CPM: Critical Path Method:
A CPM schedule is a project management timetable, typically presented in
graphic form. It illustrates the specific individual tasks that comprise the overall
project.
Innovative financing:
It is non-traditional mechanisms to raise funds for development aid through
"innovative" projects such as micro-contributions, taxes, public-private
partnerships and market-based financial transactions.
PSDF:
The Power Sector Development Fund (PSDF) is a innovative financing fund that
supports the power sector in Bangladesh.
Capital Budgeting:
Capital budgeting is a method of estimating the financial viability of a capital
investment over the life of the investment.
Capital budgeting, also known as an “investment appraisal,” is a
financial management tool used to measure the potential risks and
expected long-term investment returns on projects.
Importance of Capital Budgeting:
Capital budgeting is a valuable tool because it provides a means for
evaluating and measuring a project's value throughout its life cycle. It
allows you to assess and rank the value of projects or investments that
require a large capital investment.
PEC:
The Project Evaluation Committee (PEC) is a committee in the Planning Commission
of Bangladesh that reviews and advocates project proposals for sanction.
Departmental Project Evaluation Committee (DPEC)
A committee at the ministry or division level that determines whether a project is an "A"
type project.
Departmental Special Project Evaluation Committee (DSPEC)
A committee at the ministry or division level that proposes suitable projects.
EPS:
Earnings per share (EPS) is a measure of a company's profitability, calculated by dividing quarterly or
annual income (minus dividends) by the number of outstanding stock shares.
Net Asset Value (NAVS)
A term used to describe the difference between a company's assets and liabilities.
Difference between Authorized Capital and Paid-up Capital:
Authorized capital is the maximum amount of capital a company can legally issue, representing its
potential for raising funds.
In contrast, paid-up capital is the actual amount of money a company has raised by issuing shares,
showing the real investment made by shareholders.
Comparative Table: Authorized Capital vs Paid-Up Capital
Aspect Authorized Capital Paid-Up Capital
The maximum share capital that a The actual amount of share capital that the
Definition
company is legally allowed to issue. company has issued and received payment for.
Legal Specified in the company's constitutional Reflected in the company's financial
Documents documents. statements.
Indicates the actual capital raised and available
Purpose Indicates the potential for raising capital.
for use in business operations.
Can be altered by amending the
Changes when new shares are issued and fully
Changes company's charter and with shareholder
paid for by shareholders.
approval.
The factors that can affect share prices:
Company news and performance.
Industry performance.
Investor sentiment.
Supply and Demand
Interest Rates
Natural Calamities
Inflation
Market Speculation and Trading Activity
Currency Exchange Rates
Interest Rates and Monetary Policy
Political and Regulatory Factors
Market Sentiment and News
Economic Indicators
Difference between an Initial Public Offering (IPO) and a Direct Listing :
The main difference between an Initial Public Offering (IPO) and a Direct Listing is
that an IPO involves issuing new shares to raise capital, while a Direct Listing
involves selling existing shares without raising new capital
CFR (Cost and Freight), CIF (Cost, Insurance and Freight), CIP (Carriage and
Insurance Paid To) and CPT (Carriage Paid To).
FOB is an international commercial term that stands for "free on board" or "freight on board"
PPP:
PPP for power purchase stands for Power Purchase Agreement, which is a contract between a
private power generator and a government or government utility that buys the power. The
private company owns the assets, but sells the power to the government for retail distribution to
customers.
Public-private partnerships (PPPs) can have both advantages and disadvantages for power
purchase:
Advantages
o Cost-sharing: PPPs can share costs between the public and private sectors.
o Risk transfer: PPPs can transfer some project risk from the public to the private
sector, which can reduce the financial burden on the government.
o Improved service delivery: PPPs can lead to higher quality and more timely public
services.
o Infrastructure development: PPPs can accelerate infrastructure development.
o Persification: PPPs can make a country more competitive by improving its
infrastructure base.
o Value for money: PPPs can create better value for money for taxpayers through the
financial acumen and management skills of private businesses.
Disadvantages
o Higher costs: Private financing can lead to higher financial costs because private
companies want a return on their investment.
o Administrative costs: PPPs can require considerable administrative time and cost
to develop, analyze, procure, and monitor.
o Lack of public control: PPPs can lack public control and transparency.
o Unequal distribution of benefits: Benefits from PPPs can be unequally
distributed.
o Political and legal risks: PPPs can be subject to political and legal risks.
o Engineering and quality standards: PPPs can use engineering and quality
standards that are not relevant to the local area or that do not help the poor.
NDC:
Nationally determined contributions (NDCs) are at the heart of the Paris Agreement and the
achievement of its long-term goals. NDCs embody efforts by each country to reduce national emissions
and adapt to the impacts of climate change.
Nationally Determined Contributions, or NDCs, are national climate
action plans by each country under the Paris Agreement. A country's NDC
outlines how it plans to reduce greenhouse gas emissions to help meet the
global goal of limiting temperature rise to 1.5C and adapt to the impacts of
climate change.
Green Development:
Green development is a development model that considers the social and
environmental impacts of development. It involves using resources and
technology to meet human needs while preserving the environment. Green
development is based on three main concepts:
Environmental responsiveness: Respecting nature and minimizing
damage to ecosystems
Resource efficiency: Using fewer resources to conserve energy and the
environment
Community and cultural sensitivity: Recognizing the unique cultural
values of each community
NDC Commitment of Bangladesh:
Bangladesh's Nationally Determined Contributions (NDCs) include commitments
to reduce emissions and adapt to climate change:
Emissions reduction
Bangladesh's NDC includes targets to reduce emissions in several sectors, including:
o Power, industry, and transport: Reduce emissions by 5% below business-as-
usual by 2030 using domestic resources, or 15% below business-as-usual with
international support
o Carbon emissions: Reduce carbon emissions by 21.8% by 2030
o Black carbon and methane: Reduce black carbon emissions by 72% and methane
by 37% by 2040
GHG:
Greenhouse gas (GHG) emissions are the release of gases into the Earth's atmosphere that
trap heat and contribute to climate change. The main GHGs are:
Carbon dioxide (CO2)
The primary cause of climate change, emitted from burning fossil fuels like coal, oil, and
natural gas. Deforestation, land clearance, and soil degradation can also emit CO2.
Methane (CH4)
Emitted from agricultural activities, waste management, energy production and use, and
biomass burning.
Nitrous oxide (N2O)
Emitted from agricultural activities like fertilizer use, chemical production, and fossil fuel
combustion.
Fluorinated gases (F-gases)
Emitted from industrial processes, refrigeration, and consumer products.
Other GHGs include chlorofluorocarbons (CFCs), perfluorocarbons (PFCs), and sulfur
hexafluoride (SF6).
What are Best Practice?
Best practices for organizations:
Regular meetings
Ask for feedback
Manage change
Planning
Utilize technology
Align business and customer needs
Communicate effectively with shareholders
Create cultural cohesiveness
Good Governance:
Good governance is a process that involves the management of public affairs, resources, and
human rights by public institutions. It's characterized by:
Transparency: Citizens have access to the information and processes used to make
decisions
Accountability: Public institutions are held accountable for their actions
Rule of law: Legal systems are impartial and protect the rights of all citizens
Participation: Citizens have access to government systems, especially those who are
most vulnerable
Responsiveness: The government responds to the needs of the people
APA, KPI & KPA
An Annual Performance Agreement (APA) may include performance indicators (KPIs) to
measure the success of an organization's strategies:
key performance areas (KPAs )
The Bangladesh Power Development Board (BPDB) has several key performance areas,
including:
Electricity generation: BPDB generates electricity to meet customer demand
Electricity purchase: BPDB buys power from public and private generation companies
Electricity sales: BPDB sells electricity to distribution companies and the Bangladesh
Rural Electrification Board
Smart meters: BPDB installs smart, pre-paid, and net-meters for customers
Key Performance Indicators (KPIs) are a tool for measuring how well an organization is
performing against its goals.
Customer-centric KPIs: Measure how well a company is meeting customer needs,
expectations, and preferences. Examples include customer retention rate and customer
satisfaction index.
Marketing KPIs: Measure sales generation and overall effectiveness.
Efficiency KPIs: Measure overall efficiency, departmental processes, and individual
efficiency.