This is the fifth edition of Inside Track for the 2021/22 year derived mainly from the Trustee Board meeting held on 8th December. As before, it aims to give you a summary of our discussions.
Welcomes
The President welcomed Martin Robinson, Chair of IMechE Council, and Michael Hirst, the representative of the Young Members’ Board. Welcome was also extended to Richard Folkson, Christian Young and Isobel Pollock-Hulf for their agenda items.
Inclusion moment
Roy Allan presented a brief introduction to the subject of ‘non-violent communication’, i.e. communicating in ways which are not judgemental or covertly threatening.
The key strategic items for discussion in this meeting were the business plan for 2022, the future plans for the Birdcage Walk buildings, and the strategy for PEP Limited.
2022 Business Plan Development
Alice Bunn presented the final draft of the proposed Business Plan for 2022 which follows the structure of the draft strategy, identifying 7 key priorities supported by underpinning performance indicators. The approach aims to provide a clear annual focus, set staff efforts in a wider strategic context, and provide the Trustee Board with the means to measure progress.
HQ buildings
The President summarised the decisions taken at a Trustee Board meeting on 29th November, after the conclusion of the period of widespread consultation, which involved four webinars, web-site material and meetings with various boards and committees, plus an internal survey within one Division. The consultation produced positive and negative feedback, requests for further information, and requests to consider a wider range of options. The Board concluded that a non-binding indicative poll, with a series of options, should be taken to establish firmly the preferred option before proceeding to a Special Meeting with a yes/no resolution. Five options have been considered over recent weeks, with several not considered viable, but the Trustee Board agreed that an indicative poll should be undertaken by MSS who ran the corporate survey to ensure a statistically significant consultation is achieved. The indicative poll will be accompanied by short descriptions of the options, supplemented by material on the web-site and opinions will be sought on all options even though some of them are not recommended.
PEP Limited strategy
Richard Judge presented the results of his strategic review of PEP Limited which he has led in the period since being appointed Chair in June, and which includes recommendations agreed by the Finance Board. The team conducting the review consisted of PEP board members (James McKnight, Nigel Wallbridge, Sean Fox) and Patrick Kniveton, Steve Burton, Siddartha Khastgir and Kate Barnard. The conclusions will be discussed within PEP before further publication.
Trustee Board Awards Committee
Richard Folkson presented the annual report from TBAC, this being Richard’s final report before retiring from the committee – the President thanked Richard for his five years as chair. TBAC makes prizes and awards funded by endowments currently valued at £15.2m, split 53% IMechE and 47% Whitworth. The current policy is to direct funds towards scholarships and to rationalise divisional and group awards. Richard again expressed the view that the Institution should pay the £100k p.a. administration costs rather than its being funded from the endowments.
Education & Skills Strategy Board
Christian Young, who took over as chair in June, presented ESSB’s annual report. The board is supported by Jelena Gacesa and Lydia Amarquaye. They have completed a substantial programme of activities aimed at encouraging STEM and the uptake of engineering in school-age children and at undergraduate level. An input is being made on ‘T’ Levels and better engagement of the Royal Academy is being sought through Lydia. From January, Helen James will chair ESSB. Christian was thanked for his report and for taking over the running of ESSB at short notice.
Pensions
Isobel Pollock-Hulf provided an update concerning the (closed) Defined Benefit pension scheme. As of April 2021, there was a funding deficit of £0.7m and that is still the case. The Joint Working Group is continuing and its recommendations have reduced volatility and provided some further diversification of the portfolio in terms of the asset classes held and the territorial mix in the equity element. The covenant aspects of the building are being considered through the Joint Working Group but are not regarded as a ‘red flag’ issue. Isobel was thanked for her considerable efforts on this subject.
Audit & Risk Committee
Heather Clarke provided a report in which she drew attention to three areas of development for the Committee: (i) the internal audit plan, compliant with ISO9001 and including a 3-year programme including PEP Limited, (ii) the Risk Register, which is being revamped for the January 2022 meeting, and (iii) the Annual Report.
IMechE as a certifying body
The TB paper prepared by Raymond Hodgkinson in conjunction with others recommended in principle that IMechE should work towards becoming a certifying body. This is quite a substantial undertaking similar for example to the work that has been needed for apprentice end-point assessment. The route forward would be through one or several pilot schemes, infection control being the first, requiring an investment of c. £30k. Activity would be split between the Learned Society and PEP Limited (L&D business unit). The proposal was agreed in principle with further work now required to define the details of the way forward.
Values & Behaviours Work
The coming weeks will see more information on our website on how the Institution is embracing its four values - the ‘4i’s’ – inclusion, integrity, innovation and impact.
Feedback
I hope you find the above to be of interest and your feedback is always welcome. You can contact me at president@imeche.org
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Peter Flinn MA MBA CEng FIMechE
President
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