Focus on Internal Governance to Promote High Quality Sustainable Development
—— CIREA Held

2023 Annual Conference of China Real Estate Appraisal

To head the appraisal companies to continuously strengthen the internal governance system, improve governance capacity, prevent resolve risks, and achieve high-quality and sustainable development of the industry. On December 27th, China Institute of Real Estate Appraisers and Agents (CIREA) held the 2023 Annual Conference of China Real Estate Appraisal in Beijing with the theme of "Internal Governance and High-quality Sustainable Development".

Mr. Zhou Tao, First Level Counsel of Ministry of Housing and Urban-Rural Development of PRC attended the conference.

Dr. Chai Qiang, President of CIREA, delivered a keynote speech at the Annual Conference. Mr. Zhao Xinming, Vice President and Secretary General of CIREA, hosted the opening ceremony.

On July 24th, The Political Bureau of the Central Committee held the meeting, and made the major judgment to "Adapting to the new situation of changes in the supply and demand relationship of China's real estate market ".

The just-concluded National Housing and Urban-Rural Development Work Conference made a series of decisions and deployments such as building a new model of real estate development, actively promoting urban renewal actions, and steadily promoting carbon peak work in urban and rural construction. The development of China real estate appraisal industry has entered a period of strategic opportunities and risk challenges.

Under the new situation and new opportunities, it is particularly important to strengthen the internal governance of the enterprise, which not only helps the enterprise to effectively respond to the market changes, safeguard the steady operation of the enterprise, but also the key to building up the enterprise value, establishing the reputation of the enterprise, and achieving the high-quality and sustainable development. In recent years, many appraisal companies have conducted useful exploration in internal system construction, partnership mechanism establishment, talent training, and institutional inheritance, etc., and achieved certain results. However, the appraisal agencies still need to further strengthen the management in terms of the turnover of old and new management, talent cultivation and incentives, and appraisal risk prevention.

President Chai Qiang introduced in his speech that the theme of the Conference is "Internal Governance of companies ", which aims to promote high-quality and sustainable development. He pointed out that in the current situation the development of real estate appraisal industry is not good enough, the majority of real estate appraisal companies should take advantage of this period of time to repair, review, outlook, make up for shortcomings, weaknesses, plugging the loopholes, ready to set off again, moving forward, and rise to a new level.

At the same time, the general idea of the internal governance of the appraisal institution is put forward: Firstly, the state of mind: always be aware of the danger, and have the confidence of the development. Secondly, the development of a concept: adhere to the professionalism, develop mentalism. Thirdly, the development strategy: take the market-oriented, consulting, scientific development road. Fourthly, the development path: adhere to the development process of excellence, long, strong and large. Fifthly, the innovation, transformation and upgrading: on the one hand, do not be a stick-in-the-mud, on the other hand, not for innovation and "innovation".

 President Chai Qiang put forward several suggestions on the specific contents of internal governance, from the aspects of system mechanism, successor talents, management means, internal system, corporate culture, etc., such as to think deeply about how to attract, cultivate and retain talents, especially young talents, how to build a high-quality professional appraisers team, how to treat retention, career retention, and emotional retention, explore the master-apprentice system, cultivate successors, and have a smooth transition and inheritance. Focus on the digital transformation, the application of modern project management tools, and the development of the project management tools, and performance evaluation methods. The construction of corporate culture should not be profit-oriented, advocate upward and good, practice ESG concepts, and avoid excessive commercialization.

Representatives of real estate consultants and appraisal companies, such as Colliers International, Realhom, Shanghai Fushen, Shenzhen WorldUnion, Sichuan Hengtong, Shanghai Urban Surveyors, Suzhou Tianyuan, Guangdong Guozhonglian, Shenzhen Guoce, Shanghai Liancheng Hong, other principals from renowned real estate appraisal companies and consultancy etc., gave keynote speeches focusing on the status quo of internal governance of the current appraisal companies, the problems and the way to improve, the path to cultivate talents of the appraisal companies, partnership system and other incentives, the inheritance and development of appraisal companies, digital transformation of appraisal companies and other major topics. Mr. Yan Xudong, vice president of CIREA and honorary chairman of Beijing Renda Real Estate and Assets Appraisal Co., Ltd. presided over the afternoon keynote speech and the round-table dialogue with the theme of "Discussion and Sharing of Effective Paths of Internal Governance". 7 principals from renowned real estate appraisal companies shared and discussed major issues of concern to the industry on the connotation and problems of internal governance, chief appraisal system, inter-generational inheritance and talent cultivation, quality management, practice risk management, practical experience of digital transformation, and apprenticeship system for appraisals.

Based on the theme of the annual conference, an essay solicitation activity was also carried out, which was strongly supported by the majority of real estate appraisers, relevant experts and scholars, local industry organizations, and totally received more than 320 essays.

More than 600 principals from real estate appraisal companies, organizations, and internationally recognized real estate consultancy across China attended the conference.