View the video of this winning case study's MCA Awards presentation
In the former Soviet republic of Georgia, PA Consulting Group is taking responsibility for transforming a bloated, corruption-ridden central part of the Georgian economy – the state-owned electricity distribution company. It has been turned around in two years, helping to improve Georgia’s economy, providing better access to electricity and raising living standards, especially in the poorer regions of the country.
In 2003 PA Consulting Group took over executive control of the United Energy Distribution Company (UEDC) of Georgia. UEDC was the country’s largest electricity utility, serving 70% of its territory. It was also notorious for corruption, too many staff, an ineffective workforce, and mismanagement – in all, a major contributor to Georgia’s energy crisis.
Often braving personal danger, PA’s people battled corruption throughout the company and improved its performance, reducing staff levels by one-third. The UEDC has restored nearly 24-hour supply to customers. The company is now paying its taxes and foreign suppliers in full, and paying higher salaries to its people, in full and on time. It has repaid debt and is re-investing to improve customer service. The UEDC’s new anti-corruption stance has inspired others and all this was achieved with only minimal external investment.
It is exceptional for a consulting firm to manage an electricity utility. With UEDC, PA has demonstrated the value – and necessity – of proper management in turning around any troubled organization.
MCA Awards video
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