Steria Corporate brochure - At the heart of Digital Transformation: Steria in 2014

Transformation for a better worldAt the Heart of Digital TransformationSteria in 2014

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For more than 45 years Steria has made available a wealth of expertise and long-term experience of digital technology to clients largely in three key markets: the public sector, banking & insurance, and utilities. Together we make the world simpler. How? With the delivery of IT-enabled business services allowing us to be the best partner in their transformation.Thanks to our Domains of Excellence, we are committed to helping our clients achieve their strategic objectives, in a world that is more collaborative and more sustainable.This is how we help our clients make life easier for their customers.


p.02 2013 Key Figures Group Performance and worldwide presence

p.04 Some key achievements in 2013 p.04 SSCL

p.06 Schengen SIS II

p.08 India’s Uttar Pradesh Police

p.10 Big Data/Analytics

p.12 Security

p.14 “The world as I see it” by François Enaud, Steria Group CEO

p.16 Governance

p.18 Strategy Making life simpler through digital transformation

p.20 Core Markets Delivering change in key sectors

p.24 Banking & InsuranceSupporting compliance and profitability

p.28 Utilities, Energy, Transport and Telecoms & MediaSmart thinking

p.20 Public sector Finding radical new delivery models

p.32 Domains of Excellence An in-depth sector knowledge

p.36 Service Lines Essential IT-enabled business services

p.38 Stock Market Overview

Contents

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2013 Key Figures02

groupperformance

2011 2012 2013

1,748 1,7551,827

By country

UK 39%

France 32%

Germany 14%

Rest of Europe 15%

By business sector

Public sector 40%

Finance 22%

Energy-Utilities / Telco-Media / Transport 27%

Other 11%

2013 Revenue

Revenue over the last three financial years(in e millions)

Workforce 110.4or 6.3% of revenue

224Operating margin Net financial debt

1,755Revenue

393 24.17%including ‘SET Trust’ and ‘XEBT Trust’(3.90% of capital)

Shareholders’ equity Employee shareholding

2011 2012 2013

19,988 19,81220,293

2013 Group performance(in e millions)

All figures at 31/12/2013.


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Group sites and workforce

A proven model combining the best ofon-shore/near-shore/off-shore delivery.(30% of our staff are based off-shore)

On-shore 13 countriesNear-shore Poland, MoroccoOff-shore India

Delivering locally and globally

Morocco 80India 4,703Asia 49

Denmark 154Norway 898Sweden 88Poland 479

United Kingdom 5,365France 6,393Belux 244Germany and Austria 1,679Switzerland 161

Steria business expertise

InfrastructureManagement

Consulting and Systems Integration

Business ProcessOutsourcing (BPO)

ApplicationManagement

30%18%

35% 17%


04 SHARED SERVICES CONNECTED Ltd. (SSCL)Some key achievements in 2013

On 1 November 2013, a landmark contract, worth more than £1bn over 10 years, established SSCL as a joint venture between Steria (75%) and the UK Cabinet Offi ce (25%). Steria brings leading edge know-how in operating shared services at scale to address the challenge of transforming back offi ce functions across the public sector. We combine that with specialist expertise in Big Data and Analytics to unleash the full potential of the wealth of data held in the systems that support functions such as procurement, fi nance, payroll and HR services. Government departments and agencies, including DWP, Defra, and the Environment Agency, will benefi t from huge economies of scale as a result of SSCL’s shared service model, as well as from the adoption of common processes and systems and continuous improvement in service quality.

Steria’s expertise in shared services supports government effi ciency drive

Learn more!www.steria.com/government/

SSCL


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A joint venture between Steria and the UK Cabinet Offi ce Contract potentially worth in excess of £1bn over 10 years

UNITED KINGDOM

KEY FIGURES

We are delighted to be able to play our part in helping the UK Government address its efficiency challenges and transform its ways of working. Through working in true partnership, we want to build a sustainable growth model that will create new UK job opportunities in future and deliver long-term benefits to the UK economy.

John Torrie, Steria CEO United Kingdom and Asia

160,000 current users served

ACCROSS

13 different public sector organisations


06 SCHENGEN SIS IISome key achievements in 2013

In 2004 the European Commission awarded an international consortium led by Steria the contract to deploy an upgraded version of the Schengen Information System (SIS). This is the system harmonising external border controls to allow free movement inside the Schengen Area of Europe.The new system SIS II is connected with 28 Schengen states and incorporates new technologies, such as biometrics. It allows the secure sharing of large amounts of information, such as alerts on wanted people or stolen aircraft, via a distributed system (SOA, web services). For a more complete set of information, SIS II and VIS (see opposite) run on a common technical platform.

Increasing security while opening borders in Europe’s Schengen Area

Learn more!www.steria.com/system-to-system-interoperability/

Schengen SIS II


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28 Schengen states connected 300 IT systems simultaneously implemented in

this large-scale project

EUROPE

MORE ABOUT COLLABORATION WITH THE EUROPEAN COMMISSIONSteria is a trusted partner to the European Commission in its pursuit of safer, more secure borders, travel and trade.

VISA INFORMATION SYSTEM (VIS) Steria created and deployed a large-scale information system known as VIS to handle visa requests from travelers entering European countries in the Schengen Area. VIS has allowed information to be shared between Member States concerning requests, acceptances and refusals of visas.

TAXUDSteria is helping in the modernisation of the mission-critical communications network used by European Union member states to share customs and tax information and protect against tax and customs fraud. The new network (CCN2) provides mission-critical interoperability and communications links between the 28 EU member states’ customs and tax operations and the multiple systems in operation across the region.

This project demonstrates the vast experience Steria has to offer with mission-critical homeland security projects. Built and managed by Steria from cradle to implementation, SIS II demonstrates a major step forward in sharing information and processes within the Schengen region.

François Enaud, Steria Group CEO


08 EMERGENCY RESPONSE SERVICESSome key achievements in 2013

Steria is working with the Uttar Pradesh Police Department to improve the effi ciency of the Emergency Response System from the city of Kanpur (3.5 million citizens). Developed with TCIL (Telecommunications Consultants India Ltd.), Steria’s solution allows the police force to quickly and effi ciently choose the tools and resources best suited to handling each distress call, and to dispatch relevant information to the nearest police patrolling vehicle and the right police station. This is made possible by a GIS-based (Geographical Information System) platform that captures location coordinates. Steria’s role includes systems integration, the installation of the application software, the setup of data centre infrastructure, and delivery of the system control room, network and connectivity.

Steria’s capacity to help police and emergency services

Learn more!www.steria.com/policing-and-emergency-services/

India’s Uttar Pradesh Police


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Improving the efficiency of their Emergency Response System

3.5 million citizens served in Kanpur

Improving the efficiency of their Emergency Improving the efficiency of their Emergency

KANPUR (India)

REFERENCESSteria enables effi cient and effective operations on the frontline and in the back offi ces of police forces and other emergency services.

STERIASTORMSTORM is Steria’s market-leading Command & Control solution. STORM is installed in over fi fty police, fi re and emergency medical agencies in the United Kingdom, Republic of Ireland, Sweden, Spain and Abu Dhabi, including over 60% of UK Police forces. It is designed specifi cally for the effi cient recording of information relating to incidents and the rapid identifi cation and dispatch of suitable resources. It features a full range of Control Room functions, geographical displays and extensive integration to other applications.

SMARTCONTACTThis fully integrated, end-to-end contact management solution enables police to deliver a consistent response to public contact thanks to an intuitive user interface: a caller will no longer waste time repeating information already provided at another point of contact and the responding police force will have relevant information about the caller, facilitating a more effi cient and targeted response.

GREATER MANCHESTER POLICESteria provides Greater Manchester Police with a digital interview recording managed service, transforming the way that interviews are being processed and accessible everywhere. All digital recordings are stored in a central repository; offi cers have access to content from wherever they are working. Portable and handheld recorders are provided to support interviews conducted away from the station.


10 BIG DATA/ANALYTICSSome key achievements in 2013

Steria helps companies transform their information into a competitive asset with the tools and capabilities they need to tap into Big Data. Our latest Business Intelligence Maturity Audit (biMA®) survey examining the readiness of European businesses to embrace Big Data shows that only 7% of European companies rate Big Data as ‘very relevant’ to their business. This indicates that many businesses are missing out on harnessing Big Data as a strategic asset for business development. We believe that in today’s tough economic climate, being able to handle Big Data will become crucial for competitiveness, innovation and growth. Our robust approach to data management and our unique Analytics capabilities ensure data is trustworthy and can be capitalised on.

Steria puts data quality at the top of today’s business agenda

Learn more!www.steria.com/business-intelligence/

Big Data/Analytics


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REFERENCESHERMES – BEST-IN-CLASS SYSTEMWe helped Germany’s largest independent consumer logistics fi rm improve its strategic planning with an effi cient controlling and reporting system. Our single, integrated solution replaced numerous individual systems to provide detailed data from Hermes’ operating divisions, including cost calculations.

FASHION E-COMMERCE – 360º CUSTOMER VIEWWe designed and implemented an effi cient BI solution that offered more than traditional reports for a leading e-commerce business. Our solution provides operational and strategic management with the information they need for decision-making. The combination of self-service BI and the agile development approach provides the customer with a fl exible and effi cient management of heterogeneous information requirements.

Only 7% of European companies rate Big Data as ‘very relevant’ to their business

Independent report on Business Intelligence


http://www.steria.com/our-solutions/enterprise-information-management/big-data/

12 SECURITYSome key achievements in 2013

For more than 20 years, Steria has been the trusted partner of both private businesses and public organisations seeking a security services provider to protect their infrastructures, applications and data. With more than 700 experts throughout Europe, Steria manages every stage of the securitylifecycle, from agreeing on a security strategy through to running day-to-day routine tasks. Our deep consulting skills allow us to recommend the most effi cient security policies – and improve clients’ return on investment. Our Advanced Security Operations Centre (SOC) ensures early detection and prevention of the most complex threats, including APTs (Advanced Persistent Threats), as well as an appropriate, proactive response. We also deliver digital trust solutions tailored to clients’ specifi c requirements and business processes: identity and access management and authentication, data protection, cloud security, mobile security and more.

Learn more!www.steria.com/security

Security

New thinking and new approaches to how security is delivered


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SECURITY REPORTOur in-depth report points out that 90% of European enterprises believe they are capable of dealing with a major security crisis, yet only one 1/4 of companies surveyed said they operated 24/7 IT security. This overconfi dence threatens security. Our report argues that while there is no such thing as zero risk, prevention, detection, protection and response resources commensurate with the actual threat levels must be put in place.For more information about the report: visit www.steria.com/cybersecurityreport

REFERENCESDEUTSCHE BAHN – TRANSFORMING SECURITY DELIVERYSteria designed an information security management system (ISMS) for the leading transport and logistics company Deutsche Bahn, enabling effective governance, management and control of information security with key performance indicators.

AIRCRAFT MANUFACTURER – TRANSFORMING SECURITY STRATEGYWe have helped to transform the security strategy, operations and employee awareness for a leading aircraft manufacturer. Our end-to-end output-based security services are being delivered at a worldwide level and include a dedicated Security Operations Centre as well as compliance management.

270 organisations surveyed to fi nd out how they’re dealing with the risk of cyber crime.

Independent report on Cyber Security


http://www.steria.com/cybersecurityreport

14 Meeting CEO François Enaud

THE WORLD AS

I SEE IT…

How do you see today’s world in terms of the global economy and societal development?François Enaud: The pace of change is accelerating. This has led to a general imbal-ance in both society and the economy. As I see it, the economic crisis is both one of the reasons for and a consequence of this imbalance. It is also clear to me that the for-mer emerging countries are becoming major players in the world of technology and social networks. This too is changing a balance that we’ve become used to, but while there is always resistance to change such as this, we must reconcile ourselves to the fact that it is inevitable. The way to cope with it is to have a vision. It must be a vision that embraces change, however sweeping, so that everything about the way your com-pany, organisation or utility functions bene-fits from the change.

So, how does digital technology fit into this world?Digital technology, through cloud, mobility, data analytics and social networks, is at the very heart of change. It is transforming eve-rything: the business and support function

Our mission is to use all new information technologies as the enabler of new services, making our clients’ lives simpler and more effi cient.

FRANÇOIS ENAUD, STERIA GROUP CEO


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ride ownership. We want to consume and pay for what we use while no longer owning everything. Take the car, for example: I see fewer and fewer sales on the horizon. Instead, people will simply rent a car when they need to.

How does Steria fit into this context and stay ahead?An evolving society that constantly reinvents itself enables people and businesses to reinvent themselves too. Steria’s role here is excit-ing. And I’m confident because we have the tools to help our clients shape a brighter future – and, in working with them, we’re also shap-ing that future. True, we all know that complex organisations and sys-tems can hamper progress. But our job at Steria is to make sure this doesn’t happen. How? By being our clients’ best ally and striving to transform tomorrow’s world in partnership with them. For this, our mission is to use all new information technologies as the enabler of new services, making our clients’ lives simpler and more efficient.

Is this the ultimate goal here – to make life simpler?Yes, I truly believe that IT systems will be increasingly used to simplify things and make life easier for companies and public entities, their employees and, ultimately, their customers. And Steria can transform these systems and facilitate operations as needed. We have multiple success stories, but if I have to choose just one, let me talk about our work in Scandinavia. Here Steria provided the state pension fund with a new case handling system whereby the customer service now oper-ates in a digital, standardised and efficient way. This has moved cus-tomer interaction to an effective, fully electronic case handling platform, where citizens have visibility over the status of their case.Public and private sector partners across Europe hand us the manage-ment of their infrastructure, applications and/or processes. We work with our clients every step of the way – from A to Z; from conception to execution and everyday operations. The Steria way means that we are there to help our clients define the task at hand; to advise and assist them throughout the process and to inform them of any poten-tial safety, security or environmental risks.

So, Steria has to be involved right from the outset?That is my ambition, absolutely. Steria is “trusted to transform”. Today, companies and governments alike trust us to help them bring about change. While other companies do the same, we boast a differ-ence: we work together with our clients. And this is how we get the best results.

processes, the customer and citizens’ expe-rience and the business models. These tech-nologies are a way to significantly improve performance and reduce costs but, even more importantly, they are also a catalyst for innovation. Digital expertise can give companies unique strategic advantages and allow them to develop new areas of growth, create new products, or enter new markets.In this digital landscape information is prolif-erating across multiple channels and in multi-ple formats. While overwhelming at one level, this wealth of information can be turned to business advantage. So, I see businesses and public sector organisations doing their utmost to personalise it; to tap into every-one’s own unique ID and present their cus-tomers with personally relevant information, whenever and wherever they are.

Does digital mean that consumer patterns are changing?Yes, in today’s society people as well as companies are now increasingly using information and products “as a service”, rather than acquiring them outright. I’m convinced that usage is beginning to over-

I’m convinced that usage is beginning to override ownership.


16 Governance

Governance

Our Executive Committee is focused on ensuring we realise this vision. It is representative of our global presence from five different nationalities and adheres to a corporate governance system that is both innovative and unique. This system is designed to enable our employees to take part in the governance of our company. It rests on a limited share partnership under French law, whereby Steria Group employee shareholders are exclusively represented by the General Partner, a simplified stock company called Soderi.

We believe this governance system promotes a culture of collaborative entrepreneurialism, which leads to growth and success, while remaining true to our founding values. Steria was founded with the vision to unite strong business performance with solid social values. We maintain a culture of ethical entrepreneurialism today.

As innovators for over forty five years, we have risen to the challenge to solve real‑world problems across diverse sectors, geographies and technology environments. The last four decades have seen some remarkable changes in the way technology shapes our world. Steria has played a big part in this. We have grown in size ten times over since 1998. Our later acquisitions of Mummert (2005) and Xansa (2007) allow us to offer a comprehensive portfolio of end‑to‑end services from consulting to business process outsourcing – making life simpler for the many organisations with which we partner. We also pioneer new approaches and in 2013 we won a contract to transform shared services in a joint venture partnership with the UK Government’s Cabinet Office, known as Shared Services Connected Limited (SSCL).

Steria’s presence in 16 countries across Europe, India, North Africa and South East Asia marks us out as a truly global business. We respect the diversity that each culture brings to our business. At the same time we all share the same values and a single vision to make life simpler and more sustainable for our clients.


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ExEcutivE committEE

(sitting, from left to right)

François EnaudGroup CEO

Laurent LemaireSenior Executive Vice-President, Group CFO

(standing, from left to right)

Kjell RustiExecutive Vice-President, CEO Scandinavia

urs michael KrämerExecutive Vice-President, CEO Germany

John torrieSenior Executive Vice-President, CEO United Kingdom and Asia

olivier valletSenior Executive Vice-President, CEO France

Patricia LangrandExecutive Vice-President, Director of Business Development, Marketing, and Communication Sanjeev varmaExecutive Vice-President, CEO India

Amaury HoudartExecutive Vice-President, Group Human Resources and Employee Shareholding Director


18 Strategy

Making life siMpler through digital transforMation

Steria’s strategy is built on a determination to be

the trusted transformation partner to its clients. We will

achieve this through a combination of

our co-working principle that demonstrates the Power of Sharing, our reputation for

delivery excellence, our commitment to corporate

social responsibility, and our innovative solutions.

Our transformation strategyOur business strategy is to bring this compel-ling transformation vision to life. This strategy is a reflection of the profound changes that our clients are experiencing as a result of the digi-tal wave and technological disruptions. It rests on three major offers: Customer Centric Man-agement; Business Process Transformation; and IT Transformation, and four innovative enablers: Big Data & Analytics, Cloud enable-ment, Mobility and Security. These allow us to provide our clients with increased business value, faster time-to-market, reduced com-plexity and costs, and great operational effi-ciency in managing IT estates and running business operations.

Our Power of SharingTo be ‘trusted to transform’ means that our cli-ents know they can rely on us to support change without compromising their everyday operations. We make this possible by collabo-ration: we call it the Power of Sharing.


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Our Power of Sharing principle reflects our total commitment to co-working. Only by working alongside our clients and partners can we truly understand their needs and ambitions. Only through the Power of Shar-ing will we become a valued partner able to help our clients develop, roll out and sustain their IT and transformation programmes.The Power of Sharing principle is equally at home in our own business. Over 20% of Steria capital is owned by some 5,000 employ-ees. They are represented by a Board of Employees with a key voice in strategic decisions.We have also made a long-term commit-ment to our community partners. This allows us to share our skills and make investment in education and IT access. Once again the Power of Sharing makes a differ-ence: some 50,000 children have already benefited from our community programme in India, where more than 5,000 of our co-workers are based.

Innovative solutionsCollaboration allows us to get close to our cli-ents. And the closer we get, the better able we are to understand their challenges and devel-op innovative solutions to solve them. We encourage a spirit of innovation among our people. For example, we run an annual Inno-vation Contest that sees employ ees nurturing their great ideas and working with colleagues to develop them further. The contest aims to recognise both creative ideas and the collabo-ration required to bring them to fruition, whether they are product, service or process innovations.

Living green for a more sustainabLe worLd supporting a sustainable world is a core element of steria’s sense of corporate responsibility. we are proud of our achievements in making our business more environmentally sustainable and in helping our clients to do the same. we have been certified carbon neutral for flight and fleet business travel since 2010; in december 2013 we became the first french company to achieve a perfect score of 100 for information disclosure, and an “a” performance rating in the Carbon disclosure Project’s(1) climate change programme.we are excited at the opportunities for using energy more efficiently. indeed, as a group steria has reduced its carbon emissions per employee by 32% since 2008, beating its 2020 target within four years and reducing our costs by at least €900k a year. we’re also sharing our success with our clients by offering carbon neutrality as an integral part of our data centre services at no additional premium. together we are Living green(2).

(1) CDP is an international, not-for-profit organisation enabling companies and cities to measure, disclose, manage and share environmental information.(2) For further information about Steria’s CSR policy, visit www.steria.com/crreport.


Core Markets20 PUBLIC SECTOR

Steria takes a collaborative approach to working across both public and private sectors. We’re helping to transform service delivery in government and are equipping clients to get more from existing investments with new ways of working in banking and insurance, utilities, transport, energy, telecommunications and the media.

5,000 dedicated professionalsworking in the public sector accross the world

DELIVERING CHANGE IN KEY SECTORS

Public Sector – fi nding radical new delivery models

The public sector is going through transformational change, from government department services to defence agencies, national security and health. Its partners in this reform must be able to offer innovative IT and wide-ranging expertise in the specifi c needs of diverse departments and agencies.


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NATIONAL IDENTITY CARD ROLLED OUTSteria helped foster the German public’s acceptance of a new National Identity Card (nPA) with advanced security features, protection of biometric data and online access for internet applications and vending machines.In order to achieve that objective, Steria provided the consulting team of the national nPA competence centre and supported organisations all over Germany in developing business applications, running of identity systems, etc.

Meeting citizen expectationsSteria has been at the forefront of helping government and the public sector deliver efficient citizen and enterprise services for more than 45 years. Today we have around 5,000 dedicated professionals working in this sector across the world.

Increased pressure as a result of huge budg-etary constraints demands radical changes

to public sector service delivery. This is cou-pled with greater expectations from citizens and enterprises around access to data, state involvement in service provision and self-service. Steria helps its clients respond to these needs.

Our solutions enable digital inclusion and the secure transfer of data between govern-ment departments and the customers they serve. We use our clients’ existing technolo-gy or introduce new capabilities to enhance business agility and cut the cost of heavily transactional processes.

We find innovative ways to open the door to greater levels of service excellence and operational effectiveness. For example, we are helping to increase the number of trans-actions that can be undertaken online as self-service. And we have pioneered non-traditional commercial vehicles in govern-ment, including joint ventures, shared risk and reward business models and shared services.

Steria finds innovative ways to open the door to greater levels of service excellence and operational effectiveness.


Core Markets22 public sector

optimising efficiency in healthcareNHS Shared Business Services, our 50:50 joint venture with the UK Department of Health, illustrates our ability to change the game. It sets the benchmark for delivering real cost and efficiency savings in strategic partnership with its NHS clients. NHS SBS currently works with 100% of all NHS Commissioners and around 35% of all NHS Provider Trusts.

This partnership approach is making a sub-stantial difference and NHS SBS has already delivered savings of more than €269 million (£224 million) for its NHS clients – providing more funds for front line patient care.

NHS Shared BusinessServices sets the benchmark for deliveringreal cost and efficiency savings.


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The power of parTnership in policingsteria’s partnership with cleveland police is delivering new ways of working, transformational icT services and innovative approaches to customer service and frontline policing. The ten year strategic partnership is expected to deliver an estimated €8.4 million (£7 million) in cashable savings per annum and includes the management of cleveland’s control room, as well as community justice and business support functions through a shared service model.

Defence and homeland securityDespite the criticality of responding to increasing threats to national and interna-tional security, today’s defence and national security bodies face similar pressures on their budgets and resourcing capability. Steria has provided services that offer value and practicality in this sector for more than 35 years. We work regularly with several

national defence ministries across Europe. For example our electronic messaging sys-tem for the UK Ministry of Defence processes millions of messages every month.

The ground-breaking Steria solutions for biometrics and identity management have been delivered in 27 countries. In Belgium, the nationwide electronic Identity (eID) card we helped develop is now successfully embedded in the country’s e-government and e-citizenship service – a world first.

We also believe in collaborative partner-ship-based working to deliver the very best outcomes for our clients. That’s why we work closely with key players in the European defence sector.

27 countries in which Steria’s biometrics solutions have been delivered


Core Markets24 BANKING ANd INSURANCE

Banking and Insurance – supporting compliance and profitability

Transforming and running critical banking and insurance systems is a key aspect of Steria’s work. Banks and insurers increasingly seek to control costs, retain valued customers and keep the legislators satisfied. They are keen to reduce bad debt, curb fraudulent claims and take their decisions in line with both customer value and effective risk management.

4,000 dedicated professionals working in the banking and insurance sector accross the world


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Reducing the cost of payment opeRationsset up to create a common payment it system, transactis is a joint venture between france’s société générale and La Banque postale. steria implemented stecard in response to transactis’ demand for a joint payment front-office solution to reduce operational costs while maintaining business, tariff and customer relationships. steria managed some 16 million cards, 130,000 points-of-sale and 10,000 atms.

Steria has some 4,000 professionals dedicat-ed to banking and insurance and 45 years’ experience in the industry. We free up our clients’ teams to focus on improving the cus-tomer experience, managing risk, governance and compliance, and building new revenue streams.

Putting the customer first in banking and insuranceFinancial services operate in a highly regu-lated and consumer-driven market. They must manage new business models and the emergence of ‘disruptive’ channels, such as digital and mobile. They face demands for greater transparency in liqui-dity and risk management, and operate within strict new European Commission payments frameworks. A surge in merger and acquisition activities has added to this complexity.

Steria offers services and solutions helping its banking and insurance clients meet these challenges head on. For example, with cus-tomers finding it easier than ever to switch banks, we support customer engagement strategies by using our wide experience of delivering analytical and operational CRM solutions to provide a single 360° customer view.

Steria offers services and solutions helping its banking and insurance clients meet their challenges head on.


Core Markets26 BANKING ANd INSURANCE

Sharing expertise with banksInnovation is part of the service we provide to our clients, who number regulatory authorities and most of the global and Euro-pean banks. For example Steria produced the first contactless card for the UK market and is developing mobile solutions for major market players in Europe. Our bank-ing customer network extends to IT service centres and product and processing service providers, allowing us to offer a comprehen-sive industry view.

Working with insurersThe insurance sector too is undergoing a transformation as it looks to find new ways to drive profitability and keep the regulators happy. Steria is helping to improve the per-formance and quality of back office insur-ance and investment administration with the delivery of world-class Business Process Services (BPS) tailored to the Life & Pen-sions market.

We also support major applications for Europe’s largest insurers and process some 4.5 million insurance transactions a year for one client alone. We help make their life easier in other ways too, such as managing more than one million vehicles equipped with telematics devices.

Developing an e-payment plan for europeas part of its Sepa strategic plan, a leading french bank asked

Steria to conduct an analysis of the european e-payment market, focusing on emerging compliance standards and regulations.

the detailed Steria analysis covered cards, payments and atm markets. the resulting strategic plan secured successful

business development in europe and improved interbank exchange systems and e-payment production.

4.5million insurance transactions processed a year for one client alone


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Flexible resourcing with integrated delivery modelthe Financial services arm of the uK’s co-operative group was keen to increase productivity, reduce costs and improve levels of service by offshoring delivery and services. steria proposed an integrated delivery model, which now delivers 65% of the co-op’s insurance services from offshore locations. the solution offers a flexible resource base and proven capability, as well as specialist services, such as testing.

Responding to regulatory demandsWith the emergence of regulations such as Basel II, Solvency II and IFRS, all financial service companies recognise a need to improve their processes, internal control systems, techniques and systems. Change demands new risk, finance and compliance practices. Steria has extensive expertise in this area. We help banks and insurers take a risk-oriented managerial approach to their finance, risk management and lines of business.

In insurance we are the leading provider of standard software for reporting to the regu-latory authorities for as many as 95% of German and Austrian insurers. Our Solvara® software is already being used by more than 80 insurance companies across Europe. And in France, Steria built a new information sys-tem for the insurance group Chorégie that is helping to process more than 400,000 elec-tronic medical expense claims forms.

Steria’s Solvara® software is already being used by more than 80 insurance companies across Europe.


Core Markets28 EnErgy, UtilitiEs, transport and tElEcoms & mEdia

Steria sits at the forefront of transformational change in these sectors.

Smart thinking in Energy, Utilities, Transport and Telecoms & Media

Companies in the energy, utilities, transport and telecoms & media sectors must find ways to differentiate their businesses in the face of stiff competition. They’re also seeking smart solutions for tackling rising operational costs and new data flows, while adapting to fast-changing technologies.


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Deploying 35 million new-generation smart meterssteria is helping the French electricity distributor erDF develop its distribution network and improve the performance of its metering system. Following a successful test phase, steria is assisting with the gradual deployment of 35 million linky electricity meters throughout France within the framework of the project’s national launch.

From delivering the most important smart meter project in France, to pioneering the testing of end-to-end telecom operator pro-cesses across an enterprise IT environment, Steria sits at the forefront of transforma-tional change in these sectors.

Steria offers solutions and services that put intelligence at the heart of energy management.

Smart energyEnergy operators are seeking new ways of working and responding to heightened cus-tomer demands, while managing ageing infrastructures and assets. Smart grids and distributed energy supply must be factored in to investment plans.

Steria offers solutions and services that put intelligence at the heart of energy manage-ment. We use technology to run our clients’ operations efficiently and sustainably. For example we implemented the largest SAP CRM 7.0 project to date for private and commercial customers in the German energy sector.

We are leaders in smart grid technology, acting as a partner in IssyGrid®, the first district smart grid in France. We’ve even adopted our own Steria Smart Energy Man-agement solution, featuring the first Energy Performance Contract (EPC) in France, at our French offices near Paris.


Core Markets30 EnErgy, UtilitiEs, transport and tElEcoms & mEdia

Steria’s comprehensive Enterprise Asset Management (EAM) solution meets the need to prolong the asset lifecycle of ageing infrastructures. For example, we helped a leading global operator of water services to renew its application for managing mainte-nance of its water treatment plants. And we have made exciting advances in mobility to offer a proven Field Service Management solution built on efficient mobility tools.

intelligent transport systemsOperational efficiency is a priority for trans-port operators, whether in road, rail, air, city transport, logistics, or shipping. As a partner to both private and public sector organisa-tions in the transport sector, Steria helps drive this efficiency. Our solutions also sup-port the need for multi-modal, as well as greener and safer transport. We have a research and development centre in Singa-

managing assets in utilitiesUtilities companies have to maintain and monitor millions of assets above and below ground, in customer’s homes and at commercial premises. Gaining an enterprise view of equipment and infra-structure will help them achieve this as effi-ciently as possible.

Steria innovates to keep its clients ahead of technology, sustainability and operational developments.


31

pore dedicated to innovation in transport. We innovate to keep our clients ahead of technology, sustainability and operational developments. For example, we used our expertise in systems integration and inter-operability for the GAIA Virtual Sky project that delivered the Single European Sky ATM (Air Traffic Management) Research pro-gramme. We also equip transport organisa-tions with the geographic information systems they need to monitor traffic condi-tions in real time.

Steria has specific solutions for managing the end customer centricity and ensuring quality of service.

Cutting edge technology in telecoms and mediaThe telecoms and media sector is changing fast. Network strategies, bandwidth evolu-tion, new terminals, tablets and smart-phones, mobile packages and cloud computing offers are creating a new and challenging operating environment.

With a track record of more than 35 years in this sector, Steria has specific solutions for managing the end customer centricity (including customer knowledge, experience and value) and ensuring quality of service. Our service and network management solu-tions include pricing, invoicing and sub-scriber management. We track customer patterns and manage mobile and digital offers.

We also offer a range of services designed to support the rapid and safe provisioning of new services, while our billing and rating system takes into account new business models, including revenue sharing.

Process realignment for comPetitive advantagenatural gas supplier econgas is working together with steria to develop the gas-X sales module within our gas-X suite to speed up time-to-market cycles in a highly competitive sector. our solution supports the restructuring of sales processes, quote calculation, billing and planning with a flexible standard software and maps complex pricing strategies.


32 Strategy

Domains of ExcEllEncE: an in-DEpth sEctor knowlEDgE

Customer Centric Management (CCM)Taking a customer-centric approachIn today’s consumer-driven world, putting customers at the heart of everything you do is a business imperative. Do you know who your customers are? Can you improve the customer experience and boost cus-tomer value and satisfaction levels? Steria helps its clients answer these ques-tions on their journeys to next-generation customer service. With more than 20 years’ experience in delivering customer centric management (CCM) solutions, we offer a diverse portfolio of services. These range from customer-centric strategy develop-ment, big data management solutions and analytics, to making the business case and implementing silo-busting systems. Our CCM solutions equip our clients to overcome the challenges of interoperabil-ity and data quality between customer, channel and back office systems. They enable businesses to acquire new cus-tomers and extend their market share and they drive customer centricity in the public sector.www.steria.com/CCM

Big Data and Enterprise Information Management (EIM)Unlocking the value of business informationOrganisations facing a rapid growth in structured and unstructured data are struggling to keep their corporate information secure, up-to-date and compliant. The cost of managing the rising data volumes is another concern, putting pressure on already overstretched budgets.With more than 800 dedicated Big Data and enterprise information management (EIM) professionals, we understand the challenges and opportunities of managing information as a strategic asset. We help our clients respond to increasing regulatory and commercial enterprise compliance requirements. We can unlock the value of the unstructured data that is the result of a rapid uptake of social software amongst employees and customers. And – with technology converging in the EIM market as traditional frontiers between business intelligence, data management and enterprise content management dissolve – we ensure our clients are equipped to manage the huge diversity of information as the volume of data grows exponentially. With our help, our clients can: ensure the validity of business decision; leverage the reliability and availability of their data for all business needs; and, guarantee the quality and efficiency of their content-based processes.www.steria.com/bigdata&EIM

Domains of Excellence


33

Detailed knowledge of the sectors in which Steria operates is critical. It ensures that our people truly understand the business transformation challenges our clients face. We complement this knowledge with our technical knowhow as we help both private and public sector enterprises create new business value. How? With transformed and simpler processes and robust IT platforms.

SecurityDetecting and preventing security threats

Fast-changing technology, evolving social trends and new ways of connecting with customers expose enterprises to increasingly complex security threats.

Steria recognises that giving employees, suppliers and other stakeholders access to corporate assets through secure information flows at any time, and anywhere demands new thinking.

We bring a wealth of experience as a security adviser and fresh approaches to aligning enterprise security and business objectives.

Our dedicated security portfolio embraces the compliance and risk management needs of our clients, along with identity and access management and authentication, data protection

and cloud security. We transform operational risk management with security management centres of expertise across Europe and our Steria RightSecurity services – the first

output-based business model to offer end-to-end, outsourced security services.www.steria.com/security

Back Office & Business Process TransformationDriving efficiency and value for moneyGovernments and public sector agencies are seeking to transform ways of working in the face of stringent budgetary cuts. Likewise, private sector organisa-tions recognise they must streamline their business operations for greater efficiency to remain competitive.Steria helps its clients achieve these transforma-tional objectives. We realign core processes around our clients’ customers. For example, our case man-agement capability equips front-line operational staff to deliver ever more efficient services by auto-mating routine transactions and using mobile work-ing solutions.We determine what manual or automated processes are currently working well and whether new or upgraded technology will help to create positive and sustainable change. In the back office we improve business outcomes with industrialised, streamlined processes that meet demands for greater efficiency and cost savings. We work with a broad spectrum of clients, helping them

transform their back office operations to meet this need for efficiency and information transparency. We achieve this by implementing improved systems and introducing shared services; enhancing the view of financial and people data to improve resource uti-lisation and decision making; working in partnership to take on back office operational processing activi-ties and drive improvement and efficiencies via BPO.We draw on our strengths in large-scale process transformation projects, especially shared services, along with a proven ability to work in long-term innovative commercial partnerships, including joint ventures.This allows us to deliver reduced costs with savings accruing from streamlining back-office support func-tions; improved effectiveness of corporate support functions (industry benchmarked); better quality management information; and improved regulatory compliance.www.steria.com/backoffice&BPT


34 Strategy

Policing and emergency servicesNew-generation technology and business modelsPolice and emergency services are striving to stay ahead of the technology trends driving greater citizen expectations, such as mobility and social media. Steria supports the transformation needed for police and emergency services to cost effectively operate their business and IT functions and step up their visibility in the community. We have pioneered new models in operational and back-office support, as well as in criminal justice. And our contact management, command and control, mobility and control room support services are enhancing citizen confidence. We’re also turning the escalating volume of information, including biometric data, into operational intelligence. We include best-of-breed technologies in our solutions, including our own renowned STORM Command & Control system that allows emergency services control room operators to deploy resources quickly and effectively.www.steria.com/policing-and-emergency-services

Advanced paymentsSecure and harmonised transactionsTighter regulation in banking and financial services, combined with an urgent need to keep down costs in all sectors, is driving new payment models. Steria has advised on some of the world’s largest payment systems and is helping to transform the wider payments industry. More than 100 banks use our payment and card management solutions worldwide. Our own Stecard® pay-ment solution manages more than 4 billion transactions a year and 1,100 ATMs for Europe’s first operational payment factory. Our capabilities can also be seen in the technology running motorway tolls and other transactional payment solutions throughout Europe. We’ve spearheaded new digital payments services and delivered solutions to manage front-office pay-ments, credit-debit card chargeback and cross-border systems, as well as m-wallet and e-payment services.www.steria.com/payments

Logistics in defence

Maximising operational effectiveness

Huge budgetary pressures mean that new business models and a smarter use of

existing and emerging technologies must come to the fore to give armed forces the right capability, at the right time,

wherever they are deployed. Steria provides a joined-up approach to these

defence challenges. We were the first company to develop a tri-service inventory

management system; and we provide comprehensive systems, IT and platform

testing and referencing in simulated environments to support secure systems

interoperability in deployment. From back-office functions and housing

management, to biometrics and IT infrastructure, we’re supporting defence

logistics transformation across Europe.www.steria.com/defencelogistics

Domains of Excellence


35

Risk, Finance and ComplianceManaging risk in a highly regulated worldWith the emergence of regulations such as Basel II, Solvency II and IFRS, all financial service companies recognise a need to improve their processes, internal control systems, techniques and systems. Steria helps to define and implement the inte-grated risk, finance and compliance (RFC) frameworks that are an essential component of this landscape. We work with our clients to introduce compliance strategies enabling cost-cutting and efficiency, process quality and improved fraud and corrup-tion detection. We can track deficiencies in RFC processes, ena-bling our clients to build dynamic risk management models.www.steria.com/risk-finance-compliance

Core BankingSafer, faster, seamless bankingNew distribution channels, such as digital and mobile, along with new products and demands for greater transparency, are leading to massive change in the banking sector. Existing technology platforms must stay ahead of this change. Steria transforms and runs core banking systems, providing joined-up front- and back-office functions, linking information infrastructures, and enabling a rapid response to the ever-changing market. We design, develop and deploy banking platforms that boosts flexibility, support the effective management of operational, credit and fraud risk, and accelerate speedy delivery. And we create new revenue opportunities faster than ever before.www.steria.com/core-banking

BiometricsManaging identities for security and authentication purposesThere is increasing demand for new generation biometrics solutions, from homeland security and defence agencies, to healthcare providers and bank. Steria is at the forefront of integrating new biometric technologies with existing security and identity systems. Our biometrics consulting services guide and support the transformation of biometrics systems. We provide access controls and authorisations, such as fingerprint and retinal scanning, and SteriaAFIS (Automated Fingerprint Identification System) gives police, border control and national security teams high-speed search capabilities. We encode and match information enabling our clients to manage the real-time flow of biometric information nationally and across borders.www.steria.com/biometrics


36 StrategyService Lines

ESSEntiaL it-EnabLEd buSinESS SErvicES

Business Process Services Dynamic transformationWe support our clients with effective Business Process Services that allow us to redesign their vital processes. Some of Europe’s largest private and public sector organisations trust Steria’s award-winning Business Pro-cess Services to help them run smarter, by optimising standalone functions or fundamentally restructuring how they work, creating fluid, OPEX-based operating models and saving millions. We offer a dynamic mix of know-how and a can-do attitude unrivalled in the industry – aiming to seamlessly replace stale, rigid and outdated processes with commercially innovative, lean and responsive ways of working: fit for the future.The backbone of our approach is the efficient management of core back office functions from Finance and Accounting to HR and Procurement. Beyond this, we have an unsurpassed reputation for re-engineering and managing complex industry-specific processes spanning everything from specialist customer service and banking functions to global fraud recovery.www.steria.com/BPS

ConsultingAt the heart of enterprise strategyOrganisations seeking to transform must make the most of dis-ruptive technologies and unleash new energy for operational functions. As trusted consultants to senior management, Steria can help you achieve this. We go beyond performance-based approaches to transform intuition and knowhow into innova-tion. We accelerate business cycles, release talent and create a healthy, profitable and controlled environment. With a firm belief that enterprise value stems from collaboration and net-works, our consultants can bring together their ecosystems and build a mutually fulfilling shared client-employee-partner experience.www.steria.com/consulting

Systems IntegrationUnlocking hidden valueWe specialise in handling the complex connections, interfaces and security controls that are integral to successful systems integration. Our Systems Integration service has been used in some of Europe’s largest and most ambitious systems integration projects. From consulting through solutions definition and design, to deployment and ultimate benefits realisation, we help our clients manage the real-time flow of information that’s so essential to their business operations. We unlock the value of data sitting in multiple silos and take care of the complex challenges of integrating current and future technologies.www.steria.com/systems-integration


37

Enterprises in all sectors trust Steria to provide them with the reliable Consulting, Systems Integration, Business Process Services, Application Management, Testing, IT Infrastructure Management they need to sustain their operations and, where needed, make change happen as quickly as possible. We also have expertise in cloud consulting, further supporting our clients’ digital transformations.

IT Infrastructure ManagementGetting more from ITEmerging technologies, increasing regu-lation and an exponential rise in data are creating new and difficult challenges for the traditional workplace and managed services in IT. Employees demand and expect to be able to use mobile devices to gain instant access to data and the tools they need to do their jobs. Our compre-hensive range of Infrastructure Manage-ment services ensures clients keep pace with these developments. We offer inno-vative solutions that deliver the outcomes and requirements their organisation needs. Our portfolio embraces remote opera-tions, virtualisation and the Cloud, plus industry-approved processes for strong governance and risk management.www.steria.com/im

TestingIncreasing speed to marketTo meet the increasing demand for newer, better and faster, you need to be absolutely confident that your testing hits the mark. Steria: RightTesting is an interlocking three-step approach based on proven collaborative and consultative processes. It works by combining industry-recognised standards with decades of experience. We assess current testing operations and transform them where required. And our industrialised services meet – often exceeding – international testing standards. We ensure that every investment is absolutely in line with our clients’ strategic objectives; focusing on reducing the time and cost of bringing new products and services to market.www.steria.com/testing

Application ManagementControl and agilityThe modern enterprise depends on agile IT applications to support ongoing transformation in a volatile economic ambiance. But increasingly complex and difficult-to-manage application portfolios can be a barrier to change. Steria makes the complex simple. Our comprehensive range of Application Management services delivers flexibility through industrialised processes, tools, customised shared delivery model, and the risk-free transfer of applications to technologies delivered on a new service model. This allows our clients to benefit from pay-per-use services combined with the control of guaranteed service outcomes to start or pursue their cloud journey.www.steria.com/am


Key Financial Figures38

Stock market overview

By country

39% UK 32% France 14% Germany 15% Rest of Europe

By business sector

40% Public sector 22% Finance 27% Energy-Utilities / Telco-Media / Transport 11% Other

By service line

35% Consulting/Systems Integration 17% Application management 30% IT infrastructure management 18% Business Process Outsourcing (BPO)

Revenue breakdown | 2013 figures(1)

Net debt and equity evolution from 2008

Revenue performance (eM)

Operating margin(%)

Operating margin performance (eM)

2013

2012

2011

2010

2009

2008

0 500 1,000 1,500 2,000

1,755

1,827

1,766

1,630

1,693

1,748

2013

2012

2011

2010

2009

2008

6.0 6.4 6.8 7.2 7.6 8.0

6.3

6.4

7.7

7.3

7.1

7.4

2013

2012

2011

2010

2009

2008

0 20 40 60 80 100 120 140

110

117

136

119

120

130

Evolution of key metrics

Net debt (eM) Equity (eM)

900

800

700

600

500

400

300

200

100

02008 2009 2010 2011 2012 2013

253.3

545.5

187

634.5

101.2

723.3

125.9

766.4

224

393

143

815

(1) Published figures.


39

(3) Enterprise Value = Market Capitalisation + net fi nancial debt at 31/12. This EV calculation excludes pension fund defi cit before tax effect of €225M in 2013 and €303M in 2012. (4) P/E = Year end stock price/Earnings per share (basic EPS).

Number of outstanding shares 33,156,692

Sector classifi cation Information Technology

Main index SBF 120

Other indices CAC Mid 60, CAC AllShares, CAC 40, NEXT 150

Market Euronext Paris, Eurolist (Compartment B)

Trading place Euronext Paris (France)

Ticker RIA (Euronext)

Code ISIN FR0000072910

Source TickersEuronext RIA

Bloomberg RIA:FP

Reuters TERI.PA

Trading information (Euronext)

As of 31 December 2013 Shares% of

capital% of

voting rightsTreasury stock 35,221 0.11 0.00

Free fl oat(1) 25,107,224 75.83 72.57

Employee share ownership(2) 8,014,224 24.17 27.43

TOTAL 33,156,692 100 100(1) The free fl oat of Groupe Steria is computed as 100% of the issued capital of the company less employee share ownership.(2) including “SET Trust” and “XEBT Trust” (3.90% of capital)

Shareholder breakdown

The company proposed a dividend of €0.10 per share for the fi nancial year ended December 31, 2013. Groupe Steria paid following dividends during the last three fi nancial years:

Fiscal period Dividend paid per share (in €)

2012 0.20

2011 0.35

2010 0.24

Dividend policy

2014 Q1 revenue 29 April 2014 (7:30am CET)

Groupe Steria general shareholders’ meeting 22 May 2014 (2:00pm CET)

2014 Q2 revenue and half year results 25 July 2014 (7:30am CET)

2014 Q3 revenue 30 October 2014 (7:30am CET)

Financial calendar

Steria’s share price movements in comparison with CAC 40 over the last 15 months.5000

4500

4000

3500

3000

2500

2000Dec 12 Mar 13 Jun 13 Sep 13 Dec 13 Mar 14

France CAC 40 Fixed Groupe Steria S.C.A. (Rebased)

Share price performance

Units 2013 2012 2011 2010 2009 2008 2007

Highest in € 15.86 17.2 23.00 26.57 25.29 25.20 52.15

Lowest in € 10.35 10.1 10.00 17.54 7.30 7.35 22.37

Closing as of 31/12 in € 14.27 14.2 13.16 19.40 21.51 7.97 24.96 Average daily volume processed onEuronext platform (in number of shares) 122,842 78,860 85,894 87,035 106,036 184,332 122,859

Market capitalisation as of 31/12 in €M 473 453 406 582 631 227 703

Enterprise value(3) as of 31/12 in €M 750 755 760 837 972 615 1,011

EV/revenue ratio 0.43 0.41 0.43 0.49 0.60 0.35 0.71

EV/OM ratio 6.8 6.4 5.8 7.0 8.2 4.5 9.8

P/E(4) ratio 49.2 13.9 7.6 14.6 13.8 4.7 10.6

Share trading performance

Groupe Steria shares are traded on the Paris Eurolist (Compartment B) under Euroclear code 7291 PA, ISIN FR0000072910. The company was listed in Paris in 1999.



Transformation for a better world

Further reading:Corporate Responsibility Report – 2014

2013 Registration document

Photo credits: Front cover © Watchlooksee.com/Getty Images. P4 © Luis Davilla / Getty Images. P6 © Simon Marcus / Photononstop. P8 © Adnan Abidi / Reuters. P10 © Michael Falco / Réa. P12 © Jimmy Anderson. P14, P17 © Michel Labelle. © Thinkstock by Getty.

Design and production: Publicis Consultants l Verbe

Steria is committed tosupporting a sustainable worldand is Certified Carbon Neutral

for Flight and Fleet Travel

About Steria:With 20,000 people across 16 countries, Steria delivers end-to-end IT-enabled business services that help private and public organisations meet today’s complex business challenges. As a Trusted Transformation partner with a highly collaborative approach, Steria provides consulting, digital expertise, as well as optimised infrastructures, applications and business process services. With over 20%(1) of its capital owned by its employees, Steria generated revenues of €1.75 billion in 2013.Find out more at www.steria.com and @Steria(1) Including “SET Trust” and “XEBT Trust” (3.90% of capital).


For further information about Steria visit www.steria.com

Groupe Steria SCA43 - 45 Quai du Président Roosevelt92130 Issy-les-Moulineaux CEDEX FranceTel: +33 1 34 88 60 00 Fax: +33 1 34 88 69 69
