organization sizing detail

7/24/2019 Organization Sizing Detail

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Ethiopian E

Tran

Electric

Processes

Organization si

Addis Ababa,

ectric Power Corp

formation Program

ower Utility Busin

and Organization D

zing

ay 24th2011

ration

ss

esign


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Ethiopian Electric Power Corporation business processes and organization design project

Organization Sizing Page 2 of 42

Contents

INTRODUCTION

1. TOP MANAGEMENT

1.1 Main drivers and assumptions

1.2 Sizing

2. ENGINEERING


2.2 Sizing

2.3 Lower levels sizing

3. STRATEGY AND INVESTMENTS


3.2 Sizing


4. EXTERNAL RELATIONS


4.2 Sizing


5. LEGAL


5.2 Sizing


6. ADMINISTRATION, FINANCE & CONTROL


6.2 Sizing



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7. PROCUREMENT, LOGISTICS & WAREHOUSING


7.2 Sizing


8. TARIFFS & EEA RELATIONS


8.2 Sizing


9. ICT


9.2 Sizing


10. HR


10.2 Sizing


11. EHS & QUALITY


11.2 Sizing


12. PROPERTY & GENERAL SERVICES


12.2 Sizing


13. ENERGY MANAGEMENT


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13.2 Sizing


14. GENERATION


14.2 Sizing


15. TRANSMISSION


15.2 Sizing


16. DISTRIBUTION


16.2 Sizing


17. SUPPLY


17.2 Sizing


18. UEAP


18.2 Sizing


19. CONSTRUCTIONS



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19.2 Sizing


20. EQUIPMENT PRODUCTION


20.2 Sizing


21. ORGANIZATION OVERVIEW

21.1 Sizing


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IntroductionIn order to create a world class electric utility company, the organizational

structure for the new EEPU has been developed on the basis of international best

practices.

The present document is aimed at defining the sizing of EEPU organization to allow

the implementation of the new structure by the new management.

The estimation of the organization sizing has required the definition of main general

drivers for the new company, like:

growth of the electricity consumption from 3.3 TWh (2009/2010A) to18.9 TWh

(2014/2015E);

increase in installed capacity from 2.0 GW (2010-17 plants) to 7.86 GW (2015-36 plants);

increase in the transmission network from 11,369 Km (2010A) to 15,326 Km

(2015E);

increase in the distribution network from 126,000 Km (2009/2010A) to

282,000 Km (2014/2015E);

increase in the nr. of customers from M 1.9 to M 4.0;

growth of total revenue to $M 800;

On the basis of the above mentioned drivers, main assumptions have beendeveloped and applied to EEPU organization to estimate the dimension of each

function of the new structure.

These assumptions have been defined on the basis of Bain expertise in organization

design projects and referring to international benchmarks for electric utilities

companies, mainly from:

APQC Open Standards Benchmark;

Market data.

Assumptions are directly related to international benchmarks and best practices.

APQC Benchmarks have been analyzed and adapted on the basis of data taken from

other comparable Electric Utility organizations analyzed in B&C previous projects1. In

this way we managed to take the most of APQC standards and B&C experience in

Best in Class corporations.

&


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Changes on organization sizing could occur as a consequence of a change in the

company general drivers (e.g. electricity consumption growth, increase in

transmission network, etc) and will be performed following the assumptions

defined for each function. As an example: following an increase of 5 in the # of

generation plants (driver) the # of Maintenance and Works managers will increase of5 units following the assumption Plant Maintenance and Works Manager per plant:

1.

The following sections are dedicated to EEPU organizational functions, describing

main drivers and assumptions employed and the estimated size of the division.

Since, as requested from TPO management, the organizational sizing has been

estimated on the basis of international benchmarks without considering the as-is

organization, it could be necessary to adjust the provided values to consider

Ethiopian regulations and eventual current constraints. As a general assumption thesizing model requires a proper implementation of the proper IT systems and the

right mix of managerial capabilities and professional skills


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1. TOP MANAGEMENT


The sizing for the top management has been estimated on the basis of the

following assumptions: Nr. of chiefs for each top position: 1;

Secretary for each chief: 1.

1.2 Sizing

The top management is composed of 6 resources, distributed as shown in the

Figure 1:

CEO: 2 FTE (Chief and secretary);

CFO: 2 FTE (Chief and secretary);

CSM: 2 FTE (Chief and secretary).

Figure 1

This information is confidential and was prepared by Bain & Company solely for the use of our client; it is not to be relied on by any 3rd party without Bain's prior written consent1

Top ManagementOverview

CEO

CFOCorporate Service

Manager

1+1

1+1 1+1

Tot. FTE:

6


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2. ENGINEERING


The sizing for the function has been estimated on the basis of the following

assumptions: Secretary for the director of the function: 1;

Average % of function FTE on total FTE: 0.6%;

Equal distribution of resources among Generation, Transmission and

Distribution projects.

2.2 Sizing

On the basis of the described references and assumptions, the sizing for the

Engineering division has been estimated in 57 resources, distributed in the

following way (Figure 2): Engineering: 2 FTE (Director and secretary);

Generation: 19 FTE;

Transmission: 18 FTE;

Distribution: 18 FTE.

Figure 2


EngineeringOverview

Engineering

CEO

Generation Transm.

ProjectMgmtOffice

ProjectMgmtOffice

Distrib.

ProjectMgmtOffice

1+1

19 18 18

Tot. FTE:

57


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The following table presents the estimated sizing to be adopted for lower levels

of the organization. The estimation has been performed on the basis of

international best practices and benchmark and of Bain experience with

utilities sector companies. Proposed sizing takes into account EEPCO andEthiopian context peculiarities.

ROLE # FTE

Engineering Director 1

Secretary 1

Engineering Generation Manager 1

Generation Electrical Engineer 7

Generation Environmental Engineer 1

Generation Civil Engineer 5

Generation Electro-Mechanical Engineer 2

Generation Geologist 3

Engineering Transmission Manager 1

Transmission Electrical Engineer 7

Transmission Environmental Engineer 1

Transmission Civil Engineer 4

Transmission Electro-Mechanical Engineer 2

Transmission Geologist 3

Engineering Distribution Manager 1

Distribution Electrical Engineer 10

Distribution Environmental Engineer 1

Distribution Civil Engineer 4

Distribution Electro-Mechanical Engineer 2

PMO Manager *

*PMO Managers sizing depends on the number of ongoing projects.


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3. STRATEGY AND INVESTMENTS




Average % of function FTE on total FTE: 0.2%.

3.2 Sizing

Using the above mentioned drivers, the requirement for the Strategy and

Investments function has been estimated in 17 resources (Figure 3), employed

in:

Strategy and Investments: 2 FTE (Director and secretary);

Business Divisions: 15 FTE.

Figure 3


Strategy and InvestmentsOverview

Strategy andinvestments

CEO

BusinessDivisions

1+1

15

Tot. FTE:

17


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ROLE # FTE

Strategy and investments director 1

Secretary 1

Strategy and investments energy management manager 1

Strategy and investments Sr. business analyst (En. Man) 1

Strategy and investments business analyst (En. Man) 1

Strategy and investments energy generation manager 1

Strategy and investments Sr. business analyst (Gen.) 2

Strategy and investments business analyst (Gen.) 1

Strategy and investments energy transmission manager 1

Strategy and investments Sr. business analyst (Transm.) 2

Strategy and investments business analyst (Transm.) 1

Strategy and investments energy distribution manager 1

Strategy and investments Sr. business analyst (Distr.) 2

Strategy and investments business analyst (Distr.) 1


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4. EXTERNAL RELATIONS





Average nr. of function FTE per $B1 revenues: ~30;

Average % of function FTE involved in Institutional Relations: 65%.

4.2 Sizing

On the basis of the described assumptions, the estimated size of the function

External Relations is 26 resources (Figure 4), distributed in the following way:

External Relations: 2 FTE (Director and secretary); Institutional Relations: 16 FTE;

Public Relations: 8 FTE.

Figura 4


External RelationsOverview

ExternalRelations

CEO

InstitutionalRelations

Public Relations

1+1

16 8

Tot. FTE:

26


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ROLE # FTE

External Relations Director 1

External Relations Directors secretary 1

Institutional Relations Manager 1

Strategy and planning officer (sr.) 1

Strategy and planning officer (analyst) 1

Strategy and planning officer (jr.) 1

Communication officer (superintendent) 1

Communication officer (analyst) 4

Communication officer (jr.) 1

IR analyst (superintendent) 2

IR analyst (analyst) 2

IR analyst (jr.) 2

Public Relations Manager 1

Communication officer (senior) 2

Communication officer (community specialist) 2

Communication officer (media specialist) 2

Event coordinator 1


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5. LEGAL





Average % of function FTE on staff FTE: 1.7% (to be comprised between

0.9% and 5.8%);

Average % of legal FTE involved in Staff & Projects offices: 35%.

5.2 Sizing

On the basis of the applied drivers and assumptions, the legal function is

composed of 30 resources, distributed among the offices in the following way(Figure 5):

Legal: 2 FTE (Director and secretary)

Staff & Projects: 9 FTE;

Business Divisions: 18 FTE.

Figura 5


Legal

Overview

Legal

CEO

Staff &

projects

Line

functions

Business

Divisions

1+1

10 18

Tot. FTE:

30


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ROLE # FTE

Legal Director 1

Legal Directors secretary 1

Staff & Projects Manager (Legal) 1

Legal Clerk 2

Staff & Projects Lawyer (sr.) 2

Staff & Projects Lawyer (jr.) 5

Business Divisions Manager (Legal) 7

Business Division Lawyer 11


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6. ADMINISTRATION, FINANCE & CONTROL



assumptions: Nr. of director of the function: 1;

Nr. of manager for each 3rd-level office: 1;

Secretary for the director of the function: 1;

Average nr. of payroll FTE per 1,000 employees: 4.6;

Average nr. of Finance & Treasury FTE per $B1 revenues: 32.5;

Average nr. of Administration FTE per $B1 revenues: 193.8;

Average % of Administration FTE involved in Staff & Projects offices:

19%;

Average nr. of Planning & Control FTE (director, staff & projects,business divisions) per $B1 revenues: 31.2;

Average nr. of Project Control FTE per $B1 revenues: 7.5;

Average nr. of Taxes FTE per $B1 revenues: 12,5;

Average % of Administration, Finance & Control FTE on staff FTE: 16%;

Nr. of manager for Credit Management function: 2.

6.2 Sizing

The previous assumptions lead to an estimated need of 274 FTE for the

Administration, Finance & Control function, employed in (Figure 6):

Admin. Finance & control: 2 FTE (Director and secretary);

Finance, Treasury and Payroll: 1 FTE;

Payroll: 47 FTE;

Finance & Treasury: 26 FTE;

Administration: 1 FTE;

Administration Staff & Projects: 30 FTE;

Administration Business Divisions: 124 FTE;

Planning & Control: 1 FTE;

Planning & Control Staff: 12 FTE;

Planning & Control Business Divisions: 12 FTE;

Project Control: 6 FTE;

Taxes: 10 FTE;

Credit Management: 2 FTE.


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Figure 6


Administration, Finance and ControlOverview

Admin. Finance& Control

CFO

Finance,Treasury &

PayrollAdministration Planning &

control

Creditmanagement

PayrollFinance &Treasury

Staff &projects

BusinessDivisions

BusinessDivisions Staff

BusinessDivisions

BusinessDivisions

Taxes

Projectcontrol

1+1

1

47 26

1

30 124

1

12 12 6

10 2

Tot. FTE:

274


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ROLE # FTE

Administration, Finance & Control Director 1

Secretary 1

Administration Manager 1

Administration Staff & Projects Supervisor 1

Administration Staff & Projects Senior Accounting Analyst 2

Administration Staff & Projects Senior Financial Officer 4

Administration Staff & Projects Financial Officer 15

Administration Staff & Projects Administrative Clerk 8

Administration Business Divisions Supervisor 7

Administration Business Divisions Senior Accounting Analyst 7

Administration Business Divisions Senior Financial Officer 7

Administration Business Divisions Financial Officer 77

Administration Business Divisions Administrative Clerk 26

Finance, Treasury and Payroll Manager 1

Payroll Supervisor 1

Payroll Analyst 3

Payroll Financial Officer 8

Payroll Assistant Accountant 35

Finance & Treasury Supervisor 1

Finance & Treasury Analyst 3

Finance & Treasury Senior Officer 5

Finance & Treasury Officer 17

Planning & Control Manager 1

Planning & Control Staff Supervisor 1

Planning & Control Staff Analyst 2Planning & Control Staff Senior Financial Officer 2

Planning & Control Staff Financial Officer 7

Planning & Control Business Divisions Supervisor 7

Planning & Control Business Divisions Analyst 1

Planning & Control Business Divisions Senior Financial Officer 1

Planning & Control Business Divisions Financial Officer 3

Project Control Supervisor 1

Project Control Senior Project Accountant 1

Project Control Project Accountant 4Taxes Manager 1

Taxes Senior Financial Officer 1


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Taxes Assistant Accountant 8

Credit Manager (Finance) 1

Credit Management (Finance) Financial Accountant 1


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7. PROCUREMENT, LOGISTICS & WAREHOUSING



assumptions: Number of Regional Unit: 15;

Number of plant: 36;

Nr. of director of the function: 1;



Average staff purchasing FTE as a % of purchasing FTE: 20%;

Procurement FTE per plant: 1,0;

Procurement FTE per Regional Unit: 4,5;

Average Logistics & Warehousing FTEs as a % of purchasing: 5,0%; Average Purchasing FTE as a % of total company FTE: ~1,6%.

7.2 Sizing


Procurement, Logistics & Warehousing function, employed in (Figure 7):

Procurement, Logistics & Warehousing Director: 2 FTE (Director and

secretary);

Procurement Manager: 1 FTE;

Procurement Staff and Projects Supervisor : 31 FTE;

Procurement Business Divisions Supervisor : 4 FTE;

Buyer Generation: 36 FTE;

Buyer Distribution: 23 FTE;

Buyer Transmission: 23 FTE;

Buyer Supply: 23 FTE;

Logistics & Warehousing Manager: 1 FTE;

Logistics & Warehousing Central Warehouse Supervisor: 8 FTE.


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8. TARIFFS & EEA RELATIONS




Nr. of estimated required FTE to perform tariffs regulation requirements

and manage relations with EEA: 9.

8.2 Sizing

On the basis of the illustrated assumptions, the Tariffs & EEA Relations

function is constituted of 10 resources (Figure 8):

Tariffs & EEA Relations: 10 FTE (1 Director, 1 secretary and 8 officers).

Figure 8

This information is confidential and was prepared by Bain & Company solely for the use of our client; it is not to be re lied on by any 3rd party without Bain's prior written consent7

Tariffs and EEA relationsOverview

Tariffs and EEArelations

CFO

1+9

Tot. FTE:

10


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ROLE # FTE

Tariffs and EEA relations director 1

Secretary 1

Senior pricing analyst 2

Pricing analyst 6


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9. ICT




Number of plant: 36;

Total EEPU Annual Sales (estimate): 800 M$;




IT FTEs for developing, maintaining and deploying IT solutions per $1

billion revenue: 45;

IT FTEs for developing, maintaining and deploying IT solutions per $1billion revenue: 30;

IT FTEs for IT security and compliance per $1 billion revenue: 18;

IT Operations & Support FTE per Regional Unit: 1,5;

IT Operations & Support FTE per plant: 1;

IT Operations & Support FTE per Regional Unit: 1;

IT Operations & Support FTE per Regional Unit: 1;

IT Operations & Support FTE per Regional Unit: 1.

9.2

SizingThe previous assumptions lead to an estimated need of 181 FTE for the ICT

function, employed in (Figure 9):

ICT Director (Director and secretary): 2 FTE;

IT Applications Manager: 36 FTE;

IT Infrastructure Manager: 24 FTE;

IT Security and Compliance Manager: 14 FTE;

IT Operations & Support Manager: 1 FTE;

IT Operations & Support Staff Supervisor: 23 FTE;

IT Operations & Support Line Functions Supervisor: 81 FTE.


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Figure 8


ICTOverview

ICT

ApplicationsInfrastructures(HW & network)

IT operations &support

IT security andcompliance

Corporategeneral

manager

Staff Linefunctions

Linefunctions

1+1

Tot. FTE:

181

1 36 24 14

8123


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ROLE # FTE

ICT Director 1

ICT Director's secretary 1

IT Applications Manager 1

IT Applications Officer sr. 8

IT Applications Officer analyst 12

IT Applications Officer jr. 15

IT Infrastructure Manager 1

IT Infrastructure Officer (sr.) 7

IT Infrastructure Officer (analyst) 8

IT Infrastructure Officer (jr.) 8

IT Security and Compliance Manager 1

IT Security and Compliance Officer sr. 4

IT Security and Compliance Officer analyst 4

IT Security and Compliance Officer jr. 5

IT Operations & Support Manager 1

Staff Supervisor (IT Operations and Support) 1

Staff Officer (sr.) 4

Staff Officer (analyst) 6

Staff Officer (jr.) 8

Staff System Administrator 4

Line Functions Supervisor (IT Operations and Support) 7

Line function Officer (sr.) 18

Line function Officer (jr.) 44

Line function System Administrator 12


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10. HR




Total EEPU Annual Sales (estimate): 800 M$;




Number of employees per "Hiring and Development" Staff FTE: 143,75;

Number of employees per "Hiring and Development" Function FTE:

143,75;

Number of Organization FTEs per $1 billion revenue: 10; Labor Relations FTE per Regional Unit: 1;

Number of employees per "HR administration" FTE: 236,6;

HR-to-Employee Ratios: 1,4%;

Number of employees serviced by HR function FTEs: 75.

10.2 Sizing

The previous assumptions lead to an estimated need of 141 FTE for the HR


Human Resources Director (Director and secretary): 2 FTE;

Hiring and Development Manager: 1 FTE;

Hiring and Development Staff & Projects Supervisor : 12 FTE;

Hiring and Development Line Functions Supervisor : 59 FTE;

Organization Manager: 8 FTE;

Labor Relations Manager: 15 FTE;

Administrative Activities Manager: 1 FTE;

Administrative Activities Staff & Projects Supervisor: 7 FTE;

Administrative Activities Line Functions Supervisor: 36 FTE.


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Figure 9


Human ResourcesOverview

Tot. FTE:

141

HR

Corporate

ServiceManager

Hiring andDevelopment

OrganizationLabor

RelationsAdministrative

activities

Staff &Projects

Linefunctions

Staff &Projects

Linefunctions

Linefunctions

Linefunctions

1+1

1 8 15 1

12 59 7 36


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ROLE # FTE

Human Resources Director 1

Human Resources Directors Secretary 1

Hiring and Development Manager 1

Staff & Projects Supervisor (Hiring and Development) 1

Staff & Projects - Clerk 2

Staff & Projects - Administrative Officer (control) 1

Staff & Projects - Administrative Officer (hiring) 1

Staff & Projects - Administrative Officer (career m.) 1

Staff & Projects - Administrative Assistant 6

Line Functions Supervisor (Hiring and Development) 7

Line functions - Clerk 7

Line Functions - Administrative Officer (control) 7

Line Functions - Administrative Officer (hiring) 7

Line Functions - Administrative Officer (career m.) 7

Line Functions - Administrative Assistant 14

Line Functions Development Officer 10

Organization Manager 1

Senior Analyst 2

KM Officer 3

Administrative Officer 2

Labor Relations Manager 1

Administrative officer 2

Lawyer 4

Administrative assistant 7

Secretary 1Administrative activities manager 1

Staff & Projects Supervisor (Administrative Activities) 1

Staff & Projects Administrative officer (sr.) 1

Staff & Projects Administrative officer (jr.) 1

Staff & Projects Administrative assistant 1

Staff & Projects Data officer 3

Line Functions Supervisor (Administrative Activities) 7

Line Functions Administrative officer (sr.) 7

Line Functions Administrative officer (jr.) 7Line Functions Administrative assistant 8

Line Functions Data officer 7


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Ethiopian Electric Power

Organization Sizing

11.1 Main drivers and a

The sizing for the func

assumptions: Secretary for the

Average % of fun

Average % of fun

Average % of fun

Average % of fun

Average % of fun

Number of H&S F

11.2

SizingOn the basis of the d

composed of 21 resou

Figure 11:

EHS & Quality: 2

Quality: 4 FTE;

Environment: 4 F

Health & Safety:

H&S Staff and Pro

H&S Line Function

This information is confidential and was prepared i l l li i i li

EHS and QualiOverview

Corporation business processes and organization desi

1. EHS & QUALITY

ssumptions

ion has been estimated on the b

irector of the function: 1;

tion FTE on total FTE: 0.2%;

tion FTE on staff FTE: 1.2%;

tion FTE involved in Quality office:

tion FTE involved in Environment o

tion FTE involved in H&S office: 55

E to manage H&S for staff function

escribed assumptions, the EHS &

rces, distributed among the offic

TE (Director and secretary);

E;

FTE;

jects: 1 FTE;

s: 9 FTE.

Figure 11

i i i i i i l by Bain & Company solely for the use of our client; it is not to be relied on by any 3rd party without Bain's i i

ty

EHS andQuality

CorporateService

Manager

Quality Environment Health & Safety

Linefunctions

Staff andprojects

Linefunctions

1+1

4 4 1

1 9

T

gn project

Page 32 of 42

sis of the following

20%;

ffice: 20%;

%;

s and projects: 1

Quality function is

s as illustrated in

i i prior written consent8

t. FTE:

21


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ROLE # FTE

EHS and Quality Director 1

EHS and Quality Directors Secretary 1

Quality Manager 1

Quality Analyst 3

Environment Manager 1

Environmentalist 1

Economist 1

Administrative Officer 1

Health & Safety Manager 1

Staff & Projects Supervisor (Health and Safety) 3

Line Functions Supervisor (Health and Safety) 7


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12. PROPERTY & GENERAL SERVICES




Secretary for each manager with responsibility on more than 100

employees: 1;

Average % of General Activities FTE on total FTE: 0.6%;

Average % of Facility Management FTE on staff FTE: 1.7%;

Average nr. of Fleet Management FTE per $B1 revenues: 140;

Average % of Asset Management FTE on staff FTE: 0.3%;

Average nr. of Asset Management FTE per $B1 revenues: 140;

Average % of Security Management FTE on total FTE: 5%.

12.2 Sizing

The property & General Services function has been estimated to require 825

resources, distributed among function offices in the following way (Figure 12):

Property & General Services: 2 FTE (Director and secretary);

General activities: 60 FTE;

Facility Management: 30 FTE (1 Manager, 29 officers);

Fleet Management: 113 FTE (1 Manager, 1 Secretary, 111 employees);

Property Management: 2 FTE (Director and secretary);

Asset Management: 5 FTE;

Asset Maintenance: 112 FTE;

Security Management: 501 FTE (1 Manager, 1 secretary, 499

employees).


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Figure 12


Property & General ServicesOverview

Property &GeneralServices

Corporate

ServiceManager

Generalactivities

FacilityManagement

FleetManagement

Assetmaintenance

Propertymanagement

Assetmanagement

SecurityManagement

1+1

60 30 1+

112

1+

1

1+

500

5 112

Tot. FTE:

825


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ROLE # FTE

Property and general services director 1

Secretary 1

General activities manager 1

Mail service officer 5

Mail clerk 30

Archive officer 5

Archivist 19

Facility manager 1

Facility site officer 15

Facility site operator 14

Property manager 1

Secretary 1

Asset management supervisor 1

Technical asset officer 2

Civil asset officer 2

Asset maintenance supervisor 1

Asset maintenance officer 11

Asset maintenance operator 100

Fleet manager 1

Secretary 1

Fleet administration officer 5

Fleet administration clerk 16

Automotive superintendent 15

Automotive inspector 75

Security manager 1

Secretary 1

Security officer 10

Security guards 466

Administrative officer 16

Economist 2

Risk analyst 4

Geologist 1


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13. ENERGY MANAGEMENT



assumptions:




Expected annual production (GWh): 29.000;

Number of ICS fuel based plant: 5;

Number of SCS fuel based plant: 10;

Contract FTE per contract type (i.e. energy purchase, energy sale, fuel

purchase): 2;

Energy produced (GWh) per Energy Portfolio FTE: 1.841;

Fuel Logistic FTE per ICS fuel based plant: 1;

Fuel Warehouse FTE per ICS and SCS fuel based plant: 1;

Contract administration FTE per contract type (i.e. energy purchase,

energy sale, fuel purchase): 1.

13.2

SizingOn the basis of the described assumptions, the Energy Management function is

composed of 42 resources, distributed among the offices as illustrated in

Figure 13:

Chief of Energy Management: 2 FTE (Director and secretary);

Energy and Fuel Contracts Director: 9 FTE;

Energy Portfolio & Logistics Director: 2 FTE;

Energy Portfolio Manager: 16 FTE;

Fuel Logistics & Warehousing Manager: 15 FTE;

Fuel Warehouse Supervisor: 5 FTE; Administrative Support Manager: 3 FTE.


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Figure 10

This information is confidential and was prepared by Bain & Company solely for the use of our client; i t is not to b e relied on by any 3rd party without Bain's prior written consent15

Energy ManagementOverview

Energy and fuelcontracts

Administrativesupport

En. Portfolio &Logistics

Fuel logistics &Warehousing

EnergyManagement

CEO

Warehouse

PortfolioManagement

1+1

6+3 1+1

516

15

3

Tot. FTE:

52


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ROLE # FTE

Chief of Energy Management 1

Secretary of Chief of Energy Management 1

Energy and Fuel Contracts Director 1

Secretary of Energy and Fuel Contracts Director 1

Energy and Fuel contract managers 7

Energy Portfolio & Logistics Director 1

Secretary of Energy Portfolio & Logistics Director 1

Energy Portfolio Manager 1

Senior portfolio management Engineer 15

Fuel Logistics & Warehousing Manager 5

Fuel Warehouse Supervisor (ICS & SCS) 15

Administrative Support Manager 3


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14. GENERATION



assumptions: Number of plant: 36;

Number of Regional Unit: 15;


Total installed capacity (MW): 7.860;




Average logistic FTEs as a % of generation FTEs: 2,35%;

Installed capacity (MW) per generation engineering FTE: 260; Plant director FTE per plant: 2;

Energy produced (GWh) per plant Operation Control & Planning FTE:

185;

Energy produced (GWh) per plant operations FTE: 28;

Warehouse FTE per Plant: 1,5;

Plant Maintenance and Works Manager per plant: 1;

Installed capacity (MW) per plant Electrical Works FTE: 44;

Installed capacity (MW) per plant Mechanical Works FTE: 36;

Installed capacity (MW) per plant Construction Works FTE: 56.


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14.2 Sizing

The previous assumptions lead to an estimated need of 1.544 FTE for the

Generation function, employed in (Figure 14):

Chief of Generation Operations (Chief and secretary): 2 FTE; Generation Logistics & Warehousing Manager: 36 FTE;

Generation Technical Area & Engineering Director: 30 FTE;

Plant Director: 72 FTE;

Plant Operation Control & Planning Manager: 102 FTE;

Plant Operations Manager: 675 FTE;

Plant Warehouse Supervisor: 54 FTE;

Plant Maintenance and Works Manager: 36 FTE;

Plant Electrical Works Supervisor: 179 FTE;

Plant Mechanical Works Supervisor: 218 FTE;

Plant Construction Works Supervisor: 140 FTE.

Figure 11


GenerationOverview

PlantPlant

Generationoperations

CEO

Technical Area &Engineering

OperationsMaintenance and

works

Op. Control &Planning

Logistics &Warehousing

Warehouse

Electrical worksMechanical

worksConstruction

works

1+1

Tot. FTE:

1.544

3036

36+36

102

179 140218

3654675


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ROLE # FTE

Chief of Generation Operations 1

Secretary 1

Generation Logistics & Warehousing Manager 1

Logistics officer 35

Generation Technical Area & Engineering Director 1

Generation Operations Electrical Engineer 8

Generation Operations Environmental Engineer 2

Generation Operations Electro-Mechanical Engineer 9

Generation Operations Civil Engineer 8

Generation Operations Geologist 2

Plant Director 36

Secretary 36

Plant Operation Control & Planning Manager 36

Senior Plant Operation Control & Planning Engineer 18

Plant Operation Control & Planning Engineer 48

Plant Operations Manager 36

Senior Plant Operation Engineer 180

Plant Operation Engineer 459

Plant Warehouse Supervisor 1

Warehouse officer 36

Incoming material officer 11

Material return administrator 6

Plant Maintenance and Works Manager 36

Plant Electrical Works Supervisor 36

Senior Generation Electrical Maintenance Operator 36Generation Electrical Maintenance Operator 107

Plant Mechanical Works Supervisor 36

Senior Generation Mechanical Maintenance Operator 36

Generation Mechanical Maintenance Operator 146

Plant Construction Works Supervisor 36

Senior Generation Constructions Maintenance Operator 36

Generation Constructions Maintenance Operator 68


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15. TRANSMISSION



assumptions:

Number of Regional Unit: 15;

Average new transmission network per year: 773;

Number of Transmission substations: 128;

Total Transmission Network length (Km): 15.236;

Point of Distribution (Transmission): 1.000;



Nr. of manager for each 3rd-level office: 1; Secretary for the director of the function: 1;

Annual dispatched energy (GWh) per dispatching FTE: 1.074;

Average logistic FTEs as a % of transmission FTEs: 4,0%;

Network km per Maintenance & Conduction Engineers: 900;

Network km per Technical Meter Engineers: 300;

New network km per Project Engineers: 25;

Network km per Control room FTE: 500;

Network and Substations Manager per Regional Unit: 1;

Network km per Network and Substations Engineers: 300;

Number of operators per substation: 4;

Network km per Emergency & Maintenance FTE: 100;

Warehouse FTE per Regional Unit: 3;

Transmission Meter Manager per Regional Unit: 1;

Control operators per Regional Unit: 0,25;

Number of metering operations FTE per Regional Unit: 3;

Number of readers per Regional Unit: 2.


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15.2 Sizing


Transmission function, employed in (Figure 15):

Chief of Transmission Operations (Chief and secretary): 2 FTE;

Dispatching Director: 27 FTE;

Transmission Logistics & Warehousing Manager: 36 FTE;

Transmission Technical Area & Engineering Director (Director and

secretary): 2 FTE;

Transmission Maintenance & Conduction Manager: 17 FTE;

Transmission Technical Meter Manager: 51 FTE;

Transmission Engineering Manager: 31 FTE;

Transmission Control Room and Technical Call Center Manager: 30 FTE;

Transmission Regional Unit Director (Director and secretary): 30 FTE;

Transmission Network and Substations Manager: 15 FTE;

Transmission Network and Substations Engineering Supervisor: 51 FTE;

Transmission Substations Supervisor: 512 FTE;

Transmission Emergency & Maintenance Supervisor: 152 FTE;

Transmission Warehouse Supervisor: 45 FTE;

Transmission Meter Manager: 15 FTE;

Transmission Control Supervisor: 4 FTE;

Transmission Operations Supervisor: 45 FTE;

Transmission Reading Supervisor: 30 FTE.


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Figure 12


Substations

TransmissionOverview

Tot. FTE:

1.095

Transmissionoperations

CEO

Technical Area& Engineering

Regional unitdirection

Maintenance& conduction

Metermanagement

EngineeringControl room

and callcenter

Metermanagement

EngineeringEmergency &Maintenance

Control Operations Reading

Network andsubstations

Dispatching


WarehouseWarehouse

1+1

27

36

1+1

17 51 31 30

15+15

15

51 512 152

45

15

4 45 30


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utilities sector companies. Proposed sizing takes into account EEPCO and

Ethiopian context peculiarities.

ROLE # FTE

Chief of Transmission Operations 1

Secretary 1

Dispatching Director 1

Senior Transmission Dispatching Engineer 5

Transmission Dispatching Engineer 21

Transmission Logistics & Warehousing Manager 1Logistics officer 35

Transmission Regional Unit Director 15

Secretary 15

Transmission Technical Area & Engineering Director 1

Secretary 1

Transmission Maintenance & Conduction Manager 1

Senior Transmission Maintenance & Conduction Engineer 4

Transmission Maintenance & Conduction Engineer 12

Transmission Technical Meter Manager 1Senior Transmission Meter Management Engineer 10

Transmission Meter Management Engineer 40

Transmission Engineering Manager 1

Transmission Operations Electrical Engineer 9

Transmission Operations Environmental Engineer 2

Transmission Operations Electro-Mechanical Engineer 9

Transmission Operations Civil Engineer 8

Transmission Operations Geologist 2

Trans. Control Room and Technical Call Center Manager 1Senior Control Room and Call Center Operator 5

Control Room and Call Center Operator 24

Transmission Network and Substations Manager 15

Trans. Network and Substations Engineering Supervisor 15

Transmission Network & Substation Civil Engineer 21

Transmission Network & Substation Electrical Engineer 15

Transmission Substations Supervisor 15

Senior Transmission Substation Electrical Engineer 125

Transmission Substation Electrical Engineer 372Transmission Emergency & Maintenance Supervisor 15

Senior Trans. Emergency & Maintenance Electrical Engineer 34


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Transmission Emergency & Maintenance Electrical Engineer 103

Transmission Warehouse Supervisor 1



Material return administrator 6Transmission Meter Manager 15

Transmission Control Supervisor 1

Transmission Meter Managment Control Senior Expert 3

Transmission Operations Supervisor 15

Senior Transmission Operation Electrical Engineer 5

Transmission Operation Electrical Engineer 25

Transmission Reading Supervisor 15

Senior Transmission Meter Reading Expert 3

Transmission Meter Reading Expert 12


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16. DISTRIBUTION




Average new connection per year: 420.000;

Average new distribution network per year: 31.200;

Total Distribution Network length (Km): 282.000;

Point of Distribution (Distribution): 4.000.000;

Number of Medium Voltage substations (estimate): 600;



Secretary for the director of the function: 1; Average logistic FTEs as a % of distribution FTEs: 2,0%;

Network km per Maintenance & Conduction Engineers: 10.000;

Network km per Technical Meter Engineers: 7.000;


Network km per Control room FTE: 10.000;

Network and Substations Manager per Regional Unit: 1;

Network km per Network and Substations Engineers: 6.000;

Number of operators per substation: 1,15;

Medium voltage network km per Emergency & Maintenance FTE: 360;

Low voltage network km per Emergency & Maintenance FTE: 330;

Warehouse FTE per Regional Unit: 3;

Distribution Meter Manager per Regional Unit: 1;

Control operators per Regional Unit: 2;

Number of metering operations FTE per new connections per year: 700;

Meter reading per FTE per month: 1750;

Meter reading frequency (months): 3.


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16.2 Sizing


Distribution function, employed in (Figure 16):

Chief of Distribution Operations (Chief and secretary): 2 FTE;

Distribution Logistics & Warehousing Manager: 75 FTE;

Distribution Technical Area & Engineering Director (Director and

secretary): 2 FTE;

Distribution Maintenance & Conduction Manager: 28 FTE;

Distribution Technical Meter Manager: 40 FTE;

Distribution Engineering Manager: 36 FTE;

Distribution Control Room and Technical Call Center Manager: 28 FTE;

Distribution Regional Unit Director (Director and secretary): 30 FTE;

Distribution Network and Substations Manager: 15 FTE;

Distribution Network and Substations Engineering Supervisor: 70 FTE;

Distribution Substations Supervisor: 690 FTE;

Distribution Emergency & Maintenance Supervisor (MV): 46 FTE;

Distribution Emergency & Maintenance Supervisor (LV): 804 FTE;

Distribution Warehouse Supervisor: 45 FTE;

Distribution Meter Manager: 15 FTE;

Distribution Control Supervisor: 30 FTE;

Distribution Operations Supervisor: 600 FTE;

Distribution Reading Supervisor: 762 FTE.


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Figure 13


DistributionOverview

Distributionoperations

CEO

Technical Area &Engineering

Regional unitdirection

Maintenance &conduction

Metermanagement

EngineeringControl room

and call center

Metermanagement

Network andsubstations

Engineering SubstationsEmergency &

Maintenance (MV)Emergency &

Maintenance (LV)Control Operations Reading


Warehouse

1+1

15+15

1515

70 690 46 804 45 30 600 762

75 1+1

28 40 36 28

Tot. FTE:

3.318


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ROLE # FTE

Chief of Distribution Operations 1

Secretary 1

Distribution Logistics & Warehousing Manager 1

Logistics officer 74

Distribution Technical Area & Engineering Director 1

Secretary 1Distribution Maintenance & Conduction Manager 1

Electrical Engineer Senior 3

Electrical Engineer Junior 5

Civil Engineer Senior 3

Civil Engineer Junior 5

Mechanical Engineer Senior 3

Mechanical Engineer Junior 5

Analyst 3

Distribution Technical Meter Manager 1Technical engineer 8

Electrician 19

Sr. Technical Engineer 12

Distribution Engineering Manager 36

Distr. Control Room and Technical Call Center Manager 1

Technical engineer 6

Electrician 13

Sr. Technical Engineer 8

Distribution Regional Unit Director 15Secretary 15

Distribution Network and Substations Manager 15

Distr. Network and Substations Engineering Supervisor 70

Distribution Substations Supervisor 60

Distribution Substations Electrical Engineer 100

Distribution Substations Electrician 370

Distribution Substations Mechanical Engineer 80

Distribution Substations Civil Engineer 80

Distribution Emergency & Maintenance Supervisor (MV) 5Distribution Substations Electrical Engineer 10

Distribution Substations Electrician 15


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Distribution Substations Mechanical Engineer 8


Distribution Emergency & Maintenance Supervisor (LV) 90

Distribution Substations Electrical Engineer 120

Distribution Substations Electrician 390Distribution Substations Mechanical Engineer 102


Distribution Warehouse Supervisor 1



Material return administrator 6

Distribution Meter Manager 15

Distribution Control Supervisor 15

Meter Management Control Analyst 15Distribution Operations Supervisor 15

Meter Management Operations Electrical Engineer 60

Meter Management Operations Electrician 375

Meter Management Operations Sr. Civil Engineer 15

Meter Management Operations Jr. Civil Engineer 60

Meter Management Operations Sr. Mechanical Engineer 15

Meter Management Operations Jr. Mechanical Engineer 60

Distribution Reading Supervisor 15

Meter Management Reading Sr. reader 180

Meter Management Reading Jr. reader 567


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54/66


Organization Sizing

This information is confidential and was prepared by i l l l i i i l i

SupplyOverview

Marketing &Reporting

Operativemarketing

Strategicmarketing

Cal

3


Figure 17

i i i i i i l Bain & Company solel y f or the use o f our cl ient; it i s not to be rel ied on by any 3 rd pa rty wi thout i ' i i

Supply

Direction

CEO

Operati

BillingOperating

reporting andplanning

Back Office

Central mgmtof key

accountsl center

Regional unit

direction

District Office

Regionalmgmt of key

accounts

Mass market

1+1

1+1

5 1+

159

1+

275

26 1+1

34

1+1

15+15

1310

gn project

Page 54 of 42

i Bain's prior written consent12

ns

Creditanagement

Tot. FTE:

1.899

1+1

41


55/66








ROLE # FTE

Chief of supply 1

Secretary 1

Marketing and reporting director 1

Secretary 1

Strategic marketing manager 1

Senior expert strategic marketing 1

Strategic marketing analyst 1

Operating reporting and planning manager 1

Senior sales and planning analyst 1

Sales planning analyst 3

Operative marketing manager 1

Product portfolio analyst 2

Customer data analyst 1

Communication officer 1

Supply operations director 1

Secretary 1

Billing manager 1

Senior billing operator 15

Billing operator 35

Billing assistant accountant 109

Credit manager 1

Credit management senior financial officer 7

Credit management financial officer 33

Back office supervisor 1

Secretary 1Back office analyst 2

Back office representative 272

Call center supervisor 1

Call center operator 25

Key account director 1

Secretary 1

Regional key account manager 34

Director of mass market 1

Secretary 1Regional unit manager 15

Secretary 15


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District office supervisor 300

Customer service representative 1010


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18. UEAP



assumptions:




New distribution network per year managed by UEAP (estimate): 9.360;

Average Planning FTEs as a % of total FTEs: 0,04;


New network km per Logistics & Warehouse: 200;

New network km per Project Manager: 150;

18.2 Sizing

The previous assumptions lead to an estimated need of 135 FTE for the UEAP


Chief of Universal Electric Access Program (Chief and secretary):: 2 FTE;

UEAP Planning Manager: 5 FTE;

Engineering Manager: 19 FTE;

UEAP Logistics & Warehousing Manager: 47 FTE; Government Financed Projects Manager: 31 FTE;

International Financed Projects Manager: 31 FTE.


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Figure 18


UEAPOverview

Engineering

UEAP

CEO

Planning

Intern. financedprojects

Gov. financedprojects


1+1

47

5

19

3131

Tot. FTE:

135


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ROLE # FTE

Chief of Universal Electric Access Program 1

Secretary 1

Logistics & Warehousing 1

UEAP Warehouse supervisor 10UEAP Logistics officer 36

Planning Manager (UEAP) 1

Planning Officer 4

Engineering Manager (UEAP) 1

UEAP Division Electrical Engineer 9

UEAP Division Electro-Mechanical Engineer 5

UEAP Division Civil Engineer 3

UEAP Division Environmental Engineer 1

Government Financed Projects Manager 1UEAP Government Projects Senior Electrical Engineer 18

UEAP Government Projects Senior Civil Engineer 7

UEAP Govt. Projects Senior Electro-Mechanical Engineer 5

International Financed Projects Manager 1

UEAP Int'l Financed Projects Senior Electrical Engineer 18

UEAP Int'l Financed Projects Senior Civil Engineer 7

UEAP Int'l Financed Projects Sr. Electro-Mechanical Engineer 5


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19. CONSTRUCTIONS



assumptions: Nr. of chief of the function: 1;

Nr. of directors for each 3rd-level office: 1;

Secretary for the chief of the function: 1;

Secretary for each 3rd-level director: 1;

New transmission line Km per year: 773;

Average Km managed by each Transmission & Substation FTE: 12;

New distribution line Km per year: 31.200;

Average Km managed by each Distribution Constructions FTE: 666;

Average % of Transmission & Substations FTE employed in Civil work:55%;

Average % of Distribution FTE employed in Civil work: 20%.

19.2 Sizing


Constructions function, employed in (Figure 19):

Chief of Constructions: 2 FTE (Chief and secretary);

Transmission & Substations Constructions Director: 2 FTE (Chief andsecretary);

Civil Constructions Manager (Transmission & Substations): 34 FTE;

Electro-Mechanical Constructions Manager (Transmission & Substations):

28 FTE;

Distribution Constructions Director: 2 FTE (Chief and secretary);

Civil Constructions Manager (Distribution): 9 FTE;

Electro-Mechanical Constructions Manager (Distribution): 36 FTE.


61/66


Organization Sizing

This information is confidential and was prepared i l l li i i li

ConstructionsOverview

Transmission& Substations

1+73


Figure 19

i i i i i i l by Bain & Company solely for the use o f our c lient; i t is not to be rel ied on by any 3rd party without Bain' i i

CEO

Constructions

Distribution

1+1

1+36

gn project

Page 61 of 42

i i prior written consent110


62/66









ROLE # FTE

Chief of Constructions 1

Secretary 1

Transmission & Substations Constructions Director 1

Secretary 1

Trans. & Subs. Constructions Electro-Mechanical Engineer 13

Trans. & Subs. Constructions Civil Engineer 13Trans. & Subs. Constructions Electro-Mechanical Technician 40

Trans. & Subs. Civil Constructions Worker 6

Distribution Constructions Director 1

Secretary 1

Distribution Constructions Electro-Mechanical Engineer 8

Distribution Constructions Civil Engineer 3

Distribution Constructions Electro-Mechanical Technician 20

Distribution Civil Constructions Worker 4


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20. Equipment Production



assumptions: Nr. of chief of the function: 1;

Secretary for the chief of the function: 1;

New distribution network km per year: 31.200;

Average new network km managed per Equipment Production FTE: 110;

Average Customer Management FTEs as a % of Production FTEs: 20%;

Average Equipment Production Logistics & Warehousing FTEs as a % of

Production FTEs: 7%;

Average Product Development FTEs as a % of Production FTEs: 14%;

Average Production & Planning FTEs as a % of Production FTEs: 58%.

20.2 Sizing


Equipment Production function, employed in (Figure 20):

Chief of Equipment Production: 2 FTE (Chief and secretary);

Equipment Production Customer Manager: 57 FTE;

Logistics & Warehousing Manager: 20 FTE;

Product Development Manager: 40 FTE; Production & Planning Manager: 165 FTE.


64/66



Figure 20


Equipment ProductionOverview

Equipmentproduction

CEO

Productdevelopment

Logistics andwarehousing

Productionand planning

Customermanagement

Tot. FTE:

284

20

165

2

57

40


65/66









ROLE # FTE

Chief of Equipment Production 1

Secretary 1

Equipment Production Customer Management Director 1

Equipment Production Senior Customer Manager 15

Equipment Production Customer Manager 41

Logistics & Warehousing Manager 20Product Development Director 1

Senior Product Development Electrical Engineer 3

Product Development Electrical Engineer 12

Senior Product Development Mechanical Engineer 3

Product Development Mechanical Engineer 11

Senior Product Development Civil Engineer 2

Product Development Civil Engineer 8

Production & Planning Director 1

Secretary 1Senior Production Planner 5

Production Planner 10

Production Engineer 15

Production Worker 98

Maintenance Planner 5

Maintenance Worker 30


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21. ORGANIZATION OVERVIEW

21.1 Sizing

EEPU organization has been estimated to require 10.175 resources, distributed

in the following way (Figure 21):

CEO: 2 FTE;

Engineering: 57 FTE;

Strategy & Investments: 17 FTE;

External Relations: 26 FTE;

Legal: 30 FTE;

CFO: 2 FTE;

Administration, Finance & Control: 274 FTE;

Procurement, Logistics & Warehousing: 152 FTE; Tariffs & EEA Relations: 10 FTE;

Corporate Service Manager: 2 FTE;

ICT: 181 FTE;

HR: 141 FTE;

EHS & Quality: 21 FTE;

Property & General Services: 825 FTE;

Energy Management: 52 FTE;

Generation Operations: 1.544 FTE;

Transmission Operations: 1.095 FTE; Distribution Operations: 3.318 FTE;

Supply: 1.900 FTE;

UEAP: 135 FTE;

Constructions: 113 FTE;

Equipment Production: 284 FTE.

organization sizing detail

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