Govt rates CIL ‘Excellent’ for 4th straight year
Coal India Limited, for the fourth consecutive year in succession, has been rated ‘Excellent’ in its overall performance for 2014-15 by Department of Public Enterprises (DPE) and Ministry of Heavy Industries & Public Enterprises, with a score of 1.47. Since 2007-08 the country’s largest coal producer has been consistently rated ‘Excellent’ in its performance, with the exception of 2010-11 when it was rated ‘Very Good’, by DPE.
The performance parametres were evaluated as per the Memorandum of Understanding (MoU) that the company signed with the Ministry of Coal. The MoU formulated on the guidelines laid down by DPE is a negotiated agreement and contract between government and management of the Central Public Sector Enterprise (CPSE) to evaluate the performance of the CPSE against targets fixed at the beginning of the fiscal.
The component of performance evaluation mainly consists of financial and non-financial parameters which carry equal weight of 50% each. The key parameters are sales turnover (net sales), gross operating margin rate, financial ratios, customer satisfaction, project management & implementation, coal production, off-take, productivity, safety and HRD, etc.