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Business Segments
 12 Months Ended
Dec. 31, 2020
Segment Reporting [Abstract]  
Business Segments Business Segments
Effective July 1, 2020, we began managing our business under a new organizational structure on a regional basis through our three geographic markets, North America, EMEA and Emerging Markets. These became our reportable segments in the third quarter of 2020. Each of our three reportable segments represents an operating segment under ASC Topic 280, Segment Reporting. We test our goodwill at the reporting unit level, or one level below an operating segment, under ASC Topic 350, Intangibles - Goodwill and Other. We have six reporting units for purposes of goodwill impairment testing, Prior to this change, our reportable segments consisted of two global practices, Workforce Excellence and Business Transformation Services, which focused on providing similar and/or complementary products and services across our diverse customer base within target markets.

The reorganization was done to achieve the following:

•Unlock the potential of organic growth to achieve better business results for our clients and the Company.
•Simplify the matrix and empower rapid local decision making in service of our clients.
•Leverage global practice systems, processes, and intellectual property while enabling regional authority to better align and deliver to local client needs.
•Enable efficient use of our corporate infrastructure with regional resources.

Across our regional operating structure, the Company provides Workforce Transformation Services categorized into three
primary solution sets:

•Organizational Performance Solutions (OPS) - focus is on managed learning services, digital learning strategies and content development, business consulting, and leadership development solutions
•Technical Performance Solutions (TPS) - focus is on technical consulting services, enterprise technology adoption and Human Capital Management (HCM) implementation services.
•Automotive Performance Solutions (APS) - provides sales enablement solutions, including custom product sales training and other customer loyalty and marketing related services.

We have also identified four focus industries to deliver these services which include Automotive, Financial Services,
Defense and Aerospace and Technology.

We do not allocate the following items to the segments: general & administrative expenses, sales & marketing expenses,
restructuring charges, gain on change in fair value of contingent consideration, gain on sale of business, interest expense,
other income (expense), and income tax expense.
 
The following table sets forth the revenue and operating results attributable to each reportable segment and includes a reconciliation of segment revenue to consolidated revenue and operating results to consolidated income before income tax expense (in thousands):
 Years ended December 31,
 202020192018
Revenue:   
North America$317,735 $395,603 $366,481 
EMEA107,203 125,118 116,296 
Emerging Markets48,169 62,569 32,383 
 $473,107 $583,290 $515,160 
Gross Profit:   
North America$59,258 $64,343 $56,434 
EMEA11,532 14,916 15,246 
Emerging Markets6,472 9,954 6,063 
Total gross profit
77,262 89,213 77,743 
General and administrative expenses62,694 64,492 54,848 
Sales and marketing expenses7,190 7,875 4,798 
Restructuring charges1,387 1,639 2,930 
Gain on change in fair value of contingent consideration, net— 677 4,438 
Gain on sale of business6,064 12,126 — 
Operating income
12,055 28,010 19,605 
Interest expense2,934 6,058 2,945 
Other income (expense) (511)417 (1,897)
Income before income tax expense$8,610 $22,369 $14,763 
 
Revenue by Category

The following series of tables presents our revenue disaggregated by various categories (in thousands).
Years Ended December 31,
North AmericaEMEAEmerging MarketsConsolidated
202020192018202020192018202020192018202020192018
Revenue by type of service:  
Organizational Performance Solutions$121,955 $141,134 $129,107 $39,924 $51,976 $52,730 $23,564 $32,253 $26,852 $185,443 $225,363 $208,689 
Technical Performance Solutions120,904 152,513 143,562 62,283 61,302 62,199 657 1,214 1,800 183,844 215,029 207,561 
Automotive Performance Solutions74,876 101,956 93,812 4,996 11,840 1,367 23,948 29,102 3,731 103,820 142,898 98,910 
 $317,735 $395,603 $366,481 $107,203 $125,118 $116,296 $48,169 $62,569 $32,383 $473,107 $583,290 $515,160 
Revenue by client market sector:
Automotive$86,686 $116,260 $105,780 $7,495 $15,757 $2,627 $23,615 $33,112 $7,670 $117,796 $165,129 $116,077 
Financial Services37,428 37,610 46,861 25,822 34,104 35,452 14,639 21,435 17,803 77,889 93,149 100,116 
Defense & Aerospace72,908 69,903 53,789 5,019 8,779 7,918 — — 16 77,927 78,682 61,723 
Technology29,901 33,284 34,881 2,887 3,953 4,476 1,334 372 164 34,122 37,609 39,521 
All Other90,812 138,546 125,170 65,980 62,525 65,823 8,581 7,650 6,730 165,373 208,721 197,723 
$317,735 $395,603 $366,481 $107,203 $125,118 $116,296 $48,169 $62,569 $32,383 $473,107 $583,290 $515,160 


Additional information relating to our business segments is as follows (in thousands):
 December 31,
 20202019
Identifiable assets:  
North America$231,708 $308,941 
EMEA110,468 101,892 
Emerging Markets39,600 38,069 
Total assets$381,776 $448,902 
 
Corporate and other assets which consist primarily of cash, other assets, and deferred tax assets and liabilities are allocated to the segments based on their respective percentage of consolidated revenues.

 Years ended December 31,
 202020192018
Additions to property, plant and equipment:   
North America$795 $1,048 $2,003 
EMEA492 937 694 
Emerging Markets343 330 137 
 $1,630 $2,315 $2,834 
Depreciation and amortization:   
North America$4,350 $5,202 $4,955 
EMEA1,376 1,788 1,997 
Emerging Markets776 1,090 237 
Corporate and other1,377 1,402 732 
 $7,879 $9,482 $7,921 
 
Information about our revenue in different geographic regions, which is attributable to our operations located primarily in the U.S., United Kingdom and other countries is as follows (in thousands):
 Years ended December 31,
 202020192018
United States$303,384 $374,017 $344,720 
United Kingdom74,291 86,511 92,059 
Other95,432 122,762 78,381 
 $473,107 $583,290 $515,160 

Information about our total assets in different geographic regions is as follows (in thousands): 
 December 31,
 20202019
United States$230,693 $255,649 
United Kingdom72,562 72,939 
Canada3,656 43,503 
Other74,865 76,811 
 $381,776 $448,902