High Performance Cultures for Family-Controlled

Companies

PART ONE

NACD Board Leadership Conference 2011

Presenters

Allen BettisPresident, The Legacy Associates,

LLC

William J. PesceCEO (Ret.) and Director, John Wiley & Sons, Inc.

Peter Booth WileyChairman, John Wiley & Sons, Inc.

Why the Wiley Story Matters Outstanding company results over last 20 years

Achieved powerful, performance-focused collaboration Board – Management – Owning Family

Demonstrate how family-controlled, professionally led companies can develop superior and sustainable advantages

What ‘High Performance Culture’ Means

Guided by vision and mission – ‘walk the talk’

Responsibility, accountability and alignment

The Wiley Partnership

Recruit, retain and develop talent

Industry Transformers

Andy Washnik/Wiley Archives

What is Wiley? Family company since 1807, public since 1962 Forbes Best Company, Best Place to Work Global publishing – academic, research and

professional markets 5500 colleagues, $1.7B sales (FY2011) Published works of 450 Nobel laureates,1500

professional journals, partnerships with 750 academic, research and professional societies

Performance Results Last Ten Years

It wasn’t always this way…

1980’s•Largest business (textbooks) losing

ground•Management team redefined strategy•Experimentation with new technologies:

the Bleeding Edge•Managerial and governance weaknesses•Family confused about its role in both

Getting Focused

Why we are in business…vision and mission

The Wiley Vision

John Wiley & Sons, Inc., aspires to be a valued and respected provider of products and services that contribute to advances in knowledge and understanding around the world, a role essential to progress in a healthy and prosperous society.

While fulfilling this role, we strive to build lasting, collaborative relationships with all our stakeholders. We are dedicated to sustaining Wiley’s performance-driven culture, which requires our unwavering commitment to the highest standard of ethical behavior and integrity in everything we do.

Wiley’s Mission

Wiley’s mission is to be a global information and education company providing content and services to professionals, researchers, educators, students, lifelong learners, and consumers worldwide. Wiley is dedicated to serving our customers’ needs while generating attractive intellectual and financial rewards for all our stakeholders — authors, customers, clients, colleagues, and shareholders.

Chairman and CEO

Board Family

Management

Performance Culture

Making the Culture Contagious

What Works in Boardroom Role of independent directors

Candid, open culture vs. the imperial chair

Strengthen board’s strategic engagement

Engaging the board on a higher level – e.g., evaluating our biggest acquisition

Board evaluation, including individual performance evaluations

Board Climate No “gotcha” questions from directors

Tone matters – so management not on defensive

Expect constructively critical comment

Every member is in life-long learning

Actively model to make this climate contagious in management and family forums

Cultivating Alignment

Building open relationships between family owners, independent directors and senior managers

Relationships with colleagues

DISCUSSION