Business Planning 2015 and 2016
Following the discussion at the Board meeting on 10 February, 2015/16 budget planning is focusing on four well-defined income streams. The basic assumptions are: continued strong growth within HE and professional body partnerships; sustained growth within the Education Provider network in terms of Student registrations; a steady position in membership, boosted by the outcomes of the member engagement review project; and the employer business holding current income levels. At this stage, budgeted income of around £13.4m is projected in the coming year, compared to the 2014/15 forecast of £11.5m. The final budget will be presented to the March meeting of the Board for approval.
Amongst the issues discussed by the Board in relation to 2015/16 were:
- The HE market holds the greatest prospects for growth. The market opportunity has now been validated, in both undergraduate and post-graduate programmes, with an international dimension yet to be added. The partnerships team is being reinforced, to ensure that the pipeline amongst the total of 135 Business Schools can be reached most effectively and efficiently. The business model will continue to focus on dual accreditation. The key to the success in this area is the quality and attractiveness of the core offer; the level of customer care to ensure an ongoing relationship; and, fundamentally, effective delivery and implementation.
- Growth in the Education Provider business will be accelerated through high quality customer service, increasing registration levels amongst current Providers; and ensuring that new Providers come on board.
- The improving metrics for membership recruitment and retention give us much to build on in the new year. The member engagement review project will be the focus of effort over the next 9 months, with members’ views canvassed, leading to a review and enhancement of the member offer. Key factors in recruitment and retention are not only provision of a highly valued member offer, but also the fact that members can take pride in a professional body that is fulfilling its mission to raise standards in management and leadership, through brand awareness and influencing activities and thought leadership activity.
Three additional streams of activity are strategic priorities for 2015/16 and beyond:
Membership Engagement - Membership research is being scoped with the help of the Regional Boards, and will be delivered by an external agency. The ‘Chartered Management Consultant’ project (ChMC) is on track, with product definition and stakeholder communication activity underway. Partners are working very well together, including the Management Consultancies Association, ESCIT (MoD); and large firm representatives, with strong support from the IC Advisory Committee. The 10,000K Chartered Manager project is underway and a potential CMgr partnership opportunity was presented to IiP Delivery Partner CEOs in January.
Apprenticeships and Academies – An outline framework is in place for two levels of Apprenticeship (Team Leader L2/3 and Professional Manager L5/6, which incorporates CMgr status), with an employer led bid now being submitted to Government. Development work is likely to be the focus for 2015/16, with delivery unlikely to start until January or September 2016. The Institute is also a party in early discussions on a Degree level Apprenticeship for Management and Leadership. Significant potential is emerging from growth of academies and National Training Colleges. Current work with the National Skills Academy for Rail Engineers is progressing well; there is initial interest from the BT Academy; and follow up with NHS Academy via the Open University Business School.
International - Desk research confirms how far behind we are in international activity. Other Professional Bodies have between 5 and 41 offices/branches overseas and between 25 -60% of members are global, as are 20-80% of students. International is universally the strongest growth area, with double digit growth rates. Focus areas are: Asia, ME, India, Africa. By contrast, CMI has only 7.7% of members overseas (in 3 tiny branches Sri Lanka, HK and Singapore) and less than 5% of students. We will focus on Asia and the Middle East at first. Many of our HE partners have overseas Campuses and working with these HEs, plus some Professional Bodies, is the natural entry point strategy for CMI.