In a situation where the appointment of advisors and managers by direct order of Mohammad Shariatmadari in Persian Gulf Holding has imposed significant costs on the organization, a directive for savings in various administrative units of this organization has been issued. This directive was issued following damage to some of the infrastructure of petrochemical companies belonging to this holding and presents a clear contradiction with Shariatmadari's cost-incurring management style over the years.
Reasons for Implementing New Policies
In this notification, damages from military attacks on some petrochemical complexes and the reduction of company revenues are cited as the main reasons for implementing new policies. According to this directive, subsidiary companies are required not to exceed their administrative and support costs beyond the performance level of the year 1404. Additionally, the purchase of hospitality items, organizational gifts, non-essential equipment, execution of office decoration projects, use of first-class and business-class flights, and utilization of ceremonial services have been banned or severely restricted.
New Restrictions
In another part of this directive, restrictions are foreseen for the payment of unnecessary bonuses, domestic and foreign missions, holding conferences, exhibitions, printing paper publications, purchasing or renting vehicles, conducting training courses outside the company, cultural and sports tours, and also recruiting new personnel. It is also emphasized that any new investment, real estate transactions, or contracting with legal advisors outside the determined regulations will require obtaining the necessary permits.
Supervision and Performance Evaluation
According to this notification, the precise implementation of the directive must be reviewed and approved in the first board meeting of all subsidiary companies, and financial managers and internal auditors are also required to monitor its proper implementation monthly. Additionally, the amount of cost reduction for each company will be recorded in the 1405 budget and reported to the group management so that the companies' adherence to these policies will be assessed as one of the performance evaluation indicators for managers.
Criticism of Shariatmadari's Management
The question critics pose is that if Mohammad Shariatmadari genuinely intends to reduce current expenses in the holding, why doesn't he reduce the number of advisors whose qualifications and outputs in this organization, hired with high salaries, are unclear. This question directly challenges Shariatmadari's performance, who has been known as a high-cost manager since his arrival at Persian Gulf Holding, and this is evident in turning subsidiary companies into places for hiring his affiliated news and staff forces.
