Executive SummaryThe objective of this report is to practice analysis of the possible scales and scopes of an engineering organization and to recommend and suggest ways to utilize them fully. The organization chosen for the analysis is the Ceylon Electricity Board (hereinafter CEB), the Sri Lankan government organization for the generation, transmission and distribution of electricity for local industrial and domestic consumption. After a general introduction to the organization's services and its market structure and competencies, economies of scale and scope are discussed and finally some suggestions are given for using them for the improvement of the organization.1. Introduction to the Organization Ceylon Electricity Board (CEB) is the government body of Sri Lanka for the generation, transmission and distribution of electricity for local industrial and domestic consumption. Most of the nations' electricity related needs and demands are met by CEB and it has wide service coverage across the country, cities, villages and industries. The organization is primarily an engineering organization and its product is service type. The organization's service and purpose are evident from the organization's vision and mission statements. Vision Statement: “To provide high quality service to all its consumers” Mission Statement: “To provide reliable quality electrical energy to the entire nation at internationally competitive prices effectively and efficiently through meaningful partnership with employees qualified and motivated people who use cutting edge technologies for the socio-economic development of the country in an economically sustainable manner while adhering to acceptable environmental standards and a satisfactory rate of return on investments” The Ceylon Electricity Board was established under Act No. 17 of 1969. The structure of the CEB depends heavily on the government and its decisions. Government intervention is at such a high level that although the highest officials such as the CEO make suggestions on the management of energy systems, they must be approved by the government to be implemented. CEB is distributed across the island for better interaction with consumers and field monitoring. The branches are divided into provincial and are offices. The performance in CEB planning and implementation still has room for improvement. Electrification of the total population of Sri Lanka is only 55% and the rest (45% of the population) is in darkness. It seems to be quite unsuccessful and unfair sometimes when considering off-grid rural villages. On the other hand, electricity consumption currently requires a higher cost than in the rest of the world, due to inefficiencies in planning, management, performance, energy system design and implementation.