Talent Shortage Increases Demand for Leadership Services
SYDNEY, Australia, March 6 /Xinhua-PRNewswire/ -- Executive search and leadership advisory firm Heidrick & Struggles today reported a record year for 2007 and a positive outlook for 2008 due to an increasing demand for scarce leadership talent.
Net revenue for 2007 from the company's Australian operations increased by 95.5 percent to US$21.2 million from the previous year, largely due to searches which leveraged the United States-based firm's global reach and innovative leadership advisory services associated with executive team and chief executive succession.
Australia Partner-in-Charge Ron Graham says that talent shortages in Australia continue to place pressure on salaries "and at the executive suite level, the absence of a talent pipeline in major companies is leading to a demand for leadership development services."
Graham says that in addition to leadership consulting, key sectors driving growth have been financial services and resources.
"Our pioneering 'interim' practice has also placed experienced executives in an increasing number of project or short term roles in the resources, financial services, education and not-for-profit sectors," Graham says.
"This year we have won the majority of the major public company CEO searches and leadership advisory projects, making us as the clear leader in the Australian market," Graham says.
The firm has almost doubled its consultancy staff in the past 12 months and moved into new areas of activity, including media, where former Yahoo!7 Chief Executive Ian Smith is playing a leading role.
Leadership Advisory practice leader Steve Langton says the growth of leadership advisory services "involves leveraging the Heidrick & Struggles reputation, brand and capability to support clients in addressing their talent concerns at a time of leadership transition."
Across the Asia Pacific region, full year net revenue for 2007 increased by 58.8 percent to US$78.6 million, or approximately 51 percent on a constant currency basis. Operating income of US$15.9 million increased 20.1 percent over 2006 and the operating margin was 20.3 percent, compared with 26.8 percent in 2006.
Globally, for the year ended December 31, 2007, Heidrick & Struggles reported consolidated net revenue of US$619.7 million, an increase of 29.5 percent from US$478.5 million in 2006.
In 2008, the company expects worldwide consolidated net revenue of between US$650 and US$670 million, representing growth of between 5 percent and 8 percent over 2007 net revenue. The company is targeting a 2008 full-year operating margin of 13 percent.
About Heidrick & Struggles International, Inc.
Heidrick & Struggles International, Inc. is the world's premier provider of senior-level executive search and leadership consulting services, including talent management, board building, executive on-boarding and M&A effectiveness. For more than 50 years, we have focused on quality service and built strong leadership teams through our relationships with clients and individuals worldwide. Today, Heidrick & Struggles leadership experts operate from principal business centers in North America, Latin America, Europe and Asia Pacific. For more information about Heidrick & Struggles, please visit http://www.heidrick.com .
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Contacts
Thomas Liddle
Communications Consultant
Tel: +61-2-8205-2376
Email: tliddle@heidrick.com
Eric Sodorff
Director, Corporate Communications
Tel: +1-312-496-1613
Email: esodorff@heidrick.com
