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Enterprise Pillar
E2 Enterprise Management
28 February 2013 - Thursday Session
Instructions to candidates
You are allowed three hours to answer this question paper.
You are allowed 20 minutes reading time before the examination begins
during which you should read the question paper and, if you wish, highlight
and/or make notes on the question paper. However, you are not allowed,
under any circumstances, to open the answer book and start writing or use
your calculator during this reading time.
You are strongly advised to carefully read all the question requirements
before attempting the question concerned (that is all parts and/or subquestions).
ALL answers must be written in the answer book. Answers or notes written
on the question paper will not be submitted for marking.
ALL QUESTIONS ARE COMPULSORY.
Section A comprises 5 questions and is on pages 2 to 4.
Section B comprises 2 questions and is on pages 5 and 6.
The list of verbs as published in the syllabus is given for reference on page 7.
Write your candidate number, the paper number and the examination subject
title in the spaces provided on the front of the examination answer book. Also
write your contact ID and name in the space provided in the right hand
margin and seal to close.
Tick the appropriate boxes on the front of the answer book to indicate which
questions you have answered.
DO NOT OPEN THIS QUESTION PAPER UNTIL YOU ARE TOLD TO DO SO
TURN OVER
The Chartered Institute of Management Accountants 2013
SECTION A 50 MARKS
[You are advised to spend no longer than 18 minutes on each question in this section]
ANSWER ALL FIVE QUESTIONS IN THIS SECTION

Question One
Whilst the managers within FS Company's finance department have excellent technical skills,
the Finance Director is keen to enhance their people management skills. Rather than ask the
HR Department to do the training, he has decided that each manager should lead a workshop
on a particular people management theme.
As one of the managers in the department, TF has been given the task of briefing her
colleagues on the importance of having a company disciplinary procedure as part of its internal
control system. The briefing will also cover the issues associated with employee dismissal.
Required:
(a)
Explain what TF should include in her briefing on the reasons why FS Company
should have a disciplinary procedure as part of its internal control system.
(6 marks)
(b)
Describe the main reasons, which TF could include in her briefing, when the
dismissal of an employee could reasonably be considered to be fair.
(4 marks)
(Total for Question One = 10 marks)
Question Two
J, the Finance Director, is preparing for an important negotiation with P, the Marketing and Sales
Director, regarding the way the company's sales targets will be set in the future. Whilst he is
confident that he has a good case, he knows that having effective communication skills will be
vital to the success of the forthcoming negotiation.
Required:
Explain to J the potential barriers to effective communication in the negotiation process and
how they can be overcome.
(Total for Question Two = 10 marks)
Section A continues on the opposite page
Enterprise Management
March 2013
Question Three
Required:
Explain the advantages AND disadvantages of having a matrix structure for managing a
project.
(Total for Question Three = 10 marks)
Question Four
FLF is a courier company based in Z Country which offers direct document and parcel express
delivery services for commercial customers. It prides itself not only on its reliability but also its
service in relation to customer convenience by picking up documents and parcels from its
customers' home or business addresses. The company has established an excellent reputation
for fast collections and on-time delivery. Its vision is to be known as the number one choice and
best value courier company for all businesses in Z Country.
Required:
(a)
Explain the reasons why FLF should undertake competitor analysis.

(6 marks)
(b)
Describe what is involved in benchmarking and how it could help FLF, as part of its
competitor analysis.
(4 marks)
(Total for Question Four = 10 marks)
Section A continues on page 4
TURN OVER
March 2013
Question Five
LG, the Managing Director of NWP Company, recently announced to the workforce that the
Board had agreed to the establishment of a set of new working practices which should lead to
improved productivity. The new working practices will mean the introduction of weekend working
and the rotation of shifts for all workers.
The senior management of NWP Company consider the changes to be necessary if the
company is to survive the very difficult operating conditions it is currently facing. However, the
announcement has led to conflict between management and workers, and the workers are now
threatening industrial action.
Required:
Discuss the different strategies that LG could use to manage the conflict occurring in NWP
Company.
(Total for Question Five = 10 marks)
(Total for Section A = 50 marks)
End of Section A
Section B starts on the opposite page
March 2013
SECTION B 50 MARKS
ANSWER BOTH QUESTIONS FROM THIS SECTION 25 MARKS EACH
Question Six
T Company has identified a need for, and made a decision to open, a new training centre in one
of the major cities in E Country. This is a large scale project for T Company and it needs to
make sure that the project for finding and developing the centre is delivered successfully, since
this is a major investment for T Company. It does not want to make an expensive mistake. In
order to maximise revenues the centre needs to be completed and open within a six month time
scale. The company understands that large scale projects usually follow a lifecycle made up of
separate phases which occur in sequence.
Required:
(a)
Explain to T Company what should happen at the project initiation stage of the
project lifecycle for the training centre project.
(15 marks)
(b)
Explain how the techniques of PERT (Project Evaluation and Review Technique),
scenario planning and buffering could be used in project management with specific
reference to the time scale aspect of the new training centre project.
(10 marks)
(Total for Question Six = 25 marks)
Section B continues on page 6
TURN OVER
March 2013
Question Seven
LD is the owner and manager of her own florist business, LD Flowers. Although starting out
initially as a hobby, it has developed into a sustainable business. LD's original business was
based on using only flowers from her garden, but as the business has grown she has been
forced to seek alternative supplies of flowers. However, she has remained loyal to her ethical
stance by choosing and buying her flowers only from local growers that she knows. She feels
that this, together with her particular design of contemporary flower arrangements, differentiates
LD Flowers from the other local florists and supermarkets which tend to offer more traditional
arrangements using flowers imported from overseas.
In the beginning, LD sold her flower arrangements primarily at local markets, occasionally
getting commissions from family and friends. Subsequently, she has been successful in entering
the wedding business, providing flowers for the wedding venue as well as bridal bouquets. She
has also recently won a contract to supply flower arrangements to a local hotel chain, which was
impressed with her contemporary approach to flower arranging.
As the owner of a successful small business, LD has received an invitation to an event
promoted by her bank on the need for formal strategic planning in small businesses. However,
she has politely declined to attend the event on the basis that she has not needed to undertake
such planning herself and hence does not think that the content of the session will be relevant to
her business. Instead, she feels that it is better to let the strategies for her business emerge.
Required:
(a)
Explain the theoretical principles of the Resource Based View (RBV), and the extent
to which LD's business, LD Flowers, has developed its competitive advantage by
using the RBV.
(13 marks)
(b)
Discuss whether or not LD is right to be doubtful about the relevance of formal

strategic planning for her business.
(12 marks)
(Total for Question Seven = 25 marks)
(Total for Section B = 50 marks)
End of Question Paper
March 2013
LIST OF VERBS USED IN THE QUESTION REQUIREMENTS

A list of the learning objectives and verbs that appear in the syllabus and in the question requirements for
each question in this paper.
It is important that you answer the question according to the definition of the verb.
LEARNING OBJECTIVE
Level 1- KNOWLEDGE
What you are expected to know.
Level 2 - COMPREHENSION
What you are expected to understand.
VERBS USED
DEFINITION
List
State
Define
Make a list of
Express, fully or clearly, the details of/facts of
Give the exact meaning of
Describe
Distinguish
Explain
Identify
Communicate the key features

Highlight the differences between
Make clear or intelligible/State the meaning or purpose of
Recognise, establish or select after
consideration
Use an example to describe or explain
something
Illustrate
Level 3 - APPLICATION
How you are expected to apply your knowledge.
Apply
Calculate
Demonstrate
Prepare
Reconcile
Solve
Tabulate
Level 4 - ANALYSIS
How you are expected to analyse the detail of
what you have learned.
Level 5 - EVALUATION
How you are expected to use your learning to
evaluate, make decisions or recommendations.
March 2013
Analyse
Categorise
Compare and contrast
Put to practical use

Ascertain or reckon mathematically
Prove with certainty or to exhibit by
practical means
Make or get ready for use
Make or prove consistent/compatible
Find an answer to
Arrange in a table
Construct
Discuss
Interpret
Prioritise
Produce
Examine in detail the structure of

Place into a defined class or division
Show the similarities and/or differences
between
Build up or compile
Examine in detail by argument
Translate into intelligible or familiar terms
Place in order of priority or sequence for action
Create or bring into existence
Advise
Evaluate
Recommend
Counsel, inform or notify

Appraise or assess the value of
Propose a course of action
Enterprise Pillar
Management Level Paper
March 2013
Thursday Session
March 2013
E2 - Enterprise Management
March 2013 Examination
The Examiner's Answers
Some of the answers that follow in Sections A and B are fuller and more comprehensive
than would be expected from a well-prepared candidate. They have been written in this way
to aid teaching, study and revision for tutors and candidates alike
These Examiner's answers should be reviewed alongside the question paper for this
examination which is now available on the CIMA website at www.cimaglobal.com/e2papers
The Post Exam Guide for this examination, which includes the marking guide for each
question, will be published on the CIMA website by early April at
www.cimaglobal.com/e2PEGS
SECTION A
Answer to Question One
Rationale
This question tests candidates' understanding of the disciplinary procedure as part of
organisational control and the reasons for employee dismissal. It examines learning outcome
C2(d) 'identify tools for managing and controlling individuals, teams and networks, and for
managing group conflict '.
Suggested approach
The first part of the answer should explain the range of reasons for having a disciplinary
procedure. The second part of the answer should provide examples of when employee
dismissal is reasonably considered to be fair.
Good answers will provide comprehensive reasons for having disciplinary procedures, along
with example of when dismissal is fair. Weak answers will provide only a couple of reasons
for both parts.
Requirement (a)
TF could start by explaining that a disciplinary procedure can be considered to be part of an
organisation's human resources control system, and as such will contribute to the overall
effectiveness and performance of the organisation.
She could then go on to explain that maintaining the discipline of employees is an integral
part of the effective management of people. TF should mention that the main reason for
taking disciplinary action is to achieve a change in behaviour when an employee's conduct is
March 2013
below acceptable standards, specifically to encourage improvement in an employee's

performance. In this sense, having a disciplinary procedure acts as a control mechanism
where work norms have not been adhered to by employees and which would cause problems
for the organisation if no remedial actions are available. She could provide some examples of
this; for instance if staff are either constantly late for work or refuse to carry out a legitimate
work assignment. If these are not addressed they will have a negative impact on
organisational performance as well as having a potential negative impact on other colleagues.
TF could make reference to the fact that in the UK there is a statutory procedure which FS
Company must follow as a minimum if it is considering dismissal of an employee or imposing
penalties short of dismissal such as suspension without pay or demotion. She could point out
that the employer has a legal obligation in terms of compliance, to ensure its disciplinary
procedure meets with statutory requirements.
TF could explain the implications if FS Company does not follow the statutory procedure.
Should the case go to an employment tribunal, the judge will automatically find the dismissal
unfair. This could result in expensive legal fees, as well as the costs associated with
management time spent preparing for the tribunal. So TF could point out that having a formal
disciplinary process can save money in terms of both any legal costs and possible
compensation costs.
Other reasons TF could mention for having a disciplinary procedure in place is to protect the
company image; FS Company does not want to be associated with a poor disciplinary record,
which could impact negatively on recruitment of new staff with people not wanting to work for
such a company.
She could also refer to the disciplinary process serving to preserve the well being of
employees and others, particularly in terms of equity of treatment, employee morale, trust and
motivation.
Requirement (b)
TF could first explain that dismissal is the termination of employment with or without notice by
the employer. She should then provide examples of the instances when it is normally fair for
an employer to dismiss employees. In this regard she could make reference to the following:
The employee is made redundant because of cessation of the business, or the

business in the place where the employee was employed; or the cessation of the type
of work for which he or she was employed;
The conduct of the employee, which usually means an employee has broken one or
more of the terms of employment. For example, continually missing work, poor
discipline, drug or alcohol abuse, theft or dishonesty.
The employee's capability to perform the job, which means the employee is not
performing to the required standard and cannot do the job properly. For example,
the employee is not able to keep up with technological changes to the job (e.g.
introduction of computerised systems).
Some other substantial reason applies to a situation where the employer has an
overwhelming reason to dismiss. For example, imprisonment; irresolvable personality
clash between the employee and a co-worker; unreasonably refusing to accept a
company re-organisation that changes the employment terms.
[Other reasons that TF could include - a statutory duty or restriction; illness]
March 2013
Answer to Question Two

Rationale
This question tests candidates' ability to explain the importance of effective communication
skills in the negotiation process. It examines learning outcome C2(b) 'discuss the roles of
negotiation and communication in the management process, both within an organisation and
with external bodies'.
Suggested approach
Answers could use the communication process model to explain the potential barriers to
communication, linking to the different stages in negotiation. Reference should be made to
how the barriers can be overcome.
Good answers will explain the different elements of the communication process in terms of
potential barriers with specific reference to the different stages in the negotiation process
along with reference to how to overcome the barriers. Weak answers will give a superficial
explanation of barriers to communication but not in the context of negotiation.
In explaining the potential barriers to communication in negotiation and how to overcome

these, it would be helpful to refer J to the communication process model.
NOISE
SENDER
Coded Message
Medium Channel
Message
Decoded
RECEIVER
Process of Communication
With reference to the model, there are a number of possible barriers to effective
communication in the Finance Director's negotiation with the Marketing and Sales Director.
At the preparation stage of the negotiation J first needs to consider himself in terms of the
sender of the messages. He should define the purpose of his message with P, the receiver, in
mind and select the most appropriate language and medium for the message. For the
negotiation this is likely to be face-to-face. J needs to have a clear objective of what he wants
to achieve from the communication which, in this case, will be a successful negotiation
outcome.
During the opening stage and the bargaining stage of the negotiation process J must ensure
that his messages are not too complex or poorly expressed, otherwise they may not be fully
understood by P. J also needs to take care not to cause confusion in the communication
process through the over use of jargon or lack of fluency of his message. He needs to code
his messages in a way that is understood by his audience. He needs to be able to
communicate his case clearly in a planned and logical way or else P may not pick up the
principal elements of the message, especially important in the bargaining process.
During the negotiation it is important that Js non-verbal communications reinforce his verbal
messages and do not undermine them. The medium channel for the negotiation will be
through face-to-face discussion so he needs to ensure that all elements of communication, for
instance words used, tone and non-verbal signals (gestures, facial expressions, and posture)
all fit with, rather than contradict each other, so as not to confuse P.
J needs to anticipate possible reactions during the negotiation process by the Marketing and
Sales Director to the message regarding changes to the way sales targets are set. He should
also be aware of individual bias and selectivity by P. This occurs because often people hear
March 2013
and see what they want to, particularly in negotiation. P, as the receiver, may have a different
set of expectations from J regarding the setting of sales targets. Throughout the negotiation it
will be important to minimise this problem by ensuring that communication is two ways. J
should encourage feedback from P to check out that the message has been correctly
understood and interpreted. This will be particularly important at the closing stage of the
negotiation when it is vital that the communication is correctly received so as to ensure each
party is clear and in agreement with the outcome reached.
J should also be aware of noise that can occur in the communication process. This refers to
any distractions or interference in the environment in which the communication is taking place
and which can impede the transmission of the message. It happens when the message
becomes distorted by extraneous factors between J and P, such as distractions in the
negotiation environment and information overload during the negotiation.
The overriding aim in terms of having effective communication skills is to achieve a win-win
outcome from the negotiation.
March 2013
Answer to Question Three

Rationale
This question tests candidates' appreciation of the use of a matrix structure for projects. It
examines learning outcome B1(g) 'identify structural and leadership issues that will be faced
in managing a project team'.
Suggested approach
Answers should develop to explain the advantages and disadvantages of having a matrix
structure for managing a project.
A weak answer will describe a matrix structure with limited explanation of advantages and
disadvantages.
A good answer will provide a comprehensive explanation of the advantages and
disadvantages of a matrix structure in the context of a project.
For projects that require a range of skills and involvement of staff from different functions a
matrix structure is likely to be used. Whilst there are advantages associated with using a
matrix structure for projects there are also some criticisms and disadvantages.
The advantages of using a matrix structure for managing a project include:
For a project which cuts across boundaries of functional areas, a matrix structure brings
together a wide range of expertise on the project team. From an employee perspective it can
facilitate the development of new skills by exposing employees to organisation-wide problems
and decisions.
Lateral communication and co-ordination is improved between specialists working on the
project. Direct contact between staff encourages problem solving and allows employees to be
involved in the decisions for the project customer.
Exposing employees to greater participation, planning and control issues tends to make the
project team more customer and quality focused. Adopting a matrix structure creates flexibility
across the project with the aim of speedy implementation. This will increase the project's
customer satisfaction.
There are a number of disadvantages of using a matrix structure. For example:
One of the main problems with a matrix structure is associated with a lack of clear
responsibility and potential clashes and tensions between the different priorities of the project
tasks and the specialist functions. Functional managers may feel that their authority has been
diluted.
The individual employee will have two bosses and hence may end up being confused and
stressed by conflicting objectives or ambiguous roles. It may be difficult for the employee to
decide whose work should take precedence. They might choose the priority based on self
interest (for instance, the boss who authorises their salary and benefits) rather than one
where the interest of the project is best served. The project manager may be reluctant to
impose authority as he or she may possibly be subordinates in later projects.
Due to the prioritisation of tasks and dual responsibility, employees will spend a lot of time in
meetings with both the project team and the functional department. These meetings will have
both a time and a cost implication to the company.
The complexity of the matrix structure can often make it difficult to implement. Inevitably
conflicts will arise due to differences in the backgrounds and interests of staff from different
functional areas.
March 2013
Answer to Question Four

Rationale
This question tests candidates' understanding of the nature of competitive environments. It
examines learning outcome A1(b) 'distinguish between different types of competitive
environments'.
Suggested approach
Answers to the first part of the question should develop to explain the different purposes of
undertaking competitor analysis. Answers to the second part of the question could start with a
brief description of what is meant by the term benchmarking and then develop to describe
how benchmarking could help FLF Company.
A good answer will provide a comprehensive explanation of the different purposes of
competitor analysis. The description of how benchmarking could help FLF Company will draw
on the scenario to provide relevant examples. A weak answer will provide a narrow
explanation of the purpose of undertaking competitor analysis, and will describe
benchmarking, but not in the context of the scenario.
Requirement (a)
Referring to CIMA's definition, competitor analysis is concerned with the identification and
quantification of the relative strengths and weaknesses of a company, when compared with
its competitors or potential competitors, which will be of significance in the development of a
successful competitive strategy.
Developing on the themes contained within this definition, collecting information on
competitors will enable FLF Company to appreciate its own competitor advantages and
disadvantages relative to its competitors. Undertaking competitor analysis will also assist FLF
Company in predicting the potential future strategies of its competitors and help it in
determining what it should do to counteract competitor strategies. In addition, it would also
help FLF Company to better understand the possible reactions of competitors to its own
strategic decisions made to sustain its competitor advantage.
As well as identifying competitors' current strategies, competitor analysis will involve the
identification of competitors' resources and capabilities. This would aid FLF Company in
determining what its competitors are capable of doing in the future. A knowledge of its
competitors' objectives will also be an important part of the analysis for FLF Company, since
this will provide it with an appreciation of the likely future behaviour of its competitors.
Undertaking competitor analysis will provide information on the number of competing firms in
FLF's industry. This is important since it will impact on the level of choice for customers and
the nature of competition, for example, in terms of the differering pricing structures. Finally,
competitor analysis will reveal how easy or difficult it is for new firms to enter the courier
industry (i.e. are there high or low barriers to entry to the courier industry). This will help FLF
Company assess the likelihood of new competitors entering the market and the intensity of
competitive rivalry.
Requirement (b)
Essentially benchmarking involves a company evaluating its own performance against
competitor groups and the best practice in the industry on selected key performance criteria.
In the case of FLF Company, this will help it in the development of its future plans, and if
necessary to identify where it needs to improve on specific aspects of performance if it is to
achieve its vision of being number one and the best in the sector.
FLF Company could benchmark itself on a range of criteria including, for instance, strategic
benchmarks such as market share (i.e. what proportion of the courier market does FLF
Company have) since this would help it to know how close it is to being number one in the
March 2013
courier industry in terms of number of customers. It could use financial benchmarks such as
return on assets or gross profit margin on sales.
It could also benchmark itself on functional benchmarks which it believes are critical to
customer choice, such as the percentage of collections and deliveries of parcels on time
(particularly since it positions itself as being best for reliability in the marketplace).
March 2013
Answer to Question Five

Rationale
This question is designed to test candidates' appreciation of the different strategies available
to resolve a conflict. It examines learning outcome C1(d) 'discuss alternative approaches to
the management of conflict'.
Suggested approach
The answer could start by explaining that the conflict occurring is vertical. It should then
explain each of the different strategies that could be used to manage the conflict.
Good answers will be contextualised with reference to the scenario information when
explaining the different strategies that could be taken to manage the particular form of conflict
occurring. Weak answers will provide a general discussion on conflict with only a couple of
specific conflict handling strategies referenced.
There are a number of different ways LG could handle the vertical conflict in NWP Company
which is occurring as a result of the announcement to introduce new working practices. For
example, he could make use of the five conflict handling strategies identified by Thomas
which are based on two conflict management dimensions:
the degree of assertiveness in pursuit of ones interests, and

the level of cooperation in attempting to satisfy others interests.
The strengths of each of these in a particular situation can be regarded as lying along two
continuums respectively.
LG could use the avoidance strategy. This is where one or more parties in conflict may seek
to avoid, suppress or ignore the conflict. This would not be recommended in the case of NWP
Company since it does not resolve the conflict. It could therefore impact negatively on the
future survival of the company if the support to the new working practices is not resolved
since industrial action would remain a possibility.
An alternative strategy LG could us is accommodation. This would involve one party putting
the others interests first and suppressing their own interest in order to preserve some form of
stability or to suppress the instability. Again, in the case of NWP Company, this is not
recommended since this strategy is unlikely to resolve the differences of the management
and employees relating to the new working practices to the satisfaction of both parties.
LG could use the conflict handling strategy of compromise. This is often viewed as an
optimum strategy since it involves each party giving something up and a deal somewhere
between the two is accepted. For NWP Company this approach might be used between
management and the workers, for example, to determine the number of hours needed to be
worked at the weekend, and an enhanced reward for working over the weekend.
Another conflict handling strategy is competition. This is a state where both or all parties do
not cooperate. Instead they seek to maximise their own interests and goals and so end up
creating winners and losers. This approach is not recommended for NWP Company since it
can prove damaging both to the organisation and to workers now and in the future.
The fifth approach LG could use to handle the conflict is called collaboration. This is where
the differences between the management and the workers are confronted and jointly
resolved, with a win-win outcome achieved. Whilst this is also viewed as a favourable
approach to managing conflict, it is not always possible. For instance, the new working
practices proposed are needed to improve productivity and actions will need to be taken
collaborating with the workers to work out how these new working practices can be
implemented. This will only be successful if the workers accept the need for the new working
practices and are prepared to collaborate on the how they are introduced.
March 2013
SECTION B
Answer to Question Six
Rationale
Requirement (a) tests candidates' appreciation of the initiation stage of the project lifecycle. It
examines learning outcome B1(c) 'construct an outline of the process of project
management'. Requirement (b) tests candidates' appreciation of the PERT, scenario planning
and buffering as part of the planning process of project management. It examines learning
outcome B1(e) 'apply key tools and techniques, including the evaluation of proposals'.
Suggested approach
(a) A good answer will explain what happens at the initiation stage and relate this to the
project. A weak answer will discuss the content at a general level and will not develop the
answer in the context of the scenario.
(b) A good answer will show clearly how the tools can be used in the new training centre
project. A weak answer will show little understanding of the contribution these tools can make
to the planning process.
Requirement (a)
It is important for T Company to understand what should happen in the initiation stage of the
new training centre project. Projects are initiated when a need or objective is defined. For T
Company it has identified the need for a new training centre in a major city in E Country.
There are a number of consideration which should be made at this stage of the project
including:
Project Requirement
Project Feasibility
Risk Management
The development of an outline proposal should include a statement of the project

requirement, in other words what is expected of the project and in particualr the reason for
what is being developed. This aspect of intiation is important because if the project
requirement for the new training centre is clearly set out at the outset, then the project should
have a greater chance of success.
Another important part of the project initiation stage is establishing project feasibility. The
project, once initatiated, will consume large volumes of resources, both financial and nonfinancial, and so the feasibility study should explore a number of potential premises and
options for T Company's new training centre.
The feasibility report for T Company might contain:
The objectives of the feasibility report which would lead to a recommendation whether
the project should proceed or not.
The scope of the study which will be the terms of reference for the feasibility which
will be to look at whether the new training centre project can be delivered
successfully.
Any constraint that applies to the study. This might include a time constraint for the
completion of the feasibility report.
March 2013
The client of the study. This will be the person in T Company that will sign off the final
product.
The resources available for the feasibility study. This defines the people, equipment
and budget available for the study costs.
The types of feasibility that T Company will need to be consider includes:
Technical feasibility, for instance this might involve detailing the available technology
required to deliver the training courses and the equipment required for the admissions
and administration staff based at the centre.
Operational feasibility, for example, the number of people required both during the
project and after completion.
Economic feasibility - a cost benefit analysis of the costs to be considered in the

project such as:
Capital costs - any costs that T Company incurs in the acquisition of assets like the
computer equipment and the costs of installation.
Revenue costs - any costs for the operation of the training centre such as rent and
rates and costs of consumerables.
Finance costs - any interest charges on any money that might have been borrowed
for the project.
It will also be important for T Company to identify any risks associated with the new training
centre project in terms of quantitative and qualitative risk and socially constructed risk. Once
the risks have been identified, approaches to how the various risks can be managed should
be considered (i.e transfer, avoid, reduce, accept).
At the end of the project initiation stage a Project Initiation Document (PID) should be
produced. (This is sometimes referred to as the Project Charter). The PID should define the
overall mission, scope and deliverables required, and the role and responsibilities of the the
new training centre's project stakeholders. This will provide the overriding terms of reference
for the life of the project, hence acting as a base document against which progress and
changes can be assessed.
The PID for T Company might contain:
The purpose statement which will explain why the new training centre is necessary.
This should put boundaries on the new training centre project by outlining the major
activities for the project. This might include;
o
o
o
Finding the new premises for the training centre

Refurbishment
Selection and implementation of technical equipment
Cost and time estimates. This might include when the new training centre project
needs to be completed and financial details relating to expectations of the project
budget.
Project constraints which will include that the training centre has to be open within a
six month timescale.
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10
A list of the influential stakeholders in the project. This is important as T Company

does not want any disruption to the project. Understanding the key stakeholder needs
should minimise any disruption to the new training centre project.
A project organisation structure. It is important that everyone on the new training

centre project understands their role and responsibility. This should help to minimise
conflicts and the start of ensuring appropriate control mechanism are in place for
successful completion.
Requirement (b)
PERT
This can be used to overcome the uncertainties over times taken for individual activities in a
network diagram. Unless a similar project has been undertaken before then timings set for
each activity can be very uncertain. The technique is designed to account for uncertainty in
the project lifecycle.
Each task is assigned a time:
An optimistic (best) time on the duration of the new training centre project if the
conditions were ideal.
A probable time if conditions were normal or as expected.
A pessimistic (worst) time which is the duration it would take if a number of things
went wrong.
These estimates are then converted into a mean time and standard deviation which means it
is possible to establish the duration of the new training centre project using the expected
times, but also to calculate a contingency time allowance.
Scenario Planning
Wherever risk is identified as taking the form of alternative outcomes, a series of contingency
or scenario plans may be constructed for each alternative.
Scenario planning involves considering one or more sets of circumstances that may occur
other than the most likely or expected set of circumstances used to prepare the budget or
plan for a project. For T Company, for example, the delivery of the equipment might be
delayed, or there may be problems with the installation of the equipment taking longer than
anticipated. Each set of assumptions is then tested to establish what the outcome would be if
those circumstances were to actually occur.
To plan for possible uncertainties T Company could construct contingency or scenario plans.
This would require T to look at the various activities involved in the new training centre project
and have alternative contingency/scenario plans ready to minimise the possible risk
associated with the project activities, which T Company could switch to if needed.
Buffering
A more simplistic way to incorporate risk is by adding artificial slack into risky activities. It
adds padding to the original estimates and allows for the fact that it can be very difficult to
ensure that all stages and activities are carried out exactly as planned. This is known as
buffering but should not be encouraged by T Company because it leads to a build-up of slack
in the programme and may lead to complacency.
11
March 2013
Answer to Question Seven

Rationale
Requirement (a) tests candidates' understanding of the principles of the Resource Based
View. It examines learning outcome A2(a) 'discuss concepts in established and emergent
thinking in strategic management'. Requirement (b) tests candidates' appreciation of formal
strategic planning and its relevance to small businesses. It examines learning outcome A2(b)
'compare and contrast approaches to strategy formulation'.
Suggested approach
(a) Answers should start by explaining the principles of the RBV to achieving sustainable
competitive advantage. The principles should then be used to assess the extent to which the
scenario organisation's competitive advantage is based on the RBV.
Good answers will make reference to theory of the RBV, and use the criteria to discuss the
scenario organisation's approach. Weak answers will give a simplistic overview of the RBV
but without application to the scenario organisation.
(b) Answers could start by providing a brief explanation of the formal approach to strategic
planning. They should then develop to discuss why the formal process associated with formal
strategic planning may or may not be relevant to the scenario organisation.
Good answers will provide a comprehensive set of reasons why the formal approach to
strategic planning is or is not relevant to a small business, with reference to the scenario
organisation. Weak answers will provide only a limited number of reasons without elaboration
to the scenario organisation.
Requirement (a)
The underlying principles of the resource based view are that sustainable competitive
advantage depends on an organisations possession of unique resources or distinctive
capabilities that cannot be easily replicated by its competitors. This view contends that
internal resources are more important for a firm than external factors in creating and
sustaining competitive advantage.
The resource based view emphasises developing or stretching internal capability and unique
resources, hence it is sometimes referred to as the 'inside out' approach to strategy.
A key principle of the resource based view is the possession of scarce resources and
exploiting these in order to achieve competitive advantage. In the case of LD's business this
means the identification of resources by LD Flowers is better than that of its competitors and
that superior competitive performance results from her use of internal resources and
capabilities.
Resources include all assets, capabilities, organisational processes, information and
knowledge controlled by a firm that enable it to create and pursue effective strategies. They
are often classified into physical resources, human resources and organisational resources.
Resources can relate to a particular raw material, for example in the case of LD the locally
grown flowers, but could also take a less tangible form, such as the brand name. The critical
factor is that they are the things which would enable LD Flowers to both outperform
competitors and are difficult to imitate.
Research on the resource based view has focused on the characteristics of the advantages of
creating resources. Different researchers present different arguments in terms of what these
characteristics should be. For example, Barney suggests that strategic resources must meet
four criteria. These are that:
they must be valuable;
March 2013
12
they must be rare;

they must be difficult for other firms to imitate;
there should not be freely available substitutes.
The more a resource meets these criteria the stronger a firm's competitive advantage. The
criteria proposed by Barney can be used to assess LD's resources:
Resources must be valuable, in other words they must be able to be used to exploit
opportunities or minimise threats in the external environment. This could be considered to be
the case for LD who has identified the opportunity for contemporary flower arrangements,
using locally grown flowers which meets the ethical stance being taken by a increasing
number of people.
Resources must also be rare, in other words competitors must not be able to have them. It is
plausible that the LD's access to flowers from local growers could be considered to be rare,
although this will be dependent on how easy it is for other florist businesses to get sources of
local flowers.
Resources must also be difficult for competitors to obtain and not be easily duplicated (i.e.
difficult to imitate). One way to achieve this can be through patents and trademarks, but the
best protection is often through intangible relationships created between skills and
knowledge. This could be considered to be apparent in LD Flowers where each design is
unique. LD's experience, skills and knowledge could also be viewed as being difficult to
imitate.
Intangible resources and capabilities are more difficult to imitate and hence can be viewed as
a more meaningful basis for strategic development and for sustainable competitive
advantage. Looking to the future, LD would benefit from building a strong brand name which
would help her in this context.
Finally it must be difficult for customers to find a substitute, in other words resources are more
likely to be competitive if they cannot be easily substituted. This would depend on how
substitutes are defined, but it could be argued that there are readily available substitutes to
flower arrangements, for instance chocolates and wine bought as presents.
In conclusion, it could be considered that, whilst LD Flowers is adopting a RBV to its strategic
development, it does not meet all criteria in terms of its uniqueness of resources.
Nevertheless, it is both the use of resources and the combination of linkages between value
adding activities within the company that are hard to replicate in this case.
Requirement (b)
The formal approach to strategic planning usually results in a consciously thought out or
deliberately intended strategy. It assumes that strategy making is a rational process with
strategies based on careful analysis of the opportunities and threats posed by the external
environment, and consideration of the organisations strengths and weaknesses, relative to
other players in the industry.
Whilst there can be benefits to adopting such an approach, the formal process may not be
suitable for a small business such as LD's for the following reasons.
A formal approach can be very expensive, time consuming and complicated for small
businesses. LD is right to be concerned about the opportunity cost, not only in terms
of attending the seminars, but also in terms of spending time on planning which could
take her away from the main operations of her business.
Formal planning may also be considered too static and a process that tends to be
infrequent. In a changing environment it could be argued that the outcomes on which
formally planned strategies are based often become quickly outdated, with the result
that the intended strategy fails.
13
March 2013
LD may be worried that such a process will just end up as a bureaucratic process
with systems and targets unhelpful to a small business. The formal approach could
get in the way of LD's interest and creative talent, since it could be conceived as a
rigid approach bound up in processes, undermining LD's core competencies.
One of the aims of formal strategic planning is to achieve goal congruence between
different business areas and stakeholders. However, in the case of a small business,
the goals are likely to be inseparable from the goals of LD as the owner manager. In
a small business, such as that run by LD, it could be argued that the formal approach
is not appropriate because the success is more dependent on the ideas of LD. It is
unlikely that LD will have the economic rationality in her approach to running the
business which is more often associated with businesses governed by external
shareholders.
Even if new options are identified from formal planning, LD is likely to consider narrow
product/market choices because her business is essentially based on her own
specific knowledge and skills arising from her hobby. Despite winning the contract
from the local hotel, as a small business it is doubtful that LD will have the resources
to invest in new strategic ventures and may be unwilling to share or delegate control
to others. Indeed LD may not have aspirations for growth.
LD says that she prefers to let her strategy emerge. This approach arises from adhoc, unanticipated or uncontrollable circumstances. It is often referred to as
developing from patterns of behaviour in response to unexpected events. In the case
of the scenario, the unplanned growth was as a result of the order from the local hotel
chain. This was not a consciously thought out nor a deliberately intended strategy.
Whilst there are many valid reasons why LD might not see the seminars of any benefit to her,
some of the strategic planning frameworks/models might be helpful in making future decisions
about the future of the business. For example, it would be sensible for LD to monitor the
environment and conduct an informal analysis of her strengths, weaknesses, opportunities
and threats to help her to stay ahead of the game.
March 2013
14
Enterprise Pillar
21 May 2013 - Tuesday Afternoon Session
Instructions to candidates
You are allowed three hours to answer this question paper.
You are allowed 20 minutes reading time before the examination begins
during which you should read the question paper and, if you wish, highlight
and/or make notes on the question paper. However, you are not allowed,
under any circumstances, to open the answer book and start writing or use
your calculator during this reading time.
You are strongly advised to carefully read all the question requirements
before attempting the question concerned (that is all parts and/or subquestions).
ALL answers must be written in the answer book. Answers or notes written
on the question paper will not be submitted for marking.
ALL QUESTIONS ARE COMPULSORY.
Section A comprises 5 questions and is on pages 2 to 4.
Section B comprises 2 questions and is on pages 6 and 7.
The list of verbs as published in the syllabus is given for reference on page
11.
Write your candidate number, the paper number and the examination subject
title in the spaces provided on the front of the examination answer book. Also
write your contact ID and name in the space provided in the right hand
margin and seal to close.
Tick the appropriate boxes on the front of the answer book to indicate which
questions you have answered.
DO NOT OPEN THIS QUESTION PAPER UNTIL YOU ARE TOLD TO DO SO
TURN OVER
The Chartered Institute of Management Accountants 2013
SECTION A 50 MARKS
ANSWER ALL FIVE QUESTIONS IN THIS SECTION

Question One
K Company is a small but fast growing manufacturer of specialised cutting tools for the precision
engineering industry located in S Country, which is home to many similar companies including
the current world leader in this field. The processes involved in the manufacture of the
company's products not only depend on having highly skilled workers, but also on the use of
high quality specialist steel. K Company sources the specialist steel from a number of local
suppliers, along with other vital component parts.
Whilst K Company has, to date, enjoyed strong demand for its products in S Country, sales are
now slowing down. The company is therefore considering whether it should move into new
markets since it has recently attracted a lot of interest from potential buyers of its products in
other countries.
Required:
Apply Porter's Diamond to examine the possible sources of national competitive advantage
that K Company may enjoy.
(Total for Question One = 10 marks)
Question Two
The increasing success of organisations which have demonstrated that strong ethical values
can be a key driver of profit and competitiveness has prompted G Company to reflect on its own
situation. In particular, what it can do to develop itself as an ethical organisation and build its
reputation as a leading ethical company.
Required:
Explain the approaches G Company could use to help it develop as an ethical organisation.
(Total for Question Two = 10 marks)
May 2013
Question Three
Management of risk is considered critical to project success. Many organisations will scale the
activity of risk management so that it is commensurate with the size and complexity of the
project under consideration. However, irrespective of the size of the project, it is important for an
organisation to focus on identifying the key risks, if possible, and keeping unwanted outcomes to
a minimum.
Required:
(a)
Distinguish between project risk and project uncertainty.

(4 marks)
(b)
Describe the ways in which risks associated with a project can be managed.
(6 marks)
(Total for Question Three = 10 marks)
Question Four
When developing strategies, organisations will need to consider the objectives of different
stakeholder groups. However, it is likely that the objectives of some of the stakeholder groups
will be in conflict.
Required:
Describe the techniques that an organisation could use to deal with the conflicting objectives
of different stakeholders when developing and implementing strategy.
(Total for Question Four = 10 marks)
Section A continues on page 4
TURN OVER
May 2013
Question Five
A2G Advertising Agency currently employs a range of specialist staff in order to be able to
develop promotional campaigns for its clients. The agency currently undertakes all of the
creative work involved in developing campaigns, as well as the business side of running a
successful advertising agency. This includes buying advertisement slots on TV and advertising
space in newspapers and magazines.
A number of key members of the agency's creative team have recently resigned and the agency
is finding it difficult to replace them. The agency is also facing rising costs associated with
running a sophisticated graphic design studio and state-of-the-art TV and film production
facilities. These issues have led to the owners of A2G Advertising Agency reconsidering the way
it currently does business. In particular, it is looking at the possibility of outsourcing some of the
activities that are presently undertaken in-house. Although, on the face of it, it would be able to
operate from smaller premises with fewer staff, the owners are speculating on whether or not it
would be the right decision financially.
Required:
Discuss how Transaction Cost Theory could assist the owners of A2G Advertising Agency to
decide which activities it could outsource.
(Total for Question Five = 10 marks)
(Total for Section A = 50 marks)
End of Section A
Section B starts on page 6
May 2013
This page is blank
TURN OVER
May 2013
SECTION B 50 MARKS
ANSWER BOTH QUESTIONS FROM THIS SECTION 25 MARKS EACH

Question Six
The Institute of Catering Technicians is an organisation providing a wide range of professional
and vocational awards for individuals wishing to work in the hospitality, tourism and leisure
industry. Every three months (four times a year), the Institute holds examinations in 400
different examination centres all over the world. The Institute's exams are all paper based and
the current system for examinations is both costly and time consuming. Detailed below are the
different elements of the current system. The Institute has set up a project to look at the
feasibility of online marking; an outline of the proposed system is also outlined below. The
marking process should take no longer than four weeks to complete.
Current system
Script answer books completed by candidates are taken from the examination room by
the invigilator.
All scripts are sent by secure courier to the Institute of Catering Technicians' Head
Office.
From Head Office the scripts are sent by secure courier to individual markers.
Once the scripts are marked they are returned to Head Office where an arithmetic
check for each script is undertaken and a selection of scripts are checked for
moderation to ensure that markers have correctly applied the approved marking
scheme.
Proposed system
Script answer books completed by candidates are taken from the examination room by
the invigilator.
All scripts are sent by secure courier to the Institute's local area office where scripts will
be scanned onto a computer system and allocated to markers.
The markers will gain access to the scripts via a web based software system.
The script is marked by the use of simple mouse movements.
The software adds up the marks automatically which means no arithmetic script
checking is required.
The software does not allow the script to be submitted until all pages have been
annotated.
At any time the examiner can download marked scripts to undertake moderation
(checking of markers' work).
The online marking project is currently in the feasibility stage. The Institute is also considering
whether there are any suitable internal members of staff who could manage the project through
to its successful completion.
Required:
(a)
Discuss the different types of feasibility that should be included in the study to assess
whether to proceed with the online marking project.
(15 marks)
(b)
Explain the skills that the successful internal member of staff should have to be
appointed as project manager on the online marking project if the feasibility is
accepted.
(10 marks)
(Total for Question Six = 25 marks)
May 2013
Question Seven
T Company has for many years operated as a family owned business producing gift boxes,
wrapping paper and greetings cards. The company is one in which everyone knows everyone
else and employees participate in some way in the day-to-day running of the business. The
owner/manager, Z, is always open to new ideas from any member of staff since he feels that
local knowledge is important to decision making. He encourages staff to be flexible in their roles
within the company, depending on business needs.
New staff tends to be recruited locally and often follow others from their family into the company.
Many of the current management positions are held by employees with no formal management
training or qualifications, but who have worked their way up from junior positions within T
Company. Z prides himself on knowing the names of all his staff and takes time to ask them
about their families and interests. He also tries to attend the many social events the employees
arrange and plays for the company's football team.
Last month Z announced that, with some regret, T Company is going to be sold to a much larger
international organisation, SW Group. He explained to staff that whilst he anticipates that most
employees should be able to keep their job, the acquiring organisation will have its own way of
doing business. He advised staff that they will, in the future, have to accept a much more
bureaucratic approach which would be quite different to how things have operated in the past.
He also mentioned that the new senior management team would be appointed from within the
SW Group's other companies.
SW Group has already proposed that senior managers in its other companies should act as
mentors for the junior managers in T Company as part of their development and transition into
the Group. Z has some reservations regarding how T Company's junior managers might view
mentoring.
Required:
(a)
Compare and contrast the way in which T Company is currently managed and how
it is likely to be managed in the future, following acquisition by SW Group.
Your answer should make reference to relevant theory.
(15 marks)
(b)
Explain the purpose of mentoring and how it might benefit the junior managers in T
Company.
(10 marks)
(Total for Question Seven = 25 marks)
(Total for Section B = 50 marks)
End of Question Paper
May 2013
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May 2013
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May 2013
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10
May 2013
LIST OF VERBS USED IN THE QUESTION REQUIREMENTS

A list of the learning objectives and verbs that appear in the syllabus and in the question requirements for
each question in this paper.
It is important that you answer the question according to the definition of the verb.
LEARNING OBJECTIVE
Level 1- KNOWLEDGE
What you are expected to know.
Level 2 - COMPREHENSION
What you are expected to understand.
VERBS USED
DEFINITION
List
State
Define
Make a list of
Express, fully or clearly, the details of/facts of
Give the exact meaning of
Describe
Distinguish
Explain
Identify
Communicate the key features

Highlight the differences between
Make clear or intelligible/State the meaning or purpose of
Recognise, establish or select after
consideration
Use an example to describe or explain
something
Illustrate
Level 3 - APPLICATION
How you are expected to apply your knowledge.
Apply
Calculate
Demonstrate
Prepare
Reconcile
Solve
Tabulate
Level 4 - ANALYSIS
How you are expected to analyse the detail of
what you have learned.
Level 5 - EVALUATION
How you are expected to use your learning to
evaluate, make decisions or recommendations.
May 2013
Analyse
Categorise
Compare and contrast
Put to practical use

Ascertain or reckon mathematically
Prove with certainty or to exhibit by
practical means
Make or get ready for use
Make or prove consistent/compatible
Find an answer to
Arrange in a table
Construct
Discuss
Interpret
Prioritise
Produce
Examine in detail the structure of

Place into a defined class or division
Show the similarities and/or differences
between
Build up or compile
Examine in detail by argument
Translate into intelligible or familiar terms
Place in order of priority or sequence for action
Create or bring into existence
Advise
Evaluate
Recommend
Counsel, inform or notify

Appraise or assess the value of
Propose a course of action
11
Enterprise Pillar
May 2013
Tuesday Afternoon Session
12
May 2013
E2 - Enterprise Management
May 2013 Examination
The Examiner's Answers
Some of the answers that follow in Sections A and B are fuller and more comprehensive than
would be expected from a well-prepared candidate. They have been written in this way to aid
teaching, study and revision for tutors and candidates alike.
These Examiner's answers should be reviewed alongside the question paper for this
examination which is now available on the CIMA website at www.cimaglobal.com/e2papers
The Post Exam Guide for this examination, which includes the marking guide for each
question, will be published on the CIMA website by early August at
www.cimaglobal.com/e2PEGS
SECTION A
Answer to Question One
Rationale
This question tests candidates' ability to apply Porter's Diamond to explain the determinants
of national competitive advantage. It examines learning outcome A1(b) 'distinguish between
different types of competitive environments'.
Suggested approach
The answer should apply each of the four determinants of Porter's Diamond theory to the
scenario company in order to examine possible sources of national competitive advantage.
A good answer will provide robust application, using illustrative examples to explain the
possible sources of national competitive advantage K Company has. A weak answer will
simply describe the theory without application.
Porter suggests that there are four determinants of national competitive advantage,
expressing them in the form of a diamond (i.e. Porter's Diamond). The theory helps to explain
why some nations can produce firms in particular industries which achieve sustained
competitive advantage using sources of advantage that can be substantial and difficult to
imitate. He proposed that it is specific industries within nations that seem to be able to use
their national backgrounds and conditions to lever world class competitive advantage.
May 2013
The determinants identified by Porter are home demand conditions, related and supporting
industries' firm strategy and structure, and rivalry.
In the scenario case, demand conditions in K Company's home market are important because
strong demand in the home market is often the start of international success. Dealing with
demanding customers in K Company's home market will help drive innovation and quality.
However, there is the possibility that the maturity stage of the product lifecycle may be
reached quickly and new buyers more difficult to find at home. Hence, K Company's interest
in exploring other market opportunities.
With regard to factor conditions, Porter distinguishes between basic factors which are
unsustainable as a source of competitive advantage and advanced factors. It is advanced
factors such as Research and Development (R&D) experience and levels of training and skills
which are key elements in achieving competitive success in K Company's industry, based on
the specialised employee skill set knowledge and expertise in R&D, and manufacturing
technologies.
Porter's theory goes on to suggest that a nation's competitive industries are clustered, where
a cluster is defined as a linking of industries through relationships which are either vertical
(buyer-supplier) or horizontal (common customer, technology skills). In this respect, the
availability of local clusters of related and mutually supporting industries can create a source
of competitive advantage, so that competitive success in one industry is linked to success in
the related industries.
It would seem that K Company may itself have contributed to the development of the success
of the machine tool industry in S Country. This would include, for example, the existence of
producers of key components essential for the cutting tools manufactured by K Company.
Aligned to this, K Company would have access to clusters of industries which provide other
key inputs such as specialist steel required in the manufacturing processes and the
accumulated knowledge and expertise of workers associated with the precision engineering
industry.
Firm strategy, industry structure and rivalry are concerned with the fact that nations are likely
to secure competitive advantage in industries that are more culturally suited to their normal
management practices and industrial structures. For example, industries in different countries
have different time horizons, funding needs, and infrastructures.
If there is little domestic rivalry, organisations may be happy to just rely on home markets,
whereas tough domestic rivalry teaches an organisation about competitive success. In
conditions where there is fierce domestic rivalry and competition, this will drive innovation,
force down costs and develop new methods for competing in an industry. This can, in turn,
enhance global competitive advantage. In the case of S Country it would appear that there
are other rival companies, including the world leader, competing in the home market and this
will encourage firms such as K Company to develop new and better products necessary in
order to be successful.
Porter also makes reference to two other factors which can lead a country to produce worldclass companies. One relates to the role of government, for instance through providing
subsidies to companies, or the emphasis it places on education which can impact positively
on the other elements of Porter's Diamond and hence national competitiveness of companies.
The role of chance can also change the four determinants.
It is clear that the national competitive advantage enjoyed by firms such as K Company in S
Country means that it is very well equipped to compete internationally. However, success will
depend on the environment in the target country and this would need to be analysed. This is
one factor that is ignored by Porter's Diamond theory.
May 2013
Answer to Question Two

Rationale
This question tests candidates' appreciation of what is involved in developing an ethical
organisation. It examines learning outcome C2(g) 'analyse issues of business ethics and
corporate governance'.
Suggested approach
The answer could start by explaining the concept of ethics. It should then develop to provide
specific examples of how an organisation could develop to become an ethical organisation.
A good answer will provide a comprehensive answer on approaches to developing an ethical
organisation. A weak answer will provide a narrow explanation, perhaps only focusing on
code of conduct, missing other important approaches.
Organisations often include reference to their ethical position in their vision or mission
statements, and some organisations use their ethical stance to differentiate themselves from
competitors.
Essentially ethics, from a business perspective, is concerned with making the distinction
between what is considered 'right' and what is viewed as 'wrong' behaviour. It reflects the
way individuals arrive as such judgements in terms of moral duty and obligations that govern
conduct at work. Developing an ethical framework should help employees of G Company to
choose the right behaviours. This requires the creation of an environment which encourages
and supports ethical behaviour and a shared sense of responsibility with regard to ethics
amongst all G Company's employees.
Ethical issues can be considered at a number of different levels. In the case of the scenario,
developing an ethical organisation is at both the corporate level (i.e. ethical issues and related
behaviours affecting the organisation) and also at individual level (i.e. the conduct and
activities of individuals within an organisation). There are also a range of factors that will
affect the ethical obligations of G Company, including government regulation and social
pressures.
The company could approach the development of an ethical framework adopting the
compliance approach. The emphasis here would be on eradicating behaviours which are
unethical rather than promoting ethical behaviour and in this sense the focus is on compliance
of behaviours. However, this approach would not be the best way of achieving competitive
advantage, since it could be viewed as a minimalist approach, or according to Richard Daft an
accommodative stance to handling ethics.
Alternatively G Company could develop using an integrity based approach. This would
require ethics to be integrated into the day-to-day activities of the company. It would form
part of the cultural norms and systems in G Company guiding ethical values and behaviours.
This approach is founded on managerial responsibility and accountability for ethical
behaviour.
If G Company was living its ethical values it would need to ensure it has communication
channels which allow employees to voice concerns should they have any worries about the
ethics of some aspects of their work which is in conflict with their ethical principles. This is
sometimes referred to as whistle blowing, and requires mutual trust between the employer
and employee, rather than the whistle blower worrying that he/she might lose his/her job.
G Company could publish a statement or a code of conduct concerning its ethical beliefs,
which needs to be robust, meaning that any ethical guidelines are reasonably specific and
ethical performance can be measured. A code of conduct articulating G Company's
expectations with regard to ethical behaviour is important since there are many approaches to
the determination of what constitutes 'right' behaviour.
May 2013
A code of conduct on Business Ethics could include reference to areas such as the basic
standards, the expectations of employee behaviour and personal conduct, business integrity
and guidelines for dealing with situations where employees could be compromised such as
bribery, gifts, entertainment and improper payments, or where there are conflicts of interest.
If G Company is committed to its ethical values then it should be clear on the sanctions for
employees who breach the ethical code of conduct. Perhaps more importantly it should be
willing to apply the sanctions when appropriate.
If the company is linked to Professional bodies, then it should embrace the professional ethics
and standards of those professional bodies. For example, CIMA has guidelines not only for
its students, but for all members and those in public practice.
G Company would, according to Richard Daft, need to adopt a proactive stance, whereby it is
taking the lead on ethics, using it as a source of competitive advantage, as has the Cooperative Bank. (The other end of the spectrum is obstructive where an organisation has
denied ethical problems and its responsibility - both Enron and Arthur Andersen are often
highlighted as examples here in terms of business practice).
May 2013
Answer to Question Three

Rationale
This question tests candidates' appreciation of the importance of managing project risk. The
question examines learning outcome B1(f) 'produce a basic project plan incorporating
strategies for dealing with uncertainty, in the context of a simple project'.
Suggested approach
The answer to (a) should explain the difference between risk which can be quantified
explaining that the quantification can sometimes be objective and sometimes very subjective
and then explaining that uncertainty is impossible to evaluate.
With regard to (b),a good answer will describe the strategies and apply them to projects. A
weak answer will not relate to a project and will give general explanations on how to manage
risk.
Requirement (a)
A project will be affected by various types of risk, some of which are quantifiable, and the
assessment of the risk can be made with a high degree of certainty, maybe even scientific
accuracy, like the number of stakeholders affected by the possible loss of company value
when a project fails. In other instances however, quantitative accuracy is not possible and the
risks have to be subjectively assessed. How accurate these judgements are will depend on
the knowledge and skills of the person making the judgement, the information available and
the factors that may influence the risk levels. Judgements can be biased, with managers
down-playing some risks and being over concerned about others. The likelihood of an
accident happening during the project would be an example of a subjective risk.
Unlike risk, uncertainty is impossible to evaluate because it is impossible to assign probability
to an uncertain event. To manage uncertainty on projects, contingency planning could be
undertaken. Contingency planning involves constructing a number of scenario plans for each
risk identified. Scenarios are stories about the future and try to give a better understanding of
what could happen on the project, in order to help minimise surprises. If we wait for the
uncertain event to occur before doing any planning, this may delay the project further. Being
pro-active gives a greater chance of adapting to the changing circumstances.
Requirement (b)
There are various ways in which organisations can try to mitigate risks or indeed consider
whether it will be worthwhile for them to accept risks.
Accept
Take no management action to mitigate likelihood and /or impact. The project risks need to
be kept under review to monitor whether the costs of dealing with the risks are unlikely to be
worth the benefits. The project manager will accept that some risks are not significant.
Reduce
Take action to reduce the risk or limit its consequences. Risk reduction implies action to
reduce the likelihood and/or impact of an adverse risk event to an acceptable threshold. On a
project this might include adopting less complex processes or conducting more tests.
Transfer
Transferring risk involves finding another party who is willing to take responsibility for its
management and who will bear the liability of the risk should it occur; a third party who has
more ability to manage the risk. This could be insuring the risk or sub-contracting to a
specialist supplier.
May 2013
Avoid
Remove the factors or exit the strategy giving rise to the risk; changing the project plan to
eliminate a threat. Not all risks can be avoided or eliminated and on some projects this may
be too expensive or time consuming.
It is important to realise that risk assessment is a continuous process. On some projects risks
will change very little but on others the risk profile might change a great deal. Projects facing
more dynamic environments are likely to have to carry out frequent risk assessments and
procedures will need to be in place to regularly review and reassess the risks.
May 2013
Answer to Question Four

Rationale
This question tests candidates' appreciation of the importance of managing competing
objectives of stakeholders. It examines learning outcome A1(a) 'discuss the nature of
competitive environments'.
Suggested approach
The answer could start with an explanation of the different interests and needs of
stakeholders.
A good answer will describe a range of techniques and provide some examples. A weak
answer will not relate to the expansion project and will give just a few explanations on how to
manage conflicting objectives.
Conflict between the objectives of different stakeholder groups of an organisation is likely to
arise because the parties will have different interests and priorities. For instance,
shareholders will normally be looking for growth, the maximisation of profits and shareholder
wealth, on the other hand employees maybe want better pay and working conditions. It
should be noted that stakeholders could hold multiple roles.
There are a number of different techniques that an organisation could use to handle the
competing objectives between the different stakeholder groups when developing and
implementing strategy:
The organisation could use prioritisation whereby management would specify that any
strategy must satisfy one or more objectives before they are prepared to consider it.
A development of this would be through weighting and scoring. This would involve the
organisation establishing a hierarchy of objectives and each objective would be weighted
according to its relative importance to each stakeholder group. Each strategic option would
then be scored against how well it satisfies a particular objective, with the highest overall
ranking accepted.
Another technique for managing competing objectives is referred to as sequential attention.
This would involve the organisation giving each stakeholder groups interest consideration
over a period of time. Each stakeholder group takes it in turn to realise its objectives. For
example, staff may get a high pay rise in one year, whilst in the following year, the focus will
be on paying high dividends to shareholders.
The technique of satisficing would involve the organisation negotiating with each of its
stakeholder groups so that each stakeholder group gets something of what it wants from the
strategy. In other words the strategy selected is the one that keeps all, or at least the most
powerful stakeholders happy.
Side payments could be used to manage conflicting stakeholder objectives. This is where
the organisation would consider making compensation payments to keep stakeholders
content and to try and make up for not addressing a particular stakeholder groups objectives.
The approach of exercising power as a technique to manage competing stakeholder
objectives would involve an organisation forcing through its preferred option (or where
powerful people force through their preferred option). This method would usually be used as
a last resort since it creates winners and losers. It may be successful in the short term but
does not address the long term needs of different stakeholder groups and could lead to
further conflict .
Another technique that could be used to resolve conflict is through the creation of wider
balanced scorecard performance measures and the strategy would need to meet all aspects
of the scorecard.
May 2013
(Other appropriate techniques for managing conflicting objectives could be used to develop
the answer).
May 2013
Answer to Question Five

Rationale
This question tests candidates' understanding of Transaction Cost Theory (TCT). It examines
learning outcome A2(a) 'discuss concepts in established and emergent thinking in strategic
management'.
Suggested approach
The answer could start by discussing the key principles of TCT. It should then go on to
discuss how TCT could help A2G Advertising Agency decide on whether or not to outsource
some of the activities of its business.
A good answer would provide a comprehensive overview of TCT theory but then use the
theory explicitly in the context of the scenario agency.
A weak answer would focus on description of theory without development to the context of the
scenario, or will describe the process of outsourcing without reference to TCT.
Deciding which activities to undertake in-house and which to outsource to a third party is
always a difficult decision for a business but is especially so in the case of a company like
A2G Advertising Agency which has a history of doing almost everything itself. In view of the
nature of its business, if outsourcing doesn't work out for the agency it would be difficult to
reverse back to the current business model.
Transaction Cost Theory (TCT) would provide A2G Advertising Agency with an understanding
of the factors involved in making the decision, by comparing the hierarchy costs associated
with the ownership of assets, such as the design studio, TV studio - and specialist staff, such
as graphic designers, experts in computer graphics, TV production facilities - with the market
costs if bought in from firms outside.
Fundamental to the theory is how an organisation can best achieve economic efficiency, for
instance whether or not activities of A2G Advertising Agency could be performed at a lower
cost by external providers. From a theoretical perspective, TCT suggests that while asset
specificity may drive vertical integration, outsourcing activities that are not viewed as core
should be considered by an organisation. For A2G Advertising Agency, there is the question
of whether the aspects of the agency that are being considered for outsourcing are core.
TCT would assist A2G in identifying the internal and external costs it needs to consider and
on which to base its decisions about restructuring the organisation. In particular which, if any,
parts of the business can be undertaken at lower transaction costs by the market?
According to TCT, a hierarchy solution is where the assets or employment of staff are with the
company (i.e. internalise transactions). A market solution, on the other hand, is associated
with a company buying in the use of assets or staff capability from another organisation under
the terms of a contract. This approach involves an increased reliance on the market and will
result in the company incurring transaction costs.
However in calculating the transaction cost associated with outsourcing, this theory highlights
the need to add in the so called external control costs to give a fuller picture of the financial
implications for A2G Advertising Agency associated with outsourcing. These typically include
the costs involved in the negotiations and drafting of legal contracts with third parties. Also,
the monitoring of each of the party's compliance with the contracts. For instance, the quality
of the work, reliability and keeping to deadlines. There are also the potential costs to consider
of any legal redress in the event of a breakdown in relations.
External control costs may be a particular issue for A2G Advertising Agency in its line of
business where promotional and advertising campaigns need to be delivered to strict
deadlines for its clients.
May 2013
Finally A2G Advertising Agency must consider very carefully the outsourcing of assets and
specialist staff which are currently employed in-house. Perhaps with assets such as a TV
studio or design studio, the transaction costs, if done externally, could end up being higher
than if they were retained within A2G Advertising Agency, depending on how often such
facilities are needed. Similarly, buying in design expertise may be worthwhile for a one off
project but not if it is done on a regular basis. This links to the proposition relating to asset
specificity, and the extent to which there is high asset specificity. In this case, for example,
human asset specificity associated with the creative work of A2G.
Of course an alternative to buying in assets or expertise may be to lease the graphic design
studio and/or TV and production facilities when required.
May 2013
10
SECTION B
Answer to Question Six
Rationale
Requirement (a) tests candidates' appreciation of the contents of project feasibility. It
examines learning outcome B1(d) 'identify the characteristics of each phase in the project
process'. Requirement (b) tests candidates' appreciation of the skills required by a project
manager to ensure successful delivery of project objectives. It examines learning outcome
B2(c) 'explain the roles of key players in a project organisation'.
Suggested approach
(a) The answer could start with the purpose of feasibility and then go on to describe the
content of the feasibility for the online marking project.
A good answer will explain the content and relate this to the online marking project. A weak
answer will discuss the content at a general level and will not develop the answer in the
context of the online marking project.
(b) A good answer will explain the skills and why they are important in delivering successful
completion on the online marking project. A weak answer will explain the skills but with no
reference to their importance to successful project delivery.
Requirement (a)
The purpose of the feasibility study is to establish if the proposed project can achieve its
objective in a cost effective manner. The attainment of project objectives can be achieved in
a number of different ways and feasibility studies can assist in deciding between alternative
strategies.
Project feasibility will involve collecting sufficient information to enable the Institute to make an
informed judgement on whether or not to proceed with the online marking project. This will
help to identify the key technical and performance objectives that the project must achieve
and to ensure that the technology exists to achieve the project deliverables.
Technical feasibility
Technical feasibility is concerned with whether the required technology is available or not and
whether it has been tried or tested. Other examining bodies are already using similar
processes so the technology is available and should not deliver a significant risk to the
project.
For the online marking project, feasibility will be concerned with the performance required of
the technology to satisfy the objective of the project effectively. The technical issues
surrounding the scanned input of hand-written scripts into the computer system relate to
whether it will be possible to scan with sufficient quality to allow the marker to read the script
on screen. The scanner will also need to be of sufficient speed and quality to meet the
marking process deadline.
The technical issues that need to be considered regarding the equipment used by markers
include whether markers are expected to provide their own equipment. If they are, the
Institute will need to consider issuing guidelines for the minimum standard required to ensure
the process is efficient.
There are also technical issues concerning the security of transfer of scripts through the
internet and the reliability of the software supplier with regard to maintaining access during
11
May 2013
the marking process. Any downtime will impact on the completion of the marking process in
the required timescales.
Social (operational) feasibility

Social feasibility is all about making sure that the project fits with the business goals and its
social environment.
The software skill level of markers will need to be evaluated and appropriate levels of training
will need to be given in the software application and supporting technology.
The employment implications for staff at head office: there is less requirement for their
involvement in the process and so redundancies may be possible.
Ecological (environmental) feasibility
Ecological considerations will include effects on the local community and what that might do
to the Institue's image and what pollution or emissions might be caused by the project. The
online marking project has benefits for the environment due to the reduction in the
transportation of scripts.
Economic (financial) feasibility
Financial feasibility is undertaken to explore whether the project provides benefits to the
organisation and is usually assessed through cost benefit analysis.
Costs
Capital costs will include the hardware and software costs to deliver the online
marking
Revenue costs will include the ongoing training and maintenance costs to support the
project
Finance costs will include any interest payable on loans to fund the project
Benefits
Tangible reduced cost of couriers, reduced cost of staff (although needs to be offset
against any redundancy payments)
Intangible may be able to reduce the timescale of the marking process which
means candidates could get their results faster and the image of the Institute
enhanced
Techniques such as net present value, payback period and rate of return may be used to
assess the financial feasibility of the online marking project.
Requirement (b)
Leadership
Leadership is the ability to obtain results from others through personal direction and influence.
If the team is well led then the team members will usually respond by good performance and
co-operation. An understanding of the different leadership styles would be useful for the
project manager since different styles may need to be adopted at different stages of the
online marking project. A more autocratic approach may be needed at the outset so that
everyone understands the objectives and their roles on the project, and a more participative
approach when the project is underway so that everyone feels they are able to contribute
ideas if they want to.
Communication
Project managers must be effective communicators since communication is vital for the
progression of the project. The project manager must communicate regularly with a variety of
people. For the online project this will include the software suppliers, the markers and the
project team. Communication is essential at all stages of the project. The project sponsor will
need to be kept informed of the progress of the online marking project and the project team
will need to be kept up to date with any changes.
May 2013
12
Negotiation
Project managers rely on their ability to negotiate since they do not have the direct line
authority over their resources and often win commitment and co-operation of other people
through negotiation. This could include negotiation on the availability and level of resources
with the project sponsor, or negotiation with the software supplier on schedules and priorities.
The aim would be for the project manager to use his negotiation skills to be able to manage
the outcome so that conflict is avoided on the online marking project.
Delegation
The project manager will not have the time or all of the necessary skills to carry out all of the
project tasks so it is essential to be able to delegate to those who do have the skills.
Delegation is about empowering the project team and each team member to accomplish the
expected tasks for his or her area of responsibility and this will give them ownership for their
part of the online marking project. Effective delegation should foster team work, collaboration
and communication. The project manager should empower staff and then monitor their work
so that if serious errors are occurring they can step in and take control.
Change management
The project manager should have the skills to manage and control change. Project changes
can occur throughout the projects lifecycle, for example changes to the user requirements on
the online marking project or changes due to loss of key project team members. It is therefore
important that the project manager has the skills to manage change in order that the impact
on the accomplishment of the project objectives and project schedule is kept to a minimum.
13
May 2013
Answer to Question Seven

Rationale
Requirement (a) tests candidates' comprehension of different approaches to management
and organisation. It examines learning outcomes C1(a) 'discuss the concepts of power,
bureaucracy, authority, responsibility, leadership and delegation' and C2(a) 'analyse the
relationship between managers and their subordinates, including legal aspects affecting work
and employment. Requirement (b) tests candidates' appreciation of the process of mentoring.
It examines learning outcome C2(f) 'explain the process and importance of mentoring junior
colleagues'.
Suggested approach
(a) The answer could start with an explanation of the current approach to management,
drawing on illustrative examples. It should then develop to compare and contrast the
approach in the future, drawing on characteristics of bureaucracy
A good answer will make reference to a range of theories to support the answer and use
examples from the scenario as supporting evidence. A weak answer will describe a few
theories in a mechanical manner but without reference to the scenario.
(b) The answer could begin by exploring what is meant by mentoring and what would be
involved in the process of mentoring. It could then develop to explain the possible benefits for
the junior managers.
A good answer will evidence a solid appreciation of the mentoring process and the range of
associated benefits. A weak answer will give just a limited number of benefits.
Requirement (a)
The current approach to management in T Company would seem to reflect some of the
characteristics associated with the human relations school. With reference to Elton Mayo's
research (Hawthorne studies), it would seem that there is a good working relationship
between Z and his employees, for instance, he shows interest in all his staff, knowing them all
by name. According to Mayo workers are motivated by the social aspect of work and this is
apparent in T Company, where its employees enjoy many social events.
T Company's leadership by Z is based on consultation, along with employee involvement in
problem solving and decision making. Another feature is with regard to employees'
commitment to task achievement, and their willingness to be flexible to get the business of the
organisation done.
However, it appears that when SW Group acquires T Company management is likely to
become more bureaucratic. A bureaucracy is essentially an approach based on the
formalisation and standardisation of working practices and tends to be associated with large
organisations such as the one which is acquiring T Company. The focus will be on the
efficient function of the company.
There are a number of characteristics of bureaucracy which will make the management of the
organisation very different from the current approach and will impact on the staff of T
Company. These include specialisation, hierarchy, rules, and possibly impersonality. Each of
these characteristics of bureaucracy is likely to produce a culture much different to the open
one that existed in the company before the acquisition. For example, staff can expect to have
more clearly defined rules and responsibilities with a clear chain of command linked to SW
Group's head office, whereas at the moment it appears there is a more flexible approach.
The specialisation of tasks will lead to clear division of labour so that members of staff have a
well defined sphere of authority to carry out his or her duties. This is a departure from the
flexible way in which work is currently undertaken.
May 2013
14
Decision making and conduct within the company will be governed by a new set of rules and
procedures which are applied in other parts of the Group. In addition, relations between
management and employees will, in all probability, be less personal than before, with
decisions made in an objective and rational manner rather than personal preferences.
The future culture of the company is likely to reflect the position power (Handy and Harrison),
more usually referred to as a role culture, whereas at the moment it has some characteristics
of a task culture (or possibly a power culture).
The way of working will probably include a high degree of task specialisation, responsibility
and authority clearly defined, and an emphasis on SW Group's hierarchy. Coordination and
communication will be a responsibility of management levels. There is likely to be a slowdown in T Company's communications between different departments and the Group head
office, which staff may find frustrating.
A major shift for T Company's employees will be the lack of involvement in the day to day
running of the business, a key feature of the former business and potentially the stifling of
initiative and ideas from staff which were encouraged by the previous owner.
The informal relationships that currently exist at all levels within T Company will no doubt
become a thing of the past. For those who have worked at T Company for a long time they
will have to get used to the new rules quickly and some may find it difficult to adapt.
Requirement (b)
The purpose of a mentoring system is to provide employees with a forum to discuss
development issues in a relaxed and supportive environment. In the case of T Company, the
mentors will be in more senior positions from within SW Group companies and as more
experienced employees they should be able to guide and support the junior managers, but
should not be the direct line mangers of their mentees. The reason for this is to ensure that
the mentor can act as an independent arbiter, and avoid the danger of conflict given the
developmental nature of mentoring versus line management. Otherwise there is the danger
for conflict given the development versus line management nature of mentoring.
Mentors should represent role models, having already achieved a status to which the junior
managers might aspire. It will be important to ensure that the mentoring relationship is not
based on authority but, rather, a genuine wish by the mentor to share knowledge, advice and
experience with junior members of staff.
A mentoring system could be helpful to T junior managers in terms of socialising them into the
culture of the SW Group and facilitating quicker learning about the way the Group works.
Other benefits of a mentoring scheme for the junior mangers are that the mentors could help
in expanding their network of contacts in the wider SW Group. It could also help them in their
longer term career advancement through exposure, visibility and sponsorship.
To be effective however, the mentoring scheme must be based on mutual trust, which may be
initially difficult given possible resistance from staff at T Company regarding the acquisition by
SW Group.
Mentoring could work alongside some of the more formal control mechanisms used by SW
Group, such as appraisal. It could provide the junior managers with a forum to discuss
developmental issues in a more relaxed and supportive environment. Mentors would be able
discuss with the junior managers from T Company their training needs, along with advice on
qualifications. The mentoring system could also provide an opportunity for them to discuss
any interpersonal problems and career goals in the 'new' organisation.
The role of the mentor would be to encourage and assist the junior managers in analysing
their performance and identifying their strengths and weaknesses. Mentors should provide
honest but supportive feedback and guidance on how the junior managers could work on any
weaknesses identified. They would also provide feedback and encourage the junior
15
May 2013
managers to reflect on their behaviour and experiences in the future. Mentors could also act
as sounding boards for ideas, so the junior managers could ask their mentors questions and
learn from their mentors experiences in SW Group.
Mentoring has both career-enhancing and psychological benefits. For example, in terms of
career enhancing, mentors could help the junior managers in their career development with
the wider SW Group, through exposure, visibility and sponsorship. It could also help them in
expanding their network of contacts and in gaining greater exposure in the Group.
The psychological benefits of mentoring could help the junior managers in terms of their
competence and effectiveness in their roles in the 'new' organisation.
Mentoring could help in the integration of T Company with SW Group, as the junior managers
gain a better understanding of the Group through the mentoring process.
May 2013
16

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DO NOT OPEN THIS QUESTION PAPER UNTIL YOU ARE TOLD TO DO SO

ANSWER ALL FIVE QUESTIONS IN THIS SECTION

Section A continues on the opposite page

Explain the reasons why FLF should undertake competitor analysis.

Section A continues on page 4

(Total for Section A = 50 marks)

ANSWER BOTH QUESTIONS FROM THIS SECTION 25 MARKS EACH

Section B continues on page 6

Discuss whether or not LD is right to be doubtful about the relevance of formal

(Total for Section B = 50 marks)

End of Question Paper

LIST OF VERBS USED IN THE QUESTION REQUIREMENTS

Communicate the key features

Put to practical use

Examine in detail the structure of

Counsel, inform or notify

Management Level Paper

Management Level Paper

below acceptable standards, specifically to encourage improvement in an employee's

The employee is made redundant because of cessation of the business, or the

[Other reasons that TF could include - a statutory duty or restriction; illness]

Answer to Question Two

In explaining the potential barriers to communication in negotiation and how to overcome

Answer to Question Three

Answer to Question Four

Answer to Question Five

the degree of assertiveness in pursuit of ones interests, and

The development of an outline proposal should include a statement of the project

The types of feasibility that T Company will need to be consider includes:

Economic feasibility - a cost benefit analysis of the costs to be considered in the

Finding the new premises for the training centre

A list of the influential stakeholders in the project. This is important as T Company

A project organisation structure. It is important that everyone on the new training

Answer to Question Seven

they must be valuable;

they must be rare;

DO NOT OPEN THIS QUESTION PAPER UNTIL YOU ARE TOLD TO DO SO

ANSWER ALL FIVE QUESTIONS IN THIS SECTION

Distinguish between project risk and project uncertainty.

Section A continues on page 4

(Total for Section A = 50 marks)

This page is blank

ANSWER BOTH QUESTIONS FROM THIS SECTION 25 MARKS EACH

(Total for Section B = 50 marks)

End of Question Paper

This page is blank

This page is blank

This page is blank

LIST OF VERBS USED IN THE QUESTION REQUIREMENTS

Communicate the key features

Put to practical use

Examine in detail the structure of

Counsel, inform or notify

Management Level Paper

Tuesday Afternoon Session

Management Level Paper

Answer to Question Two

Answer to Question Three