Business Process Improvement Service Sales Managers’ Meeting 9 th July 2004 Alison J Mo UK Marketing Communications Specialist

Success is team work2 What’s Being Offered? A Business Process Improvement Service A service that will help UL’s existing clients and contacts to manage, monitor and understand true business improvement.

Success is team work3 What’s Being Offered? Immediate  Online auditing tool;  Online business management system;  Knowledge solutions in improving business processes. Future  Third party certification.

Success is team work4 Why the Excitement? - Online Internal Auditing Tool Group Quality Manager with 40 manufacturing sites around the world Existing Annual Auditing Costs (excl salaries) £54,000 €81,234 Online Approach £30,000 €44,961 Cost saving of £24,000 (€36,269) (45%) and increased value from the audit eg  Allows benchmarking of different sites;  Less business disruption as audits can be arranged 24/7;  More accurate audit results;  Further savings can be made from decreasing headcounts and salaries;

Success is team work5 Why the Excitement?- Online Internal Auditing Tool So how much does UL make? Price of Annual Contract (a) £ 30,000 (€44,961) UL/HPO partnership costs of servicing contract (5 days) (b) £ 5,000 (€7,493) Profit to partnership (a-b) £ 25,000 (€37,451) Profit Share (50:50) between UL and HPO (c) £ 12,500 (€18,731) % Profit margin for UL (c/a x100) 41.7%

Success is team work6 Why the Excitement?- Online Business Management System The tool can also be used for:  Benchmarking test laboratories, different manufacturing sites;  Pre-cursor of internal audits;  appraisals;  Managing Corporate Social responsibility (CSR) and Corporate Governance eg Sarbannes Oxley;  Internal and Supplier audits;  Due diligence audits;  Monitoring customer and employee satisfaction;  Only limited by your imagination………..

Success is team work7 Benefits to the Customer  Quick to set up;  No licence;  Real time information on how their business processes are improving;  Improves communication between sites nationally and internationally.

Success is team work8 Benefits to UL  Seen as a Business Partner with an innovative tool and knowledge to help improve the way they run their business;  A service with a high profit margin;  A service that is cross-sectoral and multi-disciplinary;  Brings valuable market and business information to UL.

Success is team work9 Marketing and Sales Strategy  It should not be marketed or sold as a QMS tool but a business improvement tool;  This tool is a Unique selling point (USP) for UL. No one else offers this multi-disciplinary tool;  Sell it as a business improvement tool that adds value to the services we currently offer;  Targets – Existing customers and contacts at the Quality Manager and Directorate level of global multi-sited companies;  Promotional Activities should include:  Testimonials that include cost benefit information;  Treat as 1:1 relationship marketing and selling- no mass mailings;  Demonstrations of the tool.

Success is team work10 Pricing  Project value driven not day rate driven;  No formula at the moment. Figure worked out by undercutting the company’s current costs;  Prefer it to be invoiced locally and not a cost plus activity;

Success is team work11 Pricing ‘Prefer it to be invoiced locally and not a cost plus activity’ So what’s my incentive if UL UK pocket the revenue?!!!!! The service will give your Sales Team a competitive edge over your competitor