Restructuring state-owned major industries: A comparative view

The paper is based upon the experience gathered by the British Coal’s Operational Research Executive and the British Mining Consultants Ltd. in restructuring of state-owned coal industries, primarily in United Kingdom, Pakistan and Hungary. An outline is presented for a comprehensive and systematic approach, emphasizing the required input of Operational and Systems Research. The starting point is the statement of differences of environments created by the command and market economies. The six basic facets of restructuring, considered further on, are: (1) identification of objectives; (2) analysis of markets and prices, with some examples for coal; (3) technical restructuring, involving, e.g., risk analysis of new ventures; (4) organisational restructuring; (5) financial restructuring, treated briefly; and (6) national policy and regulation.