You are on page 1of 30

Licensed Copy: Oxford Brookes ATHENS, Oxford Brookes University, 02/06/2008 22:56, Uncontrolled Copy, (c) BSI

%5,7,6+67$1'$5' %6

,62

,QFRUSRUDWLQJ
$PHQGPHQW1R 

7RWDOTXDOLW\
PDQDJHPHQW¦
3DUW*XLGHOLQHVIRUTXDOLW\
LPSURYHPHQW

8'& 

NO COPYING WITHOUT BSI PERMISSION EXCEPT AS PERMITTED BY COPYRIGHT LAW


Licensed Copy: Oxford Brookes ATHENS, Oxford Brookes University, 02/06/2008 22:56, Uncontrolled Copy, (c) BSI
%6

&RPPLWWHHVUHVSRQVLEOHIRUWKLV%ULWLVK
6WDQGDUG

7KHSUHSDUDWLRQRIWKLV%ULWLVK6WDQGDUGZDVHQWUXVWHGE\WKH4XDOLW\
0DQDJHPHQWDQG6WDWLVWLFV6WDQGDUGV3ROLF\&RPPLWWHH 406 WR7HFKQLFDO
&RPPLWWHH406XSRQZKLFKWKHIROORZLQJERGLHVZHUHUHSUHVHQWHG

$VVRFLDWHG2IILFHV7HFKQLFDO&RPPLWWHH (OHFWULFLW\$VVRFLDWLRQ
$VVRFLDWLRQRI%ULWLVK&HUWLILFDWLRQ%RGLHV (OHFWURQLF&RPSRQHQWV,QGXVWU\)HGHUDWLRQ
$VVRFLDWLRQRI%ULWLVK+HDOWKFDUH,QGXVWULHV (QHUJ\,QGXVWULHV&RXQFLO
$VVRFLDWLRQRI%ULWLVK0LQLQJ(TXLSPHQW (QJLQHHULQJ(TXLSPHQWDQG0DWHULDOV8VHUVª
&RPSDQLHV $VVRFLDWLRQ
$VVRFLDWLRQRI&RQVXOWLQJ(QJLQHHUV )HGHUDWLRQRI6PDOO%XVLQHVVHV
$VVRFLDWLRQRI&RQVXOWLQJ6FLHQWLVWV *$0%,&$ %($0$/WG
$VVRFLDWLRQRI)LHOG6HUYLFH0DQDJHUV *XLOGIRUG&RXQW\&ROOHJHRI7HFKQRORJ\
,QWHUQDWLRQDO 8. 6RXWKHUQ +HDOWKDQG6DIHW\([HFXWLYH
%($0$/WG ,QIRUPDWLRQ6\VWHPV4XDOLW\$VVRFLDWLRQ
%ULVWRO4XDOLW\&HQWUH ,QVWLWXWHRI&KDUWHUHG$FFRXQWDQWV
%ULWLVK$SSURYDOV6HUYLFHIRU&DEOHV ,QVWLWXWHRI0DQDJHPHQW
%ULWLVK*DVSOF ,QVWLWXWHRI4XDOLW\$VVXUDQFH
%ULWLVK0DULQH,QGXVWULHV)HGHUDWLRQ ,QVWLWXWHRI7UDGLQJ6WDQGDUGV$GPLQLVWUDWLRQ
%ULWLVK0DULWLPH7HFKQRORJ\ ,QVWLWXWLRQRI&KHPLFDO(QJLQHHUV
%ULWLVK1XFOHDU)XHOVSOF ,QVWLWXWLRQRI(OHFWULFDO(QJLQHHUV
%ULWLVK3DSHUDQG%RDUG,QGXVWU\)HGHUDWLRQ ,QVWLWXWLRQRI0HFKDQLFDO(QJLQHHUV
%ULWLVK3KRWRJUDSKLF$VVRFLDWLRQ ,QWHUQDWLRQDO$WRPLF(QHUJ\$JHQF\
%ULWLVK4XDOLW\)RXQGDWLRQ 0HUFXU\&RPPXQLFDWLRQV/LPLWHG
%ULWLVK5DLOZD\V%RDUG 0LQLVWU\RI'HIHQFH
%ULWLVK6WHHO,QGXVWU\ 1DWLRQDO$FFUHGLWDWLRQ&RXQFLORI&HUWLILFDWLRQ
%ULWLVK6XUJLFDO7UDGHV$VVRFLDWLRQ %RGLHV
%ULWLVK7HOHFRPPXQLFDWLRQVSOF 1DWLRQDO$VVRFLDWLRQRI3OXPELQJ+HDWLQJDQG
%ULWLVK:HOGHG6WHHO7XEH$VVRFLDWLRQ 0HFKDQLFDO6HUYLFHV&RQWUDFWRUV
&HQWUHIRU$GYDQFHG0DULWLPH6WXGLHV 1DWLRQDO+RXVHEXLOGLQJ&RXQFLO
&HUDPLF,QGXVWU\&HUWLILFDWLRQ6FKHPH/WG 1DWLRQDO4XDOLW\'HYHORSPHQW6XSSRUW
&KHPLFDO,QGXVWULHV$VVRFLDWLRQ 1HWZRUN
&RPSXWLQJ6HUYLFHV$VVRFLDWLRQ 3HUDWHF/LPLWHG
&RQIHGHUDWLRQRI%ULWLVK,QGXVWU\ 3RZHU*HQHUDWLRQ&RQWUDFWRUVª$VVRFLDWLRQ
&RQVXPHU3ROLF\&RPPLWWHHRI%6, 3*&$  %($0$/WG
&RQVXPHUVª$VVRFLDWLRQ 5R\DO,QVWLWXWLRQRI&KDUWHUHG6XUYH\RUV
'HIHQFH0DQXIDFWXUHUVª$VVRFLDWLRQ 6RFLHW\RI%ULWLVK$HURVSDFH&RPSDQLHV
'HSDUWPHQWRIWKH(QYLURQPHQW 4XDOLW\ /LPLWHG
&RPSHWLWLRQDQG$WWHVWDWLRQ%UDQFK 6RFLHW\RI(QJLQHHUV,QFRUSRUDWHG
'HSDUWPHQWRI7UDGHDQG,QGXVWU\ 1DPDV 6RFLHW\RI0RWRU0DQXIDFWXUHUVDQG7UDGHUV
7KLV%ULWLVK6WDQGDUGKDYLQJ
([HFXWLYH /LPLWHG
EHHQSUHSDUHGXQGHUWKH
GLUHFWLRQRIWKH4XDOLW\ (($ WKH$VVRFLDWLRQRIWKH(OHFWURQLFV 8QLYHUVLW\RI6DOIRUG
0DQDJHPHQWDQG6WDWLVWLFV 7HOHFRPPXQLFDWLRQVDQG%XVLQHVV :DWHU6HUYLFHV$VVRFLDWLRQRI(QJODQGDQG
6WDQGDUGV3ROLF\&RPPLWWHH (TXLSPHQW,QGXVWULHV :DOHV
ZDVSXEOLVKHGXQGHUWKH
DXWKRULW\RIWKH6WDQGDUGV :HVW0LGODQGV(QWHUSULVH%RDUG
%RDUGDQGFRPHV
LQWRHIIHFWRQ
0DUFK
‹%6,
$PHQGPHQWVLVVXHGVLQFHSXEOLFDWLRQ
)LUVWSXEOLVKHG6HSWHPEHU
6HFRQGHGLWLRQ0DUFK $PG1R 'DWH &RPPHQWV

 )HEUXDU\ ,QGLFDWHGE\DVLGHOLQHLQWKHPDUJLQ
7KHIROORZLQJ%6,UHIHUHQFHV
UHODWHWRWKHZRUNRQWKLV
VWDQGDUG
&RPPLWWHHUHIHUHQFH406
'UDIWIRUFRPPHQW'&

,6%1
Licensed Copy: Oxford Brookes ATHENS, Oxford Brookes University, 02/06/2008 22:56, Uncontrolled Copy, (c) BSI
%6

&RQWHQWV

3DJH
&RPPLWWHHVUHVSRQVLEOH ,QVLGHIURQWFRYHU
1DWLRQDOIRUHZRUG LL
,QWURGXFWLRQ 
 6FRSH 
 1RUPDWLYHUHIHUHQFH 
 'HILQLWLRQV 
 )XQGDPHQWDOFRQFHSWV 
 0DQDJLQJIRUTXDOLW\LPSURYHPHQW 
 0HWKRGRORJ\IRUTXDOLW\LPSURYHPHQW 
 6XSSRUWLQJWRROVDQGWHFKQLTXHV 
$QQH[$ QRUPDWLYH 6XSSRUWLQJWRROVDQGWHFKQLTXHV 
$QQH[% LQIRUPDWLYH %LEOLRJUDSK\ 
)LJXUH¦$XQLWRIDVXSSO\FKDLQ 
)LJXUH$¦5DQGRPGLVSOD\DVSHUVWHSF RI 
)LJXUH$¦,QLWLDOFDXVHDQGHIIHFWGLDJUDP 
)LJXUH$¦'HYHORSPHQWRIFDXVHDQGHIIHFWGLDJUDP 
)LJXUH$¦([DPSOHRIDFDXVHDQGHIIHFWGLDJUDP 
)LJXUH$¦)ORZFKDUWV\PEROV 
)LJXUH$¦([DPSOHRIDIORZFKDUW 
)LJXUH$¦([DPSOHRIDWUHHGLDJUDP 
)LJXUH$¦ ; DQG5FKDUWVIRURYHUILOOGDWD 
)LJXUH$¦&RPPRQO\RFFXUULQJSDWWHUQVLQKLVWRJUDPV 
)LJXUH$¦([DPSOHRIDKLVWRJUDP 
)LJXUH$¦([DPSOHRID3DUHWRGLDJUDP 
)LJXUH$¦&RPPRQO\RFFXUULQJVFDWWHUGLDJUDPV 
)LJXUH$¦([DPSOHRIDVFDWWHUGLDJUDP 
7DEOH¦7RROVDQGWHFKQLTXHVIRUTXDOLW\LPSURYHPHQW 
7DEOH$¦'DWDFROOHFWLRQIRUP 
7DEOH$¦'DWDRUJDQL]HGE\JURXSLQJDVSHUVWHSH RI 
7DEOH$¦2YHUILOOGDWDDQGVDPSOHVWDWLVWLFV ; 5 
7DEOH$¦$PRXQWRIDGGLWLYH§$¨DQGDVVRFLDWHG\LHOG 
/LVWRIUHIHUHQFHV ,QVLGHEDFNFRYHU

‹%6, L
Licensed Copy: Oxford Brookes ATHENS, Oxford Brookes University, 02/06/2008 22:56, Uncontrolled Copy, (c) BSI
%6

1DWLRQDOIRUHZRUG
7KLV3DUWRI%6KDVEHHQSUHSDUHGXQGHUWKHGLUHFWLRQRIWKH4XDOLW\
0DQDJHPHQWDQG6WDWLVWLFV6WDQGDUGV3ROLF\&RPPLWWHH,WLVLGHQWLFDOZLWK
,624XDOLW\PDQDJHPHQWDQGTXDOLW\V\VWHPHOHPHQWV¦
3DUW*XLGHOLQHVIRUTXDOLW\LPSURYHPHQWLQFOXGLQJ7HFKQLFDO&RUULJHQGXP
SXEOLVKHGE\WKH,QWHUQDWLRQDO2UJDQL]DWLRQIRU6WDQGDUGL]DWLRQ ,62 ,W
VXSHUVHGHV%6ZKLFKLVZLWKGUDZQ
7KLV3DUWRI%6JLYHVJXLGDQFHRQLPSOHPHQWLQJFRQWLQXRXVTXDOLW\
LPSURYHPHQWZLWKLQDQRUJDQL]DWLRQ
7KHIROORZLQJ3DUWVRI%6KDYHQRZEHHQSXEOLVKHG
¦3DUW*XLGHWRPDQDJHPHQWSULQFLSOHV
¦3DUW*XLGHOLQHVIRUTXDOLW\LPSURYHPHQW

&URVVUHIHUHQFHV
,QWHUQDWLRQDOVWDQGDUG &RUUHVSRQGLQJ%ULWLVK6WDQGDUG
,62 %64XDOLW\YRFDEXODU\
3DUW,QWHUQDWLRQDOWHUPV
,GHQWLFDO
7KH%ULWLVK6WDQGDUGVFRUUHVSRQGLQJWR,62DQG,62
OLVWHGLQ$QQH[%DUH%6DQG%6UHVSHFWLYHO\
$%ULWLVK6WDQGDUGGRHVQRWSXUSRUWWRLQFOXGHDOOWKHQHFHVVDU\SURYLVLRQVRID
FRQWUDFW8VHUVRI%ULWLVK6WDQGDUGVDUHUHVSRQVLEOHIRUWKHLUFRUUHFWDSSOLFDWLRQ
&RPSOLDQFHZLWKD%ULWLVK6WDQGDUGGRHVQRWRILWVHOIFRQIHULPPXQLW\
IURPOHJDOREOLJDWLRQV

6XPPDU\RISDJHV
7KLVGRFXPHQWFRPSULVHVDIURQWFRYHUDQLQVLGHIURQWFRYHUSDJHVLDQGLL
SDJHV WRDQLQVLGHEDFNFRYHUDQGDEDFNFRYHU
7KH%6,FRS\ULJKWQRWLFHGLVSOD\HGLQWKLVGRFXPHQWLQGLFDWHVZKHQWKH
GRFXPHQWZDVODVWLVVXHG
6LGHOLQLQJLQWKLVGRFXPHQWLQGLFDWHVWKHPRVWUHFHQWFKDQJHVE\DPHQGPHQW

LL ‹%6,
Licensed Copy: Oxford Brookes ATHENS, Oxford Brookes University, 02/06/2008 22:56, Uncontrolled Copy, (c) BSI
,62 (

,QWURGXFWLRQ 1RUPDWLYHUHIHUHQFH
:KHQLPSOHPHQWLQJDTXDOLW\V\VWHP HJDV 7KHIROORZLQJVWDQGDUGFRQWDLQVSURYLVLRQVZKLFK
GHVFULEHGLQ,62 WKHPDQDJHPHQWRIDQ WKURXJKUHIHUHQFHLQWKLVWH[WFRQVWLWXWHSURYLVLRQV
RUJDQL]DWLRQVKRXOGHQVXUHWKDWWKHV\VWHPZLOO RIWKLVSDUWRI,62$WWKHWLPHRISXEOLFDWLRQ
IDFLOLWDWHDQGSURPRWHFRQWLQXRXVTXDOLW\ WKHHGLWLRQLQGLFDWHGZDVYDOLG$OOVWDQGDUGVDUH
LPSURYHPHQW$FRQVWDQWJRDORIPDQDJHPHQWDWDOO VXEMHFWWRUHYLVLRQDQGSDUWLHVWRDJUHHPHQWVEDVHG
OHYHOVRIDQRUJDQL]DWLRQVKRXOGEHWRVWULYHIRU RQWKLVSDUWRI,62DUHHQFRXUDJHGWR
FXVWRPHUVDWLVIDFWLRQDQGFRQWLQXRXVTXDOLW\ LQYHVWLJDWHWKHSRVVLELOLW\RIDSSO\LQJWKHPRVW
LPSURYHPHQW UHFHQWHGLWLRQRIWKHVWDQGDUGLQGLFDWHGEHORZ
0HPEHUVRI,(&DQG,62PDLQWDLQUHJLVWHUVRI
7KHTXDOLW\RISURGXFWVDQGVHUYLFHVLVLPSRUWDQWIRU
FXUUHQWO\YDOLG,QWHUQDWLRQDO6WDQGDUGV
FRPSHWLWLYHQHVV&RQWLQXRXVTXDOLW\LPSURYHPHQW
LVQHFHVVDU\WRHQKDQFHDQRUJDQL]DWLRQªV ,62¦ 4XDOLW\PDQDJHPHQWDQGTXDOLW\
FRPSHWLWLYHSRVLWLRQ,WVKRXOGEHHPSKDVL]HGWKDW DVVXUDQFH¦9RFDEXODU\
LQQRYDWLYHVWUDWHJLHVIRUWKHLQWURGXFWLRQRIQHZ
SURGXFWVHUYLFHRUSURFHVVWHFKQRORJLHVDQG 'HILQLWLRQV
FRQWLQXRXVTXDOLW\LPSURYHPHQWDOOQHHGWREH
FRQVLGHUHG )RUWKHSXUSRVHVRIWKLVSDUWRI,62WKH
GHILQLWLRQVJLYHQLQ,62DQGWKHIROORZLQJ
7KHPRWLYDWLRQIRUTXDOLW\LPSURYHPHQWFRPHVIURP GHILQLWLRQVDSSO\
WKHQHHGWRSURYLGHLQFUHDVHGYDOXHDQGVDWLVIDFWLRQ
WRFXVWRPHUV(YHU\PHPEHURIDQRUJDQL]DWLRQ 
VKRXOGGHYHORSDFRQVFLRXVDZDUHQHVVWKDWHDFK SURFHVV
SURFHVVFDQEHSHUIRUPHGPRUHHIIHFWLYHO\DQGPRUH DVHWRILQWHUUHODWHGUHVRXUFHVDQGDFWLYLWLHVZKLFK
HIILFLHQWO\ZLWKOHVVZDVWHDQGUHVRXUFH WUDQVIRUPVLQSXWVLQWRRXWSXWV
FRQVXPSWLRQ 127( 5HVRXUFHVPD\LQFOXGHSHUVRQQHOIDFLOLWLHV
,QFUHDVHVLQHIIHFWLYHQHVVDQGHIILFLHQF\EHQHILW HTXLSPHQWWHFKQRORJ\DQGPHWKRGRORJ\
FXVWRPHUVWKHRUJDQL]DWLRQDQGLWVPHPEHUVDQG
VRFLHW\LQJHQHUDO&RQWLQXRXVTXDOLW\LPSURYHPHQW 
VXSSO\FKDLQ
HQKDQFHVWKHDELOLW\RIDQRUJDQL]DWLRQWRFRPSHWH
DQGWKHRSSRUWXQLW\IRULWVPHPEHUVWRFRQWULEXWH DVHWRILQWHUUHODWHGSURFHVVHVWKDWDFFHSWVLQSXWV
JURZDQGH[FHO IURPVXSSOLHUVDGGVYDOXHWRWKHVHLQSXWVDQG
SURGXFHVRXWSXWVIRUFXVWRPHUV
6FRSH 127( ,QSXWDQGRXWSXWVFDQEHHLWKHUSURGXFWVRUVHUYLFHV
127( &XVWRPHUVDQGVXSSOLHUVFDQEHHLWKHULQWHUQDORU
7KLVSDUWRI,62JLYHVPDQDJHPHQWJXLGHOLQHV H[WHUQDOWRWKHRUJDQL]DWLRQ
IRULPSOHPHQWLQJFRQWLQXRXVTXDOLW\LPSURYHPHQW
ZLWKLQDQRUJDQL]DWLRQ 127( $XQLWRIDVXSSO\FKDLQLVLOOXVWUDWHGLQ)LJXUH

7KHZD\VRIDGRSWLQJDQGLPSOHPHQWLQJWKHVH 
JXLGHOLQHVGHSHQGXSRQIDFWRUVVXFKDVWKHFXOWXUH TXDOLW\LPSURYHPHQW
VL]HQDWXUHRIWKHRUJDQL]DWLRQWKHW\SHVRI DFWLRQVWDNHQWKURXJKRXWWKHRUJDQL]DWLRQWR
SURGXFWVRUVHUYLFHVRIIHUHGDQGWKHPDUNHWVDQG LQFUHDVHWKHHIIHFWLYHQHVVDQGHIILFLHQF\RIDFWLYLWLHV
FXVWRPHUQHHGVVHUYHG7KHUHIRUHDQRUJDQL]DWLRQ DQGSURFHVVHVWRSURYLGHDGGHGEHQHILWVWRERWKWKH
VKRXOGGHYHORSDQLPSURYHPHQWSURFHVVVXLWHGWRLWV RUJDQL]DWLRQDQGLWVFXVWRPHUV
RZQQHHGVDQGUHVRXUFHV

7KLVSDUWRI,62LVQRWIRUFRQWUDFWXDO
UHJXODWRU\RUFHUWLILFDWLRQXVH TXDOLW\ORVVHV
ORVVHVFDXVHGE\QRWUHDOL]LQJWKHSRWHQWLDORI
UHVRXUFHVLQSURFHVVHVDQGDFWLYLWLHV
127( 6RPHH[DPSOHVRITXDOLW\ORVVHVDUHWKHORVVRI
FXVWRPHUVDWLVIDFWLRQORVVRIRSSRUWXQLW\WRDGGPRUHYDOXHIRU
WKHFXVWRPHUWKHRUJDQL]DWLRQRUVRFLHW\DVZHOODVDZDVWHRI
UHVRXUFHV4XDOLW\ORVVHVDUHDVXEVHWRITXDOLW\FRVWV VHH 

 7REHSXEOLVKHG 5HYLVLRQRI,62

‹%6, 
Licensed Copy: Oxford Brookes ATHENS, Oxford Brookes University, 02/06/2008 22:56, Uncontrolled Copy, (c) BSI
,62 (

)LJXUH¦$XQLWRIDVXSSO\FKDLQ

 (QYLURQPHQWIRUTXDOLW\LPSURYHPHQW
SUHYHQWLYHDFWLRQ
DQDFWLRQWDNHQWRHOLPLQDWHWKHFDXVHVRID 0DQDJHPHQWUHVSRQVLELOLW\DQG
SRWHQWLDOQRQFRQIRUPLW\GHIHFWRURWKHUXQGHVLUDEOH OHDGHUVKLS
VLWXDWLRQLQRUGHUWRSUHYHQWRFFXUUHQFH 7KHUHVSRQVLELOLW\DQGOHDGHUVKLSIRUFUHDWLQJWKH
HQYLURQPHQWIRUFRQWLQXRXVTXDOLW\LPSURYHPHQW
 EHORQJWRWKHKLJKHVWOHYHORIPDQDJHPHQW
FRUUHFWLYHDFWLRQ 0DQDJHUVFRQYH\WKHOHDGHUVKLSDQGFRPPLWPHQW
DQDFWLRQWDNHQWRHOLPLQDWHWKHFDXVHVRIDQ QHFHVVDU\IRUFUHDWLQJWKHHQYLURQPHQWIRUTXDOLW\
H[LVWLQJQRQFRQIRUPLW\GHIHFWRURWKHUXQGHVLUDEOH LPSURYHPHQWE\WKHLURZQDFWLRQVFRQVWDQF\DQG
VLWXDWLRQLQRUGHUWRSUHYHQWUHFXUUHQFH GHSOR\PHQWRIUHVRXUFHV0DQDJHUVOHDGTXDOLW\
127( $FWLRQVIRUFRUUHFWLQJSURFHVVRXWSXWVLQFOXGHUHSDLU LPSURYHPHQWE\FRPPXQLFDWLQJSXUSRVHDQGJRDOV
UHZRUNRUDGMXVWPHQWWDNHQWRUHFWLI\QRQFRQIRUPLQJGHIHFWLYH E\FRQWLQXRXVO\LPSURYLQJWKHLURZQZRUN
RURWKHUXQGHVLUDEOHSURFHVVRXWSXWV SURFHVVHVE\IRVWHULQJDQHQYLURQPHQWRIRSHQ
FRPPXQLFDWLRQWHDPZRUNDQGUHVSHFWIRUWKH
)XQGDPHQWDOFRQFHSWV LQGLYLGXDODQGE\HQDEOLQJDQGHPSRZHULQJ
HYHU\RQHLQWKHRUJDQL]DWLRQWRLPSURYHWKHLUZRUN
3ULQFLSOHVRITXDOLW\LPSURYHPHQW SURFHVVHV
7KHTXDOLW\RIDQRUJDQL]DWLRQªVSURGXFWVVHUYLFHV
DQGRWKHURXWSXWVLVGHWHUPLQHGE\WKHVDWLVIDFWLRQ 9DOXHVDWWLWXGHVDQGEHKDYLRXU
RIWKHFXVWRPHUVZKRXVHWKHPDQGUHVXOWVIURPWKH 7KHHQYLURQPHQWIRUTXDOLW\LPSURYHPHQWRIWHQ
HIIHFWLYHQHVVDQGHIILFLHQF\RIWKHSURFHVVHVWKDW UHTXLUHVDQHZVHWRIVKDUHGYDOXHVDWWLWXGHVDQG
FUHDWHDQGVXSSRUWWKHP EHKDYLRXUIRFXVLQJRQVDWLVI\LQJFXVWRPHUQHHGV
DQGVHWWLQJHYHUPRUHFKDOOHQJLQJJRDOV9DOXHV
4XDOLW\LPSURYHPHQWLVDFKLHYHGE\LPSURYLQJ
DWWLWXGHVDQGEHKDYLRXUWKDWDUHHVVHQWLDOIRU
SURFHVVHV(YHU\DFWLYLW\RULWHPRIZRUNLQDQ
FRQWLQXRXVTXDOLW\LPSURYHPHQWLQFOXGH
RUJDQL]DWLRQFRPSULVHVRQHRUPRUHSURFHVVHV
¦IRFXVLQJDWWHQWLRQRQVDWLVI\LQJWKHQHHGVRI
4XDOLW\LPSURYHPHQWLVDFRQWLQXRXVDFWLYLW\
ERWKLQWHUQDODQGH[WHUQDOFXVWRPHUV
DLPLQJIRUHYHUKLJKHUSURFHVVHIIHFWLYHQHVVDQG
HIILFLHQF\ ¦LQYROYLQJWKHHQWLUHVXSSO\FKDLQIURP
VXSSOLHUVWRFXVWRPHUVLQTXDOLW\LPSURYHPHQW
4XDOLW\LPSURYHPHQWHIIRUWVVKRXOGEHGLUHFWHG
WRZDUGVFRQVWDQWO\VHHNLQJRSSRUWXQLWLHVIRU ¦GHPRQVWUDWLQJPDQDJHPHQWFRPPLWPHQW
LPSURYHPHQWUDWKHUWKDQZDLWLQJIRUDSUREOHPWR OHDGHUVKLSDQGLQYROYHPHQW
UHYHDORSSRUWXQLWLHV ¦HPSKDVL]LQJTXDOLW\LPSURYHPHQWDVDSDUWRI
HYHU\RQHªVMREHLWKHUE\WHDPZRUNRULQGLYLGXDO
&RUUHFWLQJSURFHVVRXWSXWVUHGXFHVRUHOLPLQDWHVD DFWLYLWLHV
SUREOHPZKLFKKDVRFFXUUHG3UHYHQWLYHDQG
FRUUHFWLYHDFWLRQVHOLPLQDWHRUUHGXFHWKHFDXVHVRI ¦DGGUHVVLQJSUREOHPVE\LPSURYLQJSURFHVVHV
DSUREOHPDQGKHQFHHOLPLQDWHRUUHGXFHDQ\IXWXUH ¦FRQWLQXRXVO\LPSURYLQJDOOSURFHVVHV
RFFXUUHQFH7KXVSUHYHQWLYHDQGFRUUHFWLYHDFWLRQV ¦HVWDEOLVKLQJRSHQFRPPXQLFDWLRQZLWKDFFHVV
LPSURYHWKHSURFHVVHVRIDQRUJDQL]DWLRQDQGDUH WRGDWDDQGLQIRUPDWLRQ
FULWLFDOWRTXDOLW\LPSURYHPHQW
¦SURPRWLQJWHDPZRUNDQGUHVSHFWIRUWKH
LQGLYLGXDO
¦PDNLQJGHFLVLRQVEDVHGRQWKHDQDO\VLVRIGDWD

 ‹%6,
Licensed Copy: Oxford Brookes ATHENS, Oxford Brookes University, 02/06/2008 22:56, Uncontrolled Copy, (c) BSI
,62 (

4XDOLW\LPSURYHPHQWJRDOV (GXFDWLRQDQGWUDLQLQJ
4XDOLW\LPSURYHPHQWJRDOVVKRXOGEHHVWDEOLVKHG 2QJRLQJHGXFDWLRQDQGWUDLQLQJDUHHVVHQWLDOIRU
WKURXJKRXWWKHRUJDQL]DWLRQ7KH\VKRXOGEHFORVHO\ HYHU\RQH(GXFDWLRQDQGWUDLQLQJSURJUDPPHVDUH
LQWHJUDWHGZLWKWKHRYHUDOOEXVLQHVVJRDOVDQG LPSRUWDQWLQFUHDWLQJDQGPDLQWDLQLQJDQ
SURYLGHIRFXVIRULQFUHDVLQJFXVWRPHUVDWLVIDFWLRQ HQYLURQPHQWIRUTXDOLW\LPSURYHPHQW$OOPHPEHUV
DQGSURFHVVHIIHFWLYHQHVVDQGHIILFLHQF\ RIDQRUJDQL]DWLRQLQFOXGLQJWKHKLJKHVWOHYHOVRI
4XDOLW\LPSURYHPHQWJRDOVVKRXOGEHGHILQHGVR PDQDJHPHQWVKRXOGEHHGXFDWHGDQGWUDLQHGLQ
WKDWSURJUHVVFDQEHPHDVXUHG7KH\VKRXOGEH TXDOLW\SULQFLSOHVDQGSUDFWLFHVDQGLQWKH
FOHDUO\XQGHUVWDQGDEOHFKDOOHQJLQJDQGSHUWLQHQW DSSOLFDWLRQRIDSSURSULDWHPHWKRGVIRUTXDOLW\
6WUDWHJLHVWRDFKLHYHWKHVHJRDOVVKRXOGEH LPSURYHPHQW7KLVLQFOXGHVWKHXVHRI
XQGHUVWRRGDQGDJUHHGWRE\DOOZKRPXVWZRUN TXDOLW\LPSURYHPHQWWRROVDQGWHFKQLTXHV
WRJHWKHUWRDFKLHYHWKHP4XDOLW\LPSURYHPHQW VHH$QQH[$ $OOHGXFDWLRQDQGWUDLQLQJ
JRDOVVKRXOGEHUHJXODUO\UHYLHZHGDQGVKRXOG SURJUDPPHVVKRXOGEHUHYLHZHGIRUFRQVLVWHQF\
UHIOHFWFKDQJLQJFXVWRPHUH[SHFWDWLRQV ZLWKTXDOLW\SULQFLSOHVDQGSUDFWLFHV7KH
HIIHFWLYHQHVVRIHGXFDWLRQDQGWUDLQLQJVKRXOGEH
&RPPXQLFDWLRQVDQGWHDPZRUN UHJXODUO\DVVHVVHG7UDLQLQJVHSDUDWHGIURP
2SHQFRPPXQLFDWLRQDQGWHDPZRUNUHPRYH DSSOLFDWLRQLVUDUHO\HIIHFWLYH VHH 
RUJDQL]DWLRQDODQGSHUVRQDOEDUULHUVWKDWLQWHUIHUH
ZLWKHIIHFWLYHQHVVHIILFLHQF\DQGFRQWLQXRXV 4XDOLW\ORVVHV
LPSURYHPHQWRISURFHVVHV2SHQFRPPXQLFDWLRQ 2SSRUWXQLWLHVWRUHGXFHTXDOLW\ORVVHVJXLGH
DQGWHDPZRUNVKRXOGEHH[WHQGHGWKURXJKRXWWKH TXDOLW\LPSURYHPHQWHIIRUWV4XDOLW\ORVVHVVKRXOG
ZKROHVXSSO\FKDLQLQFOXGLQJVXSSOLHUVDQG EHOLQNHGZLWKWKHSURFHVVHVFDXVLQJWKHP,WLV
FXVWRPHUV&RPPXQLFDWLRQDQGWHDPZRUNUHTXLUH LPSRUWDQWDWOHDVWWRHVWLPDWHHYHQWKRVHTXDOLW\
WUXVW7UXVWLVHVVHQWLDOLIHYHU\RQHLVWREHLQYROYHG ORVVHVZKLFKDUHGLIILFXOWWRPHDVXUHVXFKDVWKH
LQLGHQWLI\LQJDQGIROORZLQJXSRQRSSRUWXQLWLHVIRU ORVVRIFXVWRPHUJRRGZLOODQGWKHIDLOXUHIXOO\WR
LPSURYHPHQW XWLOL]HKXPDQSRWHQWLDO2UJDQL]DWLRQVVKRXOG
UHGXFHTXDOLW\ORVVHVE\XVLQJHYHU\RSSRUWXQLW\WR
5HFRJQLWLRQ LPSURYHTXDOLW\
7KHUHFRJQLWLRQSURFHVVHQFRXUDJHVDFWLRQV
FRQVLVWHQWZLWKYDOXHVDWWLWXGHVDQGEHKDYLRXU 0DQDJLQJIRUTXDOLW\LPSURYHPHQW
QHFHVVDU\IRUTXDOLW\LPSURYHPHQW VHH  $OWKRXJKWKHDSSOLFDWLRQRIDQ\RIWKHWHFKQLTXHV
6XFFHVVIXOUHFRJQLWLRQSURFHVVHVHPSKDVL]HWKH GHVFULEHGLQ$QQH[$ZLOOJLYHVRPHLQFUHPHQWDO
GHYHORSPHQWDQGJURZWKRILQGLYLGXDOVDQGFRQVLGHU LPSURYHPHQWWKHLUIXOOSRWHQWLDOFDQRQO\EH
WKHIDFWRUVZKLFKLQIOXHQFHDQLQGLYLGXDOªVZRUN UHDOL]HGLIWKH\DUHDSSOLHGDQGFRRUGLQDWHGZLWKLQD
SHUIRUPDQFH HJRSSRUWXQLW\RUJDQL]DWLRQ VWUXFWXUHGIUDPHZRUN7KLVUHTXLUHVRUJDQL]LQJ
HQYLURQPHQW )XUWKHUPRUHVXFFHVVIXOUHFRJQLWLRQ SODQQLQJPHDVXULQJIRUTXDOLW\LPSURYHPHQWDQG
SURFHVVHVHPSKDVL]HJURXSSHUIRUPDQFHDQGJURXS UHYLHZLQJDOOTXDOLW\LPSURYHPHQWDFWLYLWLHV
UHFRJQLWLRQDQGHQFRXUDJHIUHTXHQWDQGLQIRUPDO
IHHGEDFN 2UJDQL]LQJIRUTXDOLW\LPSURYHPHQW
127( 5HZDUGV\VWHPVVKRXOGEHFRQVLVWHQWZLWKWKH $QHIIHFWLYHZD\RIRUJDQL]LQJTXDOLW\LPSURYHPHQW
UHFRJQLWLRQSURFHVV,QSDUWLFXODUUHZDUGV\VWHPVVKRXOGDYRLG LGHQWLILHVRSSRUWXQLWLHVIRUTXDOLW\LPSURYHPHQW
SURPRWLQJGHVWUXFWLYHLQWHUQDOFRPSHWLWLRQ ERWKYHUWLFDOO\ZLWKLQWKHRUJDQL]DWLRQDOKLHUDUFK\
DQGKRUL]RQWDOO\LQWKHSURFHVVHVWKDWIORZDFURVV
RUJDQL]DWLRQDOERXQGDULHV,QRUJDQL]LQJIRUTXDOLW\
LPSURYHPHQWWKHIROORZLQJVKRXOGEHDGGUHVVHG
¦DPHDQVIRUSURYLGLQJSROLF\VWUDWHJ\PDMRU
TXDOLW\LPSURYHPHQWJRDOVRYHUDOOJXLGDQFH
VXSSRUWDQGEURDGFRRUGLQDWLRQRIWKH
RUJDQL]DWLRQªVTXDOLW\LPSURYHPHQWDFWLYLWLHV
¦DPHDQVRILGHQWLI\LQJFURVVIXQFWLRQDO
TXDOLW\LPSURYHPHQWQHHGVDQGJRDOVDQG
DVVLJQLQJUHVRXUFHVWRSXUVXHWKHP
¦DPHDQVWRSXUVXHTXDOLW\LPSURYHPHQWJRDOV
E\WHDPDFWLYLWLHVZLWKLQDUHDVRIGLUHFW
UHVSRQVLELOLWLHVDQGDXWKRULWLHV

‹%6, 
Licensed Copy: Oxford Brookes ATHENS, Oxford Brookes University, 02/06/2008 22:56, Uncontrolled Copy, (c) BSI
,62 (

¦DPHDQVIRUHQFRXUDJLQJHYHU\PHPEHURIWKH 3ODQQLQJIRUTXDOLW\LPSURYHPHQW
RUJDQL]DWLRQWRSXUVXHTXDOLW\LPSURYHPHQW 4XDOLW\LPSURYHPHQWJRDOVDQGSODQVVKRXOGEHD
DFWLYLWLHVUHODWHGWRWKHLUZRUNDQGIRU SDUWRIDQRUJDQL]DWLRQªVEXVLQHVVSODQ
FRRUGLQDWLQJWKHVHDFWLYLWLHV
0DQDJHPHQWVKRXOGVHWTXDOLW\LPSURYHPHQWJRDOV
¦DPHDQVRIUHYLHZLQJDQGDVVHVVLQJWKH
LQWKHEURDGHVWVHQVHLQFOXGLQJUHGXFLQJTXDOLW\
SURJUHVVRITXDOLW\LPSURYHPHQWDFWLYLWLHV ORVVHV3ODQVVKRXOGEHGHYHORSHGZLWKLQWKH
:LWKLQWKHRUJDQL]DWLRQDOKLHUDUFK\ EXVLQHVVSODQQLQJF\FOHWRSURYLGHVWUDWHJLF
UHVSRQVLELOLWLHVIRUTXDOLW\LPSURYHPHQWLQFOXGH JXLGDQFHDQGGLUHFWLRQIRUPHHWLQJWKHVH
¦PDQDJHPHQWSURFHVVHVVXFKDVGHILQLQJWKH TXDOLW\LPSURYHPHQWJRDOVDQGLPSOHPHQWLQJWKH
PLVVLRQRIWKHRUJDQL]DWLRQVWUDWHJLFSODQQLQJ TXDOLW\SROLF\7KHVHSODQVVKRXOGDGGUHVVWKHPRVW
FODULI\LQJUROHVDQGUHVSRQVLELOLWLHVDFTXLULQJ LPSRUWDQWTXDOLW\ORVVHVDQGVKRXOGEHGHSOR\HG
DQGDVVLJQLQJUHVRXUFHVSURYLGLQJHGXFDWLRQDQG WKURXJKRXWDOOIXQFWLRQVDQGDOOOHYHOVRIWKH
WUDLQLQJDQGUHFRJQLWLRQ RUJDQL]DWLRQ
¦LGHQWLILFDWLRQDQGSODQQLQJRIFRQWLQXRXV 7KHGHYHORSPHQWRITXDOLW\LPSURYHPHQWSODQV
LPSURYHPHQWRIWKHZRUNSURFHVVHVRIWKH VKRXOGLQYROYHHYHU\RQHLQWKHRUJDQL]DWLRQ
RUJDQL]DWLRQ WRJHWKHUZLWKWKHVXSSOLHUVDQGFXVWRPHUVRIWKH
¦LGHQWLILFDWLRQDQGSODQQLQJRIFRQWLQXRXV RUJDQL]DWLRQ,QYROYLQJHYHU\RQHJUHDWO\LQFUHDVHV
LPSURYHPHQWRIWKHDGPLQLVWUDWLYHVXSSRUW WKHRSSRUWXQLWLHVIRULPSURYHPHQW
SURFHVVHVRIWKHRUJDQL]DWLRQ 4XDOLW\LPSURYHPHQWSODQVDUHRIWHQLPSOHPHQWHG
¦PHDVXUHPHQWDQGWUDFNLQJRIUHGXFWLRQRI WKURXJKDVHWDVSHFLILFTXDOLW\LPSURYHPHQW
TXDOLW\ORVVHV SURMHFWVRUDFWLYLWLHV0DQDJHPHQWVKRXOGWDNHFDUH
¦GHYHORSPHQWDQGPDLQWHQDQFHRIDQ WRPRQLWRUDQGFRQWUROVXFKLPSOHPHQWDWLRQ
HQYLURQPHQWWKDWHPSRZHUVHQDEOHVDQGFKDUJHV DFWLYLWLHVWRHQVXUHWKHLULQWHJUDWLRQLQWRWKHRYHUDOO
DOOPHPEHUVRIWKHRUJDQL]DWLRQFRQWLQXRXVO\WR JRDOVDQGEXVLQHVVSODQVRIWKHRUJDQL]DWLRQ
LPSURYHTXDOLW\ 3ODQVIRUTXDOLW\LPSURYHPHQWVIRFXVRQQHZO\
:LWKLQWKHSURFHVVHVWKDWIORZDFURVVRUJDQL]DWLRQDO LGHQWLILHGRSSRUWXQLWLHVDQGRQDUHDVZKHUH
ERXQGDULHVUHVSRQVLELOLWLHVIRUTXDOLW\ LQVXIILFLHQWSURJUHVVKDVEHHQPDGH7KHSODQQLQJ
LPSURYHPHQWLQFOXGH SURFHVVKDVLQSXWVIURPDOOOHYHOVRIWKH
¦GHILQLQJDQGDJUHHLQJRQWKHSXUSRVHRIHDFK RUJDQL]DWLRQIURPUHYLHZVRIDFKLHYHGUHVXOWVDQG
SURFHVVDQGLWVUHODWLRQVKLSZLWKWKHREMHFWLYHVRI IURPFXVWRPHUVDQGVXSSOLHUV
WKHRUJDQL]DWLRQ
0HDVXULQJTXDOLW\LPSURYHPHQW
¦HVWDEOLVKLQJDQGPDLQWDLQLQJFRPPXQLFDWLRQ
$QRUJDQL]DWLRQVKRXOGGHYHORSDPHDVXUHPHQW
DPRQJGHSDUWPHQWV
V\VWHPWKDWILWVWKHQDWXUHRILWVRSHUDWLRQV$
¦LGHQWLI\LQJERWKLQWHUQDODQGH[WHUQDO V\VWHPRIREMHFWLYHPHDVXUHPHQWVVKRXOGEH
FXVWRPHUVRIWKHSURFHVVDQGGHWHUPLQLQJWKHLU HVWDEOLVKHGIRULGHQWLI\LQJDQGGLDJQRVLQJ
QHHGVDQGH[SHFWDWLRQV LPSURYHPHQWRSSRUWXQLWLHVDQGIRUPHDVXULQJWKH
¦WUDQVODWLQJFXVWRPHUQHHGVDQGH[SHFWDWLRQV UHVXOWVRITXDOLW\LPSURYHPHQWDFWLYLWLHV$
LQWRVSHFLILFFXVWRPHUUHTXLUHPHQWV ZHOOGHYHORSHGV\VWHPLQFOXGHVPHDVXUHPHQWVDW
¦LGHQWLI\LQJVXSSOLHUVWRWKHSURFHVVDQG XQLWGHSDUWPHQWFURVVIXQFWLRQDODQGWRWDO
FRPPXQLFDWLQJWRWKHPWKHLUFXVWRPHUQHHGVDQG RUJDQL]DWLRQDOOHYHOV7KHPHDVXUHPHQWVVKRXOG
H[SHFWDWLRQV UHODWHWRTXDOLW\ORVVHVDVVRFLDWHGZLWKFXVWRPHU
VDWLVIDFWLRQSURFHVVHIILFLHQFLHVDQGVRFLHWDOORVVHV
¦VHDUFKLQJIRUSURFHVVLPSURYHPHQW
RSSRUWXQLWLHVDOORFDWLQJUHVRXUFHVIRU D 0HDVXUHVRITXDOLW\ORVVHVDVVRFLDWHGZLWK
LPSURYHPHQWDQGRYHUVHHLQJLPSOHPHQWDWLRQRI FXVWRPHUVDWLVIDFWLRQPD\EHEDVHGRQ
WKHVHLPSURYHPHQWV LQIRUPDWLRQIURPVXUYH\VRIFXUUHQWDQGSRWHQWLDO
FXVWRPHUVVXUYH\VRIFRPSHWLQJSURGXFWVDQG
VHUYLFHVSURGXFWRUVHUYLFHSHUIRUPDQFHUHFRUGV
FKDQJHVLQUHYHQXHVURXWLQHLQVSHFWLRQVE\
VHUYLFHSHUVRQQHOLQIRUPDWLRQIURPVDOHVDQG
VHUYLFHVWDIIDQGFXVWRPHUFRPSODLQWVDQG
FODLPV

 ‹%6,
Licensed Copy: Oxford Brookes ATHENS, Oxford Brookes University, 02/06/2008 22:56, Uncontrolled Copy, (c) BSI
,62 (

E 0HDVXUHVRITXDOLW\ORVVHVDVVRFLDWHGZLWK ,QYROYLQJWKHZKROHRUJDQL]DWLRQ
SURFHVVHIILFLHQF\PD\EHEDVHGRQODERXUFDSLWDO :KHQDQRUJDQL]DWLRQLVZHOOPRWLYDWHGDQG
DQGPDWHULDOXWLOL]DWLRQSURGXFLQJVRUWLQJ PDQDJHGIRUTXDOLW\LPSURYHPHQWDQXPEHURI
FRUUHFWLQJRUVFUDSSLQJXQVDWLVIDFWRU\SURFHVV TXDOLW\LPSURYHPHQWSURMHFWVRUDFWLYLWLHVRIYDULHG
RXWSXWSURFHVVUHDGMXVWPHQWVZDLWLQJWLPHV FRPSOH[LW\ZLOOEHFRQWLQXRXVO\XQGHUWDNHQDQG
F\FOHVWLPHVGHOLYHU\SHUIRUPDQFHXQQHFHVVDULO\ LPSOHPHQWHGE\DOOPHPEHUVDQGOHYHOVRIWKH
UHGXQGDQWGHVLJQVVL]HRILQYHQWRULHVDQG RUJDQL]DWLRQ4XDOLW\LPSURYHPHQWSURMHFWVDQG
VWDWLVWLFDOPHDVXUHVRISURFHVVFDSDELOLW\DQG DFWLYLWLHVZLOOEHFRPHDQRUPDOSDUWRIHYHU\RQHªV
SURFHVVVWDELOLW\ ZRUNDQGZLOOYDU\IURPWKRVHQHFHVVLWDWLQJ
F 0HDVXUHVRIVRFLHWDOTXDOLW\ORVVHVPD\EH FURVVIXQFWLRQDORUPDQDJHPHQWWHDPVWRWKRVH
EDVHGRQIDLOXUHWRUHDOL]HKXPDQSRWHQWLDO ZKLFKZLOOEHVHOHFWHGDQGLPSOHPHQWHGE\HLWKHU
HJDVLQGLFDWHGE\HPSOR\HHVDWLVIDFWLRQ LQGLYLGXDOPHPEHUVRUWHDPV
VXUYH\V GDPDJHFDXVHGE\SROOXWLRQDQG $TXDOLW\LPSURYHPHQWSURMHFWRUDFWLYLW\XVXDOO\
GLVSRVDORIZDVWHDQGGHSOHWLRQRIVFDUFH VWDUWVZLWKWKHUHFRJQLWLRQRIDQLPSURYHPHQW
UHVRXUFHV RSSRUWXQLW\7KLVUHFRJQLWLRQFDQEHEDVHGRQ
7KHSKHQRPHQRQRIYDULDELOLW\LVFRPPRQWRDOO PHDVXUHVRITXDOLW\ORVVHVDQGRURQFRPSHWLWLYH
PHDVXUHPHQWV7UHQGVGLVSOD\HGE\PHDVXUHPHQWV FRPSDULVRQV EHQFKPDUNV DJDLQVWRUJDQL]DWLRQV
VKRXOGEHLQWHUSUHWHGVWDWLVWLFDOO\ UHFRJQL]HGDVOHDGHUVLQDSDUWLFXODUILHOG2QFH
GHILQHGWKHTXDOLW\LPSURYHPHQWSURMHFWRUDFWLYLW\
0HDVXULQJDQGWUDFNLQJWUHQGVIURPD§EDVHOLQH¨RI SURJUHVVHVWKURXJKDVHULHVRIVWHSVDQGLV
SDVWSHUIRUPDQFHDUHLPSRUWDQWLQDGGLWLRQWR FRPSOHWHGZLWKWKHLPSOHPHQWDWLRQRISUHYHQWLYHRU
HVWDEOLVKLQJDQGPHHWLQJQXPHULFDOO\JLYHQWDUJHWV FRUUHFWLYHDFWLRQVWDNHQRQWKHSURFHVVLQRUGHUWR
0HDVXULQJHQKDQFHVSUREOHPLGHQWLILFDWLRQEDVHG UHDFKDQGPDLQWDLQWKHQHZLPSURYHGOHYHORI
RQIDFW SHUIRUPDQFH$VTXDOLW\LPSURYHPHQWSURMHFWVRU
7KHPHDVXUHPHQWVVKRXOGEHUHSRUWHGDQGUHYLHZHG DFWLYLWLHVDUHFRPSOHWHGQHZTXDOLW\LPSURYHPHQW
DVDQLQWHJUDOSDUWRIWKHPDQDJHPHQWDFFRXQWLQJ SURMHFWVRUDFWLYLWLHVDUHVHOHFWHGDQGLPSOHPHQWHG
DQGFRQWUROSUDFWLFHVRIWKHRUJDQL]DWLRQ7KHSHRSOH
DQGRUJDQL]DWLRQVLQYROYHGLQWKHLPSURYHPHQW ,QLWLDWLQJTXDOLW\LPSURYHPHQWSURMHFWVRU
SURFHVVVKRXOGEHLQIRUPHGRIWKHLUSURJUHVVLQ DFWLYLWLHV
WHUPVWKDWDUHPHDQLQJIXODQGPHDVXUDEOHIURP $OOPHPEHUVRIWKHRUJDQL]DWLRQDUHLQYROYHGLQ
WKHLUSHUVSHFWLYH LQLWLDWLQJTXDOLW\LPSURYHPHQWSURMHFWVRU
DFWLYLWLHV7KHQHHGVFRSHDQGLPSRUWDQFHRID
5HYLHZLQJTXDOLW\LPSURYHPHQWDFWLYLWLHV TXDOLW\LPSURYHPHQWSURMHFWRUDFWLYLW\VKRXOGEH
5HJXODUUHYLHZVRITXDOLW\LPSURYHPHQWDFWLYLWLHV FOHDUO\GHILQHGDQGGHPRQVWUDWHG7KHGHILQLWLRQ
VKRXOGEHFRQGXFWHGDWDOOOHYHOVRIPDQDJHPHQWWR VKRXOGLQFOXGHWKHUHOHYDQWEDFNJURXQGDQGKLVWRU\
HQVXUHWKDW WKHDVVRFLDWHGTXDOLW\ORVVHVDQGWKHFXUUHQWVWDWXV
LISRVVLEOHH[SUHVVHGLQVSHFLILFQXPHULFDOWHUPV$
¦WKHRUJDQL]DWLRQIRUTXDOLW\LPSURYHPHQWLV SHUVRQRUDWHDPLQFOXGLQJWKHWHDPOHDGHUVKRXOG
IXQFWLRQLQJHIIHFWLYHO\ EHDVVLJQHGWRWKHSURMHFWRUDFWLYLW\,WLVQHFHVVDU\
¦SODQVIRUTXDOLW\LPSURYHPHQWDUHDGHTXDWH WRHVWDEOLVKDVFKHGXOHDQGDOORFDWHDGHTXDWH
DQGDUHEHLQJIROORZHG UHVRXUFHV3URYLVLRQVVKRXOGEHPDGHIRUSHULRGLF
¦PHDVXUHPHQWVIRUTXDOLW\LPSURYHPHQWDUH UHYLHZVRIVFRSHVFKHGXOHUHVRXUFHDOORFDWLRQDQG
DSSURSULDWHDQGDGHTXDWHDQGLQGLFDWH SURJUHVV
VDWLVIDFWRU\SURJUHVV
,QYHVWLJDWLQJSRVVLEOHFDXVHV
¦UHVXOWVRIWKHUHYLHZDUHIHGLQWRWKHQH[W 7KHSXUSRVHRIWKLVVWHSLVWRLQFUHDVHWKH
SODQQLQJF\FOH XQGHUVWDQGLQJRIWKHQDWXUHRIWKHSURFHVVWREH
$SSURSULDWHDFWLRQVVKRXOGEHWDNHQZKHUHDQ\ LPSURYHGE\FROOHFWLRQYDOLGDWLRQDQGDQDO\VLVRI
GLVFUHSDQFLHVKDYHEHHQLGHQWLILHG GDWD'DWDFROOHFWLRQVKRXOGDOZD\VEHFDUULHGRXW
DFFRUGLQJWRDFDUHIXOO\FRQVWUXFWHGSODQ,WLV
0HWKRGRORJ\IRUTXDOLW\ LPSRUWDQWWRFDUU\RXWWKHLQYHVWLJDWLRQRIWKH
LPSURYHPHQW SRVVLEOHFDXVHVZLWKWKHXWPRVWREMHFWLYLW\ZLWKRXW
DQ\SUHFRQFHSWLRQVRIZKDWWKHFDXVHVRUSUHYHQWLYH
4XDOLW\LPSURYHPHQWEHQHILWVZLOODFFXPXODWH RUFRUUHFWLYHDFWLRQVPLJKWEH'HFLVLRQVZLOOWKHQEH
VWHDGLO\ZKHQDQRUJDQL]DWLRQSXUVXHV EDVHGRQIDFWV
TXDOLW\LPSURYHPHQWSURMHFWVDQGDFWLYLWLHVLQD
FRQVLVWHQWGLVFLSOLQHGVHULHVRIVWHSVEDVHGRQGDWD
FROOHFWLRQDQGDQDO\VLV

‹%6, 
Licensed Copy: Oxford Brookes ATHENS, Oxford Brookes University, 02/06/2008 22:56, Uncontrolled Copy, (c) BSI
,62 (

(VWDEOLVKLQJFDXVHDQGHIIHFW &RQWLQXLQJWKHLPSURYHPHQW
UHODWLRQVKLSV ,IWKHGHVLUHGLPSURYHPHQWLVREWDLQHGQHZ
7KHGDWDDUHDQDO\VHGWRJDLQLQVLJKWLQWRWKH TXDOLW\LPSURYHPHQWSURMHFWVRUDFWLYLWLHVVKRXOGEH
QDWXUHRIWKHSURFHVVWREHLPSURYHGDQGWR VHOHFWHGDQGLPSOHPHQWHG6LQFHDGGLWLRQDOTXDOLW\
IRUPXODWHSRVVLEOHFDXVHDQGHIIHFWUHODWLRQVKLSV,W LPSURYHPHQWVDUHDOZD\VSRVVLEOHD
LVHVVHQWLDOWRGLVWLQJXLVKEHWZHHQFRLQFLGHQFHDQG TXDOLW\LPSURYHPHQWSURMHFWRUDFWLYLW\PD\EH
FDXVHDQGHIIHFWUHODWLRQVKLSV7KHUHODWLRQVKLSV UHSHDWHGEDVHGRQQHZREMHFWLYHV,WLVDGYLVDEOHWR
WKDWDSSHDUWRKDYHDKLJKGHJUHHRIFRQVLVWHQF\ VHWSULRULWLHVDQGWRDVVLJQWLPHOLPLWVIRUHDFK
ZLWKWKHGDWDQHHGWREHWHVWHGDQGFRQILUPHGEDVHG TXDOLW\LPSURYHPHQWSURMHFWRUDFWLYLW\7LPHOLPLWV
RQQHZGDWDFROOHFWHGDFFRUGLQJWRDFDUHIXOO\ VKRXOGQRWFRQVWUDLQHIIHFWLYHTXDOLW\LPSURYHPHQW
FRQVWUXFWHGSODQ DFWLYLWLHV
7DNLQJSUHYHQWLYHRUFRUUHFWLYHDFWLRQV 127( 7KH§SODQGRFKHFNDFWF\FOH¨LVXVHGIRUFRQWLQXRXV
TXDOLW\LPSURYHPHQW7KHTXDOLW\LPSURYHPHQWPHWKRGRORJ\LQ
$IWHUFDXVHDQGHIIHFWUHODWLRQVKLSVDUHHVWDEOLVKHG WKLVSDUWRI,62HPSKDVL]HVWKHFKHFNDFWSKDVHVRIWKLV
DOWHUQDWLYHSURSRVDOVIRUSUHYHQWLYHRUFRUUHFWLYH F\FOH
DFWLRQVWRDGGUHVVWKHFDXVHVVKRXOGEHGHYHORSHG
DQGHYDOXDWHG$GYDQWDJHVDQGGLVDGYDQWDJHVRI 6XSSRUWLQJWRROVDQGWHFKQLTXHV
HDFKSURSRVDOVKRXOGEHH[DPLQHGE\WKHPHPEHUV 'HFLVLRQVEDVHGRQWKHDQDO\VLVRIVLWXDWLRQVDQG
RIWKHRUJDQL]DWLRQZKRZLOOEHLQYROYHGLQ GDWDSOD\DOHDGLQJUROHLQTXDOLW\LPSURYHPHQW
LPSOHPHQWLQJWKHVHDFWLRQV6XFFHVVIXO SURMHFWVDQGDFWLYLWLHV6XFFHVVRI
LPSOHPHQWDWLRQGHSHQGVRQWKHFRRSHUDWLRQRIDOO TXDOLW\LPSURYHPHQWSURMHFWVDQGDFWLYLWLHVLV
WKRVHLQYROYHG HQKDQFHGE\SURSHUDSSOLFDWLRQRIWRROVDQG
127( 4XDOLW\LPSURYHPHQWVDUHREWDLQHGE\WDNLQJ WHFKQLTXHVGHYHORSHGIRUWKHVHSXUSRVHV
SUHYHQWLYHRUFRUUHFWLYHDFWLRQVRQWKHSURFHVVWRSURGXFHHLWKHU
PRUHVDWLVIDFWRU\RXWSXWVDQGRUUHGXFHWKHIUHTXHQF\RI 7RROVIRUQXPHULFDOGDWD
XQVDWLVIDFWRU\RXWSXWV5HO\LQJVROHO\RQFRUUHFWLQJSURFHVV
RXWSXWVVXFKDVUHSDLULQJUHZRUNLQJRUVRUWLQJSHUSHWXDWHV :KHUHSRVVLEOHTXDOLW\LPSURYHPHQWGHFLVLRQV
TXDOLW\ORVVHV VKRXOGEHEDVHGRQQXPHULFDOGDWD'HFLVLRQV
UHJDUGLQJGLIIHUHQFHVWUHQGVDQGFKDQJHVLQ
&RQILUPLQJWKHLPSURYHPHQW QXPHULFDOGDWDVKRXOGEHEDVHGRQSURSHUVWDWLVWLFDO
$IWHULPSOHPHQWLQJSUHYHQWLYHRUFRUUHFWLYHDFWLRQV LQWHUSUHWDWLRQ
DSSURSULDWHGDWDPXVWEHFROOHFWHGDQGDQDO\VHGWR
FRQILUPWKDWDQLPSURYHPHQWKDVEHHQPDGH7KH 7RROVIRUQRQQXPHULFDOGDWD
FRQILUPDWRU\GDWDVKRXOGEHFROOHFWHGRQWKHVDPH 6RPHTXDOLW\LPSURYHPHQWGHFLVLRQVPD\EHEDVHG
EDVLVDVWKHGDWDFROOHFWHGWRLQYHVWLJDWHDQG RQQRQQXPHULFDOGDWD6XFKGDWDSOD\DQ
HVWDEOLVKFDXVHDQGHIIHFWUHODWLRQVKLSV LPSRUWDQWUROHLQPDUNHWLQJUHVHDUFKDQG
,QYHVWLJDWLRQVDOVRQHHGWREHPDGHIRUVLGHHIIHFWV GHYHORSPHQWDQGLQPDQDJHPHQWGHFLVLRQV
HLWKHUGHVLUDEOHRUXQGHVLUDEOHWKDWPD\KDYHEHHQ $SSURSULDWHWRROVVKRXOGEHXVHGWRSURFHVVSURSHUO\
LQWURGXFHG WKLVNLQGRIGDWDWRWUDQVIRUPWKHPLQWRXVHIXO
LQIRUPDWLRQIRUGHFLVLRQPDNLQJ
,IDIWHUSUHYHQWLYHRUFRUUHFWLYHDFWLRQVDUHWDNHQ
WKHXQGHVLUDEOHUHVXOWVFRQWLQXHWRRFFXUDW 7UDLQLQJLQDSSO\LQJWRROVDQGWHFKQLTXHV
DSSUR[LPDWHO\WKHVDPHIUHTXHQF\DVEHIRUHLWZLOO $OOPHPEHUVRIWKHRUJDQL]DWLRQVKRXOGUHFHLYH
EHQHFHVVDU\WRUHGHILQHWKHTXDOLW\LPSURYHPHQW WUDLQLQJLQDSSO\LQJTXDOLW\LPSURYHPHQWWRROVDQG
SURMHFWRUDFWLYLW\E\UHWXUQLQJWRWKHLQLWLDWLRQVWHS WHFKQLTXHVWRLPSURYHWKHLUZRUNSURFHVVHV
7UDLQLQJVHSDUDWHGIURPDSSOLFDWLRQLVUDUHO\
6XVWDLQLQJWKHJDLQV HIIHFWLYH$QQH[$GHVFULEHVVRPHRIWKHQXPHURXV
$IWHUWKHTXDOLW\LPSURYHPHQWKDVEHHQFRQILUPHG
WRROVDQGWHFKQLTXHVZKLFKKDYHEHHQGHYHORSHG
LWQHHGVWREHVXVWDLQHG7KLVXVXDOO\LQYROYHVD 7DEOHOLVWVWKHVHWRROVDQGWHFKQLTXHVDQGWKHLU
FKDQJHRIVSHFLILFDWLRQVDQGRURSHUDWLQJRU DSSOLFDWLRQVLQTXDOLW\LPSURYHPHQW2WKHUWRROVRU
DGPLQLVWUDWLYHSURFHGXUHVDQGSUDFWLFHVQHFHVVDU\
WHFKQLTXHVPD\EHDSSURSULDWHIRUVSHFLILF
HGXFDWLRQDQGWUDLQLQJDQGPDNLQJVXUHWKDWWKHVH DSSOLFDWLRQV
FKDQJHVEHFRPHDQLQWHJUDOSDUWRIWKHMREFRQWHQWRI
HYHU\RQHFRQFHUQHG7KHLPSURYHGSURFHVVWKHQ
QHHGVWREHFRQWUROOHGDWWKHQHZOHYHORI
SHUIRUPDQFH

 ‹%6,
Licensed Copy: Oxford Brookes ATHENS, Oxford Brookes University, 02/06/2008 22:56, Uncontrolled Copy, (c) BSI
,62 (

7DEOH¦7RROVDQGWHFKQLTXHVIRUTXDOLW\LPSURYHPHQW
6XEFODXVH 7RROVDQGWHFKQLTXHV $SSOLFDWLRQV

$ 'DWDFROOHFWLRQIRUP 7RJDWKHUGDWDV\VWHPDWLFDOO\WRREWDLQDFOHDUSLFWXUHRIWKH


IDFWV
7RROVDQGWHFKQLTXHVIRUQRQQXPHULFDOGDWD

$ $IILQLW\GLDJUDP 7RRUJDQL]HLQWRJURXSLQJVDODUJHQXPEHURILGHDVRSLQLRQVRU


FRQFHUQVDERXWDSDUWLFXODUWRSLF
$ %HQFKPDUNLQJ 7RFRPSDUHDSURFHVVDJDLQVWWKRVHRIUHFRJQL]HGOHDGHUVWRLGHQ
WLI\RSSRUWXQLWLHVIRUTXDOLW\LPSURYHPHQW
$ %UDLQVWRUPLQJ 7RLGHQWLI\SRVVLEOHVROXWLRQVWRSUREOHPVDQGSRWHQWLDORSSRUWX
QLWLHVIRUTXDOLW\LPSURYHPHQW
$ &DXVHDQGHIIHFWGLDJUDP 7RDQDO\VHDQGFRPPXQLFDWHFDXVHDQGHIIHFWGLDJUDPUHODWLRQ
VKLSV
7RIDFLOLWDWHSUREOHPVROYLQJIURPV\PSWRPWRFDXVHWRVROXWLRQ
$ )ORZFKDUW 7RGHVFULEHDQH[LVWLQJSURFHVV
7RGHVLJQDQHZSURFHVV
$ 7UHHGLDJUDP 7RVKRZWKHUHODWLRQVKLSVEHWZHHQDWRSLFDQGLWVFRPSRQHQWHOH
PHQWV
7RROVDQGWHFKQLTXHVIRUQXPHULFDOGDWD
$ &RQWUROFKDUW 'LDJQRVLVWRHYDOXDWHSURFHVVVWDELOLW\
&RQWUROWRGHWHUPLQHZKHQDSURFHVVQHHGVWREHDGMXVWHGDQG
ZKHQLWQHHGVWREHOHIWDVLV
&RQILUPDWLRQWRFRQILUPDQLPSURYHPHQWWRDSURFHVV
$ +LVWRJUDP 7RGLVSOD\WKHSDWWHUQRIYDULDWLRQRIGDWD
7RFRPPXQLFDWHYLVXDOO\LQIRUPDWLRQDERXWSURFHVVEHKDYLRXU
7RPDNHGHFLVLRQVDERXWZKHUHWRIRFXVLPSURYHPHQWHIIRUWV
$ 3DUHWRGLDJUDP 7RGLVSOD\LQRUGHURILPSRUWDQFHWKHFRQWULEXWLRQRIHDFKLWHPWR
WKHWRWDOHIIHFW
7RUDQNLPSURYHPHQWRSSRUWXQLWLHV
$ 6FDWWHUGLDJUDP 7RGLVFRYHUDQGFRQILUPUHODWLRQVKLSVEHWZHHQWZRDVVRFLDWHGVHWV
RIGDWD
7RFRQILUPDQWLFLSDWHGUHODWLRQVKLSVEHWZHHQWZRDVVRFLDWHGVHWV
RIGDWD

‹%6, 
Licensed Copy: Oxford Brookes ATHENS, Oxford Brookes University, 02/06/2008 22:56, Uncontrolled Copy, (c) BSI
,62 (

$QQH[$ QRUPDWLYH  E ,GHQWLI\WKHGDWDUHTXLUHGWRDFKLHYHWKH


6XSSRUWLQJWRROVDQGWHFKQLTXHV SXUSRVH DGGUHVVWKHTXHVWLRQV 
F 'HWHUPLQHKRZWKHGDWDZLOOEHDQDO\VHGDQGE\
7KLVDQQH[LQWURGXFHVVRPHRIWKHPRVWFRPPRQ ZKRP VWDWLVWLFDOWRROV 
WRROVDQGWHFKQLTXHVIRUVXSSRUWLQJTXDOLW\
LPSURYHPHQW7KHIROORZLQJWRROVDQGWHFKQLTXHV G &RQVWUXFWDIRUPWRUHFRUGWKHGDWD3URYLGHD
DUHSUHVHQWHGIRUDQDO\VLQJERWKQRQQXPHULFDODQG SODFHWRUHFRUGLQIRUPDWLRQDERXW
QXPHULFDOGDWD'DWDFROOHFWLRQIRUPVDUHSUHVHQWHG ¦ZKRFROOHFWHGWKHGDWD
ILUVWVLQFHWKH\DSSO\WRERWKW\SHVRIGDWD7RROVIRU ¦ZKHUHZKHQDQGKRZWKHGDWDZHUH
QRQQXPHULFDOGDWDDUHWKHQSUHVHQWHGIROORZHGE\ FROOHFWHG
WRROVIRUQXPHULFDOGDWD
H 3UHWHVWWKHIRUPE\FROOHFWLQJDQGUHFRUGLQJ
(DFKWRRORUWHFKQLTXHLVSUHVHQWHGLQWKHIROORZLQJ VRPHGDWD
IRUPDW
I 5HYLHZDQGUHYLVHWKHIRUPLIQHFHVVDU\
D $SSOLFDWLRQ7KHXVHRIWKHWRRORUWHFKQLTXH
LQTXDOLW\LPSURYHPHQW $([DPSOH
E 'HVFULSWLRQ$EULHIGHVFULSWLRQRIWKHWRRORU 7KHQXPEHURIUHSURGXFWLRQGHIHFWVRIHDFKW\SH
WHFKQLTXH DWWULEXWDEOHWRHDFKFDXVHPD\EHFROOHFWHGRQD
IRUPDVJLYHQLQ7DEOH$
F 3URFHGXUH7KHVWHSE\VWHSSURFHGXUHIRU
XVLQJWKHWRRORUWHFKQLTXH $$IILQLW\GLDJUDP
G ([DPSOH$QH[DPSOHRIXVHLVJLYHQIRUVRPH $$SSOLFDWLRQ
RIWKHWRROVRUWHFKQLTXHV
$QDIILQLW\GLDJUDPLVXVHGWRRUJDQL]HLQWR
$'DWDFROOHFWLRQIRUP JURXSLQJVDODUJHQXPEHURILGHDVRSLQLRQVRU
FRQFHUQVDERXWDSDUWLFXODUWRSLF
$$SSOLFDWLRQ
$GDWDFROOHFWLRQIRUPLVXVHGWRJDWKHUGDWD 'HVFULSWLRQ
V\VWHPDWLFDOO\WRREWDLQDFOHDUSLFWXUHRIWKHIDFWV :KHQODUJHQXPEHUVRILGHDVRSLQLRQVRURWKHU
$'HVFULSWLRQ FRQFHUQVDERXWDSDUWLFXODUWRSLFDUHEHLQJFROOHFWHG
7KHGDWDFROOHFWLRQIRUPLVDWHPSODWHIRUFROOHFWLQJ WKLVWRRORUJDQL]HVWKHLQIRUPDWLRQLQWRJURXSLQJV
DQGUHFRUGLQJGDWD,WSURPRWHVWKHFROOHFWLRQRI EDVHGRQWKHQDWXUDOUHODWLRQVKLSVWKDWH[LVWDPRQJ
GDWDLQDFRQVLVWHQWPDQQHUDQGIDFLOLWDWHVDQDO\VLV WKHP7KHSURFHVVLVGHVLJQHGWRVWLPXODWH
FUHDWLYLW\DQGIXOOSDUWLFLSDWLRQ,WZRUNVEHVWLQ
$3URFHGXUH JURXSVRIOLPLWHGVL]H DPD[LPXPRIHLJKWPHPEHUV
D (VWDEOLVKWKHVSHFLILFSXUSRVHRIFROOHFWLQJ LVUHFRPPHQGHG LQZKLFKPHPEHUVDUHDFFXVWRPHG
WKHVHGDWD WKHTXHVWLRQVWREHDGGUHVVHG  WRZRUNLQJWRJHWKHU7KLVWRROLVRIWHQXVHGWR
RUJDQL]HLGHDVJHQHUDWHGE\EUDLQVWRUPLQJ
7DEOH$¦'DWDFROOHFWLRQIRUP

&DXVHVRIGHIHFWV 7\SHVRIGHIHFW

0LVVLQJSDJHV 0XGG\FRSLHV 6KRZWKURXJK 3DJHVRXWRI 7RWDO


VHTXHQFH

0DFKLQHMDPV
+XPLGLW\
7RQHU
&RQGLWLRQRIRULJLQDOV
2WKHU VSHFLI\
727$/
:KRFROOHFWHGWKHGDWD
'DWH
:KHUH
+RZ

 ‹%6,
Licensed Copy: Oxford Brookes ATHENS, Oxford Brookes University, 02/06/2008 22:56, Uncontrolled Copy, (c) BSI
,62 (

)LJXUH$¦5DQGRPGLVSOD\DVSHUVWHSF RI$

$3URFHGXUH 7DEOH$¦'DWDRUJDQL]HGE\JURXSLQJDVSHU
D 6WDWHWKHWRSLFWREHVWXGLHGLQEURDGWHUPV VWHS H RI$
GHWDLOVPD\SUHMXGLFHWKHUHVSRQVH  9DULDEOHOHQJWKPHVVDJHV ,QFRPLQJPHVVDJHV
E 5HFRUGDVPDQ\DVSRVVLEOHLQGLYLGXDOLGHDV 7LPHDQGGDWHVWDPS
RSLQLRQVRUFRQFHUQVRQFDUGV RQHSHUFDUG  'RHVQªWFRXQW§KDQJXSV¨
F 0L[WKHFDUGVDQGVSUHDGWKHPUDQGRPO\RQD ,QGLFDWHVQXPEHURIPHVVDJHV
ODUJHWDEOH 6HFUHWDFFHVVFRGH 3ULYDF\
(DUSKRQHMDFN
G *URXSUHODWHGFDUGVWRJHWKHUDVIROORZV
&OHDULQVWUXFWLRQV ,QVWUXFWLRQV
¦VRUWFDUGVWKDWVHHPWREHUHODWHGLQWR 4XLFNUHIHUHQFHFDUG
JURXSV &RQWUROVFOHDUO\PDUNHG &RQWUROV
¦OLPLWQXPEHURIJURXSLQJVWRWHQZLWKRXW (DV\WRXVH
IRUFLQJVLQJOHFDUGVLQWRJURXSV &DQRSHUDWHIURPUHPRWH
¦ORFDWHRUFUHDWHDKHDGHUFDUGWKDWFDSWXUHV SKRQH
WKHPHDQLQJRIHDFKJURXS (DV\WRHUDVH (UDVLQJ
¦SODFHWKLVKHDGHUFDUGRQWRS (UDVH§VHOHFWHG¨PHVVDJHV
H 7UDQVIHUWKHLQIRUPDWLRQIURPFDUGVRQWR $%HQFKPDUNLQJ
SDSHURUJDQL]HGE\JURXSLQJV $$SSOLFDWLRQ
%HQFKPDUNLQJLVXVHGWRFRPSDUHDSURFHVVDJDLQVW
$([DPSOH
WKRVHRIUHFRJQL]HGOHDGHUVWRLGHQWLI\RSSRUWXQLWLHV
5HTXLUHPHQWVIRUDWHOHSKRQHDQVZHULQJPDFKLQH IRUTXDOLW\LPSURYHPHQW
DUHVKRZQLQ)LJXUH$DQG7DEOH$
$'HVFULSWLRQ
%HQFKPDUNLQJFRPSDUHVSURFHVVHVDQG
SHUIRUPDQFHVRISURGXFWVDQGVHUYLFHVDJDLQVWWKRVH
RIUHFRJQL]HGOHDGHUV,WDOORZVWKHLGHQWLILFDWLRQRI
WDUJHWVDQGWKHHVWDEOLVKPHQWRISULRULWLHVIRU
SUHSDUDWLRQRISODQVWKDWZLOOOHDGWRFRPSHWLWLYH
DGYDQWDJHVLQWKHPDUNHWSODFH

‹%6, 
Licensed Copy: Oxford Brookes ATHENS, Oxford Brookes University, 02/06/2008 22:56, Uncontrolled Copy, (c) BSI
,62 (

$3URFHGXUH ¦DWWKLVVWDJHLGHDVDUHQHLWKHUFULWLFL]HGQRU
D 'HWHUPLQHWKHLWHPVWREHQFKPDUN GLVFXVVHG
¦LGHDVDUHUHFRUGHGZKHUHDOOWHDPPHPEHUVFDQ
¦WKHLWHPVVKRXOGEHNH\FKDUDFWHULVWLFVRI
VHHWKHP
SURFHVVHVDQGWKHLURXWSXWV
¦WKLVSURFHVVFRQWLQXHVXQWLOQRPRUHLGHDVDUH
¦SURFHVVRXWSXWEHQFKPDUNVVKRXOGEH JHQHUDWHG
GLUHFWO\UHODWHGWRFXVWRPHUQHHGV ¦$OOLGHDVDUHUHYLHZHGIRUFODULILFDWLRQ
E 'HWHUPLQHZKRWREHQFKPDUNDJDLQVW $&DXVHDQGHIIHFWGLDJUDP
¦W\SLFDORUJDQL]DWLRQVPD\EHGLUHFW
FRPSHWLWRUVDQGRUQRQFRPSHWLWRUVZKRDUH $$SSOLFDWLRQ
UHFRJQL]HGOHDGHUVLQWKHLWHPRILQWHUHVW $FDXVHDQGHIIHFWGLDJUDPLVXVHGWR
F &ROOHFWGDWD ¦DQDO\VHFDXVHDQGHIIHFWUHODWLRQVKLSV
¦GDWDRQSURFHVVSHUIRUPDQFHDQGFXVWRPHU ¦FRPPXQLFDWHFDXVHDQGHIIHFWUHODWLRQVKLSV
QHHGVPD\EHREWDLQHGE\VXFKPHDQVDVGLUHFW DQG
FRQWDFWVXUYH\VLQWHUYLHZVSHUVRQDODQG ¦IDFLOLWDWHSUREOHPVROYLQJIURPV\PSWRPWR
SURIHVVLRQDOFRQWDFWVDQGWHFKQLFDOMRXUQDOV FDXVHWRVROXWLRQ
G 2UJDQL]HDQGDQDO\VHGDWD
$'HVFULSWLRQ
¦WKHDQDO\VLVLVGLUHFWHGWRZDUGVHVWDEOLVKLQJ
7KHFDXVHDQGHIIHFWGLDJUDPLVDWRROXVHGIRU
EHVWSUDFWLFHWDUJHWVIRUDOOUHOHYDQWLWHPV WKLQNLQJWKURXJKDQGGLVSOD\LQJUHODWLRQVKLSV
H (VWDEOLVKEHQFKPDUNV EHWZHHQDJLYHQHIIHFW HJYDULDWLRQVLQDTXDOLW\
¦LGHQWLI\RSSRUWXQLWLHVIRUTXDOLW\ FKDUDFWHULVWLF DQGLWVSRWHQWLDOFDXVHV7KHPDQ\
LPSURYHPHQWEDVHGRQFXVWRPHUQHHGVDQG SRWHQWLDOFDXVHVDUHRUJDQL]HGLQWRPDMRUFDWHJRULHV
FRPSHWLWRUDQGQRQFRPSHWLWRUSHUIRUPDQFHV DQGVXEFDWHJRULHVVRWKDWWKHGLVSOD\UHVHPEOHVD
$%UDLQVWRUPLQJ VNHOHWRQRIDILVK+HQFHWKHWRROLVDOVRNQRZQDVD
ILVKERQHGLDJUDP
$$SSOLFDWLRQ
%UDLQVWRUPLQJLVXVHGWRLGHQWLI\SRVVLEOHVROXWLRQV $3URFHGXUH
WRSUREOHPVDQGSRWHQWLDORSSRUWXQLWLHVIRUTXDOLW\ D 'HILQHWKHHIIHFWFOHDUO\DQGFRQFLVHO\
LPSURYHPHQW E 'HILQHWKHPDMRUFDWHJRULHVRISRVVLEOHFDXVHV
$'HVFULSWLRQ )DFWRUVWRFRQVLGHULQFOXGH
%UDLQVWRUPLQJLVDWHFKQLTXHIRUWDSSLQJWKH
FUHDWLYHWKLQNLQJRIDWHDPWRJHQHUDWHDQGFODULI\D ¦GDWDDQGLQIRUPDWLRQV\VWHPV
OLVWRILGHDVSUREOHPVRULVVXHV ¦HQYLURQPHQW
¦HTXLSPHQW
$3URFHGXUH
¦PDWHULDOV
7ZRSKDVHVDUHLQYROYHG
¦PHDVXUHPHQWV
D 7KHJHQHUDWLRQSKDVH ¦PHWKRGV
7KHIDFLOLWDWRUUHYLHZVWKHJXLGHOLQHVIRU ¦SHRSOH
EUDLQVWRUPLQJDQGWKHSXUSRVHRIWKH F %HJLQWRFRQVWUXFWWKHGLDJUDPGHILQLQJWKH
EUDLQVWRUPLQJVHVVLRQWKHQWKHWHDPPHPEHUV HIIHFWLQDER[RQWKHULJKWKDQGVLGHDQG
JHQHUDWHDOLVWRILGHDV7KHREMHFWLYHLVWR SRVLWLRQLQJPDMRUFDWHJRULHVDV§IHHGHUV¨WRWKH
JHQHUDWHDVPDQ\LGHDVDVSRVVLEOH §(IIHFW¨ER[ VHH)LJXUH$ 
E 7KHFODULILFDWLRQSKDVH G 'HYHORSWKHGLDJUDPE\WKLQNLQJWKURXJKDQG
7KHWHDPUHYLHZVWKHOLVWRILGHDVWRPDNHVXUH ZULWLQJLQDOOQH[WOHYHOFDXVHVDQGFRQWLQXHWKLV
WKDWHYHU\RQHXQGHUVWDQGVDOOWKHLGHDV7KH SURFHGXUHWROHYHOVRIKLJKHURUGHU$
HYDOXDWLRQRILGHDVZLOORFFXUZKHQWKH ZHOOGHYHORSHGGLDJUDPZLOOKDYHQREUDQFKHVRI
EUDLQVWRUPLQJVHVVLRQLVFRPSOHWHG OHVVWKDQWZROHYHOVDQGPDQ\ZLWKWKUHHRUPRUH
OHYHOV VHH)LJXUH$ 
*XLGHOLQHVIRUEUDLQVWRUPLQJLQFOXGH
¦DIDFLOLWDWRULVLGHQWLILHG H 6HOHFWDQGLGHQWLI\DVPDOOQXPEHU WR RI
KLJKHVWOHYHOFDXVHVWKDWDUHOLNHO\WRKDYHWKH
¦WKHSXUSRVHRIWKHEUDLQVWRUPLQJVHVVLRQLV
JUHDWHVWLQIOXHQFHRQWKHHIIHFWDQGUHTXLUH
FOHDUO\VWDWHG
IXUWKHUDFWLRQVXFKDVFROOHFWLRQRIGDWDFRQWURO
¦HDFKWHDPPHPEHUWDNHVDWXUQLQVHTXHQFH HIIRUWHWF
VWDWLQJDVLQJOHLGHD
¦ZKHUHSRVVLEOHWHDPPHPEHUVEXLOGRQRWKHUVª
LGHDV

 ‹%6,
Licensed Copy: Oxford Brookes ATHENS, Oxford Brookes University, 02/06/2008 22:56, Uncontrolled Copy, (c) BSI
,62 (

)LJXUH$¦,QLWLDOFDXVHDQGHIIHFWGLDJUDP

)LJXUH$¦'HYHORSPHQWRIFDXVHDQGHIIHFWGLDJUDP
127( $QDOWHUQDWLYHPHWKRGIRUFRQVWUXFWLQJD $)ORZFKDUW
FDXVHDQGHIIHFWGLDJUDPLVWREUDLQVWRUPDOOSRVVLEOHFDXVHV
WKHQRUJDQL]HWKHPLQWRFDWHJRULHVDQGVXEFDWHJRULHVXVLQJDQ $$SSOLFDWLRQ
DIILQLW\GLDJUDP
$IORZFKDUWLVXVHGWR
127( ,QFHUWDLQFDVHVOLVWLQJWKHPDLQVWHSVRIDSURFHVVDV
PDMRUFDWHJRULHVPD\EHDGYDQWDJHRXVHJZKHQWKHIORZRID ¦GHVFULEHDQH[LVWLQJSURFHVVRU
SURFHVVLVWKHHIIHFWFRQVLGHUHGIRULPSURYHPHQW)ORZFKDUWLQJLV ¦GHVLJQDQHZSURFHVV
RIWHQXVHIXOLQGHILQLQJWKHVHVWHSV
127( 2QFHFRQVWUXFWHGWKHGLDJUDPFDQEHFRPHD§OLYLQJ $'HVFULSWLRQ
WRRO¨ZLWKIXUWKHUUHILQHPHQWVEHLQJLQWURGXFHGDVQHZ $IORZFKDUWLVDSLFWRULDOUHSUHVHQWDWLRQRIWKHVWHSV
NQRZOHGJHDQGH[SHULHQFHDUHJDLQHG
LQDSURFHVVXVHIXOIRULQYHVWLJDWLQJRSSRUWXQLWLHV
127( 7KHGLDJUDPLVRIWHQFRQVWUXFWHGE\JURXSVEXWLW IRULPSURYHPHQWE\JDLQLQJDGHWDLOHG
PD\EHFRQVWUXFWHGE\LQGLYLGXDOVSRVVHVVLQJDSSURSULDWH XQGHUVWDQGLQJRIKRZWKHSURFHVVDFWXDOO\ZRUNV
SURFHVVNQRZOHGJHDQGH[SHULHQFH
%\H[DPLQLQJKRZYDULRXVVWHSVLQDSURFHVVUHODWH
$([DPSOH WRHDFKRWKHURQHPD\RIWHQXQFRYHUSRWHQWLDO
)LJXUH$VKRZVDFDXVHDQGHIIHFWGLDJUDPIRU VRXUFHVRIWURXEOHV)ORZFKDUWVFDQEHDSSOLHGWRDOO
SRRUTXDOLW\SKRWRFRS\LQJ DVSHFWVRIDQ\SURFHVVIURPWKHIORZRIPDWHULDOVWR
WKHVWHSVLQPDNLQJDVDOHRUVHUYLFLQJDSURGXFW

‹%6, 
Licensed Copy: Oxford Brookes ATHENS, Oxford Brookes University, 02/06/2008 22:56, Uncontrolled Copy, (c) BSI
,62 (

)LJXUH$¦([DPSOHRIDFDXVHDQGHIIHFWGLDJUDP

)LJXUH$¦)ORZFKDUWV\PEROV

 ‹%6,
Licensed Copy: Oxford Brookes ATHENS, Oxford Brookes University, 02/06/2008 22:56, Uncontrolled Copy, (c) BSI
,62 (

)LJXUH$¦([DPSOHRIDIORZFKDUW
)ORZFKDUWVDUHFRQVWUXFWHGZLWKHDVLO\UHFRJQL]HG $'HVLJQLQJDQHZSURFHVV
V\PEROV&RPPRQO\XVHGV\PEROVDUHLOOXVWUDWHGLQ D ,GHQWLI\WKHVWDUWDQGHQGRIWKHSURFHVV
)LJXUH$
E 9LVXDOL]HWKHVWHSVWREHPDGHLQWKHSURFHVV
$3URFHGXUH DFWLYLWLHVGHFLVLRQVLQSXWVRXWSXWV 
$'HVFULELQJDQH[LVWLQJSURFHVV F 'HILQHWKHVWHSVLQWKHSURFHVV DFWLYLWLHV
D ,GHQWLI\WKHVWDUWDQGHQGRIWKHSURFHVV GHFLVLRQVLQSXWVRXWSXWV 
E 2EVHUYHWKHHQWLUHSURFHVVIURPVWDUWWRHQG G &RQVWUXFWDGUDIWIORZFKDUWWRUHSUHVHQWWKH
F 'HILQHWKHVWHSVLQWKHSURFHVV DFWLYLWLHV SURFHVV
GHFLVLRQVLQSXWVRXWSXWV  H 5HYLHZWKHGUDIWIORZFKDUWZLWKWKHSHRSOH
G &RQVWUXFWDGUDIWIORZFKDUWWRUHSUHVHQWWKH H[SHFWHGWREHLQYROYHGLQWKHSURFHVV
SURFHVV
I ,PSURYHWKHIORZFKDUWEDVHGRQWKLVUHYLHZ
H 5HYLHZWKHGUDIWIORZFKDUWZLWKWKHSHRSOH
LQYROYHGLQWKHSURFHVV J 'DWHWKHFKDUWIRUIXWXUHUHIHUHQFHDQGXVH ,W
I ,PSURYHWKHIORZFKDUWEDVHGRQWKLVUHYLHZ VHUYHVDVDUHFRUGRIKRZWKHSURFHVVLVGHVLJQHG
WRRSHUDWHDQGFDQDOVREHXVHGWRLGHQWLI\
J 9HULI\WKHIORZFKDUWDJDLQVWWKHDFWXDOSURFHVV
RSSRUWXQLWLHVIRULPSURYHPHQWVWRWKHGHVLJQ
K 'DWHWKHIORZFKDUWIRUIXWXUHUHIHUHQFHDQGXVH
,WVHUYHVDVDUHFRUGRIKRZWKHSURFHVVDFWXDOO\ $([DPSOH
RSHUDWHVDQGFDQDOVREHXVHGWRLGHQWLI\ 7KHIORZFKDUWVKRZQLQ)LJXUH$UHSUHVHQWVWKH
RSSRUWXQLWLHVIRULPSURYHPHQW SURFHVVIRUUHSURGXFLQJDGRFXPHQW

‹%6, 
Licensed Copy: Oxford Brookes ATHENS, Oxford Brookes University, 02/06/2008 22:56, Uncontrolled Copy, (c) BSI
,62 (

$7UHHGLDJUDP 7KHFRQVWUXFWLRQRIFRQWUROFKDUWVLVIRXQGHGLQ
PDWKHPDWLFDOVWDWLVWLFV&RQWUROFKDUWVXVH
$$SSOLFDWLRQ RSHUDWLQJGDWDIRUHVWDEOLVKLQJOLPLWVZLWKLQZKLFK
$WUHHGLDJUDPLVXVHGWRVKRZWKHUHODWLRQVKLSV IXWXUHREVHUYDWLRQVDUHWREHH[SHFWHGLIWKHSURFHVV
EHWZHHQDWRSLFDQGLWVFRPSRQHQWVHOHPHQWV UHPDLQVXQDIIHFWHGE\DVVLJQDEOHRUVSHFLDOFDXVHV
$SSURSULDWH,QWHUQDWLRQDO6WDQGDUGV HJ,62 
$'HVFULSWLRQ DQG,62VHH$QQH[% VKRXOGEHFRQVXOWHGIRU
$WUHHGLDJUDPV\VWHPDWLFDOO\EUHDNVGRZQDWRSLF IXUWKHULQIRUPDWLRQRQFRQWUROFKDUWV
LQWRLWVFRPSRQHQWHOHPHQWV,GHDVJHQHUDWHGE\
127( $JUHDWYDULHW\RIFRQWUROPHWKRGVH[LVWWKDWFDQEH
EUDLQVWRUPLQJDQGJUDSKHGRUFOXVWHUHGZLWKDQ DSSOLHGWRDOONLQGVRIPHDVXUDEOHRUFRXQWDEOHFKDUDFWHULVWLFVRI
DIILQLW\GLDJUDPFDQEHFRQYHUWHGLQWRDWUHH DSURFHVVSURGXFWRUDQ\RXWSXW$QRUJDQL]DWLRQVKRXOGDFTXLUH
GLDJUDPWRVKRZORJLFDODQGVHTXHQWLDOOLQNV7KLV DSSURSULDWHWUDLQLQJDQGGHYHORSDQDGHTXDWHH[SHUWLVHRQKRZ
WRROFDQEHXVHGLQSODQQLQJDQGSUREOHPVROYLQJ WRFRQVWUXFWDQGDSSO\FRQWUROFKDUWV

$3URFHGXUH $3URFHGXUH
D &OHDUO\DQGVLPSO\VWDWHWKHWRSLFWREHVWXGLHG D 6HOHFWWKHFKDUDFWHULVWLFVIRUDSSOLFDWLRQRID
FRQWUROFKDUW
E 'HILQHWKHPDMRUFDWHJRULHVRIWKHWRSLF
%UDLQVWRUPRUXVHWKHKHDGHUFDUGVIURPWKH E 6HOHFWWKHDSSURSULDWHW\SHRIFRQWUROFKDUW
DIILQLW\GLDJUDP F 'HFLGHRQWKHVXEJURXS DVPDOOFROOHFWLRQRI
F &RQVWUXFWWKHGLDJUDPE\SODFLQJWKHWRSLFLQD LWHPVZLWKLQZKLFKYDULDWLRQVDUHDVVXPHGWREH
ER[RQWKHOHIWKDQGVLGH%UDQFKWKHPDMRU GXHWRFKDQFHDORQH LWVVL]HDQGWKHIUHTXHQF\RI
FDWHJRULHVODWHUDOO\WRWKHULJKW VXEJURXSVDPSOLQJ
G )RUHDFKPDMRUFDWHJRU\GHILQHWKHFRPSRQHQW G &ROOHFWDQGUHFRUGGDWDRQDWOHDVWWR
HOHPHQWVDQGDQ\VXEHOHPHQWV VXEJURXSVRUXVHSUHYLRXVO\UHFRUGHGGDWD
H /DWHUDOO\EUDQFKWRWKHULJKWWKHFRPSRQHQW H &DOFXODWHVWDWLVWLFVZKLFKFKDUDFWHUL]HHDFK
HOHPHQWVDQGVXEHOHPHQWVIRUHDFKPDMRU VXEJURXSVDPSOH
FDWHJRU\ I &DOFXODWHFRQWUROOLPLWVEDVHGRQWKHVWDWLVWLFV
I 5HYLHZWKHGLDJUDPWRHQVXUHWKDWWKHUHDUHQR IURPVXEJURXSVDPSOHV
JDSVLQHLWKHUVHTXHQFHRUORJLF J &RQVWUXFWDFKDUWDQGSORWWKHVXEJURXS
VWDWLVWLFV
$([DPSOH
7KHWUHHGLDJUDPVKRZQLQ)LJXUH$UHSUHVHQWVD K ([DPLQHWKHSORWIRUSRLQWVRXWVLGHFRQWURO
WHOHSKRQHDQVZHULQJPDFKLQH OLPLWVDQGIRUSDWWHUQVLQGLFDWLQJWKHSUHVHQFHRI
DVVLJQDEOH VSHFLDO FDXVHV
$&RQWUROFKDUW
L 'HFLGHRQIXWXUHDFWLRQ
$$SSOLFDWLRQ
$([DPSOH
$FRQWUROFKDUWLVXVHGIRUWKHIROORZLQJSXUSRVHV
$QHZPDFKLQHZDVLQVWDOOHGIRUILOOLQJFRQWDLQHUV
D 'LDJQRVLVWRHYDOXDWHSURFHVVVWDELOLW\ ZLWK NJRISURGXFW7KHRYHUILOOLQJUDPVZDV
E &RQWUROWRGHWHUPLQHZKHQDSURFHVVQHHGVWR GHHPHGWREHWKHLPSRUWDQWFKDUDFWHULVWLFWREH
EHDGMXVWHGDQGZKHQLWLVWREHOHIWDVLV LQYHVWLJDWHGDQGFRQWUROOHGE\PHDQVRIDFRQWURO
FKDUW
F &RQILUPDWLRQWRFRQILUPDQLPSURYHPHQWWRD
SURFHVV D 0HDQ X DQGUDQJH 5 FKDUWVZHUHVHOHFWHGIRU
WKLVSXUSRVH
$'HVFULSWLRQ E 7KHVXEJURXSZDVGHILQHGDVILYHFRQVHFXWLYH
$FRQWUROFKDUWLVDWRROIRUGLVWLQJXLVKLQJYDULDWLRQV ILOOHGFRQWDLQHUVWDNHQRIIWKHPDFKLQHDWKRXUO\
GXHWRDVVLJQDEOHRUVSHFLDOFDXVHVIURPWKHFKDQFH LQWHUYDOV
YDULDWLRQVLQKHUHQWLQWKHSURFHVV&KDQFH F 'DWDZHUHFROOHFWHGRQVXEJURXSVDQG
YDULDWLRQVUHSHDWUDQGRPO\ZLWKLQSUHGLFWDEOH UHFRUGHGSUHVHUYLQJWKHRUGHURIREVHUYDWLRQV
OLPLWV9DULDWLRQVGXHWRDVVLJQDEOHRUVSHFLDO
FDXVHVLQGLFDWHWKDWVRPHIDFWRUVDIIHFWLQJWKH G 6DPSOHVWDWLVWLFVX  PHDQRIILYHREVHUYDWLRQV 
SURFHVVQHHGWREHLGHQWLILHGLQYHVWLJDWHGDQG DQG5 UDQJHRIILYHREVHUYDWLRQV ZHUHFDOFXODWHG
EURXJKWXQGHUFRQWURO IRUHDFKVXEJURXSVDPSOH

 ‹%6,
Licensed Copy: Oxford Brookes ATHENS, Oxford Brookes University, 02/06/2008 22:56, Uncontrolled Copy, (c) BSI
,62 (

)LJXUH$¦([DPSOHRIDWUHHGLDJUDP
H %\DSSO\LQJDSSURSULDWHIRUPXODH K ,WZDVGHFLGHGWRFRQWLQXHVDPSOLQJDQG
VHH,62 WKHFHQWUHOLQHV &/ DQGWKH FKDUWLQJWKHRYHUILOOLQWKHVDPHPDQQHUDQGQRW
XSSHU 8&/ DQGORZHU /&/ FRQWUROOLPLWV WRPDNHDQ\DGMXVWPHQWVWRWKHSURFHVVXQOHVV
IRU X DQG5ZHUHFDOFXODWHG WKHFRQWUROFKDUWLQGLFDWHGDQLQWUXVLRQRIDQ
DVVLJQDEOHFDXVH ,IFRQWUROFKDUWGDWDZHUH
I 7KHFKDUWVZHUHFRQVWUXFWHG
DYDLODEOHIRUWKHROGSURFHVVRIILOOLQJWKH
J ([DPLQDWLRQRIWKHFRQWUROFKDUWVVKRZHGQR FRQWDLQHUVDGHFLVLRQFRXOGEHPDGHDERXWWKH
SRLQWVRXWVLGHWKHFRQWUROOLPLWVDQGQRSDWWHUQV GHJUHHRILPSURYHPHQWWKHQHZPDFKLQHU\KDV
RISRLQWVLQGLFDWLQJODFNRIUDQGRPQHVVRU EURXJKWDERXW
SUHVHQFHRIDVVLJQDEOHFDXVHV+HQFHWKHSURFHVV
7KHGDWDJLYHQLQ7DEOH$DUHSORWWHGWRJLYHWKH
ZDVMXGJHGWREHUHSHDWLQJSUHGLFWDEO\LHLQD
FRQWUROFKDUWVKRZQLQ)LJXUH$
VWDWHRIVWDWLVWLFDOFRQWURO

‹%6, 
Licensed Copy: Oxford Brookes ATHENS, Oxford Brookes University, 02/06/2008 22:56, Uncontrolled Copy, (c) BSI
,62 (

7DEOH$¦2YHUILOOGDWDDQGVDPSOHVWDWLVWLFV ; 5
9DOXHVDUHLQJUDPV
6XEJURXS1R ; ; ; ; ; ; ; 5

        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
        
7RWDO  
$YHUDJH 
;  
5 

 ‹%6,
Licensed Copy: Oxford Brookes ATHENS, Oxford Brookes University, 02/06/2008 22:56, Uncontrolled Copy, (c) BSI
,62 (

)LJXUH$¦ ; DQG5FKDUWVIRURYHUILOOGDWD

$+LVWRJUDP G 0DUNWKHKRUL]RQWDOD[LVZLWKWKHVFDOHRIWKH
GDWDYDOXHV
$$SSOLFDWLRQ
H 0DUNWKHYHUWLFDOD[LVZLWKWKHIUHTXHQF\VFDOH
$KLVWRJUDPLVXVHGWR QXPEHURUSHUFHQWRIREVHUYDWLRQV 
¦GLVSOD\WKHSDWWHUQRIYDULDWLRQ I 'UDZWKHKHLJKWRIHDFKLQWHUYDOHTXDOWRWKH
¦FRPPXQLFDWHYLVXDOO\LQIRUPDWLRQDERXW QXPEHURIGDWDYDOXHVWKDWIDOOZLWKLQWKH
SURFHVVEHKDYLRXU LQWHUYDO
¦PDNHGHFLVLRQVDERXWZKHUHWRIRFXV 127( ,WLVSRVVLEOHWRGHVLJQDGDWDFROOHFWLRQIRUPVRWKDW
LPSURYHPHQWHIIRUWV DKLVWRJUDPLVJHQHUDWHGDVWKHGDWDDUHFROOHFWHG6XFKDIRUPLV
RIWHQFDOOHGD§WDOO\VKHHW¨
$'HVFULSWLRQ
7KHGDWDDUHGLVSOD\HGDVDVHULHVRIUHFWDQJOHVRI $([DPSOH
HTXDOZLGWKDQGYDU\LQJKHLJKWV7KHZLGWK 7KHKLVWRJUDPVKRZQLQ)LJXUH$UHSUHVHQWVWKH
UHSUHVHQWVDQLQWHUYDOZLWKLQWKHUDQJHRIGDWD7KH RYHUILOOGDWDIRUWKHFRQWUROFKDUWH[DPSOH
KHLJKWUHSUHVHQWVWKHQXPEHURIGDWDYDOXHVZLWKLQ 7DEOH$ 
DJLYHQLQWHUYDO7KHSDWWHUQRIYDU\LQJKHLJKWV
VKRZVWKHGLVWULEXWLRQRIGDWDYDOXHV)LJXUH$
VKRZVIRXUFRPPRQO\RFFXUULQJSDWWHUQVRI
YDULDWLRQ%\H[DPLQLQJWKHVHSDWWHUQVRQHFDQ
REWDLQLQVLJKWVLQWRSURFHVVEHKDYLRXU
$3URFHGXUH
D &ROOHFWWKHGDWDYDOXHV
E 'HWHUPLQHWKHUDQJHRIWKHGDWDE\VXEWUDFWLQJ
WKHVPDOOHVWGDWDYDOXHIURPWKHODUJHVW
F 'HWHUPLQHWKHQXPEHURILQWHUYDOVLQWKH
KLVWRJUDPV RIWHQEHWZHHQDQG DQGGLYLGH
WKHUDQJH>VWHSE @E\WKHQXPEHURILQWHUYDOVWR
GHWHUPLQHWKHZLGWKRIHDFKLQWHUYDO

‹%6, 
Licensed Copy: Oxford Brookes ATHENS, Oxford Brookes University, 02/06/2008 22:56, Uncontrolled Copy, (c) BSI
,62 (

)LJXUH$¦&RPPRQO\RFFXUULQJSDWWHUQVLQKLVWRJUDPV

)LJXUH$¦([DPSOHRIDKLVWRJUDP

 ‹%6,
Licensed Copy: Oxford Brookes ATHENS, Oxford Brookes University, 02/06/2008 22:56, Uncontrolled Copy, (c) BSI
,62 (

$3DUHWRGLDJUDP $([DPSOH
)LJXUH$UHSUHVHQWVD3DUHWRGLDJUDPIRUUHSRUWV
$$SSOLFDWLRQ RIWURXEOHVZLWKWHOHSKRQHV
$3DUHWRGLDJUDPLVXVHGWR
$6FDWWHUGLDJUDP
¦GLVSOD\WKHFRQWULEXWLRQRIHDFKLWHPWRWKH
WRWDOHIIHFWLQRUGHURILPSRUWDQFH $$SSOLFDWLRQ
¦UDQNLPSURYHPHQWRSSRUWXQLWLHV $VFDWWHUGLDJUDPLVXVHGWRGLVFRYHUDQGGLVSOD\
UHODWLRQVKLSVEHWZHHQWZRDVVRFLDWHGVHWVRIGDWD
$'HVFULSWLRQ DQGWRFRQILUPDQWLFLSDWHGUHODWLRQVKLSVEHWZHHQ
WZRDVVRFLDWHGVHWVRIGDWD
$3DUHWRGLDJUDPLVDVLPSOHJUDSKLFDOWHFKQLTXH
IRUUDQNLQJLWHPVIURPWKHPRVWIUHTXHQWWRWKH $'HVFULSWLRQ
OHDVWIUHTXHQW7KH3DUHWRGLDJUDPLVEDVHGRQWKH
3DUHWRSULQFLSOHZKLFKVWDWHVWKDWMXVWDIHZRIWKH $VFDWWHUGLDJUDPLVDJUDSKLFDOWHFKQLTXHIRU
LWHPVRIWHQDFFRXQWIRUPRVWRIWKHHIIHFW%\ VWXG\LQJUHODWLRQVKLSVEHWZHHQWZRDVVRFLDWHGVHWV
GLVWLQJXLVKLQJWKHPRVWLPSRUWDQWLWHPVIURPWKH RIGDWDZKLFKRFFXULQSDLUV>HJ [\ RQHIURPHDFK
OHVVLPSRUWDQWRQHVWKHJUHDWHVWLPSURYHPHQWZLOO VHW@7KHVFDWWHUGLDJUDPGLVSOD\VWKHSDLUVDVD
EHREWDLQHGZLWKWKHOHDVWHIIRUW FORXGRISRLQWV5HODWLRQVKLSVEHWZHHQWKH
DVVRFLDWHGVHWVRIGDWDDUHLQIHUUHGIURPWKHVKDSH
7KH3DUHWRGLDJUDPGLVSOD\VLQGHFUHDVLQJRUGHU RIWKHFORXGV$SRVLWLYHUHODWLRQVKLSEHWZHHQ[DQG
WKHUHODWLYHFRQWULEXWLRQRIHDFKLWHPWRWKHWRWDO \PHDQVLQFUHDVLQJYDOXHVRI[DUHDVVRFLDWHGZLWK
HIIHFW7KHUHODWLYHFRQWULEXWLRQPD\EHEDVHGRQWKH LQFUHDVLQJYDOXHVRI\$QHJDWLYHUHODWLRQVKLS
QXPEHURIRFFXUUHQFHVWKHFRVWDVVRFLDWHGZLWK PHDQVLQFUHDVLQJYDOXHVRI[DUHDVVRFLDWHGZLWK
HDFKLWHPRURWKHUPHDVXUHVRILPSDFWRQWKHHIIHFW GHFUHDVLQJYDOXHVRI\
%ORFNVDUHXVHGWRVKRZWKHUHODWLYHFRQWULEXWLRQRI
HDFKLWHP$FXPXODWLYHIUHTXHQF\OLQHLVXVHGWR 6L[FRPPRQO\RFFXUULQJVKDSHVRIWKHVHFORXGVDUH
VKRZWKHFXPXODWLYHFRQWULEXWLRQRILWHPV VKRZQLQ)LJXUH$%\H[DPLQLQJWKHVHVKDSHV
RQHFDQREWDLQLQVLJKWVLQWRWKHUHODWLRQVKLSV
$3URFHGXUH EHWZHHQWKHVHVHWVRIGDWD
D 6HOHFWWKHLWHPVWREHDQDO\VHG
E 6HOHFWWKHXQLWRIPHDVXUHPHQWIRUDQDO\VLV
VXFKDVWKHQXPEHURIRFFXUUHQFHVFRVWVRU
DQRWKHUPHDVXUHRILPSDFW
F 6HOHFWWKHWLPHSHULRGRIWKHGDWDWREH
DQDO\VHG
G /LVWWKHLWHPVIURPOHIWWRULJKWRQWKH
KRUL]RQWDOD[LVLQRUGHURIGHFUHDVLQJPDJQLWXGH
RIWKHXQLWRIPHDVXUHPHQW&DWHJRULHVFRQWDLQLQJ
WKHOHDVWLWHPVFDQEHFRPELQHGLQWRDQ§RWKHU¨
FDWHJRU\3ODFHWKLVFDWHJRU\RQWKHH[WUHPHULJKW
KDQGVLGH
H &RQVWUXFWWZRYHUWLFDOD[HVRQHDWHDFKHQGRI
WKHKRUL]RQWDOD[LV7KHOHIWKDQGVFDOHVKRXOGEH
FDOLEUDWHGLQWKHXQLWRIPHDVXUHPHQWDQGLWV
KHLJKWPXVWHTXDOWKHVXPRIWKHPDJQLWXGHVRI
DOOLWHPV7KHULJKWKDQGVFDOHPXVWKDYHWKH
VDPHKHLJKWDQGLVFDOLEUDWHGIURPWR 
I $ERYHHDFKLWHPGUDZDUHFWDQJOHZKRVHKHLJKW
UHSUHVHQWVWKHPDJQLWXGHRIWKHXQLWRI
PHDVXUHPHQWIRUWKDWLWHP
J &RQVWUXFWWKHFXPXODWLYHIUHTXHQF\OLQHE\
VXPPLQJWKHPDJQLWXGHVRIHDFKLWHPIURPOHIWWR
ULJKW VHH)LJXUH$ 
K 8VHWKH3DUHWRGLDJUDPWRLGHQWLI\WKHPRVW
LPSRUWDQWLWHPVIRUTXDOLW\LPSURYHPHQW

‹%6, 
Licensed Copy: Oxford Brookes ATHENS, Oxford Brookes University, 02/06/2008 22:56, Uncontrolled Copy, (c) BSI
,62 (

127( 7KHDERYHGLDJUDPVKRZVWKDWQRLV\OLQHVDQGRSHQOLQHVDFFRXQWIRU RIWKHWHOHSKRQHWURXEOHUHSRUWVDQGWKDWWKHVH


LQGLFDWHWKHJUHDWHVWRSSRUWXQLWLHVIRULPSURYHPHQW

)LJXUH$¦([DPSOHRID3DUHWRGLDJUDP

 ‹%6,
Licensed Copy: Oxford Brookes ATHENS, Oxford Brookes University, 02/06/2008 22:56, Uncontrolled Copy, (c) BSI

‹%6,
)LJXUH$¦&RPPRQO\RFFXUULQJVFDWWHUGLDJUDPV
,62 (


Licensed Copy: Oxford Brookes ATHENS, Oxford Brookes University, 02/06/2008 22:56, Uncontrolled Copy, (c) BSI
,62 (

$3URFHGXUH 7DEOH$¦$PRXQWRIDGGLWLYH§$¨DQG
D &ROOHFWSDLUHGGDWD [\ IURPWZRDVVRFLDWHG DVVRFLDWHG\LHOG
VHWVRIGDWDZKRVHUHODWLRQVKLSLVWREHVWXGLHG,W $GGLWLYH $GGLWLYH
LVGHVLUDEOHWRKDYHDERXWSDLUVRIGDWD %DWFK §$¨ <LHOG %DWFK §$¨ <LHOG
1R 1R
E /DEHOWKH[DQG\D[HV
J  J 
F )LQGWKHPLQLPXPDQGPD[LPXPYDOXHVIRU
ERWK[DQG\DQGXVHWKHVHYDOXHVWRVFDOHWKH      
KRUL]RQWDO [ DQGYHUWLFDO \ D[HV%RWKD[HV      
VKRXOGEHRIDERXWHTXDOOHQJWK
     
G 3ORWWKHSDLUHG [\ GDWD:KHQWZRSDLUVRI      
GDWDKDYHWKHVDPHYDOXHVHLWKHUGUDZFRQFHQWULF
FLUFOHVDURXQGWKHSORWWHGSRLQWRUSORWWKHVHFRQG      
SRLQWQHDUE\      
H ([DPLQHWKHVKDSHRIWKHFORXGRISRLQWVWR      
GLVFRYHUWKHW\SHVDQGVWUHQJWKVRIUHODWLRQVKLSV      
     
$([DPSOH
     
'DWDIRUWKHDPRXQWRIDQDGGLWLYHDQGWKHUHVXOWDQW
\LHOGDUHJLYHQLQ7DEOH$7KHVFDWWHUGLDJUDP      
SORWWHGIURPWKHVHGDWDLVVKRZQLQ)LJXUH$      
     
     
     

 ‹%6,
Licensed Copy: Oxford Brookes ATHENS, Oxford Brookes University, 02/06/2008 22:56, Uncontrolled Copy, (c) BSI
,62 (

)LJXUH$¦([DPSOHRIDVFDWWHUGLDJUDP

$QQH[% LQIRUPDWLYH
%LEOLRJUDSK\
>@,62¦ &RQWUROFKDUWV¦*HQHUDOJXLGHDQGLQWURGXFWLRQ
>@,626KHZKDUWFRQWUROFKDUWV
>@,624XDOLW\PDQDJHPHQWDQGTXDOLW\V\VWHPHOHPHQWV¦*XLGHOLQHV
>@,624XDOLW\PDQDJHPHQWDQGTXDOLW\V\VWHPHOHPHQWV¦3DUW*XLGHOLQHVIRUVHUYLFHV
>@,64XDOLW\PDQDJHPHQWDQGTXDOLW\V\VWHPHOHPHQWV¦3DUW*XLGHOLQHVIRUSURFHVVHG
PDWHULDOV

 7REHSXEOLVKHG

‹%6, 
Licensed Copy: Oxford Brookes ATHENS, Oxford Brookes University, 02/06/2008 22:56, Uncontrolled Copy, (c) BSI


EODQN
Licensed Copy: Oxford Brookes ATHENS, Oxford Brookes University, 02/06/2008 22:56, Uncontrolled Copy, (c) BSI

‹%6,
6HHQDWLRQDOIRUHZRUG
/LVWRIUHIHUHQFHV
%6
Licensed Copy: Oxford Brookes ATHENS, Oxford Brookes University, 02/06/2008 22:56, Uncontrolled Copy, (c) BSI
%6

,62 %6, ¦ %ULWLVK 6WDQGDUGV ,QVWLWXWLRQ
 %6,LVWKHLQGHSHQGHQWQDWLRQDOERG\UHVSRQVLEOHIRUSUHSDULQJ
%ULWLVK 6WDQGDUGV,WSUHVHQWVWKH8.YLHZRQVWDQGDUGVLQ(XURSHDQGDWWKH
LQWHUQDWLRQDOOHYHO,WLVLQFRUSRUDWHGE\5R\DO&KDUWHU

5HYLVLRQV

%ULWLVK 6WDQGDUGVDUHXSGDWHGE\DPHQGPHQWRUUHYLVLRQ8VHUVRI
%ULWLVK 6WDQGDUGVVKRXOGPDNHVXUHWKDWWKH\SRVVHVVWKHODWHVWDPHQGPHQWVRU
HGLWLRQV

,WLVWKHFRQVWDQWDLPRI%6,WRLPSURYHWKHTXDOLW\RIRXUSURGXFWVDQGVHUYLFHV
:HZRXOGEHJUDWHIXOLIDQ\RQHILQGLQJDQLQDFFXUDF\RUDPELJXLW\ZKLOHXVLQJ
WKLV%ULWLVK 6WDQGDUGZRXOGLQIRUPWKH6HFUHWDU\RIWKHWHFKQLFDOFRPPLWWHH
UHVSRQVLEOHWKHLGHQWLW\RIZKLFKFDQEHIRXQGRQWKHLQVLGHIURQWFRYHU
7HO   )D[   

%6,RIIHUVPHPEHUVDQLQGLYLGXDOXSGDWLQJVHUYLFHFDOOHG3/86ZKLFKHQVXUHV
WKDWVXEVFULEHUVDXWRPDWLFDOO\UHFHLYHWKHODWHVWHGLWLRQVRIVWDQGDUGV

%X\LQJVWDQGDUGV

2UGHUVIRUDOO%6,LQWHUQDWLRQDODQGIRUHLJQVWDQGDUGVSXEOLFDWLRQVVKRXOGEH
DGGUHVVHGWR&XVWRPHU6HUYLFHV7HO   )D[   

,QUHVSRQVHWRRUGHUVIRULQWHUQDWLRQDOVWDQGDUGVLWLV%6,SROLF\WRVXSSO\WKH
%6,LPSOHPHQWDWLRQRIWKRVHWKDWKDYHEHHQSXEOLVKHGDV%ULWLVK 6WDQGDUGV
XQOHVVRWKHUZLVHUHTXHVWHG

,QIRUPDWLRQRQVWDQGDUGV

%6,SURYLGHVDZLGHUDQJHRILQIRUPDWLRQRQQDWLRQDO(XURSHDQDQG
LQWHUQDWLRQDOVWDQGDUGVWKURXJKLWV/LEUDU\DQGLWV7HFKQLFDO+HOSWR([SRUWHUV
6HUYLFH9DULRXV%6,HOHFWURQLFLQIRUPDWLRQVHUYLFHVDUHDOVRDYDLODEOHZKLFKJLYH
GHWDLOVRQDOOLWVSURGXFWVDQGVHUYLFHV&RQWDFWWKH,QIRUPDWLRQ&HQWUH
7HO   )D[   

6XEVFULELQJPHPEHUVRI%6,DUHNHSWXSWRGDWHZLWKVWDQGDUGVGHYHORSPHQWV
DQGUHFHLYHVXEVWDQWLDOGLVFRXQWVRQWKHSXUFKDVHSULFHRIVWDQGDUGV)RUGHWDLOV
RIWKHVHDQGRWKHUEHQHILWVFRQWDFW0HPEHUVKLS$GPLQLVWUDWLRQ
7HO   )D[   

&RS\ULJKW

&RS\ULJKWVXEVLVWVLQDOO%6,SXEOLFDWLRQV%6,DOVRKROGVWKHFRS\ULJKWLQWKH
8.RIWKHSXEOLFDWLRQVRIWKHLQWHUQDWLRQDOVWDQGDUGL]DWLRQERGLHV([FHSWDV
SHUPLWWHGXQGHUWKH&RS\ULJKW'HVLJQVDQG3DWHQWV$FWQRH[WUDFWPD\EH
UHSURGXFHGVWRUHGLQDUHWULHYDOV\VWHPRUWUDQVPLWWHGLQDQ\IRUPRUE\DQ\
PHDQV¥HOHFWURQLFSKRWRFRS\LQJUHFRUGLQJRURWKHUZLVH¥ZLWKRXWSULRUZULWWHQ
SHUPLVVLRQIURP%6,

7KLVGRHVQRWSUHFOXGHWKHIUHHXVHLQWKHFRXUVHRILPSOHPHQWLQJWKHVWDQGDUG
RIQHFHVVDU\GHWDLOVVXFKDVV\PEROVDQGVL]HW\SHRUJUDGHGHVLJQDWLRQV,IWKHVH
GHWDLOVDUHWREHXVHGIRUDQ\RWKHUSXUSRVHWKDQLPSOHPHQWDWLRQWKHQWKHSULRU
ZULWWHQSHUPLVVLRQRI%6,PXVWEHREWDLQHG

,ISHUPLVVLRQLVJUDQWHGWKHWHUPVPD\LQFOXGHUR\DOW\SD\PHQWVRUDOLFHQVLQJ
DJUHHPHQW'HWDLOVDQGDGYLFHFDQEHREWDLQHGIURPWKH&RS\ULJKW0DQDJHU
7HO   
%6,
&KLVZLFN+LJK5RDG
/RQGRQ
:$/

You might also like