Urban Trading Investment Development One Member Limited Company is an investor of many key projects in northern Hai Phong City, including the 304.96-ha Nga 5 - Cat Bi Airport Urban Zone, the 100-metre wide central road construction project, the 279.98-ha Lach Tray - Ho Dong New Urban Zone and others. To learn more about the company’s business activities, Vietnam Business Forum interviewed Mr Ngo Van Hau, Deputy General Director of the Company.
Can you talk about your company’s performance in 2010?
In 2010, we faced numerous difficulties, especially in unfavourable accounting, sluggish land compensation, unstable land compensation policies and soaring material prices. However, thanks to strong direction from leaders and the collective efforts of all employees, the company achieved important results. The revenues exceeded VND230 billion, double the yearly planned target; tax payments reached VND28 billion, exceeding the plan by 400 percent; and the owner’s equity increased from VND7.746 billion to over VND270 billion. Site clearance for Nga 6 - May To road and nearly 3 km of Lach Tray - Ho Dong road was basically completed.
After more than 10 years of construction and development, the company has actively contributed to the speedy urbanisation and development of Hai Phong.
How have you attained such results?
The above-mentioned encouraging results are dependent on the dynamism and efforts of the entire company. Besides, the company received strong support from authorities, from central to grassroots levels, as well as the cooperation of people in project areas.
The company’s leadership closely supervised activities, appropriately matched tasks to people, made timely decisions and effectively applied State policies. Hence, the company basically dealt with difficulties in site clearance.
Besides, the company attached much importance to personnel training. Most employees, from those with managerial titles to manual workers, were systematically trained with professional skills. The entire staff always strengthened solidarity and completed assigned tasks.
Would you mind revealing what policies and solutions were taken to complete tasks assigned to the company by the municipal authorities?
As a major investor and developer of important infrastructure projects in Hai Phong City, site clearance is always critical. This work determined 70-80 percent of success or failure of the company. With a clear and full awareness of this importance, the company carefully trained its staff involving this matter.
The company closely coordinated with communication channels to inform people of the importance of investment projects and policies relating to land compensation, support and resettlement.
What are major difficulties against the company at the present time and in the future?
We anticipate huge challenges ahead, including macroeconomic instability and soaring inflation. These factors directly affect the progress of project implementation. Besides, project establishment and implementation will be affected, resulting to necessary adjustments to cost calculation, etc.
Notably, compensation policies are insufficient, unstable and inconsistent, leading to numerous difficulties in establishing and approving land compensation plans. The State funds for projects in 2011 are reduced (due to tightened policies). Besides, the transformation of operating model into a one-member limited liability company is also a challenge that requires time and manpower to be addressed.
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