Improving state management capacity for urban housing and land markets applied in Hanoi - 7


working relationships, shared goals and values, working groups, dependencies and support: Why do it? There is a growing need for flexible and adaptable management styles for the specific organizational structures and relationships within local government. It also involves new relationships between the different organizations that play a role in urban management and development. However, opportunities for organizational change often depend on institutional change, which is based on the capabilities of individual organizations or networks of organizations.

(2) Human resource development, by building skills in related areas. This is a process of a group of people with understanding, skills, ability to seek information and knowledge to perform effectively. It shows the dynamism of people with positive attitudes and advanced methods to bring high efficiency in the problems within the scope of solving. Good human resource management brings many motivations and benefits, creating opportunities for continuous training and retraining; potential for clear performance opportunities, competition in salary. To meet the requirements of human resource development, the organizational environment must be dynamic and effective.

(3) Institutional development, which means a step up from inefficient regulations and measures to more efficient regulations and measures as reflected and measured by the reduction of transaction costs in the sector. Institutional development involves changes in laws and rules that enable organizations, institutions, and agencies at all levels and in all sectors to achieve their capabilities. It is related to issues of rules for controlling financial resources management, the ability of government agencies, trade and borrowing authorities; the ability of government to negotiate contracts and partnerships with private enterprises and associations; the conditions for workers, wages and occupational structures; the regulation of land use and building and other development controls; Thus, the institutional issue in general requires the legal and political responsibility of a government to bring about effective change.


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(4) Developing information and communication systems, that is, applying IT-TT appropriately.

Specifically, applying this capacity building model to the urban housing and land market requires focusing on the following key issues:

Improving state management capacity for urban housing and land markets applied in Hanoi - 7

- Organizational development. Building a good real estate management apparatus will help the State implement strategies to orient the development of the housing and urban land market as desired.

- Developing human resources. This means improving the qualifications and capacity of those working in the state management apparatus of urban real estate and businesses and individuals who are participants in the urban housing and land market.

- Institutional development. This means that the State sets out a system of laws and rules to regulate economic relations between entities operating in the urban housing and land market in order to achieve the desired results.

- Developing information and communication systems. The potential capabilities of information and communication media for the development of the urban housing and land market are reflected in reducing costs, ensuring the provision of quick, timely and accurate information to market participants, and ensuring that state management agencies have the opportunity to grasp unusual fluctuations in the market to research and propose appropriate policies for development.

1.2.4. Contents of improving state management capacity for urban housing and land markets

Improving the capacity of State management of the urban housing and land market is not an easy task. Its content is that such improvements can only be realized if the stimulus measures under which the State and State institutions operate are changed. The content of improving the capacity of State management of the urban housing and land market focuses on the four basic issues below.


1.2.4.1. Organizational development

The organization of the State management apparatus for land and housing includes regulations on the functions, tasks, powers, organizational structure of the apparatus and the relationship between the departments in the apparatus to make the apparatus operate effectively. The organization of the State management apparatus for land and housing is reasonable, allowing to reduce management costs, improve the effectiveness of the apparatus, ensure the role of guiding the development of strategies, plans, programs, projects on land allocation and construction, development of residential areas and housing; ensure the organization of implementation of legal regulations; guide and inspect organizations and individuals using land and construction, development of housing to ensure fairness and efficiency. One of the four basic contents in improving the capacity of State management for the urban housing and land market is to develop an effective and efficient State management apparatus for the field of land and housing.

a/ Structure of the State management apparatus on real estate

The structure of the state management apparatus for urban housing is a system of departments and levels with different powers and responsibilities but closely related to each other, arranged according to each stage and management level to perform the defined management function. The structure of the management apparatus is generally designed according to the vertical structure and the horizontal structure. According to the horizontal structure, the structure of the management apparatus includes certain management departments and is under the leadership of a certain management level. However, depending on the object and scope of management, the horizontal structure of the management apparatus is designed appropriately. According to the vertical structure, the structure of the management apparatus includes management levels and each management level includes management departments of that management level. The management levels include: central level, provincial level and centrally-run city level; district, county, town level; commune, ward level. With a management system consisting of levels, lower levels are under the direction of higher levels and are responsible to higher levels for the management of the sector in the locality they are in charge of. The structure of the State management apparatus on housing and land is built to ensure the following requirements:


- Determine the appropriate number of management levels and management departments to ensure consistency and flexibility of the organizational structure, ensuring timely direction of management work.

- Determine the scope of management, functions, tasks and powers of each management level and each management department, avoiding overlaps, duplications and no responsible department.

- On the basis of assigning management levels and management stages, determining the relationship between levels and departments in the management apparatus, ensuring consistent and effective operation of the management apparatus.

- Ensure the practicality, feasibility and economy of the management structure to reduce management costs but promote high efficiency in management work.

b/ Organizational model of the State management apparatus on real estate

To achieve management goals in a certain environment, the management subject must organize a management apparatus consisting of departments with reasonable functional structure, tasks, personnel and appropriate operating mechanism. The totality of regulations on functional structure, tasks, personnel of management departments together with their operating mechanism form a management organization model. Thus, the real estate management organization model is the totality of reasonable regulations on functional structure, tasks, personnel and operating mechanism of departments in the real estate management apparatus to achieve the set goals of the system with the highest efficiency.

Building a real estate management organization model is essentially organizing a system of management entities. In fact, the real estate management organization model, considered in terms of the number of management levels, is a pyramid-shaped organizational structure.

This type of structure has many levels of management. It often uses the "top-down" or "command-control" management method. In it, managers issue administrative orders and strictly control the implementation of orders.


This organizational structure is based on the specialization of labor according to function, with the division of the organization into highly independent departments, creating rigid boundaries between jobs and units.

c/ Factors affecting the state management apparatus on real estate

The model of real estate management organization is influenced by many different factors. The factors are closely related to each other, having positive or negative effects on the model of real estate management organization. Factors affecting the model of real estate management organization can be divided into two groups.

- External influencing factors

Political factors and legal environment: Political factors have a direct impact on the organization of the functional structure of the departments of the management apparatus. First of all, political factors are directly reflected through the directions, guidelines, and goals stipulated in the organizational design and operating institutions of the State. With the nature of our State being a State of the people, by the people, for the people, the management organization model must truly be for the people. For a good life for the people is the goal that governs and determines the entire structure, organization, and direction of operation of the management apparatus. For the people means moving towards an administration close to the people, a management organization model that well meets the needs of the people.

Replacing the traditional administration with a developed administration is an inevitable trend of the reform of state administration in the world today. The main characteristics of a developed administration are: being attached to the market, considering people as customers, being flexible, adaptable, socializing public services, modernizing content, organization, operations, administrative techniques, etc. This requires and allows the formation of a reasonable, compact, dynamic, capable, and highly effective state administrative apparatus.

Economic factors: In Vietnam, the process of transforming the economic model from an economic model operating under a centralized, bureaucratic, subsidized planning mechanism to a multi-sector commodity economic model operating under a market mechanism with State management in a socialist orientation has fundamentally and comprehensively changed


economic structure, management mechanism, economic component structure, ownership regime including the ownership and use of real estate. The changes in the basic economic model in recent years have created strong transformations and socio-economic development. It is the socio-economic development that has created conditions allowing all organizations and citizens to participate in real estate relations to contribute (or pay) for the use of public administrative services.

Characteristics of urban areas: Urban areas are centers of economics, politics, culture, society, science and technology, tourism, services, transportation, industry, trade and have a role in promoting the development of administrative units. Urban land prices are higher than rural areas, the state budget revenue from urban land resources is larger than rural areas. Housing and housing development are subjects that need to be managed in urban areas, especially apartment buildings. In addition, urban areas have a large number of housing funds with many forms of ownership, urban land management is placed in the overall general management, unified in planning, architecture, construction and environment. The model of urban land management organization is different from the model of rural land management organization, the internal structure and staffing of the departments of the urban land management apparatus are more complicated than in rural areas.

Science and technology factors: Science and technology have become a direct productive force and play a huge role in state management in general and real estate management in particular. The role of science and technology contributes decisively to perfecting management methods and increasing management capacity. The application of science and technology to state management has contributed to reducing the number of personnel in the management apparatus while still bringing high efficiency in management work.

- Factors affecting the internal environment

Management objectives and management functions: The objectives of urban housing and land management and the functions of management activities are the most important and fundamental factors affecting the organization of the functional structure of the management apparatus. With the goal of firmly grasping the land fund, housing, maintaining order in housing management, and developing the land fund in a sustainable manner, it requires a management organization model.


Real estate clearly defines the functions assigned to each department and organizes the management departments appropriately.

Characteristics of management activities: After clearly defining each function for each implementing department, research on the arrangement of the State management apparatus on real estate based on the characteristics of real estate management activities to propose the number and structure of personnel for departments of the management apparatus in a reasonable manner. The complexity, technical expertise and high professionalism of real estate management work have a significant impact on the qualification structure and career structure of the staff in the management departments. Real estate management is a system of specific methods that require the real estate management organization model to take into account the qualification and career structure of the staff in a proportionate manner.

Factors of ability and capacity of managers at all levels: Ability and capacity of managers affect the functional structure of management departments.

Factors of practical assessment and experience summary: Building a model of the real estate management apparatus, always consider the assessment of practical real estate management activities to find out the reasonable and unreasonable aspects of the apparatus model. Besides, there are factors of theoretical achievements and experience in the organization and management of many countries in the world that have been achieved for a developed democracy. Although countries have differences in political views and the class nature of each state regime, the current real estate management organization models in the world still contain reasonable factors from the perspective of technical organization and division of labor in the structure of the management apparatus.

d/ Principles for developing the organization of the State management apparatus on real estate

The organization of the State management apparatus on real estate must ensure compliance with the following basic principles:

Principle of a compact and highly efficient apparatus. The state management apparatus must be implemented in the direction of building a compact apparatus, with a centralized focal point but with effective administrative management and high efficiency. The transition to a purely state management function will be the core condition for streamlining the apparatus and thus improving the effectiveness and efficiency of management. The effectiveness of the organizational apparatus


The state management of urban real estate ultimately depends on the maintenance and care of the macroeconomic environment, ensuring guidance, orientation and effective support for the development of all organizations and individuals in the field related to urban real estate.

The principle of organizing the management apparatus ensures the unity of management, orientation and operation of the development of the whole industry, in accordance with economic relations. To overcome the negative consequences of the market mechanism, to stimulate the promotion of market advantages requires macro-management by the State, including ministries, ministerial-level agencies and functional agencies directly managing the industry. However, macro-management is only truly effective when it ensures the principle of unity of management, orientation and operation of the development of the whole industry and the whole national economy.

The principle of organizing the management apparatus is appropriate to the location of the industry. Urban real estate has the characteristics of limited area, fixed location, and includes many different types. Therefore, the organization of the state management apparatus for urban real estate must be given due attention. The above characteristics have created an important basis for establishing the apparatus along with management functions.

The management apparatus is organized according to the principle of balance and close coordination between departments in the apparatus. The organization ensures balance between departments, within each department, balance between tasks and powers, balance between types of cadres, balance between tasks and remuneration to make the management apparatus operate smoothly and harmoniously.

1.2.4.2. Human resource development

In the state management apparatus for urban real estate, officials are often arranged at the state management agency level for real estate from central to local levels to draft and issue legal documents guiding the organization and implementation of state management of urban real estate. In addition, in enterprises and organizations operating in the urban housing and land market, human resources to manage and operate units, organizations and individuals performing assigned functions and tasks

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