SCS Mock 03

Section Time for section Number of answer Number of sub- % time to spend on each
(task) (minutes) screens tasks sub-task
1 60 1 2 (a) - 45%
(b) - 55%
2 60 1 2 (a) - 60%
(b) - 40%
3 60 1 3 (a) - 33%
(b) - 33%
(c) - 34%

This examination is structured as follows:

Each section (task) has a number of sub-tasks. An indication of how much of the time available for the section
that you should allocate to planning and writing your answer is shown against each sub-task in the text of the
question (and summarised in the table above).

SCS Nov. 2021 - Mock Exam 03 - Akila Gunarathna 1

You receive the following email:

From: Maria Tektonidou, Chief Finance Officer

To: Senior Manager
Subject: Expansion to Greenland with Cloud computing business

Hi,

I have attached few details I gathered regarding Greenland a week before. I need you to draft a briefing that I
can present in the next board meeting where we are planning discuss on the expansion to Greenland with a
cloud computing business.

Firstly, identify and evaluate the possible strategic options available for our business to expand to Greenland
with a cloud computing venture.

[sub-task (a) = 50%]

Secondly, identify the challenges we might face when evaluating the feasibility of this proposal (Expansion to
Greenland with this new venture).
[sub-task (b) = 50%]
Reference Material

The attachment referred can be found by clicking on the Reference Material button.

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 Briefing about Greenland.

Greenland is a developing country located in the East Europian region. Its functional currency is G$.
Most of the tech companies have moved to Greenland in the recent years to locate their server
warehouses in Greenland. One of the main reasons to choose Greenland is that its climate and
consistent electricity power.

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One month has been passed. Maria Tektonidou, Chief Finance Officer asks you to join her in her office
and hands you a document.

“In the last board meeting we have evaluated the expansion to Greenland and the input you provided is much
appreciated. However, we need to consider the financing options available.

I'd like you to write a report that I can use to brief the Board at our next meeting:

Firstly, identify and evaluate various financing options available for Pixlwizz’s Group to fund this expansion
(W$400M) in light of our current financial situation and provide a recommendation.

[sub-task (a) = 60%]

Secondly, evaluate various methods we could use to manage the foreign currency risk involved with our cloud
computing business in Greenland.”
[sub-task (b) = 40%]

Details about the foreign currency movement in Greenland can be found by clicking on the Reference Material
button.

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 Prediction of Foreign Currency Rates between W$ and G$

Date Predicted Rate (1W$)

2021/ 12/01 G$ 209.72
2022/ 01/01 G$ 214.84
2022/ 02/01 G$ 205.22
2022/ 03/01 G$ 212.94
2022/ 04/01 G$ 201.29
2022/ 05/01 G$ 190.25
2022/ 06/01 G$ 195.23
2022/ 07/01 G$ 185.42
2022/ 08/01 G$ 186.09
2022/ 09/01 G$ 199.43
2022/ 10/01 G$ 208.56
2022/ 11/ 01 G$ 198.89

*Above rates are predicted rates as per the technical research conducted by Commercial Bank of Westland
and the please note that these rates can further change with the changing economic policies in between the
countries.

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Three months have been passed. Maria Tektonidou, Chief Finance Officer asks you to join her in her
office and hands you a briefing and asks you to check your email inbox.
From: Maria Tektonidou, Chief Finance Officer
To: Senior Manager
Subject: Managing reputational risk, Board’s responsibility & Cyber risk controls

Hi,

You might know that our system got an attack from an intruder today morning. I have attached a briefing about
the attack. I need you to send me a briefing within the next 1 hour on the following matters.

Firstly, state what methods should we have put in place to manage the reputational risk involved with such a
situation.

[sub-task (a) = 33%]

Secondly, evaluate the responsibility of the board for managing the cyber risk arise on Pixlwizz group with the
heavy use of IT infrastructure.

[sub-task (b) = 33%]

Thirdly, one of our marketing employees, Leon has lost his tablet computer provided by Pixlwizz and it contains
some of our confidential information in it. If it gets into a dangerous party, they’ll get access to our information.
State some controls which we could use to prevent materializing a similar attack in the future.
[sub-task (c) = 34%]

Briefing about the attack referred can be found by clicking on the Reference Material button.
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 Briefing about the cyber attack

We are presuming that these intruders have gain access to most of our
customer’s credit card details. We need to make sure we recover our
system as quickly as possible.

The Board's focus has been drawn to the recent rise in cyber risk.
However, despite the fact that we heavily rely on IT for airport operations,
we currently do not have a separate IT director. Furthermore, none of the
board members had any previous expertise in the field of information
technology. Our CEO has voiced concern about the board's responsibility
if a vulnerability to our IT processes emerges.

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