大象传媒

In April 2014, the Trust announced it would commission a new review of the 大象传媒鈥檚 approach to managing and rewarding its performers and presenters.

Following a competitive procurement process, the Trust has now appointed Oliver & Ohlbaum Associates to conduct this work and the terms of reference are set out today.

Chairman of the Trust鈥檚 Value for Money Committee, Nick Prettejohn will be leading the review which is due to conclude later on this year.

This will be the Trust鈥檚 first study of talent costs since the 2008-09 review, which found there was no evidence that the 大象传媒 was pushing up prices in the talent market. The 2008 review also concluded that, on the whole, decisions on talent were well made, but that a more consistent approach and some improvements to processes could improve value for licence fee payers.

Since this review, the 大象传媒 has successfully reduced the talent paybill by 13% (over the five years to 2012-13) and publishes annual expenditure on talent in bands in its Annual Report.

Objective

The Trust will consider whether the 大象传媒 has been paying the market price for talent, and assess the processes and information available to manage talent costs, including the development of new talent.聽

Scope

The review will cover presenters and performers engaged by the 大象传媒. Where practicable, the study will compare the size and structure of the 大象传媒's reward packages with those offered by other broadcasters. It will also examine whether the current policy of reducing costs has been successful, and if it is likely to be sustainable in the future.

The review of processes and information will focus on the extent to which Executive decisions are well informed and controlled rather than evaluating specific editorial judgements, which are a matter for the 大象传媒 Executive.

As a consequence of the requirements of the Data Protection Act and the need to protect the 大象传媒鈥檚 ability to negotiate value for money deals, the review will not result in the publication of details relating to individual talent deals.

Key questions

The study will focus on three main areas:

1. Market context

• How have the size and structure of the 大象传媒's reward packages for talent compared with the rest of the market?
• Is the 大象传媒鈥檚 impact on the market for talent proportionate to its size, and the scale of the market?

2. Use of information

Does the 大象传媒 use the right information to effectively manage talent costs, including consideration of:

• the 大象传媒鈥檚 objectives and purposes;
• the current market and likely, future market developments;
• the needs of all audiences;
• talent motivations; and
• the retention and development of new and existing talent?

3. Processes

• Does the 大象传媒 have effective and proportionate policies, processes, and controls to manage talent costs?
• Have policies and processes been followed and exceptions authorised and documented?