In Confidence Building a better business update

Topics covered MSL Organisation Model Why & How we are changing re-cap Original Model Refined Model Why & How we are changing re-cap The Refined Model – explained

Original MSL Operating Model

Refined BTMSL Organisation Model Reporting Universe Operations MSL Service Management Service management Vendor Management Reporting Simplified Demand Planning Service Introduction & Change Control Network Management Operations Plan & Build & Field Engineering MSL Front Door Business Development Contract Change & Bid Feasibility Incremental Work Tracking Contract Change & Product Introduction New Business Introduction Lean Service OSS introduction & change management Multi Customer Access Solution

Why are we changing? Design the organisation to meet the needs of the customer Multi-customer organisation, reflecting the services we provide END Drive up performance Scalability and greater geographic spread Increase future profitability Ease of on-boarding new contracts & demonstrable portfolio Become the MNS provider of choice Moving to an industry standard of Managed Services In Commercial Confidence

How are we going to change? People We will invest in you, to grow your expertise Detailed Learning Plan to enable multi-customer working Process Working with you to re-engineer our processes to ensure Lean delivery of service across our business Technology We are investing in a multi-customer access solution which will enable us to access any customer from any site. In Commercial Confidence

MSL Operating Model Design the organisation to meet the needs of the customer Multi-customer organisation, reflecting the services we provide The focus on the model design so far has been on the Operational teams and creating service streams in this area, outstanding was the review of the central functions which is now complete and has been signed off by Mark Whitley. At this time we also took the opportunity to review the Plan & Build & Field operations which had previously been separate, in order to create greater accountability and alignment of the end to end processes we have brought these areas under one Head Of position.

Central Functions Model Increase future profitability MSL Front Door – currently this function within MSL has mixed Focus and Remit, as it includes the Virgin Media Planning & Engineering team, project management and feasibility studies. The refined model sees this function reverting to what MSL needs it to be in order for us to focus on growing the business, and being able to respond to the opportunities for incremental work on existing contracts and new business, focused on making assessments on capability, effort and availability in response to requirements coming into our business.

Central Functions Model Increase future profitability Process Service Introduction & Change Currently this sits within the Front Door as some individuals project managing the introduction of new services and incremental contract requirements and handing them over to In-life operations. At the moment this process is ad-hoc and mainly built around one individual contract. The Service Introduction & change team will be focused on this end to end process, which will improve customer experience and reduce risk at operational handover as well as increasing the focus on successful business growth. This team will also be managing any major organisational change such as the Building a Better Business Program. In line with the BT Operate Lean program this team will also as an output of the BBB program introduce Lean Thinking and practices.

Central Functions Model Drive up performance Increase future profitability MSL Service Management Today Service Managers work direct to the Director of MSL and independently of each other, performance, vendor management and service improvement is matrix managed across multiple teams. This model creates greater focus on Service Management seeing proactive vendor management, service improvement and performance sat within a single group. The Head of this function will have single accountability for the performance and cost benefits of contracts across MSL.

Next Steps The next steps specific to the implementation of the Model are as follows: Comms Engage CWU presenting the refined model and comms plan. Implementation Detailed scoping of the new roles within the high level structure Sign off of new role descriptions Determine terms and conditions for new roles Advertise roles Analysis of old v new structure to determine implications for existing employees Determine options for existing employees Agree appointments process