Serbia’s distribution system operator plans comprehensive restructuring

Serbia’s distribution system operator, Elektrodistribucija Srbije (EDS), plans a comprehensive restructuring to improve financial stability, operational efficiency, and investment planning capacity, in line with the country’s stand-by arrangement with the International Monetary Fund (IMF).

EDS has launched a tender to select a consultant to develop a restructuring plan. The deadline for submitting bids is set for November 28.

The consultant’s job will consist of two phases. The first phase involves analyzing the existing business model and designing and developing a new sustainable model. In the second phase, the consultant will support the implementation of the recommendations defined in the first phase, as well as the guidelines arising from the proposed financial restructuring plan, EDS has announced.

The consultant is to develop a restructuring plan and support its implementation

During the first phase, the consultant will analyze EDS’ current operations, including its financial position, key business processes, management structure, and IT systems. Based on the analysis, a target business model and a financial restructuring plan will be developed, including scenarios and stress tests to assess the company’s resilience to potential challenges.

The second phase will focus on implementing the recommendations and the proposed model, including coordination with internal teams, monitoring progress, evaluating the effectiveness of changes, and supporting employee training. Special attention will be given to digitalization, business process optimization, and customer service improvements.

The project should help digitalize business processes

Some elements of EDS’s operations that are expected to be improved include meter issuance and reading, as well as electricity loss management. The consultant’s job also involves mapping IT systems and projects that support the automation and digitalization of business processes, according to EDS.

The consultant will also be expected to develop a comprehensive implementation plan, including timelines, resource allocation, and project risk management strategies, and provide regular progress reports highlighting challenges and proposing steps to address them.

A final report on the restructuring efforts will also be required, including lessons learned and recommendations for future initiatives, according to EDS.