Development of an advanced investment management framework
Capital management is there to ensure the Company’s financial stability
Stay-in-business CAPEX was brought in line with the industry averages through:
- Project prioritisation based on risk assessment
- Cost optimisation through tenders
- FX translation effect
CAPEX, USD bn
The Company has adopted a consistent approach to investment planning and management of capital development projects
1
Enhance the automation of project management
- In 2014, the Company launched a new Primavera based planning and control system, which is currently implementing over 120 major projects
- New automated solutions to control costs / project budgets have been developed
2
Set up target PMOs for major projects
- The Company launched 9 project management offices and programmes in the Group’s Head Office and enterprises
- New employees have been hired as the key project managers
3
Change the incentive framework
- The Company introduced special project management KPIs factoring in project implementation performance
- The Company has been implementing several strategic projects, which are viewed as an important part of TOP-100 MMC, a new long-term incentive framework
CAPEX management is of critical importance to the Company’s sustainable development and stable financial performance. The Company’s priorities in this area are as follows:
- adjustment of stay-in-business CAPEX in line with the industry benchmarks,
- planning and management of development projects.