{ "docId": "019dd923-622b-71dc-a6d9-aa56741b6a55", "docSlug": "fade76df1897", "documentTitle": "DSP Group, Inc. (DSPG)", "authorId": "03_Starboard_Value", "authorName": "Starboard Value", "documentKindSlug": "activist-deck", "documentKindLabel": "Activist deck", "sourceTypeSlug": "activist_investor", "sourceTypeLabel": "Activist investor", "presentationDate": "2013-05-13 00:00:00", "orientation": "portrait", "aspectRatio": 0.77272725, "pageNumber": 44, "pageCount": 50, "prevPage": 43, "nextPage": 45, "slideType": "nominee_bio", "function": "introduce_nominees", "density": "overcrowded", "nDataPoints": 6, "notes": "The slide uses a case study format to validate the nominee's credentials.", "elementsJson": [ "headline_text", "bullet_list", "paragraph" ], "metadataConfidence": 1, "imagePath": null, "slideHref": "/slides/019dd923-622b-71dc-a6d9-aa56741b6a55/44", "deckHref": "/decks/019dd923-622b-71dc-a6d9-aa56741b6a55", "deckJsonHref": "/decks/019dd923-622b-71dc-a6d9-aa56741b6a55.json", "deckAnchorHref": "/decks/019dd923-622b-71dc-a6d9-aa56741b6a55#slide-44", "components": [ { "bbox": null, "kind": "callout", "text": "Product sales revenues increased by 97%, maintenance contract renewal rates increased to 92% and the business was sold to Concord Communications in 2005 for an 8.5x return to investors.", "attrs": null, "subkind": null, "toolName": "Visual emphasis", "toolSlug": "visual-emphasis", "confidence": null, "componentId": "019dd953-78b7-702e-9631-cc3501d5b914", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.12, "w": 0.85, "x": 0.08, "y": 0.41 }, "kind": "list", "text": "Instituted a multi-step turn-around program to transform the company culture and change the marketplace perception. Restructured sales functions world-wide focusing on geographies with the strongest market and competitive positions for the Aprisma products. Focused R&D, PM and Marketing functions to increase product velocity and emphasize competitive advantage.", "attrs": null, "subkind": "bullet", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "5b23c0eb-cd9a-4865-88b7-4db32b2536c4", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.08, "w": 0.85, "x": 0.08, "y": 0.71 }, "kind": "list", "text": "Replaced the CEO and head of sales. Restructured sales coverage and go-to market model. Transitioned product focus from firewall to SIEM to optimize technical advantages inherent in the products. Guided business through acquisitions of two portfolio and customer base enhancing companies.", "attrs": null, "subkind": "bullet", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "9ae2a6ca-098d-4cd1-826d-053ed6066eea", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.05, "w": 0.85, "x": 0.08, "y": 0.81 }, "kind": "paragraph", "text": "Result: Revenues increased by over 150%, the products were recognized as the market leader in the SIEM category and the business was acquired by McAfee, Inc. for a 5.25x return to the initial investor group.", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "27b1d041-8d1e-461a-ae7e-9537b8ca098f", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.03, "w": 0.3, "x": 0.08, "y": 0.22 }, "kind": "paragraph", "text": "Aprisma Management Technologies, Inc.", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "70cc7a33-57d9-46a9-820a-c6f36d52521c", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.05, "w": 0.85, "x": 0.08, "y": 0.65 }, "kind": "paragraph", "text": "Scenario: Joined the Board of Directors of NitroSecurity at the request of the majority shareholder. The business was experiencing flat revenues, product and marketplace confusion and producing significant negative EBIDTA.", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "892e97d9-96a9-40d5-ad3a-6ce381b98516", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.03, "w": 0.2, "x": 0.08, "y": 0.18 }, "kind": "paragraph", "text": "Norman J. Rice:", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "aaf4a272-1c48-4335-aada-fe26ca973071", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.03, "w": 0.2, "x": 0.08, "y": 0.61 }, "kind": "paragraph", "text": "NitroSecurity, Inc.", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "ab4af202-2214-4c47-b1a1-fe950f55009b", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.15, "w": 0.85, "x": 0.08, "y": 0.26 }, "kind": "paragraph", "text": "Scenario: Aprisma was a subsidiary of Enterasys Inc (NYSE: ETS). When Aprisma filed its S-1 in 2001, the SEC and Department of Justice launched investigations of fraud and wrongdoing against existing management. In early 2002, Aprisma was acquired by the private equity firm, The Gores Technology Group, as a turn around. The company had negative EBIDTA and revenues were overstated. Customers were defecting and maintenance renewal rates were declining quickly. There were limited records of customers, licenses and outstanding obligations. Mr. Rice was hired to restructure the sales, channel and strategy functions and guide the business to a liquidity event.", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "bf35a403-59ae-4df7-bca3-8acada0d2ff0", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.05, "w": 0.85, "x": 0.08, "y": 0.54 }, "kind": "paragraph", "text": "Result: Product sales revenues increased by 97%, maintenance contract renewal rates increased to 92% and the business was sold to Concord Communications in 2005 for an 8.5x return to investors.", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "f072edb2-70af-44bc-8dc4-87622be757ee", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.12, "w": 0.8, "x": 0.08, "y": 0.08 }, "kind": "title", "text": "Our Independent Nominees Have Overseen a Number of Successful Companies and Turnarounds", "attrs": null, "subkind": "headline", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "e5a7b7c1-746c-4468-b5e2-9090d4d50776", "frameworkName": null, "frameworkSlug": null } ], "metrics": [], "tools": [], "frameworks": [], "arcBeats": [ { "to": 45, "from": 37, "beatId": "1ee49a4d-5ed0-4551-bf63-988247f93a32", "arcName": "Problem-Agitate-Solution", "arcSlug": "problem-agitate-solution", "beatName": "Solution", "beatSlug": "problem-agitate-solution-solution-provide-relief", "evidence": "Slides 37-45 present Starboard Value LP's nominees as a better solution.", "position": 2, "confidence": 0.8, "parentBeatName": "Resolution", "parentBeatSlug": "resolution" } ], "loops": [ { "to": 45, "from": 37, "name": "Quick Win Big Bet", "slug": "47-quick-win-big-bet", "bestFor": "Transformation planning, 100-day plans, resource allocation", "matchId": "b858eba4-4d21-4c28-a594-b4017f3c90c3", "evidence": "The deck presents Starboard Value LP's nominees as a better plan to create value.", "position": 1, "objective": "The proposed solution is a big bet on new board nominees to create value.", "structure": "The Full List -> Quick Wins (Low effort, High impact) -> Big Bets (High effort, High impact) -> Sequenced Roadmap", "confidence": 0.6, "description": "Separate initiatives into immediate wins and longer-term strategic bets" } ], "imagePathAlt": null, "thumbSrc": null, "thumbSrcAlt": null, "locked": true }