1. 1992 – 2015 Confidential to The NorthPoint Group © Boston – Charlotte – Cleveland – Naples - NYC www.thenorthpointgroup.net All Rights Reserved Increase Value from Shared Services by: Shared Service Value Analysis Overview Optimizing the global operations footprint 1  Providing a strategic governance framework to:  Provide alignment between the services model and the business model (business goals and strategy)  Enhance business model and service model understanding and communication  Drive cultural change through collaboration  Identify the business risks and value opportunities with the analytics to eliminate the root cause of performance impediments  Improve standards, regulation and compliance process  Accurately identify the service performance compared to “Best-in-Class”  Identifying the unmet and unidentified needs to:  Identify innovation opportunities and the process to measure and deliver it  Transform business processes to be resilient  Improve the identification of the required data, information and knowledge to support the precision of decisions and the operational implementation of the strategies Smart integration of knowledge and technology that identify prescriptive actions and predictive intelligence for the path to peak performance and beyond

2. 1992 – 2015 Confidential to The NorthPoint Group © Boston – Charlotte – Cleveland – Naples - NYC www.thenorthpointgroup.net All Rights Reserved Shared Services points of failure and success factors… 2 Source: KPMG Quarterly Global Pulse Survey 3Q13  Shared services arrangements under increased pressure  Step one is cost and step two is not always defined…making value suspect after year two  Business units are expecting shared services organization to provide process innovation to transform their business processes  Collaborative/consultative approach to support is expected  Value and ROI of shared service initiatives not realized by the Enterprise Research (NorthPoint /service providers/advisors) shows that effective management of shared services is increasing in effort and time

3. 1992 – 2015 Confidential to The NorthPoint Group © Boston – Charlotte – Cleveland – Naples - NYC www.thenorthpointgroup.net All Rights Reserved NorthPoint’s SSVA software enables customer & SSO collaboration to identify concerns, issues, root causes and solutions to increase value realized… SSVA - What is it?  Objective assessment of the entire shared service relationship  Repeatable methodology to identify and quantify risk and value opportunities  Process to optimize the mix of human capital, service delivery models, process innovation and technology  Prescriptive product to address identified risks (create risk mitigation plan)  Software and database that identifies the fundamental business activities that are most important for maximizing value  Every step, task and process is weighted in terms of importance to the success of the relationship  Stakeholders give a consensus score on each of ~140 steps, tasks and processes during a facilitated session  Stakeholder session completed in a few hours  Analytic output is part of quarterly measurement meeting SSVA - How does it do it?  Enables key stakeholders to gain alignment on shared service strategies  Provides collaborative process to identify and develop new value opportunities based on analytics compared to “Best-in-Class”  Encourages Enterprise innovation that leads to strengthened relationships  Identifies “irritants” to be addressed before they become larger issues  Provides alignment with all stakeholders to value expectations  Prioritizes identified risk and value opportunities provided to improvement teams to work on root cause, solutions and implementation  Provides an approach and environment for continuously monitoring areas of potential risk and reward  Increases the value of the relationship by providing new ROI opportunities 3

4. 1992 – 2015 Confidential to The NorthPoint Group © Boston – Charlotte – Cleveland – Naples - NYC www.thenorthpointgroup.net All Rights Reserved NorthPoint’s Shared Service Value Analysis software-based assessment process delivers significant value to internal customers and the Shared Services Organization (SSO)  NorthPoint’s Shared Service Value Analysis (SSVA) software-based assessment process  Aligns the operating model for effectiveness and efficiency  Enables collaboration between the internal customers and the shared service organization (SSO) to maximize value realization and move the relationship to “Trusted Partner / Advisor”  Identifies internal customers’ strategic unmet and or unidentified needs in moving support functions and processes from just an efficiency play to one that focuses on business effectiveness and value propositions  Provides deep insight into the key business issues and organizational behaviors that provide opportunities for additional value realization  Provides comparison against “Best-in-Class” shared service data and trend analytics  Identifies risks / rewards of the emerging relationship or enhancing the current relationship 4 Organizations Using SSVA See Significant Improvement Improvement Value proposition of shared services27+% ROI for improvements to shared service22% - 26% Accuracy of data18% Common data definitions23% Security26% Business processes and costs19% - 26% Organization KEP TM 28% - 30%

5. 1992 – 2015 Confidential to The NorthPoint Group © Boston – Charlotte – Cleveland – Naples - NYC www.thenorthpointgroup.net All Rights Reserved SSVA maps the root cause of roadblocks and puts focus on gap closure through improvements based on ROI 5 Customer scoring for shared service provider performance improved significantly based on understanding of unmet and unidentified needs, implemented improvements to address those needs and an improved communications process Performance Score

6. 1992 – 2015 Confidential to The NorthPoint Group © Boston – Charlotte – Cleveland – Naples - NYC www.thenorthpointgroup.net All Rights Reserved Value delivered by SSVA 6  Speed  Takes a few hours to complete for both the SSO and Enterprise  Analytics  Key metrics for area being served and the shared services organization  Identifies the value propositions important to the business  Identifies the decision criteria of the customer  Accuracy of analytics  Every Fundamental Business Activity (FBA) is has its own weight of performance  Every assessment is benchmarked to “Best-in-Class”  Value  Substantially increases co-ownership of shared service initiatives  ROI for improvements made to shared service agreements ranges from 22% - 26%  Service improvements with better back up and redundancy  Improves the accuracy of the data and what it represents – 23% improvement in common data definitions and 18% improvement in data accuracy  Improves security on average by 26% and business processes by 19% (supported by 26% reduction in costs and 28-30% improvement in organization KEP TM )  Improves the value propositions of the shared services by over 27%  Provides knowledge to improve the shared service messages relative to improvements  Superior process for new capabilities to be provided by the shared services organization  Increases the knowledge of the customers real needs (unmet and unidentified)  Improves the alignment and support of the business leadership  Reduces the risk in the mind of the customer to work with the SSO  Buy-in and follow through on the assessment recommendations (collaborative process)  Deep understanding and improved teaming across both organizations (Enterprise & SSO)

7. 1992 – 2015 Confidential to The NorthPoint Group © Boston – Charlotte – Cleveland – Naples - NYC www.thenorthpointgroup.net All Rights Reserved Our process is rapid, knowledge based, and inclusive of all critical stakeholders impacted by the initiative… Baseline Shared Service Value Analysis Sessions for Customer & SSO Teams 7 Baseline Gap Analysis & Management Report Baseline Gap Analysis & Management Report Baseline Value-Risk Assessment Session Baseline Value-Risk Assessment Session Customer SSO Baseline Value-Risk Solution Session Baseline Value-Risk Solution Session Customer SSO Closing The Gaps Closing The Gaps Checkpoint SSVA Assessment Checkpoint SSVA Assessment NorthPoint process overview…  Step 1: Value-Risk Assessment (VRA) Session  Facilitated session with key stakeholders (1/2-day) separately with customer and SSO  Analyze and score statements comprised of the Fundamental Business Activities (FBA’s), as well as the supporting Steps, Tasks and Processes (STP’s)  Drive stakeholder alignment through facilitator-led consensus scoring for each FBA/STP  Capture key discussion points / issues  Step 2: Baseline Gap Analysis & Management Report  Predictive analytics and prescriptive activities to address  Step 3: Value-Risk Solution (VRS) Session  Facilitated session with key stakeholders (1/2-day), separately with customer and SSO to understand assessment results  Step 4: Closing the Gaps  The customer and SSO teams meet to review the gaps identified in the Baseline Assessment Sessions and discussed in the Solution Sessions in order to develop action plans  Gain deep understanding, buy-in and follow through across the organization from collaborative methodology  Step 5: Checkpoint Assessment Sessions Step 1 Step 2 Step 3 Step 5Step 4

8. 1992 – 2015 Confidential to The NorthPoint Group © Boston – Charlotte – Cleveland – Naples - NYC www.thenorthpointgroup.net All Rights Reserved Baseline SSO Value-Risk Assessment Session Baseline SSO Value-Risk Assessment Session  The ½-day Value-Risk Assessment is conducted during the “investigation” or delivery phases of the arrangement  Separate session for Customer and SSO Teams  SSVA analytical software is utilized to conduct the assessments Step 1: Baseline Customer and SSO Value-Risk Assessment Sessions 8 Baseline Customer Value-Risk Assessment Session Baseline Customer Value-Risk Assessment Session

9. 1992 – 2015 Confidential to The NorthPoint Group © Boston – Charlotte – Cleveland – Naples - NYC www.thenorthpointgroup.net All Rights Reserved Baseline SSO Value-Risk Assessment Session Baseline SSO Value-Risk Assessment Session  Customer team members evaluate, discuss and score how well the shared services organization meets their needs.  Customer team will understand: The governance processes that will be in place Value they will receive  Shared services team members evaluate, discuss and score how well they and shared service initiative will meet the value expectations & requirements of the customer.  Shared services team will understand: Problem the customer is trying to solve How the shared services team and the initiative will solve the problem Value requirements & expectations Value the shared service team commits to deliver Step 1: Baseline Customer and SSO Value-Risk Assessment Sessions 9 Baseline Customer Value-Risk Assessment Session Baseline Customer Value-Risk Assessment Session Improving performance requires moving beyond measuring Service Level Agreements (SLAs): Understanding the root cause of issues requires new measurements Identifying value propositions not previously known requires uncovering the unmet and unidentified needs of the enterprise and the enterprise’s customers

10. 1992 – 2015 Confidential to The NorthPoint Group © Boston – Charlotte – Cleveland – Naples - NYC www.thenorthpointgroup.net All Rights Reserved Then drill-down to the measurements required:  Monitoring & reporting  Value of delivered services  The process for measuring progress of implementation and delivered value  Shared Services impact on Time to Market and Time to Profitability  Improved use of capital  Enterprise benefits & flexibility  Flexibility of the shared services agreement to support modifications to the services to meet new market requirements  Value proposition based on resilient business processes  New knowledge added & improved innovation  Ability of Shared Services to add new knowledge, experience and performance and technologies to the Enterprise, as well as improved flexibility to manage the business  The value opportunities for the Enterprise due to the knowledge transfer and new technology such as cloud computing  The additional initiatives identified by the Shared Services team  The additional value propositions identified and delivered by the Shared Services team  Level of innovation in customer connectivity process 10 Step 1 continued: Understanding the root cause of issues requires new measurements Identify fundamental business activities to be assessed (examples)  Risks to managing the business effectively and efficiently  Ability of shared services organization to sponsor new innovations including new technologies like Cloud Computing  Impact on management flexibility on decisions  Shared service organization KEP TM (Knowledge, Experience and Performance) and how that KEP TM can add new value streams  Process to develop and maintain trust  Shared services organization’s technology and services impact on making changes  Strategy alignment providing opportunity to deliver new value propositions  Performance measures, business processes and management  Customer connection process  Governance model effectiveness

11. 1992 – 2015 Confidential to The NorthPoint Group © Boston – Charlotte – Cleveland – Naples - NYC www.thenorthpointgroup.net All Rights Reserved Step 1 continued: Identifying value propositions not previously known requires … …Uncovering the unmet and unidentified needs of the enterprise and the enterprise’s customers  Examples of areas to be probed include:  Changes to the Enterprise business infrastructure and/or customer infrastructure  Improve the cost/quality or ease of implementation of Enterprise products/services  Accelerate the receipt and understanding of new knowledge  Reduce and or improve the Enterprise’s and/or customers skill requirements  Reduce the cost of the Enterprise and / or customer information technology requirements  Reduce the overall Enterprise cost structure  Reduce the Enterprise capital requirements and expenditures  Etc. 11

12. 1992 – 2015 Confidential to The NorthPoint Group © Boston – Charlotte – Cleveland – Naples - NYC www.thenorthpointgroup.net All Rights Reserved Step 2: Customer & SSO sessions are compared to produce a gap analysis for critical insights for both customer (ABC Corp) and provider (GBS)… Baseline Gap Analysis & Management Report Baseline Gap Analysis & Management Report  SSVA proprietary database contains extensive market research and experience data on the value and “agreement risk” factors addressed during the decision cycle.  From the Baseline Customer & SSO sessions the database produces predictive analytics & prescriptive activities to address.  Gaps between the Baseline Performance Indices are analyzed and documented. 12 SSVA software, database and methodology equip the provider of a shared service initiative with a proactive and repeatable process to ensure they understand:  Gap between the value expectations and value requirements of their customer and the value committed to be delivered through the shared service initiative  Severity and nature of the gap  Activities required to minimize the gap  Priority of the steps to mitigate the risk in the customer’s mind  Value-based messages required to be successful in shared services ABC Corp GBS

13. 1992 – 2015 Confidential to The NorthPoint Group © Boston – Charlotte – Cleveland – Naples - NYC www.thenorthpointgroup.net All Rights Reserved Step 2: Understanding the gaps and what needs to be done to resolve the issues across the 12 categories 13 Baseline Gap Analysis (continued)  Team reviews the assessment output at the Fundamental Business Activity level to identify areas with significant performance issues. Then the team can look at the Steps, Tasks and Processes that support the FBA.  For each of the major areas assessed (component level-Fundamental Business Activity scoring) there is a detailed statement with the Team’s score of the related the Steps, Tasks and Processes.  Team scoring of the Steps, Tasks and Processes is the input to the Performance Profile Score  The lowest Performance Profile Scores indicate areas with the most significant improvement opportunities Team scoreStep, Task, Process 1.00GBS project team has developed an important and sustainable level of trust with ABC Corp and its management GBS provides all of the appropriate requested information with supporting details to its customers and new buyers 2.50GBS has established trust with ABC Corp that it will provide shared services and the associated value for ABC Corp 1.00GBS has successfully demonstrated its dedication to the success of ABC Corp 0.00Shared services project team is empowered to make critical decisions with customers and new buyers 1.00Shared Services project team has been successful in providing a clear and compelling case as to the value of its services GBS business process is effective and efficient in managing these types of shared services offerings 1.00Mutual trust established between GBS and ABC Corp has developed into a strong business relationship

14. 1992 – 2015 Confidential to The NorthPoint Group © Boston – Charlotte – Cleveland – Naples - NYC www.thenorthpointgroup.net All Rights Reserved Step 2: Prescriptive actions identified to resolve the issues and develop the plan to add more value to the organization 14 Baseline Gap Analysis (continued)  The team can now identify the prescriptive improvements required to improve performance for each Step, Task and Process  The Steps, Tasks and Processes in conjunction with the notes recorded in the software from the facilitated session (scoring of the statements) provides the knowledge required to address the root cause of the issues. *These Steps, Tasks and Processes support a Performance Profile result from the prior page  There is a new engagement process that has been initiated to exchange issues, from irritants to fundamental issues and missed opportunities, that is now an important part of the culture and performance improvement process.  There has been a quick path process implemented for the request and results of requested information for both the service provider, the ultimate customer and vice versa.  The process of full disclosure has been implemented and there is the process of engaging senior management in issues deemed critical.  The customers, users and service provider have completed a joint strategy session to improve the enterprise performance and resolve issues.  The assessment process has identified the unmet and unidentified needs and the associated ROI and is now tracking implementation of the improvements and the impact on EBITDA.  The team now makes the decisions and implements over 90% of the identified opportunities without prior approvals.  Each party has increased its scoring of the trust factors from 62% to 87% over the course of 3 assessments.  The SSO has improved its relationship and commitment with the end customers and users by over 80%. Team score Step, Task, Process 1.00GBS project team has developed an important and sustainable level of trust with ABC Corp and its management GBS provides all of the appropriate requested information with supporting details to its customers and new buyers 2.50GBS has established trust with ABC Corp that it will provide shared services and the associated value for ABC Corp 1.00GBS has successfully demonstrated its dedication to the success of ABC Corp 0.00Shared services project team is empowered to make critical decisions with customers and new buyers 1.00Shared Services project team has been successful in providing a clear and compelling case as to the value of its services GBS business process is effective and efficient in managing these types of shared services offerings 1.00Mutual trust established between GBS and ABC Corp has developed into a strong business relationship

15. 1992 – 2015 Confidential to The NorthPoint Group © Boston – Charlotte – Cleveland – Naples - NYC www.thenorthpointgroup.net All Rights Reserved Step 2: Deliverables developed from the software-based tool that identify areas that will require focus if improvements are to be made…  Management reports include:  Summary of “Best-in- Class” results, analysis, findings, conclusions on barriers to value & risk management recommendations  Summary of Baseline Sessions  Graphical outputs & comparative charts  Performance & risk metrics generated by comparing the shared service initiative to “Best-in-Class” within NP’s proprietary database. 15 GBS -provider ABC Corp

16. 1992 – 2015 Confidential to The NorthPoint Group © Boston – Charlotte – Cleveland – Naples - NYC www.thenorthpointgroup.net All Rights Reserved Baseline SSO Value-Risk Solution Session Baseline SSO Value-Risk Solution Session  Customer & SSO teams re-convene separately for a 1-day session to review VRA output Step 3: Baseline Customer and SSO Value-Risk Solution Sessions 16 Baseline Customer Value-Risk Solution Session Baseline Customer Value-Risk Solution Session Separate Performance Scorecards covering 12 value barriers prepared for the Customer (ABC Corp) and Shared Services View (GBS) ABC Corp

17. 1992 – 2015 Confidential to The NorthPoint Group © Boston – Charlotte – Cleveland – Naples - NYC www.thenorthpointgroup.net All Rights Reserved Step 3: Baseline Customer and SSO Value-Risk Solution Sessions (continued) 17 Separate Performance Scorecards prepared for the Customer (ABC Corp) and Shared Services (GBS) views that cover 14 fundamental activities

18. 1992 – 2015 Confidential to The NorthPoint Group © Boston – Charlotte – Cleveland – Naples - NYC www.thenorthpointgroup.net All Rights Reserved Step 4: Closing the Gaps Closing the Gaps  The customer and SSO teams meet to review the gaps identified in the Baseline Assessment Sessions and discussed in the Solution Sessions.  Leaders are identified to address the areas of low performance  Teams are commissioned, responsibilities assigned, metrics are defined and timeframes are agreed to.  SSO may be required to revise the support agreement resulting in:  Additions to shared services scope  Revised agreement 18 Closing The Gaps Closing The Gaps

19. 1992 – 2015 Confidential to The NorthPoint Group © Boston – Charlotte – Cleveland – Naples - NYC www.thenorthpointgroup.net All Rights Reserved Step 5: Checkpoint Assessment Sessions Checkpoint SSO Assessment Session Checkpoint SSO Assessment Session Checkpoint Customer Assessment Session Checkpoint Customer Assessment Session Checkpoint Gap Analysis & Management Report Checkpoint Gap Analysis & Management Report  SSO team meets to evaluate their value delivery commitments.  Session allows SSO to identify additional areas to provide value, beyond the agreement.  Customer team meets to evaluate value received versus value committed.  Customer team provides feedback on other issues, concerns or new requirements.  The data from both the Customer & SSO Checkpoint Sessions are embedded into the database in order to produce predictive analytics & prescriptive activities.  Any gaps between the Performance Indices are analyzed and documented.  Any areas that need to be improved or new customer requirements will be identified.  The management report will include the following:  Updated performance & risk metrics generated by comparing the shared services initiative to NP’s “Best-in-Class” database.  Mapping of Checkpoint metrics to Baseline metrics, identifying areas of improvement, change and areas that still need focus.  Redefine the value propositions to be delivered. 19 (Recommended every 90-120 days after Baseline completion) Customer & SSO Checkpoint Assessment Sessions can be combined to promote collaboration

20. 1992 – 2015 Confidential to The NorthPoint Group © Boston – Charlotte – Cleveland – Naples - NYC www.thenorthpointgroup.net All Rights Reserved SSVA helps move shared services arrangements from just an efficiency focus to more of a business effectiveness focus… Statement TypeIssues Covered as a % # of Statements 1Identify restrictive business processes that were an issue to the competitive advantage of customer 45.26%62 2Lead to new shared services opportunities for provider with customer34.31%47 3Brought out new issue that were a priority with customer35.77%49 4Brought serious issues with how the agreement was managed and administered 6.57%9 5Identify and initiate issues requiring resolution between business and shared services leadership 36.69%53 6Lead to new customer opportunities to improve their business processes33.58%46 7Lead to customer shared services scope changes27.74%38 8Identify gaps of issue resolution between shared services provider and customer 18.98%26 9Lead to new process improvements between shared services provider and customer 23.36%32 10Lead customer to accept new opportunities to improve relationship29.93%41 11Lead shared services provider and customer to collaborate together23.36%32 12Used as they applied to shared services provider and customer98.54%135 Economic / Management Results  Economic Results  ROI for SSO 19% to 28.8% (26 assessments)  ROI for Customer 22.3% to 26.2% (41 assessments)  Management Results  Number of issues that required resolution Yr. 1 – 15  Number of issues that required resolution Yr 2 – 20 20