I've been working through the F2 study text and trying to pick out possible exam questions relating to the case study. There are quite a few scenarios that could be used so it is hard to pick one or two from this text. I think there could be a question on group accounts consolidation - whether that be a joint operation or an associate or even a foreign operation as there is mention of possibly working with another company. Could be a question on share based payments as they may be wanting to raise some revenue by issuing an IPO being a public traded company. A question on ratio's and analysis against competitors or segmental analysis between the different departments to see which departments are profitable / loss making - especially as there is a potential threat to the departments because of the new Petaware system so they may need to be analysed further. I've also noted that there is no way of calculating the EPS and P/E ratios using the preseen so this could come up in a question. The EPS ratios is widely used in public companies and a share issue can affect the EPS ratio so I think this could be questioned.
This is just some ideas I have come up with whilst working through the F2 study text. I am now working my way through P2 and have just started making notes around Activity Based Costing as it could be a useful costing method for a service company like ABC....relevant costing may also come up as they do a lot of project based work.
So many different scenarios and so many different questions which could come up. Its hard to guess what could be questioned!
I agree with the above so far ABC have survived utilising strategic alliances, but this could progress to a JV etc. Ratio's are always a possibility but these could be linked to say a sources of long term finance question rather than a benchmarking question. especially considering any further cloud expansion could carry the requirement for high levels of equipment investment.
I have been going through E2 as I have only just studied F2 and so far have come up with:
- Change Management - related to a restructure to better handle current challenges - Risk Management - Specifically related to expansion and/or Data Security hot topic considering Big Data! (Interesting article on DS in April 2015 issue of FM) (also P2) - Corporate Governance - Environmental Responsibility - server farms eat energy. - Market Placement for growth opportunities - Project Management techniques - to assist Health services issues
but in general there are few hints it seems that in this case there is more opportunity for any type of question than in previous cases.
Hi, I have a question to you. I study with CIMAStudy materials. In CS analysis PetaWare is mentioned as a threat (a brand competitor)- in my opinion it is an opportunity in case of Workspace dpt.(Petaware produce software, ABC Workspace is installing and configuring). But I think is not a threat to IT Transformation too - that department seems to produce SAP like solutions, and Petaware is something like Windows?
"This department is likely to see strong growth because PetaWare, the company that is responsible for the most frequently-used operating system, is planning to launch a new version of its operating system late in 2015."
It can completely mess up the analysis, if is understood incorrectly. Do you think that ABC Solutions is creating operating systems or only setting them up and creating specialized programs working on others operating systems?
It seems to be obvious to me - fitting ready system to customer requirements, but in internet I see very different suggestions. So, maybe I'm wrong?
Petaware releasing a new operating system would normally be an opportunity (ABC do not create OS but set them up). However in this instance there is a strong threat linked to the upgrade, this is highlighted in the press release issued by Petaware specifically in the second bullet point:
" Simplified management and deployment to help lower costs, including in-place upgrades from operating system 2007. Unlike previous releases, changing to the new OS 2015 will leave application software and data files unaffected and fully accessible. The days when software would have to be reloaded and backed up and reloaded are gone forever."
This means that if there are no issues with the upgrade there is likely to be no need for firms to pay ABC for the services provided by the workspace division in relation to the OS upgrade (see third article link above). ABC is likely to have seen a peak of revenue with previous releases which on this basis is unlikely to be repeated, but OS releases rarely go smoothly so there could be other opportunities arising from the release.
Hi guys...if ABC was to be awarded the Kayland health services, what would be the key issues we will need to consider or look out for?
Change Management Investment appraisal Project Management techniques Stakeholder mapping conflict management Potentially opportunity to talk about relevant costing, risks, competitors analysis, lewins forces, a lot of opportunity for Mr Porter and his theories.
what do you think?
It would be intersting which one of the above would appear in the first one.