Pág. 1 JHA - October 2011 – SWE BT Spain Internal use Building Technologies Transformation of the Service Business

Pág. 2 JHA - October 2011 – SWE BT Spain Internal use Building Technologies Operational & Remote Center – sinergies FSS & BAU 4 fundamental questions: How can we improve competitiveness? How can we fight against new competitors (FMS, installers)? How can we intensify our relationship with customers? How can we generate new business? Motivation: Very competitive market – hourly rate of competition is 60% less than Siemens

Pág. 3 JHA - October 2011 – SWE BT Spain Internal use Building Technologies Service Centre - all in the same room The new Heart of the Service Business! Value Added Experts team: Operate the system Detect Faults or malfunctions Give support to the customers Give support to our Technician. Start intervention Process immediate with customer call Detect business opportunities for serv. Sales Do commissioning Integrated Processes Technological Platform that communicate with the installations of our customers Installation type: Fire systems Building Control Energy Efficiency Management & Mobile Services Centralize Services Technical call clarification. Planning of service team. Planning of subcontractors companies for services. Intervention orders Financial Administration: Maintenance contracts invoicing. On call intervention invoicing Product Managers Team Technical support at high level Hot Line with HQ Mobile Services MCompanion Used by: - 70 technician, - 35 project mgr subcontractors Intro in Global Service Industry in process Call Center Global Service Industry: Open tickets Route cust. call to the right place Repair process

Pág. 4 JHA - October 2011 – SWE BT Spain Internal use Building Technologies Knowledge and know-how in the same room Combine technologies and expert knowledge in the same room allows us: To provide New Business Models (e.g. Assisted Products) to provide Added Value Services to our Customers using new technologies & reduce cost with service optimization Remote Experts Serv. Mgr. Finance Admin. Dispatching HQ Support Product Managers Technical Experts

Pág. 5 JHA - October 2011 – SWE BT Spain Internal use Building Technologies Challenges of Remote Service What are the challenges? Technical problems and missing documentation from HQ at the beginning Find a good technician willing to work in the remote service center No one wanted to be the first to offer a connection Not integrated in service processes How do we tackle them? Test and document locally all configurations & make pilot installations Mgt. Decision: Each project with a volume > 20k must have a remote connection Go personally with sales to sell the first connections, Nº of connections in the objectives... Promotional packages for free for branches and customers Integrate the remote center completely in the service process

Pág. 6 JHA - October 2011 – SWE BT Spain Internal use Building Technologies C u s t o m e r Services Our pillars for implementation to get here … > > > > > > Analysis > > > > > > > > Implementation > > > > >

Pág. 7 JHA - October 2011 – SWE BT Spain Internal use Building Technologies Pillar I: Involve key people - Brainstorming Analysis and revision of the available tools Analysis and revision of the processes What we did: - Simplify - Accelerate - Unify - Normalize - Automate - Modernize - Meet deadlines - Meet requirements BY USING: - Spiridon - Synergies - Technologies - Existing Corp. Tools - Communication Tools - Knowledge - Analysis - Monitoring - Statistics Jan 2007

Pág. 8 JHA - October 2011 – SWE BT Spain Internal use Building Technologies Pillar II: SERVOR Process Analysis Identified Improvement Levers to allow prioritization Remote Service Standard procedures and work instructions Application of Mobile Front-end with Real-time Task management Lead management & Incentive system Financial control Implementation of Planning and Dispatching Tool(s) Integrated service management information system Improve clarification Prioritized lever Average annual gross savings Average annual additional sales Strong impact customer satisfaction Legend: Total average annual gross savings (DI2) Total average annual additional sales (DI2) … Mio Enabler/not calculated Calculated lever Subcontractor Management May 2008

Pág. 9 JHA - October 2011 – SWE BT Spain Internal use Building Technologies Pillar III: Remote Business Plan supported by HQ - Goal Increased service efficiency through: 1.Improved service processes 2.Optimized commissioning processes Generate additional sales through: 1.Extended service level in the classical re- active service business 2.Additional services, like pro-active monitoring, service reports, energy services Gain a more intensive customer retention External Benefits Internal Benefits May 2008

Pág. 10 JHA - October 2011 – SWE BT Spain Internal use Building Technologies Pillar VI: New technologies Bye, bye paper Integration in Spiridon, Mobile solution, HR-System & Sharepoint Transfer / Generate electronic information

For internal use only / Copyright © Siemens AG All rights reserved. Pillar VII: Integrated Mobile Services & installed base & push Integration into Industry Sector … allows on-time management with-out paper of: Preventive Maintenance Checklists Notifications Service Reporting Hours & Travel Expenses Material, Spare-Part and car stock … Oct 2008 Tecn. clarification Administration and Dispatching

Pág. 12 JHA - October 2011 – SWE BT Spain Internal use Building Technologies Pillar VIII: Operation Centre allow centralization, remote & energy services (Reducing dispatching centers from 9 to 1) Vision Real Oct 2008 Serv. Mgr. from branches converted to service sales SANTIAGO d. C. GIJON BILBAO BARCELONA VALENCIA SEVILLA MADRID VALLADOLID PALMA BARCELONA VALENCIA MADRID 9 Dispatch Centre 1 Actual Oct 2011: 3 centros

Pág. 13 JHA - October 2011 – SWE BT Spain Internal use Building Technologies Pillar IX: Maximize Efficiency! ROC, also the heart for energy solutions & services Allows Green ConsultingSupport Energy efficient solutions Building Performance Optimization Make Green Migration possible Efficiency Monitoring Energy Saving Performance Contracting

Pág. 14 JHA - October 2011 – SWE BT Spain Internal use Building Technologies Pillar XI: Assisted Products Business Models to create Added Value Example: Partner – Customer relation in a win-win-win situation Partner (e.g. FMS, installer, VAP, etc. Customer (e.g. Hotels, etc.) 1.Frame contracts (discounts, spare parts, etc.) 2.Training 3.Operation support 4.Technical support (revisions, problems, changes, spare parts extensions, optimization, energy reduction, detector exchange, SW up-date, etc.) 5.Regular reports (operations y energetic) 6.Revisions from Operation Centre with on-site combinations 7.Configuration Back-up 8.Etc. 1.Contract 2.Direct contact to customer 3.Preventive maintenance 4.Interventions 5.Billing 6.Etc. 1.Support how to operate the system 2.Lease material for remote connections (with contract at now cost) 1.Information about changes 2.Buys material Siemens for repair, extensions, migrations, etc. August 2009

Pág. 15 JHA - October 2011 – SWE BT Spain Internal use Building Technologies Pillar XIII: Benefits for Customer and Siemens Image (Innovative, Modern, ….) Fast Respond time & have always an expert available Taking care of installation in continued manner (operational and energetic optimization) Professional, electronic and on-time documentation Improve understanding of costumer needs Customer receives & perceives Added Values Strengthen relationship between customer and Siemens Results Chooses us as preferred supplier Problems are solved fast & easy. Saves costs in avoiding technician interventions on site in the case they are not included in SA No paper storing needed Perceives that we are available for him not only for the preventive maintenance This type of service he can not receive from another provider