Pan-China Group was originally under Ministry of Construction, and is a modern enterprise that Ministry of Construction set up in order to probe the followings: structural reform of construction trade, practising project general contract, and project management. For more than ten years, through incessant development, now it has become a large-size enterprise, which takes the following as its main operations: exploitation of investment and financing, project general contract, and project management. The Group owns following more than 50 units: subsidiary company, specialized company, full-capital company, holding company, and the others. It owns more than 10000 employees, 80% of whom have academic credentials of junior college. It owns more than 3000 engineering technical personnels, and more than 580 personnels have the posts of senior specialized technology and management, and more than 700 personnels have the posts of medium-grade specialized technology and management, and more than 1000 personnels have all classes of specialized practicing requirements.
 
 
Investment Direction and Management Mode
   
Investment Orientation
    • Marketable Subdivision of Urban Infrastructures
      • A) Urban water system
      • B) Sewerage treatment
      • C) Refuse treatment
      • D)Power construction
      • E) Heating system
      • F) River and lake treatment
      • G) Public traffic

Selection of target market

      • We put the investment orientation in Chinese urban infrastructure.
      • We will give priority to the following projects: urban water supply, urban sewage treatment system, gas establishment, urban heat-supply, construction of electric power plant, medical waste treatment.

Project source of infrastructure construction :

Reconstructed Engineering of "Tian An Men".Reviewing Stand” passed the check before acceptance on 23 November, 2004

Author: Updating Date: 2004-12-07 Sort: Group Information News General Browse/Today:125/2
In Beijing, the first construction-agent project accepted by Pan-China Engineering Co., Ltd, reconstructed engineering of Tian An Men reviewing stand, passed the check before acceptance on 23 November 2004.

 

Construction-Transfer Mode BT Mode

· Construction-transfer mode (BT Mode) is a specific tactical form of the investment and financing driving the construction. It is a current construction mode in current international construction industries, especially in the construction industry of infrastructure. It means that, according to the contract, the organizer has responsibility for the construction of the project (including raising money), and transfers the project to the owners after project accomplished, and the owners must pay general investment of the project and reasonable return to the organizer. We introduced this mode into internal real estate industry, and depending on Pan-China’s advantage of credit platform and capital channel, we engrafted it and enlarged its function to show its advantage of construction and investment. Depending on the technology of engineering construction and project management, we elude the construction risk, and debased the transaction risk and communication cost between financial capital and industry capital, in order to better realize the strategy of group’s investment and financing driving the construction, and more improve the comprehensive strength of the trademark of Pan-China Construction Company.

· The core of BT Mode is that it protests the organic combination of the capital management and industrial capital in construction scopes, and it claims to reconstruct the credit to create new pattern of construction and financing. It suggests that the risk and income should be fairly shared in all participators, and it is in pursuit of safe and reasonable profit and insists that all participators should bring their subjectivity and activity into play. Under the precondition of guaranteeing credit safety or the safety of investors’ capital, it is a reasonable and satisfying income level of proper profit margin (higher than comprehensive cost of capital) and effectively monitored and controlled capital, which means that the greatest insurance is the most income, and which is the objective of profit-distribution system protested in BT Mode.

This is centrally expressed that national macroeconomic control gave gigantic impact to the construction-financing pattern, which takes the realty developers as the center, and three doorsills in face of original construction-financing pattern came into being: bank credit, land supply and management, advances of construction enterprise. Under the pressure of above three doorsills, original construction-financing pattern, which took the realty developers as center, can not meet the demands of marketable development and change. The credit flow was blocked, and it is difficult for the resources, such as capital and land, to flow into the old pattern, and it is difficult for valorizes capital to come into being again, so it will circulate in the old pattern again and again. On the base of learning advanced experience of international construction industries, and through its deep study and control of industrial rule and marketable development trend, Pan-China Group brought forward the new pattern, main characteristic of which is: taking credit reconstruction as base, and combining industrial capital with financing capital. This is BT Mode, which is used to realize the followings: marketable bodies complementing each other, sharing risks, and reasonable flow of resource factors.

· Pan-China is actively carrying out the preparatory services, the core of which is: recommendation and consultation of the projects, timely credit increase, and it is also actively carrying out the services of meta-and –anaphase project construction and management, the core of which is: comprehensive construction, and overall-process project management. Moreover, through organizing project pool and founding BT industrial mode, it absorbs financial capital and other relative industrial sides (such as realty developers, construction enterprises, consultation institutions, and technical entity, etc) to together build new pattern of construction and financing, and promote the new development of construction industry.
At present, according to BT Mode, Pan-China has successfully carried out many cooperation projects with the following entities: Commercial Bank, Trust Bank and Bonding Company, and so on. Some projects have been successfully accomplished and favorably gone into the phase of realty management, and some projects are in the tache of construction. At the same time, actively cooperating with overseas Investment Banks and some internal famous major financial companies, Pan-China will discuss how to use BT Mode to develop and build the projects.

Management of Perforation Operation

When harmonizing and managing the subcontracting managers, it will give effective supervision and control on subcontracting operators, and make them carry out every productive activity in order and under control in accordance with the files of general-contracting project management.

Meaning and Content of Authorized Management of the Project:

The company will build up the project-manager department of general-contract management type, which owns the function of comprehensive management and harmony. The company carries out authorization management on the project manager, and establishes target responsibility in advance. As legal representative’s consigner for the project, the project manager will perform his official functions in the scope of authorization. In order to realize the promises for the owners, he will carry out the following management of the engineering projects: plan, organization, command, control, coordination, and accomplish the following comprehensive objectives: quality, time limit for the project, environmental protection, safety, cost, and field image, and so on.

 

Significance and content of paying attention to comprehensive coordination:
It is impossible for original construction units to win a victory only accomplishing the civil engineering in the future, with the improvement of the followings in construction industry: level of project management, intelligentization and standard of fitment. In current large and medium-sized projects, the civil engineering is only 30% to 50% of the global work. In order to avoiding the phenomenon of “collision” in mechanical and electrical construction and fitment construction, scientific and regular management is needed, and comprehensive coordination of the projects becomes the key of success or failure.

Comprehensive coordination of the projects includes:
I.Comprehensive coordination of organization flow.
Ⅱ.Overall consideration of technical plan.
Ⅲ.Deepened shop drawing, and protracting comprehensive mechanical and electrical chart.
ⅣCareful cooperation of construction personnel.

Significance and content of HQ service control:
Through HQ service control, all projects signed with Pan-China Construction Group will be managed in accordance with the operational model of McDonald’s Corporation, sticking to the following principle: unity in image, unity in management, unity in labour and capital and unity in culture. It will reach the following objectives: group management, flow operation and normative movement.
The content of HQ service control include:
1. Offering plan and guidance on the overall process of engineering project management.
2.Deploying the following operative resources to the department of project manager: Personnel, equipment, material and capital, and son on.
3..Giving supervision and regulation on the performance of project plan and contract promise.

Investment Plan of Chinese Urban Infrastructures

Foreword
· Pan-China analyzed its own resource advantage, and according to the internal and external economic patterns it made an all-directional and multiple investment plan for the construction scopes of Chinese infrastructure, in order to realize the following objectives: invigorating Chinese economy, speeding up the process of Chinese urbanization and improving the overall living standard of Chinese People.

· During the process of carrying out this plan, Pan-China Construction Group will boot itself upon the following standards to exploit national markets: all-direction, multi-angle of view and high level. It will take industrial management as carriers, and industrial investment as supporters, and capital management as measures, in order to create the overall combination of the followings: industrial capital, technical capital and financial capital. It will dynamically emend and consummate this plan according to the followings: guidance of national policy, turn trend of the market and distribution of resources.

Through carrying out this plan, one the one hand it will gestate the capital operators in the scopes of Chinese construction, and fosters a lot of project companies with good market prospect; On the other hand, it will make full use of the lever role of capital market to make the company develop continuously and force the development of the construction industry of Chinese urban infrastructure.

· Objective of the Construction and Development of Chinese Urban Infrastructures

· It will bring the fundamental role of the market in the allocation of resources into full play, and establish the leading status of enterprise in the investment of managerial municipal public services, and build the policy environment, which is in favor of the reasonable flow of marketable factors. It will arouse the social enthusiasm of taking part in urban infrastructures, and force the followings of the construction of urban infrastructure realized: diversity of investors, diversity of investment modes and marketization of implementing project.
It will actively promote the management of urban infrastructures and municipal public services, and it will stimulate stock of capital circulation of urban infrastructures, build up the construction funds, and accelerate the construction of urban infrastructures, through the following capital-turnover modes: assignment of chartered managerial authority, assignment of capital managerial authority, assignment of charging authority, securities of asset, assignment or sale of stock authority, and so on.

· Prospect of the Investment in Urban Infrastructures

· In 21 th century, Chinese urban population will greatly increase, and the level of urbanization will be rapidly improved, and the residents’ standard of living and quality of life will be obviously improved. All of this will bring tremendous market to the construction of urban infrastructures.

· In the report China 2020 released in September 1997, the world bank experts estimated that every year Chinese projects of capital construction needed about 75 billion dollars, and the market scale was very large, so this will consequentially bring great business chance of investment.


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