HR Outsourcing Presentation Tampa, FL August 21, 2002

1. HR Outsourcing Presentation Tampa, FL August 21, 2002 Convergys Proprietary

2. Key Messages • Outline the core team members who will partner with the State of Florida. • Convey our commitment to keeping jobs in the State of Florida. • Illustrate our core competence model for providing HR outsourcing services to leading organizations. • Instill confidence in our ability to leverage “Best Practices” to improve the quality of service to State employees.

3. Agenda • 1. Introductions • 2. HR Service Delivery Model • 3. Our Transition Methodology • 4. Transition Overview

4. Core Team Members –A winning combination Business Entity Roles / Responsibility Key Facts • Publicly held corporation; Traded NYSE: symbol CVG • Member S&P 500 • Leading provider of Employee Care Services • Former Governor’s Sterling Award Winner • Primary provider for solution and overall service delivery • Project Management; Best Practices • Service Center • Architecture; HRIS Application • Web based tools • Surveys • Subcontractor • Consulting • Current State Assessment / To Be Design • Change Enablement (communication) • Global professional services • Recognized worldwide of helping clients improve their business performance • Subcontractor • Front End Applicant Tracking • Advertising and Screening • Leading provider of Talent Relationship Management • Web based application designed to hire better people faster TAG The Allen Group • Subcontractor • EAP • Minority Business, Headquartered within Florida • Certified, Licensed Professional Providers • National Network with 24 hours assistance

5. Agenda • 1. Introductions • 2. HR Service Delivery Model • 3. Our Transition Methodology • 4. Transition Overview

6. HR Service Delivery Model – Overview Considers special needs of State Agencies Leverages leading HR platform, SAP Delivers proven implementation process Supports “One Florida Plan” and “Service First” Provides an experienced team with broad HR competency

7. HR Service Delivery Model – Transition Team Structure • Project Lead • Program Leadership and accountability • Builds, leads & manages an integrated operational team • PMO • Manages the process & progress of the overall program • Manages & contains risk Steering Committee State of Florida DMS Executives

8. HR Service Delivery Model –Service Overview

9. HR Service Delivery Model –“One Touch” “One Touch” Vision • Integrated Contact Service Centers located in Florida • HR Portal enabled with KMS • Communication Vehicle and Survey Instrument • Employee and Manager Self Service • Flexible SAP R/3 Human Resources Software Platform • Centralized Contact Tracking and Case Management • Dedicated Team • Experienced Management • Professional HR Specialists cross-trained in multiple HR areas • Continuous Learning Environment • Implementation Experience • Performance Measurements and Evaluation • Process Improvements • World Class Voice and Data Centers • Enhanced Reporting Tools • Fulfillment “One Touch” Service Model • Tier 0 - Employee Self-Service (IVR, Web) • Tier 1 - Service Center (Inquiry, Transactions, and Assistance) • Tier 2 - Escalation, Appeals, and Case Management Support • Tier 3 - Strategic Design / State of Florida HR Management Escalation

10. HR Service Delivery Model –The Convergys Difference • Dedicated Support Model • Culture of the Client • Experience • Ongoing Training & Development • Flexibility • Commitment to Quality • Partner vs. Vendor Approach • Proactive vs. Reactive • Accurate and Easily Accessible Information • Increased Employee Satisfaction

11. HR Service Delivery Model –Potential Job Opportunities Support Positions Operations and Service Center • Project Management • Blueprinting • Transition • Technology • Requirements Analysts • Developers • Quality Assurance • Training • Instructional Analysts • Course Writers • Instructors • Leadership • Operations Management • Team Leaders • Subject Matter Experts • Employee Care Specialists • Tier 1 • Tier 2 • Subject Matter Experts • Reporting • Process & Quality • Audit • Vendor Management

12. Agenda • 1. Introductions • 2. HR Service Delivery Model • 3. Our Transition Methodology • 4. Transition Overview

13. Our Transition Methodology –How Do We Get There? • Organization Structure • Culture • Values • Training • Communication Methods People • Quality • Change Enablement • Audits • Global Best Practices • Business Continuity • Systems • Telecom • Databases • Connectivity • Reports Process Technology

14. Our Transition Methodology –The Process Phases Sign-Off Sign-Off Business Blueprint Project Preparation Configure (Realization) Test & Staff (Final Prep.) “Go Live” • Plan and prepare for the project • Define common terminology • Gather Technical Requirements • Gather Business Requirements • Define Interfaces • Scope Definition • Implement the requirements as defined in the Blueprint • Perform final Integration testing • Staff the Service Center • Staff Training • Perform User Acceptance Testing • First Contact! • Transition to ongoing Operations QA checkpoints Project Management (Project Plan, Meetings, Issue/Risk Management) Change Enablement and Communication

15. Our Transition Methodology – The Process Activities User Acceptance Testing SIGN-OFF SCOPE SIGN-OFF Project Preparation Business Blueprint Configure (Realization) Test & Staff (Final Prep.) “Go Live” • People • develop operating model • develop role profiles • develop metrics • Process • create process designs • determine design drivers • assess legal / regulatory impact • Technology • define detailed technical designs • design technical architecture • define contract methods • Process • conduct current state analysis • identify outsource options • Technology • confirm data requirements • define data conversion details • plan transition timescales • People • implement new model • conduct training • create support systems • select residual workforce • Process • create process maps • develop user documentation • Technology • build finalized programs / interfaces • prepare data for conversion • implement technical infrastructure • integrate service center • Process • develop migration strategy • manage ‘go live’ transition • provide post ‘go live’ support • establish continuous improvement policies QA checkpoints Project Management Change Enablement and Communication

16. Our Transition Methodology - How does Change Enablement help? Internalization Ownership Buy-in Awareness Unaware Institutionalization Adoption Try-out Self-concern Stages of commitment Understanding Leadership Performance management & Cultural alignment Communication Determine readiness Involvement Education Selected Change Enablement activities

17. Our Transition Methodology - The role of communication • Communication is consistent • Communication occurs by intention, not default • Miscommunication/rumours/maverick initiatives are minimized • Initiatives are supported effectively • Communication efforts are coordinated • Communication relates to the timing of change - providing support at the right time • All stakeholders are considered and covered

18. Our Transition Methodology -What should good communication be like? Good quality communication incorporates the following principles: • Consistent in frequency • Official communication is credible and convincing • Targeted to audience groups • Honest and accurate • Clear- avoids management jargon • All managers feel they own the messagesand are adequately skilled to deliver them • Media used is appropriate for message and audience • Well planned • Timely- employees hear from official sources first- beats rumour/unofficial/external sources • Open- everything is communicated unless there is a valid reason not to • Transparent- rationale and background for decisions are given • Good and bad news are communicated • Two-way- feedback involvement and dialogue also encouraged- and constructively responded to • Built in to day-to-day management processes

19. Our Transition Methodology - Communication Messages To embrace change, people need The Four P’s: the purpose, a picture, the plan, and a part to play • Explain the basic purpose and logic behind the change • Paint a picture of how the outcome of the change will look and feel • Lay out a step-by-step plan for the phasing the change • Give people a part to play in the plan

20. Our Transition Methodology - How can reactions to Change be addressed? Awareness Understanding Buy-in Ownership • Newsletters • Memos • Voicemails • Bulletin Boards • Kickoff/update meetings • E-mail • Meetings with 2-way dialogue (town hall meetings, brown bags) • Q&A sessions/ Frequently Asked Questions (FAQ) sheets • Development • Change Agents • Workshops • Meetings with 2-way dialogue (town hall mtgs, brown bags) • Q&A sessions/ Frequently Asked Questions (FAQ) sheets • Design/Testing/Prototype • Change Agents • Change Agents • Project participation • Face-to-face meetings • Training Uncertainty/ Uninformed Optimism Exploration Skepticism Communication Communication and Involvement Communication, Involvement and Training Possible starting points

21. Our Transition Methodology - How will we know we are successful? • Change is readily accepted • Ambiguity is reduced - people know what’s going on with the Project • A consistent message is delivered • Communication follows key Project milestones • The rationale and benefits of the change are understood by employees • The grapevine is managed and used for positive purposes • A feedback loop is utilized now and in future change initiatives

22. Agenda • 1. Introductions • 2. HR Service Delivery Model • 3. Our Transition Methodology • 4. Transition Overview

23. Integrated Employee Service Centers Management Reporting & Metrics World Class Data Centers Innovative Employee Contact Mgt. Solutions Audit/ & Compliance Platform Maintenance Proj. Mgt./ Implementation HR Portal/ESS/ MSS Solutions ERM/Research Transition Overview - Services to be Outsourced • Payroll Administration focused on Time, Attendance and Leave processing (State retains Payroll Production) • Benefits Administration including COBRA and FSA • Human Resource Administration (State retains Employee Relations) • Staffing Administration • HR Learning (State retains Agency specific training)

24. Transition Overview - Program Management Discipline Best Practices Tangible Benefits • Project Management Office • Certified Processes • Standard Approach • Scope Definition (Blueprint) • Milestones w/ Critical Path • Communication • Standard Controls • Integrated Project Plan(s) • Budget / Cost Management • Risk Management • Resource Planning • Web-based PMO tools • A proven methodology • Depth & breadth of experience • A shared commitment for success • Prioritized work plan delivering early results • Senior management involvement through the Steering Committee

25. Transition Overview - Program Management Tools

26. Transition Overview - How does the Business Blueprint Process works? Individual and facilitated sessions with the Agencies in order to understand the current HR environment. Data Gathering Assessment Documentation of the GAP between the current operating environment of the State Agencies as benchmarked against our Best Practice model. The Transition team will walkthrough the entire Blueprint document deliverables with the State to ensure a complete understanding of the components. Blueprint Walkthrough Approval from State to move into the next phase of Transition. Receive State Signoff Start Realization Phase Define the next steps regarding how the Realization Process works.

27. Transition Overview - Key deliverables of the Business Blueprint Phase • Gap Assessment • Best Practice Process Flows • Change Management Plan • Training Plan for End Users • Data Interface Plan • Business Continuity Plan

28. Transition Overview - What we need from you during the Business Blueprint Phase • Provide access to your key senior HR personnel in order to gain the insight needed to assess the current state • Schedule a current state interview session within the next 7 business days • Identify the means by which you currently communicate to your employees

29. Key Messages We have the right team to partner with the State of Florida. We our commitment to keeping jobs in the State of Florida. Our core competence is providing HR outsourcing services to leading organizations. We leverage “Best Practices” to improve the quality of service to State employees.