[Music] [Applause] [Music] [Music] [Music] hello everyone and welcome to webinar for advanced Performance Management this is rwan Mania I hope you all are well so uh here we go with the webinar for the June 24 attempt and uh today and in these two days I'll try my best to uh give you maximum knowledge plus share with you maximum exam techniques and will try my best to ensure that you uh benefit from these two days of Game Changer webinars as always it's it has been uh very much famous and students do benefit from this a lot and have taken lot of new things from these webinars and they have passed as well okay so let's begin guys with the webinar uh now first of all let me introduce myself my name is rwan mana and I'm the principal at wiffi uh I uh actually look at all the academic matters and overall operations of wiffi so for any help for any guidance for anything if you're taking any paper from wiffi you need to discuss any problem you can come to me or if you're not taking if you want any guidance you can contact me uh as uh uh in the capacity of the principal and this is my number so if you don't have this number make sure you do uh uh save this number and I will be happy to help you whether it is your Acca future plans for Acca paper selection whether it is about uh OBU whether it's about doing CFA uh or any certification courses whatever we offer so you can definitely contact me uh this is my number so can you please note down right I hope you have saved the number now uh for subject related queries group link for subject related queries uh for free resources and for the webinar materials uh when I mean when I say webinar material I mean that the slides that I will share in the webinar the answers the drafted answers and other than that we have uh we we have done a lot of new things for you people where we are coming with the free resources for the self-study students so all these things will be available to you people uh in the WhatsApp group the link has been shared uh in the chat box kindly please check the chat box everyone you will find the link so if you are not part of this group uh do join this group okay uh if you are part of any other free group uh still join this group because this is a one where I will personally be looking into to the queries of the student as a tutor uh and the team of wiffi will be uh sharing lot of free materials for APM in this group so you can even uh join the group this is the link you can ask your friends who are giving APM to be part of this group okay so the chat the link is in the chat box kindly check the chat box you will find the link right uh for any enrollments uh or if you want this Global Group link that you have in the chat box right now but if you want that link for later uh uh for for some sharing or something like that or if you don't miss if you miss out right now or if you watch the video later on and you are not part of the live session so you can contact the support team at this number and they will also provide you the same Link in case you want the link okay uh and for other information enrollments and everything you can contact the support so I hope you guys are joining this group this is a this is the uh relevant group if you're not already part of this group all the students whether who who are paid students right now all the unpaid students should join this group okay so lots of free resources will be shared with you here done now about myself a bit uh have been teaching Acca more than 15 years and to be precise I think it's around 17 years now approximately papers that I teach is PM fmap PM I've taught lots and lots of students uh have conducted I always mention this because you know I do feel proud about it because I've conducted 6 APM webinars for Acca and I am the tutor who have conducted the most number of APM webinars for them under the brand name of P2P along with that I've conducted nine webinars for Performance Management as well uh from wi's platform we always conduct webinars and this is the 13th webinar of APM that I'm conducting in front of you people okay now the major difference between Performance Management and APM before I uh start this area I just want a quick confirmation from the students uh if everybody is able to hear me clearly uh just in case if you have are having any problems so let me know and if you able to uh see the video and uh are you excited yes or no please just mention everyone in the chat box so I want to see so many yes here in the chat box everybody should write here so that uh it should give me the clarity that yeah everybody's active with me right thank you very much uh for the confirmation so the major difference between Performance Management and advanced Performance Management that I want you people to understand uh is that you are not a kid okay which means you were considered a kid when you were in PM so the basic difference is you are not a kid anymore okay now what I mean by this is that you need to step up you need to step up from P.M to APM and for that you need to understand those who are new here taking APM session for the first time they don't know about my APM webinars uh and I just want to check how many people are new here in the session please can you confirm in the chat box okay so uh the students who are new here and they uh uh don't have any idea about as such about APM thank you very much for the confirmation everyone uh so when I say step up from P.M to APM so you need to understand your position in APM and the position that you have in APM is of a consultant yes you are a business consultant here so when I say you are a business consultant it clearly means that you to have the experience knowledge understanding of different types of businesses it could be a pharmaceutical business it could be uh a clothing business it could be a manufacturing sector it could be a service sector it could be h a hospital it could be school college anything which means you are a consultant and you can deal with different business Industries business sectors right so this is the most important mindset you should have and I always give this example to give you the clarity and that is a doctor is considered as a consultant a general physician is considered as a consultant okay so how much trust we put into the doctor's knowledge we do we do understand that doctors are knowledgeable they have the expertise and we do follow their instructions similarly the patient in this case is the examination scenario means your clients so you are Consultants like a doctor and exam scenarios are your patients and these are your clients so client do trust you a lot because you are a consultant and they come to you for advices they come to you for recommendations they come to you for evaluations they come to you for assess ments so you have understood that these are the examinable verbs I'm talking about like evaluate assess justify suggest recommend and when they ask you to recommend when they ask you to advise so they believe in you so that is why Always dealing with your client here means solving exam questions so always when dealing with your clients you have to read the scenario like a consult once you have read the scenario then you have to think what to write like a consultant and once done that you to write like a consultant and the most important feature of of a consultant that I want to tell you is a consultant is a person who adds value to the answer that adds value to the client anything you say any comment you give should add value to the person you are giving like a patient go to the doctor doctor will diagn knows the problem and then will give valuable advices like you have to do exercise now this is adding value to the patient eat this and don't eat this this is adding value to the patient okay so your assessment your suggestions your recommendations should add value to the organization you're dealing so you are a consultant now in order to ensure you do think read and write like a consultant so one more thing I'm adding is dress like a consultant as well not like him but dressed like a consultant so when you go into your examination you should act as if you are a consultant and for that your your dressing should reflect that if you need to wear formal just wear formal and go as if you're going to meet your client there are three clients waiting for you in the examination center you have backto back meetings with them client one is uh a 50 Mark client and you have 90 minutes to deal with that client I'm sure you getting what I'm trying to say client two is a 25 25 Mark client and you have 45 minutes to meet that client and client three is also a 25 Mark CLI and you have meeting time of 45 minutes so if you dress like a consultant you will have that confidence yes I am going there and I'll talk to them and the way to communicate with them is by writing the answer drafting the answer and the way to understand them is by reading the scenario see it will make lot of difference in your mindset and understanding okay so I hope you will follow and if you do follow if you went to the paper examination and you dressed like a consultant and if it did any small benefit to your mindset please do mention okay now in this today's modern era the focus has shifted towards smarter way of doing things and technology is one thing that helps you to do these things a lot smarter way of doing things so if we use technology to ensure we adopt smarter way of doing things why not solving the exam why not dealing with the paper for that I have introduced the smart paper solving technique and this smart paper solving technique is a one that helps you to deal with 100 marks in three hours smartly and there are different ways to do that just a small glimpse of that because for detail you have to go to my YouTube channel I mean wi's YouTube channel and there you have to watch this video by the name of smart paper solving technique to further understand and we will also share the link of this video uh in the WhatsApp group that I just mentioned okay so find easy marks yes I know you must be surprised easy is equals to APM yes easy is equals to APM definitely just remove that bottleneck from your mind just remove that negativity from your mind APM is something you can deal uh uh because there are easy marks available either a complete question or part of the question yeah I do understand that it depends on person to person it depends on uh the strength areas that you have but there are easy numbers other than that as well like sometimes you get one mark for a basic definition yeah definitions are not core part of APM but I'm talking about easy marks sometimes you get easy marks by just breaking a mission statement that is given to you in the scenario and not only just one up to three up to four marks sometimes you get easy marks in case of your report format for section a so there are easy marks available but you should have that I to actually find out those easy numbers okay so uh to further understand what comes in this technique overall for APM specific do watch the video do watch the video okay now for professional marks for professional marks yeah everybody focuses a lot on professional marks you should focus because uh 20 marks relates to professional marks you know the easiest way to grab those professional marks is to follow the requirement follow the requirement means as I always say find what are the verbs given in the requirement and find what objects are given in the requirement if you try to fulfill the verbs then you can succeed but for that you should know the meaning of the verbs to fulfill them properly like evaluate so what evaluate exactly means looking at the positives and the negatives is evaluation so if you do understand the verbs properly you will get to know how to fulfill the need of that verb and if you fulfill that verb if you fulfill that verb you fulfill that object you get profession marks automatically okay so do watch my smart paper solving technique video on YouTube of with fee and this will definitely help you remember there is always a smarter way to pass the paper and that is to find easy numbers I will try my level best to cover those things in these two days of webinars Now read the markers mind a very important document and because the document is very important so I have given my uh review on that document in a very detailed way for that I'll tell you how to cover that but few things I need to First discuss is in your marking scheme there is a very common thing that is given to that is up to up to three marks up to four marks up to five marks up to 10 marks and sometimes if you will see that your marking scheme is getting more than the allotted marks have you experienced that yes for example if a requirement is of 10 marks but if you look at the marking scheme for example listen what I'm saying for example if you look at the marking scheme and the marketing scheme says that there are three things that you can write under this requirement so if you write 0.1 or if you write about this first thing you can grab up to four marks if you write about this point two you can grab up to four marks if you write about three you can grab up to four marks now what I'm trying to explain you here is 4 4 4 makes how much come on guys it makes how much 12 it makes 12 but the marks that are given to you are 10 how this is possible it is possible because this is favorably working for you which means which means if in case of 0.1 you manage to score three out of four in point two you manage to uh uh grab three out of four and in third area you manage to score complete four you get 10 see this is favorable for you it gives you the room it gives you the Liberty it gives you the chance that if you are not able to grab complete available marks in one particular area but if you do uh grab complete marks in another area so this allows you to score complete uh in relation to the marks that are available yes this is a fact and if you want to know how so you have to watch my video that is available on VI's YouTube channel by the name of read the markers mind excellent video excellent you just go there we will share the link again of this uh in our uh free groups free resources section for you people but do watch this video because this will make a difference this surely will make a difference so up to is favorable for you it gives you the chance that if in one area you are not good fine you can cover that in the other area by getting complete marks okay so certain important things number one as for the examiner's mindset for marking marks are normally awarded based on on the basis of one mark for each relevant calculation now generally if you do calculations or if calculations are given to you so generally you have one mark for each calculation that you do simple second one Mark per point one Mark per point for evaluation if you do assessment if you do if you give the advice if you give explanation you get one mark for example if the verb is to uh assess so in this assessment every one point that you come up every one point that you write that is a unique point that is a unique point that adds value for the client you get one Mark it's not about 10 Mark requirements or 10 points you just simply write it no you have to keep in mind whatever uh conceptual thing that you are writing or whatever uh technical thing that you are writing should add value to the organization should be a unique point and if you are able to write the unique point so for each unique point that adds value you get one mark for example if the question requires you to identify the issues so if you are able to identify uh the 7 8 10 relevant issues that adds value you will get marks okay so the point is that you have to understand that whatever you write should add value to the organization generally for Cal it's one Mark per Cal and for uh uh uh any evaluation assessment or whatever you are doing uh you get one mark for that particular thing per point but it should add value it should be unique and especially it should not it should not be just pure Theory because you don't get marks for Pure theory if you have done certain calculations for example example do not re-explain the calculations if you re-explain the calculations you don't get marks for example you have worked out uh a you have you have worked out uh a measure of economy like cost per uh teacher so you worked out that and you just mentioned the cost per teacher is 2,000 compared to the cost per teacher of the compati is 3,000 it will not add value because it is simply repeating what the numbers actually give you the idea if you write something like that it is wasting your time nothing else okay so no marks are awarded for the pure Theory pure Theory means that you do not link with the scenario if you write any basic Theory you are writing basic advantages of a certain technique drawbacks of a certain technique without the proper reference or link with the scenario it is useless useless secondly for just re explaining or explaining the numbers that you have calculated no use at all for that no use at all for that okay so no marks are awarded for Pure Theory and the explain explation that you give for the numbers that you have calculated also will not give you any marks so to further understand the markers mind to exactly understand what he thinks to exactly understand the marking scheme in fact I can say this very loudly confidently if you want to start marking the paper yourself watch my video read the markers mind on wi's YouTube channel we will share the link in the groups as well but this is very important and will give you lot of insights so I hope this is clear to you what up to means and you will watch the video do give your feedback in that video comment section how useful you found that video to be okay done now looking at this section a report format which generally is not clear to the students yes uh this area will give you professional marks Under The Heading of communication I'll just come to that later on uh the report format is two two normally means that we are reporting to the board of directors or to the CEO who have who has asked us to do uh a certain task so we are reporting to them from normally we write management accountant people do do ask me what to write so normally we we can write consultant here but generally ACC exam shows uh lot of indications where it says management accountant so we can write that date normally is given to you in the paper if you just see in the requirement section it says assume it is 1st September I don't know why they always write 1 September but yeah you can use that date subject is something that you have to think subject should be short precise exact to the work that you're are doing in relation to something that you're doing in fact if the question requires you to for example look at the different matters of Performance Management you can mention here Performance Management matters okay so subject is something that concisely and precisely uh tells for what the report is is for what area the report is focusing at like weaknesses of the system for example okay then introduction paragraph uh is something that uh addresses exactly what we have done in the requirements what we have done for every requirement so it mentions that this report includes this this this this this this this is work second this this this this this work and this is this work this is exact exactly according to the requirements that are tested there I will demonstrate that later on the main body of the report includes the requirement like requirement a requirement B and requirement C whatever the requirements are uh with the use of proper headings and subheadings okay and then conclusion if required by the question if required by the question okay so this is a basic report format once we'll move on I'll demonstrate that completely uh I'll draft uh the answer for you we'll tell you how to draft the answer in the report and everything and what marks you expect from this report format so for that uh the first area is communication this basically covers one aspect and that is the report format one aspect that is the report format yeah uh the way the report is presented uh uh the main structure of the report like two from date subject uh plus uh not just only this in fact the use of headings the use of subheadings in this as well comes under this area uh plus uh the language that you use how how how formal language you are using because you you are actually addressing to the board of d directors or to the CEO okay so communication includes all these things format report headings the use of language and the structure of your answer how logical structure of answer is uh so that there is Clarity plus the use of paragraphs uh yeah the use of paragraphs will work here you can't just write everything in one paragraph the use a small short paragraphs will work here subheadings headings will count here okay so this is something that comes under communication this is one aspect of communication there are other aspects that comes under communication as well for example uh addressing to the requirement mentioned addressing to the specific requirement mentioned which means if the CEO in the question is asking you to justify one performance indicator then just stick yourself to one and if you do you get marks Under The Heading of communication I personally believe that uh examiner uh is has become very much depressed because people doesn't used to do follow these things even though if the question says just stick yourself to one measure you should do that but still people feel like no let's come up with three four and the examiner will choose the best one that examiner likes nice strategy nice approach but shows lack of professionalism so if you stick yourself to the specific requirement that they have mentioned they will give you marks for that because this shows your professionalism because again it's like talking one toone with the board of directors what are they asking you replying something else they'll feel like he's a big stupid just imagine how bad it would be so you get marks for stick sticking specific to the requirements of the uh uh team that they have mentioned okay this is a bit about communication then comes analysis evaluation so of under analysis evaluation uh whatever uh Cals you do uh to come uh to the facts to find out the facts you get marks for that okay so finding out the facts drill down into the situation once you drill down in the situation once you do the analysis find out the facts for that whatever cels you do you get marks under heading of analysis evaluation okay not only this if you do your evaluation in a balanced way you cover all the aspects in a balanced way you did look at the positives you did Cover the negatives properly you get marks analysis and evaluation how funny it is if the question requires you to evaluate so for technical marks yes you will look at the positive aspects and the negative aspect you should find out those you get technical marks maybe one Mark per uh finding one Mark per unique finding but at the same time if you have done that in a properly manner in a properly uh uh way in a logical way covered that did a balance assessment you get marks you get marks under analysis and evaluation that you demonstrated professionalism in doing that as well which means technical marks you're getting at the same time for the work that you have done and all so analysis and evaluation professional marks will be given to you if your assessment has been done in a balanced way in a logical way okay in a logical way so actually it's what actually it's the technical requirement that you are following actually it's the verb that you are following verbs that you are following actually it's the objects that you are following doing you know what verbs are right I told you explain justify deeply discuss and what to explain what to justify what to believe to discuss is the object the key thing that you have to answer the subject matter so if if if if technical requirement if technical requirement you're covering if you do that in a proper way you get professional marks as well okay skepticism questioning attitude questioning attitude challenging the statements challenging the statements uh given by the directors the managers we can't just trust what they are mentioning we can't just trust what statements they are giving are you getting the point so questioning attitude can't just rely on what they say is skepticism is skepticism okay so question question in Attitude challenging statements then comes commercial accumul now I feel for a consultant this area is a built-in feature of a consultant along with this area is a built in feature of a consultant how can you give consultancy if you don't have the commercial business knowledge if you don't have the business knowledge if you don't have commercial Acumen a pharmaceutical business will have different Dynamics compared to a clothing business a manufacturing business will have a different Dynamics compared to a service business how can you write generalized for all according to the needs of the business according to what is practical for a business according to what is practical for a a business according to what is relevant for a business okay is that what you have to write so commercial Acumen means when you give recommendations especially it is very much tested when you are required to recommend something when you are required to uh advise something so in that advice in that recommendation what whatever you are mentioning should make business sense should be practical to do something which is uh not practical something which is not understandable something which is ideal and and nobody can achieve it it's not commercial a human now a business who is doing manual accounting you cannot just go and say come on from next day you have to quit manual accounting and come to sap is it workable for them so fast it is easily implementable for them so quickly no it's not practical this is lack of commercial Acumen that you have demonstrated so when you recommend when you advise you consider the scenario the business that is given there and according to their need needs according to their situation you come up with the recommendation and that is acement business acument okay are we clear everyone so commercial acement practicality skepticism questioning attitude analysis evaluation finding out the facts in the scenario covering things in a balanced way logical way communication proper use of language words professionalism should reflect in your communication the report structure and following what has been required specifically not overlimiting that not crossing the boundaries is all communication so I hope all my friends who are new to this they must have understood this in a better way now okay okay jamak Kaba your question is what is the first point given I can't see the comment here because marwin has requested to start AI companion okay Marvin thank you let's let's start AI companion please for all participants yeah done thank you Marvin okay so the question of jamak Kaba is what is the first point given under skepticism I can't read it questioning attitude okay someone answered as well Karen thank you right so guys this is all about professional marks I hope understood now the scope of the game changer webinar uh is the revision of the key topics those topics that are part of the questions that I'll solve okay focus on drafting the answers as always discussion about the marking scheme as always a lot to cover this time as per the examiner approach of keep the markers mind okay then yes CB platform will be used as well okay professional marks will be covered as well day wise plan for webinar day one is today so in today's day one we will be dealing with uh section A of the exam tomorrow we will be dealing with SE section B of the paper right that's fine okay section B of the paper will be dealt tomorrow then we have grand revision which is day three but as always this is part of the revision batch that we offer uh so revision batch is a very good batch and let me just tell you briefly about it first of all all the paid students who are already paid who are part of the reset or the regular batch of wiffi so for them obviously this revision batch is of no use because they have everything available on their portal but those who are self-study students and they are struggling they need to know certain important questions and their Solutions and the topics so for them this revision batch has been designed where I have provided them with the top 25 questions top 25 questions the list of that top 25 questions I can share uh with the self-study students in the free groups no issues but the revision batch includes the top 25 questions and the important areas of that which means the technical concept and the uh Solutions the video Solutions of top 25 questions are available in the revision batch if a self study student can do those questions on their own perfectly fine no problem I'll share uh the name and the list of that in the uh group as well but those who wants video Solutions of that and those who wants to get a good grip over the topics of that then you can join this revision batch we can also call this as a crash batch at a very high discount uh so that you can get the recorded content of that and not only this uh you will also get access to two marks in this revision batch one will be the live mock with the live debrief that will be conducted and that mock will be marked by us that's the important thing marked by us and uh this is something that will give you the feedback as to what needs to be done then there will be another complimentary mock with the recorded BB brief so in short there are two marck part of this batch and this day three is also part of this paid batch where you will uh be able to revise the complete APM content with me under the heading of grand revision class okay done so those who are part of my paid batch and the reset batch already for you it's not applicable but for those self study students who want to know uh a list of important areas and questions but not only they want to know it but also they want the revision of those topics and the answers to those questions this batch is waiting for you it will be very useful for you along with the revision that is Grand revision and the marks as well so you can contact the support team the number is at the top you can see here I've just highlighted that you can contact the support team at the number that is given above for the admission and they will help you and give you the details of that so the number is throughout all the slides at the top uh and you can just WhatsApp them okay done clear great now types of students appearing in June 24 who are taking the webinar right now so there will be first timers as well as the retakers can you mention the chat box how many are the first timers right now it will give me the idea about the Quantum of the student yes please first timers just mention the chat box please so first timers listen you have to learn from your mistakes you have to learn from your mistakes if you would not learn from your mistakes then you will be in problem sorry I beg your I I just said this for the research student research students now please come on can you tell me how many there are research students here then I'll give the advices accordingly okay now recent students you have to learn from your mistakes you have to learn from your mistakes whatever mistakes you have done learn from those mistakes hopefully in this in this webinar you'll be able to learn so if you are able to learn from your mistakes then you will now hopefully will manage to pass okay hopefully you will manage to pass and those students who are giving for paper for the first time first time remember friends you guys have to learn from the issues that others have done okay so the problems the issues that your colleagues and friends have done in the past learn from those and not don't repeat it it's always good to learn from other people's experience so the first timers the re attempters everyone now should have a positive mindset and uh maximum you practice maximum you learn from the mistakes and I'm sure you will be able to pass so we have a good balanced number in the session right now the paper structure everybody uh knows there is section A in the exam section B in the exam section c of the exam so let's look at the paper structure by opening a question of March June 2023 I would request everyone if you have a separate screen laptop tablet available so can you guys please open your accs CB portal with me and come to APM March June 2023 exam March June 2023 exam and yeah for the paper structure everybody knows it's a 50 mark question coming up in section A followed by uh another question of 50 sorry 25 marks in section B uh so there are two marks in section B having a weightage of 25 marks and uh one mark in section A having a weightage of 50 marks so I would want everyone of you to open uh the CBE platform the portal March June 2023 please okay today's study plan uh includes performance report followed by that it's discussion about what gets measured gets done uh and a 50 mark question that we'll be dealing as well so it's now time to start with the discussion about performance report first uh what exactly is a performance report so let me first go to that area to show you uh key things in case of performance report now performance report is a highly tested area of your examination uh it used to come a lot uh but lately uh less questions I've seen but I I feel like uh uh maybe two three years before it was a very highly tested area anyways so uh a performance report basically is a dashboard report I can say and this is a report uh which actually is used by the board of directors it's a very strong communication Tool uh this is a report that is uh shared with the board of directors this report is shared with the top uh people of the organization who wants to actually review the business performance by looking at the report so actually the top tier of the organization uh uses this report to judge to conclude to see that whether the organization is performing as they want it to perform is the organization performing as it is stated in their mission as it is stated in their uh uh Vision so is it on the right track so this report actually uh is uh shared with the top tier of the organization who reviews it and based on that they come to the conclusion uh that yeah company is performing good no it's not performing good and things like that okay so now a good performance report a good per performance report a good performance report should have these things number one a good performance report should clearly give message about the company's Mission achievement company's Mission achievement which means the report should include clear information clear information by looking at this information a person can understand yes we are following our mission we are according to our mission the performance is according to the mission of the organization and when I say Mission I mean all the components mentioned in the Mission all the components and I will demonstrate when I say all the components what I mean I'll demonstrate that through a question today plus it should give a clear message about the subsidiary aims and the supporting aims that will help to achieve the mission so whatever supporting in a subsidiary aims and its components are given the report should reflect that the report should reflect whether we are achieving we have achieved this or not whatever information is given should give message about Mission and its subsidiary aims okay plus the report show should be according to the audience it is served for which means the information that is used in the report the layout of the report should be according to the audience it is being served to like report is being given uh dashboard report or performance report is being served to board of directors for their review so it should be according to the audience Needs Board of director needs the information should be according to the board of director needs the layout should be according to the board of director needs okay then the information that the report includes as I've already mentioned that information that the report should include should serve the mission should be according to the audience but let's go into the details of that in order to serve the mission in order to serve the subsidiary AIMS in order to serve the needs of the audience that is the board of directors it should not just include financial information it should also include non-financial information if Mission mentions something that relates to non-financial site like customer satisfaction like Innovation so the report should include information in relation to customer satisfaction should include information in relation to Innovation which means it is not just something that should be focused on normal profit and loss statement like a financial statement giving you Revenue cost and profit information only so the information should be according to the need of the audience should be according to the purpose of the organization which is your mission for that it should include financial information it should include non-financial information plus other information like external benchmarks like budgets like Trend analysis now all these things all these things could be part of the report or I should say should be part of the report but but depending depending on the situation depending on the situation of the client depending on the situation of the client if there is a need according to the scenario that external Benchmark should be there then you mention yes it should be part of the report if the need of the situ situation is that the budget should be there you should mention yeah budgets are needed like for example the company wants to control the cost so we need variances in that scenario the company wants to uh do long-term decision making so the company needs Trend forecasted numbers okay so this other information should be part of the report but according to the need of the scenario we can't just write everything in every answer of performance report we can't just learn the points and we'll just rewrite again no you to see is there any need for a particular point in a particular situation that is what a consultant is required to do plus the information part includes commentary as well a good report provides commentary and this commentary basically uh simply addresses the mission areas have we achieved it or not in a conclusion form in a summary form it also highlights the key reasons for the changes in the numbers it draws attention to the important matters it tells you the reasons it tells you the reasons or the causes for sales going down for example the key reason why sale Revenue has gone down the key reason why cost has gone up so a good commentary at the end gives reader the idea about the key reasons for the changes in the results a quick understanding as to we have achieved the mission or not so this also comes under communication sorry information so Point number F Point number G actually relates to point number D that is information and for information uh it should include financial non-financial and all other things that I just mentioned if it is in this way so it will serve the audience and also will serve the purpose achievement okay then comes the general layout of the report General layout of the report it should be according to the audience not too much of information not to less information use of more percentage based information use of less absolute numbers use of more ratios use of more graphical presentations properly should be rounded off to Millions for example if addressing to the board of directors should be rounded off okay so to summarize I always say that I can summarize these all with a shortcut with a pneumonic by the name of pale if you remember where P is for the purpose and point A and B covers that the report should give information about the purpose achievement which means about the mission achievement about the subsid achievement second a the report should according to the audience covered in point number c then the report should include information as per p as per a and to ensure that the report should uh provide information which is covered in point number D Point number F Point number G see I'm summarizing that and last the layout of the report which is L so pale is the pneumonic to remember that these are the things that you can look in the report and let me tell you the highest scoring area from The Examiner markings point of view because I am focusing now a lot on the examiner marking here so the key area where you can scroll uh where you can grab marks is purpose is point A and B point A and B is where you can grab highest marks targeting A and B and we'll demonstrate that very soon so I hope so far it is going really good and you are learning new techniques tips and tricks kindly share your feedback in the chat B guys is the session so far going good okay so let's use this pale uh and let's use this guidance and uh see what needs to be done so for that uh we will definitely be now moving towards our first question and this question will be a section a question uh at the Su you are asking this question I can't understand you don't know pale purpose audience information and layout I just showed you here that this is a pneumonic it's a shortcut actually to remember through pale you can recall things that you have to cover in a performance report question where P is for purpose the first two points relates to that A is for audience I for information which I just showed you financial non-financial information external Benchmark budget Trend analysis Comon Tre and L is for the layout should be according to the audience uh uh that you are giving the report to so pale is basically a shortcut to remember what you have to look in the report okay and nothing else it's it's my own made pneumonic okay now coming towards the section a question uh a small million dollar technique to deal with Section a question and this million doll stepwise approach is what I will be uh actually showing you today I will will be following this technique so the million dollar strategy to deal with Section a question stepwise approach includes number one first we will read the general requirements and after reading it we will copy paste those on the answer sheet let's perform this task a right now for that let's open the exam CBE portal so this is the question that we are aiming today to solve I hope the question uh you can see in front of your screens and you can even open this uh exam on your own CB portal which is March June 2023 so the first step is to open the requirement section this is what I've done and I'll just copy paste the entire thing using the function or the button control C we'll close this we'll go to my word processor area we open open my word processor area will adjust the screen uh so that I can easily uh move around and this is what I'll do I'll paste here we'll structure this at the same time and let me tell you I will start taking marks I will start gaining marks very quickly at the start of the paper uh because I know there are easy marks available and easy marks uh is what I'll Target in order to grab uh uh passing marks I have to Target 25 minimum marks from this first part so in order to do that once I've done that I can see I have to write a report here uh so for report I will very quickly uh start making the structure of the report and how will I make the structure of the report is by just writing to uh I know I'm writing a report to the CEO so I can quickly just copy this and paste here and I'm writing this as a management accountant most probably yeah this is what you can use date is already mentioned to you so if you look at the date section okay so it says September 25 20 X5 you can just use this as well paste here uh I think this is all rubbish now you can make the report structure very clearly and the subject which I will look later on I don't know what needs to be done then the introduction paragraph is what I'll just write for my own uh help so that I can just recall okay I need to write ruction paragraph then you have the main body of the report and the main body of the report includes first requirement performance reporting this is my first heading second heading is what gets majored gets done and my third heading is brand survey so so far this is what I've done uh and this is all about the professional marks I can remove it uh but not right now let's keep it at the end I'll remove this okay so if I just remove for a minute if you see so the report format is neat and clean here and everything is very much Clear uh so that's it done this is my step number one okay step number two now let's read the question and find hidden verbs and objects okay copy paste on answer sheet okay once I find find these verbs and objects I'll copy paste that on the answer sheet on the CB processing sheet choose the approach for reading which means either exhibit wise approach you can adopt or you can read the whole scenario in one goal okay so it's up to you friends either you follow whole scenario approach or exhibit wise research has concluded that exhibit wise approach saves your time it saves your time uh in the sense that because the exam is structured in such a way that it is very clearly identifiable if you see performance reporting is your first requirement so this exhibit to is about that what gets measured gets done is your second requirement so this exhibit is clearly about that which clearly shows that I can follow uh exhibit wise approach when dealing with the first part I can read the relevant exhibit of that and the general exhibit which relates to all which is the first exhibit here so this is what I can do this is what I should do that I can follow uh the exhibit wise approach which will keep me more specific to the point and it will be easy for me to uh find out or relate information given the scenario so this is one approach that you can follow but if you feel like no I to get understanding of the complete business yes like because you have to keep in mind commercial accum uh so you want to get the idea of the entire scenario and maybe uh you may feel that okay something I can uh write from the other parts as a help maybe that doesn't happen actually because the examiner has provided information very clearly relating to the exhibits but just in case you feel like so you can read the entire uh scenario all the exhibits in one Cod okay so this is what people do think that okay maybe uh if I uh read exhibit 3 and I find some information that I can write uh uh for the first part maybe so that doesn't happen much now in APM but even even even even even if you uh follow exhibit wise approach and if you face something like that but for APM I haven't seen in in the recent attempts so you always can go to the previous part you are using word processor you can just edit anything that you want to that's very much manageable still okay so if you follow exhibit approach this is also very much possible okay but still if you're not comfortable though it can save your time you can read all the exhibits in one go uh and for that you can decide the best approach by doing practice on your own so at your home when you solve the questions uh try two three questions using this approach two three questions using that approach and see the difference where you feel more better and follow that so this is Step number two okay remember whatever approach you follow find verbs and objects and copy paste that so let's begin with step number two here so I'll read all the exhibits right now in one go and uh will copy paste all relevant stuff that I find and I'll highlight as well whatever I want to okay so let's start C company is an unlisted company it's an unlisted company which we don't see normally as such based in Dand which produces and sells special at teas and coffees okay so I always say find out the nature of the business so by looking at the first paragraph normally we do understand what business they are doing so they are basically uh into uh manufacturing of teas and coffees special tees and coffees now if you figure out the nature of the business the second thing that I say to my students always is what you know is is is think of any business providing similar thing in your part of the world doing similar thing in your part of the world now if you do this it brings commercial Acumen into you it brings something personalized into you now think of a company that produces and sells teas and coffees in your part of the world it's easy okay you can come up with the names there are so many that produces uh uh uh teas and coffees like Starbucks yeah there are so many internationally or locally as well there are local tea and coffee providers as well okay so think of these because it will make more sense to you then there are two aspects to business production and Retail so are you with me everyone understood the basic Point whenever you read the scenario first thing nature of the business and think of a company doing the same thing in your part of the world now in the production part of the business the tea and coffees are carefully sourced by a production team and are packaged as has either dried tea leaves or or coffee beans in the company's patented resellable pouches the pouches have been through a threeyear development program wow very special kind have been shown to retain the flavors for 50% longer than the most commonly used forms of back interesting in retail part of the business there is a chain of shops managed by the retail director and these are located in large shopping malls across the land okay large shopping mall so we we can relate right we have seen coffee uh companies or tea companies in shopping malls in the shops there are the displays of pouch products for sale and each shop has small Cafe area where customers can enjoy the products okay the company has a the company has a management team and Venture Capital as shareholders okay the VC provided additional capit Capital method needed to support the development of the company's pouches and expension of retail sites okay the company's strategy is to maximize shareholder wealth okay strategy is something you should highlight in long term okay by growing the sales okay you can see I'm highlighting in small chunks there is a reason for that growing the sales of its product which are highly which are high quality okay which it sells at a premium price okay understood the quality will be the quality will be driven by innovation in both production and procurement okay while premium price will be achieved by its selling and marketing through its retail J understood are we clear done this is the general exhibit second performance reporting yeah this relates to the first part so I might find verbs and objects I'll keep an eye on that to copy paste this given the small number and close involvement of the shareholders the main method of reporting to them is annual report which is based on the report that board uses for its performance review the company report has recently been criticized by the VC although the management is happy with the progress of the business the chief executive officer CEO of the company has spoken to the VC who indicated that the felt report was ineffective in achieving the principal purpose that is your strategy so the co has asked you to provide an assessment of how well the report reflects the strategy of the company she has given you the most recent report as an illustration in appendix one so guys do you think now you know what you need to do here yes assessment of how well the report reflects the strategy of the company I'll just copy this we'll close this under the first requirement I will just paste this okay and will definitely for my ease we'll write here verb it's not compulsory it is just for your ease if you want to and we'll write this object if you can do this using your mind that's totally fine done now second what gets measured gets done okay now this is a big exhibit I guess let's read at the recent board meeting the retail director reported two initiatives within the sh operations on the first initiative called SE smile this director complained that okay this director complained that the shop staff are not responding to this attempt okay to encourage them to interact more with more often and more positively with the customer so basically the initiative is that they should interact more with the people happily however there was a more positive response to the second initiative called Save the Planet which is his recent drive to save electricity by getting all shop stuff to turn off unnecessary light it's like a home feeling right now our parents normally say your parents do say to the younger people come on shut off the lights and for shop managers to replace constantly running water heaters with new ones which only heat water as required okay so these are the two initi sorry these are the two things under Save the Planet initiative okay however the retail director noted that the replacement of water heaters was progressing slowly with some resistance reluctance by shop managers to make the change fine the production director responded that he was not convinced by the retail director's initiative okay and that he wanted to make show that retail staff are explaining the quality of the ingredients sourced and the benefits of new packaging to the customer so production director has some doubts the production director is also particularly worried about the amount of product that is being thrown wastage because it has passed its usable date and he wants this included in the safe the planet initiative okay at present all retail staff including the shop managers and the retail directors are assessed by the way of a general review of their work okay by the line managers the line manager has to score the staff members on a scale of one to five under the two head things that is sales and reliability right the retail director is assessed on these areas as well but also has additional metrics of performance relating to overall performance of the company which are similar to the rest of the board the board scores the retail performance directors retail director performance now that CEO has at a recent business director's Forum where he heard about the courot what gets measured gets done was mentioned numerous time in the context of Performance Management she wants you to explain she wants you to explain how it might apply at the company given its performance report and Retail and production directors issue okay done you to relate that so this is the second part I would say you are still following the second step and that is to read the scenario so this is the verb and to make it simple this is the object right done done the last exhibit that I have to read the company's board has commissioned a survey relating to the brand as VC believe it is key to the growing to Growing the profit of the company brand you know what brand is the survey was completed by a consultant from an industry-leading marketing business and the CEO considers the source to be reliable and extract of the relevant details given in appendex 2 now the co is puzzled by a number of elements of the report and has asked you to answer a number of detailed questions she has about it so let's see explain how brand awareness and loyalty interacts to the benefit of the company sorry interact to benefit the company she would also like you to illustrate your answer by using the data to produce review forecast firstly assuming brand has no impact secondly assuming the brand will have an impact okay second explain what standard deviation means in the context of this report and assess its importance of the results so this is what you have to do let's close this as well and this will come under the third heading and that is what gets measured gets done done okay okay so after all what I've written here we are done with step two verbs and objects right now we are moving towards the third step third step plan the pointers as you proceed so the requirement that we'll solve first okay so the requirement that we will solve first so we will actually plan the pointers for that requirement first okay now what pointers planning means what the question means to say by plan the pointer so just understand when you are about to write the answer okay when you're about to write the answer so in that case in that situation what you actually focus on so let me show you if you see here we are approaching this first part first so when I say when somebody says plan the answer it means look at the verbs how many there are so in this part just one verb and that is to assess okay assess then look at the object or objects so here again you have one object and that is how well the report reflects strategy of the company so we have to see that the strategy that is mentioned in the first exhibit how report is reflecting that strategy so you look at the verbs you look at the objects third thing you look at the marks the marks that are available for that that is 10 okay that is 10 and then you because because there is just one verb and one object so the entire 10 marks dedicates to this verb and this object for example had it been two objects so the marks would have splitted according to that three objects the mark further would have splitted according to that as for the marking scheme okay so right now entire 10 marks dedicates to this object and the object is how well the report reflects which means in assessing in looking how well it does you have to find the positive points where you will say okay these are the things that are well reflected by the report and you will look at the negative points as to how well the report covers that or doesn't covers that sorry okay so look at the verbs the objects the marks and then plan the structure of the answer which means from where to start first what headings to use the logical structure of the answer because the way you present the answer that also gives you professional marks okay so uh what I will do first here is I look at the appendex okay which is something I have to use in this case a quick look at the appendix gives me the idea that budget is given actual is given variance is given and previous year actual is given plus the report includes growth year on year which means growth percentage growth from the last year okay plus it gives me limited information about profitability as a percentage of Revenue okay profitability as a percentage of Revenue but that only relates to gross profit here okay an industry average but not for all but just for uh just two industry averages given to me here for operating profit and for Rose Capital employed okay now looking at the report the information which is heavily uh loaded with finan cial numbers where I can see revenues cost of sales uh C products and other Cafe sales uh then gross profit I can see staff cost other operating cost operating profit the only cost that is categorically given is Staff cost Finance cost taxes net profit and then the other metrics that are given includes row dividend paid Save the Planet initiative that we just read earlier uh which included electricity cost in shops okay uh staff absentium is given to me so this is the report which is very much heavily loaded with financial numbers with something relating here which one can say relates to non-financial side okay okay now be with me you will enjoy what the way I'll I'll capture this question completely so this is done now because I'm step number three so I have to plan it a bit logically so I know I have to see whether the report fulfills the strategy for that I will look closely what strategy is and my entire Focus would be around the strategy and here I have this strategy given to me in a proper clear way uh which you guys can see as well okay now if you see the strategy so as I'm planning what to write so my focus will be to start from strategy my answer will start start from strategy I will look at the strategy and my answer will start from strategy because this is what they have asked me and side by side I'll keep this appendix one somehow open uh so that I can relate any relevant thing as needed so I'll keep this as well uh whenever I want to use okay done done right now so in my planning part I'll start with strategy and one by one I'll look at the things so this is Step number three the planning part and the last is now let's write the answer so for every requirement I go back again we look at St step three and four for every requirement step three and four is what I'll perform I hope you understood this strategy of that I mentioned which is the million dollar strategy to deal with Section A it's now time to move and see what needs to be done okay here I am now as the question wants me to wants me to listen very carefully wants me to look whether the report fulfills the Strat y the structure is clear now under this I'll start writing the answer so I have the drafted answer with me to save our time so I'm using the format on one side to show you how you have to demonstrate and how you have to write but when it comes to the writing part I will use my drafted answer but let me quickly tell you first thing this is the strategy now the maximum pieces you make the maximum pieces you make of the strategy and its supporting strategies if I go into the details of that the better it is so what I will try to do is that first thing is shareholder wealth which means my report listen carefully should reflect shareholder we should mention anything through which I as a reader can figure out yes the wealth has gone up or no the wealth hasn't gone up so by report should reflect any information for that first thing plus the report should give me any information that this wealth maximization will be in long term so something in some information in relation to longterm should be given there as well okay second thing then by growing the sales which means the report should reflect anything in relation to the growth of the sales any information that gives you the idea yeah see by looking at this I can figure it out the sales is going up okay it's very easy be with me I'll tell you the marking scheme as well then if you if you to achieve that growth so this can be done by high quality product so high quality is the key word that I have to focus on whether the report indicates anything about high quality or not okay which are high quality and which it can sell at a premium so yeah anything that can reflect me about whether we are selling this at premium or not done now now comes the I would say supporting strategies for this this high quality will be driven by innovation in both procurement and production method so I have to see whether anything indicates about Innovation being done in terms of procurement in terms of production this is what I have to see and to ensure that we sell at a premium price premium price we have to see that this will be achieved by selling and marketing through its retail chain so anything we can see uh in relation to selling and marketing uh in order to achieve premium prices so we can see here that things are connecting to each other now the The Logical manner you follow you The Logical structure you follow which means this supports this this support this like uh innovation in procurement and production will support high quality products and high quality products will support growing the sales which will support shareholder wealth maximization see so The Logical manner if you follow everything you do you are getting marks for that your effort will not be wasted at all okay that's the best part done so what I'll do I'll start by mentioning that the report should address the company strategy that is what we know right and to understand we need to break down the strategy into components that what we'll do here okay and the components to break is what we'll mention actually one by one we'll mention actually one by one so I'll just tell you how to draft it you can see this is the official answer I've already mentioned two from date subject and introduction paragraph is what you have to keep in your mind uh the subject is Performance Management issues which we are handling here okay now the first is performance reporting now be with me first point to mention is the report should reflect the strategy I'm saving the typing time here okay we will mention that strategy is broken down into different parts like primary and supporting components okay primary and supporting components so what is the primary one first you can see here the overall goal was to maximize the shareholder wealth you can see it has been highlighted you can see this is bold and that too in Long Run okay let's connect it and what connection I'm talking about the logical structure that will give you marks I'll tell you whether it will give you technical marks or professional marks I'll tell you everything so listen very carefully now this the word this shows that you are making a logical connection here this will be achieved by growing the sales given in the scenario of its product which which will be achieved see another Connecting Point which will be achieved by high quality products number two selling at a premium price not only the is let's move on further let's connect high quality will be driven by innovation in both proc production methods another connection now selling at premium price here will be achieved by selling and marketing through its retail ches honestly speaking the structure you follow okay now the the if if students are thinking want to write in bullets so no bullets are allowed in the paper we have to write in paragraph form okay we write anwers in paragraph form but only when we split only when we split strategies of mission we split to show separate supporting components in that case we can present information like this otherwise we have to write everything in form of paragraphs that should be done in my answer you will see I not using paragraphs but I am writing in bullets I do change the paragraph I do tell that okay these bullets three will be part of the paragraph Just for the ease but you have to write in for paragraph but I'm telling you when you break down any strategy mission to show the links clearly in that case you can just use the bullets that's it okay so done clear now for using this logical structure you are getting marks yes you are getting marks for this so when I'll come to the marking scheme I'll tell you you are getting marks for this okay so this is not something you're wasting your time done presenting this in such a way breaking this you are getting marks for that and I'll show you the marking scheme officially to show you the mindset of the marker here okay now let's now check whether report addresses above mentioned things or not so by presenting in such a way it helps it makes it easy for me to Target things separately yes this means I'll check here whether shareholder wealth maximization is being represented by the report it is easy for me to focus on this area first then I'll check whether long-term information is provided to me it is it makes easy for me to check then thir then fourth then fifth okay then sixth then seventh see like this one by one I can easily check and I can comment on it and this will give me easy marks easy marks right so listen guys easy marks are available I'll tell you where they are but generally you have to focus on checking each and everything one by one uh and if you are able to come up with valid points either negative ones either positive ones you are getting Mark for each valid point for each unique point that adds value okay so now in my assessment I want you people to participate as well okay going back here quickly tell me with quick yes and NOS at least do you think this report has anything to offer for shareholder wealth maximization any information you think it has about to offer for shareholder wealth maximization okay if yes then mention if no then mention so when I say share weth maximization so uh this this report doesn't have anything directly to major shareholder wealth maximization yes I agree people will say Rose is there okay we will come to that in very soon people might say dividend is there because when I say shareholder wealth maximize ation so wealth increment generally is done by giving them dividends and it is done by uh capital gains okay capital gains dividends and capital gains right so when I say shareholder wealth maximization are you with me everyone so it's it is very clear that no direct measure is given in relation to wealth maximiz ation right for Rose when I say so listen Rose is not a direct measure of shareholder wealth maximization Rose is always an indirect measure of shareholder wealth maximization indirectly can you you can use rose because Rose may result in short termism Rose may result in short termism Okay so row may result in short termism and uh uh it is something that will not directly measure shirala we now key things that you have to learn here so be with me I will first answer the first part of shareholder wealth maximization and let's see what I can write here dividend is there this is good dividend is there but again I would say dividend is not a complete measure for capital gains nothing is given to me about share prices and all but I have an argument that maybe it's not a listed company it's an unlisted company so to get shaped price accurately may be difficult so let's see look at the first point here and the first point because you can grab Marks here so I can say here no direct measure of shareholder wealth correct dividend is given to me but dividend is not complete measure of wealth maximization okay capital gain is missing but might not be able to get to Capital reason reason is simple because it's an unlisted company yeah you can say here that information like npv Eva are better for sh the we maximization okay now listen very very important thing I'm I'm telling you here rose has a weak correlation with shareholder wealth yes correct because it is an accounting based measure now subject to manipulation is written here don't write it don't write it until and unless you find any evidence of that yes Rose is an indirect major Rose results in short termism that's okay that's fine it is a shortterm measure that's correct to write but about manipulation don't write it why because if you don't find the evidence don't write it like that true clear done from here till here all res relates to the first point shareholder wealth maximization understood with me everyone say yes or no yes now the second aspect to focus on and what is that the second aspect is uh long-term longterm so any information given in relation to Long term because you know for long term it is important to have measures that gives you the idea about sustainability whether things are sustainable or not so sustainability so we don't have any thing given in this performance report that gives you the idea about anything being long-term and sustainable long-term and sustainable able so I don't have any information in this report in relation to this particular area about sustainability so I would say uh no we don't have anything in given to us in relation to sustainability uh here this is one another point that we'll write here and this relates to the second aspect that I covered that no measure is given about sustainability of performance okay yeah this sustainability and the major is difficult due to Market changes because in future Market might change and if Market changes favorably adversely so that is something difficult to measure but nothing given in the report so I've covered long-term aspect now after this next is growing the sales growing the sales now for grow the sales what we have so if you look at the report for growth in sales we have one thing that is ear onair growth of Revenue this one with me so we do have air on air information giving to us for the sales so yeah we'll mention this for growth we do have information uh of sales growth year on year okay so somehow I can say growth in sales can be measured by considering year on-ear grow okay this is positive thing about the report if it does exist let's say yes we do have okay clear now the growth is given to us but it would have been better to know it have it would have been better to know uh that is the increase in terms of volume or the increase is because of the price so we don't have any information that this growth is in relation to the volume or in relation to price now the question is why this is important yeah this is somehow important and let me tell you why because one thing is very much important to realize here and that is if you look at your first appendix here which gives you the idea that venture capital is providing additional Finance and see for the expansion of the retail sites so if they are increasing or if they are providing Finance for the expansion of retail shops if shops increase volume increases do you agree with me if shop increases volume increases so anything that you write should have a valid reasoning of that so as a venture capital as a person who is is providing the finance if you are providing the finance don't you think you want to know that how many new Outlets we have opened and how much further Revenue we' have earned from those Outlets come on guys are you with me say yes or no don't you think this is important information this is so we can mention here that we do have growth available but the breakup in relation to volume and price will be needed especially especially to gauge that how much volume has increased because of M shops are we clear everyone come on be with me yes or no okay now one quick thing for the drafting part and that is see these are the bullets right now but you don't have to write like this I I have to make this clear you can write all these in form of paragraphs okay so this could be your one paragraph okay then when I'm creating a space here which means now I can write this to in second paragraph maybe okay so these are the things that you write in form of paragraphs understood and I at this level I do expect that you can connect point one with point two right that is not an issue so done clear done next what about the next point and that is high quality growing sales through high quality so anything given to us for quality in this report guys a quick yes or a quick no anything given to you in the report for Quality here any direct measure given to you for quality no no direct measure given for Quality no direct me measures given for Quality nothing customer satisfaction ratings complaints anything like related to complaints no complaint information given to you no refund information given to you no claims given to you uh no customer feedback given to you nothing given to you in relation to customer complaints directly yeah indirectly I have this point this I have this argument and that is revenue growth now I can say that if the revenue is growing right I can say if the revenue is growing so obviously the revenue is growing because customers are happy because quality is good so indirectly I can say yes Revenue growth could be uh a reason for high quality uh but directly we don't have anything okay so for high quality we'll be bold to mention this without any hesitation and that is no direct measure given in relation to high quality indirectly yes growth Revenue growth but for this you need comparision you need comparative figure you need to see if my growth is 7% the other company growth is maybe 18% so then I would say no they are maybe more famous or they are providing better quality so indirectly I can say okay if sales is going up yeah quality is the reason but no no direct music with me understanding the point okay so I hope you are understanding all these things done next selling at uh okay I I can I can do one thing because quality is further being linked with procurement and production Innovation so what I can do I can actually relate this right now uh so let's first connect this with Innovation and both production and uh Innovation uh in both Pro and production so any information that you think is given to you that is addressing innovation in production and uh procurement come on anything that is given to you that indicates or addresses innovation in production anything yes guys so the answer again would be a big no no big no now nothing given to me about innovation in production and nothing nothing not a single measure and this is actually very important because it is part of because it is part of the strategy okay other than that it is also very important you know why I'm saying this because your venture capital is supporting your development supporting your development they want to know they want to know that if I'm giving funds for the development I need a measure plus last time you see when you were developing the pouches it took three years oh man three years so they want to know the time period of the development may be the report is not showing this the report is not giving any idea because Innovation is not just uh in terms of products it is in the processes as well okay so nothing given unfortunately we will mention this no measure addressing innovation in production and procurement okay this is important not just because it is part of the strategy but also because venture capital is investing in the products and last time it took three years with me come on guys yes or no understanding things so I hope this is clear to all of you easy pickings easy numbers not difficult not at all difficult if you structure it logically you cover each and aspect one by one one by one okay done now uh I'm just left with another major thing because this is what they asked me actually they just wanted me to uh comment on the strategy that I am almost at the end and that is to look at uh selling okay they want to grow the sales by selling at a premium price at a premium price by the way ju just a question they want to produce high quality product they want to sell at a premium price what exactly it indicates you about their strategy are they following a strategy of differentiator or a cost leader differentiator so they are more inclined towards the strategy of a differentiator rather than a cost leader okay so done so it is more towards differentiator strategy rather than a cost leader strategy so I hope you all uh will agree uh to this point as well and let's now further move and see what needs to be done so premium price and this is what they can achieve by selling and Market through its retail any information about that they charging premium price any information that indicates that yes they have the price power any information you think is given here in relation to that uh yes so if you look in the report if you look in the report nothing indicates directly that they have the price power because you know what the problem with price is try to understand the problem with price is if you increase the price so possibly the impact goes on to what come on if you increase the price possibly the impact of that will go onto what no idea strange it's a basic economics demand okay so when I say we have the power to charge premium price which means if I charge a higher price still people will come to me if I charge a higher price still people will come to me which means my demand will not fall okay demand will not fall right so we don't have any information in relation to that honestly speaking that we are charging higher price and does it have any impact on uh the demand we don't have any information maybe price elasticity of demand you know what is price elas of demand maybe price elasticity of demand could have provided to such an information right okay uh however to however I can say that indirectly I can say or partially I can say gross profit margin does provide some kind of information because if your gross profit margin is increasing which means charging a higher price uh gives you more profit gives you more gross profit okay so partially I can say if my gross profit margin is increasing this could be because of charging higher prices but I cannot actually see that if the price goes up what impact it will have on the demand so to measure that we need to have uh information in relation to uh price elas of demand maybe okay so charging high prices nothing as such given to me now this is something I could have further linked with the uh statement given to me that we can achieve this by selling and marketing through retail stores so selling and marketing done through retail stores retail stores uh anything given to me here no there is no information about the marketing initiatives taken successful marketing campaigns no information as such given to me uh other than uh the revenue growth uh that is being shown so uh for that as well as I would say I wanted to know that uh which retail store resulted in Revenue growth or how much revenue has been increased com uh in relation to the retail stores so indirectly I can say Revenue growth could have helped me but again I would need to know uh retail store wise for example U and other than that no information given to me that how many successful campaigns they they came up with and things like that or how much revenue increased through the campaigns done in the retail stores so again I would say no information given here let's have a look here uh the price power cannot be measured directly partially you can through GP margin okay but the impact of price going up and demand going down will be measured by elasticity of demand okay for selling and marketing through retail CH chain Revenue growth is an indicator as I said revenue is growing which indicates uh yeah more retail stores opening up helping them to increase but again we need a breakup of that plus no direct measures given for the marketing initiatives taken so not much information in this report again for the clarity purpose this will be written in form of a paragraph similarly this will be written in form of a paragraph so I hope you are understanding uh uh I'm showing you the presentation all this just assume is coming under this heading okay all this is what I've have just wrote Under This heading in form of paragraphs right so done with this part they required me have I answered what was required it says how well report reflect strategy so I have I just I just dived into to see uh one every aspect has been covered or not and have I did figure it out I have figured it out that whether each and every aspect has been covered so one by one we have done that and I'm sure this is very much clear to all of you uh now looking at the marking scheme of to see that whether we were able to cover each and every aspect properly or not so I will want you to look at the marking scheme okay now the best part that I want to show you here is uh the drafting has been done uh and uh I just wanted to actually make it very clear that not considering professional Marks here right now I will tell you about about this part for professional marks perspective as well but I just wanted to actually uh tell you that exactly where the marks were available so by the time they open it I just want to start and explain easy numbers the way you will break down the strategy the way you will break down the strategy you will get three marks for that you will get three marks for that now just understand the way you just broke down this up to three marks you decide and tell me easy or difficult easy or difficult if I'm wrong easy everything that you used here was from the scenario how could this be difficult how could this be difficult because everything that you did was Rel coming from the scenario okay okay now everything that you wrote came from the scenario so see this is a 10 mark question now now understand the marking scheme read the marker's mind up to three marks to break down the strategy see I want you to learn easy way of passing the paper my work here is to tell you how to pass easily true up to means if you properly will break down the strategy mentioning separately each and everything like shareholder wealth long-term growing the sales through high quality products premium prices which can be done through Innovative production and procurement selling through sales and marketing if you can do this in a logical manner a structure is right up to three gives you the Liberty to grab all three just listen listen you you will you will love this 10 marks you need to pass if from 10 I grab all three I just need seven to get complete marks and half of 10 is five to just pass to get 50% marks so to get 50% marks three if I get like this I just need two more marks to get 50 50% in this part easy seven more marks I need to get complete 10 two marks I need to get 50% marks to pass in this part okay now marking scheme says up to three marks for the first area then one Mark per point up to nine marks for checking whether report reflects this or not like does report reflect shareholder wealth sales growth product quality Innovation pricing power selling through marketing and selling through retail chains up to nine marks for this up to nine marks for this which means one Mark per point so this means if somehow you don't manage to get nine but you manage to get seven from this part three from this one seven from this part 10 out of 10 10 out of 10 okay let's make it vice versa if you were not able to score this easy marks these easy marks and you wrote well about the linking part you can grab nine from that linking part which means you are allowed to grab 10 from space that is available to you that is from 12 so you have the room available they have given you chance to play with 12 marks and from those 12 grab 10 if you are weak in this part you can perform good here to grab nine maximum if you are weak in this part you can grab from this part maximum three so you have the room to play here you have room to play here okay understood now for shareholder wealth if you came up with two valid points if you come up two valid points as for a scenario that adds value to Unique points you get two marks if you came up with one point for sales growth one Mark if you came up with two marks for product quality maybe for example two marks but more marks cons if I if I focus on these six were available for shareholder we because there was lot more to write so this is how the markting scheme works one Mark per valid point yes that's correct but you have to find those valid points and as per this scenario you have to come up with the valid points because examiner has given you areas to score okay so I hope this is clear to you that seven up from this nine you can grab if you took three initially to ensure 10 out of 10 and if I say from the perspective of easy area so this was the easy area first to grab three marks because after that you just need two in worst case scenario to get 50 marks but but overall I would say this part is a high scoring area try to grab seven out of 10 eight out of 10 because at least writing one one one one one one simple linking Point gives you six marks minimum side so just imagine like this if I covered these one by one and I am able to score six at least six for six points for six areas I would say so 6 + 3 gives me nine nine out of 10 imagine nine out of 10 writing one valid point for these areas six areas and three at the start gives me nine valid points gives me nine marks out of 10 so you have the chance if you see from this perspective score good in one area if you haven't scored good in the other area you cover that or grab easy marks first so you have to put less effort in the other area and you can easily ensure a pass and get higher marks understanding yes or no come on what's your feedback so you are understanding the marking scheme which is important here okay through now from the technical side covered technical side has been covered here let's look at the professional side for this part only professionally what marks you could have achieved so it's very simple if you have covered all the elements if you have covered all the elements of the strategy in your review all the elements okay you are getting marks under analysis and evaluation that you in your evaluation you covered all the elements properly technical marks are 10 other than that now see to get technical marks listen listen listen to get technical marks in this area it was required to cover all the elements to get technical marks so if you covered all the elements you get technical marks at the same time you get professional marks as well because you fulfilled the requirement you fulfilled the requirement understood buy one get one free another surprising elements listen when you were focusing to grab three easy marks to break down the strategy when you are breaking down the strategy to grab all three easy marks so you had to break down it properly as I mentioned okay but if you ensured proper prioritization of that if you are clear in your prioritization like like listen shareholder wealth long-term will be achieved growing sales will be achieved by high quality premium price will be achieved by this will be achieved by this if the prioritization clarity of prioritization is there if breaking down had a clear prioritization you are getting three technical for break part but as well as professional marks for the communication are you getting the point so easy it is you are following the requirement you are following the requirement here breaking down the strategy if you have done that properly with proper prioritization of everything you are getting marks for communication hello any feedbacks are you not understood impressed easy what do you think any emotions any feelings happy not happy this is easy so see this is what I say follow the requirement you will get professional marks okay so the way I'm going into the marking scheme and relating that with technical professional marks it is just because you get to know that this is how it works done now I know we are short of time but I might take more time to complete the second part I hope no problems if I'm willing to give time so I don't know why you should have any problem should I continue guys yes or no okay okay now next part 14 marks okay fine step three plan the answer how look at the verb explain look at the object look at the object what to explain how it might apply how it might it might apply at company see given its current performance report that we just saw and Retail and production director issues which means how what gets measured gets done how what gets measured gets done apply apply apply to the current performance report and to retail and production director issues very very interesting part very interesting part so let's start let's we know the report now okay from the report this is clear this is done this is what I'll open because I want to keep this in front of you people okay I I can even yeah increase the size right now first of all what is the term what gets measured gets done what what is the term what gets measured gets done do you have any idea what gets measured gets done what it means it means whatever will you measure whatever will you measure people will focus on those things only whatever will you measure people will focus on those things only what gets measured gets done which means whatever the focus is on particular area this is what people achieve now if your boss wants you to be on time irrespective of what you do after that and the boss decides on the basis whether you are on time or not so what will you do you will just come on time you will just come on time you will just prefer coming on time that's it because you know the boss is only interested or wants to see you at the office on time he gets happy when you are there I don't know what is the reason but okay let's skip the reason so you will just come on time and do nothing after that what gets measured gets done okay this results in a situation where you over focus on things that are being measured and you under focus on things that are not being majored you leave those aspect that are not being majored come on be with me so you want to explain what gets measure gets done fits to the current performance reporting and the director's comment for that you will explain the term okay you will explain the term if you'll explain the term so you will write the definition sort of a thing for for this one and if you do that you get easy marks explaining the term gives you easy Mar this is a 14 Mark requirement so listen explaining the term what gets measured gets done in form of a paragraph in form of a paragraph you know we'll give you will give you how many marks a well written explanation of this which M which does mentions that over focus on certain areas under Focus up to three marks you can grab from this part A well-written definition will give you up to three marks up to three marks it is easy to write easy marks are available from 14 you can grab three marks first from this area which will help to compensate on the difficult areas done okay now the basic part done now you have to follow the requirement and the requirement is how well it applies to the report and the director's comment so for that let's look at the director's comment first okay uh these are the comments so one by one I think let's focus on the comments okay director complain that shop staff shop staff are not responding so these are the retail director comments okay okay okay retail director comments let's focus on ret comment first the first is that they say that uh our initiative that people should deal with these customers in a more interactive way and in a more happily uh environment is something that is not done okay first thing listen right okay can you tell me why can you tell me why why director is complaining about this because because because because according to this term what gets measured gets done according to this term according to this term it is not being measured simple if you measure if you measure this like customer service quality if you measure customer service quality okay then see you will see Improvement in this area if you measure this because customer service quality is not being measured not being measured directly directly you will not see good results they took the initiative they did ask people to interact with customers in a different way but they can't see the results why because it was it is not being measured nobody will measure it nobody will look into that that's why simple okay be with me guys so because it is not being measured it is not done now listen listen listen very interesting part coming here so answer is clear now the second comment he says the second initiative saved the planet where saving electricity was something that they had to do and he says that the response is more positive in this part why why because because it is being measured how see electricity cost in the shops it is being measured if you measure it it will be done that's the problem of the this concept customer dealing was not being measured people were not considering it under Focus here it's over Focus now very interesting part coming again so the saving aspect of electricity is being covered because it is being measured but the retail director say is in terms of water heaters the progress is slow Why million dollar point million dollar point in in terms of water heaters the progress is slow there is a progress but it's slow because those who are able to relate it salute to them because it affects row because it affects Rose they have to replace water heaters this is an investment this is an investment okay if this is an investment so new investment means what new investment means what investment will increase and Rose will go down because people wants to show better results because Rose is being measured there they want to show better results disfunctional Behavior so they will not invest they are reluctant in getting new heaters as you can see with some reluctance by shop managers this is APM this is the quality of this paper understood so what gets measured gets done is very much applicable here adversely favorably here it is adversely because Rose is being considered so they are not taking steps that will hamper row that will affect row negative through so when we say retail director comments it is very much applicable why people are not interacting with customers positively with customer because it is not measured electricity saving because it is part of the report yes we can see the good results but water heaters is slow because Rose is there and any new water heaters replacement will increase the investment and Rose will go down okay are we done this is how I can grab marks by linking with the scenario but easy marks were available for the definition part now listen listen listen one General point that I can write here as well looking at the report because it's not General they have asked me to consider report as well in report the focus is on variance come on if the focus is on variance which means they are measuring variance by looking at variance what comes to your mind cost controlling yes or no cost controlling yes cost controlling yes oh cost controlling so they are they seems to be differentiator or a cost leader oh we thought that they were differentiator but what they are doing is a feature of cost leader which means there is a conflict their report is emphasizing them to control the cost but their strategy is asking them to be a differentiator oh man what is happening what is happening this means the report will stop them to be achieving the cost uh differentiated strategy the report will stop them because they will look at the variance every time see so relevant if you have that mindset a lot to link from the scario it has nothing to do with reading the books it has nothing to do with reading study Hub content you just know the concept what gets major gets done and everything is placed in the scenario impressed or not or still you are in the same negative mindset APM is difficult APM is difficult APM is difficult come on okay so now before I move towards the uh comment of the production director I just want to share the drafting part don't say you have to write in of bullets okay so first in paragraph This is a paragraph you will start from the definition part paragraph considering the report focus is on variance cost controlling which means creating a conflict between strategy of differentiator you will focus Less on the objective change the paragraph first initiative retail director is correct because customer service quality is not being measured yeah partially through Revenue growth I can say that people are happy are staff is giving them good information and because they are happy or they have the right information they buy and revenu is growing indirectly growth of Revenue does reflect that but directly no measure to check this direct okay second initiative of electric city the performance is good because this is being measured but in case of water heaters water heaters the performance is slow because of row because of rows keeping old assets will help to improve good row and this is dysfunctional Behavior okay through in form of paragraphs happy done production director right production director what was the comment of production director first according to him retail staff were not explaining the correct Fe fees to the customers I think uh this is what has been covered above Under The Heading of retail director as well it's the same thing actually it's the same thing right he is saying that staff is not giving proper information and Retail director was also saying that they are not interacting positively with the customer so yeah it's the same thing more or less so as far as the production director first complaint is concerned we have already covered this under the heading of retail director okay yeah and the reason for that is it is not being measured okay done second complaint and that complaint is the wastage thrown out because it passed it it has passed it usable date and wastage save the plan initiative now listen interesting this complaint listen this complaint is more in relation to save the planet scope is not clear see I I'll tell you one magical thing in relation to this comment the production director in relation to this complaint says that Wast is not being considered because it was not in the scope of Save the Planet so it's more related to the scope of Save the Planet not being clear and it has less to do with the term what gets measured gets done if because Save the Planet scope covered electricity saving and water heaters had they included uh what I can say wastage into this then this is something the the the the initiative would have covered but right now when production director is complaining about waste stage so it is more related to the scope of Save the Planet rather than what gets measured gets done which means you are actually not agreeing everything the director is saying this is skepticism raising a question raising a question that this this complaint is something that relates more towards that the scope of save the planet is not clear first aspect now the second aspect now if they think wastage is important so they should add this in this initiative they should add this in Save the Planet initiative and for that they now needs to add a measure in the report if they will add a measure in the report so then it will be covered as well so right now from the perspective of what gets measured gets done if I say this is a second perspective I'm telling here that if they want this to be measured so they should add this into the report and it will be measured okay so there are two two separate things to understand number one the complaint about wastage itself directly doesn't relates to the problem of what gets measured gets done right now because it was not part of the initiative at first place at first place this is one separate Point okay I'm mentioning here that your complaint directly doesn't relates to this issue but it is more related to initi I ative was not covering this okay done first thing now if you cover this in this initiative if you want this to be part of the initiative so add that and from the perspective of what gets measured gets done if you start measuring this if you start adding a if you if you add a measure of this in the report then this will be covered as well from that perspective as well come on understood yes or no okay so first add this into the initiative number one and then add a measure in the report so that it will be measured the summary is First add this aspect of wastage in your Save the Planet initiative number one and then if you feel it is important so add a measure in the report so that it will be measured properly otherwise it will also be not it will also not be measured like the customer service call it let's look at here the answer production director comment in relation to retail staff was already covered above according to production director second initiative is not covering all aspects like wastage of inventory okay so uh if it is important for the business strategically it should be covered it should be covered in the initiative okay understood the first point it should be covered in the initiative save the plan initiative and secondly there should be a measure for this like percentage inventory losses in order to ensure that it will be taken seriously as we say if you don't measure it people will not take it seriously so two things to be covered in this part secondly and firstly right guys come on clear both the as aspects are covered here understood okay so this was for 14 marks and let's look at the marking scheme up to three marks for the explanation of the code easy for me see 3 + 13 makes how much 16 from 16 you have to grab 14 from 16 you have to grab 14 so to get those 14 first grab easy three marks First grab easy three marks okay the rest nine no no no 11 the rest 11 you can grab by linking from the scenario like variance I covered customer service quality come on come on do look look here electricity cost Heater replacement and production director thoughts on wastage so to get technical marks guys if you for example missed out on this part doesn't matter you can grab marks from here here and here so you have the room to do the mistakes you have the room to do the mistakes examiner gave you the room if you missed out on this part doesn't matter you have other areas to focus on to grab marks so out of 16 actually you need 14 and to now the worst part and to pass in this part just pass in this part you need seven to grab those seven easy numbers were available here three if you are able to grab all those three then you just need four marks from this entire area to at least grab 50% easy easy understood yes or no okay that technical 14 done last thing professional professional listen to me carefully listen to me when you mention that the retail director was correct was correct that the performance of customer survey was bad because it is not being measured Save the Planet electricity was good because it is being measured Heater replacement performance is slow because of row so retail director was correct in his observation this is what you mentioned right so the ability to say and figure out who is the correct one and who is not the correct one the ability not to trust every comment the ability to critically think and challenge the statements will give you marks under skepticism last if you covered these in a proper logical way like you you you started with variances then you went to properly covered each and every aspect then you covered the point of uh retail director initiative one then initiative two then production director about not dealing with customers properly and about wastage if you covered this in a logical manner properly you are getting marks under analysis and evaluation as well so here this was applicable and this was also applicable but the question is do you have to put extra effort for professional marks no in order to get 13 technical marks you had to follow the sequence and if you did follow the sequence to get technical marks if that sequence is a logical one with the with proper approach being followed systematically done you get you get bonus marks under analysis and evaluation hence again Pro follow verbs and objects if you follow them completely you get the professional marks as well so that's it from my site for today that's it from my site from today I will share this examiner feedback with you tomorrow in relation to this question I hope you understood what we have done today that last part will be covered tomorrow so guys happy this session helped you today the way I tried to cover the answer drafting marking scheme please I need your feedbacks uh yes I think in many cases you can use this subject but again you have to exactly look what is being asked I will solve the next requirement don't worry tomorrow I will discuss about standard deviation and all no issues okay okay guys so see you tomorrow in tomorrow's session I will cover this third requirement and then we'll move to section B question and to watch the read to watch read the Markus mind video which will give you further Insight this is what I mentioned Jama and everybody who is asking me we will do this part tomorrow don't worry okay so see you guys in the tomorrow session day two and I hope uh to see you all and definitely I hope that you must have understood all these things so that's it thank you very much see you then take care bye