Building the world’s learning company

Below is a message that I shared today with our Pearson colleagues around the world. I wanted to share it with our wider community, too.

Dear colleagues,

As 2019 comes to an end, I have not only been reflecting on this past year, but also on how far we have come in the past decade - building the world’s learning company and reaching around 100 million learners annually. That’s part of the reason why I’ve made the decision to retire in the year ahead, once the Board has appointed a new CEO. Now seems like the right moment to hand over the leadership of this great company to build on the strong foundation that we have created. You can read the external announcement here. 

Together, we have navigated through a period of significant change, transforming Pearson from a media conglomerate to a single-focused learning company. Our simplification programme is enabling us to innovate more quickly and scale globally. We are investing more in our business than ever before and pioneering new forms of online education that link learning to employability. In recent years, we’ve taken the lead in embedding efficacy and research into all of our new products and services.

Due largely to your incredible efforts, 75% of the company is growing, and all of Pearson is now very well placed to meet the need for affordable and effective learning. We’re still working our way through a major disruption in US Higher Education Courseware, which makes up the other 25%. But as we continue to focus on our structural growth opportunities, we’re less dependent on it now than we were. Nearly two-thirds of our business is now digital or digitally-enabled. We’ve created a simpler business, underpinned by a strong financial footing to deliver a sustainable and healthy future.

We have announced today that we are planning to sell our remaining 25% stake in Penguin Random House to Bertelsmann for $675m (￡530m), which is expected to close in the first half of 2020. For almost fifty years, Pearson has been proud to play our part in the publishing and commercial success of first Penguin and then more recently Penguin Random House. With the sale of our remaining stake to our partners, Bertelsmann, we know the company is in good hands - and we wish our colleagues and authors every future success. 

Looking ahead to 2020, we will continue to drive the digital transformation of our assessment and courseware business. We’ll sign new partnerships with virtual schools and universities moving online. In English language assessment, we’ll look to win new contracts - like the one just announced this week with the UK Home Office. We will also build on the success of our professional certification and licensure business, as more people will need to skill and reskill to thrive in a talent economy. 

I am immensely proud of the hard and difficult work we have undertaken together, and I am deeply grateful for your commitment and dedication to customers and learners all over the world. Thank you for everything you do, and I look forward to what we will accomplish in the year ahead.

I believe that the future of learning will be digital, and consumer defined, that experience, outcomes, and affordability all matter, and that Pearson will be a clear winner. As the Board works through the process of appointing my successor, I will be completely focused on helping all of you to further this vital goal.

Very best wishes - and thank you,

John