This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
TheStreet Open House

Hamid Moghadam, CEO And Chairman Of Prologis, Named National EY Entrepreneur Of The Yeara¢ 2013 Overall Award Winner

"I won't pat myself on the back for being smarter than other guys. We acted on what we saw," Moghadam said. "It's not just the ability to see trends, but the courage to do something about it. Many people, when faced with evidence that doesn't fit their thesis, stick their head in the sand."  

Right place, right timeMoghadam also moved against conventional wisdom when he began buying distribution facilities near global trade hubs — seaports, international airports and large metropolitan areas — while other real estate companies were building warehouses in low-cost areas. Moghadam failed to see the wisdom in building storage facilities in low-cost areas far removed from major population centers. So, AMB focused on acquiring distribution facilities and cargo buildings in major cities close to global trade centers.

AMB also pursued an alternative strategy with rapid growth markets in Brazil, Mexico and China, where the company aggressively developed facilities to store and deliver consumer products to the rapidly expanding middle classes in those countries.

Culture of empowered accountabilityMoghadam realized, along with his management team, that he could not run a $45 billion real estate company from the top down. To create a more nimble enterprise, Prologis is building what Moghadam calls a "culture of empowered accountability." Big corporations have inherent advantages of scale and extensive resources, he says. But eventually, employees at large companies become like "house cats because they don't have to fend for themselves."

To help local business leaders fend for themselves and win on the ground, Prologis gives them the leeway to make local investment decisions and then, once they are vetted, get them approved by corporate risk management teams.

To make sure everyone operates from the same playbook, Moghadam has instilled a strong sense of corporate values. "You can't write a 400-page manual for people to consult whenever they want to take action," he says.

2 of 4

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
DOW 17,132.10 +100.96 0.59%
S&P 500 2,000.09 +15.96 0.80%
NASDAQ 4,555.0710 +36.1690 0.80%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs