Xavier Aptitude Test 2011 Solved Paper

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Question : 22
Total: 101
Indian government may hold top executives responsible, if state-run power companies fail to meet performance targets and punish them with fines and transfers. The strict performance parameters are aimed at ensuring that at least the reduced target for 62,000 MW of generation capacity addition is achieved before the end of the 11th Plan, said a power ministry official. Performance of chairmen and managing directors of the power Public Sector Units (PSUs) in project implementation will be assessed as per the terms and conditions stipulated in the company’s Memorandum of Understanding (MoU) with the power ministry, he said, requesting anonymity. Performance parameters of executives had came under strict scrutiny due to a lack of progress in capacity addition program. While the target for the 11th five year plan has already been scaled down by the government from 78, 500 MW, in the first three years of the plan yielded only 22, 302 MW of fresh capacity.
If you were the chairman of one of these power PSU’s, which of the following statements (all of which are assumed to be true) could best be used in order to strengthen your case against the government holding top executives responsible?
i. The labour unions, owing allegiance to ruling party at the Centre, are not allowing work to progress with their demands for wage hikes that are untenable.
ii. The actions of the mid-level management are not in line with the objectives laid down by the top management.
iii. The delays have been due to difficulties in obtaining funds at reasonable interest rates on account of the recessionary conditions.
iv. We are not to blame. The government is not doing enough to ensure availability of sufficient fuel to power the existing plants, let alone the new plants.
v. The government had ignored the infrastructure availability like roads etc., and environmental clearances required for such projects and therefore set an unrealistic target to begin with, and the revised target is also unrealistic as well.
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