These days a lot of "Kelly Girls" are men. Once a business that supplied only female clerical help, Kelly Services has expanded to include male and female temporary employees in light industrial, technical, and professional sectors, including information technology specialists, engineers, and accountants. It also places lawyers (Kelly Law Registry), scientists (Kelly Scientific Resources), substitute teachers (Kelly Educational Staffing), nurses and other medical staff (Kelly Healthcare Resources), and teleservices personnel (KellyConnect). Kelly Services assigns some 550,000 temporary employees around the world each year. Chairman Terence Adderley owns a controlling stake in the company.
Kelly caters to customers in three chief regions: the Americas (67% of total sales); Europe, the Middle East, and Africa (EMEA, 19%); and the Asia/Pacific (7%).
The company provides additional personnel in areas such as electronics (Kelly Electronic Assembly Services), merchandising (Kelly Marketing Services), and catering (Kelly Catering and Hospitality). It also offers career transition, outplacement, and human resources consulting services through its Ayers Group division (which makes up its Outsourcing and Consulting Group segment, or OCG).
Like most companies involved in the employment industry, Kelly has seen its balance sheet fluctuate. After successfully bouncing back after the recession and seeing its revenues and profits rise, the firm saw its revenues decrease by nearly 2% and its profits slip by 21% from 2011 to 2012.
The ongoing economic credit crisis in Europe and slow recovery from recession in the US has sizably impacted the demand for the company's staffing services. The revenue decrease was due in part to an 11% decrease in hours worked. Kelly saw a decrease in the Americas and EMEA, due, in large part, to the economic uncertainty existing in both regions, while a decline in APAC was due to decisions it made to exit low-margin businesses in India.
Its profit decline was due to the lower revenues totals, coupled with an increase in asset impairment charges and higher expenses. In 2012 Kelly invested $22 million in capital expenditures related to enhancing information technology programs.
Kelly has its eye fixed on the emerging markets of Brazil, Russia, India, and China. In 2011 it improved its position in the Brazilian market through the acquisition of Tradicao Tecnologia e Servicos, a temporary staffing firm owning 12 branch locations throughout the country.
In 2012 the company entered into an agreement with Temp Holdings Co., Ltd. to form a venture -- TS Kelly Workforce Solutions -- in order to expand its presence in North Asia. As part of the agreement, Kelly contributed its operations in China, South Korea, and Hong Kong for a 49% ownership interest in TS Kelly.
The staffing firm's strategy for growth entails maintaining its core strengths in the commercial staffing market, while also growing its professional and technical staffing capabilities. Kelly also plans to recognize additional revenue by growing its Outsourcing and Consulting Group segment and by targeting specialized niche markets which require staffing services.