THE INSTITUTE OF CHARTERED ACCOUNTANTS OF NIGERIA SKILLS LEVEL EXAMINATION - MAY 2024 MANAGEMENT INFORMATION QUESTION 1 Eko Superstores Limited is a rapidly growing chain of retail supermarkets headquartered in Lagos, operating twelve outlets across Lagos, Ibadan, and Abuja. Over the past two years, the company has experienced rapid expansion, resulting in a dramatic increase in transaction volume. However, the Board of Directors recently expressed deep concern over deteriorating profit margins, persistent stockouts of high-demand items, and excessive write-offs due to stock expiration. At a recent board meeting, the Chief Executive Officer (CEO) presented a feedback report from store managers claiming that the current weekly operational reports generated by the IT department are voluminous, cluttered with raw data, often delivered four to six days late, and lack actionable insights. Furthermore, executive directors are overwhelmed by 100-page monthly financial packs, making it difficult to identify underlying operational issues across individual store locations. To address these deficiencies, the Board has resolved to overhaul the company's reporting infrastructure by transitioning to a modern Business Intelligence (BI) and Big Data reporting system that supports exception reporting and multi-level decision-making. Required: (a) Discuss FOUR (4) key attributes of good management information that Eko Superstores Limited must incorporate into its new reporting framework, illustrating how the absence of each attribute currently impairs the company's business operations. (8 Marks) (b) Differentiate between Strategic, Tactical, and Operational management reporting in Eko Superstores Limited by detailing the target audience, purpose, and providing ONE relevant example of a report for EACH management level. (9 Marks) (c) Explain the concept of Management by Exception (MBE) reporting and highlight THREE (3) distinct operational benefits Eko Superstores Limited will derive from implementing exception reporting for inventory control. (5 Marks) (d) Explain FOUR (4) potential challenges Eko Superstores Limited may encounter during the implementation of Big Data analytics and modern reporting systems, referencing relevant regulatory or technical factors in Nigeria. (8 Marks) (Total: 30 Marks)