Corporate Roundtable Discussion

April 4, 2011

Ten Areas of Discussion

• Transfer Volume

• Policy Changes Made Recently

• Policy Changes Contemplated

• What Works Well

• What Needs Improvement

• Relationship with Procurement

• Relationship with Talent Management

• Global Focus

• One Minute Advice to Service Industry Partner

• Other Areas of Discussion

Transfer Volume

• 40% above last year• Transfers decrease, new

hires increase• Same – ’10 up 60%• Same domestic, global up• Decrease – re-structure• Slight increase – but big

increase in Q1 – ’12

• Increasing• Down in ‘11• Same now but expect

decrease• Same – but more renters• Remain the same (4X)

CEO Confidence vs. GDP

Policy Changes Made

• Crating limit increased• Removed buy-out• Began home buy-out• Tweaked existing• None (4X)• Increased loss-on-sale

(5X)

• Implementing several large changes

• COLA, HHG audit, pre-decision counseling, list price restrictions (some in’11)

• Eliminated equity advance

• Local plus

Policy Changes Contemplated

• None for US – re-evaluating global home sale

• Creating more tiers

• Considering a Global policy

• List cap, revamp Lump Sum, full inspections

• Change from 4 tiers with no caps to 2 tiers with caps

• None (5X)

• Several due to sourcing to RMC

• Trip allowance grossed-up

• Implementing a commuter policy

• Considering list price restrictions

What Works Well in our Industry

• IRS Ruling, RMC knowledge

• Well established processes

• Simple services like HHG

• List cap, revamp Lump Sum, full inspections

• Hands on coordinator

• Flexibility

• 3rd party homesale process with right RMC

• Lump Sum allowances

• Synergy between service providers

• Benchmarking/Networking

• Wealth of information and willingness to share best practices

• Robust policies, strong 3rd party partnership

• HHG working smoothly

• Standard relocation policy

What Doesn’t Work Well in our Industry

• Communications, frequent mergers of providers

• Hiccups in financial markets, unreliable market data on appraisals

• Metrics reporting

• Appraisals; forecasting

• Outsourcing to foreign call centers

• Global assignment planning

• Synergy with lenders

• Exceptions to policy

• Improve pre-decision tasks to help transferees understand financial impact

• Our policy – temporary transfer to host country, employees lose home country benefits

• HHG claims process

Relationship with Procurement Department

• Counsel and analysis, but we make decision

• Partnership formed 10 years ago – work well together

• HR business partner • Procurement writes contracts

we’ve already negotiated• Procurement manages/runs

RFPs• Not involved in selection• Work closely together

• Good partnership, but we make final selection

• Minimal – we make decision, they secure contracts

• Excellent • Assist with RFI process• Fair• They provide a service to me,

but start over every 3 years• Working closely on

implementation

Relationship with Talent Management

• Not much – 99% of moves are internal

• HR focus heavy on talent – no relocation department

• Embedded in my function, mobility integral aspect of talent management

• Closely aligned and within talent management function

• We manage relocation once talent management decides who to move

• Work closely together on pre-decision and policies

• Work closely – consulted when final candidate selected

• Attend HR Talent Management meetings

• Work closely together• Very Good• Strong• We are partners – we provide

service to them • We are Career Management in

HR and are aligned with Talent Development – this is change as we were under Benefits

Importance of Global Issues

• Global is whole different animal

• 10% of volume, but much more complex

• I follow trends for understanding

• Of interest by no impact• Seeing more global

assignments• Important but do not manage• Very important even though

domestic is double global

• Increasing• No – we are all domestic• Not significant – had 10 then

brought them all back – now just two

• My role is global and majority of our moves are cross-border, minimal domestic except from a policy standpoint

One Minute Advice to Service Partner

• I value our partnership. Communication is key. Understand our culture. Responsiveness is key.

• Let’s get it right the first time. Follow established guidelines. Help us lessen anxiety of transferee.

• Proactively provide data on ongoing moves and suggest changes to our policy.

• Get out in front of everything, if you’re reacting it’s already too late.

• Communicate in method requested. Don’t let employee know first you’ve changed contact.

• Keep up the good work• Keep up the good work! Stay flexible

and responsive to your client’s needs.

• Our associates are what makes us successful. Make sure they get relocated smoothly and seamlessly and let us worry about the costs.

• Learn the culture of the company you are supporting.

• Listen well and pay attention to detail.• Keep trying to improve technology• Keep me up-to-date on industry

trends. Help me understand how my policies compare to others. Only do above after you have taken good care of my transferees.

• The best partnerships are when everyone is open and honest. Understanding we are all on the same team to get the job done facilitates success.

Other Areas of Discussion