Monitor Pulse Survey 2014 Results ExCo meeting – 14 November 2014

Pulse Survey Results 2014 Response rate Response rates across the company have risen against previous survey and well above benchmarks in public as well as private sector firms.

Pulse Survey Results 2014 Headliners Most favourable (highest scores overall) Best against Monitor overall (greatest difference against firm’s scores) Most improved since Feb survey (greatest difference against previous survey) 1 Provider Appraisal Sector Development 2 Organisation Transformation Provider Regulation 3 4 Strategic Communications Legal Services & CEO Office 5 6 7 Cooperation & Competition Top 5 scores I am proud to work for Monitor (81%) I believe strongly in the purpose and objectives of Monitor (81%) I would recommend Monitor as a great place to work (76%) Working here makes me want to do the best work I can (75%) I understand my part to play in delivering Monitor’s corporate strategy (71%) Lowest 5 scores Inappropriate behaviour is dealt with effectively where I work (47%) Leaders demonstrate our values in their everyday behaviour and actions (46%) Leaders provide a clear and compelling vision for Monitor’s future (43%) I am satisfied with the opportunities I have to progress at Monitor (38%) I believe Monitor’s performance management system is fair and equitable (33%)

Pulse Survey Results 2014 Strengths and areas for focus Less than 6 months service Females Senior grades (VSM, level 1 & 2) Engagement & commitment category Ethnicity: Asians Cooperation & competition had highest response rate Provider Appraisal had the greatest positive impact on overall stats Between 1 and less than 2 years Role Level 3 Leadership (ExCo and Directors) category Ethnicity: Others Provider Regulation has the greatest negative impact on overall stats and the lowest response rate Areas to focus

Legal Services & CEO Office Pulse 2014 engagement index Pulse Survey Results 2014 Engagement Index SAY Employee advocacy I am proud to work for Monitor Pulse Feb survey I would recommend Monitor as a great place to work STAY Employee commitment I believe strongly in the purpose and objectives of Monitor I intend to still be working for Monitor in 12 months time STRIVE Discretionary effort Working here makes me want to do the best work I can Monitor motivates me to contribute more than is normally required in my work Directorate Provider Regulation Provider Appraisal Sector Development Monitor overall OT Strat Comms CCD Legal Services & CEO Office All Economics KIM Policy & SD MD Office Pricing Enforce & PR MD Office Finance, Reporting And Risk Regional Monitoring Pulse 2014 engagement index 76% 77% 74% 73% 82% 75% 69% 70% 72% 71% 66% 63% Difference to Feb survey 4% n/a -5% 19% -12% 16% -3% 1% -11% -8% 8% Difference to Pulse Monitor overall 5% 2% 10% 3% -2% 0% -1% -6% -9%

Pulse Survey Results 2014 Engagement Index

Pulse Survey Results 2014 Leadership questions – 2 of 2 Benchmarks: PS < 500 = Public Sector companies with less than 500 employees. 250 – 700 = all companies with 250 to 700 employees (used in full survey)

Pulse Survey Results 2014 Leadership questions – 1 of 2 Benchmarks: PS < 500 = Public Sector companies with less than 500 employees. 250 – 700 = all companies with 250 to 700 employees (used in full survey)

Pulse Survey Results 2014 Results by directorate – difference to February full survey Mon all (404 responses) Legal Services & CEO Office Organisation Transformation Strategic Communications Provider Regulation Sector Development Cooperation & Competition Provider Appraisal Category Question Pulse Diff to Feb My Engagement and Commitment I am proud to work for Monitor 81% 0% 66% 4% -14% 76% 3% 91% 5% 82% -13% 85% -9% I would recommend Monitor as a great place to work 2% 59% 86% 73% 11% 77% 57% 1% -17% I believe strongly in the purpose and objectives of Monitor -4% 79% 17% 7% 80% -6% 84% -5% I intend to still be working for Monitor in 12 months time 60% 55% 38% 45% 69% 6% 62% 46% -10% 70% Working here makes me want to do the best work I can 75% 12% 74% -8% Monitor motivates me to contribute more than is normally required in my work 52% -12% 50% 9% -1% 51% Patients First My team regularly looks for ways to make a difference for patients 63% 16% 43% 27% 30% -2% 18% I understand how our corporate strategy makes a difference for patients 68% 20% 15% 67% 14% 64% 24% 72% 13% Working Together There is good co-operation and communication between the teams I work with across Monitor 71% 8% -21% 37% 53% -18% Leadership (ExCo and Directors) Leaders demonstrate our values in their everyday behaviour and actions 29% -3% -20% 34% -30% Leaders are sufficiently visible and approachable at Monitor 33% -31% 42% 54% -11% Leaders provide a clear and compelling vision for Monitor's future 48% -15% 44% 26% -22% -19% My Manager I receive regular and constructive feedback on my performance -7% 40% I understand my part to play in delivering Monitor's corporate strategy 10% 19% 65% My Job I have clear, measurable work objectives 61% Performance and Development I am satisfied with the opportunities I have to progress at Monitor 31% 23% I am satisfied with the development I receive for my present job 49% Inappropriate behaviour is dealt with effectively where I work 47% 41% I believe Monitor's performance management system is fair and equitable 28% -34% 25% 36% Health and Well-Being I am satisfied with the support available if I experience stress or pressure 58%

Pulse Survey Results 2014 Results by team – difference to February full survey Provider Regulation Sector Development Mon all (404 responses) Enforcement & PR MD Office (19 responses) Finance, Reporting And Risk (26 responses) Regional Monitoring (56 responses) Economics (20 responses) KIM (38 responses) Policy & SD MD Office (30 responses) Pricing (50 responses) Category Question Pulse Diff to Feb My Engagement and Commitment I am proud to work for Monitor 81% 0% 89% - 92% 13% 91% 2% 95% 20% 79% -14% 80% 25% -5% I would recommend Monitor as a great place to work 76% 84% -3% 18% 85% 35% 77% 22% 72% -13% I believe strongly in the purpose and objectives of Monitor -4% 73% -6% -9% -8% -1% 82% I intend to still be working for Monitor in 12 months time 60% 69% 1% 66% 5% 70% 14% -7% 30% 58% Working here makes me want to do the best work I can 75% 74% 11% 24% 3% Monitor motivates me to contribute more than is normally required in my work 55% 54% 45% 31% -15% 53% 6% Patients First My team regularly looks for ways to make a difference for patients 63% 16% 38% 64% 27% 26% 8% 62% 23% I understand how our corporate strategy makes a difference for patients 68% 90% 34% -21% 32% Working Together There is good co-operation and communication between the teams I work with across Monitor 50% 42% -16% 39% -32% 47% -33% 48% 7% Leadership (ExCo and Directors) Leaders demonstrate our values in their everyday behaviour and actions 46% 37% 12% 40% Leaders are sufficiently visible and approachable at Monitor 52% -2% -10% 56% Leaders provide a clear and compelling vision for Monitor's future 43% My Manager I receive regular and constructive feedback on my performance -11% 41% -25% I understand my part to play in delivering Monitor's corporate strategy 71% 10% My Job I have clear, measurable work objectives Performance and Development I am satisfied with the opportunities I have to progress at Monitor 15% 36% I am satisfied with the development I receive for my present job 49% 29% 44% Inappropriate behaviour is dealt with effectively where I work 65% 17% 4% I believe Monitor's performance management system is fair and equitable 33% Health and Well-Being I am satisfied with the support available if I experience stress or pressure 61% 21%

Pulse Survey Results 2014 Results by directorate – difference to Monitor overall (404 responses) Legal Services & CEO Office Organisation Transformation Strategic Communications Provider Regulation Sector Development Cooperation & Competition Provider Appraisal Category Question Pulse Diff to Mon all My Engagement and Commitment I am proud to work for Monitor 81% 66% -16% 0% 76% -6% 91% 10% 82% 85% 4% I would recommend Monitor as a great place to work 59% -18% 86% 9% 73% -4% 77% 1% 57% -19% I believe strongly in the purpose and objectives of Monitor 79% -2% -5% 80% -1% 84% 3% I intend to still be working for Monitor in 12 months time 60% 55% 38% -22% 45% -15% 69% 62% 2% 46% 70% Working here makes me want to do the best work I can 75% -9% 6% 74% Monitor motivates me to contribute more than is normally required in my work 52% -3% 7% 50% 5% 51% Patients First My team regularly looks for ways to make a difference for patients 63% -8% 43% -20% 13% 23% I understand how our corporate strategy makes a difference for patients 68% 67% 64% 72% Working Together There is good co-operation and communication between the teams I work with across Monitor 71% 22% 37% -13% 53% Leadership (ExCo and Directors) Leaders demonstrate our values in their everyday behaviour and actions 16% 29% -17% 30% 34% -12% 11% Leaders are sufficiently visible and approachable at Monitor 20% 33% 42% -11% 54% Leaders provide a clear and compelling vision for Monitor's future 48% 24% 27% 44% 26% 19% My Manager I receive regular and constructive feedback on my performance 8% 21% 40% -14% 14% I understand my part to play in delivering Monitor's corporate strategy 65% My Job I have clear, measurable work objectives 61% Performance and Development I am satisfied with the opportunities I have to progress at Monitor 31% -7% I am satisfied with the development I receive for my present job 49% 15% Inappropriate behaviour is dealt with effectively where I work 47% 41% I believe Monitor's performance management system is fair and equitable 28% 25% -10% 36% Health and Well-Being I am satisfied with the support available if I experience stress or pressure 58% 12%

Pulse Survey Results 2014 Results by team – difference to Monitor overall Provider Regulation Sector Development Mon all (404 responses) Enforcement & PR MD Office (19 responses) Finance, Reporting And Risk (26 responses) Regional Monitoring (56 responses) Economics (20 responses) KIM (38 responses) Policy & SD MD Office (30 responses) Pricing (50 responses) Category Question Pulse Diff to Mon all My Engagement and Commitment I am proud to work for Monitor 81% 89% 8% 92% 11% 91% 10% 95% 14% 79% -2% 80% -1% I would recommend Monitor as a great place to work 76% 84% 5% 13% 85% 9% 3% 77% 0% 72% -4% I believe strongly in the purpose and objectives of Monitor 73% -8% 4% -5% 82% 1% I intend to still be working for Monitor in 12 months time 60% 19% 69% 66% 6% 70% 58% Working here makes me want to do the best work I can 75% 74% Monitor motivates me to contribute more than is normally required in my work 55% 54% 45% -10% 20% 53% Patients First My team regularly looks for ways to make a difference for patients 63% 16% 38% -24% 64% 32% -18% 62% I understand how our corporate strategy makes a difference for patients 68% -6% 90% 22% Working Together There is good co-operation and communication between the teams I work with across Monitor 50% 42% -7% 39% 30% 47% -3% 48% Leadership (ExCo and Directors) Leaders demonstrate our values in their everyday behaviour and actions 46% 7% 24% 37% -9% 40% Leaders are sufficiently visible and approachable at Monitor 52% -15% 2% 56% Leaders provide a clear and compelling vision for Monitor's future 43% 12% 15% -11% My Manager I receive regular and constructive feedback on my performance -22% -12% 41% -13% 21% I understand my part to play in delivering Monitor's corporate strategy 71% My Job I have clear, measurable work objectives Performance and Development I am satisfied with the opportunities I have to progress at Monitor 35% 36% I am satisfied with the development I receive for my present job 49% 31% 29% -20% 44% Inappropriate behaviour is dealt with effectively where I work 65% 18% 34% I believe Monitor's performance management system is fair and equitable 33% Health and Well-Being I am satisfied with the support available if I experience stress or pressure 61%