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Management Alliance

Co-ops make management alliance permanent

After a year of research, discussion and careful assessment, the boards of Mor-Gran-Sou Electric, Oliver-Mercer Electric and Slope Electric recently signed papers to formalize their management alliance, converting it from temporary to permanent.  

The new alliance, called Innovative Energy Alliance, LLC., took effect January 1, 2008 and will be managed by Alliance Co-Managers Donald Franklund and Clayton Hoffman. Franklund has served as general manager and chief executive officer of Mor-Gran-Sou Electric for 13 years, and Hoffman has served as general manager and CEO of Oliver-Mercer Electric for 25 years.
 
Also starting March 1, Oliver-Mercer Electric will consolidate with West Plains Electric, and the two-co-ops will be referred to as Roughrider Electric. Hoffman says both alliance co-managers will discuss all aspects of managing the cooperatives. Combining Franklund’s experience with line crews and engineering and Hoffman’s strengths in business and marketing, Hoffman says they share a complimentary relationship. Together, they will oversee more than 12,000 miles of power line, approximately 13,200 members and 98 cooperative employees.
 
Mark Doll, chairman of the Mor-Gran-Sou board and board director of Innovative Energy Alliance, says the management alliance will allow the cooperatives to efficiently share employees and resources, and work more closely with neighboring co-ops which are also struggling with the high cost of doing business.  “As we look to the future and figure out how to best manage our co-ops, the management alliance gives us an opportunity to reduce our management costs while at the same time retaining control of our cooperatives,” he says.
 
Franklund says it is vital that each cooperative prepare for the future.  “Directors at all three cooperatives see a changing rural landscape and are concerned about what lies ahead. This management alliance is a bold step toward managing our cooperatives’ future, so I applaud their efforts.”

 

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