This executive search is for a private equity-backed, revenue-generating, 7-year-old high-growth company that represents the next generation in healthcare innovation—PatientsLikeMe brings together patients in e-communities who create insights on their diseases and treatments by sharing information that improve their conditions.  At the same time, these insights bring value to large pharma and biotech companies, influencing the way they develop and deploy drugs.  With more than 100,000 registered consumer patients, PatientsLikeMe re-balances the healthcare system, ultimately returning power to the patient.

BSG Team Ventures is  retained to identify the VP of Client Services.

Reporting directly to the CEO, the Vice President of Client Services will play a senior leadership role within the management team, overseeing all client project scoping, management and delivery.

MORE COMPANY DETAIL:

The roots of the company are anchored in one of three brothers who developed ALS, a neuromuscular disease that ultimately proves fatal.  Ben and Jamie wanted to do all they could to help their brother Stephen, and—leveraging their prior career experience and entrepreneurial leanings—decided to try to help their brother gain insights from other patients with ALS in order to improve the understanding of how the disease progresses and what might be done to ease and improve one’s condition.  And so was born PatientsLikeMe, a health data-sharing platform.  The Heywood family’s fight to save Stephen has been chronicled in the book His Brother’s Keeper as well as the documentary “So Much So Fast.”  For more, preview an interesting short video piece on their story athttp://www.patientslikeme.com/about.

THE ROLE

This position will be responsible for the overall success of all commercial client engagements including those with pharma, payers, providers, and other related healthcare NGOs.

In addition, as the key liaison between PatientsLikeMe and the business customer,  the VP of Client Services will be responsible for driving key account relationship development, deepening the understanding of the customer’s needs with an eye to expanding PatientsLikeMe’s strategic role in providing data and analytics to further the customer’s knowledge of patients, conditions, outcomes, and insights.

Below is a bubble diagram outlining  key career & functional attributes critical to success for this role:

Specific responsibilities:

Qualifications & Experience

Skills & Personal Characteristics

As executive recruiters, we often get asked about executive compensation.

So often—after we finish up a search—we aggregate the compensation data we’ve collected across the search, and share it back with the innovation community. In this case, we recently finished a CFO  search for a profitable SaaS software client located here in New England in September, 2011.

Here is the snapshot of compensation from our search—

The footnote at the bottom of the image above articulates the following criteria for the majority of companies in this data set:

There are many variables to consider that influence where to pinpoint one’s own compensation vis-a-vis the above:

We’re pleased to partner with Cooley LLP, Ernst & Young & BMO Capital Markets to put on this invitation-only conference.  Below is an agenda overview and speaker highlights.

If interested, please email clark [at] bsgtv.com.

WEDNESDAY, NOVEMBER 9, 2011 |  12:00 noon – 7:00 pm

Mandarin Oriental, Boston 776 Boylston Street  |  Boston, Massachusetts

Cooley LLP, Ernst & Young LLP and BMO Capital Markets invite you to an exclusive gathering of leading executives, investors, entrepreneurs and thought leaders in the medical device industry for the second annual Cooley Medical Device Growth Conference in Boston. This event will focus on the key drivers affecting the medical device industry and explore growth strategies for medical device companies.

KEYNOTE SPEAKER

Dr. Michael J. Cima – Professor of Materials Science and Engineering, Massachusetts Institute of Technology

TOPICS TO BE DISCUSSED [ view full agenda ]

• Pulse of the Industry: Medical Technology Report 2011 – Ernst & Young’s annual report on the medical device industry
• Developing and Implementing a Sales & Marketing Strategy -  Keys to achieving growth and ensuring regulatory compliance
• An Open Discussion with Thought Leaders – A fireside chat with CEOs at revenue stage medical device companies on the medtech industry, opportunities and challenges, lessons-learned, etc.
• What’s Getting Done? A discussion of trends in IPOs, M&A deals and strategic collaborations

REGISTRATION REQUIRED. This event is by invitation only. Registration is limited to representatives of medical device companies and investors, and is subject to approval.

PANELISTS AND MODERATORS INCLUDE

• Joseph Army – General Manager, Medtronic Advanced Energy (Formerly President and Chief Executive Officer, Salient Surgical Technologies)
• Michael Cima – Professor of Materials Science and Engineering, Massachusetts Institute of Technology
• Kevin Casey – Partner, Ernst & Young LLP
• Drew Gantt – Partner, Cooley LLP
• Ron Goldman – Chief Executive Officer, Accuvein
• Larry Knopf – Senior Vice President and General Counsel, HeartWare, Inc.
• Michael McGrail – Attorney, Cooley LLP
• Yiannis Monovoukas – Chairman, President and Chief Executive Officer, TEI Biosciences Inc.
• Michael Neuberger – Managing Director and Head of Healthcare Group, BMO Capital Markets
• Stu Randle – President and Chief Executive Officer, GI Dynamics
• Charles Sherwood – President and Chief Executive Officer, Anika Therapeutics, Inc.
• Mark Speers – Partner and Managing Director, Health Advances
• Peter Stebbins – Vice President, New Business Development, DePuy Mitek and Codman, J&J Family of Companies
• Kevin Seifert – Chief Executive Officer, Facet Technologies, Inc.
• Don Stern – Partner, Cooley LLP (Former US Attorney)
• Mark Weeks – Partner, Cooley LLP
• Robert White – President & Chief Executive Officer, TyRx, Inc.

The Position

Reporting directly to the CEO, the Vice President of Marketing will play a senior leadership role within the management team, overseeing all branding, customer acquisition, public relations, and channel marketing efforts.

Core Responsibilities: This position will be responsible for the overall success of the Company’s consumer offering, including user acquisition/adoption/retention and general management of the brand.   The VP Marketing will build a business-to-consumer marketing function focused on the customer experience. He/she will also identify opportunities for increasing value and optimizing revenue growth and will ensure consistency in messaging across integrated marketing channels.

The VP Marketing will lead the Company’s  strategic and tactical consumer marketing initiatives and will assist with the development of the overall corporate strategy, vision, messaging, and product direction. He/she will be responsible for the creation of an innovative marketing strategy and outreach program for the Company.  He/she will also act as a key external evangelist for the company when called upon.

Specific responsibilities include:

Qualifications & Experience

Skills & Personal Characteristics

Ideal Candidate Profile

The following diagram illustrates the intersection of competencies critical in the VP Marketing position:

September in New England is all about Fall, football, and at least for the last 4 years, philanthropy.  On September 23rd, 2010, venture capitalists, entrepreneurs and professional services providers celebrated the 4th consecutive year putting this tournament on.

The goals?

1) Sweat doing one of my favorite sports on one of its most challenging surfaces–

chasing a white ball around a grass lawn where the verb “to bounce” is used only in a relative sense.  Imagine a super-high gravity environment where what goes down, stays down.  A bit more like dropping a plate, versus bouncing a ball.

2) Compete in teams, with venture capitalists comprising one team, pitted against entrepreneurs, the other team.   This brings together the two key stakeholders in the business ecosystem in which our firm operates.   OK, so the entrepreneurs always get a bit feisty because they often feel the perceived chafe of the unspoken universal order, “those who have the gold make the rules.”  But in this format, spicy works.  Feisty is good. For further flavor,  see video mash-up of the tournament highlights below.

3) Give to charity, and create a collaborative giving engine that may at some point outstrip at least this author’s individual efforts.

The supplemental benefits of combining these three above?

1) Sweating couldn’t be in a lovelier setting.  The Longwood Cricket Club is just a spectacular venue, and again this year we were graced with perfect early Fall weather–blue sky highlighted by  brilliant reds of the autumn maple trees ringing the club house and the courts.  Sweating somehow is also a whole lot more fun on a tennis court if you play barefoot.  Don’t try this on hard courts or clay folks.  But at Longwood, all 40+ players doffed their togs and got back to nature (photos and video for up close and personals).

2)  Competing with VC and entrepreneur teams brings out…  well…  a prime opportunity for trash talking in the safety of numbers let us say.  It’s great to get both sides out in a friendly face off, united at the end for a good cause.

3) Giving to charity is something that seems easier the more perceived value is generated (for the altruist), or we receive (for those solipsists).  This year’s charity was again the Tenacity program, founded by Ned Eames.  We heard from some of the at-risk urban middle school children who have found Tenacity a backbone for discipline and achievement in an often keelless school environment.  Hearing some of their stories made us all reflect on our paths to relative success, and how those challenges compared to what these children face.  The goal was to raise $5,000 or more, and although the P&L is still being cyphered, we either met or came close to the target.

Who won this year? Technically, the Entrepreneurs won when toting up the total games score.  However, the VCs took it in a hotly contested 10-game pro set finals match   [see score card below]

The VC team was represented by Michael Balmuth of Edison Ventures and Michael Quinn of sponsor Silicon Valley Bank.  This fearsome duo faced off against entrepreneurs Bill Stone, co-founder of OutsideGC and Dean  Bogdanovic of CounterPath .

No doubt however that all players won in the larger sense what with the weather, the setting, and the collegiality.

Attributions:

To Sung Park who– as the poster-child for entrepreneurial ideation– decided years ago to innovate the fundraising process for his son’s school.  To do this, he cooked up the first VC vs. Entrepreneurs golf tournament we took part in some 6 or more years ago.  I asked him if he had the IP locked up on the idea or could I port the concept to the tennis court, and being the philanthropist that he is, he said heck no, it was “open source.”   Thanks Sung.

To Longwood Cricket Club, who has been a supporter of the event from the beginning, and Larry, the head tennis pro, who makes it a pleasure to orchestrate.

Tenacity’s Ned Eames, who’s vision and personal tenacity has grown a philanthropic organization that touches thousands of inner-city youth with a caring and purpose driven mission. See www.tenacity.org for more.

To our corporate underwriters without whom the event would not achieve its goals–  Silicon Valley Bank, XConomy, Version 2.0 Communications, the Boston Lobsters, and Microsoft.

To the captains of each team, who were elected in a rigorous vetting process operating under the game principle of “tag, your it!”

And of course, our guests/the players.  Getting ~40 or so players to set prioritize their time and money during a weekday afternoon is definitely worthy of acknowledge and appreciation.

And Cristina, no doubt all of us thank you for all you did in helping to pull the event together yet another year!

Photo Gallery

Pre-tournament chalk talk

For the last pro set of the tourney, barefooting experiment for all

Boston Lobsters mascot, offering support for which team?

Grass court form can be quickly compromised by a bad bounce

Dynamic Xconomy sponsored team with ringer Lyn Calkins

Perfect serve form demonstrated by none other than Tenacity's Ned Eames himself

Doug Denny-Brown in serve-return combat pose

VC vs. Entrepreneurs 2010 Longwood Team

Entrepreneur Doug Denny-Brown, tennis gladiator at the ready

Senator Markey addresses the formal-wear only crowd at the JFK Library during Clean Energy Week in November.

An annual event in Boston punches up the fact that we have an incredible cleantech cluster-New England Clean Energy Council’s annual Green Tie Gala.

Although this event took place back during Clean Energy Week in November, I was reminded of it when out in Denver recently.  Denver has some great stuff going for it.  NREL (National Renewable Energy Lab), University of Colorado with multiple campuses in Denver and Boulder that have significant funding from both Federal and State agencies, and a history of technology oriented companies, albeit with a heavy emphasis on telecom (Qwest, Level 3).

However, what there isn’t as much of in Denver is what some call the “ecosystem.” Others call it the “cluster.” This is a body of people who hold different but overlapping responsibilities in the entrepreneurial ecosystem and whose fusion is its wellspring–

• Academics: These are those most often with the new disruptive technology or science breakthrough that serves as the seed of a new company
• Business entrepreneurs: those who have experience taking the seed of an idea, and building a company around it
• Investors: The first friends & family, then angel investors, and often venture capitalists or corporate strategic investors who pour money into these new ideas to fund the business entrepreneurs scale the disruptive idea
• Professional services providers: These are often the “connectors” in the ecosystem. They’re comprised of lawyers, accountants, executive search consultants, and start-up advisors. They act as the glue between the prior three categories, more often than not introducing one to another, supporting the growth of these companies with their area of specialty

[Footnote: If you compare Boston to Silicon Valley however, Boston is shallower in large technology and sciences companies that serve to spawn "runners" to new start-up companies.   The biotech industry is perhaps better in Boston at doing this than the pure technology industry in the last decade, with a growing base of larger biotech and pharma companies including Genzyme, Cubist, Biogen and Sepracor.  Medical devices companies also fair better in many ways to large tech, with Boston Scientific, ThermoFisher, and Perkin Elmer.  In technology hardware and software, beyond EMC, there are precious few large technology companies left in Massachusetts. ]

Details on the Gala?  This year’s Green Tie Gala was held at the JFK Memorial Library in Boston (last year was held at the Museum of Science).    There are many organizations in the innovation sector here in Massachusetts that have done a good job at galvanizing a broad cross section of constituents, including the Mass Biotech Council, as well as MITX (formerly MIMC), and the Massachusetts Technology Leadership Council, or TiE Boston (Indus Entrepreneurs).  However, we’ve had yet to participate in a gathering of any that approaches that of the cleantech cluster here in New England.

Senator Markey gave the opening address to punctuate the cocktail hour.  To a person it seemed, everyone knew everyone.  Yes there were a few outsiders (a small contingent from the UK had come over as part of a trade mission coordinated with Clean Energy Week in Massachusetts because of its target rich calendar), yet all of these were welcomed by the larger fold, and the gathering seemed to virtually breathe together as some sort of larger unified body, a cluster with so few degrees of separation that walking from group to group or table to table was akin to going back to your high school reunion…. You knew at least half those sitting at every table.  For those who have experienced the annual Nantucket Conference, it is this atmosphere if intimacy and familiarity that presides.

To cap the night off, venture capitalist Chuck McDermott of Rockport Capital led his band in an after-hours session that continued the beat of familiarity both given its leader as well as in its musical selection (Chuck stating that the band only plays “songs popularized before 1960″).

Chuck McDermott, leading cleantech venture capitalist at Rockport, moonlighting as 50's music band leader

Scott Kirsner recently penned an article in the Boston Globe on interviewing tips, what not to do.  Great compendium (our contributions excepted perhaps but for you to judge in the article sidebar on page 2) of what some might think intuitively as “faux pas”, but many simply may not think of at all, and are at risk of committing.

http://www.boston.com/business/articles/2010/01/10/you_have_your_foot_in_the_door_how_to_keep_it_there_1263010162/?page=1

Periodically, we make an effort to pull together executive compensation trends and analysis focusing on venture capital backed companies in the United States.  The last executive compensation report we put out was in September 2009 (see prior blog post http://www.bostonsearchgroup.com/blog/ceo-compensation-analysis-west-east-founder/), and focused on C-level compensation, with a further contrasting of founder versus non-founder CEO compensation, both West Coast and East Coast.

This report is similarly focuses on West Coast and East Coast differences in executive compensation, however this time looking at the VP level across the functional organizational structure.  For purposes of this report, only companies who broadly fit the definition of “information technology” were used in the analysis, not including biotech, medical device/medical technology, or cleantech.

The titles looked at include the following–

Vice President Business Development

Vice President Engineering

Vice President  Marketing

Vice President Sales

Vice President Sales & Marketing

VP Software Development

VP Product Management

Note that below we’ve only included the analysis of the executive compensation data, in other words the deltas. If you’d like more detail and the information on which we based the analysis, please email damador@bsgtv.com with your name, title, company and business email address, and we can provide you with the baseline full report.

Do keep in mind that this is only one set of data. To draw the best comparables, it’s important to do all three data-grabs listed above. Also, this is a “blended” sample set of multiple venture-backed industry sub-sectors in the information technology category. Some industry sub-segments may pay more or less than others with further parsing.

West Coast Early vs. Later-stage Venture Capital-backed Companies

Cash compensation is almost always higher in later stage companies, and this is reflected in all 3 quartiles of data analyzed.  For West Coast venture-backed companies, the differences are $15,000 to $50,000 in most roles, with an average different of about $25,000.  The only exception is for the VP Sales/Sales Marketing role, where cash was significantly higher in later stage companies for these roles, ranging between $75,000 to more than $125,000 in the top quartile companies.

Conversely, equity is almost always higher in early-stage companies to offset the lower salaries referred to above.  For these West Coast companies, regardless of quartile, earlier-stage companies received on average ¼% to ½% more equity, with the biggest jump in VP Sales/Marketing, and lowest in the VP Engineering function.

East Coast, Early vs. Later-stage

East Coast compensation tells a different story from their West Coast counterparts.  Although cash compensation was similarly lower in early versus later-stage companies, East Coast executives of venture-backed companies didn’t see the “make-up” effect in equity.  In fact, equity appears lower in many of the quartiles compared, by as much as ½% comparing East Coast early versus East Coast later-stage.

East Coast vs. West Coast, Early-stage

Cash compensation, East versus West, shows that West Coast executives of early-stage companies more often than not earn more in base .  West Coast Engineering is $10,000-20,000 more in base, VP Marketing is up West over East by $10,000 to $50,000. VP Sales/Sales & Marketing is actually the one notably lower cash category where East Coasters are better off than West in the higher quartiles (but not the lowest).  As noted above, West Coast early-stage executives are compensated more favorably when it comes to equity than their East Coast brethren virtually across the board.

East Coast vs. West Coast, later-stage Venture Capital-backed Companies

As for cash compensation for later-stage companies East vs. West, a similar pattern existed being mostly lower than their West Coast counterparts, than its West Coast peers.  However, when looking at equity stakes in later stage companies East vs. West, the East Coast did better, often by ¼% to as much as ½%.

On September 24, 2009, BSG Team Ventures hosted the 3rd annual Charity tennis tournament at Longwood Cricket Club in Chestnut Hill, MA.  The format is a la Davis Cup, with venture capitals pitted against entrepreneurs.

We’ve been graced with great weather all three years, and this Thursday was nothing different, with a touch of Indian Summer in the air.

Although the teams were a bit smaller in number this year, many remarked (including the blogger) that there has never been a higher quality of play, or sense of competition.

The beneficiary of the charity tournament all three years has been Tenacity, the brainchild of Ned Eames, who founded it a decade ago this year to use tennis as a tool to help build discipline and academic achievement in inner-city at risk youth.   Their 10 year Gala is coming up in the next week or two, so be sure to visit www.tenacity.org to learn more and register.  It too will be held at Longwood, and is guaranteed to be a memorable evening with hundreds of supporters sharing food, tennis, and a shared mission together.  Ned Eames is pictured below, with one of the Tenacity students, addressing this year’s tournament and conveying his story as to the value Tenacity has brought to his life and his family’s.

This year’s winners of the Longwood Charity Cup 2009 were the entrepreneurs, both the entire team, as well as the play-off match-up of best VC team and best entrepreneur team.

Per Suneby and Doug Denny-Brown played in the finals for the entrepreneurs, against the best VC team from the day’s play, represented by Will Peppo of Revolution Partners and Dan Waintrup.  In a fiercely fought super-tie-breaker format, the entrepreneurs brought the Cup home for the year (above pictured winners Per and Doug).

Given the competitive nature of participants, several asked for statistics from the team score cards reported.  The format dictated that each doubles team played together for the entire afternoon, and there were a total of 5 teams each, VC and entrepreneur.

The mean total game score for entrepreneurs?  22.6 games per team.

Mean total game score per team for VCs? 16.5 games.

Grumblings from both sides sounded very similar, with a refrain echoed that “[VCs/entrepreneurs] certainly had more time to practice this summer than we did….”

A special thanks to our sponsors, Silicon Valley Bank and Xconomy without who’s support the event would never have happened.  Jim Maynard was much missed from SVB, but Jim’s bank colleague, Mike Quinn, held his own, and will clearly be coming back next year with Jim to present a fearsome twosome.

And this year we honor our first female competitor, Lynn Calkins, playing for the Xconomy team, and racking up a total game score with her partner than came in a close second in total team game scores.  Thanks Lynn for coming out, and Xconomy for once again blazing the path of innovation in building their corporate team.

Per Suneby and Doug Denny-Brown, winner of 2009 Tournament

Finally, no reflection on the day would be complete without a total two-team photo of all who contributed their time and energy.  Note that only one player dared play barefoot.  Next year, we’re going to mandate that the last two games of the tournament will both be played shoeless by all teams.  It’s an experience that needs to be added to everyone’s “bucket list”….

Every few months we survey the innovation-stage community of CEOs with the goal of leveraging our C-level relationships as executive recruiters to generate collective wisdom to share back.    We hope below you find insights that help to run your companies more strategically.

In August, we surveyed our CEO community and had more than 60 CEOs participate.  Thanks to all who contributed.   The theme of this survey was centered around whether a different strategy is required to succeed post-recovery than that which was in place pre-recession.  These CEOs came from those practice areas in which we focus, and included broad based technology companies in the media, software, mobile and telecom sectors, Biotechnology, medical devices, and cleantech / renewable energy.

The 60-plus participating companies were spread across the growth-stage spectrum, ranging from pre-revenue through profitable/shipping product, most being seed-funded through post-Series C, as well as private equity-backed–

To set the stage for the survey questions, when asked when CEOs were expecting the recovery to materially reach their companies, the results were still quite bearish, with more than 50% responding Q2 2010 or later–

Although entrepreneurs are supposed to be eternal optimists, when asked what sort of recovery CEOS expected, again, the majority picked the worst of the alternatives, with more than half opting for a “W” recovery (in graphical terms, a double dip, with the last year starting September 2008 to now equalling the first “u” of the “W,” and another anticipated dip between now and Q2 2010 or later.  Almost as bearish, 28% of CEOs chose an “L” recovery, indicating that they felt “recovery” was really better defined as a flatting out of the downward trendline, but no corresponding upward rebound–

The next several survey questions focused on business strategy.  58% of CEOs indicated that they were not planning on pursuing the same strategy after the recession than before–

In executing on their strategies, CEOs responded somewhat intuitively that sales & business development functions would be two of the most important executive level functions that would help them in executing successfully post-recovery.  Somewhat less intuitively, the third most important functional area ranked was product development–

The last strategy question posed to CEOs was whether - if a majority of the CEOs were executing on a different strategy in post-recovery than pre-recession – did CEOs feel that the same executive team they had could execute effectively on both.  More than a third of CEOs surveyed indicated, no, their current executive teams were not the right teams for their new post-recovery strategies.

As for their companies’ financial condition, 60% CEOs responding indicated they were still burning cash, 15% were cash flow break-even, and 25% were running their companies in cash positive position–

And answering the perennial question as to whether CEOs were planning on raising equity capital in the near future, slightly more than half responded in the affirmative–

In conclusion, the survey pointed up the fact that innovation-stage companies are still very cautious around the economic forecast, have recast their strategies as different from pre-recession in preparation for the recovery, but still have some retooling to do within their executive teams to optimize the chances of outstripping their competitors in 2010.

Thanks again to the CEOs who participated.  Knowledge is power.  Collective knowledge is actionable.