September 12, 2016 at 8:26 pm
Wow for the past 3 – 4 hrs I have read and digested every single post regarding this T17 and I think I have passed the RAP even though I have not started it. I have built a structure in my mind of what I need to do to pass the RAP.
@trephena you did and are doing a very good job in painstakingly answering questions. No mentor I know will have your kind of patience. When I have issues will come to you. Cheers.September 12, 2016 at 9:56 pm
@catherine – as I explain somewhere on this forum it is not necessary to have one comparator but it is important that you can assess the company’s CG objectively, and one way of doing this by making comparisons with other companies (maybe by using different companies to illustrate different aspects and comparisons of the application of the Code).
So I suggest (as kenjohn777 has done) you spend time reading through ALL of the posts on here and you will understand the underlying thought and rationale behind this topic. You MUST do some form of critical review of your company and therefore you need to gain an appreciation of the best way for a company to achieve good governance and demonstrate best practice.
Just comparing a company to the Code without any comparisons or discussion of the current issues is insufficient for a pass grade. I have made suggestions above about some areas to evaluate objectively. Another good source of relevant material is the website of the organisation Applied Corporate Governance (see their website) – here is an article that could help you develop YOUR OWN ARGUMENTS in your work when discussing the merits of separating out the roles of chairman and CEO for example:September 23, 2016 at 4:23 pm
How are you Guys, can someone help with appropriate models to use on part 2.Please advise.September 25, 2016 at 9:07 pm
hi i am having a little issue. My RAP is on TESCO and its financial year end is 27 feb. so of course i will be using 28 feb 15 to 27 feb 16 accounts. issue is AGM was held in june 2014, june 2015 and june 2016… so when talking about board composition/diversity/remuneration etc, which AGM/Annual reports should i prioritize. and also on 1st april 2016 there were 3 newly appointed NED’S to the board. should i talk about them in the RR?. i mean since their appointment date is far behind the year end date
i am very much in need of your help.
thank youSeptember 26, 2016 at 12:35 am
@abdulla, here are a few points to factor in.
1) OBU likes updated information so the latest AR is useful.
2) however they expect you to speak of noteworthy events that occurred, even if it took place 2 years ago. So if an AGM two years ago was to discuss a huge scandal, then it has to be used in the report for sure.
3) by talking about the 3 AGM’s it is possible to show the developmental journey of the company’s corporate governance over the 3 years.
Finally, why were there 3 NEDs appointed? Was it because the earlier ones were not doing their job well?
You should explore that. The time frame of their appointment is definitely within your report timeframe and you should discuss it.
All the best
The Learning LuminariumOctober 1, 2016 at 10:32 am
my friend failed on his first attempt because he did not include a spreadsheet. What is involved in the spreadsheetOctober 1, 2016 at 4:04 pm
I decided to select Topic 17 but I am confuse in selection of organization because:
1. I planned to go for Volkswagen company but noticed that it is German based company so shall I be using German corporate governance code or UK?
2. I then planned to go for Tesco but their scandal is in 2014, can I write on this much old topic regarding their failure to good corporate governance issue?
Please guideOctober 1, 2016 at 8:03 pm
I heard obu want students to focuss on one organizationOctober 1, 2016 at 11:30 pm
@cayz – please see Assessment criteria No. 7 where it clearly states that you must provide evidence of spreadsheet use. There is an opportunity within T17 to include pie charts and some graphs regarding EPS and returns to shareholders in the report so upload the spreadsheet that shows how you did these and that should be sufficient.
Regarding your other comment “I heard obu want students to focuss on one organization” – the emphasis is on the word ‘focus’ – yes you focus on one company but you need to be able to assess the quality of its CG on various aspects and one aspect of this is to compare it with other organisation(s).
@Hamasah – yes if using VW you would need to use the Kodex (the German code of corporate governance) but this is also produced in English so what is the problem? There is a good opportunity when using a company having a dual board system of CG to introduce objective discussion about whether this is superior to Anglo-American system of a single board… and also add current commentary about the proposed direction of new administration in the UK under Prime Minister May to introduce employee representation on boards in the UK (as there is under the dual system)
Regarding Tesco, there has been some good recent commentary by the Learning Luminarium above on Tesco. It is your role to assess the quality of corporate governance and where there has been a problem this presents the opportunity to see what went wrong and what action the organisation has subsequently taken.
A general problem according to markers is that students regard the topics as static and do not bother to think outside the box – which is why those that do and research well around their topic and look at issues and bring in evidence of thorough recent research are those that tend to get the A & B grades.October 3, 2016 at 7:42 am
I’m currently working on my RAP under topic 17. I’m confused as to how part 2 should be written. Is there a recommended structure and content?
Thank you.October 3, 2016 at 10:19 am
@meyasi – in Part 2 you set out your methodology and the justification for your approach i.e your proposed course of action to fulfil your project aims, objectives and how you hope to answer your research questions. Discuss the CG model code you will be applying and why and also set out the way you intend to identify the key stakeholders.October 3, 2016 at 8:58 pm
Hi Trephena, with regards to Part 2 – do we need to include the brief “literary review” mentioned earlier on this forum in Part 2 or should it be included in Part 1? Thank you.October 4, 2016 at 5:46 am
Trephena, Thank you for the prompt reply. 🙂 Highly appreciated.
If it’s possible can you pleasd advice on what’s to be written in ‘business and accounting techniques’ in Part 2?
Thank youOctober 5, 2016 at 4:56 am
I will PM you an article that an OBU mentor has produced on how to pass T17. Yes there is a lot of information out there but keep in mind you are looking at the QUALITY of a company’s CG so focus on providing information that may demonstrate this.
Trephena, can you email the said article to me as well? I’m struggling on my own much like @alfred with a mentor very similar to his. ?October 6, 2016 at 7:55 pm
I have been going through this whole forum,
I chose HSBC as my organisation,
and would like to know if you have any specific reference of any website or news that shows any issues with the governance
or could give me some guideOctober 9, 2016 at 3:52 pm
@trephena: I am doing T17, please advise me should I include analysing of financial ratios in my research or just purely analyse as you advised for Alfred at page 1 of this topic?
Ling.October 9, 2016 at 3:54 pm
@trephena: I am doing T17, please advise me should I include analysing of financial ratios in my research or just purely analyse as you advised for Alfred at page 1 of this topic.
Ling.October 10, 2016 at 2:49 pm
Hi Trphena! I have been stressing out on this project for quite some time, as i am a bit confused on certain issues. Need your opinion on these few doubts!
I am doing T17. I have chosen a low cost airline in Malaysia known as airasia. I have taken the financial statements of Airasia from 2013 to 2015. The corporate governance codes used during these years were based on the codes implemented on 2012. on 2016, they just implemented a new set of rules. Should I stick with the rules implemented on 2012?
Besides that, is it necessary to bring in a competitor? I read through the forum and came across a few replies that said it is not necessary, but my mentor said to include one. I am finding it difficult to include a mentor, as Airasia is a low cost airline, and it would not be practical to compare it to a normal airline company. What should i do?
I have also decided to choose four models for this topic. Agency theory, medelows matrix, coso’s framework and tuckers 5 question. I am having a bit of a difficulty in applying the agency theory into this topic. How can I get about it? Besides that? earlier in the forum, i came across a comment that said that COSO framework would be suitable for american companies. Should i consider omitting it then?
AyshaOctober 10, 2016 at 9:20 pm
@aysha15 – You need to be able to make an assessment of the quality of the CG so comparisons with some other companies are virtually mandatory however you could choose a Malaysian company that has earned recognition for its high standards as the comparator.
You use the code that the company itself would have had to use (unlikely to have been 2016 until the next year end I would have thought).
Agency theory relates to the relationship of the Board with the shareholders who in essence are the principals. Are the shareholders getting a good deal or is the Board abusing their position and have their compensation packages risen far higher in proportion to company earnings and dividends? Foreign codes and principles can be useful to show how governance could be improvedOctober 12, 2016 at 7:10 pm
Hi Trephena ! I am planning to submit my RAP based on T17 for P33 and intends to secure garde A and for this I have selected Volkswagen as the organisation particularly its emission scandal. I would like to know your views on the selected organisation plus if the selected organisation is best fit then kindly tell research objectives related to this. I live in Karachi, Pakiatan and I think I will have to completely rely on secondary data with No primary data. Kindly also tell Volkswagen competitor also.
RameezOctober 13, 2016 at 12:38 am
You will need to introduce some critical thought wherever possible when doing the evaluation, set your work out very clearly making the best use of charts and graphs and apply the stakeholder model very well to achieve an A grade.
I have made a few suggestions on this forum for VW in relation to the Kodex, dual boards and stakeholders so as always I suggest you spend an hour or two reading through everything on here as I just don’t have the time to repeat everything.
It should all be secondary data but you need to demonstrate excellent research for an A. As for a comparator – you could use BMW but when it comes to the emissions scandal you can make comparisons with other car manufacturers worldwide. Although this scandal is important you still need to consider other current key areas e.g. executive pay (research whether the CEO is paid less than the average UK CEO – see the High Pay Centre for info on UK data); consider diversity as the car industry is male dominated and bring in good coverage of risk assessment as this ties in with the emissions issue. This list is not exhaustive – just some suggestions.October 16, 2016 at 1:51 pm
@trephena the country’s national carrier, Malaysian Airlines is not doing well. They recently underwent a few issues, and they privatized the whole company in 2015. Would it be advisable to take singapore airlines instead?
Besides that, I thought of using the tuckers 5 question model. I searched throughout the internet and i couldnt find any relevant material that could be used as a reference to the model. Should i consider taking this model or should i eliminate it since there is not much of information available?
Thanks!October 16, 2016 at 4:21 pm
Thank you so much contributors and moderator of the forum. The forum is so rich of ideas and direction on writing a RAP.October 16, 2016 at 4:24 pm
@aysha15 – this is difficult to say which is better as it tends to revolve around which you find more interesting and how much information is available.
Tucker’s tends to be more relevant to Topic 20 where there is greater emphasis on ethics. Although ethics does come into T17 you need to focus on ethics as part of the principles of CG. In this sense – it would be more appropriate to consider whether the board acts ethically and responsibly in connection with agency and stakeholder theory aspects. For example how ethical is it for the CEO to be paid 30 times more than the average worker and have a 10% annual pay rise when ordinary workers get 2%? How much emphasis is there on institutional shareholders whereas small shareholder views are largely ignored? These sort of things give opportunities for critical review and thought.
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