PageGroup PLC · LSE:PAGE
PageGroup — Investor Day (May 2018)
93 slides from PageGroup's investor day presentation, May 15, 2018
Slide 1: From Vision to Value
From Vision to Value 15th May 2018 Investor Afternoon LSE: PAGE.L Website: http://www.page.com/investors
Slide 2: Agenda
Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement Non Ops Transformation and Value Agenda > Page Vision and Strategy Steve Ingham, Chief Executive Officer > COO Role and Impact Olly Watson, Chief Operating Officer > Digital Acquisition and Engagement Eamon Collins, Grou
Slide 3: Page Vision and Strategy
Page Vision and Strategy Steve Ingham, Chief Executive Officer PageGroup I Investor Afternoon I 15 May 2018
Slide 4: Our brands are globally aligned
Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement Non Ops Transformation and Value Our brands are globally aligned Page Outsourcing operating across all our brands Executive search Qualified professional Clerical professional Generalist staffing PageGroup I Investor Aft
Slide 5: Delivering on our diversification strategy
Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement Non Ops Transformation and Value Delivering on our diversification strategy Continued success across disciplines % of Group 2007 2013 2017 CAGR* Accounting and Financial Services 54% 41% 37% 5.1% Engineering, Property &
Slide 6: Clear focus on market categories
Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement Non Ops Transformation and Value Clear focus on market categories Provides an investment framework for the business Large Large Medium High Potential Proven High Margin Countries/ Germany, Greater China, Latin Australia,
Slide 7: Operational efficiencies have been realised
Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement Non Ops Transformation and Value Operational efficiencies have been realised Key deliverables from our 2013 Page Vision Shared Harmonised IT IT Transition Service Centres Systems Transition Created network of Global Syst
Slide 8: PageGroup Investor Afternoon
PageGroup I Investor Afternoon I 15 May 2018
Slide 9: Turning vision into reality
Turning vision into reality Regional Managing Director discussion PageGroup I Investor Afternoon I 15 May 2018
Slide 10: Q&A
Q&A PageGroup I Investor Afternoon I 15 May 2018
Slide 11: 2018 Page Vision
2018 Page Vision Steve Ingham, Chief Executive Officer PageGroup I Investor Afternoon I 15 May 2018
Slide 12: A clear vision driven by organic growth
Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement Non Ops Transformation and Value A clear vision driven by organic growth With continued focus on scale and diversification Clear on Clear on digital & One tech people Clear on Clear Vision investment To increase the scal
Slide 13: Underpinned by clear targets
Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement Non Ops Transformation and Value Underpinned by clear targets To achieve our operational and financial objectives Gross Operating Total Profit Profit Headcount £200- £1bn 10,000 £250m PageGroup I Investor Afternoon I 15
Slide 14: Aiming to double Operating Profit
Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement Non Ops Transformation and Value Aiming to double Operating Profit Aiming for fee earner to operational support staff ratio of 82:18 Gross Profit Operating Profit Total Headcount Vision Vision Vision £1bn 10,000 £200m -
Slide 15: Continue to grow large, high potential markets
Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement Non Ops Transformation and Value Continue to grow large, high potential markets Maintain sustained fee earner investment in growth markets 369 676 833 1,919 1,230 3,280 10% 15% 17% 15% 35% 40% 2007 2017 Vision 73% 50% 45
Slide 16: Clear on brands
Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement Non Ops Transformation and Value Clear on brands Taking advantage of structural opportunities for growth 25 150 410 1% 3% 890 1,637 2,870 5% 23% 30% 35% 2007 2017 Vision 76% 67% 60% 2,922 3,710 4,920 ▪ ▪ ▪ PageGroup I In
Slide 17: Our purpose
Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement Non Ops Transformation and Value Our purpose PageGroup I Investor Afternoon I 15 May 2018 17
Slide 18: COO role and impact
COO role and impact Olly Watson, Chief Operating Officer PageGroup I Investor Afternoon I 15 May 2018
Slide 19: A people business first
Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement Non Ops Transformation and Value A people business first Performance enhanced through technology Drop Conversion Productivity Through Rate +5% 85% +3% PageGroup I Investor Afternoon I 15 May 2018 19
Slide 20: Market evolution and fragmentation
Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement Non Ops Transformation and Value Market evolution and fragmentation 1976 1994 2003 ~2010 PageGroup founded Online job boards Launch of LinkedIn Gig economy Internal hiring Traditional staffing firms Job boards Online wor
Slide 21: Mobile Usage
Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement Non Ops Transformation and Value Mobile Usage Increase in mobile traffic 43 (%) Page Q1 2018 41 mobile traffic 39 37 35 33 31 43.6% 29 27 25 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 2016 2017 2018 PageGroup I Investor Afternoon I 15 M
Slide 22: Flexible working patterns, new skills at a premium
Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement Non Ops Transformation and Value Flexible working New skills at patterns a premium “Seventy-five percent “Never mind of Millennials want the robots; the ability to work flexibly future jobs demand and still be on track f
Slide 23: Excellence in customer engagement
Excellence in customer engagement PageGroup I Investor Afternoon I 15 May 2018
Slide 24: Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement
Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement Non Ops Transformation and Value PageGroup I Investor Afternoon I 15 May 2018 24
Slide 25: Employee engagement and retention
Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement Non Ops Transformation and Value Employee engagement and retention “ Purpose is driving engagement. 87% of “ Organisations which had a defined purpose business leaders believe that had an edge on revenue “ companies perf
Slide 26: Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement
Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement Non Ops Transformation and Value PageGroup I Investor Afternoon I 15 May 2018 26
Slide 27: Saving management time
Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement Non Ops Transformation and Value Saving management time Revenue recognition and admin Client 10% engagement 33% Coaching 40% Management Non customer Management Internal time 20% activity recruitment 20% time: Non-custome
Slide 28: Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement
Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement Non Ops Transformation and Value PageGroup I Investor Afternoon I 15 May 2018 28
Slide 29: Shared Service Centre, Resourcing, Research
Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement Non Ops Transformation and Value ▪ Shared Service Centre ▪ Resourcing ▪ Research PageGroup I Investor Afternoon I 15 May 2018 29
Slide 30: Page Outsourcing client achievements
Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement Non Ops Transformation and Value Page Outsourcing client achievements 187 placements 750 placements 500 placements Finance functions Sales & brand ambassador Shared Service Centre Poland, Malaysia and Costa Rica Spain Me
Slide 31: Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement
Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement Non Ops Transformation and Value PageGroup I Investor Afternoon I 15 May 2018 31
Slide 32: Efficient management of key business processes
Efficient management of key business processes PageGroup I Investor Afternoon I 15 May 2018
Slide 33: GlobalFinanceSystem
Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement Non Ops Transformation and Value GlobalFinanceSystem PageGroup I Investor Afternoon I 15 May 2018 33
Slide 34: Delivering Business Intelligence: OBI
Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement Non Ops Transformation and Value Delivering Business Intelligence: OBI PageGroup I Investor Afternoon I 15 May 2018 34
Slide 35: Driving value from our global network
Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement Non Ops Transformation and Value Driving value from our global network 7,000 messages and over 12,000 minutes completed 650,000 unique read events Per month PageGroup I Investor Afternoon I 15 May 2018 35
Slide 36: Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement
Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement Non Ops Transformation and Value PageGroup I Investor Afternoon I 15 May 2018 36
Slide 37: Productivity +5%
Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement Non Ops Transformation and Value Driving synergies Productivity +5% Proposition People Process Technology PageGroup I Investor Afternoon I 15 May 2018 37
Slide 38: Break
Break PageGroup I Investor Afternoon I 15 May 2018
Slide 39: Driving customer acquisition & engagement from our digital programme
Driving customer acquisition & engagement from our digital programme Eamon Collins, Group Marketing Director PageGroup I Investor Afternoon I 15 May 2018
Slide 40: Driving synergies
Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement Non Ops Transformation and Value Driving synergies Proposition People Process Technology PageGroup I Investor Afternoon I 15 May 2018 40
Slide 41: Customer engagement at scale
Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement Non Ops Transformation and Value Customer engagement at scale In 12 months Website Visitors Website Hits Job Applications CVs received Candidate Profiles 50m 181m 14.7m 11.4m 15.8m Specialist Temp Global Offices People W
Slide 42: Connected Customer Experience
Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement Non Ops Transformation and Value Connected Customer Experience ACQUIRE ENGAGE NURTURE Digital & Consultants Technology PageGroup I Investor Afternoon I 15 May 2018 42
Slide 43: Connected Customer Experience
Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement Non Ops Transformation and Value Connected Customer Experience ACQUIRE ENGAGE NURTURE Digital & Consultants Technology PageGroup I Investor Afternoon I 15 May 2018 43
Slide 44: Connected Customer Experience
Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement Non Ops Transformation and Value Connected Customer Experience ACQUIRE ENGAGE NURTURE Digital & Consultants Technology PageGroup I Investor Afternoon I 15 May 2018 44
Slide 45: Connected Customer Experience
Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement Non Ops Transformation and Value Connected Customer Experience ACQUIRE ENGAGE NURTURE Our Technology Platform PageGroup I Investor Afternoon I 15 May 2018 45
Slide 46: Acquire
Acquire Matt Mowlam, Group Digital Director PageGroup I Investor Afternoon I 15 May 2018
Slide 47: Engage & Nurture
Engage & Nurture Alex Bates, Marketing Director PageGroup I Investor Afternoon I 15 May 2018
Slide 48: Engaging customers throughout their career journey
Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement Non Ops Transformation and Value Engaging customers throughout their career journey Candidate Client Client Candidate Client Candidate Client PageGroup I Investor Afternoon I 15 May 2018 48
Slide 49: Candidate Client journey
Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement Non Ops Transformation and Value Candidate Client Client Candidate Client Candidate Client PageGroup I Investor Afternoon I 15 May 2018 49
Slide 50: Engaging with our candidates
Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement Non Ops Transformation and Value Engaging with our candidates 3m Emails delivered 43% Open Rate Click 6% through rate PageGroup I Investor Afternoon I 15 May 2018 50
Slide 51: Engaging with our clients
Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement Non Ops Transformation and Value Engaging with our clients Digital +3 min. +50 +3 min. +50 >100 HOTConsultants PageGroup I Investor Afternoon I 15 May 2018 51
Slide 52: Award winning content programme
Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement Non Ops Transformation and Value Award winning content programme PageGroup I Investor Afternoon I 15 May 2018 52
Slide 53: Putting customers first
Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement Non Ops Transformation and Value Putting customers first NPS Candidate 18% Detractors Global 60% Promoters 22% Passives 12% NPS Clients Detractors Global 51% Promoters 37% Passives PageGroup I Investor Afternoon I 15 May
Slide 54: Delivering targeted campaigns
Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement Non Ops Transformation and Value Delivering targeted campaigns Revenue Opportunity Market PageGroup Opportunity Capability PageGroup I Investor Afternoon I 15 May 2018 54
Slide 55: Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement
Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement Non Ops Transformation and Value PageGroup I Investor Afternoon I 15 May 2018 55
Slide 56: Behaviour driven email campaigns
Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement Non Ops Transformation and Value Behaviour driven email campaigns PageGroup I Investor Afternoon I 15 May 2018 56
Slide 57: PageGroup Investor Afternoon
PageGroup I Investor Afternoon I 15 May 2018
Slide 58: Building a scalable and agile technology platform
Building a scalable and agile technology platform Dominic Redmond, Director, Global Applications PageGroup I Investor Afternoon I 15 May 2018
Slide 59: A technology approach to mirror our strategy
Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement Non Ops Transformation and Value A technology approach to mirror our strategy Use commodity to Design, implement, Transform Business Standard platforms focus IT activity and exploit scalable Technology Customer focused w
Slide 60: The best sustainable basics
Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement Non Ops Transformation and Value The best sustainable basics Secure Scalable collaboration infrastructure PageGroup I Investor Afternoon I 15 May 2018 60
Slide 61: Decisions driven by data
Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement Non Ops Transformation and Value Decisions driven by data Data Lake & Intelligence Finance PageGroup I Investor Afternoon I 15 May 2018 61
Slide 62: Agile innovation
Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement Non Ops Transformation and Value Agile innovation Digital engagement Agile applications PageGroup I Investor Afternoon I 15 May 2018 62
Slide 63: PageGroup technology platform
Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement Non Ops Transformation and Value PageGroup technology platform Agile innovation Decisions driven by data Digital engagement Data Lake & Intelligence Agile applications Finance The best, sustainable basics Secure collabor
Slide 64: Innovation driving our development
Innovation driving our development Eamon Collins, Group Marketing Director PageGroup I Investor Afternoon I 15 May 2018
Slide 65: Innovation process overview
Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement Non Ops Transformation and Value Innovation process overview 4 4 Pilot development 2 Challenges definition Deployment 5 45 Experimentation 33 Ideation 1 1 Trend and user research PageGroup I Investor Afternoon I 15 May 2
Slide 66: Our Innovation Approach
Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement Non Ops Transformation and Value Our Innovation Approach External factors Innovation Why: Purpose How What • Risk of disruption Create new Focus on changing lives • Research team for new trends • Increase opportunities b
Slide 67: Innovation
Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement Non Ops Transformation and Value Innovation PageGroup I Investor Afternoon I 15 May 2018 67
Slide 68: Connected Customer Experience
Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement Non Ops Transformation and Value Connected Customer Experience ACQUIRE ENGAGE NURTURE Platform PageGroup I Investor Afternoon I 15 May 2018 68
Slide 69: PageGroup Investor Afternoon
PageGroup I Investor Afternoon I 15 May 2018
Slide 70: Q&A
Q&A PageGroup I Investor Afternoon I 15 May 2018
Slide 71: Non Ops Transformation
Non Ops Transformation Kelvin Stagg, Chief Financial Officer PageGroup I Investor Afternoon I 15 May 2018
Slide 72: Support function transformation success
Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement Non Ops Transformation and Value Support function transformation success Now delivering economies of scale and improved service to our operational business PageGroup I Investor Afternoon I 15 May 2018 72
Slide 73: EU Shared Service Centre
EU Shared Service Centre Geoffroy de Beaucorps, Regional Finance Director PageGroup I Investor Afternoon I 15 May 2018
Slide 74: Synergies and improved quality of service
Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement Non Ops Transformation and Value Synergies and improved quality of service Global processes, flexible to demand $ Marketing Business Tech. Finance Operational HR Facilities Studio IT Business Engagement Controlling & Rep
Slide 75: Improvement in our support staff ratio
Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement Non Ops Transformation and Value Improvement in our support staff ratio Front to Support headcount ratio (excl. Business Technology & Property) 3000 Admin & Support FE & Dir Ratio 26.0% 22.0% 2000 Headcount 18.0% 1000 14
Slide 76: Cost arbitrage has driven further savings
Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement Non Ops Transformation and Value Cost arbitrage has driven further savings NonOps to front cost ratio (excl. Business Technology & Property) 80000 Admin & Support FE & Dir Ratio 14.0% 60000 12.0% Costs (£m) 40000 10.0% 2
Slide 77: Keeping pace with technology
Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement Non Ops Transformation and Value Keeping pace with technology Embracing global infrastructure and applications PageGroup I Investor Afternoon I 15 May 2018 77
Slide 78: Global Finance System
Global Finance System Mark Hearn, Global Programme Director PageGroup I Investor Afternoon I 15 May 2018
Slide 79: Why GFS? GFS Strategic Intent
Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement Non Ops Transformation and Value Why GFS? GFS Strategic Intent • Multiple different legacy finance systems Standardised global finance • With inconsistent business and finance process: processes • With in-built robust co
Slide 80: GFS Benefits
Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement Non Ops Transformation and Value GFS Benefits Direct benefits to operations Simpler creation of invoice events Quicker completion and processing of expenses Improved financial forecasting and reporting PageGroup I Invest
Slide 81: GFS deployment waves
Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement Non Ops Transformation and Value > First wave – design global finance processes, complete the build and deploy to the UK SSC > Second wave – deployment to the rest of the Group PageGroup I Investor Afternoon I 15 May 201
Slide 82: GFS in Summary
Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement Non Ops Transformation and Value GFS in Summary Enabler for SSC strategy Aligns to our cloud evolution Demonstrable benefits to Operations PageGroup I Investor Afternoon I 15 May 2018 82
Slide 83: Evolving our conversion rate
Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement Non Ops Transformation and Value Evolving our conversion rate Strategic transformation projects to leverage growth 30% 25% 3.0% 2.4% 20% 1.4% 0.8% 0.8% 15% 25.0% 10% 16.6% 5% 0% Current conversion Non-repeated PRS Amorti
Slide 84: Q&A
Q&A PageGroup I Investor Afternoon I 15 May 2018
Slide 85: Wrap up
Wrap up Steve Ingham, Chief Executive Officer PageGroup I Investor Afternoon I 15 May 2018
Slide 86: Delivering on our global vision
Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement Non Ops Transformation and Value Delivering on our global vision Clear on strategy and objectives Clear on purpose Clear on people Clear on investment Clear on One Clear on geography Clear Vision category Clear on Clear
Slide 87: Engaging our people
Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement Non Ops Transformation and Value Engaging our people To deliver the next phase of growth Rome Belgium New York PageGroup I Investor Afternoon I 15 May 2018 87
Slide 88: Group
PageGroup Page Personnel Michael Page Page Executive Page Outsourcing
Slide 89: Disclaimer
Page Vision and Strategy COO Role and Impact Digital Acquisition and Engagement Non Ops Transformation and Value Disclaimer This presentation contains certain statements that are neither reported financial results nor other historical information. The information contained in this presentation is no
Slide 90: Appendix: Biographies
Appendix: Biographies PageGroup I Investor Afternoon I 15 May 2018
Slide 91: Steve Ingham, Anthony Thompson
Steve joined Michael Page in 1987 as a consultant with Michael Page Marketing and Sales. He was responsible for setting up the London Marketing and Sales business and was promoted to Operating Director in 1990. He was appointed Managing Director of Michael Page arketing Steve Ingham and Sales in 199
Slide 92: Olly Watson, Eamon Collins, Matt Mowlam
Olly joined Michael Page in 1995 as a consultant in London. He was appointed director of Michael Page UK Sales in 1997 and then managing director in 2002. In 2006, he was appointed Regional Managing Director for Michael Page UK Sales, Marketing and Retail. In 2007, he launched Olly Watson Michael Pa
Slide 93: Kelvin Stagg, Geoffroy de Beaucorps
Kelvin joined PageGroup plc in July 2006 as Group Financial Controller and Company Secretary. He was appointed Acting Chief Financial Officer in October 2013. He held the title of Company Secretary until December 2013. In June 2014 Kelvin was appointed Chief Financial Kelvin Stagg Officer. Prior to