LAHORE ELECTRIC SUPPLY

COMPANY
SUPPLY COMPANY
LAHORE ELECTRIC

MUHAMMAD NOMAN KHAN

MC080405183
MASTER OF BUSINESS
ADMINISTRATION
MBA FINANCE

1
 LAHORE ELECTRIC SUPPLY
COMPANY
LAHORE ELECTRIC
SUPPLY COMPANY

INTERNSHIP REPORT ON
LAHORE ELECTRIC SUPPLY
COMPANY

2
 Brief introduction of the
organization
Overview of the organization
LAHORE
SUPPLY
LAHORE
SUPPLY

LESCO stands for Lahore Electric Supply company.

LESCO is an electricity distribution company.
LESCO provides electricity to the peoples.
COMPANY
ELECTRIC
COMPANY
ELECTRIC

Business volume
 Public Limited Company
 Authorized Share Capital is 5,000,000,000
 Paid up Share Capital is 5000 ordinary share of 10
each.
Total consumer are 2814399 with increasing rate 6.7
3
 Cont….

Competitors of the organization

LAHORE ELECTRIC
SUPPLY COMPANY

 LESCO is a Monopolistic Organization

There is no Competitors in Lahore Region

 Reasons of Monopoly

1: New Entrance is restricted

2: High initial fixed Cost

4
 Organization Hierarchy
Chart
Hierarchy of Organization Structure
LAHORE ELECTRIC
SUPPLY COMPANY

5
 Training Program

Name of Department in which I got

Training
LAHORE ELECTRIC
SUPPLY COMPANY

Departments Duration
1: MDI Department 01-05-2010 To 15-05-2010

2: Accounts Department 15-05-2010 To 31-05-2010

3: Admin Department 01-06-2010 To 15-06-2010

4: Finance Department 15-06-2010 To 30-06-2010 6

 Training Program
Cont…
Detail Description of the Tasks Which
are performed in different department
LAHORE ELECTRIC
SUPPLY COMPANY

MDI Department
“MDI is a Department in which industrial bills are
Prepare and calculated”
Following are the Task which are performed in MDI
Department

1: Preparation of MR list
2: Checking of Readings and Units 7
 Training Program
Cont…
3: Sending the MR list to WCC
4: Calculation of MDI Bills
LAHORE ELECTRIC
SUPPLY COMPANY

5: Providing the Customer Services

6: Making the MDI Payment List
7: Issued MCO
8: Issued RCO
9: Issued ERO
10: Filling different CP’s like CP 137, CP 138 and CP52

8
 Training Program
Cont…
Accounts Department
Following are the Task which are performed in
LAHORE ELECTRIC
SUPPLY COMPANY

Accounts Department
•Making the cash book summary
•Making the stock summary
•Making last paid summary
•Making the debit and credit summary
•Making the pay roll summary
•Posting the entries in the ledger
9
•Posting the entries in trial balance etc
 Training Program
Cont…
Preparation of Ledger and
Trail Balance
LAHORE ELECTRIC
SUPPLY COMPANY

After preparing the summaries of each all the entries

are putt in to ledger.
Ledger is a statement in which initially entry is post.
After posting the entry in the ledger trial balance is
prepared.
 Trial balance shows the all accounts separately.

10
 Training Program
Cont…
Annual Accounts
LAHORE ELECTRIC
SUPPLY COMPANY

 Annual accounts are prepared in the end of

accounting period.
 An annual account includes final accounts.
This includes income statement or profit and loss
accounts and balance sheet.

11
 Training Program
Cont…
Admin Department
LAHORE ELECTRIC
SUPPLY COMPANY

Preparation of Service Book of employees

Maintain the record of employees
Maintaining the attendance register
Maintaining the leave register
Responsible of negligence behavior of employees

12
 Structure of Finance
Department
Department Hierarchy
LAHORE ELECTRIC
SUPPLY COMPANY

Finance Director

1:Finance 2:Manager
Manager Finance (CP &
3:Deputy 4:DeputyC)
(CA)
Manager Manager
Accounts Accounts
H/Q (F.F)
13
 Structure of Finance
Department
Finance Operations
LAHORE ELECTRIC
SUPPLY COMPANY

 Finance manager is responsible of all operation

in the finance department.
 Finance mangers allocate the annual budget on
the basis of activity for example
 Area,
 No of consumers.
 No of transformers etc.

14
 Structure of Finance
Department
Accounting Operations
LAHORE ELECTRIC
SUPPLY COMPANY

 Deputy Manager Finance is responsible all

accounting operation of finance department.

 He control the all accounting policies of

accounts
in LESCO head office.

1: Preparing annual accounts

2: Preparing balance sheet
3: Preparing profit and loss
15
account or income statement
 Functions of Finance
Department
Accounting System of the
Organization
LAHORE ELECTRIC
SUPPLY COMPANY

 Initially LESCO Accounting system was

maintained on manual basis.

 Now a days LESCO maintain its accounts on

ERP System or ERP Software.

16
 Functions of Finance
Department
Finance System of the
Organization
LAHORE ELECTRIC
SUPPLY COMPANY

 Finance system of the LESCO is maintained

and controlled by Finance Directorate.

 Which have sub ordinate finance manger

(corporate accounting) and Finance Manger
(CP&C).

 There are two deputy mangers which controls

the work of accounts officers
17
 Functions of Finance
Department
Source of Funds
LAHORE ELECTRIC
SUPPLY COMPANY

 LESCO is Government based Company and it is

maintained and controlled by Government of
Pakistan.

 LESCO takes funds from NEPRA.

 In the beginning Wapda provides the fund to all

the distribution companies. But now a days
NEPRA provides to the LESCO.
18
 Functions of Finance
Department
Allocation of Funds
LAHORE ELECTRIC
SUPPLY COMPANY

 LESCO have 7 circle, 33 Divisions and 160 sub

divisions.
 Finance manger allocates the fund according to
the needs of every circle, Division and sub
divisions. Funds all pass on annual basis but
distributes in parts according to the needs of the

departments.

1: Funds for salaries of employees

2: Funds for TA/DA 19
3: Funds for office expenditures etc
 Critical Analysis

Profit & loss Account

YEAR ENDING June 30, 2009 June 30, 2008 June 30, 2007 June 30, 2006
LAHORE ELECTRIC
SUPPLY COMPANY

M. Rs. M. Rs. M. Rs. M. Rs.

REVENUE

Energy Sales 90,006 68,277 63,314 55,381

Rental of meters and 460 396 255 362
equipment
Revenue from 90,466 68,673 63,569 55,742
Electricity
Amortization of 486 449 384 318
Deferred income
TOTAL REVENUE 90,952 69,122 63,953 56,061 20
 Profit & loss Account
cont..
OPERATING COST

Cost of Electricity 82,197 72,449 56,688 50,369

LAHORE ELECTRIC
SUPPLY COMPANY

Other operating cost 10,304 7,270 6,622 5,884

excluding depreciation

Depreciation on operating 1,165 1,034 897 803

fixed assets
TOTAL OPERATING 93,666 80,754 64,207 57,056
COSTS
Operating Loss/Profit (2,713) (11,632) (253) (996)

Other Income 2,819 1,989 1,729 1,436

Profit/(Loss) before 105 (9,643) 1,476 441
interests & Tax
21
 Profit & loss Account
cont..
Less Financial Charges 257 1,377 404 342

Less Worker's Profit - - - -

LAHORE ELECTRIC
SUPPLY COMPANY

Participation Fund

Less Provision for taxation - - 111 -

Profit /(Loss) for the year (151) (11,020) 960 98

Unappropriated Profit / (Loss) (8,461) 2,559 1,598 1,500

brought forward

Available for application (8,612) (8,461) 2,559 1,598

22
 Balance Sheet
EQUITY & LIABILITIES June 30, June 30, June 30,
2009 2008 2007

M. Rs. M. Rs. M. Rs.

LAHORE ELECTRIC
SUPPLY COMPANY

SHARE CAPITAL AND RESERVES

AUTHORISED SHARE CAPITAL
5,000,000,000 ordinary shares of Rupees 50,000.00 50,000.00 50,000.00
10 each
ISSUED, SUBSCRIBED AND PAID
UP SHARE CAPITAL
1,000 Ordinary shares of Rupees 10 0.01 0.01 0.01
eachfully paid up in cash
Deposit for shares 6,738 6,738 6,738
Issuence of Redeemable Capital - 4,050 -
Accumulated Profit / Loss (8,613) (8,461) 2,55823
 Balance Sheet Cont..
Deferred credit 18,597 15,443 11,758

Term finance certificates 6,500 7,500 -

LAHORE ELECTRIC
SUPPLY COMPANY

Long Term Loans 1,140 1,333 2,381

Employees'Retirement obligations 13,317 10,475 8,380

Consumers' SECURITY DEPOSITS 3,653 2,943 2,637

48,207 37,693 25,157

24
 Balance Sheet Cont..
CURRENT LIABILITIES

Creditors, deposits and accrued 19,293 10,223 2,700

LAHORE ELECTRIC
SUPPLY COMPANY

liabilities
Current Maturity of Term Finance 1,500 500 -
Certificate
Current Maturity of Short Term 233 62.5 265
Loans
Provision for taxation 102 102 111
21,128 10,888 3,077

Total Equity & Liabilities 67,460.00 50,908.30 37,530.00

25
 Balance Sheet Cont..
ASSETS June 30, June 30, June 30,
2009 2008 2007

M. Rs. M. Rs. M. Rs.

LAHORE ELECTRIC
SUPPLY COMPANY

NON-CURRENT ASSETS

TANGIBLE FIXED ASSETS

Operating fixed assets 26,092 21,311 17,977

Capital work in progress 2,645 2,130 1,794

28,737 23,440 19,770

Long term advances 75 51 52

Long term Deposits and deferred 0.35 0.36 0.36
costs
26
28,812 23,491 19,823
 Balance Sheet Cont..
CURRENT
ASSETS

Stores, spare 2,390 2,151 2,144

SUPPLY COMPANY
LAHORE ELECTRIC

parts and loose

Tools

Trade Debtors 8,113 7,686 6,298

Loans, advances 18,958 8,046 4,971
and other
Receivables

Cash and bank 9,186 9,534 4,295

Balances

38,648 27,417 17,707

27
Total Assets 67,460.00 50,908.30 37,529.99
 Cash Flow Statement
2009 2008 2007
M. Rs. M. Rs. M. Rs.
LAHORE ELECTRIC
SUPPLY COMPANY

Profit/(loss) for the year (151) (11,020) 960

Adjustment for non cash charges & other

Operating Expenses
Depreciation 1,165 1,034 897
Amortization of Deferred Income (486) (449) (384)
Provision for Retirement Benefits 3,137 2,482 2,280
Extra-Ordinary Items 257
Financial Charges - 1,377 404
Provision for taxation 1,542 - 111
5,613 4,444 3,308
Cash generated from operating activities before 5,462 (6,576) 4,26928
 Cont…
(Increase)/ Decrease in current assets
Store & Spares (239) 7 305
Trade debts (1,969) 1,388 968
LAHORE ELECTRIC
SUPPLY COMPANY

Loan, advances and other receivable (10,912) 3,075 (7,915)

Short Term Loans - - -

Creditors, accrued and other liabilities 9,153 (7,026) 8,425

Effect on cash flow due to working capital changes (3,967) (2,555) 1,784

Net cash Generated from operating activities 1,495 (4,020) 2,485

Pension Benefits Paid 522 388 356

Financial charges paid 112 880 404
Net cash (Used In)/ Generated from operating 860 (5,297) 1,724
29
activities
 Cont…
Cash flow from Investing Activities
Fixed capital expenditure incurred (6,461) (4,704) (4,414)
LAHORE ELECTRIC
SUPPLY COMPANY

Net cash generated from Investing activities (6,485) (4,703) (4,424)

Repayment of Long Term Loans (23) (2,280) (303)

Increase in Deposit for Shares - - 521
Increase in Deposit for issuance of redeemable 950 4,050 -
capital
Issue of Term finance certificates - 8,000 -
Net cash generated from Financing activities 5,278 15,239 3,784
Net cash (Decrease)/ Increase in cash and cash (347) 5,239 1,084
equivalents
Cash and cash equivalents at the beginning 9,534 4,295 3,211
Cash and cash equivalents at the end of year 9,186 9,534 4,295
30
 Ratio Analysis

Liquidity Ratio
LAHORE ELECTRIC
SUPPLY COMPANY

“Liquidity Ratios Measure a Firm’s Ability to

Meet its current obligations”

31
 A. Liquidity Ratio
Name FORMULA 2009 2008 2007
Current Current 38648/21128 27417/10888 17707/3077
Ratio Asset /Current =1.829 =2.518 =5.75
Liability
LAHORE ELECTRIC
SUPPLY COMPANY

Acid Test Current Assets- 38648- 27417- 17707-

Ratio inventory 2390/21128 2151/10888 2144/3077
/Current = 1.71 =2.32 = 5.05
liability

Sales to Sale / working 90,006/1.829 68277/2.518 63,314/5.756

Working capital =4921.5 =27115.6 = 10999.7
Capital
Working Current Assets 38648-21128 27417-10888 17707-3077
capital – Current =1.829 =2.518 =5.756
Liabilities

32
 B. Leverage Ratios

Leverage Ratio
LAHORE ELECTRIC
SUPPLY COMPANY

“Leverage Ratios measure the degree of

protection of suppliers of long term
funds”

33
 B. Leverage Ratios
Name FORMULA 2009 2008 2007
Time Interest EBIT/Total 105/257= 0.41 (9643)/1377= 1476/404=
Earned interest -7.00 3.653
Fixed Charge EBIT+ Fixed 105+1140 (9643)+1333 1476+2381
LAHORE ELECTRIC
SUPPLY COMPANY

Coverage Charge (Before /1140+257 /1333+1377 /2381+404

tax)/ Fixed =1245/1397 = -8310/2710 =3857/2785
Charge (Before = 0.891 = -3.06 =1.385
tax)+interest

Debt Ratio Total 8113+18958/67 7686+8046/509 6298+4971/375

Debt/Total 460 08 30
Assets =0.40 = 0.309 =0.300
Debt to Total DATA NOT DATA NOT DATA NOT
Tangible Net liabilities/ net AVAIABLE AVAIABLE` AVAIABLE
worth Ratio worth – net
intangible
Assets
34
 B. Leverage Ratios
Current Worth = {Net profit (151)/6738*100 (11020/6738*10 960/6738*100
/ Net worth (after interest = -2.24 0 = 14.2
Ratio and tax) / = - 163.55
Share
LAHORE ELECTRIC
SUPPLY COMPANY

holder's fund}
× 100]

Debt / Equity (Total 69335/(1875)= 48581/2327 28234/9296

Ratio Liabilities) / -36.97 = 20.87 = 3.03
(Shareholders
Equity
Fixed Asset Shareholder 6738/67460 6738/50908 6738/37530
Ratio / Equity s funds / = 0.179 = 0.132 = 0.179
Ratio Total Assets

Long term Long term 28812/27071 23491/15732 19823/11269=1

Assets versus Assets/ Long =1.064 =1.493 .75
Long term term debt 35
Debt
 C. Profitability Ratios

“Profitability Ratio measure the earning

Ability of a Firm”
LAHORE ELECTRIC
SUPPLY COMPANY

Name FORMULA 2009 2008 2007

Net Profit Net profit after (151)/90466= (11020)/68673 960/63569=
Margin Taxes/ Sales - 1.66 = 0.015
- 0.16
Return on Net Income/Total (151)/ 67460= (11020)/ 960/37530=
Assets Assets -2.23 50908= 0.025
-0.21
DuPont Net Income/ sales {(151)/90466}*{ {(11020)/6867 {960/63569}*
Return on * sales/ Assets * 90466/67460}*{ 3}*{68673509 {63569/37503}*
Assets Assets/ Equity 67460/(1875)}= 08}*{50908/23 {37503/9296}=
- 0.080 27}=4.7 0.10

Operating Operating 2819/ 90466= 1989/ 68673= 1729/63569= 36

Income Income/Net Sales 0.031 0.028 0.027
 Cont…
Operating net sales/operating 90466/ 26,092=68673/ 21311= 63569/
Assets assets 3.467 3.22 17977=
Turnover 3.53
LAHORE ELECTRIC
SUPPLY COMPANY

Sales to sales / fixed assets 90466/ 28812= 68673/23491= 63569/19823=

Fixed Assets 3.13 2.923 3.20

Return on EBIT+ financial cost/ 105+257/ (9643)+1377/2 1476+404/929

Investment Stockholders equity +(1875)+1140 327+1333= 6+2381=
(ROI) fixed liabilities =362/-735 -8266/3660= 1880/11677
= -0.49 -2.25 = 0.16

Return on Net Income/ (151)/(1875)= - (11020)/2327=-960/9296=

Total Total Equity 0.08 4.735 0.1032
Equity
Gross Profit Sales - Cost of Goods 90466- 68673- 63569-
Margin Sold/Sales 82197/90466=072449/68673=- 56688/63569=
.09 0.05 0.1082 37
 D. Activity Ratios
“Activity Ratios measure a firm’s Ability
to convert different accounts within their
balance sheet into cash or sales”
LAHORE ELECTRIC
SUPPLY COMPANY

Name FORMULA 2009 2008 2007

Accounts annual sales / 90466/81 68673/7686= 63569/629
Receivable average accounts 13= 11.15 8.93 8=10.09
Turnover Receivable

Average (Average Debtors) / 8113/90 7686/68673* 6298/6356

Collection ( Sales) x (365 days 66*365= 00=40.85 days 9*100=
Period or 12 months 32.73days 36.161

Accounts Cost of Goods Sold 82197/19 72449/10223=7. 56688/270

Payable /Accounts Payable 293= 08 0= 20.9=21
Turnover 4.26
38
 Cont…
Inventory Cost of 82197/2390 72449/2151 56688/2144
Turnover Goods Sold/ =34.39 = 33.68 = 26.44
Inventory
Average Age 365 days/ 365 days/ 34.39 365 days 365 days
LAHORE ELECTRIC
SUPPLY COMPANY

of Inventory inventory =11 days /33.68=11 /26.44=

Turnover days 13.8 days
Operating Average age Collection period Collection Collection
Cycle of inventory = 365/accounts Period = period=
+ collection Receivable 365/accounts 365/accoun
period turnover ratio receivable tsreceivabe
Cp=365/11.15 turnover ratio turnover
=32.73 days Cp=365/9=4 ratioCp=36
11 + 33 = 44 days 1 days 11+41 5/10=37
= 52 days days14+37
= 51 Days

Fixed Assets Cost of sales 82197/28812 72449/2349 56688/19

Turnover or sales/Fixed =2.85 =3.08 23=2.859
39
assets
LAHORE ELECTRIC E. Market Ratio
SUPPLY COMPANY

“Market Ratios are common used by the

investors to assess the performance of a
business as an investment and also the cost
issuing stock ”

40
 E. Market Ratio
Cont…

NOTE
LAHORE ELECTRIC
SUPPLY COMPANY

LESCO is not a listed company in any stock exchange

and company also facing loss from last two years.
LESCO is owned by Government of Pakistan and there
is no shareholder. There are no chances of any type of
dividend given to shareholder due to loss or non
availability of data Market Ratios cannot be calculated.

41
 F. Statement of Cash Flow
Ratios
LAHORE ELECTRIC
SUPPLY COMPANY

“Cash Flow ratios indicates Liquidity,

Borrowing capacity and profitability”

42
 F. Statement of Cash Flow
Ratios Cont..
NAME FORMULA 2009 2008 2007
Operating Cash Operating cash 2262/27071= 2262/15732= 2262/11269=
Flow/Total Debt flow/ total debt 0.08 0.14 0.200
OCF= EBIT+-
LAHORE ELECTRIC
SUPPLY COMPANY

Taxes=1476+897-
11= 2262
• Operating Operating cash 2262/23- 2262/2280- 2262/303-
Cash Flow flow/ current 19293= 10223= 2700=
/Current maturity of long 2262/-19270 2262/ -7943 - 0.944
Maturities of term debt – note = - 0.117 = - 0.28
Long TerDebt payable
and Current
Notes Payable

Operating Cash Operating cash flow 2262- 2262- 2262-

Flow/Cash – capital 6461/2262= 4704/2262 4414/2262
Dividends expenditure / - 4199/2262 = - 2442/ = - 2152/
operating cash flow = - 1.85 2262=1.079 2262= -
0.9513 43
 Horizontal Analysis

Formula = Current Year Amount – Base Year

Amount / Base Year Amount*100
LAHORE ELECTRIC
SUPPLY COMPANY

ITEM 2009 & 2008 2008 & 2007

Revenue from electricity 90466-68673/68673= 68673-63569/63569 =
0.317 0.080
Total Revenue 90466 – 68673 / 68673 = 69122 – 63953 / 63953 =
0.31 0.08
Cost of Energy 82197 – 72449 / 72449= 72449 – 56688/56688=
0.13 0.278
Total Operating Cost 93666-80754/80754= 80754-64207/64207=
0.159 0.257
Financial Cost 257-1377/1377= -0.813 1377-404/404= 2.408
Deferred credit 18597-15443/15443= 0.20 15443-11750/11750= 44
0.314
 Vertical Analysis

Formula = Line item / Base Year * 100

ITEM 2009 % 2008 % 2007 %
LAHORE ELECTRIC
SUPPLY COMPANY

REVENUE FROM 90466/90952*10 68673/69122*10 63569/63953*100=9

ELECTRICITY 0= 99.46 % 0=99.35 % 9.39 %
COST OF 87.75 89.71 88.289
ELECTIRICITY
DEPRECIATION 1.243 1.28 1.397
ON FIXED ASSETS

FINANCIAL 58.75 12.49 153.75

CHARGES
DEFERRED 38.58 41 46.7
CREDIT
LONG TERM 2.36 3.53 6.316
45
LOANS
 Industry Analysis
• Different companies those are working under WAPDA
compete each other every one want to achieve its goal in
the form of income and Revenue but we can’t say a
LAHORE ELECTRIC
SUPPLY COMPANY

same as real competition.

• LESCO is one of those companies of the Wapda who

has no competitors. This is a monopolistic 46
organization in this region.
 Trend Analysis

“A firm's present ratio is

LAHORE ELECTRIC
SUPPLY COMPANY

compared with its past and

expected future ratios to

determine whether the

company's financial condition is

improving or deteriorating over

time”
47
 Trend Analysis Cont…
Name 2008 2009 Trend Analysis
Current Ratio 27417/10888 38648/21128 Current Ratio trend has
=2.518 =1.829 decreased from 2008 to 2009.
LAHORE ELECTRIC
SUPPLY COMPANY

This means the company is

becoming weak.
Acid Test Ratio 27417- 38648- Acid test ratio has decreased
2151/10888 2390/21128 from 2008 to 2009, this means its
=2.32 = 1.71 ability to pay short term
creditors has weak.
Inventory 72449/2151= 82197/2390= The inventory turnover ratio
Turnover 33.68 times 34.39 times trend has increased from 2008 to
2009 this means the company
sells off its inventory fastly.

Debt Ratio 7686+8046/50908 8113+18958/6 The debt ratios trend show that
= 0.309 7460 the debt ratio of company
=0.40 increasing this means company
becoming weak and very far too
self sufficiency. 48
 Trend Analysis Cont..
Gross Profit 68673- 90466- Gross profit margin trend show
Margin 72449/68673= 82197/90466= that the gross profit ratio
- 0.05 0.09 increased as compared to 2008.
LAHORE ELECTRIC
SUPPLY COMPANY

This means company is making

more from each sale.

Net Profit (11020)/68673= (151)/90466= Net profit margin ratio trend

Margin - 0.16 - 1.66 shows that that net profit
margin ratio showing loss from
last two years.
Return on (11020)/ 50908= (151)/ 67460= Return on assets trend shows
Assets -0.21 -2.23 that the return on assets showing
negative value and there is no
return on assets from last two
years.

Return on Total (11020)/2327= (151)/(1875)= Return on equity trend shows

Equity - 4.735 - 0.08 that the return on equity
showing negative value and
there is no return on total equity
from last two years. 49
 Future prospectus of the
organization

Establishment of mobile customer
services center at each circle

Distribution system rehabilitation

SUPPLY COMPANY
LAHORE ELECTRIC

under System augmentation

program for reduction in energy
losses.

New Grid Stations and
augmentation/extension of existing
Grid Stations and Transmission
Lines.

Purchase of new vehicles for field
formation.
50
 SWOT Analysis of the
Organization
SUPPLY COMPANY
LAHORE ELECTRIC

51
 SWOT Analysis of the
Organization
Strengths
LAHORE ELECTRIC
SUPPLY COMPANY

•Having a large number

of consumers
•Using ERP system and
ERP software
•Using electronic meter
instead of other meters
•One window service
facility at each sub-
division
•Giving electricity to 52
whole Lahorians.
 SWOT Analysis of the
Organization Cont…
Weaknesses
• Lack of water dam in
LAHORE ELECTRIC
SUPPLY COMPANY

Pakistan.
• Heavy line losses of
13.2% per year.
• Lack of Education
and professional skill
in employees .
• Lack of information
about ERP system.
• Customer’s guidance
53
is not sufficient.
 SWOT Analysis of the
Organization Cont…
Opportunities
LAHORE ELECTRIC
SUPPLY COMPANY

• ERP system providing

accurate result .
• Establishment of mobile
customer services center
at each circle.
• New grid station and
augmentation of existing
grid station.
• Importance of IT is on
the rise day by day. 54
 SWOT Analysis of the
Organization Cont…
Threats
LAHORE ELECTRIC
SUPPLY COMPANY

• Increasing chances of
Corruption in future.
• Increasing demand of
electricity.
• Increasing Political
influence.
• Increasing chances of
high prices in future.

55
 Conclusion

In summing up we can say that LESCO have very

important responsibility to supply the electricity but
LAHORE ELECTRIC
SUPPLY COMPANY

there are some weakness in the LESCO. LESCO

requires latest technology in his IT department. But
in LESCO peoples have not much educated. Mostly
People’s are illiterate. They don’t know how to use
Computer system. Due to this delay in work.
Situation will be better after the full implementation of
ERP system. LESCO playing very important role
Because there is no other company in LAHORE
56
Area who performed this work.
 57
Recommendations LAHORE ELECTRIC
SUPPLY COMPANY
 LESCO needs improvement in
the following areas.
 Employee needs high Education and professional
Skills.
 There should be more chances of Career
SUPPLY COMPANY
LAHORE ELECTRIC

Development.
 LESCO should arrange training program for
employees
 LESCO should encourage the employees to get high
education and training during his job.
 There should be no political influence during
recruitment, promotions, only deserved person
should be promote.
 Behavior of the Employees towards consumer should58
be good.
 THANK YOU
FOR YOUR ATTENTION


LAHORE ELECTRIC
SUPPLY COMPANY

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