Team f influential investor (day 5)Presentation Transcript
Total Interviews: 42 (Team F) Academic Competition Tools and Advanced Candidate Screening Investment Management Firms Pre-Class Day 1 Day 2 Day 3 Day 4 Survey: Interviews: Interviews: Interviews: Interviews: 16 Recruiters 6 Recruiters 9 Recruiters 7 Recruiters 5 Recruiters 9 Candidates 6 Candidates 9 Candidates Jigar Patel Andrew Weisgall Atin Garg Yezhuo Li Zak Schwarzman
Day 1 -Ability to proactively distinguish themselves Front-office candidates-Training from the competition -Co-creation (candidatescourses(TrainingTheStre that are seeking jobs in -Platform (candidate -Showcase their portfolio create content on site)ets) Financial Services engagement on the site) and track performance -Automated self-service-Industry trade groups -Matchmaking (data -Automated job matching -Community/Network(i.e. CFA) mining/parsing, NLP) (saves time by not having -Financial Institutions-Executive search firms -Candidate Ranking to search/apply for jobs) -Executive search firms -Dedicated personal(provide fit/personality (portfolio performance) (headhunters) -Better evaluation of assistance (initially)assessment, -Self-service (in long run) candidates (based on Hedge Fund,complements our meritocracy vs. brand)technical assessment) Mutual Fund, -Deeper insight into Sell-side Research,-LinkedIn (extract user candidates investment Investment Banking,profile data) search/thought process -Student clubs and Financial Advisory Firms,-Virtual trading -Cost-efficient solution -Intellectual (matching (headhunters charge 50k+ university career centers Pension/Insuranceplatforms (i.e. Covestor, algorithm) per hire) -Online communities Funds,Estimize) Family Offices,-eFinancialCareers and -Human (sales force, -Save time through -Educational sites/blogs developers, engineers) automated matching Endowment Funds,other job board sites Private Equity, -Quality of candidates (employers only need to -Sales force -Quantity of jobs available post a job description) -Industry Conferences Venture Capital Fixed: -Website hosting & maintenance -Salaries (developer) -Freemium (job analytics; -Tiered subscription fee (recurring) Variable: stats on other candidates) -Commission Fee (per successful hire) -Sales force commission
Takeaways (Day 1)• CS: Narrowed focus of financial firms• CS: Added Educational Institution as a new customer• RS: Can’t charge students/candidates to use the system• RS: Subscription model for large firms and headhunters• RS: Commission fee for small firms w/ ad hoc hiring• RS: Firms would pay for a product that made screening/filtering candidates faster and more accurate• VP: ~100% of fundamental hedge funds use stock pitches to evaluate candidates• VP: Thought process behind a stock pitch > Performance• New Tests: Stock pitch competitions / application platform
Day 2 -proactively distinguish themselves from the -Co-creation (candidates competition create content on site) Front-office candidates -Showcase their portfolio -Automated self-service that are seeking jobs in and track performance -Community/Network Financial Services -Platform (candidate -Automated job matching engagement on the site) (saves time) -Dedicated personal-Training courses -Matchmaking -Greater access assistance (initially) -Financial Institutions-Industry trade groups -Candidate Ranking -Executive search firms -Better evaluation -Self-service (in long run)-Executive search firms (headhunters) -Deeper insight earlier in Hedge Fund,-LinkedIn -Cross promotions the interview process Mutual Fund,-Virtual trading -Cost-efficient Sell-side Research,platforms (i.e. Covestor, -Save time Investment Banking,Estimize) -Surfaces non- Financial Advisory Firms,-eFinancialCareers and -Student clubs and traditional hires Pension/Insurance Funds,other job board sites -Eliminates unqualified university career centers Family Offices,-Yahoo! Finance -Intellectual -Online communities candidates Endowment Funds, -sales force -Educational sites/blogs Private Equity, -engineers -Virtual Competitions Venture Capital -candidates -available jobs -Sales force -Customer referrals -Industry Conferences Educational Institutions -Relationships -Direct targeting Fixed: Affiliate Marketing -Website hosting & maintenance -Salaries (developer) -Freemium (job analytics; -Tiered subscription fee (recurring) Variable: stats on other candidates) -Commission Fee (per successful hire) -Sales force commission
Takeaways (Day 2)• Hypothesis: – Firms would recruit investment professionals using an online platform – They would find automatic matching and ranking valuable• Experiments: – Interviewed (and surveyed) portfolio managers, analysts, and head of recruiting at investment firms as well as Executive Search Firms• Results: – Only active job seekers will contribute content; better candidates already employed – Insight into investment approach more valuable than portfolio performance – Firms skeptical in the matchmaking ability; but consider manual search a pain point – Most firms only target top schools/firms; some find it sufficient, others feel that candidates are not well prepared or arrogant – Online tool not useful for hiring experienced candidates (mostly relationship driven)• Iterate: – Is a virtual pitch competition platform more valuable? • Will it produce better candidates? • Will it provide more granular evaluation criteria (qualitative data on candidate’s thought process and ability to pitch a stock)? – Is a video pitch more valuable than written pitch?
Day 3 -Mgmt / organization -Personal assistance -Online platform for competitions -Co-creation (candidates-Training courses -Matchmaking -Help promote students create content on site) Universities / student-Industry trade groups -Candidate Ranking -Management of -Automated self-service organizations-Executive search firms -Competition mgmt investment ideas -Community/Network-LinkedIn -Granular evaluation of -Standout from crowd / -Platform-Yahoo! Finance content matching -Personal assistance -Candidate filtering -Saves time Students / Candidates-Universities / studentorganizations -Crowd-sourced -Cross promotions-Video service investment ideas -Access to qualified Investment firms candidates Executive Search Firms -Intellectual (algo) -Deeper insight -Sales force -Sales force & -Mgmt of investment -Web or email engineers pitch competition -Participants -Automated filtering -Web or email Educational -Job listings -Sales force Institutions -Customer referrals -Industry conferences -Relationships -Direct targeting -Site participants -Competitions Fixed: -Website hosting & maintenance -Salaries (developer) -Video service Subscription / license Freemium Variable: Subscription / license -Sales & marketing Affiliate marketing Commission
Takeaways (Day 3)• Hypothesis: – There is demand for an online competition management system among b-schools – Investment firms want pitch data on student pitches for recruiting and investment decisions – Investment firms want short videos of student pitches for recruiting• Experiments: – Interviewed portfolio managers, analysts, and head of recruiting at investment firms – Interviewed student club presidents at top 10 business schools• Results: – There is clear demand for an online competition management system from students – Investment firms find student pitches and videos useful for recruiting – Firms skeptical about the value of crowd sourced pitch data• Iterate: – Reach out to school administrators and student club presidents – Reach out to non-investment focused clubs/organizations
Day 4 -Mgmt / organization -Personal assistance for competitions -Online platform -Help promote students -Co-creation (candidates Universities / student-Industry trade groups -Competition mgmt create content on site) organizations-LinkedIn -Granular evaluation of -Management of -Automated self-service-Yahoo! Finance content investment ideas -Platform-Universities / student -Candidate filtering -Standout from crowd /organizations matching Students / Candidates -Personal assistance-Video service -Integrate recruitment-Investment firms and pitches competition -Pitch archive Investment firms Executive Search Firms -Crowd-sourced -Sales force -Intellectual: algo & data investment ideas -Web -Sales force & engineers -Access to qualified -Participants candidates -Web -Relationships -Deeper insight -Competitions -Mgmt of investment -Sales force -Judges pitch competitions -Site participants Fixed: -Website hosting & maintenance -Salaries (developer) -Video service Subscription / license Freemium Variable: -Sales & marketing Subscription / license
Takeaways (Day 4)• Hypothesis: – The competition platform can be applied to other verticals, not just finance – Organizers want better competition management system• Experiments: – Talk to recruiters at various firms – Talk to student club presidents and competition organizers to see if they’d use it• Results: – No student clubs use online competition systems – most people use email – Club presidents would love to have a management tool – Participants might be concerned about using their data for recruiting – Video pitches might be useful but not necessary• Iterate: – Keep on truckin’ – Stay hungry, stay foolish!
Day 5 -Mgmt / organization -Personal assistance for competitions -Online platform -Help promote students -Co-creation (candidates Universities / student-Industry trade groups -Competition mgmt create content on site) organizations-LinkedIn -Granular evaluation of -Management of -Automated self-service-Yahoo! Finance content investment ideas -Platform-Universities / student -Candidate filtering competition contentorganizations -Standout from crowd Students / Candidates -Personal assistance-Video service -Integrate recruitment-Investment firms and pitch competition -Pitch Content archive Investment Financial firms -Target relevant -Sales force -Intellectual: algo & data Executive Search Firms candidates -Web -Sales force & engineers Consulting Firms -Access to qualified -Participants Law Firms candidates -Web -Relationships -Deeper insight -Competitions -Mgmt of investment -Sales force -Judges pitch competitions -Site participants Fixed: -Website hosting & maintenance -Web Development -Salaries (developer) Subscription / license Freemium -Video service Variable: Subscription / license -Sales & marketing
Students Ecosystem CompetitionUniversities Platform Student Clubs Candidate Data Employers
Channels Students (Freemium) Student Clubs ( up to $1000 Social / year)Commerce Dedicated Universities (up to $25K /E-Commerce year)Direct Sales Consulting Firms ($50K / Year or $10K / hire) Financial Firms ($50K / Year or $10K / hire)
Competitive Landscape Competition Company Description Hiring? Finance Focus? White Label? Mgmt? Academic competition management and recruitmentInfluential Investor platform. ✔ ✔ ✔ ✔Wizehive Competition software for branded web contests. ✔ ✗ ✗ ✔Skild Software service to run awards, prizes and contest promotions. ✔ ✗ ✗ ✔ ChallengePost allows organizations to challenge theChallengePost public to solve big problems through competitions. ✔ ✗ ✗ ✗Monster Leading job posting site ✗ ✔ − ✔LinkedIn Professional social network ✗ ✔ − ✗eFinancialCareers Job posting site targeting finance industry. ✗ ✔ ✔ ✔Skipso Solutions Versatile contest management tool. ✔ ✗ − ✗ Database of professionally-submitted investment ideasSumZero with a recruitment platform on top. ✗ ✔ ✔ ✗OneWire Finance-focused recruitment platform. ✗ ✔ ✗ ✔Bloomberg Finance news and job board. ✗ ✔ ✔ ✗ValueInvestorsClub A investment idea community. ✗ ✔ ✔ ✔
Archetype John JaneIndustry MBA student FinanceTitle Investment Management Club President Hedge Fund Portfolio ManagerAge 29 38Sex Male FemaleIncome $0 $1,400,000Motivation -Wants a job at a hedge fund after -Wants a new investment analyst graduation -Is tired of interviewing students that look -Is extremely busy and wants software to good on paper but don’t have great run a pitch competition for his club investment ideas -is willing to sponsor a competition to find the best candidates
Market Size Total Available Market$15 billion • # of entry level finance hires in U.S. per year * cost per hire$6 billion Served Available Market • MBAs as % of entry level finance * TAM$1 billion Target Market • Assumption: Top 100 Business Schools