KnowledgeNow: Playing Offense Apax Partners KnowledgeNow Conference October 2015 The 5th Annual Apax Partners Miami, KnowledgeNow Conference took place in Miami on 20 and October 2015 21 October 2015

What’s inside this report?

Understanding the customer’s path 02 Introduction 12 People at the centre to purchase Alex Langshur Co-founder and Collective experience as Creating a culture for success Senior Partner, Cardinal Path competitive advantage Trevor Mather Chief Executive, Autotrader Answers & EMC: Tier one solutions Seth Brody Partner and Global Head of Group UK for tier two prices Operational Excellence, Apax Partners Happier customers, better business Curtis Strite Sr. Director Infrastructure David Karandish CEO, Answers Corporation and Operations, and Brian Keithly Lenny Nash Chief Strategy Offi cer, Foresee Senior Engineering Manager, Answers 04 A complex and competitive world Brett Batchelder Senior Director, Growing together through Private Equity, EMC Operations at the core of performance intelligent incentives Mitch Truwit Co-CEO, Apax Partners Brian Robbins Partner, Executive Proactive vendor risk management Compensation & Benefi ts, Simpson Thacher at Acelity The new normal & Bartlett LLP John Elwood VP of Global Manufacturing, Susan Lund Partner, McKinsey Global Institute Acelity and Mark Beckey, Director, Global Sourcing, Acelity Winning with Big Data Billy Beane General Manager, Oakland 18 Working together to drive results Bringing the whole team together Athletics David Edwards IT Consultant, Implementing operational excellence in GENEX Services Tackling the growing cyber threat a growing company James Lyne Global Head of Security Joe Delaney CEO and Pat Rowland Chief Research, Sophos Strategy Offi cer, OneCall Care Management Building leaner, greener businesses Fashioning digital sales expansion Aleyn Smith-Gillespie Associate Director, Josh Krepon VP of Digital Retail, Cole Haan Carbon Trust

26 Attendees28 OEP overview30 The Operational Excellence team KnowledgeNow 2015 01

In attendance... Apax Partners is one of the world’s leading private equity Executives and partners firms. An independent global partnership focused solely on 127 long-term investment in growth companies, our Funds invest in four sectors: Consumer, Healthcare, Services and Tech & Telco. Portfolio companies Apax Funds’ strategy is to drive superior returns through sector 28 expertise, geographic fl exibility and transformational ownership. To that end, the Operational Excellence Practice (“OEP”) Representing... and the fi rm’s vertical domain expertise are brought to bear Enterprise value invested throughout the life cycle of a deal to drive value. The OEP is $32bn+ comprised of resources possessing deep operational expertise and broad acumen as general managers. OEP resources “get $12bn+ Annual sales in the boat” with management teams to drive results. Through the OEP’s KnowledgeNow programmes, Employees communities and conferences, we create forums for 125,000+ executives to share experiences and discuss the common challenges our portfolio businesses face. Our annual conference, held in October 2015 in Miami and recounted in this brochure, is the cornerstone of these efforts. 02 Apax Partners KnowledgeNow 2015 03

The Apax KnowledgeNow Conference Since our last gathering...(1) Our Global Network is an annual event that brings together executives from across the Apax portfolio Growth in mobile traffi c for several days of best practice sharing, +59% networking and discovery. With over 120 attendees, including representatives from Bringing together 28 portfolio companies, our 5th instalment, Cumulative company the CEOs, Partners held in Miami in October 2015, was the $1.3bn speed optimised largest and most impactful since the inception of the program. and Operational

Our objective at KnowledgeNow is to Cumulative value of Professionals that present perspectives on the forces of $170m+ contracts generated between Apax drive value across change in the global economy and distill portfolio companies the collective experiences from around Apax’s global portfolio into tangible, our Global Network. actionable insights that can drive near-term performance. As these are executives speaking candidly to each other about the common challenges they face, the power of the event is magnifi ed by the credibility each individual attendee brings as an experienced operator.

Revenue growth, margin expansionn, cash generation and Portfolio companies: solid executiion are thhe source of over 75% of the value created in exitedd dealls. OOur shharedd success iis nott just abbout fi nanciial engineeringg. It’t s the work our management teams are doiing every dday. Thhat iis whhy we hhave this conference. To do more. To do it faster. To do it together. Seth Brody Partner, Apax Partners 04 Apax Partners KnowledgeNow 2015 05

The world that we all enjoyed since 1980, in which virtually everyone in this room ddevellopep d thheiir bbusiiness career and set of intuitions about how thingsg work and ddynamiics in your inddusttry pllay, iis gonee. It’’ss overr. Andd thhe new world is goiing tto be all about agility, low costss, and operattiional excellence. Dr. Susan Lund KnowledgeNow: Playing Offense Partner, McKinsey Global Institute A complex and competitive world Complex global economic forces, dynamic competitors entering markets without legacy operations, a daily war for talent, technological disruption and petabytes of data. How can we be playing offense? How do we stay on the front foot? Conference attendees explored these complex issues in Miami. 06 Apax Partners KnowledgeNow 2015 07

A complex and competitive world continued

One of the core areas of focus in this At Apax we are laser-focused on helping Susan Lund sets the macroeconomic Opportunities to supply new Operations at year’s conference was how companies our portfolio companies navigate these The new normal scene for companies operating in an customers in new places with can operate and win in an increasingly choppy waters because we know that it is uncertain world. new products uncertain world. operational improvements in our portfolio the core of that will enable us to produce sustainable with Dr. Susan Lund Partner, Seven years after the onset of the fi nancial As well as the challenges outlined above, there will be huge opportunities As Susan Lund points out very graphically outperformance for our investors. McKinsey Global Institute crisis, the global economy continues to performance overleaf, we are operating in a complex be troubled by high levels of public and in emerging markets as 1.8 billion new environment characterised by dynamic We understand that it is the work private debt, while volatility in currency consumers gain access to disposable competitors continually entering markets being done every day by individuals markets, stock markets and commodities income for the fi rst time. Meeting this with Mitch Truwit Co-CEO, without legacy operations. We are right across our portfolio that drives has also increased. Rather than expect a new demand will involve creating new Apax Partners seeing a daily war for talent, constant results. This network of expertise is return to smooth economic growth and products at lower price-points and technological disruption and petabytes our greatest strength, so we will do benign markets, companies should adjust expanding networks to sell these of data on which to make decisions. everything we can to build the dialogue to a world of uncertainty in which GDP products in new markets. This product The over-arching question that framed and increase knowledge sharing across growth could be signifi cantly depressed development could lead to further our discussions throughout the the entire portfolio. until 2050. opportunities to market value products conference is: “how do we focus to customers in existing markets. forward in this environment?” Debt expands, GDP slows and competition becomes more intense The penetration of the internet will allow As PE buyers, despite all these new companies to spring up and compete uncertainties, valuations have been Despite austerity measures and a drive to for customers around the globe with at very high levels in recent years. deleverage in mature markets, public and more established companies. That means Paying top dollar for assets in an private debt has increased by $63 trillion openings for the makers of disruptive uncertain market means that now, since 2007 to 289% of global GDP, with technologies, as well as the potential to more than ever, we need to focus consumers, companies and governments drive new growth at mature companies on driving operational improvements all more deeply in debt than before. As a through partnerships with competitors quickly, allowing us to make the changes result, companies and individuals should in markets like Brazil, China and India. early and get ahead of the game. expect a higher tax environment and more There will also be rewards for businesses regulatory oversight as governments try that look beyond their immediate to reassert control, not just in fi nancial industries for new ideas, as Google services, but across all industries. has done with its fl eet of self-driving cars. A credit boom in China has added $22 trillion to their debt in the last seven years, and fuelled a real estate bubble. While a property crash could be confi ned to China, companies in Europe and the US should be prepared for weakening demand stemming from the reduction in GDP growth that will ensue.

The winning companies of the future will have >75% to be agile, innovative, externally focused and of value creation in recent exits comes from operational low cost if they want to succeed in more volatile, performance improvement(2) low-growth and competitive markets. Susan Lund Partner, McKinsey Global Institute 08 Apax Partners KnowledgeNow 2015 09

A complex and competitive world continued

Billy Beane, General Manager for the Arbitraging the mispricing of was taking on bigger and wealthier Winning with Oakland Athletics Major League Baseball baseball players baseball teams. Within minutes of meeting team, made the case for trusting research Billy and hearing the new hiring approach over gut feeling in his presentation Until the 1990s, players were primarily at the team, Lewis said: “I know exactly Big Data Moneyball – How Big Data Analytics drafted based on the perception of what you guys are doing in Oakland. Changed Professional Baseball, and baseball scouts possessing decades of You’re arbitraging the mispricing of Everything Else. experience in evaluating major league baseball players.” with Billy Beane General Manager, prospects. They trusted their guts and Oakland Athletics The subject of the blockbuster movie relied on an “eye test”. They favoured The Oakland Athletics data analysis Moneyball starring Brad Pitt and a former athleticism, good looks, and even how showed there was indeed an arbitrage professional baseball player, Billy, threw a player looked in a baseball uniform. play on mispriced baseball skills. Hitting away the rule book when picking players base was the top skill a baseball player for California’s Oakland Athletics major In order to balance the books, the team could have, but it was priced as the eighth league baseball team in order to compete needed a fresh perspective. Billy hired most valuable attribute. “Hitting on base with cash-rich rivals like the New York 24-year-old Harvard Economics graduate had the strongest correlation of winning Yankees and the Boston Red Sox. Paul DePodesta as his Assistant General of any skill a baseball player could have. Manager when most of his rivals were And we could afford it,” Billy explained. Although a highly successful team on the hiring former players and baseball industry fi eld, the Oakland Athletics was losing insiders. The move was unpopular with The result was that the Oakland Athletics $15 million a year by the early 1990s. The fans and created dressing room tension, hired players like Matt Stairs at $5,000 team needed to cut costs and started but refl ected some commentator’s beliefs a month. He didn’t fi t the typical athletic with its policy of hiring all-star players. that there was a more effi cient – even baseball mould, but could score runs. That meant rethinking the way new mathematical – way of constructing a “We had a whole bunch of guys like Matt We made multi-million dollar decisions recruits were drafted into the team, and baseball team. who didn’t pass the eye test, but when throwing away some romantic notions you actually covered your eyes and looked based on our eyes, our guts and our about unearthing raw talent, in order to Shortly after that, Billy was contacted by at the data, they did exactly what you try and fi nd better players for less money. renowned journalist, author and former wanted a baseball player to do. We put all intuition. But the fact of the matter was Billy’s story has lessons for all businesses Wall Street bond trader Michael Lewis, our chips on this one skill. And we won a about using data and concentrating on the for a planned article in the New York lot of games and we did it cheaply,” Billy baseball had 150 years of data that facts to make smarter decisions. Times about how the Oakland Athletics said. Lewis ended up shadowing Billy and the team for a year and in 2003 published nobody was using. a book entitled Moneyball: The Art of Billy Beane General Manager, Oakland Athletics Winning an Unfair Game, upon which the movie was later based. Once the book was published, Billy and his team had to continue to innovate to stay ahead as other baseball teams quickly jumped on the big data bandwagon.

Stick with data and create your metrics The next evolution for the Oakland Athletics was to capture its own data and create its own metrics to analyse performance. “Every time the ball turned, every movement a player made, we captured it. So while teams were using statistics, which were results, we were able to create our own proprietary metrics,” Billy said.

The approach pioneered by the Oakland Athletics since the 1990s has not only revolutionised player selection processes, it has opened the door to new recruits like DePodesta from outside the game. “As a result, the business is better, it’s smarter and it continues to grow,” Billy concluded. Billy Beane during his playing career with the Oakland A’s (1989). 10 Apax Partners KnowledgeNow 2015 11

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James Lyne, Global Head of Security Mobile phones, Internet of Things In the last fi ve years Apax has built a Greening the bottom line Tackling the Research at internet and security software expose more dangers Building leaner, leading sustainability practice to help build group Sophos, an Apax Funds portfolio leaner, greener businesses. We heard The Carbon Trust has helped us on this company, highlighted the risks of hacking The massive proliferation of mobile from the team about its partnership journey by focusing on practical solutions growing cyber and data breach in his presentation The technology also gives criminals the greener with the Carbon Trust and the impact to increase energy effi ciency in our State of Cybersecurity and Your Enterprise. opportunity to listen in on conversations this is having on the bottom line of its portfolio companies and, in the process, threat via microphones on mobile phones businesses portfolio companies. help to reduce their carbon emissions An explosion in sophisticated and even view scenes via webcams. and drive down costs. Typically the cybercrime Moreover, the advent of the Internet Apax was one of the fi rst private equity Carbon Trust estimates that by applying with James Lyne Global Head of of Things to connect web-enabled with Aleyn Smith-Gillespie fi rms to commit to sustainable investing a few standard housekeeping measures In 11 years at Sophos, James has Security Research, Sophos devices in homes and businesses Associate Director, Carbon Trust when it adopted the UNPRI principles and working to increase employee witnessed a near ten-fold increase in exposes more risks. in 2011. Since then we have expanded engagement it can deliver about 15% the number of instances of malicious our team and focus, and integrated reduction in the energy cost base. cyber threats designed to steal data and Shodan lists 570,000 web-connected our efforts into the wider Operational compromise businesses. Today, Sophos CCTV cameras worldwide, many of Excellence Platform. We initially focused As well as the tangible effi ciency savings, sees 350,000 instances of malicious which are not password protected. on the ESG agenda because it was the this increased focus brings less obvious code every day in its labs, and 30,000 “Many of these new devices that we right thing to do, and because it was business rewards: it can help portfolio new infected websites, 80% of which are are surrounding ourselves with have starting to become an area of concern companies win contracts with buyers legitimate sites that have been hacked to fl aws that would have been normal for some of our investors. that build carbon requirements into the distribute malware. for Microsoft and other computers 10, tender process. For consumer brands, 15 years ago,” Lyne said. Having established the practice and it can act as a point of differentiation It’s not just the volume of cyber attacks started monitoring the performance of our and help reinforce brand characteristics. that has advanced in recent years, but also Reducing human error and improving portfolio companies, we quickly became Finally, it is sound management. A lot the complexity and level of sophistication responses key to cybercrime fi ght aware of the commercial opportunities of research has been done on the involved. “I think you would be staggered and, like everything else, we sharpened correlation between good management at their business,” James said. “A few Despite the increased level of sophistication, most cybercrime relies on our focus on results. We saw this as a big and environmental performance. years ago, cybercriminals started creating opportunity because you can win in terms products. Products that would be sold by duping individuals into exposing systems rather than beating evermore robust IT of social responsibility as well as saving a one cybercriminal gang to another. And lot of money in the process. these products made it point-and-click infrastructure and software. Criminals use easy to generate new malicious code fake emails from tax authorities, online and target people.” retailers and even internal messages from HR to trick employees. “The Through their activities, cybercriminals cybercriminals have realised that exploiting have started mimicking the models of things is much, much more diffi cult than respectable IT fi rms by offering a range attacking people,” James said. “They’re of SKUs. Neutrino Exploit, associated masters of social engineering, they’re with breaches at some large enterprises, masters of tracking business results. www.apax.com/responsibility/ even took to the cloud to distribute its They’re incredibly good at convincing hacking software as a service to criminals us to do things that we shouldn’t.” wanting to steal data. Others are exploiting everyday programmes like Microsoft Word Preventing all potential cybersecurity to enter people’s systems and access breaches is neither possible nor cost confi dential information. effective. Instead, Lyne outlined ten operational failures that companies should tighten up on, and recommended being prepared for when breaches happen in order to be able to respond

quickly and effectively. Apax Partners Sustainability Report Edition 3 The cybercriminals have realised that exploiting things is much, much more

diffi cult than attacking people. James Lyne Global Head of Security Research, Sophos 12 Apax Partners KnowledgeNow 2015 13

KnowledgeNow: Playing Offense People at the centre Building a winning culture with a team that is pulling together is obviously a key competitive advantage, but it doesn’t happen by accident. We heard from Autotrader about the role that cultural change has played in driving results. We also discussed the crucial relationship between employees and customer satisfaction and how best to incentivise employees. 14 Apax Partners KnowledgeNow 2015 15

People at the centre continued

Defi ning shared principles and establishing when Apax’s Funds’ investment began. fully towards meeting the needs of core and continuously improve it every Key functions such as technology and Creating a a company culture can be as important Initially partnered with Guardian Media its customers in a dynamic online single day, and we’re going to build a product development have been brought to the bottom line as pursuing the right Group, Apax oversaw the acceleration marketplace. Empowering staff has digital culture that’s values-driven and together and organised in three tribes business model, explained Trevor Mather, of Autotrader’s revenue transition from been a central element. Under Trevor, customer-oriented,” Mather explained. – one to focus on the consumer, one to culture for CEO of Autotrader Group plc, in his print to digital. management and employees defi ned focus on the customer, and one to focus presentation Fielding a Winning Culture their view of the new company culture Putting culture and values into action on the internal organisation. Those tribes The shift involved diffi cult decisions. success at Autotrader Group. and set values they would seek to foster Instilling the company culture and values are divided into squads with responsibility The digital platform was given the and uphold. They took a close look at for designing and making products, and During the fi rst fi ve years of its investment freedom and resources to operate is work in progress, but it has yielded the business to understand its attributes success at a company level already. getting them to market quickly – with the with Trevor Mather Chief Executive, in car sales marketplace Autotrader, without concerns about the impact on and how it should operate. “We said it result that Autotrader takes about 100 funds advised by Apax transitioned the magazine business. Expansion into Autotrader listed at a valuation of £2.35 Autotrader Group plc was how we think about our values, billion in 2015 and has seen its share pieces of software live every month. the long-established brand from the European markets and South Africa was how we think about our customers, The working environment has also magazine world into the digital sphere. reined back to concentrate on the UK and price increase signifi cantly since the IPO. our business and our people,” Mather There have been signifi cant changes in changed beyond recognition, with new The transition to a fully digital enterprise Ireland, where the brand was the market said. That set the direction for Autotrader modern offi ces in London and Manchester has enabled a new era of collaboration leader. Internal resources were changed to people’s roles, day-to-day operations, as a customer-focused company that and company structure. New staff are where employees more around freely among employees, and empowered match the evolving needs of the business. had the agility to react to rapidly changing and meet in “collaboration spaces”. them to take decisions independently. hired with the company values in mind customer demands, and was equally and are given an induction course The result is a company which is now By the end of that process in 2013, agile in its response to competition growing revenues rapidly, has increased Autotrader was a fully-fl edged digital to reinforce those principles. “We from new digital contenders with performance manage against those profi t margins,and dramatically expanded enterprise. The last print run of the different propositions. its enterprise value. magazine was 90,000 copies; the same values. We promote people against those month the website had 14 million visitors. The next stage was to set the company values. We look for leadership people Refocusing the business on “The audience had moved, and revenue values that would defi ne how the staff in the organisation to role-model those digital revenues had moved over. But what hadn’t moved should work towards enacting the culture. values, and we exit people because over was culture, what hadn’t moved The fi ve key values to aspire to were: of those values,” Mather said. Autotrader started life as a magazine in over was the operation,” Mather said. the 1970s to allow people to place ads be curious, be determined, be inspirational, Organisational setups have been be reliable, and be humble. Finally, there to list and sell their cars. While the group Defi ning culture and setting values optimised, and the number of top roles expanded into Europe and South Africa, came the overarching strategy to simplify expanded. While more challenging to and created spin-off titles, it remained Since the transition to a purely digital the business and integrate its various manage, the structure helps speed up essentially a publishing group until 2007 business, Autotrader turned its attention assets. “We are going to focus on our processes when decisions are reached.

Enterprise value at 31.12.15 £4.9bn(3)

IPO in March 2015 Apax Buy out GMG Apax buy-in with GMG

PRINT 60% 40% DIGITAL

APP LAUNCHED Autotrader publishes DIGITAL its fi nal print edition 2007 2010 2013 2014 2015 2016 TRANSITION TO DIGITAL FULLY DIGITAL BUSINESS IPO 16 Apax Partners KnowledgeNow 2015 17

People at the centre continued

By gathering and measuring customer How to improve customer A well-designed pay package that The three elements of private equity Happier satisfaction data better, incentivising satisfaction levels Growing motivates and retains management, and pay packages employees to exceed customer aligns their interests with those of the expectations, achieving higher satisfaction With customers able to research their sponsor, can lay the groundwork for better Most private equity company executive customers, rates, and keeping customers loyal for options more readily online through blogs together through company performance and greater value pay structures comprise three elements: longer, companies can be more profi table, and websites, a multi-channel approach in the long run, Brian Robbins explained. annual fi xed salary, annual cash bonuses better business Lenny Nash said. is essential. A multi-channel operator can intelligent and long-term equity-based compensation secure a higher level of customer service Get incentives right from the start to involving shares in the company. The long- Better customer satisfaction means and even greater likelihood of a repeat maximise company performance term incentives can be based on achieving with David Karandish CEO, Answers higher profi ts purchase. “If you’re delaying investing incentives multiples of invested capital, target IRRs, Motivation, retention and alignment are the Corporation and Lenny Nash Chief in a mobile strategy, don’t delay it or a combination of both. The American Customer Satisfaction anymore. You want as many touch points three key factors to consider when setting Strategy Offi cer, Foresee Index, which measures some 300 as you can to interact with your customer,” with Brian Robbins Partner and management pay and incentives. It’s Encouraging management to invest companies in the US and is based on Lenny said. “And those that do have those Head of the Executive Compensation critical to have these discussions upfront through share options can help incentivise, methodology created by analytics group strategies should focus on improving and Employee Benefi ts practice at when investing in a company, because retain and align top executives with the Foresee, shows that companies with high their search functions to maximise Simpson Thacher & Bartlett it can be very diffi cult to change the private equity fi rm’s aims. “It’s a win-win. customer satisfaction levels outperformed satisfaction,” he added. remuneration structure and goals later on. Management is getting the bang for the the S&P 500 in 14 out of 15 years since It is also important to draw up employment buck from their incentive equity, and they 2000. In fact, $100 invested in the high Companies should strive to create contracts that defi ne senior management are toe-to-toe with the sponsors on their performing companies in the ASCI in 2000 “customer delight” in order to retain roles and lay out the private equity owner’s invested capital,” Brian explained. would have grown to almost $700 in 2015, those customers. In the case of a holiday, expectations. Those agreements can also while the $100 in the S&P 500 would have this could mean simple but thoughtful include non-compete clauses and spell Above all, good pay and incentive increased to just $138. “Clearly it pays to touches like using customer names on out when incentives will be paid in order packages for company executives can satisfy your customer, and the market has arrival, welcome drinks, or organising to retain staff and keep them from leaving increase the size of the pie for everyone, proven that,” Lenny said. dinner reservations. for competitors. while poor packages with unachievable targets can have a counterproductive Moreover, companies that can retain Staff can be incentivised with bonuses “Properly designed incentive effect on value. “You want people to their customers will see the profi ts from to provide better customer service, while compensation programs will positively stretch, but it has to be realistic. If it’s those relationships increase over time companies should not overlook employee affect the behaviour and performance done right, you’ve got high morale, you’ve as the size and number of purchases satisfaction levels – every additional point of the company’s management team,” got increased motivation, productivity, increases. Happy customers also of employee satisfaction can add roughly Brian said. The process of setting loyalty, retention and camaraderie. become less price-sensitive and refer half a point of customer satisfaction. compensation should be viewed People are looking to hit this ball out their preferred companies. as collaborative and about fostering of the park together,” Brian said. alignment, rather than an adversarial fi ght about who gets the rewards.

Mobile

Customer satisfaction It’s a win-win. Management is getting the bang for the buck from their incentive equity, and they are toe-to-toe with the sponsors on their invested capital. Customer Brian Robbins Partner, Simpson Thacher & Bartlett referrals

Increased profi t 18 Apax Partners KnowledgeNow 2015 19

Portfolio Preferred OEP Companies Partners }

Nick Hartman Operating Working together Executive, Apax Partners

= KnowledgeNow: Playing Offense Success Working together to drive results The power of our KnowledgeNow events is bringing together diverse operational talent from across the Apax Network to share best practice. We look at specifi c examples of this work in action and demonstrate how the interaction between the OEP, our portfolio companies and our preferred partners is helping to drive value every day. 20 Apax Partners KnowledgeNow 2015 21

Working together to drive results continued

Even in the midst of an ambitious However, its acquisition strategy has The ideas phase was followed by a Implementing acquisition strategy to fuel growth, a also brought it a range of complementary robust, analytical testing phase. The initial focus on operational excellence can businesses that have different processes small group of six people from OneCall, deliver tens of millions of dollars of and protocols, and excel in different areas Apax’s Operational Excellence team and operational additional operating profi ts, said OneCall – be that procurement or technology. Parthenon expanded to more than 20, Care Management CEO Joe Delaney, with analytical support also coming from excellence in Chief Strategy Offi cer Pat Rowland and While effi ciencies from combining Alvarez & Marsal. The enlarged team Parthenon-EY Partner Terry Bradshaw two teams provided obvious savings, vetted all the hypotheses and matched in their presentation Transforming management started to ask whether or them to real actions that could make a growing OneCall via Operational Excellence. not more could be done. Perhaps smaller savings and change the business for companies that had not gone down the the better. company OneCall Care Management has become M&A path were better when it came to the US’s largest specialist handler of operational excellence. “Maybe they’ve By the end of the discovery phase, worker compensation claims following got better systems, maybe they’ve OneCall and its partners had exceeded with Joe Delaney CEO and no fewer than 17 separate acquisitions. done a better job just driving harder and the initial goals. Pat Rowland Chief Strategy Management, collaborating with Apax’s negotiating harder,” Delaney said. Offi cer, OneCall Care Management Operational Excellence team and outside Implementing changes and and Terry Bradshaw Parthenon-EY consultants, is pursuing a strategy to Designing a future-proof strategy making gains integrate divisions, optimise processes In the quest for greater effi ciency, With a pipeline of plans to integrate and share best practice across the OneCall brought in Apax’s Operational divisions and drive effi ciencies, OneCall company. The cost savings and revenue Excellence team, as well as established a steering committee synergies found so far have beaten Parthenon-EY for an external consultant’s comprised of company executives, expectations to deliver improvements view. In the initial phase of the program, Apax operations experts and Parthenon- Joe Delaney CEO, OneCall Care Management in fi nancial performance. a month of individual and collective EY to drive forward the changes. So far A fast-growing company but a varied brainstorming resulted in a list of the group has generated the expected set of processes hypotheses for actions that could break material increase in EBITDA, with more down the company’s approach and potential still to come. “This has really I think what’s really changed in our As a result of a string of acquisitions, improve effi ciencies. catalysed cross-organisation decision- OneCall Care Management has making ability to resolve issues, and really organisation from this effort is our become the leading handler of worker Those ideas needed to take into account the discussion at that level,” Pat said. compensation claims in the US, helping OneCall’s three guiding priorities. First, no ability to identify opportunities, identify injured employees get the care they need action should in any way dampen growth. She puts the program’s ongoing success – through divisions focused on services Second, it should not harm customer and down to four key factors. First and best practices, and to share those like radiology and physical therapy – while provider satisfaction. And fi nally, foremost is the management commitment helping companies navigate a complex set early wins that could yield returns within to the steering committee and best practices across our business. of rules that can vary from state to state. 12-18 months should be prioritised. sponsorship of work streams, providing the best and brightest in their teams to That wasn’t something that we were work on the plans. Then, the company has made sure that those staff take it in particularly good at beforehand. turns to focus solely on the Operational Andy Behrends Chief Financial Offi cer, OneCallCare Excellence Program. In addition, OneCall tracks progress weekly towards its targets and publishes the results. And fi nally, the Guiding principles for effi ciency program at OneCall input of company outsiders from Apax and Parthenon has offered the fresh perspective that things can and need to be done differently.

Maintain growth as Prioritise customer and Prioritise Deliver at least $30m the #1 priority network satisfaction year 1 returns of recurring EBITDA 22 Apax Partners KnowledgeNow 2015 23

Working together to drive results continued

Improving digital marketing with smarter Cole Haan has also worked on its Fashioning websites and apps, tailored emails and desktop site with Apax preferred partner Detailed analysis of digital sales can Alex outlined the case study of a strong social media programs can Monetate to develop and improve web Understanding help companies understand where large US food services group that digital sales cut out cancellations and boost sales, functions and perform beta testing to to get the most from their marketing traditionally focused on TV advertising. explained Josh Krepon, vice-president assess effectiveness with customers. dollars, explains Cardinal Path partner When a typical report for management for digital at Cole Haan. “It’s low-hanging fruit,” Josh said. the customer’s and co-founder Alex Langshur. showed that digital display marketing expansion “Lots of little wins add up.” had the lowest result on a per-visit Since its carve-out from Nike some three The explosion of digital sales is raising years ago Cole Haan has focused on Social media reaches new customers path to spend, the group cut its digital display with Josh Krepon VP of Digital questions among companies about budget. Through its detailed analysis building its identity. It is positioning itself where they look for new customers between fashion brands and sports and Social media is another signifi cant Cardinal Path was able to demonstrate Commerce, Cole Haan tool which can help recruit brand new purchase and how they connect them to their a 17% drop in transactions over the performance brands, with the aim of brands. Sales analysis does not always becoming a global lifestyle brand with a customers and reconnect with existing next 30 days stemming directly from but lapsed customers. Cole Haan was with Alex Langshur Co-founder fully account for the impact of digital the decision. “The hunger for ROI reputation for elegant innovation. It has advertising, and can lead to misplaced also established a strong digital marketing a launch partner for Pinterest’s buy button and Senior Partner, Cardinal Path sometimes leads us to make bad which went live in the summer of 2015. marketing spend, which in turn can decisions. So cost per action to us is a platform to reach new consumers and damage sales. In contrast, detailed keep in touch with existing customers. Other social media platforms are planning KPI that is dangerous because it doesn’t similar sales tools, which Josh expects attribution modelling can show how fully account for the full attribution of the The result is a 2x increase in sales since to target the right segments of the Apax invested, with digital revenues to be a big story in digital marketing over channel path,” Alex explained. the next two or three years. population and demonstrates that expected to have broken through the budget targeted at so-called “mid- Alex challenged widely-held notions $100 million mark in 2015. However, when it comes to reaching funnel” activities can generate the that digital display advertising is a The right online presence to drive sales customers through social media, one highest rewards. poor way to create sales. According to and reduce cancellations group stands head and shoulders Cardinal Path research, customers are above the rest. “Facebook, Facebook, Analysing the path to the last click heavily infl uenced by display even if With 40% of its online sales coming Facebook,” Josh said. Cole Haan has Traditional analysis of digital transactions they do not click through immediately via mobile, and 60% via tablet and seen a 95% new visit rate based on focuses heavily on the “last click” – the to the company platform – and are mobile, Cole Haan has invested time and audiences built up on the platform. point at which a customer came to a particularly likely to buy when they are resources on apps and tailored templates He also highlighted Facebook M, the digital platform and bought an item. already interested in the brand in the for its customers. Better fi t guides and company’s voice-activated virtual assistant By using a “lookback window”, which mid-funnel. For every last-action sale emails optimised for mobile help to provide which launched earlier in 2015. “They’re can track users and cookies, analysts stemming directly from a display, there more customised marketing, and increase doing things that are just mind-blowing.“ at Cardinal Path are able to decipher are 193 buyers who previously viewed the likelihood of a sale. An email tailored where customers came from and advertising. And similarly a mid-funnel to the customer’s interest can increase which actions helped infl uence their interaction results in a 2,500% higher sales conversion by 500% compared end purchases. Similarly, the analysis conversion rate than a fi rst interaction with a generic email, Josh explained. can also show which actions led to a with the brand. “So I want to start to negative impact on transactions. weigh it in the middle of the funnel, because that’s where it really provides juice,” Alex concluded.

Since the Apax acquisition of Cole Haan...(4) How did we drive this kind of performance? Digital traffi c Conversion rate I wish I had a sexy answer or could tell you it 2x increase 250% increase was one or two things. The reality is that it Mobile conversion rate Cancellation rates was between 12 and 25 things. Lots of little 280% increase 85% reduction wins add up. Josh Krepon VP of Digital Commerce, Cole Haan 24 Apax Partners KnowledgeNow 2015 25

Working together to drive results continued

Being one step ahead of the game is solutions to the team at Answers, With support from Apax’s Operational and oftentimes that’s different from what Answers essential for Answers.com, an Apax as Brian explains: “They opened our eyes Bringing the Excellence team, GENEX is now working is published or is perceived at a corporate Portfolio company investing millions of to the fact that we could go from a Tier 2 through an operational improvement level,” David said. dollars in technology and infrastructure. solution up to a Tier 1 solution, which programme to increase productivity, & EMC: Brian Keithly and Curtis Strite from we had previously thought unaffordable. whole team integrate acquisitions more effectively and The programme considered optimising Answers and Apax’s Jason Glaun talk That changed everything.” increase EBITDA. Strong communication case management time spent on Leveraging about the experience of undergoing a together and support from the top of the company unbillable activities, and improving major operational upgrade together. Instead of an older solid-state model, have put GENEX over half way to its goal, processes. It also looked for better IT the team eventually settled on a state- with more actions still to come. and fi nance functions and optimising scale to drive When it was acquired by funds advised of-the-art cloud/hybrid based on EMC’s with David Edwards IT Consultant, vendor spend. The aim was to zero in on by Apax, Answers was on the cusp of Extreme 10 Platform. Brian explains the GENEX Services Searching for effi ciencies without actions that could scale up as the business performance signing off a major deal to upgrade its benefi ts: “It’s like going from a Model cutting revenues grew with little additional expense. IT infrastructure. On acquisition the team T to the fastest European sports car on was introduced to Jason Glaun and the the market. My SQL servers that would Through its acquisitions and presence in Business line managers agreed to an with Curtis Strite & Brian Keithly, IT practice of the OEP at Apax, who pulled process a query in fi ve minutes have states across the US, different approaches expected range of improvement for Answers and Jason Glaun, on their contacts and the buying power dropped to 20 seconds. Transferring had emerged at GENEX, which had new effi ciency work streams and have essentially become a network of separate Apax Partners of the Apax portfolio to quickly begin gigabytes of data that would take three gradually moved towards the upper devising an alternative solution. They hours has gone down to 45 minutes.” businesses. Following the deal for Intercor targets. One work stream has been to brought contacts at EMC in to pitch in 2010, which boosted the company by automate new case creation within the 40%, management decided to look for case management system. Informing effi ciencies by working more holistically staff of the actions and the ongoing results across the whole enterprise. has helped drive change more quickly, David added. They opened our eyes to the fact that we could go from a While typical models to increase EBITDA Tier 2 solution upp to a Tier 1 solutionn, which we had prp eviouslyy Through a series of acquisitions dating back 37 years combined with strong usually involve cutting expenses, GENEX Another element has been identifying and thhoughht unafffforddabblle. That chhangedd everythhiingg. organic growth, medical case manager needed to be careful not to staunch working with the people who have really the fl ow of revenue its nurses created Brian Keithly Answers Corporation GENEX has developed a foothold in every made changes happen. “I’ve developed US state, as well as Canada. Over that through their billable work and expenses to this Rule of Ten. And that rule is that, in time, the company has become a leader clients. Detailed preparation was needed, just about any organisation or any division, at helping injured workers recover more involving a close look at all operations. there are about ten people upon whom quickly, helping GENEX save costs for “We did take some time to visit offi ces you can call, to make things work well,” its customers. and speak with people on the front lines, David said. to understand what was really going on,

Working together to drive results continued...

Vendor risk is defi ned as the potential for John Elwood explained that, like all John went on to explain how Acelity which are exposed to each vendor, and a seriously, they should start with what is Proactive operational and reputational damage to businesses in medical devices and starts with 260 materials suppliers, and pre-planned set of options if a disruptive most important to them, and tailor their a business, due to events in its supply medicines, vendor risk management uses a risk scoring process to identify the event occurs. vendor risk approach accordingly. chain. Vendor risk is high on the business is especially important to Acelity. smaller group vendors which are most management agenda due to major incidents in the Products are highly regulated and are critical to Acelity’s ongoing operations. Mark Beckey shared key learning Partly as a result of its approach to vendor past few years, including disruption to subject to rigorous validation and testing Factors include whether there are single points from his hands-on experience risk, Acelity boasts an in-stock rate of vendor risk supplies caused by the Tohoku tsunami procedures, by a large number of national or multiple sources for a given item, and of managing the process. Amongst exceeding 99%, and has created targeted in 2011, and more recently, in Europe, the and regional regulators. Many suppliers the fi nancial status of each vendor. his key observations were that sub- points of redundancy in its supply chain contamination of the food supply chain are single-sourced. And it is impossible tier vendors (suppliers of suppliers) to de-risk certain strategic supplies at Acelity with horse meat. It is easy to assume simply to build inventory as product From this process, around 60 vendors are are often the most critical part of the such as circuit boards and tubes. It has that vendor risk is only important for shelf lives are limited (in addition to the selected for formal risk assessment, in supply chain, but are also diffi cult to also implemented robust contractual John Elwood, Vice President, companies that sell a physical product; negative impact this would have on which a deeper look is taken at things like identify and assess, and that throughout terms with its vendors to allocate risk available manufacturing capacity, potential the process it is constructive to share appropriately, and incorporates vendor AWT Manufacturing, Acelity but on the contrary, businesses in the working capital). services, software and online markets competitor and M&A activity, dedicated fi ndings with vendors, to explain why risk as an input into capital allocation Mark Beckey, Director, Global are similarly exposed to disruptions such The failure of any particular vendor tooling, and other considerations. Finally, they have been rated as a high risk, and decisions. Sourcing, Acelity as data centre outages, the failure of data to supply due to production issues, for the “riskiest” handful of vendors, to work with them to address underlying providers, and other vendor risk events. bankruptcy, transportation issues, or a detailed risk mitigation plan is prepared, causes. Finally, Mark noted that whilst other causes, could impact Acelity’s identifying the specifi c parts of Acelity every business should take vendor risk business signifi cantly. 26 Apax Partners KnowledgeNow 2015 27

Attendees

Conference speakers Brett Batchelder Senior Nick Hartman Operating Trevor Mather CEO, Director Private Equity, EMC Executive, Apax Partners Auto Trader Group Billy Beane General Manager, Gary Hughes Operating Keith McDonough Oakland Athletics Adviser, Apax Partners SVP & CFO, rue21 Mark Beckey Director, Nick Iozzo Operating Adviser, Leonard Nash Chief Global Sourcing User Experience, Apax Partners Strategy Offi cer, Foresee Seth Brody Partner, David Karandish CEO, Answers Michael Prince Apax Partners President/COO, Cole Haan Brian Keithly Senior Salvatore Caruso Operating Engineering Manager, Answers Brian Robbins Executive, Information Partners, Simpson Josh Krepon VP, Global Technology, Apax Partners Thacher & Bartlett LLP Digital Commerce, Cole Haan Ellen De Kreij Operating Pat Rowland Chief Strategy Deepak Krishnamurthy Chief Adviser, ESG, Apax Partners and HR Offi cer, OneCallCare Strategy Offi cer, SAP SE Management Joseph Delaney Jessica Kuess Digital President & CEO, Jonathan Simmons Operating Associate, Apax Partners OneCallCare Management Executive, Apax Partners Alex Langshur Co-founder, David Edwards IT Consultant, Aleyn Smith-Gillespie Senior Partner, Cardinal Path GENEX Services Associate Director, Carbon Trust Velina Luhur Portfolio John Elwood Vice President, Curtis Strite Senior Effi ciency Associate, AWT Manufacturing, Acelity Director Infrastructure Apax Partners and Operations, Answers Jason Glaun Operating Susan Lund Partner, Adviser, Information Mitch Truwit McKinsey & Company Technology, Apax Partners Co-CEO, Apax Partners James Lyne Global Head of Will Harman Operating Erik Van der Meijden Security Research, Sophos Specialist, Apax Partners CEO, Exact Group B.V.

Conference attendees Connie Adair Steve Deal Director of Sharon French EVP, John Hossack President Robin Muerer Apax Partners Ray Schnell Vangelis Vergetis Senior CEO, Taylor Winfi eld Sales, AssuredPartners Chief Digital Offi cer, and Co-Founder, Cardinal Path Global Coverage Offi cer, ADP Executive, Hakluyt & Company David Mulligan CIO, Acelity FULLBEAUTY Brands Doug Ahrens CFO, GlobalLogic Matthew Derdeyn Executive Dawn Hu VP, Operational Bryan Smith Chief Information Eduard Visser Cesar Oteiza COO, idealista VP & CFO, Answers Delphia Frisch COO, Excellence, Aptos Offi cer, Cengage Learning CFO, RFS Holland Holding BV Hagay Albo CTO, ZAP Group EVP, GENEX Services Duncan Painter Cliff Dixon VP of Information Michael Janes Global Private Scott Smitherman Mark Vorbach Managing Maurine Alma Brand Director, CEO, Top Right Group Technology, Quality Distribution Kyle Gallary SVP, Equity Practice Leader, ADP Director, Sales, CoreTrust Director, Macquarie Group RFS Holland Holding BV Corporate Strategy & Digital Hemal Patel Catherine Doucet CFO, Adrian Jesinghaus CIO, Azelis Stephanie Sobel President, Chris Watson Helder Almeida Commerce, Cole Haan SVP – IT & Ops, Sophos FULLBEAUTY Brands FULLBEAUTY Brands COO, Specialty Networks, Purchasing and Quality Sandi Kirshner EVP, Matthew Gardner Regional Milind Patwardhan OneCallCare Management General Manager, TIVIT Rich Dredge Executive Chief Marketing Offi cer, Michael Strehler President, AssuredPartners Vice President, Strategic VP & General Manager, Cengage Learning CEO, Takko Fashion Michael Weyrich Partner & Sebastian Baldwin Solutions, GlobalLogic Answers.com Robert (Bob) Geib General Managing Director, AlixPartners CEO, TRADER Corporation Al Koch Managing GS Sundararajan Group Manager, Americas, NET(net) Alex Pellegrini Apax Partners Lynn Durant Managing Director, AlixPartners Director, Shriram Capital Limited Rob Wiley VP, Business David E. Ball SVP – Operations, Director, Taylor Winfi eld Marcelo Gigliani Michelle Peterson Development, Branding Brand Quality & Regulatory, Acelity Chet Kolley SVP & GM, Paul Tarvin Apax Partners VP, Corporate Procurement, Dave Eckley CEO, TradeGlobal Medical Technology & CEO, FULLBEAUTY Brands Jason Wright Apax Partners Steven Barnhart Senior Facilities and Business Noel Goggin CEO, Aptos Healthcare, GlobalLogic VP and CFO, Bankrate Chip Edgington Executive Excellence, Acelity Shivani Tejuja Michael Wright Partner, Vice President Operations, Mark Habner Senior MD, Onno Krap Operating Adviser, PricewaterhouseCoopers Olivier Benloulou CEO Scott Pinfi eld Managing FULLBEAUTY Brands SSA & Company CFO, Exact Group B.V. Digital Retail, Apax Partners & President, Ideal Protein Director, Alvarez & Marsal Fernando Encinar Tom Hall Apax Partners Jos Lamers CEO, Unilabs Brendan Tobin Associate Tim Callahan COO, Rajesh Radhakrishnan CMO, idealista Director, Macquarie Group Ideal Protein Sean Harley Group IT Director, Robert Lowe CRO, GlobalLogic Jesús Encinar CEO, idealista Top Right Group Vice President IT, Cole Haan Joe Troy Varun Chandra Partner, Victor (Vic) Rainsford CFO, Quality Distribution Hakluyt & Company Gary Enzor Chairman Dan Hatola Chief Marketing Peter Madeja President/CEO, EVP, CFO, GENEX Services & CEO, Quality Distribution Offi cer, FULLBEAUTY Brands GENEX Services Edwin Ulak VP, Marketplace, James Christl CFO, Cole Haan Nathan Richter Global Director TRADER Corporation Ken Esterow President Jim Henderson Chairman Todd Markson SVP, Strategy Client Solutions, Monetate Dave Cook Executive and CEO, Bankrate & CEO, Assure Partners and Operations, Sales & Gert Van de Weerdhof Chairman, TradeGlobal Tom Riley President & COO, Marketing, Cengage Learning CEO, RFS Holland Holding BV Dave Evans Apax Partners Tamas Hevizi Global MD, AssuredPartners Martyn Curragh Head Private Equity, SAP Chris Mason CEO & Alexander Van Slooten of US Deals Practice, Robert Eyers VP of Regenia Sanders Co-Founder, Branding Brand Marketing Technology Director, PricewaterhouseCoopers Client Services, NET (net) William Hilliard Regional VP – Supply Chain & Business RFS Holland Holding BV Vice President, Monetate Jeannine McSweeney Technology, SSA & Company Ellen de Kreij Operating Jeff Feinberg Managing Associate, Simpson Adviser, ESG, Apax Partners Director, Alvarez & Marsal Charles Honnywill Partner, EY Thacher & Bartlett LLP 28 Apax Partners KnowledgeNow 2015 29

The OEP team is comprised The group operates with Specialised of operating professionals a global remit, travelling who bring diverse frequently to engage directly team experiences and backgrounds on projects and initiatives The structure and capabilities in-house team with a powerful to our vertical practice areas alongside portfolio executives Distinct of the OEP have evolved to network of fi t-for-purpose from some of the world’s and investment professionals. meet the needs of deal teams “preferred partners”. These leading organisations. approach and portfolio company efforts are augmented with executives over time. There a coordinated process for are currently seven vertical best practice sharing and practice areas, which have cross portfolio networking, DISTINCT SPECIALISED been developed based on the called “KnowledgeNow”, evolving nature of the growth and innovative tools and APPROACH TEAM opportunities and challenges technologies developed we face in our investments. to accelerate growth The OEP combines the across the portfolio using experiences of its distinctive big data analytics.

The power of the Apax operating knowledge and Portfolio network is formidable. commercial experience Companies in our portfolio on hand. scale employ more than 150,000 The OEP team has visibility to PROPRIETARY PORTFOLIO people around the globe who The OEP is comprised largely their relationships. The OEP this knowledge base through Proprietary conduct business in nearly of former executives. The practice leaders view it as an its global engagements. team’s work in due diligence extension of their mission to TOOLS & SCALE every conceivable market. tools & and across the global portfolio not only support deal teams There is a vast wealth of technology puts them in contact with and executives during a TECHNOLOGY operators on a daily basis. particular project, but to Those executives are engaged empower them with in the constant effort to bring connections, tools and products to market, leverage technologies that can be their data to make decisions, used to drive performance and maximise the value of on a daily basis.

Connect@ApaxConnect@Apax

Connect@ Activating our collective knowledge Joining the Connect@Apax community gives you access to an exclusive group of like-minded 40+ portfolio companies executives and preferred partners who are Operating with global reach facing the same dynamic challenges and opportunities in their drive for growth. Employing hundreds of thousands Part of 1 Apax community Visit connect.apax.com to register today. 30 Apax Partners KnowledgeNow 2015 31

Operational Excellence practice Operational Excellence practice continued

Seth Brody Seth Brody is a Partner and Global Head of the OEP. Apax Funds’ portfolio companies including Trader Gary Hughes Gary Hughes joined The Operational Excellence Team Farnell plc, Majid al Futtaim LLP, SECC Limited and Partner and Global He has been with Apax since 2008 based in New Canada Corporation, Cole Haan, rue21, and Bankrate Operating Adviser at Apax as an Adviser in October 2012 following an the Scottish Football Association. He is also an Apax York. His prior industry operating experience includes He serves for Apax on the Boards of Directors for extensive career in both the public and private equity representative on the boards of Smart Technologies Inc Head of Operational roles as Executive Vice President and General Answers Corporation, Bankrate, Inc. (NYSE:RATE), markets. He is an experienced international operator and General Healthcare Group Limited. His career has Excellence Manager at Razorgator Interactive Group, as Group Aptos, and FULLBEAUTY Brands. He also serves and at Apax works with our deal teams on operational taken him from investment banking to various roles Vice President and General Manager at Orbitz as a director and adviser to numerous growth pre-acquisition due diligence; with our portfolio across the FMCG, international hotel, media and gaming Worldwide, Director of Marketing at priceline.com, companies in the digital space. Seth received his companies on business effi ciency, change and sectors. At Apax he has thus far supported King.com transformation, 100 day planning; and, provides interim where he was interim CFO, Smart Technologies, and Product Manager at Netmarket Group, Inc. Seth BA from Yale University and his MBA from management support where needed. He is currently a General Healthcare Group, Sisal, Global Logic, One Call has served in numerous advisory roles across the Harvard Business School. non-executive director of Booker Group plc, Premier Care Management, Rhiag and Trader Corporation.

Nick Hartman Nick Hartman is an Operating Executive in the including SouFun, Trader Canada Corporation, and Jason Glaun Jason Glaun is an Operating Adviser in the his specialty areas revolve around supply chain, Operating Executive Operational Excellence group and joined Apax ALM. He also leads the procurement vertical for the Operating Adviser, Operational Excellence team having previously held business operations and technology. At Apax, Partners in 2009. Prior to joining Apax, Nick held Operational Excellence team. Nick serves on the the role of Interim Global Technology Director at Apax Jason has worked extensively with Top Right Group, senior management positions at Orbitz Worldwide Board of Directors for AutoTrader Group UK. Information Technology Partners. Prior to joining Apax as an adviser in 2009, General Healthcare Group, Cole Haan, OneCallCare and Accenture, which included profi t/loss Jason founded a management consulting business Management and Sophos. Nick holds a BSc from the Kelley School of Business responsibilities, international expansion, and in the Channel Islands. He has operated in the retail, at Indiana University and an MBA from the Kellogg Jason holds a postgraduate Diploma in Commerce consulting for Fortune 500 retail and high technology digital, technology, alternative investment, fi nance, School of Management at Northwestern University. & Industry and an MBA in Technology Management clients. Nick has been involved in developing legal and consulting industries. Holding previous from the Open University. numerous investments in the Apax portfolio operating positions at the board and executive level,

Jonathan Simmons Jon Simmons is an Operating Specialist on the online lead aggregator in the travel industry, Shivani Tejuja Shivani Tejuja joined Apax Partners in 2014 as an Voyages-SNCF – Expedia’s joint venture with the Operating Executive, Operational Excellence team. He joined Apax and also held various positions at priceline.com. Operating Adviser, adviser in the Operational Excellence team. Prior to French national train operator. Since joining the Apax Partners in 2012 and is based in New York. Prior Since joining Apax, Jon has been instrumental joining Apax, she was Multichannel Director of New team, Shivani has supported digital growth initiatives Digital Media and to joining Apax, Jon was the Founder and Principal in driving performance in numerous investments Digital Retail Look, strategising this dynamic fast-fashion brand’s at rue21, Takko, Karl Lagerfeld and Rhiag. e-commerce at Clearsearch Media, where he led digital strategy including Cole Haan, rue21, and New Look. customer experience and growing their digital Shivani holds a BA in Economics from the for a diverse portfolio of clients ranging from early business over 50% year-on-year. She has held Jon holds a BA in Economics and German from University of Pennsylvania and an MBA from stage ventures to global companies. Prior to senior management roles and directorships at a host Middlebury College. London Business School. founding Clearsearch in 2006, Jon was the Director of major brands in the US and Europe, including of Marketing Operations at Walkaway Media, an Microsoft, Starbucks, Amazon, Expedia and

Salvatore Caruso Salvatore Caruso is an IT Operating Executive in Oracle Corporation, and PeopleSoft, Inc. focusing Nick Iozzo Nick Iozzo has nearly 20 years’ experience in user and established companies. Currently, he works Operating Executive, the Operational Excellence group. He joined Apax on IT Operations, IT Infrastructure, Strategic Operating Adviser, experience and product management of internet exclusively with Apax Partners and provides Partners in 2015 and is currently based in New York. Sourcing, IT Strategy, M&A Integration, and based software. His specialty is in managing the assistance to their portfolio companies looking for Information Technology IT Governance. User Experience design and roll-out of disruptive technologies. help in managing disruptive technologies, improving Prior to joining Apax Partners, Salvatore led During most of his career, he established and led the usability of their products, or helping them bring Go -To -Market IT at Salesforce.com where he Salvatore holds MBAs from The Haas School the user experience practice for three different design thinking to their product management focused on implementing cloud computing of Business and Columbia Business School, consulting companies, working for companies like process. Outside Apax, he is currently writing applications. He also worked in a number of IT and a BA in Economics from Yale University. Hallmark, Victoria’s Secret, Travelocity, Fisher a book and building requirements software to executive roles as VP of IT at Symantec Corporation, Scientifi c, GSK, Orbitz and about 40 other start-ups complement his work with Apax.

Will Harman Will Harman is an Operating Specialist in the Will was previously a supply chain consultant at Ellen de Kreij Ellen de Kreij is an Operating Adviser based teams at Merrill Lynch and Broadview International, Operating Specialist, Operational Excellence team. He joined Apax PwC and has led major procurement programs Operating Adviser, in London, with a particular focus on the where she specialised in advising transactions in Partners in 2014 and is currently based in London. at Jaguar Land Rover. implementation of the Apax sustainability the technology sector. She also worked for Shell in Procurement, EMEA Prior to joining Apax Partners, Will worked for Environmental, Social programme. Ellen joined Apax Partners in 2002 as the Netherlands for three years prior to completing Will holds a Master’s degree by Research from PA Consulting Group where he led procurement and Governance Director of Deal Generation and became a Director an MBA. Warwick Business School, an MA in International restructuring, cost reduction and supply chain risk in the Investor Relations team in early 2010. She Relations from Bristol University, and a BSc in Initiatives Ellen holds an MA in Dutch Civil Law from the management programs for clients including joined the Operational Excellence team in 2014. Economics and Politics from Bath University. University of Leiden and an MBA from Harvard BP, BAE Systems and Aston Martin. Prior to joining Apax Partners, Ellen worked as an Business School. investment banker in the mergers and acquisitions

Jessica Kuess Jessica Kuess is a Digital Associate in the Operational and Analyst at Citigroup in the Global Industrial Group David Burgess David Burgess joined the Apax Operational Excellence Verizon Wireless, delivering transformational change, Digital Associate Excellence group. She joined Apax Partners in 2014 in New York. Jessica holds a BBA from the Stephen Operating Adviser, Practice in 2015 as a Technical Adviser in Search triple digit growth and multi-million dollar revenues and is currently based in New York. Prior to joining M. Ross School of Business at the University Technologies. Prior to joining Apax, he acted as from the Organic Search channel. Prior to moving to Apax Partners, Jessica was a member of the of Michigan. Search Technologies President of Ayima, a specialist Search Engine the US in 2012, he worked he acted as lead Consultant Strategic Development team in Ralph Lauren’s Optimization (SEO) agency. David grew the offi ce from for FTSE 100 clients in the most competitive search Global Digital and e-commerce Group. She also inception, building an industry-leading team of SEO verticals including O2 and Marks & Spencer. He is an worked as an Investment Banking Associate experts and winning Fortune 100 clients including expert in e-commerce platform optimization including Verizon, Sports Illustrated & MGM Resorts. A technical Oracle Commerce & Demandware. David holds a BSc SEO expert, David spearheaded the SEO Program at in Human Sciences from University College London.

Velina Luhur Velina Luhur is a Portfolio Effi ciency Associate in She also worked as a Procurement Strategy manager Daisy Loaiza Daisy Loaiza is the Operational Excellence and at Wolfensohn Fund Management in New York. Portfolio Effi ciency the Operational Excellence team. She joined Apax at ANN INC. and as a procurement consultant at GEP. Operational Excellence Coordinator, supporting the team on a global Daisy is responsible for the day-to-day management Partners in 2015 and is currently based in New York. basis. She joined Apax Partners in 2011 and is of the Connect@Apax Platform and the support of Velina holds a BSFS in International Political Economy Associate Coordinator based in the New York offi ce. Prior to joining our KnowledgeNow events. Daisy holds a BA from Prior to joining Apax Partners, Velina was a member from the Edmund A. Walsh School of Foreign Service Apax Partners, Daisy worked as an Executive Fordham University. of the Central Procurement and Profi t Improvement at Georgetown University. Assistant at the New York Women’s Foundation team at J.Crew, where she led cross-functional cost reduction and process improvement initiatives. 32 Apax Partners KnowledgeNow 2015

(1) Apax OEP Analysis. (2) Apax Analysis. (3) Based on closing share price for AUTO.L on 31 December 2015. (4) Apax OEP and Cole Haan Company Analysis Comparing FY12 metrics to FY15. Designed and produced by Friend. www.friendstudio.com This report has been printed on iprint comprising of paper from well managed forests and other controlled sources certifi ed by the FSC® and produced at mills with EMAS & ISO 14001 environmental management systems. Printed digitally by Pureprint Group without the use of fi lm separations, plates and associated processing chemicals. 99% of all dry waste associated with this production has been recycled. Pureprint Group is certifi cated to ISO 14001 environmental management system, is registered to EMAS the Eco Management Audit Scheme, is a CarbonNeutral® Company and has been awarded The Queen’s Award for Enterprise: Sustainable Development. www.apax.com