1. Supplier Development partnership with McKinsey & Company
Eskom Top Consultant Programme
February 2016
Delivering sustainable, verifiable and significant value

2. Reference Documentation
The framework proposed in this document is supported by:
TMC’s human capital management plan
The “Partnership Principles” memorandum dated 15 December 2015
The SD&L annexure to the MSA

3. Partnership Principles
Deliver impact in identified areas to turnaround Eskom. Any financial benefits will be an outcome of the impact delivered
We will put our client’s interests before ours and not instigate or participate in projects that will be detrimental to the client’s long term sustainability
McKinsey will be the lead partner in the programme and will be responsible for architecting the solutions to deliver the identified impact
McKinsey and Trillian are committed to building Trillian Management Consulting into a highly successful and skilled management consultancy on the back of the Eskom Turnaround programme. Trillian commits to hiring and retaining the necessary ‘pyramid’ of consultants, managers and project directors to build a sustainable consultancy
Trillian will provide the generalist and specialist skills required on the programmes being conducted together with McKinsey. McKinsey will be responsible for specifying the profiles needed and, in the case of experts, where they can sourced (including from Trillian’s sub-contractors like eGateway).
Trillian will develop a people development approach that enables it to, in due course (12-18 months out) take over and independently run elements of the programme based on a ‘recipe’ developed and proven by McKinsey. McKinsey’s role in these instances will be to provide leadership support and interventions should corrective action be required.
McKinsey commits to dealing with Trillian’s sub-contractors with respect and an open mind.
Trillian’s sub-contractors will from time to time propose with levers/ideas/tools that will increase the value of the benefits to Eskom and thereby the total fees earned by the consortium. These additions will not change the split of fees that has been agreed by the consortium up front
Trillian’s subcontractors may from time to time agree with Eskom to perform projects that are not currently envisioned in the programme. The partnership should have the ‘first right of refusal’ to include these in the programme. In addition, these projects should not detract from the partnership’s ability to deliver on its mandate
McKinsey commits to the focusing on and creating development and growth for the Trillian Management Consulting executive team- Bianca and Ben

4. Company Development Rights & Obligations
McKinsey & Company
Trillian Management Consulting 1.
Sustainable Human Capital Growth
Using the Top Consultants Programme as the vehicle
Provide input into achievement of a sustainable ‘pyramid’
Provide input into human capital retention strategies
Provide input into human capital selection & development processes
Execute on agreed growth strategy / projection / schedule
Incorporate recommendations into business process and execute
Proactively, credibly and routinely provide information on process progression and maturity 2.
Management Consulting IP development through impact delivery
Using the Top Consultants Programme as the vehicle:
Derive optimised delivery approaches by leveraging expertise from both companies
Acknowledge and respect expertise
Put impact delivery first before TMC development

5. Company Development KPIs
Initiation Phase
<H1 2016
Continuous Development Phase
>H 1.
TMC to ‘sign off’ pyramid
Resource count against ‘pyramid 2.
TMC to ‘sign off’ retention strategies
Attrition rate should align with that of McKinsey’s on the program 3.
TMC to ‘sign off’ on selection processes
Resource count of acquired talent
Selection KPI tracking:
No. of candidates at selection gate 1
No. of candidates at selection gate 2 etc

6. Human Capital Development Rights & Obligations
McKinsey & Company
Trillian Management Consulting 1.
Resource schedule for the programme
Share envisaged resource schedule
Leverage respective company strengths / expertise
Include business objectives for TMC
TMC representation across all role types
TMC representation across work packages
Aligned to a sustainable ‘pyramid’ for TMC
Lead time on schedule development must align with selection process / talent development timelines
Provide resources towards delivery 2.
Collaborative Selection process
Included in final stage of selection process
Recommendations considered with equal respect
Provide detailed requirements for roles that align to TMC business objectives
Comply with principles of selection i.e. team diversity
Execute the selection process proactively
Commit to collaboration on final selection 3
Talent development
Provide input into talent development: ‘developed and proven recipe’
Support in execution – on the job
Support in execution – McKinsey training
Working capital investment to talent development
Execute stringent monitor and control
Strictly comply with agreed program
Provide talent incentives to retain developed and developing talent

7. Human Capital Development KPIs
Initiation Phase
<H1 2016
Continuous Development Phase
>H 1.
TMC & McKinsey to ‘sign off’ resource schedule
Resource count against schedule 2.
TMC & McKinsey to ‘sign off’ competency model
Attrition rate of TMC resources on programme
Count of resources not found to suitable that have come through the agreed selection process 3.
TMC & McKinsey to ‘sign off’ on talent development processes
Resource tacking through the talent development process:
Subjective measure of TMC resources in development programme
Count of resource attendance to formal training

8. Programme Management & Involvement Rights & Obligations (1/2)
McKinsey & Company
Trillian Management Consulting 1.
Input & contribution
Acknowledgement that McKinsey leads delivery
Accept that TMC’s approach requires structure
Collaboratively compile schedule to achieve TMC delivery lead
Respectfully support McKinsey delivery lead processes
Comply with agreed schedule for TMC delivery lead 2.
Respect
Respect TMCs expertise
Respect TMCs team diversity
Put respect before business objectives
Respect TMCs input
Respect McKinsey’s expertise
Respect McKinsey’s team diversity
Contribute 3
Representation
Include TMC representatives in all engagements related to the programme
Contribute in engagements
All matters that impact business operations must be discussed with the TMC representative that is nominated to effect change 4.
Information sharing
Proactively and transparently share information as it relates to the full mandate of the programme

9. Programme Management & Involvement Rights & Obligations (2/2)
McKinsey & Company
Trillian Management Consulting 5.
Decisions & Governance
Although McKinsey currently leads delivery, risk is shared by both companies. As such, decisions pertaining to delivery must be joint
Collaboratively derive a mechanism to make joint decisions that reflect the supplier development framework
Escalation processes must be put in place for any deviations from the supplier development framework 6.
Communication
The health of the partnership is compromised if communication is not effective, succinct, efficient and consistent
Both companies must compile a joint communication plan on a shared platform that ensures that messages are received consistently and timeously

10. Programme Management & Involvement KPIs
Initiation Phase
<H1 2016
Continuous Development Phase
>H 1.
Sign off on Supplier Development framework
Team satisfaction KPI
Client satisfaction KPI 2.
Client Impact KPIs per work-stream 3.
Team barometer
KPIs to be derived jointly …

11. Supporting Information
Human Capital Development

12. Human Capital Management Framework
People
Talent
Role Profiling
Organisation
Culture
People
Systems
Process
Process
Systems
Selection
Talent Development
Career & Succession
Change Management
ERP
Workforce Planning
Benefits Management
Time & Attendance

13. People
Trillian Management Consulting will attract, retain and develop their human capital to reflect their consistent excellent standard of delivery
In doing so, our teams will embrace and further instil our culture of over-achievement through excellence whilst demonstrating an inherent passion for their clients solution

14. People > Talent Human Capital Management Plan
TMC will adopt the proven organisation design for the Service Industry
Directors
Partners
Engagement Managers
Associates
Analysts
Directors
Compile the vision and strategy of the business
Manage strategic relationships
Drive business development
Partners
Manage Operational relationships
Translate the strategy into operational work plans
Execute leadership development process
Execute business development plans
Engagement Managers
Execute operational work plans
Lead delivery
Manage operational teams
Associates & Analysts
Execute operational work plans
Lead delivery
Manage operational teams

15. People > Role Profiling Human Capital Management Plan
Competency Group
Competency
Analyst
Associate
Engagement
Manager
Partner
Research &
Analysis
Research
Quantitative analysis
Qualitative analysis
Problem Solving
Problem structuring & solving
Issue identification & hypothesis generation
Creativity
Communication
Verbal communication
Written communication
Self awareness
Client Orientation
Client understanding
Client management
Client relationship building
People Management & Development
Developing self & others
Team management
Organisation & Execution
Organisation & execution
Risk mindfulness
Knowledge
Acquisition, creation and capture
Sharing & application
Leadership
Professionalism, maturity
Business development
Important throughout career
Focus skill of current role
Lower emphasis for this role

16. People > Organisation (2/2) Human Capital Management Plan
… recommended initial organisation (6 Months)
Bianca & Ben
Partner 1
EM 11
Associate 111
Analyst 1111
Associate 112
Analyst 1121
EM 12
Partner 2
EM 21
Associate 211
EM 22
Associate 221
Analyst 2211
Associate 222
Associate 224
Analyst 2241
Directors = 2
Partners = 2
EMs = 4
Associates = 7
Associates =4

17. Process > Selection (2/2) Human Capital Management Plan
1st
Role Profile provided to Recruiting Agency / Other
TMC receives CVs of candidates
1st Gate Review:
TMC shortlist CVs
Shortlisted against formal qualifications and the appropriate experience
2nd
1st Interview: HR
2nd Gate Review:
Research & Analysis
Communication
Problem Solving
Remuneration Expectations
3rd
3rd Gate Review:
2nd Interview: Case Study
Problem Diagnostic
Client Orientation
Communication
Value Proposition
4th
4th Gate Review:
Detailed Psychometric Evaluation
MCPA Interview
OPQ and Ability
EQI
5th
5th Gate Review:
3rd Interview: Panel Discussion
Communication
Group Dynamic & Fit
Leadership

18. Supporting Information
Talent Development

19. Process > Talent Development (1/2) Human Capital Management Plan
Role
Development Path
Partners
In 2 – 5 years, our Partners will become value execution experts within an industry / country. They will create and distil IP whilst being recognised as exemplary leaders within the organisation
Engagement Managers
In 2-4 years, our Engagement Managers will master:
Client orientation
People management
Risk identification & mitigation
Delivery methods
Associates
In 2 – 4 years, our Associates will master:
Problem solving
Negotiated communication skills
Effective interpretation and application of data analytics
Industry awareness
Analyst
In 2 – 3 years, our Analysts are required to master:
Data analytics
Multiple client exposure
Multiple industry exposure
Multiple cultural exposure
Effective and appropriate communication skills including articulation, the appropriate use of communication tools and methods and the inherent adaptation of “measure and control” towards effectiveness

20. Process > Talent Development (2/2) Human Capital Management Plan
Performance Management
Performance management will be mandatory at the end of each project roll-off or every 6 months, which ever is sooner
On consistent achievement of role expectations, each team member will have to demonstrate at least 40% of the senior role competencies, as a prerequisite towards a promotion
Performance management will be based on the 360-principle ensuring that evaluation is objective and fair to the team member
Mentorship
TMC team members will learn the value of team membership through an internal mentorship program such that each employee is assigned a mentor to assist with informal development requirements
Where possible and appropriate, TMC will leverage client and strategic partner networks for external mentorship programs
Exposure
TMC team members will be gain exposure across the portfolio of projects to gain broad experience and learn how the adaption of skills from across organisations, industries and culture
Through strategic partnerships, TMC team members to be exposed to expert skills and different approaches to business processes
Formal Training
Formal training will be provided as part of the identified development needs of the team member

21. Supporting Information
Ramp Up

22. Proposed Human Capital Ramp Up
The proposed resource plan is indicative for role distribution and does not reflect the actual resource requirements informed by scope.

23. Supporting Information
Trillian Management Consulting (February 2016)

24. Resources