quality of the people - Orange Business Services · • Innovation: we have 400 ... as it is a priority within Orange Business Services’ strategy ... allowing Esato regain control

1

The key trend today is the adoption of new business models enabled by new digital technologies. No industry is

untouched by this phenomenon. Travel agencies (Expedia), hotels (AirBnB), automotive (car sharing), retail (Amazon),

banking (ING Direct), insurance (pay as you drive), venture capitalism (kickstarter)…

Today, it’s all about agility, about giving people the power and flexibility to make local decisions while ensuring that

the flow of ideas across a business is made easier…it’s about fundamental changes in the way people interact with

each other…

these social, technological & economic trends are transforming customers’ business :

Mobility transforms the way of working ( for sales forces, field technicians, etc.), for example:

SNCF has equipped their controllers with smartphones so that they can have up to date traffic information

while travelling at 300 km / hour

Banks or Retailers such as Darty are providing tablets to their employees to better manage multi-channel

platforms between online and physical contacts in order to differentiate themselves from pure online

players

Beyond smartphones, M2M (connected objects)(and I know this is an important topic for you we had

several remarks on M2M on the wall) is taking off strongly. Imagine, there should be 20 billion of

connected devices by 2020

Big and Fast data creates also new opportunities

Cloud which helps to accelerate time to market:

Social networks and the more and more collaborative ways of working are definitely changing our work-style as well

as our customers’

And beyond those social technological trends, the economy keeps on becoming more global and connected than

ever before.

This transformation impacts all sectors and is a dramatic changes for the CxO’s,

Mobile - Information - Cloud and Social , these 4 words (what I call the MICS) are reshaping Orange Business

Services’ future and reflecting the new digital journey of our customers.

2

Together with the rest of the Orange group we are at the heart of digital uses:

we are present in 30 countries, with 178 million mobile customers in the consumer market: this is where new digital uses originate.

we are present in emerging countries where mobile drives new uses: see Orange Money in Africa (8 million users in 13 countries).

Our secure networks and global infrastructure, we were awarded Best Global Operator again by the industry in 2013, with a state-of-the-art cloud-ready infrastructure.

• the quality of the people -- people skills – customers’ feedback is that our people are key to be at their side, our customers can count on them. We have great skills to help them design the best solution, great skills to do business with, and great people to run their operations, and that often go the extra mile for them.

• Innovation: we have 400 engineers dedicated to innovation for the business services.

We have launched pilot deployments on new services with large customers : mobile and virtualized workspace, machine to machine, enterprise communications on WebRTC, big data…

With French car manufacturer, Renault … we have worked to integrate Orange videoconferencing in the connected car embedded environment.

Early this year, we (LoB e-health + Orange Consulting) have signed a M2M contract (of 205k€) with a pharmaceutical company to build a “communicating glucometer demonstrator”

We have also developed a new version of a B2B customer relation application, which has been published last December on iOS, Android, BB10 apps stores and for the 1st time on Windows Phone 8. The application also includes a consumption improved tracking for Orange mobile B2B clients as well as a selection of the best articles and advice on new technologies and how to best use smartphone.

Finally, we are also focusing on the new cloud and network technologies thanks to an involvement in leading open source communities and in standardization bodies.

• our Global / Local model and strong understanding of MNC needs

our global/local model brings this expertise to our customers wherever their teams are located, with strong global governance.

The “Customer Service and Operations” (CS&O) and Global Services (GS) organizations are in charge of all delivery and operational activities worldwide from business need assessment, design, technical order, project management to service delivery, customer support and service management and up to billing.

Orange Business Services is organized on 3 levels :

Our local presence, with

6 regions (APAC, EEMEA, Europe, LAM, NAM, France), our local presence close to our customers headquarters and sites;

5 Major Services Centers in Egypt, India, Mauritius, Brazil and France that offer 24x7 follow the sun support …this represents 3,406 people.

Our global processes, with

Global Process Owners (GPO) who define processes, roles and tools shared across all organization and allow Orange Business Services to be certified ISO 9K, 20K, 27K, 14K and compliant with ITIL.

Global Practices who define methodologies, run center of excellence and measure performance related to Consulting and Project Management (PMI, Six Sigma, and technical certifications).

3

These influencers or drivers are completely transforming the business models in the B2B

ecosystem and this is an exceptional occurrence and provides Orange Business Services with

huge business opportunities

Orange can become the trusted partner customers will need in their digital business

transformation, because we are at the crossroads of several key enablers.

Orange Business Services’ ambition is to become the partner to facilitate the changes customers

will go through to become fully digital. A partner who works with them to understand their

strategic challenges and help provide a smooth transition to this new, fully connected world. To

become this trusted partner will require Orange to follow a clear vision… And this vision begins

by making our customers our focal point. Understanding their businesses, their own customer

relationships & the work of their employees. With this understanding , Orange is harnessing its

assets and strengths for customers in four critical solution areas

4

It starts with Cloud … as it is a priority within Orange Business Services’ strategy

• dedicated business unit, called “Orange Cloud for Business” aiming at industrializing cloud delivery … thanks to:

a homogeneous Cloud governance, organization and processes

an industrialized and automatized delivery model

synergy between external customers’ and Orange’s IT needs

the mass migration process of VM started 6months ago and today, 2,000 VMs are migrated in the cloud, representing

10% of our ambition (20’000 VMs by end 2016).

• joining forces with Accenture to support large companies:

defining their cloud strategies

transforming their traditional IT infrastructure into a public or private cloud model

migrating and managing their application portfolio on a cloud infrastructure

agility, time-to-market -- LVMH is a great example of an Orange customer using cloud infrastructure strategy to bring

speed and agility to their business, to support their rapid expansion.

Another illustration, of our agility is our Orange for Business program with 8,000 VMs created between October 2013

and February 2014, of which three quarters were destroyed, because of their temporary need.

IT infrastructure and cost optimization – we work with a French insurance company which sees its subscriptions rise

10 times every year around the September period…our customer is now able to manage this subscription peak thanks

to the cloud.

IT legacy -- With Esa, we empower our customer to become internal cloud broker thanks to our Flexible Computing

Private solutions, hosted at the client … allowing Esa to regain control as sole cloud service provider for all business

units with best services…providing innovative IaaS and PasS services to all internal customers within a pre-approved

security framework.

we can also mention Klaveness using cloud infrastructure for supporting business growth and global expansion.

Klaveness that now runs it backup servers for its Manila, Shanghai & Singapore offices on Flexible Computing … and

finally, I would like to mention TMF Group that relies on cloud infrastructure to create global efficiencies & transform

IT delivery. TMF Group has streamlined its IT infrastructure and delivers IT as a Service to its end users now.

5

Intermediation platform – with oùRA, the largest multimodal ticketing record to date in France (€ 20m

potential for OBS) web portal, NFC (securities dematerialized transport), passenger information, station

reservation

Connected – with Weinman, the global market leader for medical diagnostic and therapeutic

technologies, we are supplying an integrated solution for the treatment of sleep apnea based on a

connected mask.

With Sorin Group, the world leader for the treatment of cardiovascular diseases and medical device

specialist, we are developing a service using mobile technologies to remotely monitors thousands of

patient heart implants through, in the US, Canada, Europe and, coming soon, Japan. This is a solution that

has given Sorin a clear market lead against their own competitors.

360 customer experience – with Auchan, French retailer, we built a seamless customer journey regardless

channels… incorporating a customer 360° vision, relying on our flexible contact center solutions +

business intelligence and support in modelling their own customer journey (thanks to Orange Consulting)

and on top deployment and integration of all channels (contact center testing multi-OS/multi devices,

apps, web and e-commerce, social networks, physical distribution channel and TV

Big data – with Flux Vision, the framework agreement signed with the National Network of Departmental

Destination (umbrella organization of Departmental Tourism Agencies) is spreading and an increasing

number of departments are now interested in the solution to better understand the flow of visitors. Also

many other stakeholders - such as pollsters (avoid mobilizing people for field surveys) or RFF to

understand the flows (including potential alternative train / car).

6

In our third area of focus, social, video, collaboration and mobility open the door to new ways

to work, … Business Together as a Service are a good illustration …

more mobility – with Darty French retailer where we introduce in-store digital experience to

increase sales and empower sales forces with secured and managed broadband internet access

and Wi-Fi for staff and customers, salespeople being able to access real-time sales applications

and price comparison websites via tablets… Tablets being customized to salespeople’s needs,

and come with high-quality user support to enable faster training and adoption

collaboration – with JTI, we are deploying and managing a unified communications solution

supplying a Microsoft Lync-based solution that will unify communications for 20,000 users with

IM, Presence and Web conferencing services, while 12,000 users will be enabled with Lync

Enterprise voice and desktop video services, integrated with videoconferencing rooms

7

All this wouldn’t be possible without the network and its evolution.

We have strong assets to leverage in the delivery of hybrid networks, merging private and

internet solutions, optimized for our customers’ needs. We continue to invest around US 1B

each year in upgrading and expanding our capabilities, constantly refreshing our network so our

customers can support their businesses’ strategy wherever they operate in the world – in

particular in high growth markets.

For example with Siemens, who we recently announced an agreement for providing

communications to 1’500 sites across 90 countries

And Givaudan, a complex organization operating under cost and margin pressure

suffering from legacy global infrastructure unable to meet changing demands of

business (emerging markets, higher bandwidth requirement…). We helped them rapidly

deploy new technology, applications and services such as cloud, BYOD, video enabling

users with flexible access to online resources to aid communication and productivity

8

Cloud, service platforms, smart and mobile ways of working, all seamlessly brought together by

the right network: more than ever to be delivered with embedded security, which remains a

top priority.

Orange offers a global approach from trusted infrastructure to trusted work environment …

1000+ experts

8 Security Operation Centers and 1 CyberSOC

And more than 10,000 managed security equipment/devices

We embed security in all our solutions through a large security portfolio … while the acquisition

of Atheos early this year positions Orange as a serious contender in the global cyberdefense

market

9

We derive many benefits from our strong partnerships

with key technology players such as Cisco, Avaya, Juniper, Microsoft, Alcatel, Riverbed, EMC or

WMware,

service integrators like Accenture, IBM or HP and

specialists in verticals such as SITA for air transportation for instance

They enable Orange to provide a wide range of services from storage and devices to network

monitoring and applications. We all work together, as a fully integrated team, and monitor the

entire user experience, so if our customers ever have an issue with a service it’s only Orange

they need to call.

10

Performance in all domains is our key daily focus, as a key lever to our customers satisfaction. We measure

performance from customer ordering down to billing, for all products and services anywhere. Our ISO and ITIL

compliant global processes allow to monitor performances in an homogeneous manner, thanks to common tools,

processes and roles across the world. Any gap between actual and targeted performance triggers improvement action

plans, within Orange Business Services but also jointly with our global and local partners.

Among top initiatives aiming at improving the customer service and support we offer to our customers:

We have further increased services available from the Web for our customers : from quotation to change

management, incident management, reporting and monitoring …for example change requests, quotations (launch

2014) will be added to current incident management and monitoring solutions.

Enterprise Life

� Enhance our service management offers, aligned to ITIL V3 across customer lifecycle.

� Change Management: Provide our customers with a single change management portal for Network and IT

Services.

� Service Operations: Improve operational proactivity and customer intimacy for incidents and problems. increase

digitalization (self-care and e-bonding), provide configurable features (metrics, notifications, SLAs).

� Service Optimize : Improve and expand Service level management capabilities (reporting, service reviews, Service

improvement plan). Make the offer more modular. Move low touch accounts to portal and offer Professional

Services to premium customers.

� Customized Infrastructure Care: Enhance and expand our a La carte offer for managed , co-managed , customer

and third party devices.

Besides continuing our global program on skills anticipation we launched in 2013 a new training for our customer-

facing staff : “Orange Way of customer culture” . This program aims at ensuring the experience of customers calling

our Service Desks is outstanding, propagating the language and actions of excellence in services …800 people in our

service desks have been trained in 2013, all service desks will be trained in 2014.

11

12

our acceleration program has 4 important pillars of focus:

Sales : develop our international revenues by leveraging the synergies between our sales channels

� re-define our regional go-to-market strategies to drive profitable growth and better customer and

market alignment, pushing data and best practices cross regions,

� leverage our international sales development plan (including B-end targeting, GAM support and

regional and cross functional teaming and governance)

� Upsell product & services (video, security, UCC etc)

Performance: improve our profitability

� Sleeping beauty

� Spring

Simplification : simplify our processes and product portfolio to make the life of our employees and

customers easier

� Optimize order & bill processes, SG&A expenses

� Simplify customer contracts, product portfolio, sales incentives

Digital : accelerate our digital transformation to boost our business

� Improve our CRM

� Inventory management tools & processes

13

1414

1) new ways of working, connected applications, 360° customer relations need close support

of infrastructures, both IT and network. We have the necessary intimacy of our customers’

infrastructure to secure a digital transformation that actually works on a day-to-day basis,

with expected end-user experience.

2) in a digital transformation project the quality of the people is key all along the journey. Our

customers can count on strong consulting capabilities to raise the right questions, make the

right assessment of where the customer start and where he wants to go. They have people

with feet on the ground to build the right solution, they have people close to them to

operate the transformation.

3) we are closely monitoring the progress of a certain number of focused transformation and

acceleration programs internally.

15

16