Emaar Properties PJSC 2009 Performance, Analysis of Emaars Strategic Posture - Research Paper Example

This paper starts with a formal introduction to Emaar Properties PJSC which provides a concise yet detailed overview of the company and its business operations. The paper then moves with a comprehensive overview of company’s 2009 performance along with the background information of its past two year results and aims for the year 2009. The paper then provides a thorough insight over the Emaar’s strategic posture, its board of directors and top management. The paper then provides the Internal, External and Situational Analysis followed by a recommended strategy, its implementation, evaluation and control. Introduction to EMAAR PROPERTIES PJSC: Emaar Properties PJSC, inaugurated in 1997, is a Dubai based real estate business entity involved in a world-wide construction, building, development and property investment business. It is dexterous in constructing unique and elegantly designed luxurious housing projects, 5- and 7-star hotels, commercial shopping malls and communities. It has now extended its business operations and activities to more than 36 countries such as UAE, USA, UK, Canada, Pakistan, India, Turkey, Saudi Arabia, Jordan, Lebanon, China, Egypt, Morocco etc. mainly located Middle East, Pan Asia, North America, Europe and North Africa. In addition, the company has not only concentrated on retail housing and construction projects but also has diversified its portfolio by entering in services sector especially in property management, healthcare, financial services, hospitality and education sectors which shows the its financial strength, managerial expertise and mammoth resources. (Company Annual Report 2008) Emaar, a public limited company, is about 30% owned by Dubais ruling Maktoum family, has more than 60 subsidiaries/affiliates and is already listed on Dubai financial market and is part of the Dow Jones Arabia Titans Index. Some of its famous projects include Emaar Samarah, Dubai Mall (one of the world’s largest shopping centres), Burj Khalifa (previously Burj Dubai is the world’s tallest tower), The Address and Resort Hotels, Sega Republic indoor theme park, KidZania edutainment centre, King Abdullah Economic City (Saudi Arabia), Crescent Bay and Mirador Villas (Pakistan), Commonwealth Games Village 2010 (India) and many others. (Company Q4-2009 Press Release) Chap#1 - Current Situation 1.1- Current Performance: As revealed by the company’s annual financial report 2008, Emaar recorded a net operating profit of AED 6.575 billion in 2007 and it expected that the sales volume and profit margins will increase further in the year 2008. However, the beginning of global economic crises that started from United States because of sub-prime mortgage debacle in 2008 sabotaged its expectations and resulted in a considerable 15% decline to AED 5.578 billion in the net earnings of the company. The decline in profit can further be endorsed from ‘write down of development properties of AED 1,084 million of Group’s subsidiary WL Homes LLC in United States of America (USA) as well as its complete goodwill amount of AED 2,523 million relating to WL Homes that finally resulted in lower net profit of AED 3.055 billion in 2008. (Company’s Annual report 2008) Moving towards the performance in the year 2009, the top management of Emaar, at the commencement of new fiscal year, had realized the dismal property business outlook amid the global financial crunch and economic meltdown coupled with other reasons such as hike in international oil and other commodity prices that greatly disturbed the budgets of households and their savings. This also resulted in a sharp decline in prices of property units while at the same time made investors reluctant to invest their money in any commercial and housing projects. With this mind, the management’s strategy was to minimize the affect of rapidly decreasing property demand through the introduction of cost-reducing actions, innovations and efficient resource use that would lead to higher productivity. Keeping in mind the upcoming challenges, Emaar was determined to complete its projects that were in pipeline and to on-hold the new ventures in an attempt to achieve demand/supply equilibrium. At that time, it had observed that there was a dire need to unload its existing property inventory levels rather initiating new ventures because over supply factor in property market. However, it was also planned to diversify the company’s portfolio by entering in new service sectors such as Educational Institutions, leisure, Hotel Industry and Hospitality thus reducing its dependence on retail construction and development. (Stefania Bianchi 2010)  Emaar Properties PSJC posted a fourth-quarter revenue of AED 2.984 bn and a profit of AED 0.924 bn against revenues of 1.948 bn and a profit of .655 bn in the 3rd Quarter of 2009 respectively. This shows some improvement in the property business atmosphere compared to the 1st and 2nd quarters however a considerable amount of those profits were attributed to increased incomes from Hotels, Hospitality and Mall subsidiaries. (Company Q4-2009 Press Release) Annual 2009 profits reached a total of AED 2.23 bn compared to 4.236 bn in 2008. Similarly, annual revenue also dropped from AED 10.71 bn in 2008 to 8.24 bn in 2009 amid the decreasing demand, sale and delivery of units that decreased to 3,100 units during 2009 from 4,900 in 2008 (a fall of almost 37%). (Simeon Kerr 2010) On the positive note, “Emaar is less indebted than other Dubai property firms, with about 8.1 bn AED in loans and borrowings outstanding as of September 2009. Half of that figure in 2010.” However, Emaar “cancelled a merger with the prop­erty units of indebted state-linked firm Dubai Holding in December 2009 because its operating profit decreased due to AED 0.234 bn worth of pro­visions partly made by affiliates, including mortgage lender Amlak and Dubai Bank, towards their loans and advances portfolio.” (Alwatan Daily 2010) 1.2- Strategic Posture: 1.2.1- Corporate Mission: The management’s mission is to make Emaar a world-wide property giant and services provider that excels in providing quality lifestyle coupled with sumptuous, hassle-free living with all necessary facilities at the door-step to the consumers all across the world. For this purpose, Emaar has been focusing on almost all major services sectors such as ‘homes, work, play, leisure, retail, health, education, finance, industry and more’. The chairman Mohammed Bin Ali Rashid and his accomplices are determined to make Emaar synonymous to "Quality Lifestyle across the Globe". (Online official website - Emaar.com) 1.2.2- Corporate Objectives: Emaar’s present objectives is to initiate new projects in various services sectors such as ‘hospitality & leisure, shopping, education, healthcare and financial services in an innovative manner within Dubai and other overseas business markets so that it could get a competitive advantage over its rivals and other competitors that include Majid al Futtaim Group, Saudi Binladin, Nakheel, Union group and others etc. Emaar’s main objective is not just to construct houses but to ‘develop value-added and planned housing schemes and communities that meet the preferences and expensive tastes of its potential buyers and maximizes the company’s shareholders’ wealth. 1.2.3- Corporate Strategy: As an explanation to what I mentioned above in Emaar’s corporate mission and vision, it’s worthwhile to mention that Emaar has adopted a strategy of going global by focusing on international division of markets based on their potential and business scope. Emaar has therefore engaged in geographic, behavioral and demographic segmentation ‘to create different business clusters functioning as different growth engines’. (Company Q4-2009 Press Release) It has been mainly targeting the posh localities and elite classes in emerging markets such as Pakistan, India, China and Egypt to develop a new living trend whereas also focusing on creating its master-planned housing communities in developed nations with strong purchasing power parity. For this purpose, Emaar has a diversified product range to cater its major segments with a universal characteristic and desire of high quality living with all major facilities at the door-step. (Emaar Company Report 2008) Its strategy to ‘grow and converge into a single global entity known as The Emaar Group PJSC’ is largely consistent with its defined mission and objectives of becoming a major industry player in the world market rather focusing on only Emirates operations. 1.2.4- Corporate Policies: Emaar is a multinational company that strongly ‘focuses on listening its customers’ and taking into account their suggestions and any recommendations that could lead to further improvement, innovation and learning while simultaneously improves the reputation and goodwill of the company in the long-run. Basically, Emaar has a policy to transform into a completely learning organization that believes in risk-taking and experimentation along with empowered employees in order to gain a competitive advantage over its competitors. It is dedicated to form a relationship of ‘Trust, Integrity and Fairness’ with both its clients and employees in order to achieve the efficiency and effectiveness. The employees are empowered to make necessary decisions that are in the corporate interest of the company. It must be highlighted that Emaar strongly considers the fact that Information has become an asset to an organization in today’s globalized world therefore it has adopted the policy of ‘Open Communication’ among its employees that leads to facilitate collaboration, coordination, inter-organizational unity, accuracy, timely completion of tasks, higher productivity and smaller number of conflicts among employees. Its discrimination free and friendly ‘Work Environment’ and clan organizational culture is also one of its major internal strengths that enabled the company to survive even during the tough times in 2009 when the world was facing severe problems like global credit crunch and economic meltdown. Its emphasis on Employee Development is because of the fact that happy, satisfied, dedicated and energetic employees will take real good care of the customers. When customers become happy, they will become loyal to the company and return to make more purchases, which means more transactions, business, sales and profits. In turn, the company will be able to maximize shareholders’ wealth. Finally, the company strongly convicts in Corporate Philanthropy, Social Responsibility and welfare programs in order to improve its image among its clients. Chap#2 - Corporate Governance 2.1- Board of Directors: BOARD OF DIRECTORS POSITION Ahmad Jamal Jawa Director Saeed Mohammed Ahmad Al Tayer Director Khalifa Al Dabousi Director Mohammed Bin Ali Rashid Al Abbar Chairman Hussain Al Qamzi Vice Chairman Salem Bin Rashed Saeed Al Mohannadi Director Mohammed Ibrahim Al Shaibani Director Dr. Lowai Mohamed Belhoul Director Majid Saif Ahmad Al Ghurair Director Ahmad Thani Al Matrooshi Director Source: http://www.arabianbusiness.com/financial-markets/companies/41/profile Emaar is highly committed in developing, maintaining, sustaining and growing its business operations under guidance of a strong group of strategic planners who are responsible for complete implementation of four management functions of planning, organizing, leading and controlling in an attempt to make Emaar Properties and its subsidiaries a successful business venture and model. As highlighted in the company’s annual report 2008, “we report to all our stakeholders with accuracy and transparency and maintain full compliance with laws, rules and regulations that govern our businesses.” Emaar’s Board consists of 8 full time directors of which six are non-executive directors as mentioned in the table above. The company is under guidance of its articulate, well-educated, influential, creative, visionary and organized chairman Mohammed Al Abbar who was by the Financial Times Group, recently named as “Middle East Personality of the Year.” According to the company’s official website (Emaar.com), “Mr. Alabbar serves on the board of directors of the Investment Corporation of Dubai (ICD), the investment arm of the Government of Dubai and the body responsible for managing the emirates assets in the financial, transportation, industrial, energy, real estate and leisure sectors.” This shows the strength of Emaar’s chief who is responsible to device policies that could contribute in the development of Emirate’s success. The Vice Chairman of Emaar is Hussain Al Qamzi with a professional business experience of banking and finance industry, strategic planning and operations, supply chain and quality management. The other members of the board are all well-educated, highly trained and experienced professionals in their respective areas of interest including ‘public administration, finance, legal, strategic management, retail and commercial businesses’ so instead of highlighting their personality characteristics, I would throw light over their responsibilities at Emaar PJSC. The first and major responsibility is to ‘provide effective governance, direction and strategic direction over the Company’s affairs for the benefit of its shareholders’ and its all stakeholders that include customers, employees, suppliers, and local communities. The next responsibility is to define strategic, tactical and operational levels goals and objectives and to define strategies to be used to accomplish those goals. These may include the decisions related to business, marketing and financial plans, new ventures, designs approvals; investment and financing decisions, maintaining the company’s core values and its corporate culture, recruitment and selection policies and criteria and overall evaluation and control. Chairman Mohammed Al Abbar ‘schedules the meetings, prepares agenda in consultation with the Group Chief Executive Officer and effectively administers the flow of information between senior management and the Board’ to ensure the higher productivity; inter organizational control, efficiency and effectiveness. (Company’s Annual report 2008) Another responsibility of the board is to establish board committees and ensure their smooth functioning through their appraisal and periodic reviews in order to effectively manage the world-wide operations of Emaar and its affiliates. Presently, there are four Board Committees; Executive Committee, Audit Committee, Nominating Committee and Remuneration Committee; each of which have a different set of objectives and responsibilities. (Company’s Annual report 2008) For instance, Executive Committee is responsible for policy matters, strategic plans, long-term goals and risk management. The Audit Committee is responsible to ‘maintain and support a quality internal audit function’ that include risk assessment, performance evaluation, financial affairs and others. It also fulfills the communication role between the Board and Its auditors (both internal and external). The Nominating Committee is responsible for identification of candidates and their nominations, for defining selection, assessments and performance criteria. Moreover, it also finalize the promotions. The Remuneration Committee is responsible for reviewing and setting the compensation policies and salaries, bonus and incentives for executive directors and senior executives. In addition, it also represents the corporation through effectively communicating with the company’s shareholders and stakeholders. (Company’s Annual report 2008) 2.2- Top Management: MANAGEMENT POSITION Arif Amiri Director of Investor Relations and Corporate Lim Yin Cheng Director of Communications Ayman Hamdy Director of Legal and Company Secretary Vinod Kumar Gomber Group Chief Executive Officer Amit Jain Chief Financial Officer Kenneth Foong Chief Information Officer Low Ping Executive Director of Finance and Risk Issam Galadari Managing Director of Middle East and North Africa Naaman Atallah Executive Director of Business Development Thomas Bartridge Executive Director of Human Resources Source: http://www.arabianbusiness.com/financial-markets/companies/41/profile The top management (other than chairman, vice chairman and board of directors) is a driving force within an organization because it is responsible to implement the strategies that are defined by the strategic planners of the corporation. Executive Directors, Senior Executives, general, regional and zone managers at Emaar have to work closely with top middle and lower middle management employees to ensure that all the strategies are correctly implemented to accomplish the targets and yearly volumetric and monetary sales and other financial and investment objectives, timely completion of projects and delivery of units, effective and cordial relations with all the stakeholders such as customers, partners, distribution channel members, employees, industry analysts, governments, smooth functioning of routine operations, to discover the scope and potential of new Greenfield and joint ventures, to discover the weak areas of the corporation and problems associated with loss-making business units etc. These top managers are also responsible for assisting the strategic planners in decision making and defining goals and objectives by identifying the potential opportunities, external threats, internal strengths and weaknesses based on the ground realities. Chap#3 - External Environment: Opportunities and Threats 3.1 - Natural physical environment: sustainability issues Emaar is involved in Property management, construction, educational, financial and other services sector businesses so obviously factors such as global warming, climatic changes and other natural factors do not place any influence on company’s financial and business performance because these businesses are usually affected by societal forces such as economic, political, socio-cultural and technological forces. 3.2 - Societal environment: 3.2.1- Economic Forces: Emaar’s property management and construction business was greatly affected by global economic downturn. The economic meltdown across the world and the financial crunch adversely affected the business and sales volume of most of the corporate entities and businesses across the globe. Emaar also felt the pinch of this turmoil and observed a decline in sales and profits because of falling demand of its property units. The increasing levels of unemployment, subsequent reduction in incomes and purchasing power because of higher energy and oil prices increased the inflation that forced consumers and investors to reduce their spending and increase saving. Also, decrease in home financing and property prices keep investors and consumers away from the marketplace. In short, sales decreased considerably and Emaar with high overheads found it difficult to assimilate the shock. This can be supported by the fact that “Home builders in the U.S., where John Laing Homes is based, also are struggling in the credit crisis, triggered by defaults on subprime mortgages.” (Stefania Bianchi 2010)  Furthermore, the devaluation of currencies, in the wake of dismal economic outlook, would disturb the sales, expenses and profit forecasts of its numerous subsidiaries and affiliates. However, its new ventures in Hotel and hospitality industry enabled to survive in tough economic conditions. This shows that in coming months when international economy will observe economic recovery, heavy arrival of tourists will provide Emaar a good opportunity to reap profits. 3.2.2- Political Forces: 31% of Emaar’s shares are owned by the Emirate government that was keen to support Emaar in its tough times likewise it supported Emaar competitor Nakheel because of its announced debt restructuring plan of 22$ billion. Labor unions, trade associations and pressure groups might place any allegations on Emaar for any violation of labor contract, misleading or deceptive marketing techniques and for other reasons. (Simeon Kerr 2010) 3.2.3- Technological Forces: Emaar masters the art of development and construction of multistory plazas, shopping malls, housing and commercial projects, business towers and master-planned communities which is not possible without the employment of state-of-the-art machinery, equipment and modernized tools. It is too obvious to predict that Emaar has employed the most modernized and advance technology and information systems that facilitate the corporation in every business process i-e from designing to construction, from communication to record keeping and decision making. 3.2.4- Social/Environmental Forces: Emaar is a property construction and management business corporation which follows all the Emirate environmental rules, laws, regulations and cultural norms, standards and taboos of different countries and communities. Its construction techniques do not violate any environmental laws and contribute in spreading pollution at its construction sites which further improves its credibility and prestige. 3.3 - Task environment: 3.3.1- Bargaining Power of Suppliers: The bargaining power of suppliers (raw material providers, machinery, cement, spare parts, other construction material etc) was reduced because of shrinking world economy and constantly decreasing demand of property units constructed by Emaar and other competitors in the industry. 3.3.2- Potential New Entrants: In the wake of dismal economic scenario, investors who have willingness, ability and expertise to develop, construct and sell units were grudging to take any risks. Moreover, Emaar enjoys an oligopolistic position because the industry is dominated by well-established giants with mammoth resources. This is itself a biggest barrier that blocks the entrance of new companies in the industries. 3.3.3- Rivalry Among Competitors: Since, it is an oligopolistic industry as I concluded from my research, it can be said that chances of rivalry among competitors, in the form of price-wars, new construction designs, living facilities and quality services are high. Emaar, Nakheel, Bin Laden and other firms would focus more on project differentiation to obtain a clear, unique and distinguished image of their property projects in the mind of potential clients. 3.3.4- Bargaining Power of Buyers: The bargaining power of customers is improved in the wake of current economic conditions since Emaar and its competitors were hard-hit by reducing property prices to clear off their existing inventories. The oversupply of units, mainly in Dubai is also a grave issue. 3.3.5- Threats of Substitute Products: As I mentioned above that it is an oligopolistic industry, the dominants have mammoth financial resources (since all of them have their business networks in majority countries). They allocate a significant amount of their funds to “Research and Development” and adopt an innovation-centered approach. Therefore, Emaar could face the threat of substitute products from its competitors in Property Industry. 3.4- Summary of External Factors: Chap#4 - Internal Environment: Strengths and Weaknesses   4.1- Corporate structure: The Emaar has a decentralized corporate structure because the decision-making authority is decentralized to many units as revealed in the management structure chart in company’s 2008 annual report. The company is headed by its Chairman Muhammad Al Abbar followed by the Vice Chairman Hussain Qazmi who works under the guidance of the chairman. Then the structure expands with the board of directors who are beneath the post of Vice chairman followed by the corporate officers that include the CEO of international operations and senior executive directors for different regional operations. Then appears the Emaar’s various subsidiaries and affiliates such as Emaar Dubai LLC, Emaar Investment Holding, Emaar international LLC (different countries), Emaar Malls Group, Emaar Hospitality Group, Education LLC, Healthcare LLC, Dubai Bank PJSC and finally Emaar Industries and Investments Private LLC. It seems as if every employee and executive is aware of his or her responsibilities and jurisdiction along with the decision making authority given by top management to support the organization’s operations. The information is flowed form bottom-to-top and from top-to-bottom to facilitate and ensure timely decision-making. This structure is consistent with corporation’s global operations because the employees feel free to make their own decisions and can receive guidance from their regional managers and heads in any tough scenarios. They are not dependent over the permission of Chairman, Vice Chairman and the board of directors for routine business operations because of corporation’s empowerment policy. On the flip side, the corporation’s top management may lose control over the employees in other geographical areas because of time constraints. 4.2- Corporate culture: Emaar has a well defined, discrimination free and friendly ‘Work Environment’ and clan organizational culture that aims to facilitate open communication among employees so that they could discuss the services’ quality, their performance, productivity levels, rapidly changing business environment due to increasing globalization and the company’s ability to adapt to these changes. The organization has a shared set of values so that employees remain united and could work together for the well being of the company. The company tries to create a link among its members from the use of efficient management information and decision support systems and this is also one of its major internal strengths that enabled the company to survive even during the tough times in 2009 when the world was facing severe problems like global credit crunch and economic meltdown. 4.3- Corporate resources: Although the financial reports of 2009 are not yet available to the public therefore I would not be able to analyze its actual Assets, Liabilities and Equity position yet it is predictable that Emaar has colossal financial, marketing, production, information technology and marketing resources (both human and material) otherwise it would have not gone global and expanded its property construction and management, educational, healthcare, leisure and financial operations in more than 36 countries. The company’s top and middle management has glib expertise over public administration, finance, marketing and human resource management, investment, commercial, supply chain and retail operations along with an organized Research and Development department that is responsible for designing the elevation and interior outlook, innovating existing construction methods and developing the new ones so that projects can be completed before the assigned time period. This provides Emaar a competitive edge over its rivals. On the negative note, Emaar has to control its costs of doing business especially the constructions costs and impairment losses. “Resilience, adaptability and innovation are core values driving Emaar’s evolution from home builder and provider of integrated lifestyle communities to creator of iconic cities and a partner in the region’s nation building process.” (Company’s annual financial report 2008) 4.4- Summary of Internal Factors:  Chap#5 - Analysis of Strategic Factors:   5.1- Situational analysis: The most important factors that affected the Emaar’s performance in past include the economic downturn and global financial crises that shattered the buyers’ and investors’ confidence and compelled them to tighten their belts while simultaneously hindered the corporation’s property operations growth in 2008 and 2009 (lower profits than what generated in 2007) even though the company remained profitable against other multinationals that reported losses from their business operations. One of the major reasons behind this survival was the timely decision of diversifying the business portfolio by entering in new areas (services sector) such as Hotel industry, shopping malls, educational institutions and hospitality that reduced the dependence over the corporation’s core construction and property management business and finally proved that these areas are way lucrative than others even in the recessionary period and would benefit Emaar in the long run. The management’s decision making ability enabled Emaar to clean its books in the most challenging year of 2009 in which many companies in other sectors completely collapsed and signed bankruptcy. 5.2- Review of Mission and Objectives: In the light of company’s present business position, it is quite realistic to say that the company’s performance was mainly affected by external factors that were not in control of the strategic managers. Still, the company managed to generate a reasonable profit as well as able to diversify its portfolio that shows the top management’s commitment and dedication towards the company mission and vision of business and geographic segmentation and diversification. Hence, it could be concluded that there is no real need to change company’s mission and vision because Emaar would surely come with a much better performance after the improvement in global business conditions that are expected in late 2010 and 2011 onwards. Chap#6 - Strategic Alternative and Recommended Strategy   6.1- Strategic Alternatives: Emaar has to reduce its costs of doing business through strict internal control in order to become competitive in this era of stiff competition. It has to take actions to reduce its assets impairment losses to gain a competitive edge. Secondly, it has to become aware of the fact that the demand and supply forces in property market of Dubai are not in equilibrium because there is a huge surplus of housing units that has caused a decrease in prices. Emaar must come up with a strategy to clear off its existing inventory at throw away prices (at least covering its total costs of acquiring those units or a maximum % of those costs) to become liquid. Thirdly, special attention must be paid to minimize the risk of devaluation of currencies in countries where Emaar has business operations. Right now, Pakistan, India, Turkey and China are some of the countries where currencies are depreciated. Emaar has to become aware of the changes in financial markets of these nations. 6.2- Recommended Strategy:  It is worthwhile to mention that Emaar to date has always focused on lavish and sumptuous housing and commercial projects mainly targeted towards the rich and elite consumers of different countries and large business entities. Even, in countries like Pakistan, India, China, Egypt and Saudi Arabia that have relatively weaker purchasing power and have a large middle class segment, Emaar targeted the rich. I would highly recommend Emaar’s strategic planners to come up with a comprehensive launch of affordable housing projects with maximum facilities so that it could cater a fairly large middle class segment in these nations. These middle projects may attract a large group of buyers (with money), with a preference of quality living at affordable rates, who are still waiting for a launch of quality projects. Chap#7 - Implementation In order to implement this strategy, Emaar Properties has to conduct a comprehensive primary research in countries with a large middle class segment. The aims of this primary research exercise would be to get near-to-accurate, reliable and authentic information about the countries’ economic performance, societal taboos, purchasing power, tastes and preferences, political conditions, other demographic factors such as age group and family bonds, demand and supply patterns, differences in domestic and international property companies and their business scope, tax laws, exchange rates and other ground realities such as infrastructure, availability of raw-material, skilled labor, machinery, utilities etc. Secondary information could provide some relevant details and statistics but there are strong chances of deviation. The company will be at advantage if it targets South Asian and African emerging economies such as India, Pakistan, China and Egypt (since Emaar is already operational in these countries) because these nations account for more than 40% of world’s population. Moreover, these nations have also observed a shortage of housing projects so the probability that Emaar could reap profits from middle class projects is high. Chap# 8 - Evaluation and Control Emaar’s has already established its subsidiary and affiliates in emerging economies that I mentioned above. It surely has the necessary information systems, material and human resources that could generate feedback about the success and performance of the would-be middle class projects and that could possibly fulfill the technical requirements. Also, Emaar has four board committees of which the nomination and remuneration committees are considered as responsible for performance appraisal, assessment, control and evaluation of strategies that are implemented. Based on their judgment and evaluation, rewards are being disbursed to the employees across the organization. Bibliography / References No author. “Emaar Properties – UAE”. 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Arabianbusiness.com. 2007 http://www.arabianbusiness.com/498018-emaar-shares-plummet-to-2-year-low?ln=en No Author. “Emaar Properties records 2009 annual net operating profit of Dhs2.324bn”. Ameinfo.com. February 11 – 2010. Available at http://www.ameinfo.com/223796.html Tarek El-Tablawy. “Emaar to merge with rivals in Dubai.” Dailyreporter.com June 29, 2009. Available at http://dailyreporter.com/blog/2009/06/29/emaar-to-merge-with-rivals-in-dubai/ Read More