Following a series of strategic activities to build, develop and complete the operating system and achieve the long-term vision of the business, on October 20, 2023, Kim Oanh Group’s Board of Directors had a discussion on the value chain and decentralization matrix. The main content of this discussion focuses on the chain of work (main …
Kim Oanh Group standardizes the investment and project development process Read More »
Following a series of strategic activities to build, develop and complete the operating system and achieve the long-term vision of the business, on October 20, 2023, Kim Oanh Group's Board of Directors had a discussion on the value chain and decentralization matrix.
The main content of this discussion focuses on the chain of work (main activities) of real estate investment and business projects – the backbone field of Kim Oanh Group during the development journey over the past 15 years.
Raising the issue at the discussion, Mr. Le Quang Phuc – Chairman of BDSC Board of Directors, a strategic consulting partner on corporate restructuring, said that most real estate enterprises in Vietnam are developing projects under the opportunity investment model. This means that businesses are mainly hunting for beautiful land funds, from the owned land fund, business owners will come up with ideas to implement suitable real estate projects.
“In fact, this is a popular model and brings high economic efficiency due to making good use of market opportunities and easily hitting the needs and tastes of customers” – Mr. Phuc said.
Meanwhile, Mr. Nguyen Duc Loi – Member of the Board of Directors, Deputy General Director of Project Development Group affirmed that besides chasing market opportunities, Kim Oanh Group wishes to create its own opportunities. Accordingly, the Group's Board of Directors is aiming for a project investment model according to brand positioning in order to gradually standardize the project development process according to major real estate corporations in the world and create its own brand imprint for businesses.
On that basis, Mr. Le Quang Phuc proposed the project investment process according to the corporate brand positioning including 14 sequential activities including: investment idea, land fund creation, pre-feasibility study, feasibility study, implementation design, project procurement and budget, marketing, sales, construction preparation, construction, product handover and operation, project operation, ownership handover, project closing.
At the discussion, Kim Oanh Group's Board of Directors basically agreed with this process and also defined the principle of operating the chain of activities that will be implemented in parallel and ensure the order of activities after starting after the previous activities have started (no need to wait for the operation before the end).
According to Mr. Nguyen Duc Loi, this process has almost completed the value chain of real estate projects from investment idea to project completion. Starting with an investment idea based on the development strategy in each stage in accordance with the brand positioning of the business will help enhance the brand and influence of Kim Oanh Group in the market.
“Instead of looking for real estate projects in Ho Chi Minh City, Binh Duong, Dong Nai to know Kim Oanh Group, in the near future, customers will search directly for Kim Oanh Group's product lines and choose the group's projects according to their needs. That is our goal,” Loi emphasized.
Based on 14 main work items, the investor will divide into corresponding work items and manage according to the RACI decentralization model (person responsible for implementation, accountability, person responsible for consultation, person responsible for notification) will help the investment and development of the project become professional, more scientific and proactive. In addition, corresponding to 14 value chain items, there will also be 14 project investment cost items. From there, businesses can easily allocate budgets and effectively control investment costs.
The discussion results showed that the investment process of the new project is completely in line with Kim Oanh Group's long-term development strategy, helping to shorten the project implementation time, improve investment efficiency and save investment costs. From there, businesses not only bring customers better quality products but also can accelerate sales progress, product handover progress as well as build better selling prices and sales policies for customers in accordance with the mission of “Creating community, enhancing the value” that Kim Oanh Group is pursuing.
