Corporate Executive Board - Definition and Overview

The Corporate Executive Board is a Washington, DC-based company that provides best practices research, executive education and decision support tools to its member companies.

CEB has 28 specialized programs, each geared toward a specific type of executive[1] (http://www.washingtonpost.com/wp-dyn/articles/A60425-2004Jul18.html). The Corporate Strategy Board, for instance, serves senior strategists[2] (http://www.executiveboard.com/EXBD/1,2735,0-0-Public_Display-1862-46,00.html). CEB's members, which include over 70% of the Fortune 500, pay a flat amount every year in exchange for access to CEB's reports and the ability to request research on new topics and attend a yearly meeting with their counterparts at other companies[3] (http://www.washingtonpost.com/wp-dyn/articles/A60425-2004Jul18.html).

History

The company was founded in 1979 as the Research Council of Washington[4] (http://www.executiveboard.com/EXBD/1,2735,0-0-Public_Display-1782-11,00.html#). According to CEB orientation videos, its original headquarters was adjacent to a crematorium and employees would sometimes arrive in the morning to find their office sprinkled with ash. Most of the staff, including CEB Chief Research Officer Derek Van Bever, were in their early 20s.

In 1997, Corporate Executive Board was spun off from the Advisory Board Company[5] (http://www.washingtonpost.com/wp-dyn/articles/A60425-2004Jul18.html). The new corporation had 1,300 member companies and 400 staff members[6] (http://www.executiveboard.com/EXBD/1,2735,0-0-Public_Display-1782-11,00.html).

In 2004, the firm's membership reached 2,100. That year, CEB employed more than 1,200 staff members spread out across four Washington, DC offices and a London office[7] (http://finance.yahoo.com/q/pr?s=exbd). On October 26, 2004, the Washington Business Journal reported that CEB had signed a 20-year lease for a new building in Rosslyn, VA. CEB leaders announced plans to wrap up construction by early 2008[8] (http://www.bizjournals.com/washington/stories/2004/10/25/daily12.html).

By year end 2004, Corporate Executive Board was continuing to grow rapidly. An October 2004 press release indicated a 34.7% third quarter revenue increase over the previous year[9] (http://www.corporate-ir.net/ireye/ir_site.zhtml?ticker=EXBD&script=410&layout=7&item_id=635345).

Research

CEB interviews its members on-site and by telephone in order to gather information needed to answer individual inquiries. For instance, in response to a question one of its members asked about wellness education programs initiated by human resources departments, CEB polled its members, analyzed the data, and found that the most effective frequency for promoting dieting was eight times a year. A report was compiled and the information archived in CEB's library, in case another company requested similar information. Thus, CEB's ability to leverage its accumulated knowledge depends on maintaining a wide membership. According to CEB's website, more than 90% of its members participate in interviews, "generally reporting that they learn as much as they contribute through their interactions with our research staff"[10] (http://www.executiveboard.com/EXBD/1,2735,0-0-Public_Display-2001-30,00.html).

Culture

The company's rather generic name underscores the fact that while its members include some of the most famous corporations in the world, CEB itself is obscure. However, it is very well-known among certain types of powerful business leaders - for instance, senior strategists for the Fortune 500.

CEB has an unusually large number of youthful employees, many of them college interns, providing direct assistance to senior executives of its member companies. CEB recruits over a wide area, visiting campuses and flying in recent graduates from around the United States. According to CEB executive Derek Van Bever, candidates are frequently selected who, although new to their fields, are believed to have useful personal qualities such as empathy.

References

• Corporate Executive Board (http://www.executiveboard.com/EXBD/)
• The Corporate Executive Board Reports Third Quarter Revenue Growth of 34.7% and Pro Forma EPS of $0.38 (http://www.corporate-ir.net/ireye/ir_site.zhtml?ticker=EXBD&script=410&layout=7&item_id=635345), CEB press release, Oct. 25, 2004.
• Frequently Asked Questions (http://www.executiveboard.com/EXBD/1,2735,0-0-Public_Display-2001-30,00.html), How We Create Value, Corporate Executive Board.
• Corporate Executive Board Profile (http://finance.yahoo.com/q/pr?s=exbd), Yahoo Finance.
• Filling a 'Huge Hole' in Business Consulting (http://www.washingtonpost.com/wp-dyn/articles/A60425-2004Jul18.html), The Washington Post, July 19, 2004.
• Corporate Executive Board signs up for Rosslyn's Waterview (http://www.bizjournals.com/washington/stories/2004/10/25/daily12.html), Jeff Clabaugh, Washington Business Journal, Oct. 26, 2004.