Board of Trustees

Review of audit report and audited accounts – Valerie Dias, Chair of the Finance and Audit Committee, reported to the Board on the Committee’s meeting with the Audit Partner from BDO.  It was noted that particular attention had been paid during the audit to income recognition for HE partnership deals, with an agreed outcome reflected in the accounts, namely to recognise 100% of the income from year 1 of a partnership up front.  This will be kept under review.  The revised accounting requirements for charities have led to a significantly higher workload for the team in preparing the accounts, with new disclosures and adjustments needed.  On the recommendation of the Finance and Audit Committee, the Board approved the audit report and audited accounts, for issue to members.

Annual report – Trustees had been provided with the text for the annual report, including the CEO and President statements.  Comments had been received prior to the meeting, with further discussion focusing on inclusion of a reference in the President’s statement to the EU referendum outcome, and strengthening the text on international activity.  The annual report was duly approved.

AGM documentation
– The Board also approved the agenda and notice for the Annual General Meeting, to be held on 19 September, including a Special Resolution on Board composition and terms of office.

HE strategy implementation – The Board reviewed progress to date, noting in particular:
• Clarity of the proposition: improved student employability, enhanced student experience, professional recognition for students and development pathways
• Clear product offer: tailored partnerships involving dual accreditation supported by CMI membership benefits, curriculum enrichment activities (speakers, masterclasses etc) and academic engagement; and with Chartered Manager Degree Apprenticeships part of the portfolio since 2015/16 Q4
• Since implementation in April 2014, sales have increased from £400k (2013/14) to £1.3m (2014/15) to £3.9m (2015/16)
• Student numbers have increased over the same time period from 2k to 15k
• 2016/17 business plan priorities are to continue to exploit the core market opportunity for dual accreditation with Business School undergraduates and postgraduates, to develop CMDA business and to grow international partners, primarily through international partners of UK partner Universities
• Key focus of support activity is to drive up student engagement, build the ROI case for the CMI HE offer and to implement more systematic stakeholder management

Opportunities include CMDA links, and international business growth.  A pilot employability module is being developed with Coventry University and is planned to reach across all Student disciplines, not just management and business.  The way forward is therefore to take advantage of scalable opportunities and extend the offer to disciplines other than management.

The Board stressed the important of regional connections, for example through the Student Ambassador scheme due to be rolled out by the Regional/Devolved Nation Boards.  

Chartered Management Consultant – The Board noted the ongoing delays in this award gaining Privy Council approval, due to discussions within BIS linked to the EU agenda.  However, there has been a hint of progress in gaining BIS Secretary of State support.

In the meantime, the ChMC Steering Board continues its work, with a commitment from the likes of IBM, Atkins and PwC to share competency frameworks, so that these can be mapped against existing consultancy qualifications, to identify pathways to ChMC.  The Board also discussed the appetite for a revised agenda, should ChMC not be approved – looking at apprenticeships and a focus on ‘consultancy excellence’ for firms and individuals.  It is clear that such an approach will require full discussion in both the MCA and CMI Boards.

Risk register – The Board is preparing for in-depth discussion of the risk register at its September.  Three Trustees, led by the President, are engaged in preparatory work, the outcomes of which will be identification of our top 10 risks, and a definitive view taken on risk appetite.

External Affairs Committee
– As a governance issue, the Board considered feedback from this Committee on its future status.  Over time, this Committee has played a significant role in helping to shape our new stakeholder engagement process, reviewing key thought leadership themes, and pushing forward levels of social media engagement.  However, with its broad remit and quarterly meetings, this Committee is now struggling to make an impact.

Factors are that, increasingly, there are other avenues of engagement used by the executive team to source member advice and expertise.  Thought leadership projects have advisory panels of expert members in place, who contribute to a specific piece of work.

Given this background, there was agreement that members and volunteers can continue to engage in ways that best add value to the CMI’s mission in this area by disbanding External Affairs and Insight Committee as an Advisory Committee of the Board, and forming an ad-hoc and online sounding board, with its contribution and input focused on topical business issues.

The next step, agreed by the Board, is to articulate the role further and agree how and when members of the group will engage.  The new arrangement will then be reviewed after six months, in terms of outcomes and impact and its ongoing relevance and fit against the wider range of informal expert groups and panels across the Institute.