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SBL Exam Revision Summary

Aug 17, 2025

Overview

This lecture was a comprehensive revision session for upcoming SBL (Strategic Business Leader) exams, focusing on summarizing top models, frameworks, exam techniques, and case study patterns essential for success.

Key Strategic Models & Frameworks

  • The external environment consists of the country (macro, PESTEL) and industry (micro, Porter’s Five Forces) levels.
  • Use PESTEL for general/country environment: Political, Economic, Social, Technological, Ecological, Legal.
  • Use Porter’s Five Forces for industry/competitive environment: Bargaining power of customers, bargaining power of suppliers, threat of new entrants, competitive rivalry, threat of substitutes.
  • For "external environment" questions, combine PESTEL and Porter as needed; use only one if the requirement is specific.
  • Strategic Position Analysis covers PESTEL, Porter’s Five Forces, and internal factors (HR, financial resources, IT, brand).
  • SFA Framework (Suitability, Feasibility, Acceptability) is mainly used for acquisition scenarios and includes external and internal assessments.
  • SWOT: Strengths and weaknesses (internal), opportunities and threats (external); TOWS matrix suggests strategies based on SWOT.
  • Corporate Parenting analyzes performance of subsidiaries using industry growth, market share, trends, profit margins, BCG, and strengths/weaknesses.

Other Important Models and Topics

  • Ansoff Matrix: Penetration, product development, market development, diversification for growth strategies.
  • Mendelow’s Stakeholder Matrix: Key players, keep satisfied, keep informed, minimum effort groups for stakeholder management.
  • Culture: Defined by power structure, organizational structure, control systems, rituals/routines, symbols, and stories.
  • Context of Change Model: Scope, reason, timing, resources, capability, power, readiness, and resistance are key aspects for managing change.

Financial & Business Essentials

  • Key ratios: Sales trend, gross profit margin, net profit margin, return on sales, current ratio, gearing, interest cover, revenue per employee.
  • Financial projections: Check for DCF, payback, assumptions, tax consideration, sensitivity analysis.
  • Financing: Equity vs. debt—consider costs, dilution, control, gearing, collateral, and cultural impact.
  • Project management: Track quality, timeline, cost; include Project Initiation Document (PID) with scope, objectives, stakeholders, risks, assumptions, monitoring.

Technology & Risk

  • Advantages of e-business: No geographical limits, lower cost, convenience, improved marketing.
  • Disadvantages: Not all customers online, upfront investment, security risks, legal complications.
  • E-marketing tools: SEO, websites, emails, social media, influencers, newsletters.
  • Big data: Enables deeper insights, better marketing, customization; risks include security, privacy, complexity.
  • CRM: Improves customer relationships through regular automated communication.
  • IT/Cyber risks: Business disruption, reputational/legal risks, customer loss, regulatory fines; controls include passwords, firewalls, audit trails, physical security.

Corporate Governance & Ethics

  • Five professional code of ethics: Integrity, objectivity, competence, confidentiality, professional behavior.
  • Split roles of chairman/CEO and importance of non-executive directors (NEDs), committees (audit, risk, remuneration, nomination) for independence, specialization, and better governance.
  • Listed vs. family-owned companies: Listed need stricter governance (split roles, NEDs, committees, transparency).

Integrated Reporting & Performance

  • Integrated Report (IR) vs. conventional FS: Futuristic, broader capitals, focus on stakeholders and sustainability.
  • Six capitals: Financial, manufacturing, intellectual, human, social, natural.
  • Advantages of IR: Increased reputation, stakeholder communication, integrated view, potential for lower cost of capital.

Risk & Internal Controls

  • Types of risk: Strategic, business, financial, operational, compliance, reputational, IT, health & safety, legal.
  • Risk Register: Should include risk, description, impact, likelihood, priority, mitigation, owner, review date.
  • Risk management process: Leadership commitment, risk identification, analysis, mitigation, training, monitoring.
  • Internal audit: Assurance function; needed based on organization size, complexity, risk, legal requirements.
  • Internal controls: Identify weaknesses, assess impact, provide recommendations.

Exam & Study Techniques

  • Focus on the top 25 models/topics for the exam.
  • Practice with mock exams and manage time carefully to avoid time traps.
  • Understand exam format, professional skills/marks, and linking answers to scenarios.

Key Terms & Definitions

  • PESTEL — Analysis of macro/country environment factors (Political, Economic, Social, Technological, Ecological, Legal).
  • Porter’s Five Forces — Industry analysis model examining competitive forces.
  • SFA Framework — Tool for evaluating acquisitions (Suitability, Feasibility, Acceptability).
  • Mendelow’s Matrix — Stakeholder mapping tool for prioritizing engagement.
  • Integrated Reporting (IR) — Reporting model focused on six capitals and value creation.
  • Risk Register — Document logging risks, impacts, mitigation, ownership, and review.

Action Items / Next Steps

  • Memorize top 25 topics and models, including definitions and key bullet points.
  • Complete at least two full practice mock exams (timed, CBE format).
  • Review professional skills and exam formats.
  • Rest and maintain a confident, calm mindset before the exam day.

Full transcript