SCS past questions

Electric vehicles · 36 sub-tasks

• V1 · Task 1(a)BCore activity B: Ecosystem and environment

  Political, economic and legal implications of requiring dealers to offer battery repairs.

  Ecosystem and environment analysis

• V1 · Task 1(b)DCore activity D: Risk

  Ethics of asking dealer technicians to dismantle high-voltage batteries.

  Ethics

• V1 · Task 2(a)CCore activity C: Financing

  What an unusual share price movement suggests about committing to, and publicising, a repair service.

  Share price and market reaction

• V1 · Task 2(b)DCore activity D: Risk

  Risk register treatment for sharing confidential strategy with dealerships.

  Risk management and the risk register

• V1 · Task 3(a)ACore activity A: Strategy

  Pros and cons of buying a company by share exchange rather than for cash.

  Acquisitions and divestments

• V1 · Task 3(b)ECore activity E: Control environment

  Internal audit tests to check that dealers carry out battery repairs safely and well.

  Internal audit

• V2 · Task 1(a)BCore activity B: Ecosystem and environment

  What a competitor analysis should cover on how rivals are affected by the company's charging points.

  Ecosystem and environment analysis

• V2 · Task 1(b)ACore activity A: Strategy

  Effect of building charging points on the company's non-financial capitals.

  ESG and non-financial capitals

• V2 · Task 2(a)ACore activity A: Strategy

  Whether the company's vision justifies a proposal to install charging points.

  Strategic choice, mission and SAF

• V2 · Task 2(b)CCore activity C: Financing

  How to raise debt for buying and installing charging points.

  Raising finance

• V2 · Task 3(a)DCore activity D: Risk

  Extra internal controls to stop charging point customers being defrauded.

  Internal controls

• V2 · Task 3(b)ECore activity E: Control environment

  The audit committee's role in reviewing payment systems and ongoing events.

  Boards, governance and pay

• V3 · Task 1(a)DCore activity D: Risk

  Controls to prevent tampering with vehicle control software.

  Internal controls

• V3 · Task 1(b)ACore activity A: Strategy

  Effect of software tampering on the company's non-financial capitals.

  ESG and non-financial capitals

• V3 · Task 2(a)BCore activity B: Ecosystem and environment

  Evaluating a new battery proposal for suitability, acceptability and feasibility.

  Strategic choice, mission and SAF

• V3 · Task 2(b)CCore activity C: Financing

  Issues in evaluating a loan offered by a commercial bank.

  Raising finance

• V3 · Task 3(a)CCore activity C: Financing

  Whether withdrawing a car model will push the share price up or down.

  Share price and market reaction

• V3 · Task 3(b)ECore activity E: Control environment

  For and against protecting directors' bonuses from the effect of a model withdrawal.

  Boards, governance and pay

• V4 · Task 1(a)ACore activity A: Strategy

  ESG implications of helping to develop an outside inventor's new process.

  ESG and non-financial capitals

• V4 · Task 1(b)CCore activity C: Financing

  Difficulties predicting how backing the process will affect the share price.

  Share price and market reaction

• V4 · Task 2(a)DCore activity D: Risk

  Ethics of buying sole rights to a process and shutting rivals out.

  Ethics

• V4 · Task 2(b)BCore activity B: Ecosystem and environment

  Political risks of adopting the process given links to another country, with responses.

  Political risk

• V4 · Task 3(a)BCore activity B: Ecosystem and environment

  Whether a partner's proposal meets suitability, acceptability and feasibility.

  Strategic choice, mission and SAF

• V4 · Task 3(b)ECore activity E: Control environment

  For and against appointing an executive director responsible for ESG.

  Boards, governance and pay

• V5 · Task 1(a)ACore activity A: Strategy

  Using scenario planning to manage several possible future events.

  Scenario planning

• V5 · Task 1(b)BCore activity B: Ecosystem and environment

  Effect of a strengthening foreign currency on the company's ability to trade.

  Currency risk

• V5 · Task 2(a)BCore activity B: Ecosystem and environment

  Whether the board should have foreseen a new sales tax from political and economic analysis.

  Ecosystem and environment analysis

• V5 · Task 2(b)CCore activity C: Financing

  Implications of a fall in the share price and how the board should respond.

  Share price and market reaction

• V5 · Task 3(a)DCore activity D: Risk

  Internal controls to prevent bribery.

  Internal controls

• V5 · Task 3(b)ECore activity E: Control environment

  Evaluating the head of internal audit's views on preventing bribery.

  Internal audit

• V6 · Task 1(a)ACore activity A: Strategy

  Key resources needed to make an acquisition succeed.

  Acquisitions and divestments

• V6 · Task 1(b)CCore activity C: Financing

  Challenges in negotiating a share exchange to buy all of a target's equity.

  Acquisitions and divestments

• V6 · Task 2(a)BCore activity B: Ecosystem and environment

  Political risks of where to build a new factory, with a response.

  Political risk

• V6 · Task 2(b)DCore activity D: Risk

  Ethics of delaying R&D to gain leverage with governments over the factory site.

  Ethics

• V6 · Task 3(a)ECore activity E: Control environment

  Whether the remuneration committee should reflect a recent share price rise in bonuses.

  Boards, governance and pay

• V6 · Task 3(b)BCore activity B: Ecosystem and environment

  Whether further R&D spending is justified given past experience with a new battery type.

  Strategic choice, mission and SAF

Satellites · 36 sub-tasks

• V1 · Task 1(a)ACore activity A: Strategy

  Whether campaigners' use of social media is a serious threat to the company.

  Stakeholders

• V1 · Task 1(b)BCore activity B: Ecosystem and environment

  Managing political risk from a protest campaign in the countries where launches take place.

  Political risk

• V1 · Task 2(a)CCore activity C: Financing

  Whether a fall in market value is a sound basis for predicting lost business.

  Share price and market reaction

• V1 · Task 2(b)DCore activity D: Risk

  Whether the campaign should have been in the risk register with a mitigation plan.

  Risk management and the risk register

• V1 · Task 3(a)DCore activity D: Risk

  Whether the company's environmental impact can be justified by its mission and vision.

  Ethics

• V1 · Task 3(b)ECore activity E: Control environment

  For and against an extra executive director for sustainability.

  Boards, governance and pay

• V2 · Task 1(a)ACore activity A: Strategy

  How far two managers should be made to own the risks of signing a contract.

  Risk management and the risk register

• V2 · Task 1(b)DCore activity D: Risk

  Ethical conflicts for a manager and a client negotiating a contract.

  Ethics

• V2 · Task 2(a)BCore activity B: Ecosystem and environment

  Difficulties analysing the technological, environmental and legal issues in a large bid.

  Ecosystem and environment analysis

• V2 · Task 2(b)CCore activity C: Financing

  Relevance of rising sector share prices to a bid decision.

  Share price and market reaction

• V2 · Task 3(a)DCore activity D: Risk

  Arguments for introducing a whistleblowing policy.

  Boards, governance and pay

• V2 · Task 3(b)ECore activity E: Control environment

  Internal audit work to make sure a whistleblowing policy works.

  Internal audit

• V3 · Task 1(a)ACore activity A: Strategy

  Scenario planning for possible outcomes of a major contract.

  Scenario planning

• V3 · Task 1(b)BCore activity B: Ecosystem and environment

  Responses to currency transaction risks on launch costs, receipts and monthly fees.

  Currency risk

• V3 · Task 2(a)BCore activity B: Ecosystem and environment

  Power and interest of two customers in the choice between their contracts.

  Stakeholders

• V3 · Task 2(b)CCore activity C: Financing

  Managing a two-year dividend suspension if a large contract goes ahead.

  Dividend policy

• V3 · Task 3(a)DCore activity D: Risk

  Risks of staff working remotely at a client's site and updating software over its network.

  Cyber and digital security

• V3 · Task 3(b)ECore activity E: Control environment

  Controls to reduce those remote working and network risks.

  Internal controls

• V4 · Task 1(a)ACore activity A: Strategy

  Whether accepting a proposal means following an emergent strategy, and whether that suits the company.

  Strategic choice, mission and SAF

• V4 · Task 1(b)BCore activity B: Ecosystem and environment

  Political risks of a partner's proposal and how to manage them.

  Political risk

• V4 · Task 2(a)BCore activity B: Ecosystem and environment

  Evaluating a counter-proposal for suitability, acceptability and feasibility.

  Strategic choice, mission and SAF

• V4 · Task 2(b)CCore activity C: Financing

  Best way to finance a large development, build and launch programme.

  Raising finance

• V4 · Task 3(a)DCore activity D: Risk

  Ethics of offering staff more pay to accept a dangerous assignment.

  Ethics

• V4 · Task 3(b)ECore activity E: Control environment

  Controls to reduce safety risks for staff on a dangerous assignment.

  Internal controls

• V5 · Task 1(a)ACore activity A: Strategy

  Whether the company has the key resources to make an acquisition work.

  Acquisitions and divestments

• V5 · Task 1(b)CCore activity C: Financing

  Difficulties negotiating share exchange terms for an acquisition.

  Acquisitions and divestments

• V5 · Task 2(a)CCore activity C: Financing

  Suitability, acceptability and feasibility of an acquisition whose key product has no full prototype.

  Strategic choice, mission and SAF

• V5 · Task 2(b)BCore activity B: Ecosystem and environment

  Scenario planning for possible events after an acquisition by share exchange.

  Scenario planning

• V5 · Task 3(a)DCore activity D: Risk

  Whether to mention a prototype launch in intellectual, human and social capital disclosures.

  ESG and non-financial capitals

• V5 · Task 3(b)ECore activity E: Control environment

  Whether, and how, the acquired company's directors should be represented on the board.

  Boards, governance and pay

• V6 · Task 1(a)ACore activity A: Strategy

  Scenario planning for a supplier's proposal, with recommended responses.

  Scenario planning

• V6 · Task 1(b)BCore activity B: Ecosystem and environment

  Customers' power and interest on the sustainability of a supplier's product.

  Stakeholders

• V6 · Task 2(a)DCore activity D: Risk

  Ethics of a director choosing not to follow up a conversation with a client's finance director.

  Ethics

• V6 · Task 2(b)BCore activity B: Ecosystem and environment

  Two ways to manage currency risk on a payment to an overseas supplier.

  Currency risk

• V6 · Task 3(a)ECore activity E: Control environment

  Governance implications of a director committing the company to a contract.

  Boards, governance and pay

• V6 · Task 3(b)CCore activity C: Financing

  Managing the risks of funding a large payment to a supplier.

  Raising finance

Lithium mining · 36 sub-tasks

• V1 · Task 1(a)BCore activity B: Ecosystem and environment

  Difficulties in understanding and managing the company's business ecosystem.

  Ecosystem and environment analysis

• V1 · Task 1(b)ACore activity A: Strategy

  Benefits of scenario planning for customers continuing to cut use of the main product.

  Scenario planning

• V1 · Task 2(a)DCore activity D: Risk

  Evaluating the risk register's mitigation of demand volatility.

  Risk management and the risk register

• V1 · Task 2(b)ECore activity E: Control environment

  Whether the whole board should own the demand volatility risk.

  Boards, governance and pay

• V1 · Task 3(a)CCore activity C: Financing

  Whether to keep paying the dividend next year.

  Dividend policy

• V1 · Task 3(b)ACore activity A: Strategy

  Challenges in designing an exit strategy for selling mines.

  Acquisitions and divestments

• V2 · Task 1(a)BCore activity B: Ecosystem and environment

  Using stakeholder analysis to help identify likely culprits of a cyber-attack.

  Stakeholders

• V2 · Task 1(b)CCore activity C: Financing

  How the board can limit the attack's effect on the share price.

  Share price and market reaction

• V2 · Task 2(a)ACore activity A: Strategy

  The board's approach to managing digital security.

  Cyber and digital security

• V2 · Task 2(b)BCore activity B: Ecosystem and environment

  Managing political risk in a host country after the cyber-attack.

  Political risk

• V2 · Task 3(a)BCore activity B: Ecosystem and environment

  Controls to stop the cyber-attack happening again.

  Cyber and digital security

• V2 · Task 3(b)ECore activity E: Control environment

  Internal audit work to check compliance with new controls.

  Internal audit

• V3 · Task 1(a)ACore activity A: Strategy

  How a perceived lack of climate transparency could change stakeholders' behaviour.

  Stakeholders

• V3 · Task 1(b)CCore activity C: Financing

  Possible share price effect of the perceived lack of transparency.

  Share price and market reaction

• V3 · Task 2(a)BCore activity B: Ecosystem and environment

  How relevant suitability, acceptability and feasibility are to deciding on new climate disclosures.

  Strategic choice, mission and SAF

• V3 · Task 2(b)ECore activity E: Control environment

  Implications of linking board pay to climate performance.

  Boards, governance and pay

• V3 · Task 3(a)DCore activity D: Risk

  Factors in keeping the licence to operate in host countries.

  Risk management and the risk register

• V3 · Task 3(b)ACore activity A: Strategy

  For and against selling the most polluting mines to a rival's customer.

  Acquisitions and divestments

• V4 · Task 1(a)DCore activity D: Risk

  Risks of continuing with traditional mining methods.

  Risk management and the risk register

• V4 · Task 1(b)BCore activity B: Ecosystem and environment

  Evaluating a proposal for suitability, acceptability and feasibility.

  Strategic choice, mission and SAF

• V4 · Task 2(a)ACore activity A: Strategy

  Factors in deciding whether to acquire a target company.

  Acquisitions and divestments

• V4 · Task 2(b)CCore activity C: Financing

  Likely reaction of the target's shareholders to the dividend policy.

  Dividend policy

• V4 · Task 3(a)DCore activity D: Risk

  Ethical issues raised in an employee's email.

  Ethics

• V4 · Task 3(b)ECore activity E: Control environment

  What the nomination committee should look for in executive and non-executive directors.

  Boards, governance and pay

• V5 · Task 1(a)ACore activity A: Strategy

  Whether building a factory abroad fits the mission, vision and values.

  Strategic choice, mission and SAF

• V5 · Task 1(b)BCore activity B: Ecosystem and environment

  Effect of the factory on political risks in the host country.

  Political risk

• V5 · Task 2(a)BCore activity B: Ecosystem and environment

  Power and interest of three stakeholder groups affected by the factory's location and design.

  Stakeholders

• V5 · Task 2(b)CCore activity C: Financing

  For and against funding the factory by borrowing locally in local currency.

  Raising finance

• V5 · Task 3(a)DCore activity D: Risk

  Ethics of agreeing to build a hospital in the host country.

  Ethics

• V5 · Task 3(b)ECore activity E: Control environment

  Internal audit work to find out whether bribes are being paid on the factory project.

  Internal audit

• V6 · Task 1(a)BCore activity B: Ecosystem and environment

  Challenges in understanding economic currency risk.

  Currency risk

• V6 · Task 1(b)DCore activity D: Risk

  For and against accepting economic currency risk rather than mitigating it.

  Currency risk

• V6 · Task 2(a)CCore activity C: Financing

  Whether currency exposure is likely to affect the company's beta.

  Share price and market reaction

• V6 · Task 2(b)ECore activity E: Control environment

  Pros and cons of adding a treasury executive director to the board.

  Boards, governance and pay

• V6 · Task 3(a)ACore activity A: Strategy

  Scenario planning responses to several possible events.

  Scenario planning

• V6 · Task 3(b)DCore activity D: Risk

  Whether to pay a ransom after a ransomware attack.

  Cyber and digital security