October 24, 2014

HR TRANSFORMATION in SOCIETE GENERALE

Continuous Improvement and Evolution in HR Shared Service Centres

GROUP HUMAN RESOURCES DIVISION – DRHG/TRA/DIR

C1

| 12/5/2012 P.2 C1 | GROUP HUMAN RESOURCES DIVISION

CONTENTS

01_ SOCIETE GENERALE

02_ NEW SERVICE DELIVERY MODEL- FOCUS ON OUR HR SSC

03_ TRANSFER OF ACTIVITIES IN HR SSC

04_ CONTINUOUS IMPROVEMENT WITHIN HR SSC’S

05_LONG TERM POTENTIAL EVOLUTION OF HR SSC

| 24 October, 2014 P.3 C1 | GROUP HUMAN RESOURCES DIVISION

01

SOCIETE GENERALE

| 24 October, 2014 P.4 C1 | GROUP HUMAN RESOURCES DIVISION

SERVING OUR CUSTOMERS AND THE ECONOMY

SOCIETE GENERALE is a leading European Universal Bank

32 million clients

148 000 employees

Present in 76 countries

NBI EUR 23 bn

| 24 October, 2014 P.5 C1 | GROUP HUMAN RESOURCES DIVISION

CHAPTER 02

NEW SERVICE DELIVERY MODEL DEVELOPMENT OF OUR HR SSC

|

Organize global HR Operations

Simplify our HRIS

Leverage our 3 HR SSC

Put in place a Value Chain Approach

BUILD OUR NEW SERVICE DELIVERY MODEL OUR 4 PRIORITIES

24 October, 2014 P.6 C1 | GROUP HUMAN RESOURCES DIVISION

Technology

Information

Organization

&

Governance Process

Sourcing

Placement Skills &

Talents

SDM components

|

ENABLING OUR NEW SERIVICE DELIVERY MODEL PLACEMENT AS A KEY FACILITATOR LEVERAGING OUR 3 HR SSC

24 October, 2014 P.7 C1 | GROUP HUMAN RESOURCES DIVISION

Our 3 HR SSC

in Societe Generale

• Creation of the 1st onshore HR SSC in

France / PARIS - 2003

• Creation of HR SSC BANGALORE-

2010 for Asian & American entities & UK

• Creation of HR SSC BUCHAREST –

2012 for European entities

SGP

HKG

KOR JPN

CHN

IND SAU

USA

UK LUX

SW RO

HR SSC

BANGALORE

HR SSC

BUCHAREST

HR SSC

PARIS- CPP

Activities managed in

HR SSC

Workforce

administration

Learning distribution

Recruitment

administration

Contact Center

Reporting

Technology

Information

Organization

&

Governance Process

Sourcing

Placement Skills &

Talents

| 24 October, 2014 P.8 C1 | GROUP HUMAN RESOURCES DIVISION

CHAPTER 03

TRANSFER OF ACTIVITIES IN HR SSC OPPORTUNITY TO IMPROVE

| 24 October, 2014 P.9 C1 | GROUP HUMAN RESOURCES DIVISION

Reminder: Rebalancing between our HR SSC to capitalize on the strengths of each HR SSC

SGP

HKG

KOR

JPN

CHN

IND

SAU

USA

UK

LUX

SW

RO

HR SSC

BANGALORE

HR SSC

BUCHAREST

HR SSC

PARIS- CPP

Creation 2012

International scope

Multi languages

Creation 2003

French activities

| 24 October, 2014 P.10 C1 | GROUP HUMAN RESOURCES DIVISION

Some processes have been simplified just before

the transfer

• Knowledge transfer: an opportunity to challenge the AS IS

while writing/ rewriting / understanding procedures

• Quick wins

Employees files dematerialization as an major lever

of optimization

• Improve the operational efficiency – optimize document

processing (accessibility, storage, traceability….)

• Strengthen personnel data security

• Limit operational risks and improve document traceability

• Homogenize file processing, Unify the personal

administrative files, Take a first step in aligning processes

with legal requirements and constraints

During the project some improvements…

| 24 October, 2014 P.11 C1 | GROUP HUMAN RESOURCES DIVISION

CHAPTER 04

WITHIN BUCHAREST HR SSC EXAMPLE OF A CONTINUOUS IMPROVEMENT APPROACH

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Creation 2012

150 agents, HR & BPO expertise

mix, 70% French speakers

Activities

• Contact Center & HR operations

• HR IS & Reporting

• Transition & Quality

• Average of 25k tickets processed each

month

Geographical scope :

SOCIETE GENERALE BUCHAREST HR SSC In a nutshell

2012

Foundation

Romania & Corporate processes (French, English, Romanian)

2013

International Expansion

Luxembourg, Switzerland, Corporate processes in Czech & Russian

2014

New step: FRANCE operations

Bucharest as a regional Center of Excellence for HRIS deployment

| 24 October, 2014 P.13 C1 | GROUP HUMAN RESOURCES DIVISION

SOCIETE GENERALE BUCHAREST HR SSC Current organization

HR SSC LEAD

Contact Center Europe

Operations France

Operations

Relationship Management

Transition & Continuous

Improvement

HRIS & Reporting

ONE TEAM

|

Robust & agile model

People

Quality & CRM

Risk mgt Technology

Transition methodology

24 October, 2014 P.14 C1 | GROUP HUMAN RESOURCES DIVISION

SOCIETE GENERALE BUCHAREST HR SSC Robust and agile model

|

10/24/2014 P.15

Continuous Improvement Portfolio

Innovation

Minimize risk

Risk Mngt. Quality

SOCIETE GENERALE BUCHAREST HR SSC Continuous improvement approach

Create a quality culture within

SG HR SSC BUCHAREST

Initiatives: •Visual Performance

Management

•IDEA Program

•Quality Newsletter

•L6S certifications

Address risk in a proactive

manner & increase

transparency

Initiatives: •Knowledge Mngt – Standard

Operating Procedures audit

•Incident Framework

| 16

Provide management with the appropriate tools for measuring teams’

productivity

Increase awareness within operational teams in terms of overall performance

Focus on :

Accuracy

• Quality Checks Client: complains from customer

• Quality Checks Cross Teams: complains from other SSC teams

• Quality Checks Internal: random daily checks

Productivity

A FINAL RANKING is calculated for each individual based on productivity % and accuracy %

The winners are announced on a

weekly

monthly

quarterly

yearly basis

SOCIETE GENERALE BUCHAREST HR SSC Visual performance management

| 17

4 months results: 64 Ideas submitted 26 Ideas implemented

Olympics in Six Sigma

2013

• ~20 Lean Ideas implemented

• 2 Six Sigma Projects implemented

IDEA Program

2014

• Teams passing stabilization phase: 50% of the team members to have 1 lean idea implemented by FY14

• Teams under stabilization: 10% of the team members to have 1 lean idea implemented by FY14

SOCIETE GENERALE BUCHAREST HR SSC IDEA program

| 18

Lean6Sigma Certifications

2013/2014: Green Belt certifications Black Belt certification

Quality Awareness Lean6Sigma Training sessions

•2013 – Green Belt training session organized •2014 Objectives:

• Green Belt Training • Lean Management/BPM Overview • Yellow Belt Trainings – 40% of the overall population – HR

SSC trainers

Quality Newsletter

SOCIETE GENERALE BUCHAREST HR SSC Quality awareness & L6S certifications

| 24 October, 2014 P.19 C1 | GROUP HUMAN RESOURCES DIVISION

CHAPTER 05

LONG TERM POTENTIAL EVOLUTION OF HR SSC

| DATE 00/00/2011 P.20 C1 | CORPORATE HUMAN RESOURCES DIVISION

HR TRANSFORMATION JOURNEY A HIGH POTENTIAL OPERATING MODEL BASED ON SHARED SERVICE CENTERS

EXTENSION OF RANGE OF SERVICES

New activities handled by SSC

GLOBALIZATION OF SPECIFIC SERVICES

One service can be globally handled by one SSC

EXPANSION OF GEOGRAPHIC COVERAGE

New countries transfer their activities to a SSC

DECOUPLING

Split of a process between different SSCs

INTEROPERABILITY

Each SSC can replace an other SSC

Early Stage

1

5

4

3

2

STANDARDIZATION OF PROCESSES

Industrialization & standardization

6