from vision to value · page vision and strategy coo role and impact digital acquisition and...

15th May 2018

Investor Afternoon

LSE: PAGE.LWebsite: http://www.page.com/investors

From Vision to Value

2PageGroup I Investor Afternoon I 15 May 2018

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, Group Marketing Director> Non Ops Transformation and Value Kelvin Stagg, Chief Financial Officer

PageGroup I Investor Afternoon I 15 May 2018

Page Vision and StrategySteve Ingham,Chief Executive Officer



4

Our brands are globally alignedPage Outsourcing operating across all our brands

Executivesearch

Qualifiedprofessional

Clericalprofessional

Generaliststaffing



5

Delivering on our diversification strategyContinued success across disciplines

% of Group 2007 2013 2017 CAGR*

Accounting and Financial Services 54% 41% 37% 5.1%

Engineering, Property & Construction, Procurement & Supply Chain 12% 19% 22% 12.0%

Legal, Technology, HR, Secretarial and other 15% 21% 23% 10.6%

Marketing, Sales and Retail 19% 19% 18% 8.0%

Disciplines excluding Accounting and Financial Services 46% 59% 63% 10.3%

* Compound Annual Growth Rate in Gross Profit from 2013 to 2017



6

Clear focus on market categoriesProvides an investment framework for the business

LargeHigh Potential

LargeProven

Medium High Margin

Germany, Greater China, Latin America, SE Asia, US

Australia, France, Italy, the Netherlands, Spain, UK

Japan, Middle East, India, Canada, Turkey and other European countries

Countries/regions

Invest through cycle Investment reflects gross profit growth and market conditions

Respond to market conditions, focus on high margin opportunities

Investment approach

Highest gross profit growth over the last five years

Good progress made on conversion rates

Peak levels of gross profit and fee earner headcount

Achievements



7

Operational efficiencies have been realisedKey deliverables from our 2013 Page Vision

Agile and scalable infrastructure

Flexible to react to changes

in headcount and demand

IT TransitionIT Transition

Global Systems; GFS, PRS and NextGen

website

Provide scale and ability to

quickly innovate

Harmonised Systems

Created network of regional Shared Service Centres

Driving economies of scale, best practice

and expertise

Shared Service Centres


Turning visioninto realityRegional Managing Director discussion


Q&A


2018 Page VisionSteve Ingham,Chief Executive Officer



12

With continued focus on scale and diversificationA clear vision driven by organic growth

Clear ondigital &

techClear on

investment

Clear oncategory

Clear onsupport

Clear oncustomer

Clear onbrand

Clear ongeography

Clear onpeople

Purpose

OneClear Vision

To increase the scale and diversification of PageGroup by

organically growing existing and new teams, offices, disciplines and markets



13

£1bn

GrossProfit

£200-£250m

Operating Profit

10,000

Total Headcount

Underpinned by clear targetsTo achieve our operational and financial objectives



14

Aiming to double Operating ProfitAiming for fee earner to operational support staff ratio of 82:18

2009

Vision

£352m

2017 £712m

£1bn

£774m2018E*

2009

Vision

£20m

2017 £118m

£200m-

£250m

2018E* £133m

2009

Vision

3,549

2017 7,029

10,000

Gross Profit Operating Profit Total Headcount

* Company compiled consensus



15

Continue to grow large, high potential marketsMaintain sustained fee earner investment in growth markets

2007 2017 Vision

▪ Large, High Potential ▪ Large, Proven ▪ Medium, High Margin

10%17%

73% 50%

15%

35%

45%

40%

15%

369 676

2,792 2,745

833 1,919 1,230 3,280

3,690



16

Clear on brandsTaking advantage of structural opportunities for growth

2007 2017 Vision

23%

76% 67%

30%

60%

35%

5%890

2,922

1,637

3,710

1503%

251% 410

▪ ▪▪

2,870

4,920



17

Our purpose


COO role and impactOlly Watson,Chief Operating Officer



A people business firstPerformance enhanced through technology

+5%

Productivity

85%

Drop Through

+3%

Conversion Rate



20

Market evolution and fragmentation

1976PageGroup founded

~2010Gig economy

1994Online job boards

2003Launch of LinkedIn

Internal hiring

Online staffing

Traditional staffing firms

Online work services

Job boards



21

Mobile Usage

43.6%

Page Q1 2018 mobile traffic

Increase in mobile traffic

25

27

29

31

33

35

37

39

41

43

Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q12016 2017 2018

(%)



22

Flexible working patterns

“Seventy-five percent of Millennials want

the ability to work flexibly and still be on track for

a promotion”

New skills at a premium

“Never mind the robots;

future jobs demand human skills”


Excellence incustomer engagement



25

Employee engagement and retention

“Purpose is driving engagement. 87% of business leaders believe that

companies perform best if purpose goes beyond profit.

“Organisations which had a

defined purposehad an edge on revenue

experiencing over 10% growth

“ “



26



27

Saving management time

Client engagement

Candidate management

Non customer activityManagement

time

Management time:

Non-customer activity

Revenue recognition and admin

Coaching

PRS database administration

Internal training

Internal recruitment

40%

16%14%

20%

10%

20%

33%

47%

Source: Analysis undertaken by Praxis in conjunction with PageGroup



28



29

▪ Shared Service Centre

▪ Resourcing

▪ Research



30

Page Outsourcing client achievements

120 placementsCustomer Support

Brazil

500 placementsShared Service Centre

Mexico

187 placementsFinance functions

Poland, Malaysia and Costa Rica

750 placementsSales & brand ambassador

Spain

240 placementsEngineers and IT specialists

France



31


Efficient management of key business processes



33

GlobalFinanceSystem



34

Delivering Business Intelligence: OBI



35

Driving value from our global network

12,000 minutes completed7,000 messages and over 650,000 unique read events

Per month



36



37

Proposition People Process Technology

Productivity +5%

Driving synergies


Break


Driving customer acquisition & engagement from our digital programmeEamon Collins,Group Marketing Director



Proposition People Process Technology

Driving synergies



41

Customer engagement at scale

50m

Website Visitors

In 12 months

181m

Website Hits

14.7m

Job Applications

11.4m

CVs received

15.8m

Candidate Profiles

139

Global Offices

25

Specialist Businesses

7,311

People Worldwide

55k

Perm Placements

140k

Temp Assignments



Digital & Technology Consultants

ACQUIRE

Connected Customer Experience

ENGAGE NURTURE



Digital & Technology ConsultantsDigital & Technology Consultants

ACQUIRE ENGAGE


ENGAGE NURTURE



Digital & Technology Consultants

ACQUIRE ENGAGE NURTURE






Our Technology Platform


AcquireMatt Mowlam,Group Digital Director


Engage & NurtureAlex Bates,Marketing Director



Engaging customers throughout their career journey

Candidate Client CandidateClient CandidateClient Client



Candidate Client CandidateClient CandidateClient Client



50

Engaging with our candidates

3m Emailsdelivered

43% Open Rate

6%Click

through rate



51

+3 min. +50 +3 min. +50 >100 HOT

Engaging with our clients

Digital ConsultantsConsultantsDigital ConsultantsDigitalDigital ConsultantsDigital Consultants



52

Award winning content programme



53

NPS

Can

dida

te

Glo

bal

60%Promoters

22%Passives

18%Detractors

NPS

Clie

nts

Glo

bal

51%Promoters

37%Passives

12%Detractors

Putting customers first



Delivering targeted campaigns

RevenueOpportunity

MarketOpportunity

PageGroupCapability



55



56

Behaviour driven email campaigns


Building a scalable and agile technology platform

Dominic Redmond,Director, Global Applications



59

A technology approach to mirror our strategy

Use commodity to focus IT activity where it counts: on users and customers

Design, implement, and exploit scalable global foundations

Transform Business Technology

Standard platformsCustomer focusedDriven by DataCentred on the userReady for the future



Secure collaboration

Scalable infrastructure

The best sustainable basics



61

Data Lake & Intelligence Finance

Decisions driven by data



Digital engagement

Agile applications

Agile innovation



PageGroup technology platformAgile innovation

Digital engagement

Agile applications

Secure collaboration

Scalable infrastructure

The best, sustainable basics

Decisions driven by data

Data Lake & Intelligence

Finance


Innovation driving our developmentEamon Collins,Group Marketing Director



65

Innovation process overview

1

3

4

5

Deployment

2 Challenges definition

1 Trend and user research

3 Ideation

4 Pilot development

45 Experimentation



Our Innovation ApproachExternal factors Innovation

Why: Purpose

Create new opportunities to work with people, have valuable conversations and build lasting relationships

How What

Focus on changing livesby:• Improving processes and

tools to make consultants more productive,

• Launching new services across whole careers improving customer experience and generating new revenue

• Research team for new trends • Employee suggestion

programme to identify key pain points in our consultants’ journey

• Develop projects internally through a dedicated incubating unit

• Work in agile partnership with global technology partners

• Collaborate with start-ups to leverage new technologies and data

• Risk of disruption• Increase

candidate mobility• Changing career

patterns• Changing

candidate expectations



67

Innovation





Platform


Q&A


Non Ops TransformationKelvin Stagg,Chief Financial Officer



72

Support function transformation successNow delivering economies of scale and improved service to our operational business


EU Shared Service Centre

Geoffroy de Beaucorps,Regional Finance Director



74

Synergies and improved quality of serviceGlobal processes, flexible to demand

Marketing

StudioDigital & Media

CRM

Content Marketing

HR

HR generalMobility

T&D

Business Tech.

IT Business EngagementBusiness Intelligence

Project Management

Service DeskData Management

Infrastructure

Operational

ResourcingKey Accounts

Page Outsourcing

Finance

Controlling & Reporting General Accounting

Procure to Pay

Order to Cash

Facilities

Property

$



75

Improvement in our support staff ratioFront to Support headcount ratio (excl. Business Technology & Property)

10.0%

14.0%

18.0%

22.0%

26.0%

0

1000

2000

3000

Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4

Hea

dcou

nt

Admin & Support FE & Dir Ratio

2013 2014 2015 2016 2017



76

Cost arbitrage has driven further savingsNonOps to front cost ratio (excl. Business Technology & Property)

8.0%

10.0%

12.0%

14.0%

0

20000

40000

60000

80000

Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4

Cos

ts (£

m)

Admin & Support FE & Dir Ratio

2013 2014 2015 2016 2017



77

Keeping pace with technologyEmbracing global infrastructure and applications


Global Finance System

Mark Hearn,Global Programme Director



Why GFS? GFS Strategic Intent• Multiple different legacy finance systems• With inconsistent business and finance

processes• All hosted in on-premise datacentres

Result:• Unnecessary cost, risk and complexity• Blocker for our finance, IT and Operational

strategies

Standardised global finance process:• With in-built robust controls

Automation of activities that are currently time-consuming and complex:• For example, intercompany

Modern and stable SaaS platform:• With governance to leverage regular

product enhancements



GFS BenefitsDirect benefits to operations

Simpler creation of invoice events

Quicker completion and processing of expenses

Improved financial forecasting and reporting



81

> First wave – design global finance processes, complete the build and deploy to the UK SSC

> Second wave – deployment to the rest of the Group



82

GFS in Summary

Enabler for SSC strategy

Aligns to our cloud evolution

Demonstrable benefits to Operations



83

Evolving our conversion rateStrategic transformation projects to leverage growth

16.6%

25.0%

0.8% 0.8%1.4%

2.4%

3.0%

0%

5%

10%

15%

20%

25%

30%

Current conversionrate

Non-repeatedstrategic

transformation costs

PRS Amortisation BusinessTechnology

restructuring savings

Non-operational costsavings

Productivity Future conversionrate


Q&A


Wrap upSteve Ingham,Chief Executive Officer



86

Delivering on our global visionClear on strategy and objectives

Clear onpurpose

Clear oninvestment

Clear oncategory

Clear onsupport

Clear oncustomer

Clear onbrand

Clear ongeography

Clear onpeople

OneClear Vision



87

Engaging our peopleTo deliver the next phase of growth

Belgium

Rome

New York



Disclaimer

This presentation contains certain statements that are neither reported financial results nor other historical information. The information contained in this presentation is not audited, is for personal use and informational purposes only and is not intended for distribution to, or use by, any person or entity in any jurisdiction in any country where such distribution or use would be contrary to law or regulation, or which would subject any member of the PageGroup plc group of companies to any registration requirement. No representation or warranty, express or implied, is or will be made in relation to the accuracy, fairness or completeness of the information or opinions made in this presentation.

Certain statements included or incorporated by reference within this presentation may constitute “forward-looking statements” that are based on current expectations or beliefs, as well as assumptions about future events. There are risk factors that can cause actual results to differ materially from those expressed in or implied by such statements. Accordingly, no assurance can be given that any particular expectation will be met and reliance should not be placed on any forward-looking statement.

PageGroup plc disclaims any intention or obligation to revise or update any forward-looking statements that may be made in this presentation, regardless of whether those statements are affected as a result of new information, future events or otherwise. Nothing in this presentation should be construed as a profit forecast.

This presentation does not constitute or form part of any offer or invitation to sell, or any solicitation of any offer to purchase any shares in PageGroup plc, nor shall it or any part of it or the fact of its distribution form the basis of, or be relied on in connection with, any contract or commitment or investment decision relating thereto, nor does it constitute a recommendation regarding the shares of PageGroup plc. Past performance cannot be relied upon as a guide to future performance. Liability arising from anything in this presentation shall be governed by English Law. Nothing in this presentation shall exclude any liability under applicable laws that cannot be excluded in accordance with such laws.


Appendix:Biographies

Steve InghamCEO

Anthony Thompson

Executive Board Member, Asia

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 arketingand Sales in 1994. Subsequently Steve took additional responsibility for several businesses. He was promoted to the Board as Executive Director of UK Operations in February 2001 and subsequently to Managing Director of UK Operations in May 2005. Steve was appointed Chief Executive Officer in April 2006.

Anthony moved from South Australia to commence his Michael Page career in Hong Kong in 2001. He managed and established several disciplines and brands in Hong Kong and China and was appointed Managing Director, Hong Kong and Southern China in 2006. In 2012, he was appointed Regional Managing Director for Greater China with several offices established across China, Hong Kong and Taiwan. In 2015, Anthony moved to Singapore with additional responsibility for PageGroup in South East Asia which now encompasses offices in Singapore, Malaysia, Indonesia and Thailand. In 2016 he also became responsible for India. Anthony is currently responsible for PageGroup's operations in Greater China, South-East Asia and India.

Goran BaricSenior Managing Director,

Germany

Goran joined PageGroup in 2004 as a consultant in our Frankfurt office. Prior to that, Goran worked for three years in the Banking industry and for 7 years in Media and Entertainment. After launching Sales & Marketing and the Engineering division for Michael Page in Frankfurt, he was promoted to Director running the Frankfurt office. In 2009 he was then promoted to Managing Director, Southern Germany, which also included the Stuttgart and Munich offices. In 2011 he was given full responsibility for Michael Page Germany, with his role now also responsible for the Dusseldorf, Hamburg and Berlin offices in Northern Germany. In 2012, Goran was promoted to Senior Managing Director for Germany and is now responsible for all brands and operations in the country.

Isabelle BastideRegional Managing Director,

France

Isabelle started her career in the banking sector, then quickly moved to a recruitment agency where she managed a portfolio of large national accounts. She joined Page Personnel France in 1999 as a consultant in Finance and very quickly promoted to Manager and then to Director. She was appointed a Board Member in 2005, having developed our Financial Services and Engineering disciplines. She was made Managing Director of Page Personnel France in 2007, and she launched Page Outsourcing there in 2014. Since 2015, Isabelle is responsible for all of the Page Executive, Michael Page and Page Personnel brands in France. She is also a diversity and inclusion sponsor for Europe.

Nicolas BuissonRegional Managing Director,

Southern Europe

Nicolas joined the Group in France in 1994 as consultant in the Retail & Marketing division in Paris and in 1997 he created the Sales Force division and was appointed Director. In 1999 he moved to Spain to set up and run the Barcelona office. After 3 successful years there, he moved to Madrid as General Manager for the Group in Spain and Portugal. Appointed Managing Director Southern Europe in 2006, Nicolas took over responsibility for Michael Page Spain, Portugal and Italy. In 2008, Nicolas set up operations in Turkey, adding responsibility for this country to his functions. In addition to this, he was also in charge of operations in Poland from 2010 to 2011 and for Africa from 2012 to 2014. In 2016 Nicolas added Austria to his scope and in January 2017, Nicolas become responsible for operations in Switzerland. In addition to the country-specific operations, Nicolas also oversees the European Resourcing team, is responsible for Key Account Management in Europe and coordinates the Retail business for the Group worldwide.

Olly Watson COO

Eamon Collins Group Marketing Directior

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 Michael Page Middle East and has since developed our office network across the region. In 2009, he became Regional Managing Director for Michael Page UK Finance, Marketing and Sales, Middle East, Scotland and Ireland. He is now responsible for PageGroup’s operations in the UK, USA and Canada.

Eamon joined the Group in 2007 as UK Marketing Director and previous to this held senior marketing and communication roles at Samsung and Hitachi. He is the Group Marketing Director for PageGroup and is responsible for the Group’s global brand, communications and digital channels. Since his appointment to the role, he has overseen significant changes both to the platforms that PageGroup uses in reaching customers and to the marketing teams worldwide that work on them.

Matt MowlamGroup Digital Director

Matt joined PageGroup in June 2017 to lead the company’s Digital practice. Prior to joining PageGroup, Matt was Managing Director of GAN Plc, a US-facing online gaming business, and before that in a number of management roles at Betfair Plc (now Paddy Power Betfair Plc). Matt’s focus at PageGroup is to help drive the Digital and Innovation agenda that can unlock improved productivity on a global scale.

Alex BatesUK Marketing Director & Global CRM Lead

Alex joined PageGroup in 2015 having previously headed marketing for the Gorkana Group, the PR and earned media Software Company. Prior to that, he worked for the global information provider Wolters Kluwer where he was part of the team responsible for devising and implementing their transformation programme. Alex is now responsible for Marketing for the UK and RoW, as well as being the global lead for our CRM programme.

Dominic RedmondGlobal Applications Director

Dominic joined PageGroup in 2016, having worked previously for SABMiller for 5 years, mainly focusing on Global Transformation and IT Change programmes. Previous to that, he worked for Xerox and Aon in a mix of business and IT roles, covering professional services, consultancy and outsourcing. He started at Page as the UK IT Director and in 2017 he also became Global Director of Applications, responsible for delivering the IT Transformation globally.

Kelvin StaggCFO

Geoffroyde BeaucorpsRegional Finance Director, Europe

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 Officer. Prior to joining the Group, Kelvin spent six years at Allied Domecq and three years at Unilever in a variety of finance functions. He has significant international experience and has high levels of compliance, change management, large teams and systems experience, across almost every finance discipline. He is a Chartered Management Accountant.

Geoffroy joined PageGroup in May 2007 as Finance Director for Switzerland. In April 2009, he took on additional responsibility as Finance Director for the Group’s operations in Northern Europe. In August 2012 he was promoted to Finance Director for all of Continental Europe, and in August 2015 relocated to Barcelona to lead the transition to our new European Shared Service Centre. Prior to Page, he worked for various business units of the French Group Bouygues, mostly in the Television branch (TF1 & Eurosport) as Financial Controller & Finance Director in Zurich, London and Milan.

Mark Hearn Global Programme

Director, GFS

Mark joined PageGroup in October 2015 in the role of Finance Director for Group Support Services. Progressing the finance system agenda formed a key part of that role, and in September 2016 he became Global Programme Director for our Global Finance System (GFS) delivery. Mark joined PageGroup from Colgate-Palmolive, where he spent 10 years in a variety of roles both in the UK and international, covering FP&A, commercial finance, and latterly Finance Director for the UK & Ireland subsidiary of the Hill’s Pet Nutrition business unit. He also participated in projects to transition processes to regional and global SSCs, as well as the transformation of those processes enabled by SAP. Prior to Colgate, Mark held roles for AB Inbev and Nestle. Mark is a Chartered Management Accountant.

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