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Annual Report of the Local Examinations Syndicate

The LOCAL EXAMINATIONS SYNDICATE beg leave to present the following Annual Report to the Council.

Introduction

The year ended 30 September 2000 was one of excellent progress for the UCLES Group. Administratively, the summer of 2000 was the most successful examination session for over a decade. Three factors contributed to this satisfactory outcome. Firstly, the performance and reliability of the main examinations processing system in Cambridge was greatly improved by enhancements to the system which were put in train at the start of the year. Secondly, the full benefits of the business stream arrangements, introduced at the beginning of the previous financial year, were realized. The Group's business streams - Cambridge International Examinations (CIE), Oxford, Cambridge, and RSA examinations (OCR), and UCLES EFL Division - are now able to focus far more clearly on the needs of their distinct groups of customers, with CIE responsible for international school examinations and international vocational awards; OCR responsible for examinations and other assessment activity in the UK; and the EFL Division responsible for examinations in English as a Foreign Language and qualifications for language teachers throughout the world. As a result, staff are able to concentrate on a more specific range of issues, leading to marked gains in operating efficiency and improved quality of customer service. Thirdly, staff throughout the Group have made an enormous, concerted effort to overcome the difficulties that have marred examinations administration in recent years.

As a result of the efficiency gains in examinations administration, careful attention to cost control throughout the organization, and an increase in entries across all three of the Group's business streams, the UCLES Group achieved an operating surplus in 1999-2000, a year earlier than had been anticipated when the budget for the year was established in September 1999.

These welcome improvements in examinations administration and the operating account are the outcome of a series of initiatives begun in previous years.

The UCLES Group's role

The UCLES Group is now the only UK examinations board that remains part of a university, as a result of the restructuring that has taken place among awarding bodies over the last decade. It is an integral part of the University's educational mission, which is concerned with outreach to the external community worldwide. Within an overall framework which aims to deliver a high quality of examinations administration combined with integrity in the award of qualifications, the Group provides for a wide spectrum of educational attainment, from those with learning difficulties to high achievers. It also aims to deliver a relevant and comprehensive portfolio covering general academic and vocational qualifications. This inclusive approach is a valuable contribution to the needs of society worldwide for access to a qualifications system with a national and international reputation that contributes to the raising of standards in education and training at all levels. The UCLES Group interacts with a far wider audience than the University of Cambridge (or indeed any other university) could reach through its internal work in teaching and research, providing a counterbalance to some external perceptions on the exclusiveness of the University's activities.

In all its activities the Group has always sought to be forward looking. This has manifested itself over the years in a variety of ways: in the support that has been, and continues to be, given to overseas ministries of education to establish their own independent examination boards or distinctive syllabus provision; in contributions to the reform and development of qualifications in the UK and their place in the national regulated framework; in the regular review and updating of examinations generally; in the introduction of new approaches to quality control and control over standards; and in the exploration of new technology in approaches to learning, assessment, and the administration of examinations.

After so much emphasis in recent years on organization and structure, in response to the various mergers and acquisitions that have taken place since 1993, the implementation of major new IT systems, and on bringing the operating account back into surplus, it is well to reflect that the UCLES Group's primary purpose is educational. The Syndicate was established in 1858, with the aim of raising educational standards in schools, through examinations and inspections. Our role remains the provision of examinations for persons who are not members of the University.

The Syndicate first conducted examinations overseas in 1863 and introduced a proficiency test in English in 1913. The examinations are now administered in some 15,000 centres in over 150 countries. Overseas, the British Council is a major partner, particularly in the area of examinations in English as a Foreign Language, as are a number of ministries of education in schools examinations. In 1999-2000 some 3.5m candidates worldwide accounted for a total of 6.4m subject entries in general academic and vocational qualifications spread over several hundred syllabuses and schemes of study. The delivery of the examinations involves a major logistical exercise, from distribution centres in Cambridge, Birmingham, and Coventry, to organize and control the despatch to centres and examiners of over 12m question papers under conditions of strict security, together with large quantities of supporting materials. Around 56,000 examiners, drawn mainly from the teaching profession in the UK, are engaged to support the permanent staff of around 1,250 and a fluctuating number of temporary employees.

While the Group's qualifications are taken by people of all ages, most are targeted at the 14-19 age group, so recognition of qualifications for entry to higher levels in education, as well as by employers for those who do not progress to university, is of paramount importance. GCSE, O and A Level, the International General Certificate of Secondary Education (IGCSE), and the Advanced International Certificate of Education (AICE) enjoy widespread recognition in this regard. Vocational and skills-based awards are also seen by many universities and employers as valuable qualifications, either in their own right or as complements to an otherwise academic portfolio. The Certificate in Advanced English (CAE), the Certificate of Pro-ficiency in English (CPE), and the International English Language Testing System (IELTS) are accepted as evidence of competence in English for purposes of university admission at both undergraduate and postgraduate levels in most English-speaking countries for students whose first language is not English. In this regard a clear distinction should be drawn between the UCLES Group's EFL qualifications, which provide evidence of a person's capability in the speaking and writing of English as well as reading and listening, and the qualifications of some of the Group's competitors which test only the last two of these skills.

In recent years, the UCLES Group has introduced tests for younger age groups, in response to market demand and to provide for progression into the mainstream qualifications. The emphasis on lifelong learning, which is a feature in many countries worldwide as well as in the UK, has led the Group to extend its provision for the post-19 age group, particularly focusing on its suite of vocational qualifications and some EFL qualifications.

The core of the UCLES Group's expertise lies in assessment methodology and the administration of schemes of assessment. The Group uses a range of different forms of assessment and types of question. At one end of the spectrum, simple multiple choice questions can be an effective means of testing basic knowledge, and new technologies hold out the promise of more sophisticated objective question types that can test a higher level of skills. The majority of the Group's examination questions are of a more open type, allowing candidates the opportunity to display higher level skills, such as analysis, creativity, and the application of knowledge, not just the recall of facts.

The Group's prime concern is with the learning process, although it does not itself engage directly with teaching and training, except for an extensive programme of support work for teachers. Assessment is seen as a means to measure success in achieving the learning outcomes and to provide positive feedback to both learners and teachers. Senior examiners are closely involved in the construction of syllabuses, question papers, and mark schemes. Their knowledge and expertise in their specialist subject areas and their judgement in applying the mark schemes and in the award of grades is to an ever greater extent underpinned and informed by statistical analysis, and by research into topics such as factors that influence candidates' responses to examinations and contribute to question paper difficulty. This work has been widely presented at conferences and has formed the basis for training courses for teachers and examiners. It is this overall involvement in education and assessment that continues to make the UCLES Group's examinations attractive to the customer.

Finance

As is shown in the attached accounts, which have been prepared in compliance with the Statement of Recommended Practice: Accounting for Charities, the UCLES Group achieved a surplus of £3m for the financial year 1999-2000, compared to a deficit of around £2m that was anticipated in the 1998-99 Annual Report. The surplus is also in marked contrast to the deficit of £4.3m incurred in 1998-99. Even more pleasing, at the operating level (i.e., before amortization of goodwill, investment income, restructuring costs, and transfers), the Group as a whole and each of the three business streams recorded a surplus.

Income from examination fees and other educational and assessment services fell from £103.9m to £103.3m, because the growth in examination fees was slightly less than the reduction in income from Key Stage Marking Contracts in England that were not renewed in 1999-2000.

The overall expenditure in providing examination services was £5.8m less than in 1998-99. Part of the reduction is accounted for by the withdrawal from Key Stage marking (on which no margin was earned); the balance came from efficiency gains spread across the whole of the Group's activity.

The UCLES Group's business is highly cyclical in its demands on working capital, especially in relation to school examinations, and all areas of the business face significant (and growing) challenges. Although continuing growth is forecast in the number of examination entries, it is proving difficult to raise fee rates generally in line with UK price inflation, because of pressure from the UK regulator and because of the strengthening of sterling over the past year. On the other hand, because most of the Group's costs are sterling-based, cost increases can only be kept within UK price inflation by efficiency gains or economies of increasing scale. We are now significantly more exposed to currency fluctuations - especially since billing in euros was introduced in some of our key markets - and customers in some countries have found it difficult to raise the foreign exchange to pay in sterling. These factors make it necessary for the organization to retain a substantial financial buffer, the greater part of which (other than working capital and fixed assets such as buildings) is held within the University's Amalgamated Fund Units.

We have a long-term need to invest significantly in modernization - especially in information technology - which the Group plans to fund from surplus on income year by year. It may, however, occasionally be necessary to draw upon reserves. The budget for the next financial year is for an operating surplus for each of the business streams, before the costs of major strategic projects are taken into account. Even after allowing for these costs, the Group as a whole should continue to show a surplus. The Group's outline Five-year Business Plan suggests that this approach is sustainable over the medium term.

Corporate structure and governance

The UCLES Group comprises three externally-trading business streams: Cambridge International Examinations; Oxford, Cambridge, and RSA examinations; and UCLES EFL Division.

The business streams are supported by UCLES Corporate Services, which provides services to all three business streams. These services comprise IT, human resources, finance, research and evaluation, premises, and distribution.

The day-to-day management of the UCLES Group is the responsibility of the Group Chief Executive and the Corporate Board. The Syndicate is responsible, on behalf of the University, for the oversight of the work of the UCLES Group; it is part of the University and does not have any separate legal existence. As a constituent part of the University, the Syndicate falls within the University's status as an exempt charity. OCR is responsible for the Group's general and vocational qualifications in the UK and is also an exempt charity, under Schedule 2w of the Charities Act 1960, on the grounds that it is administered on behalf of the University. OCR is also a registered company.

The Syndicate, which comprises ten members of the Regent House and two co-opted external members, normally meets quarterly. In 1999-2000 it held, in addition, two extraordinary meetings, principally to consider matters related to the discussions with National Computer Systems Inc. (NCS), which are discussed below.

In January 2000 the Syndicate established a Finance Committee, for the purpose of giving more detailed consideration to financial and business matters than is possible at the quarterly Syndicate meetings. The Finance Committee held eight meetings in 1999-2000.

The Board of OCR includes nine members appointed by the University and seven nominated by the RSA. The Board normally meets quarterly. In 1999-2000 it held, in addition, three extraordinary meetings in connection with the NCS discussions.

The UCLES Group Remuneration Committee considers matters of policy relating to remuneration and reviews the remuneration of the senior executives of the Group, on behalf of the Syndicate and the OCR Board. The Remuneration Committee met three times in 1999-2000.

The Syndicate has in place an agreed statement of the powers delegated to the Group Chief Executive.

Internal audit is contracted to Robson Rhodes, who report to the University Audit Committee.

Corporate developments

During the year considerable attention has been given to the modernization of the workflow and document management processes in examinations administration. A potential joint venture with National Computer Systems Inc. (NCS) was explored as a means to gain access to the necessary process technology and expertise. However, the Syndicate finally concluded that the disadvantages of the joint venture approach far outweighed the potential benefits. Since the discussions with NCS were terminated, other approaches have been investigated and it has been decided to manage the project in-house with support from an external contractor. In this way the Group will retain full control over this important aspect of its work, and flexibility over the choice of hardware and software systems. This approach will also capitalize on a number of small-scale IT-related research projects that were conducted before contact was made with NCS.

The Group has continued to review its central functions and facilities. The Group's printing operations in Cambridge, Birmingham, and Coventry were in need of substantial investment. After a review, it was decided to close the Coventry and Birmingham units and transfer the work to Cambridge. On 1 October 2000 the unified print facility was transferred to the ownership of Cambridge University Press (CUP), who have agreed to make the necessary investment in new equipment. These changes will yield financial benefits to both the UCLES Group and CUP. In due course the print facility will be relocated to CUP's main site in Cambridge.

A review has been undertaken of the Group's property holdings in Cambridge, Birmingham, and Coventry. For the time being it has been concluded that the operational estate meets the Group's needs, although replacements will be required for two rented warehouses in Cambridge when the leases expire in 2003. Work is continuing to assess the Group's future space requirements.

A decision was also taken towards the end of the year to place the Coventry-based IT and Finance Divisions of the former RSA Examinations Board under the Group IT and Finance Directors, and to place OCR's Human Resources Division under the Group Human Resources Director. This change will be facilitated by the adoption of common terms and conditions of employment throughout the Group during 2000-01.

Attention is also drawn to the ongoing collaboration with the Cambridge Colleges, on whose behalf the Group administers the Sixth Term Entry Programme (STEP), and with whom it is introducing on a trial basis an entrance test for veterinary and clinical medicine.

The Group's work is heavily dependent on the knowledge and experience of its staff and external consultants, and great attention is paid to their further training requirements. The Syndicate wishes to record its appreciation of the work of all who have contributed to the Group's work over the past year.

We are also critically dependent on information and communication technology for the exchange of information with centres, for receipt of entries, and for all aspects of the internal processing of examinations-related data and the transmission of results to centres. A comprehensive Group-wide information management policy has been agreed, to ensure that the business streams' requirements, as well as those of the central support divisions, can be delivered in a coherent, efficient, and cost-effective way. In addition to covering the needs of examinations administration, the policy encompasses the exploration and application of computer and web-based technologies to new forms of assessment and to new computer-mediated examinations.

Cambridge International Examinations

Cambridge International Examinations has had a successful second year of operation, with overall performance well ahead of predictions.

CIE has continued work to rationalize the range of school examinations that it offers, with the focus on a single 'unitized' range of cost-effective school examinations. In conjunction with this, new A and AS Level syllabuses have now been introduced, for first teaching from September 2000. A series of training events has been held to support centres in transferring to the new syllabuses.

CIE has extended a number of important agreements for the conduct of school examinations in Egypt, Lesotho, Swaziland, and Trinidad, and negotiations are underway for the establishment of IGCSE and/or GCE O and A Level in a number of countries. An increasing number of schools are also offering CIE school examinations, most notably in Argentina and Pakistan, where entries are growing particularly rapidly.

CIE's relationship with the Ministry of Education in Singapore remains strong and syllabuses for the major 2002 Singapore Project have now been approved. In addition, CIE has established two prestigious contracts awarded in Singapore: one with the Ministry of Education for the training and testing of all Singapore English teachers in grammar (mentioned by Prime Minister Goh in his National Day Speech in 1999), the other with the Ministry of Manpower to determine standards for the National Skills Recognition System, thus raising our profile as a provider of vocational qualifications in the region.

The Singapore Management University has announced that candidates from ASEAN (Association of South East Asian Nations) countries, who hold CIE's Career Award Diploma in Business plus one other matriculation subject, will be considered for the first degree course in Business and will be eligible for the 'Cambridge Raban Scholarship'.

In Zimbabwe, CIE's relationship with the national examining body, ZIMSEC, remains good, despite potential difficulties with payments, and the localization project remains on course.

The Higher International General Certificate of Secondary Education (HIGCSE) continues to expand in Southern Africa, and many private schools in Zimbabwe are introducing HIGCSE in place of A Level.

The AICE is now well established and has been recognized for use in public schools in the State of New York - one of a number of projects underway in the USA.

Following a successful pilot, entries for the new pre-IGCSE assessment service, Checkpoint, are growing well, especially in the Middle East, where it has been adopted by many schools, including more than half the IGCSE schools in the United Arab Emirates. A diagnostic assessment, targeted at pupils aged fourteen years, Checkpoint had its first live assessment in May 2000.

Development has continued during the year on CIE's new range of Career and Skills Awards, which are aimed at high quality, high growth, global, employment-related markets, supported by an extensive range of curriculum, assessment, and support materials. The range includes IT skills, ICT, Business, Secretarial, Project Management, Travel and Tourism, Thinking Skills, Tutor Awards, and Risk Management.

Several of these schemes are already well established and are being introduced by partner organizations in many countries. Agreements have also been reached with the British Council, which will work to establish distribution channels for the Cambridge Skills and Careers Awards in twelve countries, with a possible extension to other countries in the future.

A major new initiative relates to the development of Spanish-medium awards, opening up new markets in Spain, Latin America, and Cuba. Spanish versions of the IT awards are already under development and have attracted positive feedback from CONALEP, the Mexican state vocational training agency, who are also actively using the CIE Tutor Awards syllabus.

CIE has established an alliance with FTKnowledge, a subsidiary of Pearson plc, to market throughout the world a package of learning and assessment in management at Certificate and Diploma level.

CIE's strategy for increasing the uptake of the examinations concentrates on central initiatives and detailed regional marketing and sales action plans, implemented by both sales and marketing teams, and supported by high quality marketing and promotional materials.

CIE has agreed joint sales and marketing arrangements with CUP and has reached agreement with CUP to publish support materials for the full range of CIE products.

International recognition of the qualifications it awards is extremely important to CIE's continuing success, and is a major priority. A new eight-level framework for the Cambridge Skills Awards has been developed to support global recognition standards.

Regional representatives have been recruited in Egypt and Dubai to capitalize on potential in the region. This representation is being extended to India, Canada, and Europe and is complemented by a developing range of distribution channels.

CIE is undertaking a large-scale programme of continuing staff development, including a number of quality initiatives, and investment in the Crosby Quality Programme continues to bear fruit in terms of changes to procedures and practices and in improved organizational performance.

Oxford, Cambridge, and RSA Examinations

Summer 2000 saw the most straightforward administration of public examinations since before the introduction of GCSE - all results went out on time and there was a very small number of results with no defined outcome. Entries have grown tremendously over the last ten years, but processing continues to get smoother and prompter.

The volume of enquiries on results has again increased over the previous year (reflecting a continuing national trend), but the number of processing problems experienced by OCR has decreased to the point where it is significantly exceeding the Qualifications and Curriculum Authority's (QCA) targets.

New A Level syllabuses were published during the year to meet the QCA's new specifications. This was a large and complex task, undertaken under considerable time pressure. The new syllabuses appear to have been well received by schools, especially in sciences, and OCR expects its share of the national A Level entry to increase.

During the year, new syllabuses for GCSE were developed and submitted for approval by the QCA, for first teaching from September 2001. These are expected to be approved for publication by the end of the calendar year 2000. The market for GCSE remains competitive, and success in attracting an increased entry is crucial to OCR's continued success in maintaining market share.

OCR works in a heavily regulated environment and public confidence in national qualifications is crucial to its success. OCR therefore has to have the confidence of the regulator and the DfEE. The QCA audited OCR's administration of examinations during the year, and the auditors' conclusions were extremely positive, noting particularly the improvement in OCR's operations over the last twelve months. The success of OCR depends on how well it manages the relationship with the Government, the DfEE, and regulatory bodies, and progress in this area is encouraging. There is a growing confidence, for example, that the GCSE will remain a cornerstone of the UK examinations system for some time to come.

OCR is continuing to consolidate its activity in relation to Vocational Qualifications. OCR is the leading provider of IT qualifications and the 'flagship' qualification, CLAIT (Computer Literacy and Information Technology), will be reviewed and extended over the coming year. OCR's newly introduced Internet Technology qualifications are attracting a very promising response from centres. OCR is investigating possible areas of synergy with these IT qualifications, particularly in areas such as business administration and management.

Entry for National Vocational Qualifications (NVQ) is levelling out nationally, but OCR's participation remains healthy. OCR is now working to introduce the Government's new Technical Certificate, based on well-established existing qualifications. OCR is committed to a portfolio of qualifications which motivate students of all abilities and ages, providing a progression for all involved in lifelong learning.

Advanced General National Vocational Qualifications (GNVQ) will be examined for the last time in September 2002, and courses for the new Vocational A Level will begin in September 2000. Vocational GCSEs will be introduced for teaching from 2002. OCR is a relatively minor player in this area at the moment, but there is a lot to play for, especially at Key Stage 4.

Overall, OCR's activity is better balanced across the full range of qualifications than that of its competitors.

Key Skills remains a very important area, heavily promoted by the Government. OCR is including 'signposting' of the skills in all its new GCSE, GNVQ, and A Level syllabuses. There is potentially a large constituency for Key Skills certification and OCR is well placed to take advantage of the growing interest in this new qualification.

OCR has a wide reputation for the standards it maintains in its assessments and awards. To further this, it is taking an important initiative to develop the professionalization of the examination system. New appointments have been made, placing the Chair of Examiners in each subject area on OCR's permanent staff. This is in order to strengthen the definition of comparable standards across subjects and qualifications. This will also add strength to the in-depth self-assessment efforts on the quality of its assessment and operations which form a significant part of the QCA's monitoring of awarding bodies. OCR is ahead of the other UK examining bodies in this area. It is also working to further strengthen the quality of examining and marking with several initiatives, including trials of residential and double marking and the use of electronic technology in various parts of the examining process.

OCR has also strengthened its activities in the areas of customer service and marketing, and has developed a comprehensive package of support materials, which includes packs for parents and students involved in new GCSEs, A Levels, and GNVQ .

One of the most important resources in terms of customer services is the network of regional business development managers, centre advisors, and the local offices in London, Bath, Birmingham, Leeds, Belfast, and Bangor, which also function as focal points for the verification teams for Vocational Qualifications.

A major priority for the next year will be the further drawing together of operational procedures across OCR, building on best practice from each of OCR's offices in Cambridge, Coventry, and Birmingham, and working to enable OCR to function as a fully integrated part of the UCLES Group. An intermediate step will be the introduction of the Wide Area Network, enabling seamless voice and data communications across the whole group.

Towards the end of the year, OCR's Chief Executive left the organization. He is succeeded as Chief Executive by Dr Ron McLone (formerly Director of Policy), who is supported by Mr Trevor Jarvis, Managing Director and Deputy Chief Executive.

English as a Foreign Language

The Cambridge EFL examinations remain world leaders in their field, attracting a rapidly growing entry and level of international recognition. Their success relies on a unique emphasis on quality and fairness, which is backed by a large-scale programme of validation and quality control.

The Main Suite of Cambridge EFL examinations represents by far the largest section of the Group's EFL business. Worldwide, entries for all of the Main Suite examinations remain buoyant, especially for the First Certificate in English (FCE), although there are significant variations in the entry pattern across countries. Entries for the two lowest level examinations - the Key English Test (KET) and the Preliminary English Test (PET) - are growing strongly, boosted by their introduction in Greece and the increasing level of recognition in Italy.

The Certificate of Proficiency in English (CPE) has been undergoing revision for some time and the full specifications for the new format of the examination were published during the year.

The Cambridge Young Learners English Tests have continued their rapid growth and are now attracting large entries in many countries, and the Business English Certificates (BEC) are also increasing both in terms of entry and of geographical spread. Specifications have now been published for a revised version of BEC, which will be examined for the first time in March 2002.

Rationalization of the portfolio of examinations available is a key feature of the EFL Division's medium-term strategy. The major element in this will be the phasing out in 2002 of the current Certificates in Communicative Skills in English and the Oxford EFL examinations. These two suites of examinations will be replaced by a new modular assessment, the Certificates in English Language Skills, which will retain the flexibility and other positive features of its predecessors, whilst being more closely aligned with the Cambridge/ALTE (Association of Language Testers in Europe) levels and assessment model.

UCLES maintains a partnership with the British Council and IDP Education Australia to offer the International English Language Testing Service (IELTS). Entries for IELTS grew by 34 per cent during the year and the number of institutions recognizing the test for matriculation purposes and for employment or immigration continues to increase, especially in the United States, where over one hundred institutions of higher education now accept IELTS scores.

The unit responsible for the Cambridge certificates and diplomas for teachers of English was integrated into the group which runs the Main Suite examinations, and the awards will be relaunched as Cambridge English Language Teaching, with a greater degree of promotional activity and support for centres offering them.

Computer-based testing is an increasingly important part of the Division's activity. The computer-based Business Language Testing Service (BULATS) was launched in February 2000. This multilingual assessment service has been developed in collaboration with partners in the Association of Language Testers in Europe, and has already been adopted by commercial organizations in several countries. In addition to BULATS, we provide 'bespoke' computer-based testing services for a number of clients, including Manpower and the Mexican Ministry of Education. A short computer-based placement test, developed by UCLES EFL, will be launched commercially by Oxford University Press early in 2001 as the Quick Placement Test.

The EFL Division is carrying out a major project to enhance its activity throughout Europe. To this end, EFL Development Managers have been appointed in France, Germany, Italy, and Spain, together with managers responsible for the UK and for Central and Eastern Europe. These Development Managers will be responsible for developing business in these areas. Development Managers are also in post in Brazil, Argentina, Thailand, and China.

Crucial to the success of the Cambridge EFL examinations in Europe is the continuing development of the Association of Language Testers in Europe (ALTE), of which UCLES is a founder member and provides the secretariat. ALTE's membership continues to grow and a number of projects, including the development of comprehensive multilingual 'Can Do' statements and the ALTE five-level scale for language assessment, form an integral part of the Council of Europe's new framework for language assessment.

UCLES's EFL activity is flourishing in many European countries - most notably Greece - where the introduction of the lower levels of the examinations, together with the Young Learners Tests and a growing network of support for schools is expected to lead to a distribution of candidates across the range of Cambridge EFL examinations more in line with the pattern in other European countries and to improve success rates.

In Italy, the Cambridge EFL examinations have been recognized by the Ministry of Public Education as part of the Progetto Lingue 2000, which is designed to enhance opportunities for pupils in the state education system to obtain external certificates of language proficiency. We are providing an extensive programme of support for Italian schools and this is expected to increase significantly the number of entries from what is already an important market.

The EFL Division is undertaking a fundamental review of its centre network in order to improve efficiency of distribution systems and to provide a more systematic approach to the responsibilities of Local Secretaries and other personnel involved in the administration of the examinations.

Support for centres is being enhanced by CentreNet, a closed-access, Internet-based communication system launched in July 2000 and currently being used by over a third of EFL centres. Centres are also being encouraged to make use of the EFLComms electronic administration system, and a new system is in pilot to allow the transfer of data securely to and from centres over the Internet.

The EFL Division is undertaking a number of other projects to promote and support the examinations, with a major emphasis on gaining and publicizing formal recognition from educational institutions and employers throughout the world.

Appendix A: The Local Examinations Syndicate

Professor Peter Goddard (Chairman), Professor of Theoretical Physics and Master of St John's College

Professor Gillian Brown, Professor of English as an International Language and Director of the Research Centre for English and Applied Linguistics

Professor William Brown, Professor of Industrial Relations and Master of Darwin College

Dr David Good, University Lecturer in the Faculty of Social and Political Sciences and Fellow of King's College

Dr John Leake, University Lecturer in the Department of Materials Science and Metallurgy, and Teaching Fellow and Director of Studies in Materials and Mineral Sciences at St John's College

Dr Christopher Pountain, University Lecturer in Romance Philology and Fellow of Queens' College

Dr Kate Pretty, Principal of Homerton College

Dr Kenneth Riley, Tutorial Bursar of Clare College

Dr Peter Robinson, University Lecturer in the Computer Laboratory and Fellow, Praelector, and Director of Studies in Computer Science at Gonville and Caius College

Mr Keith Rowland, former Principal of Tresham Institute and former Board Member of the Further Education Development Agency

Mr Trevor Thomas, former Director of Unilever UK and former chairman of RSA Examinations Board

Mrs Joanna Womack, Treasurer, University of Cambridge

Appendix B: The OCR Board

Dr Kate Pretty (Chairman), Principal of Homerton College

Ms Valerie Bragg, Principal of Kingshurst CTC

Mr Richard Greenhalgh, UK National Manager of Unilever

Mr Adrian Groves, European Operations Vice President of Synergy

Dr John Guy, Principal of Farnborough Sixth Form College

Dr Michael Halstead, UCLES Group Chief Executive

Dr Richard Holdsworth, Principal of King Edward VII College, Coalville

Dr John Leake, University Lecturer and Teaching Fellow of St John's College

Mr Roy Lockwood, Director of Education, Wolverhampton Metropolitan Borough Council

Mr Richard Martineau, former Director of Community Affairs, Whitbread plc, and former Chairman of RSA

Mr Bruce Picking, Chairman of Governors of Havering College of Further and Higher Education

Mr Keith Rowland, former Principal of Tresham Institute and former Board Member of the Further Education Development Agency

Mr Tim Taylor, Head of Bromsgrove School

Mr Trevor Thomas, former Director of Unilever UK and former Chairman of RSA Examinations Board

Mrs Joanna Womack, Treasurer, University of Cambridge

Appendix C: UCLES Group Corporate Board

Dr Michael Halstead Group Chief Executive

Dr Peter Hargreaves Chief Executive, EFL

Mr Trevor Jarvis Managing Director and Deputy Chief Executive, OCR

Mr Ken Murray Chief Executive, CIE

Dr Ron McLone Chief Executive, OCR

Mr James O'Connor Group Information Management Director

Mrs Jackie Rippeth Group Finance Director

Appendix D: Subject Entries By Business Stream

Appendix E: List of Acronyms

NB:Appendix F (Consolidated Accounts for the Year ended 30 September 2000) is provided online in the form of an Adobe Acrobat PDF file. Notes on viewing files are provided

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