enterprise workforce optimisation for the back office · developed market leading back office...

eg operational intelligence®

Elizabeth Gooch | March 2015

Enterprise Workforce Optimisation for the Back Office

© eg solutions plc

© eg solutions plc 2

eg solutions plc

Enterprise Workforce Optimisation solutions for the Back Office

Operational Management Practice & Accredited Training

Operational Intelligence Software Suite Implementation & Training Services

• 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

Introduction to eg

3 © eg solutions plc

Developed market leading

Back Office Workforce

Optimisation product and

pioneered a new technology

market.

About eg

Rapid deployment methodology

providing guaranteed ROI for

global customers. Re-seller

agreement with Aspect software

International blue chip client

base of over 50 major brands;

financial services, outsourcers &

utilities. High client retention

rates and referenceability

Over 100,000 licences

sold throughout the

world. Increasing

recurring revenues with

Managed Cloud Services

$3.0 bn market potential

rapidly emerging with few

competitors

50+ Major brands

100,000+ licences

$3.0bn Market potential

Initial IPO June

2005 to develop

product and

market

Strategic objective to

become the undisputed

global market leader

Introduction to eg


The Back Office Problem

• 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

Back Office Workforce Optimisation

True end-to-end insight and control of the customer experience


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

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

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


Unique Functionality

Back Office Workforce Optimisation


Increasing Regulation

Increasing requirement for greater transparency in all sectors

Technology + Business Transformation

Customer service provision remains a people intensive business

Improving Economies

Companies remain cost conscious

£

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

Saturated Markets

Retain customers with improved service and increase profitability.

High Growth Markets

Remain competitive and avoid the problems of the past

6

Market Opportunity Global Workforce Management Drivers


$3.4bn Back Office WFO

Addressable Market

$500m Growth rate c.20%

with projected annual revenue of $500m by

2018

*Research by Leading WFO Analyst, Donna Fluss, President of DMG Consulting:

2 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

WFO Industry and Competitive Trends Market Opportunity


£3m

Investing to Grow

• 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

£1.0m Working Capital

• Continue to invest to remain market leader

• Complete Forecasting module

• Accelerate mobile & social developments

£0.5m Product Development

• 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 Marketing/Communication

• 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

£1.0m Management & Sales

Placing raised £3.0m net to accelerate growth, maintain technological edge &

secure market leadership

Placing Overview


Introduction to eg Preliminary Results FY 2014/15

New contract wins from new and existing customers include Telecoms, Utilities and Local Government

Order Book including 69% increase in Recurring Revenue

Strong balance sheet

£15.4m

£4.3m

10 Significant increase in all key financial metrics:

• 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)

Increase in Revenues on prior year to £7.5m

69%

Increase in licences sold to 100,000+ users throughout the world

20%

Following £3.0m (net) fund raise

Cash

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


Current Trading & Financials Transforming our Financial Performance

Investing for Growth

Financial Year Ending 31 January

2010 2011 2012 2013 2014 2015

Revenue 4150 5148 4714 4951 4456 7542

Gross Margin % 69.8% 70.8% 73.8% 64.8% 65.1% 70%

Adj EBITDA 478 899 829 410 (502) 1,263

Adj EBITDA % 12 17 18 8 (11) 17

PBT 99 355 146 (458) (1479) 407

Acquisition & integration of

XTAQ Ltd.

Investment in global

customers 2012 - 2014

Investment in: • Aspect Reseller • Expanded delivery team • Changing Revenue Model • Increased Sales Team & Executive

69% growth in sales

Investing in product & market development

£407k PBT £1.3m EBITDA

New Board & Management

Team

£1.7m cash from operations

Capitalising on the investments

made

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


Changing Revenue Model Current Trading & Financials

Migration of revenues from 72% one-time services

to 76% product with 50% recurring fees*

29%

increase in

recurring

fees in 2013

36%

increase in

recurring

fees in 2014

Growing revenues for the

future with repeat and

recurring hosting contracts

+29% +36%

£15.4m Order book over next four years

76%

69% increase

in recurring

fees in 2015

(YTD)

+69%

2009 2010 2011 2012 2013 2014 2015


Product Development

Strategic objective is to maintain product leadership and develop/enhance products to meet the digital needs of global enterprise customers

New Product Launches in 2015

• Strategic Planning & Forecasting

• eg mobile™ to support the ‘virtual back office’

Merge business and personal technology to improve

performance and exploit digital literacy of millennials

Social

The rule not the exception. Enable and efficiently allocate the mobile workforce and evaluate their performance

Mobile

The analytics game is flipping from historical reporting to

predictive analytics embedded within solutions

Information

First for some but an option for most - cloud, on-premise & hybrid deployment options

Cloud

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.

Product Development


Current Trading and Outlook Current Trading & Financials

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

1 2 3

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.

£36m pipeline

enterprise workforce optimisation for the back office · developed market leading back office...

Documents