- You work for an investment fund that has significant shareholdings in several large companies. You have been asked to prepare a brief for the fund management about the agency problem and the mechanisms available to mitigate the problem. In your brief explain what the agency problem and what governance mechanisms is can be used to reduce the information asymmetry and the scope of the agency problem.
Preparing an Effective Briefing A briefing is designed to provide information quickly and effectively about an issue. It is often used to influence decisions or offer solutions. Briefings can be delivered as short written documents or presented in person. You should prepare in the same way for both. Consider the following issues when putting a briefing together: What is the purpose of the briefing? What points do you need to cover?' You need to clarify the constituent parts of the lasue and may also be required to make recommendations on how to proceed. You should provide some laright Moto the key points and conoverations so that the decision makers are best placed to come to o conclusion. Point out oreos of potential controversy and suggest the likely import of any anticipated actions. If you are making a recommendation, you should explore a range of solutions before making o persuasive cose for your chosen one. Who is going to read/listen to it? What do they need to know? Not all detall is appropriate for oil audiences; consider who you ore writing for. Do not bore them with irrelevant' information, or prevent them from making a decision "or answering others" questions) becouse they are missing a crucial piece of background de toll. What do they already know? What do you need to explain to them? What affects them? What interests them? How will you structure the information? Purpose - a statement of the issue or problem in one of two lines, clearly explaining the purpose of the briefing. Main Body - information on the background, current situation and options available to move forward. The Information given should be concise, factual, dear, substantiated and unbiased. if information is missing or unavailable, this should be noted. Consider whether figures, graphs, tobles or charts would be a more sulfoble to text, but moke sure they're dear and easy to understand. Conclusion/ Recommendations - this summarises what you've already sold and should include no new information. The conclusion leaves the reover with o clear message and, where appropriate, recommendations on how to proceed. Be aware that some people jump straight to the conclusion! What will it look like? Short - preferably no more than 2 pages Clear - has a clear purpose, easy to follow, no jargon Conche - well edited, not too wordy Reliable - information is accurate, with notification of missing Information Professional - Proof read for errors, good use of white space to look inviting. If your company or department has a house style, it should be followed.Briefing document checklist BEFOREI WRITE Remember the 5 WS who, whot, where, why when and HOW! Do I understand the purpose of this document for presentation ? Who fire my audience Do I understand my audience's needs and what they're trying to accomplish, including any "trade offs' or compromises they would be willing to maker Do I have all the information I need about the issue in question, including a clear idea of any areas of controversy? Have I explored all options? What are the main points I'm trying to get across?' Tip: Sometimes It's coster to write if you prepare the conclusion just! ONCE WRITTEN Does my briefing have a clear structure - Purpose, Body, Conclusion? Is it short (preferably 2 pages or less|? Does the document cover the main points? Does it include all information that my audience will require, with evidence to back it up? Have I flagged any omissions of information? Have I come to a dear conclusion? Is there any unnecessary information that should be cut out, or detailed Information in the main body that would be better incorporated into an annex? Have I used jargont Is the document laid out clearly/does it conform to style guidelines? Has it been proof read
