Profile for Huaneng Power International Company - Essay Example

COMPANY PROFILE FOR HUANENG POWER INTERNATIONAL COMPANY + details Submitted Company profile for Huaneng Power International Company Huaneng Power International Company together with its subsidiaries engages in constructing, developing, managing and operating huge power plants all over china (Meyer and Lu 2005, 63). The company was set up in June, 1994 and later completed an international first communal offering in October 1994, when it issued 1.25 billion foreign shares (Dietz Orr and Xing 2008, 22). By March 2011 its attributable and convenient installed capacity were 51,000 MW and 54, 500 MW respectively. This made it one of the major listed china power producers. The Huaneng power international company has power plants in eighteen provinces in china (YU and YU 2010, 10). In addition, it entirely owns a functioning power corporation in Singapore. The company majorly takes part in the development, manufacture and operation of big power plants. It uses modern equipment and technology (Meyer and Lu 2005, 63). Also, it makes use of domestic and international capital. The power plants for this company are advanced in terms of technology rendering them efficient and stable (Dietz Orr and Xing 2008, 22). Founded on power industry, this corporation puts emphasis on breakthroughs in management, technology and in organizational systems (YU and YU 2010, 10). These exceptional features have enabled it to break numerous records and create various milestones among its competitors and peers as far as power technology and construction and management of power plant is concerned (Dietz Orr and Xing 2008, 22). The whole labor productivity of this corporation is ranked amongst the top in local power industry. Examining Hainan Nuclear Power Company limited as well as Huaneng Shidaowan Nuclear Power Company, Huaneng power international company has gotten into the sector of nuclear power (YU and YU 2010, 10). In the meantime, it actively incorporates different industries, though strongly investing more on the coal, shipping and harbor industries. This has strengthened the company’s aptitude to personally supply coal. The Company considers power industry as its center business (Meyer and Lu 2005, 63). It holds on to the Green Development viewpoint and carries on to pace up structural amendments (YU and YU 2010, 10). The Company struggle to optimize the growth of coal-fired power, robustly develop hydropower, and dynamically build up wind power, solar power alongside other types of modern energy (Dietz Orr and Xing 2008, 22). It strives to build up nuclear power, and goes on with developing natural gas-fired power, to be able to boost the quantity of low-carbon and clean installed aptitude, and regularly improve the competent and clean utilization of conservative energy (Dietz Orr and Xing 2008, 22). In 2012, the corporation produced extra 4295MW of low-carbon and clean installed capability, bringing about 50% of the entire newly-added installed power (YU and YU 2010, 10). This increased the record by 8.7 percentage points .near the end of 2012, it had 28 GW of low-carbon and fresh installed capacity, resulting into 30% of the total, sustaining a leadership place in the industry. It has also gained the ability for more storage as well as that for transfer and transport at the sea (Meyer and Lu 2005, 63). The Company completely unleashes the latent of its accessible coal transport project, and aggressively creates logistics services revolving around coal transporting services such as ports, transport fleets, and entrance railroads, so as to develop a stable, reliable and high performance coal transportation and guarantee scheme (YU and YU 2010, 10). In 2012, the quantity of coal transported by the company’s shipping enterprises such as Huaneng Time Shipping Company, Huaneng Ruining Shipping Company and Huaneng Ruitong Shipping Company amounted to 40 million tons, recording 52 % of the Company’s coal transported via waterway (Dietz Orr and Xing 2008, 22). In addition, the building of Caofeidian Port, Taicang Port, Luoyuan Bay Port and Haimen Port, was a constructive progress. The business reinforces innovations in science and technology through increased capital input. This offers full play to its potency in technology and talents, and endeavors to grasp the center technologies with great intellectual property rights (Meyer and Lu 2005, 67). The business plays a primary role in a variety of core national technical projects in the energy area, and explores an exclusive development course with Huaneng distinctiveness in expansion of science and technology (Dietz Orr and Xing 2008, 22). Holding on to the leading rule of serving the center business, and geared towards manufacturing and industrialization, the corporation has further reinforced innovation in institutions and machineries, and developed a scientific research method consisting of one stand, two Organizations, five general R&D centers, numerous provincial and Group level testing centers, and has refined a R&D team comprising of over 600 people. This further secures the Companys top position in the energy technology sector of China (Dietz Orr and Xing 2008, 22) Centering about the major business of power, the business attributes full attention to the underneath role of its science and technology trade, and strongly conducts analysis for energy saving, outfitted optimization, as well as technical supervision (YU and YU 2010, 10). This in turn gives general technical support for plant protection and business leadership position. The corporation also strives to offer technical services in plan optimal design and apparatus manufacturing management, so as to offer effective technical assurance for ensuring tools quality. In 2012 for instance, the business had won 180 more scientific service contracts than the earlier year (YU and YU 2010, 10).   Being a public company listed in three home cities and abroad, the corporation all along puts great significance to improving the structure of its governance (Meyer and Lu 2005, 63). It strives to develop the innovation in its system, management and the mechanism of governance. These practices constantly improve the lean and regular management of the company (Dietz Orr and Xing 2008, 22). The management is dedicated to enhance the transparency of the governing principles for assurance to be realized in the system (Meyer and Lu 2005, 67). This transparency in addition, improves the corporate governance mechanism and hence ensures top quality control. The Huaneng Power International Company sternly adheres to the company principles of the people’s republic of china. Moreover, it has severely complied to other laws and regulations connected to the people’s republic of china law (Dietz Orr and Xing 2008, 22). As a result, the corporation aggressively responds to the demands of the regulators. In terms of the structure of the corporate governance, Huaneng Power International Company is made up of the universal seminar of shareholders, the board of supervisors, the board of directors and the management team (Dietz Orr and Xing 2008, 23). Each and everyone of these is methodically improved in line with the company’s management framework, memorandum of association, articles of association, institutional system, management process and working rules among others. The corporation has also instituted a mechanism of operation whereby the owner, the operators and the legal person carry out their own duties and responsibilities as they mutually take charge of each other, in order to realize harmonized operation for the business (Antkiewicz and Whalley 2007, 210). This coordination is aimed at making sure that the administration team is in a place to effectively handle daily businesses as approved (Meyer and Lu 2005, 69). The total number of sovereign non-executive directors in the board of directors amounts to a third of the total number of board members (Dietz Orr and Xing 2008, 23). The justification of this is to guarantee interests and legal rights of the stockholders, particularly the marginal stockholders (Meyer and Lu 2005, 69). Another pertinent reason for this large number of board members is to widen the sphere of the decision-makers by enhancing their capability to make scientific decisions. The company has also progressively improved its working regulations that apply to a variety of special committees of lower rank than the boards of directors, to enable them successfully accomplish their duties (Antkiewicz and Whalley 2007, 210). Organization Structure Chart of Huaneng Power International Company The Company mainly trades in Hong Kong, New York and Shanghai. However, Shanghai is the initial such power corporation in China (Dietz Orr and Xing 2008, 23). Huaneng International Power Development Company is the parent company for Huaneng power international company. It also serves as its controlling shareholder. This parent company was a joint-venture that was set up in 1985 (Antkiewicz and Whalley 2007, 210). Huaneng Power International was jointly started by Huaneng International Power Development Company and quite a lot of governmental investment companies from the site of the power plan. Reference list Antkiewicz, A., and Whalley, J. 2007, Recent Chinese buyout activity and the implications for wider global investment rules. Canadian Public Policy, 33(2); 207-226. Dietz, M. C., Orr, G., and Xing, J. 2008, How Chinese companies can succeed abroad. McKinsey quarterly, 3(1); 22-23. Meyer, M. W., and Lu, X. 2005, Managing indefinite boundaries: The strategy and structure of a Chinese business firm. Management and Organization Review, 1(1); 57-86. YU, L. H., and YU, Y. H. 2010, The Characteristics of Vertical Structure and Price Forming Mechanism of Power Coal [J]. China Industrial Economics, 3(1); 10-11. Read More