Brief Project Description
Businovskiy Meat Processing Plant was put into operation in 1991as a production base for public catering system of the city of Moscow; its specialization is manufacturing of quick-freeze semi-finished food products.
State Enterprise Businovskiy Meat Processing Plant was transformed to Open Joint-Stock Company Businovskiy MPP in December 1993.
As a result of complicated economic situation in this country and inefficient management policies from 1998 year on, the production rate was being reduced and eventually, the Plant's own products was ceased to be produced in 1999. Bankruptcy proceedings were initiated in 2000, and from 2000 till 2002 OJSC Businovskiy MPP was under trusteeship resulted in conclusion of amicable settlement agreement with creditors. The quick-freeze production was renewed in the Plant in 2002 after the purchase of the Plant by Agroholding Agros (a part of Interros Group) from AFK Systema. Generally, the enterprise operated in the red was being idle.
The Management Company of Rostok Group of Companies has been performing its production and commercial operations at the Businovskiy MPP since October 2006.
New Production and Commercial Program for the Plant Development has been designed; it consists of three stages:
Stage 1. Restructuring of the assets to ensure production efficiency and intensification of real property use (fulfilled);
Stage 2. Transformation of the Plant to Technopark to ensure effective use of the land plot with overstoried buildings;
enterprises on the basis of expanded space and capacities. This Program is necessitated by severe competition challenge in the sector of products manufactured by OJSC Businovskiy MPP, and pursuant to the policies of the Moscow City Government related to more reasonable and effective use of land in the city industrial areas, development of industrial potential and providing the Muscovites with jobs as also refusal to develop hazardous, dangerous and vulnerable to terrorist attacks productions.
Stage 3. Through significant increase in gross figures due to broadening of product line, the Program will ensure accomplishment of tasks related to technology modernization; stepwise refusal to use ammonia in the technology cycle with its further substitution by Freon; maintenance of positive development trends of the enterprise capitalization; intensification of use of the Plant's buildings and facilities.
The implementation of the Program will ensure quality new, up-to-date esthetic architectural image of the enterprise; based on the close location of the Businovskiy MPP to "Businovo" residential area will undoubtedly heighten attractiveness of this residential area resolving the problem of chaotic car parking alongside Businovskaya Gorka Street, the western boarder of the Businovskiy MPP due to organization of an underground parking for 100-120 parking places under the Plant's Main Building.
The Production and Commercial Program for transformation of the Plant to Technopark is a comprehensive one; it will ensure to perform a series of organizational, commercial, financial and credit, architectural and constructional activities.
Unprofitable production and commercial activities of the Businovskiy MPP have become profitable as a result of accomplishment of Program Stage 1. The enterprise has been out of crisis, the credit indebtedness of the Businovskiy MPP has been nullified. The production has been showing positive development trends for the latest period of less than one year with 15% monthly gain in production. The product line containing non-brand ‘unpacked' cheap items has been replaced by retail packed products under existing brands offering reasonable ‘price-quality' ratio. New progressive product group has been introduced such as a ready-to-eat dish (meat plus garnish plus sauce). The said group was manufactured by the Plant in the 90s to satisfy needs of industry-sponsored catering; however, it ceased to exist later. Nowadays, while manufacturing this product group (on new quality level for the microwave ovens) only for retail chains, the production volume has been reached in the amount of 150 tons per month in the beginning to current 600 tons per month. Today the production and sales volume has been reached in the amount 2 000 tons per month. The Plan's products have been popular with city; it has clear prospective growth.
At the moment, we are planning to perform restoration of the Plant's buildings to ensure more production and administrative space while retaining storage (with different temperature modes) space in order to form the growth potential during Stage 2. Concurrently, we are going to perform works on stepwise replacement of ammonia facilities by the alternative more safe types of refrigeration equipment.
The Plant's complex of buildings may be divided in to 3 compactly located parts for our purpose:
1. Administrative space;
2. Production space;
3. Storage space.
Such division will allow high labor efficiency and effective use of fixed assets in compliance with ecologic, sanitary and epidemiologic regulatory norms, more effective distribution of transport vehicles across the territory of the enterprise, organization of loading/unloading works and car parking zones, and general improvement of production process ergonomics including reception of raw materials and loading of finished products.
Purchase and putting into operation of new production lines for manufacturing of quick-freeze fries, garden sauces and quick-freeze baked goods are being planned during the Program Stage 3. Additionally, there has been set up a task to enlarge production of ready-to-eat dishes oriented to satisfy needs of city public catering including school and preschool catering and food servicing of plants and factories. During Stage 3 the purposeful activities will continue to be performed by the Plant related to engagement of new food and technology productions from among the district's small enterprises and venture projects including those dealing with software products and nanotechnologies to establish as ort of business incubator.