Introduction
[Grant] AES is an independent global power company consisting of competitive generation, distribution, and retail supply businesses in 33 countries. Their generating assets include interests in 177 facilities totalling over 59 gigawatts of capacity.
[Markels] The AES Corporation is comprised of four lines of business:
· The contract Generation Segment
· The Competitive Supply Segment
· The Large Utility Segment
· The Growth Distribution Segment
The Company's goal is to help meet the world's need for electric power in ways that benefit all of its stakeholders while building long-term value for its shareholders.
During the 1990s AES enjoyed phenomenal growth and startling shareholder returns.
[Wetlaufer 1999]
Question. 1a) The AES Company is run by executives with unconventional beliefs on management techniques, and who stress the importance of exercising social responsibility. It rational is based on decentralisation, empowerment, team-based organisation, incentive compensation, job security, and some controversial policies and practices. The company is committed to social responsibility and providing fun for employees.
Unlike any other global organisation, AES look to treat all of their employees as responsible adults who are capable of making decisions and taking risks for the company. This is based on their belief that the more authority figures there are in a given structure, the more likely it is that the employee will not make decisions for themselves.
[Wetlaufer] Roger Sant (CEO) says that: "Invariably, people will rise to the level of trust and dignity you invest in them".
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