Career Education Corporation (CEC) was founded in 1994 and according to their own statement, has become one of the world's leading providers of quality post-secondary educational services. Gary E. McCullough is currently the President and Chief Executive Officer of CEC.
Colleges, schools and universities form a "CEC family" and offer high quality education to approximately 90,000 students across the world in a variety of career-oriented disciplines and label by different brands.
The mission statement: CEC is a global educational company committed to quality outcomes and career opportunities for a diverse student population.
The value statement is represented by a circle with students and employees in the middle and formed by: Integrity - Respect - Excellence - Social responsibility - Diversity. Diversity is also what makes their mission statement unique. Diversity may mean a lot of different things. For example offering opportunities for those who do not follow the normal career path. The educational program shows a strong practical orientation.
The educational programs are career-oriented providing knowledge and skills to compete successfully in today's job market. There are five business areas:
- CULINARY ARTS (12 percent of CEC students)
- HEALTH EDUCATION (16%. Programs range from those with basic clinical skills to skill-specific programs (like cardiovascular technology and radiology)
- INFORMATION TECHNOLOGY (7%. Information Technology programs are offered at all degree levels in both the University and Art and Design SBUs. Programs include computer programming, information technology, networking, telecommunications and Web design.)
- BUSINESS (44%. Ranging from Business Administration and Marketing to Criminal Justice, among others)
- ART AND DESIGN (21%. Enroll in Art and Design studies, focusing on programs in the graphic, fashion, game and interior design fields).
The Industry shows a strong growth: The post-secondary education (PSE) is a $315.5 billion industry market in North America (U.S. Departement of Education, 2001-2002)
Enrollment in PSE programs is projected to grow from 15.6 in 2002 to 18.2 million students by 2012. Due to baby boom generation and increasing numbers of adults seeking higher education.
Federal funding available to support PSE was estimated to exceed $105 billion (2002-2003)
Organizing wise CEC is focused on: Leveraging size and scale, Increasing centralized activity, Sharing resources among campuses and Aligning cost structure to current revenue levels.
The year 2007 is seen as a year of transition, of Recognize, Redefine and Reach: "We were compelled to the realities of the company's business situation, to how we will conduct business, and to set and begin to goals that will return CEC to its history of delivering strong business results and solid shareholder returns." (1)
The annual report gives some insight in the business architecture of the company "building its reputation and external relationships by":
Employees, through increasing awareness, skills and accountability
Schools: telling their stories
Alumni: connections and network
Employers: meeting their needs and sharing successes
Community: building partnerships and increasing involvement
Legislators: educating and listening
Accreditors and regulators: enhancing relationships
To achieve this, leadership is needed. According to CEC this resides in: vision, transparency and accessibility.
The company is listen on NASDAQ (Ticker CECO). The last earnings data show a (negative) growth of 18% over the last 5 years from 2004 (1.71 / 2.12 / 0.97 / 1.01 / 0.77) to 2007 (2).
To get an idea from its competitors, the following are mentioned on Nasdaq.com (page 1 of 4):
- Tyco International, Ltd.
- H&R Block, Inc.
- ITT Educational Services, Inc.
- DeVry Inc.
- Washington Post Company (The)
- Strayer Education, Inc.
- Corinthian Colleges, Inc.
- Weight Watchers International Inc
- New Oriental Education & Technology Group, Inc.
- ManTech International Corporation
- Inergy, L.P.
- Brink's Home Security Holdings, Inc
- Gartner, Inc.
- Service Corporation International
- Grand Canyon Education, Inc.
- Coinstar, Inc.
- American Public Education, Inc.
- Inergy Holdings, L.P.
- Regis Corporation
- K12 Inc
This list shows that not all the mentioned competitors are really rivals but cataloged as such (Gartner, Regis, WPC, etc)
(1) - careered.com - annual report 2007
(2) - nasdaq.com
Company Profiles - CEC - Leaders in Education