ccl president’s message

CCL President’s Message

March 2008

Center for Creative Leadership

Today’s Agenda

• Restructuring: Why?• Restructuring: The Process.• CCL’s New Organizational Structure.• Restructuring: Next Steps.

Center for Creative Leadership

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

Restructuring: Why?

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%

North America Revenue

$-

$5,000

$10,000

$15,000

$20,000

$25,000

$30,000

$35,000

FY04 FY05 FY06 FY07 FY08FC

OpenEnrollment

CustomSolutions

OtherRevenue

Center for Creative Leadership

Restructuring: Why?

CCL’s Existing Organizational Chart

Center for Creative Leadership

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 revenue2) work more places globally with more diverse clients3) create new offerings4) make it easy for clients to work with us5) improve knowledge management6) facilitate strategic and tactical partnerships7)generate options not requiring new and large financial

investments.

Center for Creative Leadership

Restructuring: The Process

• Later in the process the following additional key drivers were incorporated:1) attract more human capital2) emphasize talent in client-focused areas3) anticipate future direction4) factor in custom consultant recommendations5) consider key OLD recommendations6) simplify revenue and expense responsibilities7) unleash total CCL talent

Center for Creative Leadership

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

Center for Creative Leadership

Center for Creative Leadership

Center for Creative Leadership

Center for Creative Leadership

Center for Creative Leadership

CCL’s New Structure

Center for Creative Leadership

CCL’s New Structure

•The President’s Office and GOLD

Center for Creative Leadership

CCL’s New Structure

Chief Talent Officer Group

Center for Creative Leadership

CCL’s New Structure

CFO/CAO Group

Center for Creative Leadership

CCL’s New Structure

R&I/Product Development Org Chart

Center for Creative Leadership

CCL’s New Structure

Global Markets Group

Center for Creative Leadership

CCL’s New Structure

Global Marketing Group

Center for Creative Leadership

CCL’s New Structure

Center for Creative Leadership

Restructuring: Next Steps

• Hire consultants to assist with implementation.• Set timeline for phased implementation.• Provide regular updates through Reorganization

Sharepoint site.