Part (c) for 9 marks required advice on reward management issues at Victoria. The CFO had supplied specific issues around senior and operational management rewards. This part was surprisingly poorly answered.

Many candidates used the building block model as a template for their answer but failed to go further than a generic response and did not address the specific issues for Victoria. Successful candidates briefly outlined the model and then showed how each aspect could be applied to the situation at hand.

Candidates seemed unwilling to say that the employees (senior management/operational managers) may be unhappy but that need not be an issue for Victoria as there will usually be a conflict of interest between the employees and the company/shareholders.

Good answers identified and discussed how to address this issue fairly. Baldly stating that employees should set their own targets is not a practical solution.
Future candidates should address the specific issues in a scenario in order to give commercially valuable advice to those involved.