8.1. Management Team

The company top-manager are general manager 54301 and chief operating officer Airat Gizzatullin. After graduating from Kazan Institute of Economics and Finance in 1997 and completing the Certificate in Presidential Management Training Initiative Program with practical work at California State University Hayward in 1999, 54301 got the degree of Ph.D. in Economics in 2001. 54301 has a wide experience of working successfully in both commercial enterprises and in governmental authorities (TDT-Invest Company general manager, Deputy General Manager of the Agency for Enterprise Development of the Republic of Tatarstan, First Deputy Prime-Minister of the Republic of Tatarstan Counsellor in economics, Innovative Technopark “Idea” chief financial executive etc.). Airat Gizzatullin has also graduated from Kazan Institute of Economics and Finance, a year later than 54301. For a ten years period Airat has proved to be a born leader, possessing a broad outlook, equipped with a practical experience in business-centers operating, real estate and antirecessionary management.

The team of experts working on the project development consists of highly professional people. The main advantage of the team formed is that most team members have successfully worked together on other projects, e.g. Innovative Tecnhopark IDEA creation, development and promotion.

They work together for two years approximately and have proved to be a real team, creative and efficient. So, the team is capable of solving difficult tasks and working under pressure. The team members are presented at Fig 6 .

Fig 6

8.2. Management Team Gaps and Personnel Plan

At present moment the team lacks specialists working with site residents. This is the problem to be solved no earlier than in the next two years, while the first real estate units are being constructed.

Nowadays the stress is made on working out the main principles of the industrial park functioning and on project promotion.

Besides the people directly working with residents, providing them with lease services, after the real estate objects are put into operation the company will need a special facility management department which will observe the technical condition and engineering status of the property units.

At present moment our personnel amounts to 120 people, 30 of them being managerial staff.

By the 5^th year of project realization, when all the planned 600 thousand square meters of constructed property will be put into operation, our staff will amount to 1 500 people, most of them being occupied in facility management and technical support.

Risks

1. Overall political situation in the country is still a bureaucratic one, which may be of negative influence on the project development in terms of its orientation on market economy principles.

Even now, in 2007 in Russia we deal with coordinated market economy, rather than a liberal one. The role of government bureaucracies and powerful interest groups is predominant. Cross-shareholding and long-term relationships, based and monitored on private preferences (not on market relationship) are also common to the market. The specific features of such a type of economy intensify with going deeper from Moscow to the regions. And the Republic of Tatarstan is not an exception to the rule. Besides, the fact that the main part of population is Tatar – people with different culture and customs, adds some specific character to the region. That is why many visitors from Moscow and St.Petersburg compare coming to Kazan with going abroad.

2. The mistake in promotional strategy may tell negatively on the project long-term success, since the short-term efficiency of our promotional efforts is hardly assessable.

Such a circumstance does not permit to form balanced forecasts, as in physical commodities market and even in most service markets. The problem is connected with the specific characteristics of the target customers, i.e. their occupation in production sphere, where there exist a considerable time period for taking decisions for location and/or relocation, lasting for years in some cases.

3. One more risk is connected with the macroeconomic situation on free oil market.

The possible fall in oil prices will, first, decrease the money inflow in Russia, restricting all the economy branches development (real estate including) and, second, the petrochemical and chemical industries will suffer most, being directly dependent on oil prices. Thus, the development of small and medium-sized petrochemical companies will shift into low gear, depriving the “HImgrad” Industrial Park of its target customers.

[1] http://www.research.joneslanglasalle.com/loadpage.asp?document_lang=29&countryid=130&location=/showdocument.asp

[2] http://www.arenda-kazan.ru/reseach

[3] http://www.economy.gov.ru/wps/wcm/connect/economylib/mert/resources/1d19c20047ee07b0a1fdb32cf23fafaf/oznakomitsya.doc