unrealistic and heard .
Poor physical setting
The HRD section physical setting is not suitable due to witch the section look
distracts at first sight , there seems to be no one in the section hence the visitors
feels uncomfortable .
Ineffective information desk
The information desk in HRD section is very in efficient usually there peons are
present on the desk , which is no way a good approach for public relation . on
many occasion visitors find there concern person after long struggle .

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Discrimination
There is relaxation for female in qualification and market , but today word
it is just discrimination .
Out date material
The material available about organization and HRD section it self is out
date there are very little fresh material available for the interns.
Political interference in selection
As government is a major donor of PESCO ,there for government officials
have greet influence in its affairs especially in the selection of new employ .
OPPORTUNITIES
according to griffin, an opportunity is an area in the environment that if exploited,
many generate high performance .success more than any thing is all about
converting opportunity what every board of directors else considers danger
opportunities, when exploited properly reap profit and earn success. they are
almost always a matter of time. they are to be sought, picked and made use of
before any board of directors else gets up and do so. it is just about being smart
and accurate.
pesco and hrd section also have some opportunity it can utilize and obtain good
market position. some of the opportunities are hinted here.

expansion in operational area


PESCO has the opportunity to expand it operation to many other districts as well
because nowadays there is good image for PESCO due to increase in population
and constructing new building. people are there to welcome PESCO in various unelectrified districts.

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hiring high caliber graduates


now universities are producing quite high caliber graduates. PESCO has the
opportunity to make use of such talent especially in the had section
availability of good trainers

good trainers are now available in region. PESCO can appoint them to redress its
deficiencies in its training program

Threats

threat is an area in the environment that increase the difficulty of an organization,


achieving high performance treats un unseen, futuristic, probable events that can
occur and prove dangerous in consequences. every organization is face by some
category of threats in its operations and foundation. opening new outlets, altering
existing polices, designing fresh marketing strategies, bringing change in physical
structures, almost every activity that an organization does face some kind of
threats, just like the benefits is seeks.
the section also faces some threats, which can just prove minor assumed fears as
well as can become events with grave consequences. the prevailing condition
indicates the following as the possible threats.
law and order situation

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the law order situation always plays a vital role in the successful operation of
almost every organization. although there is no as such bad law and order problem
in the areas where PESCO operates, but in the long run, it might effect.
due to army operations in the tribal areas most of the high tension lines and poles
have been damaged y the militants, which cause failure in the supply of electricity
to the areas
natural disasters
natural disaster like foods, earth quick, thunderstorms, typhoons, tornados is the
major factors of damaging transmission lines, poles, and other equipments

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Bibliography
www.pesco .gov.pk
Wapda commercial procedures power wing 3rd edition
Griffin Ricky w (1997) management 5th edition

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