Lietuvos Energija Successfully Implements Good Management Practice
OREANDA-NEWS. December 12, 2012. The management board of Lithuanian electricity generation company Lietuvos Energija has approved the new structure of the company taking into account its strategic goals and action plan. As part of this reshuffle, the company’s two structural divisions – Department of the Lithuanian Power Plant and Department of Hydroelectric Power Plants – will be merged into Production Department as of 1 January 2013.
The merger of the departments is expected to lead to more efficient management and use of current resources by ensuring uninterrupted and reliable operations and the satisfaction of customers’ needs.
“Our proposal of the new structural model was based on the results of the merger of Kruonis Pumped Storage Plant (KPSP) and Kaunas Hydroelectric Power (KHP) into Department of Hydroelectric Power Plants, which took place in February 2012,” CEO of Lietuvos Energija Dalius Misiunas commented on changes taking place in the company. “The targeted activity of the unified department and its results met our expectations, so we decided to proceed with our work which involves optimising production processes and implementing the principles of good management practise in other production divisions as well,” said Mr Misiunas. He said that the new structure will also allow the company to better adapt to changing environment, market and regulation.
The new Production Department will be responsible for the operations and supervision of all power plants controlled by the company – Lithuanian Power Plant in Elektrenai (LPP) with its old units and a new combined cycle unit, KPSP and KHP. Until now all three power plants operated seven production service units, whereas the new Production Department will have just five.
As part of the reshuffle, KPSP and KHP divisions that carry out the same functions will be merged into single divisions, so the Production Department of Lietuvos Energija will operate the single Service of Hydroelectric Power Plants. The Production Department will also take charge of LPP’s capacities – the Service of Combined Cycle Unit and the Service of Reserve Power Plant that will control LLP’s old units. Technical Maintenance Service and Planning Service will supervise the maintenance and operations of the units.
Mr Misiunas said that the change in Lietuvos Energija’s structure will not affect the number of employees and the company will continue the implementation of its projects: the expansion of KPSP, the dismantling of the 3rd and 4th units, the construction of biofuel boilers in Elektrenai, etc. The reshuffle is expected to simplify the process of decision making, ensure the more efficient management of operations and use of current resources, and create more favourable conditions for further production optimisation.
At the decision of the Management Board, the functions of non-production departments have been redefined as well to ensure that their structure is more compliant with their mission and operations, and that tasks for employees are assigned in a more efficient way. This hopefully will lead to the smooth and timely implementation of projects.
The new structure of Lietuvos Energija will take effect on 1 January 2013.
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