HEIDRICK & STRUGGLES INTERNATIONALHEIDRICK & STRUGGLES INTERNATIONAL

Overview for the Washington Area CTO Roundtable

“The CTO Career: State of the Union”Fairfax, Virginia

January 18, 2002

H E I D R I CK & S T R U G G L E S I N T E R N A T I O N A L

AgendaAgenda

Heidrick & Struggles Overview

CTO/CIO Market Update

Top CTO/CIO Characteristics

Conducting a Job Search

Resume and Interview Tips

Negotiating your Worth

Working with Search Firms

Heidrick & StrugglesOverview

H E I D R I CK & S T R U G G L E S I N T E R N A T I O N A L

Heidrick & Struggles InternationalHeidrick & Struggles International

More than 8,000 searches a year worldwide

Nearly 70% of revenues derived from C-level searches (CEO, COO, CFO, CTO/CIO, etc.)

Pioneered industry and functional specialization 7 Industry Practices 4 Functional Practices 5 Focus Practices 41 Specialty-Practices

Heidrick & StrugglesOverview

H E I D R I CK & S T R U G G L E S I N T E R N A T I O N A L

CTO/CIO PracticeCTO/CIO Practice

Established in 1995 as the CIO practice

Over 50 partners and 25 associates around the world

In 2000, completed more than 300 assignments

Since 1999, companies hiring both CIOs and CTOs

Heidrick & StrugglesOverview

H E I D R I CK & S T R U G G L E S I N T E R N A T I O N A L

CTO/CIO Market TrendsCTO/CIO Market Trends

Demand for top CTO/CIOs still relatively strong

Overall market is soft

Pendulum has swung to supply-side

CIO reporting relationships changing

CTO title and role becoming more commonplace

CTO roles all over the map

Heidrick & StrugglesObservations

H E I D R I CK & S T R U G G L E S I N T E R N A T I O N A L

CTO/CIO TrendsCTO/CIO Trends

Heidrick & StrugglesObservations

External-Facing Technologist

Visionary and Operations Manager

Infrastructure Manager

Big Thinker

Bu

siness C

han

ge

High

Low High

Information as % of Products/Services

CTO Models for Organizational Needs

“Source: Tom Berray,

Heidrick & Struggles © 2001”

H E I D R I CK & S T R U G G L E S I N T E R N A T I O N A L

CTO/CIO CompensationCTO/CIO Compensation

Cash is King, but Equity is not dead

Compensation for top positions still strong

Significant signing bonuses reserved for marquee candidates and companies

Employment contracts harder to negotiate

Heidrick & StrugglesObservations

H E I D R I CK & S T R U G G L E S I N T E R N A T I O N A L

Top CTO/CIO CharacteristicsTop CTO/CIO Characteristics

Demonstrated overall leadership

General business skills and savvy

Proven ability to use technology to enhance the business

Specific industry experience

Strong communication/relationship skills

Proven ability to manage a complex technology environment

Heidrick & StrugglesObservations

H E I D R I CK & S T R U G G L E S I N T E R N A T I O N A L

Initiating the Job SearchInitiating the Job Search

What is your highest and best use?

What are your core competencies and key skills?

Understand potential issues against you and your strategies for handling.

What do you really want to do? What will you realistically be hired for? Target positions and skill gaps.

Create an action plan – what companies and positions will you target?

Heidrick & StrugglesObservations

H E I D R I CK & S T R U G G L E S I N T E R N A T I O N A L

Core CompetenciesCore Competencies

Broad Leadership

Functional & Technical Know How

Setting Standards and Getting Results

Thinking and Planning

Managing Direct Reports

Managing Self

Heidrick & StrugglesObservations

H E I D R I CK & S T R U G G L E S I N T E R N A T I O N A L

Potential Issues Against YouPotential Issues Against You

Heidrick & StrugglesObservations Out of unsuccessful

company

Too many jobs recently

Too few companies

Out of military, gov’t, or not-for-profit

Away from workforce too long

Reference Problems: Fair or not

Tagged to another person

Lack of college degree

Too experienced

Hunger and drive level?

H E I D R I CK & S T R U G G L E S I N T E R N A T I O N A L

Resume TipsResume Tips

Length is less important than format

Key things to include: Company, position(s), date(s) of employment Key responsibilities Significant achievements with business metrics Education, degrees, dates

Highlight those critical few achievements

Don’t lie about your education or other achievements

Heidrick & StrugglesObservations

H E I D R I CK & S T R U G G L E S I N T E R N A T I O N A L

Interviewing SuggestionsInterviewing Suggestions

Heidrick & StrugglesObservations Do’s

Know company & issues

Anticipate questions, rehearse your answers

Tell your story as it relates to the company and opportunity

Be polite to EVERYONE

Don’ts

Drop names or speak negatively about others

Generalize about your achievements

Be modest OR lie

Assume the interviewer knows how to interview

H E I D R I CK & S T R U G G L E S I N T E R N A T I O N A L

Negotiating Your Worth TipsNegotiating Your Worth Tips

Do your homework on the company’s policies and practices.

Focus on the important issues

Evaluate the entire package

Elements of the Deal Base salary Bonus (short and long-term) Sign-on bonus Options (including RSUs)

Heidrick & StrugglesObservations

Relocation Loans Termination Benefits

H E I D R I CK & S T R U G G L E S I N T E R N A T I O N A L

Working with Search FirmsWorking with Search Firms

Establish relationships with 2-3 firms and get your resume in their database

Return calls and give help whenever you are called

Be a good source

Keep in touch once a year or when you make a career change

Hire a firm when you are conducting an important search and you want to ensure you have a top performer

Heidrick & StrugglesObservations

Tom BerrayCTO/CIO Practice

1750 Tysons Boulevard, Suite 300McLean, VA 22102

(703) 748-8286tberray@heidrick.com