Strong management innovation program unfolding

Yung-Chul Kim ,Korea Midland Power CEO

Korea Midland Power (www.komipo.co.kr), one of Korea's top power generating companies, launched a comprehensive informatization project in February 2005. According to a plan established in late 2002, Korea Midland Power has selected a business provider to implement the project. The was made on the basis of benchmarking advanced companies at home and abroad last year, and thorough prior preparation work with a view to adopting the management information system most appropriate for a power company. Korea Midland Power CEO Yung-Chul Kim says in an interview with The Korea IT Times, "Our all-around information project will realize real-time management control by process redesign in the fields of facilities resources and accounting through the introduction of advanced management technique". An executive responsible for the company's 'all-around information system' explains that it will strengthen value-oriented management by building in strategy-oriented control and management performance analysis, adding the company is aiming to maximize its effect at an early stage. Korea Midland Power will launch its system in March next year. Mr. Kim stresses that the company will also construct IT infrastructure appropriate for a power company, delivering all manner of management information in real-time and offering various kinds of report functions for the convenience of users by applying international standards and the latest information telecommunication technology. The CEO said the company's newly applied 'Intelligent Pipe & Instrumentation Diagram' (P&ID) at this time makes it possible to devise a stable facility operation. This intelligent P&ID is expected to help automate an intelligent power facility by applying new IT such as Ubiquitous technology. Korea Midland Power has been continuously promoting management innovation through some 146 teams scattered among 7 establishments around the country, to achieve its president's management policy of KMP becoming one of the world's top-rated energy generation enterprises. CEO Kim emphasizes that Korea Midland Power is devoting continuous efforts to improving the operation of its power stations in order to attain two goals at the same time. Namely, on the one hand, providing a stable supply of electricity at an optimal level of operation, and on the other hand, localizing high-priced foreign-made equipment. As well as these efforts, the company is applying new technology and engineering to its facilities to increase revenue and reduce costs. As a result of ceaseless investment in R&D, the company is boosting performance in such areas as heat efficiency, reduction in electricity consumption within its power plants, and increased power generating capability through facility improvement. The company's electricity supply and demand prediction system, for which it acquired a patent in October 2004, is an example of how advanced its management has become. CEO Kim emphasizes that Korea Midland Power has been actively pursuing management innovation in the interests of boosting efficiency and profitability, with the purpose of becoming the best rated energy company in the world by 2008. As a result, the company has not only accomplished results that exceeded the initial goal in all fields last year, but also is presumed to have attained revenues of 1.9 trillion won and a net profit of 200 billion won by selling 34,009GWh of electricity. More information is available at www.komipo.co.kr