IT - Hydro-Quebec - Essay Example

Hydro-Quebec is considered to be among the largest electric generators in North America with the capacity to generate 36,671 MW of electricity. The company mainly operates in Quebec and is responsible for supplying continuous electricity in the region. However, the surplus electricity is sold to other suppliers in the US and various parts of Canada. Various external and internal factors have been affecting the Information Technology (IT) management at Hydro-Quebec. The changing climate has affected the hydroelectric utilities to a great extent. It should be noted in this context that hydro power generation tends to be more vulnerable to changes in terms of climatic conditions than other sources including thermal power stations. For instance, hydropower projects located near the sea coast have often been noticed to be affected by the rise in the sea level. Again, dry weather conditions and reduced water levels in the reservoirs have also affected its electricity production. NumA numberber of other climatic factors such as lightning, rise in temperature, icing, and pollution have been the major uncontrollable threats faced by Hydro-Quebec. Furthermore, the organization has been unable to take advantage of wind power as one of the best options for renewable energy (Hydro-Quebec, 2008).

During the 1990s, technology, and business units’ efforts to control the return on the invested capital for IT management brought major changes in the way of Hydro-Quebec. The SSC was held responsible for IT-related decisions. However, it was observed that it initiated changes only in terms of human resources due to departmental expansion taking place within the company.  Those changes made by the SSC caused distortion both within the business units and within the IT divisions. Furthermore, the SSC was responsible for developing and implementing all the technological aspects of the given solution, optimizing technological performance, and maintaining as well as executing the developed solutions. However, creating new challenges for the SSC as the IT division had to negotiate all of the technology budgets with each division separately following a more complex process. Consequentially, it was observed that Hydro-Quebec Distribution (HQD) spent more than $50 million on over 200 IT systems. However, it had no clear strategy or proper system plan that could be formally drawn up after its establishment. Many factors force the division to include IT-related issues under its caption, such as the technological zeitgeist during the 1990s. Owing to such circumstances; there has been an urgent requirement to update the company’s legacy system as it was observed that the old system was more vulnerable to risk along with a high maintenance cost. Furthermore, there was a need to update its entire infrastructure related to the mailing and printing of bills. The factors like managing the addresses of its customers were also identified as impossible to be maintained with the traditional system. Thus, there was an urgent need to modernize customer software applications (Hydro-Quebec, 2008).

Question 2: What changes would you suggest for Hydro-Quebec and why?

Hydro-Quebec should concentrate more on developing its research programs in order to boost its human resource knowledge in terms of climate change and technological adaption. Hydro-Quebec must identify the areas that are sensitive to climatic changes and other uncontrollable risks. Its activities also must be directed towards managing water resources, transports, distributions, equipment designs, and annual production volumes along with environmental and financial considerations. It should also contribute to the development of wind power and increase the supply from the existing power generating stations (Dube, Berner & Roy, 2007).

Furthermore, the organization should promote recycling processes along with educating employees in terms of sustainability and the overall company’s objectives. Periodic meetings with investors on the accomplished results and risk management must be carried on regularly. Attaining customer satisfaction must also be the prime goal of the company. Payment difficulties related to customers with low income must be tackled carefully as well. At regular intervals, the company must conduct surveys in order to identify customer satisfaction. The company must apply proper techniques in order to handle customer complaints. The company should try to develop a skilled workforce and make them aware of the key elements related to electricity. Moreover, a safe and healthy working environment must be created to motivate the employees in the company where adequate respect must be rendered towards the cultural values avoiding any kind of conflicts with the local community (Dube, Berner & Roy, 2007).

Hydro-Quebec should further attempt to protect the information about its employees, suppliers, and customers while accessing information and maintaining commercial confidentiality. Technological innovation must be considered as part of its future growth with due regard to saving energy consumption and protecting biodiversity making efforts to create a healthy ecosystem. With this concern, Hydro-Quebec can direct its efforts toward energy efficiency and the development of wind power as an alternate source of energy. Lastly, it should keep track of the technological changes occurring in its external environment and implement better technology in order to sustain its growth and to maintain information of the company under safe custody (Hydro-Quebec, 2008).