Throughout this case study your role is an external consultant working for Tranart
Consultants, providing a report and other documents as required.
Assume it is March 20X2.
The following exhibits, available on the left-hand side of the screen, provide information
relevant to the case study:
1. An overview – an overview of Yexmarine Co (Yexmarine).
2. Yexmarine and its competitors – an article in Yacht Owner magazine comparing
Yexmarine with its two principal competitors.
3. Strategy committee proposal – a letter to you, the consultant, from the chief
executive detailing his proposal to create a strategy committee.
4. Employee satisfaction survey results – an email from the human resources director
to the chief executive about the findings of an employee satisfaction survey.
5. Overview of investment projects – a summary of proposals for product
developments.
6. Risk assessment and mitigation – an assessment by the operations manager of
significant risks and mitigating activities.
7. Marketing services offer – a summary of a proposal from Seeyachts Co marketing
agency offering marketing services to Yexmarine.
This information should be used to answer the tasks within your chosen response
option(s).
1.
Yexmarine’s chief executive is drafting plans to establish a number of board subcommittees, to fulfil the business needs of Yexmarine as well as meeting corporate
governance best practice requirements. The first committee he wishes to establish is a
strategy committee and he has set out his proposal for it. He wants your views on the
benefits of, and problems with, his proposal. He wants your consideration of the
problems to include discussion of any omission from the proposal.
Write a letter replying to the chief executive of Yexmarine which assesses his
proposal to establish a strategy committee.
(14 marks)
Professional skills marks are available for demonstrating analysis skills in considering
the benefits of, and problems with, the proposal.
(3 marks)
2.
Yexmarine’s chief executive is concerned about the results of the recent employee
satisfaction survey. He feels that a lack of motivation from staff could jeopardise the
success of the planned programme of changes. He believes that Yexmarine must fully
utilise its employees’ skills and experience and regards a high level of employee
retention as a vital factor in his plans for expansion. The chief executive therefore
believes that the board must address employees’ concerns and reward them, as
appropriate, for their contribution to introducing the proposed changes.
(a) Prepare briefing notes for the board which advise how employee
dissatisfaction may impact upon each stage of the organisational change
process.
(10 marks)
Professional skills marks are available for demonstrating analysis skills by linking
evidence about employee dissatisfaction to consequences for the organisational change
process.
(3 marks)
(b) Prepare a letter, to be sent by the chief executive to all employees, explaining
to them the steps which will be taken to address the concerns which they have
about the proposed changes.
(8 marks)
Professional skills marks are available for demonstrating communication skills by
persuading employees that Yexmarine will take effective steps to address their
concerns.
(3 marks)
3.
Yexmarine’s board is considering two investment projects (a new range of sailing
dinghies versus a new range of luxury yachts) which have been summarised by the
finance director. Yexmarine will use the excess funds from the sale of its sites to finance
any investment it makes. However, it will not have sufficient resources to choose both
options. The chief executive believes that a successful significant investment could
have a large impact on the success of Yexmarine over the next few years and is
seeking your view on whether either of the proposed investments should be chosen.
Prepare a report to the board which:
• Advises on the financial and non-financial benefits and drawbacks of
each of the investment projects; and
• Recommends, with reasons, which, if any, should be chosen.
(24 marks)
Professional skills marks are available for demonstrating evaluation skills by making
justified recommendations which are based on a balanced assessment of both projects.
(4 marks)
4.
Yexmarine’s chief executive wishes to obtain independent assurance that the company
is taking sufficient steps to manage significant risks effectively. The chief executive has
selected two risks about which he has concerns and has asked the operations manager
to assess them and recommend how they should be managed. The chief executive
wants you to evaluate the assessments which the operations manager has supplied.
Prepare a report for the chief executive which:
• Evaluates the assessment made of each risk and its potential impacts;
• Evaluates the adequacy of the risk mitigating activities for each risk;
and
• Recommends any further mitigating activities which may be required.
(12 marks)
Professional skills marks are available for demonstrating scepticism skills by
questioning the assessments of the level and impacts of the risks, and questioning the
adequacy of the risk mitigation activities.
(3 marks)
5.
Yexmarine’s chief executive is looking at the ways in which Yexmarine’s boats are
marketed. Yexmarine’s board intends to continue to use traditional marketing methods
such as boat shows, but believes that e-marketing of Yexmarine needs to be enhanced.
The board has received a proposal from an advertising agency, Seeyachts Co, which
the chief executive would like you to assess. You should not consider the cost of the
services of the advertising agency as an issue.
Prepare briefing notes for the board which assess the potential benefits that
using the services offered by the advertising agency could provide for
Yexmarine.
(12 marks)
Professional skills marks are available for demonstrating commercial acumen skills by
assessing how the services offered could enhance Yexmarine’s competitive position.
(4 marks)