The statement from Informa:
Stephen A. Carter, Group Chief Executive, said: “Today’s changes seek to increase operational, customer and market focus at Informa. We are repositioning the Group to deliver growth and scale in each of our markets. These changes will be supported by a strengthened Executive Management Team which will oversee a strategic plan to accelerate growth and improve returns.”
He added: “These changes follow the first phase of a comprehensive strategic review that was launched earlier this year. The review reassessed Informa’s long-standing operating model and identified measures to build on Informa’s existing strengths to unlock new growth opportunities. Our approach of ‘Measured Change’ in 2014 is working effectively to keep trading on track for the year. We are now taking steps to ensure the Group can deliver on its future growth potential.”
Strategic Review and Divisional Operating Model
A comprehensive Strategic Review was launched earlier in the year. The Review considered the strength of Informa’s market positions and the effectiveness of its fully distributed, geographical operating structure.
Phase One of the Review made the following key conclusions:
1. Strong market positions: Informa is well positioned in markets offering a mix of attractive growth and value opportunities.
2. Operating model: There is an opportunity to exploit these strong positions more effectively to capture the full benefits of scale and growth in each of these markets.
3. Scale-benefits: Academic Publishing is deriving scale-benefits from the systematic integration of key functions, but elsewhere across the portfolio progress on this is limited.
4. Capital management: More focused resource and capital allocation in priority markets would drive value for Informa.
5. Operating focus: Clear delineation of responsibilities between the divisional businesses and the Group centre would improve efficiency and performance.
Following this assessment, a new operating model will be implemented for the Group. It has been designed to reduce the complexity of existing business structures and reporting lines.
From 1 January 2015, the Group operating model will be structured and reported as four Divisions:
• Academic Publishing (“AP”): This division stays in its existing structure and form and will continue to be led by the current management team, headed by Roger Horton.
• Business Intelligence (“BI”): will be managed as a single operating Division: Historically, BI has been managed as three independent operating units, each housing a subset of often disparate smaller units and product groups. A single Division, led by a newly-appointed Chief Executive, Patrick Martell, will allow us to operate the businesses more effectively around industry and customer verticals, to systematise key functions and fully leverage our scale. It will also enable us to have a more dynamic approach to continuing portfolio assessment.
• Global Events (“GE”): will be managed as two separate operating Divisions: GE currently incorporates 15 independently managed events businesses, often overlapping in geography and sector exposure. Our intention is to create two separate operating Divisions:
• Global Exhibitions Division: We will consolidate all our transaction-oriented Exhibition and Trade Show assets into a single Division. This will create scale, allow us to exploit the strong growth dynamics of this market and accelerate our expansion within it through intensified geo-cloning activity and acquisitions. This Division will be led by a newly appointed Chief Executive from within Informa, Will Morris.
• Knowledge & Networking Division: Our numerous content-driven events, which we believe are fundamentally different to Exhibitions, will be combined into a single Division, to include all our training, learning, conference, advisory and congress businesses. It will create focus and alignment, and a more efficient structure for content development, product innovation and new launches. It will be led by newly-appointed Chief Executive, Andrew Mullins.
Strengthened Leadership Team
To implement our plans for improved Divisional operating focus and growth, Informa is strengthening its Executive Management Team with several new appointments.
Gareth Wright, the current Deputy Finance Director, is to become Group Finance Director, effective immediately, and to join the Board.
Gareth Wright, Group Finance Director, said: “Having worked closely with Stephen over the past six months, I am confident that under his leadership and with the support of the Executive Management Team, we can successfully implement a strategic plan for growth and continue to improve the returns from our attractive portfolio of assets.”
Stephen A. Carter, Group Chief Executive said: “Gareth has been acting as the Group Finance Director since the start of the year. He has proven beyond doubt that he has the ability, expertise and knowledge of the Group to take on the role permanently. On a personal and professional level, we have also had a six-month period to establish a very effective and complementary working relationship.”
Divisional Management Appointments
Following today’s appointments, the four operating Divisions will be led by:
• Roger Horton, Chief Executive of Academic Publishing: Roger has been Chief Executive of the Academic Publishing Division for many years, delivering consistent growth and profitability throughout a period of digital evolution and dynamic structural change.
• Patrick Martell, Chief Executive of Business Intelligence: Patrick will join Informa from St Ives plc, where he has been Group Chief Executive for five years, leading the repositioning and successful turnaround of the business. Patrick will step down as CEO of St Ives plc at the end of July and joins Informa in the Autumn, following an agreed transition arrangement.
• Will Morris, Chief Executive of Global Exhibitions: Will has been managing some of Informa’s largest Exhibition assets for a number of years, and previously held senior roles at Reed Exhibitions and Dubai World Trade Centre. His proven track record across many years in the industry, managing fast growth Exhibition operations, makes him the ideal person to lead our consolidated Global Exhibitions Division.
• Andrew Mullins, Chief Executive of Knowledge & Networking:Andrew will join Informa from The Evening Standard and Independent Limited, where he has been Managing Director for seven years, successfully managing the turnaround and relaunch of its Brands and Platforms. Andrew is expected to take-up his role at Informa in the Autumn.
Stephen A. Carter, Group Chief Executive, concluded: “Today’s appointments significantly strengthen our Executive Management capabilities, complementing the existing operating talent across the Group. This simplified structure, combining internal and external experience, will lead Informa as we finalise our strategic plan and deliver on our long-term growth objectives.”
