ENERCON CASE STUDY
By : Swanith Sahoo – PGDM Executive (Batch 24), SVKM’s NMIMS University
MAJOR RISK:
1. The Land Acquisition got delayed.
2. The Financial Closure got delayed.
3. There was non-availability of hired 220 cranes.
4. During construction, 220 cranes had a breakdown.
5. Arrival of WEC equipment got delayed.
Risk Risk Drivers
Work will not Villagers interruptions
be completed
on time
Shortage of Particular capacity of
crane (220 tonnes crane used at
Nawapur Site)
Remoteness of the area
Distance of Nawapur Site
Poor Printed Circuit board (PCB)
Heavy rainfall witnessed by this year
monsoon season. Restricted hours
of work because of high winds
Non availability of raw materials
(Out of the 14 (WECs) to be erected
at the Nawapur site, materials for
only ten had been received)
Poor Infrastructure
Centralization of power
Impact Impact Drivers
Identification
Clientele Base Wheeling charge of 4%
Risk Mitigators
a) Armed guards available on time
b) Hike in compensation for lending
the plot
c) Reallocation bonus to the villagers
Use crane of 80 tonnes in hour of need
so as to reduce wastage of time and
resources.
Company owned transportation
Company could provide base camps
on the location of site.
a) Efficiency increment of existing
cranes
b) Supplier change
c) Efficiency measurement of new
products
Nothing can be done.
Change suppliers to receive material
on time, improve transportation facility
to decrease the delay of raw materials.
New roads to be build, Changes in
government policy for betterment of
infrastructure, can extent private
partnerships for focussed approach
Decentralized system
Impact Mitigation
Reduce the charge by equally dividing
 is Lost
Improper maintenance of Wind
Energy Converters (WEC)
Stay Order from Court (EIL and
Villagers)
Market Share is Immense Competition
Lost Hierarchy in structure (gap in time
taken between decision making
body and acting body on field)
Postponement of Tax Benefits
the expense between the company and
the client
EIL to offer a guarantee of 95 percent
uptime subject to grid availability from
EB.
Proper land area to be given to
villagers for reallocation.
Better results from our own product
a) More interconnected communication
system
b) Delayering and simplified
management structures
Proper Planning, Early start of Project
work to meet the expected targets.