This video is a full guide on how to beat Warlord Khazard during the Tree Gnome Village Quest. The slides intro to the video contain all the relevant information needed. You can do most of the Grand Tree mission after this and just abandon it. If you beat the Grand Tree mission, then you can do Monkey Madness 1 mission, which lets you get the Dragon Schmitar.
This shows where the 3 tracker gnomes are, how to fire the Ballista, where Commander Montai is, where the Warlord Khazard is and what recommended level to beat him.