Workforce Optimisation For The Back Office

Transcription

1 Enterprise Workforce Optimisation for the Back Office eg operational intelligence Elizabeth Gooch March 2015

2 eg solutions plc Introduction to eg Enterprise Workforce Optimisation solutions for the Back Office Operational Intelligence Software Suite Implementation & Training Services Operational Management Practice & Accredited Training Most complete purpose built Back Office WFO Software Suite Implementation methodology based on production management techniques Fixed cost, fixed timescale and guaranteed benefit implementations with ROI in 6 months 20-40% improvement in productivity while improving the end customer experience Transforming Back Office Operations Delivering Guaranteed Benefits in Customer Service, Operational Efficiency & Compliance 2

3 About eg Introduction to eg Developed market leading Back Office Workforce Optimisation product and pioneered a new technology market. International blue chip client base of over 50 major brands; financial services, outsourcers & utilities. High client retention rates and referenceability 100,000+ licences $3.0 bn market potential rapidly emerging with few competitors Initial IPO June 2005 to develop product and market Rapid deployment methodology providing guaranteed ROI for global customers. Re-seller agreement with Aspect software 50+ Major brands Over 100,000 licences sold throughout the world. Increasing recurring revenues with Managed Cloud Services $3.0bn Market potential Strategic objective to become the undisputed global market leader 3

4 The Back Office Problem Back Office Workforce Optimisation Varied, complex and multi-stage processes Many input channels Variety of new and legacy systems High degree of manual interaction despite the investment in technology Many locations and varied working patterns The Requirement: Improve customer service and quality, demonstrate compliance & reduce cost The Challenge: Achieving these conflicting variables with the same or less resources The Solution: Enterprise Back Office Workforce Optimisation True end-to-end insight and control of the customer experience 4

5 eg operational intelligence Back Office Workforce Optimisation Strategic Planning and Forecasting Forecasting Resource Scheduling What-if Modelling Activity Based Costing Holiday Planning Agent Self Service Planning & Forecasting Strategic Planners Operations Centralised Planning Finance Marketing Real-Time Work Management Multi-Channel Transaction Capture Virtual Queue Creation & Capacity Planning Work Prioritisation & Allocation Intra-process Management Performance Monitoring Quality Assurance Service Delivery Operations Quality Assurance Unique Functionality Reporting and Analytics Performance Reports (Service; Throughput; Productivity; Skills; Quality) Performance Scorecards & Dashboards End-to-End Process Analytics Standard; Personalised and Diagnostic Performance Management and Business Improvement Operations MI Teams Process Improvement Teams 5

6 Global Workforce Management Drivers Market Opportunity Technology + Business Transformation Customer service provision remains a people intensive business Improving Economies Companies remain cost conscious Saturated Markets Retain customers with improved service and increase profitability. High Growth Markets Remain competitive and avoid the problems of the past Increasing Regulation Increasing requirement for greater transparency in all sectors Controlling workforce costs and increasing transparency are key business objectives throughout the world - major consultancies building 50m Workforce Optimisation practices in response to this demand 6

7 WFO Industry and Competitive Trends Market Opportunity * Research by Leading WFO Analyst, Donna Fluss, President of DMG Consulting: $3.4bn Back Office WFO Addressable Market $500m Growth rate c.20% with projected annual revenue of $500m by Only two vendors really specialise in Back Office WFO: eg & Verint eg has the most complete purpose built back office optimisation product available * Five key players in Back Office WFO: Verint, Nice, Aspect/eg, Genesys, AOMi No player has more than 25m turnover per annum currently eg winning deals with product leadership & domain expertise: Citi, =LV 7

8 Investing to Grow Placing Overview 1.0m Management & Sales Build the leadership team of a business of scale Increase Sales & Delivery teams to achieve global growth forecast and secure recurring revenues If sales stretch we won t need to cut resources 3m 0.5m Marketing/Communication We are a well kept secret, need a greater share of voice and to be recognised as the thought leader Develop pipeline in new verticals & territories 0.5m Product Development 1.0m Working Capital Continue to invest to remain market leader Complete Forecasting module Accelerate mobile & social developments Placing raised 3.0m net to accelerate growth, maintain technological edge & secure market leadership Strengthen our balance sheet to get the best possible deals Accommodate the sales cycle & payment terms of bigger companies Ensure growth is not restricted by available cash & bank covenants 8

9 Preliminary Results FY 2014/15 Introduction to eg 10 New contract wins from new and existing customers include Telecoms, Utilities and Local Government Significant increase in all key financial metrics: 69% Increase in Revenues on prior year to 7.5m Adj.EBITDA to 1.3m from loss of ( 0.5m) Operating Profit 0.5m from loss of ( 1.48m) Cash from operations 1.7m from ( 0.4m) 15.4m Order Book including 69% increase in Recurring Revenue 20% Increase in licences sold to 100,000+ users throughout the world Strong Board & Management Team Duncan McIntyre - Chairman John Brougham - Chairman Audit Committee Mark Brady - Chairman RemCo Elizabeth Gooch - Chief Executive Officer Jonathan Kay - Chief Financial Officer Strong balance sheet 4.3m Cash Following 3.0m (net) fund raise 9

10 Transforming our Financial Performance Current Trading & Financials Financial Year Ending 31 January Revenue Gross Margin % 69.8% 70.8% 73.8% 64.8% 65.1% 70% Adj EBITDA (502) 1,263 Adj EBITDA % (11) 17 PBT (458) (1479) % growth in sales 407k PBT 1.3m EBITDA 1.7m cash from operations New Board & Management Team Capitalising on the investments made Acquisition & integration of XTAQ Ltd. Investment in global customers Investment in: Aspect Reseller Expanded delivery team Changing Revenue Model Increased Sales Team & Executive Investing in product & market development Investing for Growth Acquired Xtaq product, client list and pilot projects Pilot projects with global enterprise customers Aspect Reseller providing global distribution channel Increased Delivery Team to support Global Deployments Cloud Services product to increase recurring revenues & visibility Increased Sales & Marketing to seize the market opportunity 10

11 Changing Revenue Model Current Trading & Financials Growing revenues for the future with repeat and recurring hosting contracts 15.4m Order book over next four years % increase in recurring fees in % increase in recurring fees in % +36% 69% increase in recurring fees in 2015 (YTD) +69% 76% Migration of revenues from 72% one-time services to 76% product with 50% recurring fees * 11

12 Product Development Product Development Strategic objective is to maintain product leadership and develop/enhance products to meet the digital needs of global enterprise customers Merge business and personal technology to improve performance and exploit digital literacy of millennials Social Mobile The rule not the exception. Enable and efficiently allocate the mobile workforce and evaluate their performance The analytics game is flipping from historical reporting to predictive analytics embedded within solutions Information Cloud First for some but an option for most - cloud, on-premise & hybrid deployment options New Product Launches in 2015 Strategic Planning & Forecasting eg mobile to support the virtual back office Source: Gartner Nexus of Forces. All statements in this report attributable to Gartner represent eg s interpretation of data, research opinion or viewpoints published as part of a syndicated subscription service by Gartner, Inc., and have not been reviewed by Gartner. Each Gartner publication speaks as of its original publication date (and not as of the date of this presentation. The opinions expressed in Gartner publications are not representations of fact, and are subject to change without notice. 12

13 Current Trading and Outlook Current Trading & Financials m pipeline Strong platform for growth Leading Back Office Workforce Optimisation product Successful global enterprise customers looking to expand usage Strategic partnership in place with global market presence Increased investment in direct & partner channels Increased eg sales & marketing teams Combined pipeline of 36m Direct and Aspect partner opportunities (2014:24m) Now need to exploit this position to achieve growth in revenues and profits Additional capital raised to: Increase investment in Sales and Marketing Maintain product development Provide the balance sheet required for major enterprise deals. 13

14 Enterprise Workforce Optimisation for the Back Office eg operational intelligence Elizabeth Gooch March 2015