“Samruk-Kazyna” JSC sums up interim results of Transformation program of the Fund’s group of companies
On September 22, 2016, the Expert Advisory Council of “Samruk-Kazyna” JSC took place during which top management of the company summed up the intermediate results of the Transformation program within the Fund group.
By implementing the transformation program,«Samruk-Kazyna» JSC is moving from operational holding company to the role of an «active investor». At present, the investment portfolio of the Fund's group includes about 100 projects with a total value of over 108 billion dollars. The total investment program provides over 80 thousand temporary jobs and about 40 thousand permanent jobs.
«We have set a course for investing in high-yield projects with high return on capital. Among the Fund's investment projects I can highlight two directions - creation of a new metallurgy industry with new innovative technologies and the cluster of organic and inorganic chemistry in Atyrau and Taraz,» Umirzak Shukeyev told during the Expert Advisory Council.
Projects in the Fund’s portfolio are implemented both in senile sectors and new emerging sectors such as oil-gas and agrochemicals, mining sector, the priority of which is appointed in the new industrialization program.
«Our investment program coincides with the priorities of the SPIID-2 (State Program for Innovative and Industrial Development of Kazakhstan). Projects implemented by “Samruk-Kazyna» JSC group lays the foundation for the industrialization map,» he added.
The Fund plans to invest annually about 50-80 bln tenge on the development of new industries in 2016-2020. This will give 9000 temporary jobs and 8000 permanent jobs.
The members of the Expert Advisory Council praised the Fund’s initiatives within the business transformation program. According to Deputy Chairperson of Mazhilis of the Parliament of Kazakhstan Gulmira Issimbayeva, open format of the Expert Advisory Council demonstrates the implementation progress of the Head of State’s instructions given at the Transformation forum of «Samruk-Kazyna» JSC.
«I would like to mention as a positive fact the current format of «Samruk-Kazyna» JSC activity and the Expert Advisory Council. Mazhilis works in an open mode, many of our partners participate in working groups, and today we see that «Samruk Kazyna» is open too,” G. Issimbayeva said.
As noted during the Council meeting, the Fund is undergoing the final stage of the transformation. The transition to a new organizational structure has been almost completed, where the filling of all levels proceeded in an open competitive basis. As a result, the amount of the corporate center’s top managers has decreased from 16 to 9 people. The Fund’s composition has been updated by 40 percent and has become 30 percent more compact.
«I would like to mention about the transparency of the recruitment. Kazakhstan is a small country, and I can indirectly judge by the reviews of a very large number of people who talk about the employment process in «Samruk-Kazyna». The number of positive responses is higher than negative ones. The whole program itself provides positive effect to all the changes within the Fund’s group,” senior partner at the Strategic initiatives center Olzhas Khudaibergenov noted.
Also as part of the transformation program corporate governance of «Samruk-Kazyna» JSC had been aligned with the Organisation for Economic Co-operation and Development (OECD) standards and international stock exchanges. As a result, the new Corporate Governance Code had been developed and approved with assistance of the OECD.
The main advantage of the transformation is the exchange of experience. At present, the best practice is implemented according to a single system and single business process. “Samruk-Kazyna» JSC group of companies has good quick wins, but the main goals can be achieved in the medium and long-term period,» famous economist Zhannat Yertlessova said.
The Expert Advisory Council of «Samruk-Kazyna» JSC was established in 2012. The main objective of the Council is to provide expert and advisory assistance in the implementation of the Fund’s objectives on the most priority directions. The Council develops proposals to improve the competitiveness and efficiency of the Fund and its subsidiaries. Chaired by the CEO of «Samruk-Kazyna» JSC Umirzak Shukeyev, the Council comprises deputies of the Parliament of the Republic of Kazakhstan, prominent public figures of the country.