QC XI : 210 DE JANET10
OVZRALL PLAN FOR THE CONF W NCE
IC= 'Al : Chairman's IntroductiM. (PS)
I.Restate strategy, review progress an this and outline the current
issues (co be developed more fully in Strategic Issues paper on
Tuesday).
Z.lake point about management issues - including adding value from
Operating Groups.
3.End by defining questions for conference to rasolve:-
(a)How can we grow Tobacco profits.
(b)Row can we grow our Financial Services business.
(c)Do we see realistic options for growing Retail.
110@1 (d) How can we renew our Paper businesses.
(a)Do we have a sufficient management resource in terms of
competence and style.
(f) Are the Operating Groups equipped co add value.
Item 131 : Operating Groirp/Company Uviews (CZO/CRAIXUW)
L.Define the mission for each Operation. its current situation and
prospects and the main strategic issues which are being addressed
(relaced, if possible, to the issues for the Group overall).
2.This is meant to provide background rather than being part of the main
thrust of the conference which starts at Item IV,
Item IC' : GrouD Financial Forecast (DPA)
I.This should establish:-
(&) The results forecast for 1989-L993:-
(L)EPS for the Group;
(ii)WE and Resource Availability.
(b)How these compare with the Group's Objectives.
(c)The main areas of sensitivity
2.This should then lead to conclusions:-
The nature of any, shortfall against the objectives (a.s. if
there is a profit gap, are there resources available to fill
this).
(b) The main sensitivities/vulnerabilities and the extent to which -.4
chase seem likely to put the achievement of the objectives at %D
risk.
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Item 'DI : Analysis of Strategic Issues (PS)
I . Ustate objectives and agreed strategy.
2.Consider environment and the way in which this could impact on Group.
3.Consider results arising from Financial Forecast and major issues
arising.
4.Consider implications for minor activities.
5.Analyso each of major industries in turn, outlining issues to be
covered in later sessions.
6. Bring in management issue as lead into Item 'V.
It= 'El : Management Development (ACL)
L.Should focus on the key issue of whether we have/are developing
managers capable of overcoming the current weakness in being able to
formulate viable strategies for the future de valopm* at /growth of our
businesses.
Item IV : Tobacco (PS/1;S IT=)
I.Issues co be covered in this session are:-
(a)Sensitivities in assumptions and forecasts.
(b)The competitive environment.
(c)Technological Trends and R&D.
(d)Europe.
(a) Role of the Tobacco Strategy Review Team.
Item IC' : Financial Services (BPC/Mn INTRO)
I.The five questions which this session should answer are:-
(a)Are we happy with our current portfolio.
(b)Are there specific weaknesses we need to address.
(c)Are there specific opportunities worth pursuing.
(d)Priorities for Investment.
(e) What are financial/orgauLsacional implications.
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Ices la' : Retail (PSAS ISMO + ACL)
I. 7he key questions which this session should answer are:-
(&) Can B.A.T Industries add value to retailing businesses.
(b) Is retailing capable of providing a combination of good returns
and go od growth.
(c) Do we have realistic options for growing retail.
ACL will review progress an Project Exchans.
Itam IJI_ : Piper (PS/13 IN=)
I. Questions for this session will be:-
(&) What are the renewal options.
N What are the financial/arSanisational implications.
(c) Options avoiding not investment.
(d) The potential in Brazil and SATCo -
Itea It' : Conference Overview/Itesi IL' : Chairman's Swoming-Up (PS)
1. lill summarize the answers to the questions posed at the beginning of
the conference (with the opportunity for further debate if
appropriate).
2. 'Jill then consider the implications for the Group's overall
stratagy/priarities for action - concentrating on issues for further
consideration (e.g. accelerated divestment of con-core activities).
3. '.;ill then outline the next action stages:-
(a) Board Reviews of Objectives and Strategies July.
'b)
Guidelines to Operating Groups.
(c) Strategy Team, maecings.
(d) Any ad hoc teaus sat up.
LS/DJA,
26th. April 1989
4@b
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BAT Industries document for Province of British Columbia 22 April 1999