Printer-friendly versionCompany Strategy of the Transdanubian Regional Waterworks Company Ltd. for the period between 2010-2012.
1. Improvement of profitability and economic potential
One of the key strategic objectives of DRV Zrt. is the profitability of operations. By the end of the period our pre-tax margin must be 3.6 per cent in order to have a positive operating income calculated at the level of the individual settlements we supply. All of the following fundamental strategic objectives serve the purpose of achieving this objective.
2. Marketing and client relations objectives
The fundamental objectives in our supply area are to ensure the long term retention of water utilities within the scope of interest of DRV Zrt., to increase our supply area by means of acquiring either the water utilities themselves or their operation rights in settlements outside our supply area by means of operating or concession contracts. As regards drinking water supply in the existing supply area our objective is to counteract the general decline in consumption and to achieve a 7 per cent increase of the combined drinking water and drainage revenues compared to 2009 assuming an increase of fees that approximately equal the rate of inflation. We also plan to achieve 75 per cent client satisfaction by means of developing end-user customer relations.
3. Financial objectives
In order to ensure its financial efficiency and by improving its business processes DRV Zrt. plans to limit the increase of its operating expenses to 6.3 per cent based on variable prices, despite higher projected inflation rates. Another key objective is to maintain the amount of overdue receivables at 6 per cent of sales which we plan to achieve by means of improving and refining receivables management and also the cooperation with the local governments.
4. Technological and technical objectives
Our objectives include the development of IT systems supporting our activities and the introduction of new features. Our central dispatcher service, the IT support of work process control and the implementation of a complex geoinformation system enable shorter response times and improve the efficiency of process control. Another objective is to reduce network-related water loss by 1.5 percent by the end of the period. Additionally, DRV Zrt. aims to improve its buildings and assets utilisation both on the internal and on the external market and continues to review the condition and performance of its technical systems in order to facilitate a more economical operation.
5. Organisational and human resource objectives
As far as organisational efficiency is concerned, a responsible company management and social responsibility will play an ever increasing role. Key objectives in the area are the utilisation and continuous development of the new company management systems introduced during the previous period, the propagation within the organisation of the culture of excellence and the intensification of organisational self-evaluation practices.
The prime objective of Human Resource Management is to ensure that the human resource potential of DRV Zrt. is utilised to the maximum and in a sustainable manner while ensuring an efficient use of our labour budget.
Some of the key value-creating elements of Human Resource Management are the support provided to organisational development, the development of organisational culture, the continuation of the implementation of the performance management and of the system of incentives, the strategy-focussed personnel development and staff management, and the ongoing partnership and communication with trade unions.
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