Essay Example on TENAGA NASIONAL BERHAD TNB SWOT ANALYSIS

TENAGA NASIONAL BERHAD TNB SWOT ANALYSIS Tenaga Nasional Berhad TNB is an electricity utility that generates transmits distributes and supplies power TNB supplies transformers and switchgears in Brunei Saudi Arabia Pakistan Thailand Vietnam and Indonesia They have interests in district cooling facilities in the UAE and provide operation and maintenance services in Saudi Arabia Kuwait and Pakistan They also serves industrial commercial residential mining street lighting agriculture regenerator and free unit customers in Malaysia Sabah and Labuan Company Mission Tenaga Nasional Berhad TNB mission is We Are Committed to Excellence in Our Products and Services The mission shows that the important of their business is deliver good product and services towards customer Company Vision Tenaga Nasional Berhad TNB vision is To Be Among the Leading Corporations in Energy and Related Businesses Globally which is their long term goals that they want to achieve Company Strategy Goals TNB goal is to deliver on the desire to become a top 10 power company globally and achieve it to becoming one of the leading corporations in the energy related business globally by focusing in five areas which are enabling a stable regulatory environment exceeding customer expectations driving operational excellence and cost efficiencies growing profitable business and transforming our people and leadership 

SWOT Analysis of the TNB Company Strength Tenaga Nasional Berhad TNB company main strength is they are the largest electricity utility in Malaysia that providing electricity to the country s businesses homes and industries Besides that TNB also provides production technology consultancy water electric construction support and repair and maintenance services meaning that they provide after sale service to their customers that build good relationship with them as well as make them loyal to the company TNB has nearly 30 000 people that are a part of the workforce shows that they are successful company who give many job opportunities to people TNB also known as credit worthiness both domestically and internationally and rich capital market operation experience because they have acquire 30 equity interest of GAMA Enerji A S from GAMA Holding A S International Finance Corporation IFC and IFC Global Infrastructure Fund Holding and 30 equity ownership in GMR Energy Limited Weaknesses TNB produce large amounts of greenhouse gas emissions as part of its day to day operations It is not good for the environment as they produce it every day It will make the workers also other people that live nearby breath a dirty air every day also can increase the temperature Besides that energy portfolio not well diversified 

They just focused on the same portfolio that probably will affect the security of the company in the market They need a well diversified portfolio which includes a variety of securities so that the weight of any security is small Opportunities TNB plans to reduce CO2 emission The project of reducing CO2 emission has contributed to capacity building in terms of isolating the species culturing and monitoring the growth of the algae and designing the photo bioreactor It represents a proactive effort by TNB in mitigating CO2 emission using a more sustainable method This is to reduce global warming affect towards our country Other opportunities wind power generation whereby the Generation Division has thermal generation assets and major hydro generation schemes in Peninsula Malaysia and one IPP operating in Pakistan Threats First threat is cost of production increases and changeable cost of input material As TNB have a project that will be assign so they need more workforce and cost of input material also can be changeable as material is not the same for all product because TNB is the company that dealing with electricity Second is economic slowdown so demand is decreasing 

When it comes to economic issue many people will save money rather than spending Third is increasing competition which TNB is committed to optimising operational efficiencies and unlocking value across the group both in the regulated and non regulated businesses For regulated business within the transmission and distribution segments TNB was compete wildly with developed countries while non regulated business mainly in the generation segment which operates in a totally competitive market Strategic Choice TNB can use Centralized Training as their choice because there many advantages that related with their business and problem The advantages are stronger alignment with strategy as TNB want to become top 10 power company globally and achieve aspiration of becoming amongst the leading corporations in the energy related business globally better integration of programs to develop leaders that suitable for TNB because they want to transform their people and leadership and easier to manage talent during times of change because TNB is dealing with many business and when economic slowdown there are many changes to make to be parallel with the current economic TNB also can use Outsourcing Training because it will save the cost time savings that allow a company to focus in business strategy improvements in compliance with regulatory training lack of internal capability to meet learning demands and desire to access best training practices