RWE npower is a UK-based public energy company that supplies gas and electricity. It has over 11,000 employees and is one of the largest electricity generators in the UK. The document discusses npower's risk management process, which includes identifying, assessing, and prioritizing risks, as well as minimizing risks through coordinated resource allocation. It also discusses the benefits of team-based decision making used at npower, such as diversity of opinions, expertise, and democratic decision making. Npower is highly successful in the UK energy market as the third largest supplier and one of the largest generators, and brings economic benefits through jobs and investment in infrastructure.

1. A npower case study
Case-63
Presenters :
Md. Rashedul Islam
Md. Masudur Rahaman

2. Agenda
Risk Management
+
Decision making
+
Team-based decision
making
Risk
+

3. Npower Limited :
Type : Public limited company
Industry : Energy
Founded : 2000 (as Innogy plc)
2002 (as RWE npower)
Headquarters : Swindon, England, United Kingdom
Key people : Paul Coffey, CEO
Products : Gas and electricity
Number of employees : 11,501
Parent : Innogy
Website : www.npower.com

4.  Providing exciting jobs with prospects
 Selling energy to households and businesses, enabling a
better standard of living.
 Investing in huge capital projects such as the building of
power stations future.
Npower Limited :
RWE npower, are involved in securing energy supplies and in the
management of risk.
RWE npower contributes to the economy by:

5. Risk :
A risk is an uncertain event which may occur in the
future.
Risk involves the chance an investment's
actual return will differ from the expected return.
Risk includes the possibility of losing some or all of the
original investment.
A risk is not certain Its likelihood can only be
estimated
Not all risk is bad, some level of risk must be taken in
order to progress / prevent stagnation.

6. Risk : Classification of Risk
* Systematic risk, also known as "market risk" or "un-diversifiable risk", is the uncertainty
inherent to the entire market or entire market segment.
Systematic risk influences a large number of assets. It is virtually impossible to protect
yourself against this type of risk.
Beta is a measure of a stock's volatility in relation to the market. It measures the exposure of
risk a particular stock or sector has in relation to the market.
* Unsystematic risk, also known as "specific risk" ,"diversifiable risk" or "residual risk," is the
type of uncertainty that comes with the company or industry you invest in.
Diversification is the only way to protect yourself from unsystematic risk.

7. Risk : Classification of Risk

8. Risk Management :
Risk management is the identification, assessment, and prioritization of risks followed by
coordinated and economical application of resources to minimize, monitor, and control the
probability and/or impact of unfortunate events or to maximize the realization of
opportunities.
Risk management’s objective is to assure uncertainty does not deflect the endeavor from the
business goals.
Successful management of risk involves getting the balance right between risk and other factors
such as cost and return.
To managing the Risk following process need to be followed :

9. Decision Making :
Decision-making is regarded as the cognitive process resulting in the
selection of a belief or a course of action among several alternative
possibilities.
Decision-making is the process of identifying and choosing
alternatives based on the values, preferences and beliefs of the
decision-maker.
Decision-
making
techniques
Individual
decision-making
Team/Group
decision-making

10. Team Decision Making :
Advantages of Team Decision Making >>>
Diversity in opinions
Participation and interest of the individuals
Positive and understanding members
Collective contribution of ideas
Team building
Democratic decision making
Abundant information
Expert opinions
Voting System

11. Npower Limited :
Deviation
problems
An improvement
problem
An open-ended
problem
Types of Business Problem:
Teamwork Creative thinking
Effective
decision-making
Good communication skills ;
Ability to listen to others' ideas ;
Identify the route cause of the problem ;
Understand the symptoms is essential ;
Creates a buzz of excitement ;
Engineers enjoy solving problems ;
To bounce ideas off each other
A specialized measuring probe ;
The probe made it possible to check
instantly on the thickness of the pipes ;
This made it possible to test the thickness
of the pipes without the need for
removing the deposits.
Benefits

12. *It is the third largest supplier of electricity and gas in
the UK, through its npower brand.
*one of the largest electricity generators.
*It is also part of the larger RWE Group which is one of
the largest European energy utilities.
*Its main markets are the UK, Germany, and Central
Eastern Europe (including Hungary and the Czech
Republic).
*RWE npower not only provides and supplies to the
nationalgrid (electricity) and to the national
transmission system (gas), it also provides a huge
economic contribution.
*Engineers working for RWE npower are trained at all
levels to combine technical skills with commercial
knowledge.
Npower Limited Success: