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CCL President’s Message

CCL President’s Message. March 2008. Today’s Agenda. Restructuring: Why? Restructuring: The Process. CCL’s New Organizational Structure. Restructuring: Next Steps. Restructuring: Why?. Client feedback shows lack of organizational impact.

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CCL President’s Message

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  1. CCL President’s Message March 2008

  2. Today’s Agenda • Restructuring: Why? • Restructuring: The Process. • CCL’s New Organizational Structure. • Restructuring: Next Steps. Center for Creative Leadership

  3. Restructuring: Why? • Client feedback shows lack of organizational impact. • Internal feedback identified inefficiencies in Custom line. • Custom consulting study confirmed inefficiencies. • Overall, CCL underperforming to market opportunities. Center for Creative Leadership

  4. Restructuring: Why? North America Revenue $35,000 $30,000 $25,000 Open Enrollment $20,000 Custom Solutions $15,000 Other Revenue $10,000 $5,000 $- FY04 FY05 FY06 FY07 FY08 FC • The total North America year-over-year growth rate was 0.2% from FY06 to FY07 and 3.6% from FY07 to FY08 forecast. • The compounded annual growth rate (CAGR) has slowed significantly over the past two years (from FY06 to FY08): • Open Enrollment = 2.6% • Custom Solutions = -0.6% • Other Income = 4.6% • Total N. America = 1.9% Center for Creative Leadership

  5. Restructuring: Why? CCL’s Existing Organizational Chart Center for Creative Leadership

  6. Restructuring: The Process • Cross-functional group, led by David Altman, formed in December 2007 to come up with several restructuring options. • Options were assessed against initial key drivers: 1) grow impact and revenue 2) work more places globally with more diverse clients 3) create new offerings 4) make it easy for clients to work with us 5) improve knowledge management 6) facilitate strategic and tactical partnerships 7)generate options not requiring new and large financial investments. Center for Creative Leadership

  7. Restructuring: The Process • Later in the process the following additional key drivers were incorporated: 1) attract more human capital 2) emphasize talent in client-focused areas 3) anticipate future direction 4) factor in custom consultant recommendations 5) consider key OLD recommendations 6) simplify revenue and expense responsibilities 7) unleash total CCL talent Center for Creative Leadership

  8. Restructuring: Core Group Members • Jerry Abrams (Advisor) • David Altman (Chair) • Paul Draeger (Advisor) • Joan Gurvis • Cile Johnson • Barak Karabin (Ad Hoc Member, Graphic Designer) • Sara King • Jennifer Martineau • Katherine Pappa • Bill Pasmore (Advisor) • Laurita Sirimongkhon • Susan Smith • Sylvester Taylor • Michael Van Impe • Debbie Zaleschuk • The following faculty/staff were added to the core team two weeks ago to help improve the recommended structure: Kate Beatty, Brent Howell, Jane Koo, Ellen Manakas, Michael Wakefield, Jim Wilson. Center for Creative Leadership

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  12. Center for Creative Leadership

  13. Center for Creative Leadership

  14. CCL’s New Structure Center for Creative Leadership

  15. CCL’s New Structure • The President’s Office and GOLD Center for Creative Leadership

  16. CCL’s New Structure Chief Talent Officer Group Center for Creative Leadership

  17. CCL’s New Structure CFO/CAO Group Center for Creative Leadership

  18. CCL’s New Structure R&I/Product Development Org Chart Center for Creative Leadership

  19. CCL’s New Structure Global Markets Group Center for Creative Leadership

  20. CCL’s New Structure Global Marketing Group Center for Creative Leadership

  21. CCL’s New Structure Center for Creative Leadership

  22. Restructuring: Next Steps • Hire consultants to assist with implementation. • Set timeline for phased implementation. • Provide regular updates through Reorganization Sharepoint site. Center for Creative Leadership

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