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OUR VISION To be the most reliable, value-creating RTO

A message from John Bear, President & CEO MISO is an industry success story, providing between $12.2 billion and $16.8 billion in cumulative savings from 2007 through 2015. Not only do we perform well every day, we sustain our high levels of performance and then set the bar even higher to deliver low-cost energy to consumers. The evolution in our strategic direction charts a course to create added value for all stakeholders and, most importantly, the ultimate consumers of the energy delivered through MISO’s wholesale markets. MISO prides itself on continually fostering a transparent, effective stakeholder process in which all voices are heard. This Strategic Plan provides the direction for the company for years to come and is a direct reflection of the ongoing input from our stakeholder community. Our stakeholders’ input and feedback drives our achievements in low-cost delivered energy – a direct result of our mission to work collaboratively and transparently with our stakeholders to enable reliable delivery of low-cost energy through efficient, innovative operations and planning. While we certainly acknowledge differing stakeholder opinions on strategic priorities, we see general accord with the directions discussed in this refreshed strategic plan.

This plan provides the foundation for development of detailed operating plans and associated budgets. The strategic plan will be reviewed regularly, with particular attention paid to the primary components such as the external factors, underlying assumptions and foundational requirements. We offer our thanks to each of you and to our Board for providing us with the leadership to continue this journey.


Work collaboratively and transparently with our stakeholders to enable reliable delivery of low-cost energy through efficient, innovative operations and planning PAGE 1 | Strategic Plan Overview

VALUE PROPOSITION MISO’s 2015 Value Proposition quantifies the benefits that we produce for our members

Benefit by Value Driver (in $ millions)


From 2007 through 2015, MISO generated cumulative benefits of

$12.2 billion to $16.8 billion PAGE 2 | Strategic Plan Overview

BUSINESS DRIVERS As the electric industry continues to change, many challenges and opportunities are created for MISO and its members and stakeholders. MISO is committed to mitigating the risks and capturing the potential value afforded by shifts in the industry.

Externalities Federal and State Traditional and Unconventional

Design and Operation

Policy Entrants

Known and Unknown




Emerging and Future

ISO — RTO Paradigm Precedent and Direction



Grid Regional and Local

Members Fuels

Formal and Informal

Current and Future

Supply and Demand

MISO Roles Ensure reliability Create value for members and consumers Create and operate efficient markets Enable efficient infrastructure investment Maintain unbiased analytic foresight for future markets Educate stakeholders on future market possibilities PAGE 3 | Strategic Plan Overview

STRATEGIC OVERVIEW Our Priorities Strategic Objectives

Strategic Initiatives

Market and Grid Positioning

• • • • •

P  ortfolio Evolution (Environmental Policy and Economics) Electric – Gas Coordination Seams Optimization Grid Technology Advancement Infrastructure Development Enablement

Serve and Grow Membership

• S  erve Existing Members • S  trategic Member Expansion

Provide Independent Thought Leadership

• R  egional Modeling and Analytics • P  olicy-Level Relationships, Reputation and Visibility • P  latform Provider for Policy Implementation

Strategic Competencies:




Strategic Objectives These are the three broad categories of our strategic focus we believe will create the most value for our stakeholders.

Strategic Initiatives These are more specific focus areas within each of our three broader categories of Strategic Objectives.

Strategic Competencies These are the employee skill sets, business practices and technologies MISO develops so we can accomplish our Vision and Mission.

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and Grid Positioning—is about helping our members to effectively manage state and federal policies, industry trends and other forces reshaping our region. MISO will meet this objective by working with our stakeholders to develop market mechanisms, regional planning studies, regulatory analyses and other tools to ensure the continued delivery of reliable, least-cost energy.

STRATEGIC INITIATIVES Portfolio Evolution (Environmental Policy and Economics) MISO helps its members to make prudent planning and investment decisions by analyzing key state/federal environmental policies and economic factors that are reshaping the composition of the region’s fleet of electricity-generating and transmission resources. Electric-Gas Coordination MISO works closely with the natural gas industry to address issues associated with the region’s increasing reliance on gas-fired power generation. Seams Optimization MISO works closely with neighboring entities on issues associated with “seams” in the U.S. electrical system. Grid Technology Advancement MISO creates value for its members by leveraging regional efficiencies and innovative energy technologies to manage the region’s transmission system. Infrastructure Development Enablement MISO helps enable the development of new transmission lines, generating facilities and other new infrastructure projects in the region.

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MISO’s second Strategic Objective—Serve and Grow Membership—focuses on maintaining and expanding our membership base by providing ever-increasing levels of cost savings, services and other benefits. MISO will meet this objective by listening to our





and providing them with a regional market/ operational structure that fosters significant cost savings, reliability gains and other benefits.

STRATEGIC INITIATIVES Serve Existing Members MISO serves its existing members by continually generating significant cost savings and other benefits for our members, as measured by our annual Value Proposition study. Strategic Member Expansion When conditions are appropriate, MISO evaluates opportunities to add new members.

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Strategic Thought

Objective—Provide Leadership—focuses

on providing our members with trustworthy and unbiased analysis and information to make well-informed, cost-effective decisions on the issues they face. MISO will meet this objective by establishing ourselves as an independent, expert voice on the trends and policy developments that are reshaping the region and the broader U.S. electricity industry.

STRATEGIC INITIATIVES Conduct Regional Modeling and Analytics MISO provides its states and members with objective and trustworthy modeling studies and other analytical information they can use to develop and implement their policy objectives. Extend Policy-Level Relationships, Reputation and Visibility MISO builds relationships with policymakers to better understand policy drivers such as environmental regulations and renewable-energy targets, and their potential impacts to the electric industry. Provide a Platform for Policy Implementation As energy policies are adopted at the state and/or federal level, we help our states and members to implement them by providing data transparency and evaluating market reforms, as appropriate.

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STRATEGIC COMPETENCIES MISO’s Strategic Competencies are our employees’ skill sets, business practices and technologies that we develop to successfully accomplish our Vision and Mission.




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We seek to align our employees’ skills and capabilities to our strategic focus, which places a premium on leadership, agility, flexibility and creativity.

MISO will continue to optimize operations to increase quality and drive down costs in existing processes by identifying and seizing cost-cutting opportunities.

MISO will transform the use of technology to drive down costs, increase quality, and strengthen informational security.

OUR VISION To be the most reliable, value-creating RTO

OUR MISSION Work collaboratively and transparently with our stakeholders to enable reliable delivery of low-cost energy through efficient, innovative operations and planning




Little Rock

720 City Center Drive Carmel, IN 46032

2985 Ames Crossing Road Eagan, MN 55121

3850 N. Causeway Blvd. Two Lakeway, Suite 442 Metairie, LA 70002

1700 Centerview Drive Little Rock, AR 72211

For additional information regarding MISO, visit our website at

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MISO Strategic Plan Booklet 2017-2021  

MISO Strategic Plan Booklet 2017-2021