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Paul W. MacAvoy Jean W. Rosenthal Corporate Profit and Nuclear Safety (Hardback)

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Item specifics

Condition
Brand New: A new, unread, unused book in perfect condition with no missing or damaged pages. See the ...
Book Title
Corporate Profit and Nuclear Safety
Publication Name
Corporate Profit and Nuclear Safety : Strategy at Northeast Utilities in the 1990s
Title
Corporate Profit and Nuclear Safety
Subtitle
Strategy at Northeast Utilities in the 1990s
Author
Jean W. Rosenthal, Paul W. Macavoy
Format
Hardcover
ISBN-10
0691119945
EAN
9780691119946
ISBN
9780691119946
Publisher
Princeton University Press
Genre
Business & Finance
Topic
Technology & Engineering
Release Year
2004
Release Date
14/11/2004
Language
English
Country/Region of Manufacture
US
Item Height
0.7in
Item Length
9.3in
Item Weight
14 Oz
Publication Year
2004
Type
Textbook
Item Width
6.5in
Number of Pages
176 Pages

About this product

Product Information

Northeast Utilities Company adopted an ambitious new competitive strategy in the mid-1980s, seeking to become the low-cost supplier in New England electric power markets bracing for deregulation. Given its high-cost nuclear facilities, doing so required a corporate turnaround. For a decade Northeast faced increasing public and employee resistance to cost cutting at its nuclear plants. Though management achieved many of its goals, curtailing outlays on nuclear operations meant high risk that the Nuclear Regulatory Commission would close the plants because of frequent, prolonged outages. This is just what happened in 1996. Did management's deliberate cost-containment strategy take nuclear operations to an inevitable regulatory shutdown, and if so, why? Was it the pursuit of executive compensation tied to cost containment that caused undue risk of regulatory shutdown? Paul MacAvoy and Jean Rosenthal describe ten years of corporate performance preceding the shutdown, detailing aggressive executive decisions, mounting regulatory actions in response to increasingly severe operational failures, and--at the same time--overall improvement in corporate earnings, stock prices, and executive pay packages. They relate the complexities of managing declining nuclear plant operations under ever more pressing budgetary targets. Their discussion of the increasing risk of outages raises the issue of the tradeoff of profit and conservative management of hazard operations. All the more timely in light of the massive 2003 East Coast blackout, Corporate Profit and Nuclear Safety represents a powerful and cautionary commentary on industrial practices that goes to the heart of effective corporate governance.

Product Identifiers

Publisher
Princeton University Press
ISBN-10
0691119945
ISBN-13
9780691119946
eBay Product ID (ePID)
30868704

Product Key Features

Author
Jean W. Rosenthal, Paul W. Macavoy
Publication Name
Corporate Profit and Nuclear Safety : Strategy at Northeast Utilities in the 1990s
Format
Hardcover
Language
English
Publication Year
2004
Type
Textbook
Number of Pages
176 Pages

Dimensions

Item Length
9.3in
Item Height
0.7in
Item Width
6.5in
Item Weight
14 Oz

Additional Product Features

Lc Classification Number
Hd9698.U53n965 2004
Reviews
This is an interesting, well-argued addition to the current discussion of corporate governance. -- Choice, "This is an interesting, well-argued addition to the current discussion of corporate governance." -- Choice, "This is an interesting, well-argued addition to the current discussion of corporate governance."-- Choice
Table of Content
List of Figures vii List of Tables ix Preface xi Chapter One: Strategic Challenge at Northeast Utilities 1 An Overview of Strategy and Performance at Northeast Utilities 2 Chapter Two: Northeast's Competitive Strategy 7 Visions of a Changed Future 8 The Strategic Response 10 Financial Conditions at the Beginning of the New Competitive Strategy 13 Constraints: Price and Safety Regulation 18 Alternative Strategies: Other Electric Utilities Cope with Threats of Deregulation in the Mid-1980s 22 Comparative Nuclear Strategies: Pacific Gas and Electric 26 The Northeast Competitive Strategy in Context--Was It at Inception the Dominant Strategy? 27 Chapter Three: The Nuclear Power Context for the New Competitive Strategy 31 The Complexity of Nuclear Power Systems 31 Safety Regulation at the Nuclear Regulatory Commission 35 Self-Regulation in the Nuclear Industry 37 Safety Culture and "Management Style" 38 Cost Containment in the Context of Safety Regulation 41 A Conceptual Framework for Analyzing Responses to Regulation 45 Initial Results: The 1990-91 Millstone Nuclear Plant Shutdowns 48 Nuclear Regulatory Commission Early Warnings 53 The LRS Report and CT DPUC After-the-Fact Appraisal 57 Strategic Focus: Acquisition of Public Service of New Hampshire 57 Initial Results: Financial and Nuclear Plant Operating Performance 61 Chapter Four: Revisiting Competitive Strategy in the Mid-1990s 64 Northeast Strategy and the Competitive Threat 64 The PEP Process for Improving Nuclear Plant Performance 73 Operating Problems at Millstone in 1993 75 The Strategy of Northeast and the Board of Trustees 79 The Financial Success of Cost Containment 80 Strategy and Management Compensation 83 Another Look at Alternative Strategies 86 Chapter Five: Northeast Strategy and Regulatory Shutdown of the Millstone Plants 88 Failing Operations at Millstone 88 Shutdown at the Millstone Site 97 Increasing Public Concern 98 The Role of the Board in the Northeast Utilities Collapse 101 CODA: The End Game 105 Strategy as the Cause for Shutdown 108 Notes 113 Bibliography 135 Index 147
Copyright Date
2005
Topic
Power Resources / Nuclear, Methodology, Industrial Management, Environmental / General, Management, Industries / Energy, Corporate & Business History
Lccn
2004-045861
Dewey Decimal
333.792/43/0974
Intended Audience
College Audience
Dewey Edition
22
Illustrated
Yes
Genre
Technology & Engineering, Business & Economics, Social Science

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Most relevant reviews

  • Relates Profit Motives to Safety Decline,Misses Culture

    The authors do a good job covering all of the events, people, programs and trends at Millstone Station from its heyday to its decline and turnaround in the 1990's. They do a good job correlating (regression analysis, etc.) cost-cutting measures to the decline of safety at the plant. They overlook the culture, however, including leader communication style, etc. to a certain degree. In the end, their conclusions don't make any sense given how the plants run today. Specifically, the plants are operated today at about half the O&M cost of when NU owned the plants and came off the NRC watch lists, yet they have few if any of the safety/SCWE issues. Bottom line: if the authors' conclusions were accurate, the plants would be in horrendous shape today with innumerable safety issues. That does not ...